HomeMy WebLinkAboutAgenda Statement 1986/02/04 Item 15 COUNCIL AGENDA STATEMENT
Item 15
Meeting Date 2/4/86
ITEM TITLE: Resolution /P 3 to. "7' Authorizing the purchase of computer
memory and disk, appropriating the necessary funds, and
waiving further bidding requirements
SUBMITTED BY: Director of Management Services of,
Director of Finance
REVIEWED BY: City Manager (4/5ths Vote: Yes X No )
During August 1984, the City purchased its current Burroughs B-2925 mainframe
computer with the intent of being able to upgrade its capacity as the demands
on it grew. As more automation is occurring within the City and its six
outside users, the point has already been reached when the computer' s capacity
should be expanded by adding more memory and disk storage in order to meet the
various users' needs and better take advantage of the computer' s potential
capability.
RECOMMENDATION: That Council adopt the resolution:
1 . Authorizing staff to negotiate and sign an agreement with Burroughs
Corporation for the purchase of 1 megabyte of computer memory at a
cost not to exceed $12,600 including tax, delivery, installation, and
maintenance.
2. Authorizing staff to negotiate and sign an agreement with React
Corporation for the purchase of 400 megabytes of disk storage at a
cost not to exceed $15,500 including tax and delivery.
3. Authorizing staff to contract with Burroughs Corporation for the
installation and maintenance of the 400 megabytes of disk at a cost
estimated at $3,000.
4. Appropriating $31 ,000 from the unappropriated General Fund reserve to
effect the above transactions.
BOARDS/COMMISSIONS RECOMMENDATION: Not applicable.
DISCUSSION:
The B-2925 is the smallest computer in Burroughs' line of medium-sized
mainframes. The City's current version is configured with the smallest
increment of memory and disk possible. It is equipped with one megabyte of
memory but is expandable to 5 megabytes of memory. It has 400 megabytes of
disk and is upgradable to 20 times that. This request is for the minimum next
steps up, one more megabyte of memory and 400 more megabytes of disk.
Page 2, Item 15
Meeting Date 2/4/86
During the course of preparing the FY 1985-86 budget, staff anticipated that
the requested equipment would not be needed until FY 1986-87. However,
several situations have occurred which have utilized virtually all the memory
and disk capacity on the City's mainframe and have thus accelerated
requirements for the proposed equipment purchase. This is largely an
indication of the success of automation within the City and our outside users
and is consistent with the original plan of purchasing an upgradable computer
and adding capacity to it as needed.
Recently implemented computer applications which have absorbed a significant
amount of memory and disk capacity include: an on-line vehicle theft system
for the Police Department; business license systems for Imperial Beach and
Coronado; an enhanced on-line security system recommended by the City's
auditor; and an automated tape library for Data Processing. Three more
systems are being completed that will require the additional memory and disk
for full implementation: an on-line Sanitainer billing system; an on-line
legislative history system for the City Clerk; and the City' s on-line vehicle
fueling system. Other systems planned for future programming and
implementation include: on-line fixed assets for Chula Vista, Imperial Beach,
and Santee; a status report system for City Administration; and a large
maintenance management system for Public Works.
Furthermore, the lack of additional memory is reducing efficiency and creating
vulnerability in the computer system. Nine months ago, we were using the then
current version of operating system software provided by Burroughs, but now we
are three versions behind. The reason for this lag is that the newer enhanced
versions require significantly more memory and the City currently simply has
none to spare. The current version of operating system software offers the
advantage of being faster and providing more human efficiency, but at the
expense of requiring more memory. Newer releases of operating system software
assume this philosophy, and we need to plan on adding more memory in the
future. To remain several versions behind in the operating system software
releases creates a vulnerability because Burroughs only supports the latest
version. Thus, if there is a computer problem related to the operating system
software, the City will have to upgrade to the current operating software
before Burroughs will correct the problem. This is a common practice within
the industry. If the proposed memory is purchased, we will be able to upgrade
to the latest version of the operating system software.
Waiting to purchase the proposed equipment until FY 1986-87 would mean that
virtually no new programs could be implemented and little programming of new
systems could be accomplished during the remainder of FY 1985-86. For
implementation and programming to move forward without purchasing the proposed
equipment, work hours for both users and data processing staff would have to
be spread out over two shifts. This would be difficult enough for City staff
in the various user departments, but would be impossible without jeopardizing
the City's relationship with our outside revenue-producing users.
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Page 3, Item 15
Meeting Date 2/4/86
The proposed computer memory is only manufactured by Burroughs Corporation,
but it is sometimes available as used equipment through secondary dealers.
After checking with several used dealers and Burroughs, staff has found that
the cost for new memory from Burroughs will be approximately the same as that
for used memory from a dealer. Burroughs can provide prompt delivery, but
delivery is indeterminable through secondary dealers. Therefore, staff
recommends purchasing the computer memory from Burroughs.
Although the needed model of disk drive was made by Burroughs Corporation, it
is now only available as used or reworked equipment. After checking with
several used dealers and Burroughs Corporation, it is recommended that the
disk be purchased from React Corporation rather than from Burroughs for a
savings of approximately $3,000. React will provide a Burroughs maintenance
certificate for the disk drive so that it can be maintained locally by
Burroughs. React is a dealer in San Mateo that, in addition to their other
products, markets used Burroughs equipment. They do not have a local
maintenance staff and must rely on Burroughs to maintain the equipment that
they sell . The disk drive is available immediately from React, but it may
take up to three months for Burroughs to deliver it.
Based on the above results of staff' s informal bidding process, it is
recommended that further bidding requirements be waived. Staff believes it
has identified the best combinations of low price and quick delivery of the
computer memory and disk.
FISCAL IMPACT:
The estimated total cost for the purchase, installation, and maintenance of
the proposed computer memory and disk is $31 ,000. It is recommended that this
amount be appropriated from the unappropriated General Fund reserve to the
Data Processing Other Equipment account. As indicated in the version of this
agenda item that was withdrawn from the agenda at the January 28 Council
meeting, staff expects to achieve expenditure savings in other areas of the
FY 1986-87 Management Services budget that should offset the additional cost
of the computer equipment.
The purchase of this computer equipment will allow the improvement and
expansion of service to several of the City' s outside Data Processing
customers. While the billing systems in use do not provide for a direct
reimbursement to the City for a specified part of the cost of the proposed
equipment, the flat charges the customers pay for each of the various services
they receive will have the effect of helping pay for the equipment.
WPC 0076J
by 1t e City Council of
Chula Vista, California
Dated "9/`f ! '°