R2003-07 AUTHORIZING AGREEMENT - Laserfiche WebLink

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-- � ." _ MANAGEMENT SERVICES DEPARTMENT MANAGEMENT INFORMATION SYSTEMS DIVISION Memorandum No.2003-01 �I January 14,2003 II� MEMORANDUM FOR: Honorable Mayor Howley and City Council � FROM: Stephen L. Garman,City Manager I' Michael L.Mowen,Assistant City Manager for Administration ' � Gerard J.Bauer,Management Services Directo David S.Johnston,Manager,MIS Divisiom� SUBJECT: City Telephone Service Contracts SUMMARY Staff recommends that Council approve the resolution at Enclosure 1, authorizing RECOMMENDATION: the City Manager to execute the contracts shown at Enclosures 2 and 3 with SBC Global Services,Inc. for voice telephone Centrex service and reduced rate calling. BACKGROUND: The City's main voice telephone service is provided by SBC (formerly Ameritech) under a Centrex agreement approved by City Council in 1996, which has now expired. The contract presented at Enclosure 2 renews that agreement for a 60 month period, at essentially the same discount rate of$3464.75 (versus the standard tariff rate of$5241.03 per month which would apply were the contract not approved), for the fixed cost, or infrastructure portion of the city's local telephone expenses. The second contract, at Enclosure 3, is a"CompleteLink"usage agreement which will effectively lower the city's variable cost for all "local"Band A(in-town)through Band C (Springfield-area) calls. The contract provides for discounted per minute charges in return for the city commitment to generate a minimum annual revenue level to SBC of$35,000, an amount already achieved under the terms of the Centrex agreement. POTENTIAL None anticipated. OBJECTION: INPUT FROM OTHER Staff evaluated other technologies which could potentially replace Centrex SOURCES: telephone service at a lower cost, including ISDN and Voice-over-II'. However, it is our judgment that such technologies are not yet sufficiently mature to risk public safety or responsiveness to citizens on. We will reexamine existing and emerging technologies prior to the expiration of the agreement under consideration. STAFF REFERENCE: Gerard J. Bauer,Management Services Director(424-2805); David S. Johnston, MIS Manager(424-2703); Randy G. Aldrich, MIS Technical Support Branch Supervisor(424-2703). BUDGET/TIME The Centrex agreement will continue infrastructure costs at a discounted rate, IMPLICATIONS: providing$1776.28 in monthly savings over the tariff rate, for a total savings of $106,577 over the life of the contract. Since the CompleteLink contract provides variable savings, depending on the level of service used, savings can only be estimated. Based on the usage shown in the city's September 2002 billing,that savings could approach$1200 per month. 3 Encls as stated