AGENDA ITEM
TO: HONORABLE MAYOR
AND MEMBERS OF THE CITY COUNCIL
FROM: CARLO TOMAINO
CITY MANAGER
BY: SIAMLU COX
DEPUTY FINANCE DIRECTOR
SHARON DEL ROSARIO
ADMINISTRATIVE SERVICES OFFICER/FINANCE DIRECTOR
SUBJECT:
title
AMENDMENT TO AGREEMENT WITH INFINITY TECHNOLOGIES FOR INFORMATION TECHNOLOGY (IT) MANAGEMENT SERVICES
summary
Summary:
In December 2022, the City of Signal Hill entered into a Professional Services Agreement with Infinity Technologies to administer the City’s computer, technology, and cybersecurity needs. Infinity Technologies’ day-to-day duties include safeguarding the City’s computer networks, upgrading devices, and providing help desk service to employees. The current contract provides the City with 32 hours of support per week (totaling 4 days) at a rate of $14,980 per month, or $179,760 per year. Throughout the term of the agreement, staff has continued evaluating the City’s technological needs. Infinity Technologies has helped the City modernize its IT infrastructure by deploying new technology to increase cybersecurity, enhancing the City’s server infrastructure, and implementing a new phone system. Infinity Technologies also supported the Police Department by upgrading the radio system, body worn cameras, and in-car Police vehicle computers. After two years of service and based on the City’s evolving needs and operational experience, staff recommends an increase to the annual contract amount. The proposed adjustment would reflect an increase in service levels to 40 hours (5 days per week) and extend the contract term through December 1, 2028. The proposed adjustment would increase the annual contract by $42,240, bringing the total to $222,000 per year.
Strategic Plan Goal(s):
Goal No. 4: Infrastructure: Maintain and improve the City’s physical infrastructure, water system, and recreational spaces.
Goal No. 5: High-Functioning Government: Strengthen internal communication, recruitment, retention, systems, and processes to increase the effectiveness and efficiency of City services.
recommendation
Recommendations:
1. Authorize the City Manager, or designee, to execute the First Amendment to the agreement with Infinity Technologies increasing the base rate to $222,000 per year and extending the Contract term to December 1, 2028, with an effective date of November 1, 2024.
2. Adopt a resolution, entitled:
A RESOLUTION OF THE CITY COUNCIL OF SIGNAL HILL, CALIFORNIA, AMENDING THE ADOPTED BUDGET AND AUTHORIZING BUDGET APPROPRIATIONS FOR FISCAL YEAR 2024-25.
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Fiscal Impact:
The Fiscal Year 2024-25 adopted budget includes an appropriation of $179,760 for IT Management Services with Infinity Technologies which is budgeted within the IT division (52) and the Police Support division (74). The proposed First Amendment would increase the contract service levels to 40 hours (5 days per week). The proposed amendment would increase the City’s annual cost by $42,240 and bring the total annual contract amount to $222,000. The recommended action requires a budget adjustment to increase appropriations for the IT Division (Account 100-52-5440) by $21,120 and the Police Department Police Support Services Division (Account 100-74-5440) by $21,120. Future year budgets will reflect the new contract rates.
Background:
The City does not have a full-time IT position and relies exclusively on contract services, with the Finance Director overseeing contract and managing tasks, to ensure that services or project work is necessary, budgeted, and completed on time. The City contracts with Infinity Technologies to provide the full breadth of information technology services the organization needs to support internal and external operations, including public safety operations. In December 2022, the City of Signal Hill entered into a Professional Services Agreement with Infinity Technologies to administer the City’s computer, technology, and cybersecurity needs. Infinity Technologies’ day-to-day duties include safeguarding the City’s computer networks, upgrading devices, and providing help desk service to employees. The current contract provides the City with 32 hours of support per week (4 days) at a rate of $14,980 per month, or $179,760 per year.
Infinity Technologies has provided excellent information systems and technology expertise and is committed to delivering an IT service model that addresses the City’s immediate needs while remaining adaptable to future challenges. With a budget-conscious approach, Infinity Technologies has provided key guidance and identified critical needs while also implementing cost-effective solutions for the City’s short-term priorities and initiatives. The company completed significant technological infrastructure upgrades, including the City’s VoIP telephone system. Infinity Technologies also implemented numerous layers of protection to safeguard the City’s networks through premier cybersecurity administration. Additionally, Infinity Technologies partnered with the City’s Council Video/Audio vendor to complete the implementation of technology improvements for the City Council Chambers and worked with the Police Department’s radio system and body-worn and in-car camera system vendors to complete the implementation of its new operational systems.
Analysis
Over the past few years, the City’s technology needs increased. The City has undertaken several new projects and addressed prior technology deficiencies that brought the organization to modern standards and operational practices. These efforts have required additional and sustained support from Infinity Technologies beyond the terms of the initial contract. After a review of staff time, Infinity Technologies determined that supplementary support resulted in an average of 170 support hours per month from January through August 2024. This increase is due to Infinity Technologies providing ongoing support for several new software implementations and newly installed operating systems for the city-wide operations including the Police Department. Given the existing workload, new/upgraded software systems, and the need for enhanced cybersecurity services, staff recommends an increase in the base contract to 40 hours (5 days) per week. The proposed amendment would result in an annual cost increase of $42,240.
As summary of the original agreement for term and compensation as agreed upon in the current Professional Consultant Services agreement (Agreement) between Infinity Technologies and the City are noted below:
I. Section 3.1.2 Term: The term of the Agreement is from December 1, 2022, to December 1, 2025, with automatic renewal up to three consecutive years and the option to extend the contract for an additional two one-year terms.
II. Section 3.3.1 Compensation: Total compensation will not exceed $179,760 per year.
III. Exhibit “A” Scope of Services: Scope of Services remains unchanged.
IV. Exhibit “C” Compensation:
a. Monthly Professional Services will be provided at the Tier II service level, which includes a Technician on-site 32 hours (4 days) per week, 148 hours monthly.
b. Hourly Rate Schedules for services remains unchanged.
The original agreement included 32-hour (4-day) on-site presence per week to handle critical issues, oversee system support, and serve as a technology advisor for General City operations and the Police Department. However, due to increased support needs, staff believes that additional hours are necessary to provide ongoing support for the City and the Police Department. This ongoing work includes remote help desk assistance, on-site technician support, and on-site network engineering activities. Additionally, there are upcoming special projects, listed below, that will require additional support:
1. Laserfiche SQL server
2. Police Department server
3. Firewall and Access Point installation
4. Public Works SCADA Improvement project support
5. Cell Phone Set Up and Deployment
6. Computer/Equipment/Internet move for City Hall Renovation
Since the inception of the contract, Infinity Technologies has provided comprehensive services that have been invaluable to the City. The company’s extensive knowledge and superior service extend beyond routine network operations, as demonstrated by the achievements outlined above. Over the past two years, Infinity Technologies has consistently proven to be a valuable resource, providing solutions and recommendations for new software and hardware systems throughout the City. Given this track record, staff recommends an extension of the contract term through December 1, 2028.
Staff would like to highlight the importance of the City’s partnership with Infinity Technologies and recognize their exemplary work over the past two years. To ensure continued support that meets current demands and service levels, staff recommends extending their contract and increasing the contract amount to match work demand and current service levels.
Reviewed for Fiscal Impact:
_________________________
Sharon del Rosario
Attachments:
A. Infinity Technologies: First Amendment to Agreement
B. Budget Adjustment Resolution
C. Exhibit A - Summary of Budget Adjustments
D. 2022 Agreement