Report Prepared by: Jeff Bennyhoff, Director of Information Technology
Title
SUBJECT: Approval to Waive the Competitive Bid Process to Allow for the Cooperative Purchase with State of California Cooperative Agreements SLP-23-70-0025R ( Adobe Software) , SLP-22-70-0276H (Akamai Software ) , SLP-24-70-0132W (Cisco Software) , SLP-22-70-0151Z (Dell Software) , SLP-21-70-0027I (Docusign Software) , SLP-24-70-0025X (Freshworks Software), SLP-25-70-0063E (GovOS Software) , SLP-25-70-0027U (OpenText Software) , SLP-22-70-0151Y (VMware Software) , SLP-25-70-0023U (Zerto Software) , SLP-25-70-0027W (Zscaler Software) , COOP 7-17-70-40-05.04 , 7-17-70-40-05.55 , 7-17-70-40-05.58, 7-17-70-40-05.41 , COOP 7-17-70-40-09 , COOP 7-17-70-40-01, 7-24-70-40-19 (NASPO ValuePoint Cloud Solution) Awarded to Vendors CDW Government, Savant Solutions Inc, Presidio Networked Group, Kovarus Inc, Taborda Solutions Inc, E360, AMS.net, SHI International, DLT Solutions, Insight Public Sector, in a not to Exceed Amount of $250,000 in Fiscal Year 2025/2026
REPORT IN BRIEF
Considers approving to waive the competitive bid process to allow for the Cooperative Purchase with State of California Cooperative Agreements SLP-23-70-0025R ( Adobe Software) , SLP-22-70-0276H (Akamai Software ) , SLP-24-70-0132W (Cisco Software) , SLP-22-70-0151Z (Dell Software) , SLP-21-70-0027I (Docusign Software) , SLP-24-70-0025X (Freshworks Software), SLP-25-70-0063E (GovOS Software) , SLP-25-70-0027U (OpenText Software) , SLP-22-70-0151Y (VMware Software) , SLP-25-70-0023U (Zerto Software) , SLP-25-70-0027W (Zscaler Software) , COOP 7-17-70-40-05.04 , 7-17-70-40-05.55 , 7-17-70-40-05.58, 7-17-70-40-05.41 , COOP 7-17-70-40-09 , COOP 7-17-70-40-01, 7-24-70-40-19 (NASPO ValuePoint Cloud Solution) Awarded to Vendors CDW Government, Savant Solutions Inc, Presidio Networked Group, Kovarus Inc, Taborda Solutions Inc, E360, AMS.net, SHI International, DLT Solutions, Insight Public Sector, in a not to Exceed Amount of $250,000 in Fiscal Year 2025/2026.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving to waive the competitive bidding requirements as stated in Section 3.04.210 of the Merced Municipal Code due to cooperative purchasing; and,
B. Approving the use of State of California Cooperative Agreement SLP-23-70-0025R (Adobe Software) with vendor CDW Government LLC; and,
C. Approving the use of State of California Cooperative Agreement SLP-22-70-0276H (Akamai Software) with vendor Savant Solutions Inc; and,
D. Approving the use of State of California Cooperative Agreement SLP-24-70-0132W (Cisco Software) with vendor Presidio Networked Group; and,
E. Approving the use of State of California Cooperative Agreement SLP-22-70-0151Z (Dell Software) with vendor Kovarus Inc; and,
F. Approving the use of State of California Cooperative Agreement SLP-21-70-0027I (Docusign Software) with vendor Allied Network Solutions Inc; and,
G. Approving the use of State of California Cooperative Agreement SLP-24-70-0025X (Freshworks Software) with vendor CDW Government LLC; and,
H. Approving the use of State of California Cooperative Agreement SLP-25-70-0063E (GovOS Software) with vendor Taborda Solutions Inc; and,
I. Approving the use of State of California Cooperative Agreement SLP-25-70-0027U (OpenText Software) with vendor Allied Network Solutions Inc; and,
J. Approving the use of State of California Cooperative Agreement SLP-22-70-0151Y (VMware Software) with vendor Kovarus Inc; and,
K. Approving the use of State of California Cooperative Agreement SLP-25-70-0023U (Zerto Software) with vendor e360; and,
L. Approving the use of State of California Cooperative Agreement SLP-25-70-0027W (Zscaler Software) with vendor Allied Network Solutions Inc; and,
M. Approving the use of State of California Cooperative Agreement 7-17-70-40-05.04, 7-17-70-40-05.55, 7-17-70-40-05.58, 7-17-70-40-05.41 And 7-17-70-40-05.10 (NASPO ValuePoint Cloud Solution) with vendors Allied Network Solutions Inc, AMS.net, CDW Government LLC, Presidio Networked Solutions Group, LLC, and SHI International; and,
N. Approving the use of State of California Cooperative Agreement 7-17-70-40-09 (NASPO ValuePoint Cloud Solution) with vendor DLT Solutions; and,
O. Approving the use of State of California Cooperative Agreement 7-17-70-40-01 (NASPO ValuePoint Cloud Solution) with vendor Insight Public Sector, Inc; and,
P. Approving the use of State of California Cooperative Agreement 7-24-70-40-19 (NASPO ValuePoint Cloud Solution) with vendor SHI International; and,
Q. Authorizing the City Manager to execute the necessary documents; and,
R. Authorizing the City Manager to execute the necessary documents for future contract amendments in motion B though P and contingent upon approval as to form by the City Attorney; and,
S. Authorizing the purchase of $250,000 of technology solutions with contracts in motion B through P.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions as specified by the City Council; or,
3. Deny the request; or,
4. Refer back to staff for reconsideration of specific items as requested by the Council;
AUTHORITY
Charter of the City of Merced, Section 200.
CITY COUNCIL PRIORITIES
As provided for in the FY 25/26 Adopted Budget.
DISCUSSION
The City procures a limited amount of software solutions through competitively solicited cooperative purchasing contracts administered by the California Department of General Services (DGS). In prior fiscal years, the number of DGS contracts utilized for software acquisition was minimal and consolidated under the broader Council-authorized procurement authority for technology hardware. However, as the State has expanded the availability of cooperative software agreements, the portfolio of contracts available for leveraging cost efficiencies has grown significantly.
The Information Technology Department is requesting City Council authorization to waive formal competitive bidding requirements, pursuant to Section 3.04.210 of the Merced Municipal Code, which allows for the use of contracts awarded through a competitive process by another public agency.
Pricing under applicable DGS software contracts will be evaluated and benchmarked against other cooperative purchasing vehicles and prevailing market rates to ensure best-value procurement. Where cost savings can be achieved through the use of DGS agreements, such contracts will be utilized in accordance with the City’s purchasing policy. Although past comparative pricing analyses for software have shown a narrow variance in savings, typically between 0% and 1%, as compared to other procurement vehicles. Any opportunity for cost reduction will be pursued to uphold the City’s commitment to fiscal responsibility.
Some software vendors do not authorize participation in state cooperative contracts due to the City’s relatively modest procurement volume. In such cases, software may be procured through alternative competitive contract mechanisms or vendor-specific agreements, consistent with applicable purchasing regulations.
As this is the first fiscal year in which staff is seeking discrete authorization to expand the number of cooperative contracts available for software procurement, the full extent of future utilization remains undetermined. Nevertheless, enabling access to a broader set of competitively awarded contracts strengthens the City’s ability to achieve cost-effective and compliant technology acquisitions.
IMPACT ON CITY RESOURCES
Staff is requesting spending authority not to exceed $250,000 to accommodate anticipated software purchases across all City departments. Any expenditure exceeding the $250,000 threshold will require subsequent City Council approval. This authorization does not obligate or encumber funds at the time of approval but grants the City the authority to execute purchases on an as-needed basis.
ATTACHMENTS
1. State of California Cooperative Agreement SLP-23-70-0025R (Adobe Software)
2. State of California Cooperative Agreement SLP-22-70-0276H (Akamai Software)
3. State of California Cooperative Agreement SLP-24-70-0132W (Cisco Software)
4. State of California Cooperative Agreement SLP-22-70-0151Z (Dell Software)
5. State of California Cooperative Agreement SLP-21-70-0027I (Docusign Software)
6. State of California Cooperative Agreement SLP-24-70-0025X (Freshworks Software)
7. State of California Cooperative Agreement SLP-25-70-0063E (GovOS Software)
8. State of California Cooperative Agreement SLP-25-70-0027U (OpenText Software)
9. State of California Cooperative Agreement SLP-22-70-0151Y (VMware Software)
10. State of California Cooperative Agreement SLP-25-70-0023U (Zerto Software)
11. State of California Cooperative Agreement SLP-25-70-0027W (Zscaler Software)
12. State of California Cooperative Agreement 7-17-70-40-05.04, 7-17-70-40-05.55, 7-17-70-40-05.58, 7-17-70-40-05.41 And 7-17-70-40-05.10 (NASPO ValuePoint Cloud Solution)
13. State of California Cooperative Agreement 7-17-70-40-09 (NASPO ValuePoint Cloud Solution)
14. State of California Cooperative Agreement 7-17-70-40-01 (NASPO ValuePoint Cloud Solution)
15. State of California Cooperative Agreement 7-24-70-40-19 (NASPO ValuePoint Cloud Solution)