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<br /> D~ J <br />REPORT <br /> To the Honorable Mayor and City Council <br /> From the City Manager <br />October 11, 2004 <br />Subject <br />Rejection of Bids for the Phone Switches Upgrade Project <br />Recommendation <br />Reject all bids submitted on July 14, 2004 for the Phone Switches Upgrade Project <br />Background <br />The existing phone system in the City is approximately eighteen (18) years old, and needs <br />to be replaced due to concerns over its reliability and difficulty in obtaining replacement <br />parts. Replacing this aging system will upgrade the phone system for continued reliable <br />operations. It will also allow Information Technology Division to implement new, lower <br />usage cost, advancements in telecommunications for the users in City. <br />Three bids were submitted by telecommunications vendors ATI of Emeryville, NEC of ... <br />Livermore, and Verizon of Pleasanton on July 14, 2004. In review of bids it became <br />apparent that the specifications requested by Information Technology would have resulted <br />in an incomplete system. <br />It is recommended that all bids be rejected thus allowing the Information Technology <br />division to proceed with the preparation of new bid documents, specifying a complete <br />system, for the Phone Switches Upgrade Project. <br />Alternative <br />Proceed with the project and return to City Council with the bid award for award of contract. <br />This will result in the acquisition of an incomplete inventory of equipment for this project. <br />Fiscal Impact <br />Funds in the amount of $600,000 are appropriated in the 2004-2005 Capital Improvements <br />Program Budget for the IT Voice over IP (VOIP) Project of which this is a component. <br />- /~ØL- fJY1 p~ 9fJ <br />Tóny phman Brian Ponty Ed Everett <br />IT Manager Director of Financial Services City Manager <br /> _.. -,...,.- <br />