R2018-105 Accepting Bid from Illinois Department of Innovation & Technology for Phase 4 Fiber Build Services

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Item Coversheet Page 1 of 2 Information Technology DATE: 8/20/2018 MEMO: 2018-08 TO: Honorable Mayor Julie Moore Wolfe and City Council Members FROM: James Edwards,Director of Information Technology Department SUBJECT: Resolution Accepting Bid From The Illinois Department of Innovation&Technology for Phase 4 Fiber Build Services SUMMARY RECOMMENDATION: City staff recommends that the City Council approve the attached Resolution accepting the bid of$245,838.08 for the purchase of Fiber Build Services from the Illinois Department of Innovation and Technology for phase 4 of the City Fiber Network expansion. BACKGROUND: On July 16,2018 the City Council Approved Resolution No.R2018-92 authorizing Mayor to sign an Indefeasible Right of Use Agreement(IRU)on behalf of the City to obtain Dark Fiber from the City Fiber Network(resolution attached for your reference). The Council Memo in that meeting called out an engineering cost estimate of$250,000 for the City Fiber Network build of 144 fibers from Firehouse I to Millikin University(phase 4)where Millikin will utilize 12 of the 144 fibers to establish services between themselves and Richland Community College. The City also has interest in this fiber path for future economic development along this route. After detailed planning by the Illinois Department of Innovation&Technology(same government agency who conducted the City's Phase 2 build to Richland Community College)and City Staff,a bid was submitted in the amount of$245,838.08. Millikin is paying the City of Decatur$125,174.40 as agreed upon and demanded when the IRU Agreement was executed. City Staff is seeking Council approval to accept the attached bid in the amount of$245,838.08 from the Department of Innovation and Technology.After the Millikin University payment of$125,174.40 is applied,the City will be left with an obligation to pay $120,663.68 for this work. POTENTIAL OBJECTIONS: None Anticipated INPUT FROM OTHER SOURCES: None STAFF REFERENCE: James Edwards,Director of Information Technology(450-2236) BUDGET/TIME IMPLICATIONS: The total build cost for this project is$245,838.08 less$125,174.40 to be received and paid by Millikin University. Project completion is anticipated in November 2018 and build fees will be due the first quarter of 2019.The City balance of$120,663.68 for this project will be paid in January 2019 out of the Fiscal Year 2019 budget from the General Fund. ATTACHMENTS: Description Type Resolution Letter Resolution Letter Bid/Sales Order Exhibit https:Hdecatur.novusagenda.com/AgendaWeb/CoverSheet.aspx?ItemID=1644 8/17/2018