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� /�- / <br /> �EPo�r <br /> To the Honorable May�or and City Council <br /> From the City Manager � <br /> May 9, 2005 <br /> Subject <br /> Award of Contract - Phone Switches infrastructure Upgrade Project <br /> Recommendation <br /> Approve the contract documents, waive the minor irregularities in the subject bid form, and <br /> award the contract for the Phone Switches Infrastructure Upgrade Project to the lowest <br /> responsible bidder, Nexus IS Inc. of Pleasanton, California, for the amount of $324,088.72. <br /> Background <br /> The City's phone switches located at the Main Library, Fire Station No. 9, Police <br /> Department, Fair Oaks Community Center, Red Morton Center, and Sandpiper Community <br /> Center need replacement. Phone switches allow City employees to use their phones to <br /> make internal and external phone calls using the handsets located in their work area. <br /> Almost all calls received by the City or generated by the City are routed by these switches. <br /> The need for replacement is primarily based upon two factors. First, the phone switches <br /> are approximately 17 to 20 years old. The old equipment has already experienced several <br /> individual failures thereby impacting the reliability of the phones, and consequently, the <br /> productivity of the City's employees. Replacement parts are not available from the <br /> manufacturer as these models of switches have been discontinued. Refurbished or end- <br /> of-life parts are available at a premium as the maintenance contract with the manufacturer <br /> has been discontinued in lieu of self-support. <br /> Second, the older existing infrastructure will not support the new, less expensive Internet <br /> technologies such as Voice over IP (Internet Protocol) to carry voice communications over <br /> data networks. The recently completed Network Infrastructure Upgrade Project has made <br /> the City's data networks ready to deploy Voice over IP (VoIP). VoIP allows phones to � <br /> communicate over the Internet for local and long distance calls without going through the <br /> phone company, thus eliminating phone usage charges. <br /> This is the second phase of the project. The first phase, which is 90% complete, is the <br /> replacement of all network switches located at City Hall, Public Works Services, Fire, <br /> Parks and Recreation, Police, Sandpiper Community Center, Fair Oaks Community <br /> Center, and all other outlying locations - over 25 in all. The network switches are the <br /> devices that provide data connectivity, both internal and external, to all computers in the <br /> City. <br /> Four bids were opened in the City Clerk's office on July 14, 2004, and are summarized as <br /> follows: <br />