Report Prepared by Michael Machado, GIS Coordinator - Information Technology Department
Title
SUBJECT: Approval to Increase Expenditure Authority in the Amount of $800.00 with Environmental Systems Research Institute, Inc., (Esri) for the Duration of the Small Government Enterprise Agreement, (SGEA) for Fiscal Years 2022/2023 and 2023/2024, in a not to Exceed Amount of $55,400.00 per Year
REPORT IN BRIEF
Considers approving an increase to the expenditure authority in the amount of $800.00 with Environmental Systems Research Institute, Inc., (Esri) for the duration of the Small Government Enterprise Agreement, (SGEA) for fiscal years 2022/2023 and 2023/2024.
RECOMMENDATION
City Council - Adopt a motion:
A. Waiving the competitive bidding requirements as stated in Section 3.04.210 of the Merced Municipal Code for the Sole Source Purchase of software licenses and maintenance; and,
B. Approving the increase expenditure allowance in the amount of $800.00 with Environmental Systems Research Institute, Inc., (Esri) for the duration of the Small Government Enterprise Agreement, (SGEA) for fiscal years 2022/2023 and 2023/2024, not to exceed $55,400.00 per year; and,
C. Authorizing the City Manager or Deputy City Manager to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Deny; or,
3. Refer to staff for reconsideration of specific items
AUTHORITY
Charter of the City of Merced, Section 200; Merced Municipal Code Section 3.04.210 - Exemptions for Competitive Bidding.
CITY COUNCIL PRIORITIES
City of Merced Adopted Budget Fiscal Year 2021-2022.
DISCUSSION
Background
On July 19, 2021, City Council approved a three-year Small Government Enterprise Agreement, (SGEA) with Esri Inc. not to exceed the amount of $55,000.00. However, an additional Esri service that is not included in the original agreement is needed by Economic Development to perform advance data analytics. This service will add an additional $400.00 per year to the original approval amount for a total of $55,400.00 per year.
For the past serval years, Economic Development has used ArcGIS Business Analyst Web Application to perform advance data analytics to assist in market planning, site selection, and customer segmentation decisions. This application combines the most up-to-date demographic, lifestyle, behavioral, and spending data with location-driven analytics.
Prior to the SGEA, Economic Development would purchase 5 seats and 5,000 credits at total cost of $1,000.00. With the SGEA the 5 seats will cost $400.00. This will produce a cost savings of approximately $600.00.
Esri is the sole source provider of all U.S. domestic Small Municipal and County Government Enterprise Agreements (see Attachment 3). As such, staff is requesting waiving the competitive bidding requirements in order to continue the existing Esri licensing and annual maintenance services.
IMPACT ON CITY RESOURCES
No additional impact on city resources; funding is available within the FY2022-23 proposed budget.
ATTACHMENTS
1. ESRI SGEA 2021 Contract
2. Price Quote
3. Sole Source Letter