Agenda Item   

AGENDA STAFF REPORT

 

                                                                                                                        ASR Control  19-001282

 

MEETING DATE:

04/14/20

legal entity taking action:

Board of Supervisors

board of supervisors district(s):

All Districts

SUBMITTING Agency/Department:

Sheriff-Coroner   (Approved)

Department contact person(s):

Brian Wayt (714) 647-1803 

 

 

Dave Fontneau (714) 704-7919

 

 

Subject:  Renewal Amendment Number Three to Dimension Data North America, Inc. Contract

 

      ceo CONCUR

County Counsel Review

Clerk of the Board

Concur

Approved Agreement to Form

Discussion

 

 

3 Votes Board Majority

 

 

 

    Budgeted: Yes

Current Year Cost: $904,109

Annual Cost: FY 2020-21  $4,095,891

 

 

 

    Staffing Impact:

No

# of Positions:

Sole Source: No

    Current Fiscal Year Revenue: N/A

  Funding Source: GF: 30%, State: 70%  (Proposition 172)

County Audit in last 3 years: No

 

 

    Prior Board Action: 3/12/2019 #14, 4/24/2018 #23, 7/11/2017 #21

 

RECOMMENDED ACTION(S):

 

Authorize the County Procurement Officer or authorized Deputy to execute Amendment Number Three to change the contract name from Dimension Data North America, Inc. to NTT America Solutions, Inc. for telecommunication technology solution services and products utilizing the Fast Open Contracts Utilization Services Contract No. 2016071, and renew the contract for the term of April 26, 2020 through April 25, 2021, in the not to exceed amount of $5,000,000, for a revised cumulative contract total amount not to exceed $20,000,000.

 

 

 

SUMMARY:

 

Approval of Amendment Number Three to the contract with NTT America Solutions, Inc. (formerly known as Dimension Data North America, Inc.) will allow the Sheriff-Coroner Department to competitively acquire telecommunication technology solutions and products at an approved statewide discounted price, and to be proactive and prepared for potential network outages to maintain secure systems.

 

 

 

 

 

BACKGROUND INFORMATION:

 

The County of Merced entered into a Fast Open Contracts Utilization Services (FOCUS) contract for network infrastructure equipment, for the term of April 26, 2016 through April 25, 2019, in the not to exceed amount of $6 million, renewable for two additional one-year terms.  The County Procurement Office (CPO) authorized the Sheriff-Coroner Department (Sheriff) staff to pursue a subordinate contract with FOCUS, with Board of Supervisors (Board) approval. 

 

On July 11, 2017, the Board approved a contract with an approved vendor, NTT America Solutions, Inc. (formerly known as, Dimension Data North America, Inc.), to allow Sheriff to establish a designated approved vendor contract for telecommunication technology solution services and products utilizing the FOCUS contract, for the term of July 11, 2017 through April 25, 2018, in the not to exceed amount of $5 million, renewable for three additional one-year terms.  Sheriff utilizes the FOCUS through Merced County, authorized by the CPO, to purchase network infrastructure to provide the means for computers, servers and many end-host devices required by Sheriff staff to safely connect and communicate from all Sheriff's locations.  The FOCUS contract allows for a percentage discount off of the list price for each item sold.   

 

Additionally, the FOCUS contract allows Sheriff's staff to procure various telecommunication technologies from approved vendors such as routers, switches, firewalls and wireless access points providing secure and efficient connectivity to the internet, intranet and local private networks.  The contract allows Sheriff to refresh all network and network security end-of-life infrastructure equipment and warranties.  The approval of Amendment Number Three to this FOCUS contract is important, because Sheriff is currently at 85 percent end of life for all its networking infrastructure equipment and warranties.  Also, Sheriff is in the process of planning and implementing solutions for critical new and ongoing projects such as the jail hardening network equipment, security of Sheriff’s wireless system and maintaining the security and infrastructure of its network system.

 

On April 24, 2018, the Board approved Amendment Number One to renew the contract with NTT America Solutions, Inc. for the term of April 26, 2018 through April 25, 2019, in the not to exceed amount of $5 million, for a revised cumulative contract total amount of $10 million, renewable for two additional one-year terms.  On March 12, 2019, the Board approved Amendment Number Two to renew the contract with NTT America Solutions, Inc. for the term of April 26, 2019 through April 25, 2020, in the not to exceed amount of $5 million, renewable for one additional one-year term. 

 

The County of Merced entered into a new FOCUS contract for network infrastructure equipment, for the term of April 26, 2020 through April 25, 2023, in the not to exceed amount of $6 million, renewable for two additional one-year terms.  The CPO authorized Sheriff staff to pursue a subordinate contract with FOCUS, with Board approval.

 

Dimension Data is part of the NTT Group.  On July 1, 2019, NTT Ltd. was launched, which brought together 28 brands across the NTT family of companies.  As a part of this integration, Dimension Data North America, Inc. was integrated into NTT Ltd., as of October 1, 2019.  The Dimension Data brand was rebranded to NTT as of October 1, 2019.  The corporate name was changed to NTT America Solutions, Inc., which was filed on Sept. 23, 2019. Though the company name are now different, its banking details, Federal Tax ID and legal entity remain unchanged.

 

NTT America Solutions, Inc. has met all the product specifications within this FOCUS contract.  Contractor performance has been confirmed as at least satisfactory.  Sheriff has verified that there are no concerns that must be addressed with respect to contractor's ownership/name, litigation status or conflicts with County interests. 

 

Sheriff now requests approval of Amendment Number Three to change the contract name from Dimension Data North America, Inc. to NTT America Solutions, Inc. and to renew the contract with NTT America Solutions, Inc. for the term of April 26, 2020 through April 25, 2021, in the not to exceed amount of $5 million.  This contract does not currently include subcontractors or pass through to other providers.  See Attachment C for the Contract Summary Form.

 

 

FINANCIAL IMPACT:

 

Appropriations for this contract are included in the Sheriff-Coroner’s FY 2019-20 Budget for Budget Control 060 and will be included in the FY 2020-21 Budget.  The contract contains language allowing the Sheriff-Coroner Department to terminate the contract without penalty with cause or after 30 days of written notice without cause in the event that funding is reduced and/or not available to continue funding the contract.

 

 

STAFFING IMPACT:

 

N/A

 

 

ATTACHMENT(S):

 

Attachment A - Amendment Number Three to Contract MA-060-17011748
Attachment B - Redline of Previous Amendment
Attachment C - Contract Summary Form