This item was approved at the June 8, 2017 Council meeting for the purchase of five Dell PowerEdge R730 Servers from a certified reseller, Zones Inc., in the amount of $44,087.85. When the vendor was notified of the contract award, it notified the City that the pricing of the equipment from Dell has changed since the bid was initially submitted on April  25, 2017, and the vendor would not be able to honor the purchase price of $44,087.85. The revised price offered by Zones is $49,536.35 which is an increase of $5,448.50 over the initial bid amount.

Dell is the manufacturer of the equipment and does not sell directly to customers. Dell goes through certified resellers who sell to customers. Dell’s pricing change applies to all certified resellers.

With this increase, Zones, Inc. is still the lowest responsive bidder.

This equipment is needed to move forward with the planned move of the City’s Data Center to the Critical Workforce Shelter.

Approval