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02-03-2004 - Award of Bid for Telephone System MaintenanceCity of `4flest Covina Memorandum TO: Andrew G. Pasmant, City Manager AGENDA FROM: Clay E. Durbin, Communications Director ITEM NO. B-3a DATE February 3, 2004 SUBJECT: AWARD OF BID FOR TELEPHONE ®PRINTED ON RECYCLED PAPER SYSTEM MAINTENANCE RECOMMENDATION: It is recommended that the City Council accept the bid of Trans -West Network Solutions in the amount of $15,006 per year to provide maintenance of the City Telephone System for a five (5) year period, and authorize the Mayor and City Clerk to execute the contract. DISCUSSION: Current contracts to provide maintenance service of the City's telephone system expire on July 22, 2004. The City declined to execute a long-term maintenance agreement .offered by the vendor which installed the system in 2002. As a result, upon expiration of the warranty in July 2003, the City had to purchase maintenance services on each separate piece of equipment. The equipment consists of three (3) separate PBX's, the Voice Mail System and the Call Accounting System. By purchasing maintenance services separately for each piece of equipment the one-year cost has been approximately $34,000. In an attempt to obtain maintenance services for the telephone system at a lower cost, the Communications Department developed an RFP soliciting proposals for a vendor to provide a complete bundled maintenance program for the Mitel PBX's, Captaris Voice Mail System (AVST), and the WinCall Accounting System. The RFP was published in the Tribune on November 3, 2003 and copies. mailed to fourteen (14) telephone vendors who offer Mitel maintenance services. On December 9, 2003, the following four (4) bid responses were received and opened. 1. Interactive Data/Telephone a. Fixed monthly cost: $13,51.2 b. Hourly rate for non -contract services: $45 to $135 2. Trans -West Network Solutions a. Fixed monthly cost: $15,006 b. Hourly rate for non -contract services: $48 to $90 3. Data Plus Communications a. Fixed monthly cost: $25,412 b. Hourly rate for non -contract services: $90 to $135 4. Standard Telephone a. Fixed monthly cost: * $27,312 b. Hourly rate for non -contract services: $96 to $304 *Adjusted down by $1,050 which is billed directly to client for Call Accounting Software support. Was included in STI bid. The bids were reviewed by staff and the bid submitted by Interactive Data Telephone was rejected as non -responsive to bid requirements. The bid submitted by Trans -West Network Solutions for $15,006 was found to meet RFP specifications and the City's telephone maintenance needs. References of Trans -West were checked and all contacts indicated they were satisfied with Trans -West's service and recommended them as a qualified maintenance provider based on their experience with the company. Page Two Award of Bid for Telephone System Maintenance Acceptance of this bid will reduce the telephone maintenance cost by $19,000 per year compared to what the City is currently paying. This bid is also $10,000 less per year than the next lowest qualified bid. FISCAL IMPACT: Annual fixed cost will be $15,006. Hourly labor for non -contract service is estimated to cost approximately $7,000. Funds will be included in the FY2004-05 budget request. C1 Durbin Co munications Director CED:plp