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Home My WebLink About4.F.4. Microsoft License Renewal Consent Business 4. F. 4. SH.AK0I EE TO: Mayor and City Council FROM: Rachel Romansky, IT Specialist DATE: 02/03/2015 SUBJECT: Microsoft License Renewal (E) Action Sought The Council is asked to authorize appropriate city staff to enter into a new, three-year Microsoft License Service Agreement through SHE and authorize payment of the first-year's cost in an amount not to exceed $56,500 from the IT Fund. Background The City will reach the end of its current, six-year Microsoft Enterprise Agreement in late February. Therefore, the Council is asked to authorize entering into a new three-year Enterprise Agreement. The City currently utilizes Microsoft Software on 17 servers, 168 desktops, and 166 Office Suites. Although these are the current numbers it is not uncommon to add systems throughout the year with new projects, new hires, etc. Microsoft Software Assurance (SA) is required in order to stay compliant with our Microsoft licenses. Microsoft SA is a maintenance program that provides us with a variety of benefits, including deployment planning, staff training, product support, and software upgrades. It allows the City to stay current with the continually changing Microsoft products and helps IT staff minimize downtime by providing phone support 24 hours a day and web support during regular business hours. The new agreement upgrades our Microsoft Office suite to Office 365, allowing us to host our email through Microsoft without needing to maintain a Microsoft Exchange (email) server. This agreement also upgrades our virtual data center environment from a server-by-server license model to a"data center" license model. This allows IT staff more flexibility in creating new virtual Windows Servers without needing to purchase additional server licenses. IT Staff sought quotes from both vendors on the State Contract for these services. SHI was able to provide the best pricing for the term of the agreement. Budget Impact The annual cost of the Enterprise Agreement is $56,477.40. These funds will be taken from the IT Internal Service Fund. Requested Action The Council is asked to authorize appropriate city staff to enter into a new, three-year Microsoft License Service Agreement through SET and authorize payment of the first-year's cost in an amount not to exceed $56,500 from the IT Fund. Attachments: Sill Microsoft Quote 66.0))11-- Pricing Proposal Quotation#: 8477261 Reference#: 6873600 Created On: 8/29/2014 Valid Until: 2/5/2015 City of Shakopee MN Account Executive Rachel Romansky Greg Rohleder 129 HOLMES STREET SOUTH MN State Contract#436392 ATTN:NP Phone:(888)455-0510 SHAKOPEE,MN 55379 Fax: (651)455-0977 United States Email: greg_rohleder @shi.com Phone:(952)233-9357 Fax: Email: RRomansky @shakopeemn.gov All Prices are in US Dollar(USD) Product Qty Your Price Total 1 Off365PIanG3FromSA ShrdSvr ALNG SubsVL MVL PerUsr 166 $163.20 $27,091.20 Microsoft-Part#:7R2-00001 Note:Annual Payment Estimate 2 O365GovE3 ShrdSvrALNG SubsVL MVL 9 $196.80 $1,771.20 Microsoft-Part#: U7S-00008 Note:Annual Payment Estimate 3 WinEntforSAwMDOP ALNG UpgrdSAPk MVL Pltfrm 175 $48.00 $8,400.00 Microsoft-Part#:CX2-00094 Note:Annual Payment Estimate 4 CoreCALBridgeOff365 ALNG SA MVL Pltfrm UsrCAL 174 $14.00 $2,436.00 Microsoft-Part#: U3J-00004 Note:Annual Payment Estimate 5 CoreCALBridgeOff365 ALNG LicSAPk MVL Pltfrm UsrCAL 1 $23.00 $23.00 Microsoft-Part#: U3J-00002 Note:Annual Payment Estimate 6 ExchgSvrStd ALNG SA MVL 1 $116.00 $116.00 Microsoft-Part#:312-02257 Note:Annual Payment Estimate 7 SharePointSvr ALNG SA MVL 1 $1,109.00 $1,109.00 Microsoft-Part#: H04-00268 Note:Annual Payment Estimate 8 SQLSvrStdCore ALNG SA MVL 2Lic CoreLic 3 $585.00 $1,755.00 Microsoft-Part#:7NQ-00292 Note:Annual Payment Estimate 9 SysCtrStd ALNG SA MVL 2Proc 1 $144.00 $144.00 Microsoft-Part#:T9L-00223 Note:Annual Payment Estimate 10 WinSvrDataCtr ALNG SASU MVL WinSvrStd 2Proc 6 $2,008.00 $12,048.00 Microsoft-Part#: P71-07281 Note:Annual Payment Estimate 11 WinSvrStd ALNG SA MVL 2Proc 11 $144.00 $1,584.00 Microsoft-Part#: P73-05898 Note:Annual Payment Estimate Total $56,477.40 Additional Comments The above pricing is an estimated and is strictly for budgetary purposes only. The Products offered under this proposal are subject to the SHI Return Policy posted at www.shi.com/returnpolicv, unless there is an existing agreement between SHI and the Customer.