TO:
Honorable Mayor and Members of the City Council
THROUGH:
Mark Danaj, City Manager
FROM:
Bruce Moe, Finance Director
Leilani Flores Emnace, Information Systems Manager
Gwen Eng, Purchasing Manager
SUBJECT:Title
Consideration of Five-Year Fiber Optic Maintenance Agreement with Time Warner Cable with an Estimated Annual Value of $52,800 (Finance Director Moe).
WAIVE FORMAL BIDDING, APPROVE
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Recommended Action
RECOMMENDATION:
Staff recommends that City Council:
a) Waive formal bidding per Municipal Code Section 2.36.140 (waivers);
b) Approve a five-year Fiber Optic Maintenance Agreement for eight existing City facilities with Time Warner Cable with an estimated annual value of $52,800; and
c) Authorize the City Manager to negotiate and execute an agreement.
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FISCAL IMPLICATIONS:
There are sufficient funds in the Finance Department Information Systems Division Fiscal Year 2014-2015 budget for this expenditure. Adequate funds will be provided for in future budgets.
BACKGROUND:
In the mid 1990's, the incumbent cable provider, Adelphia, installed fiber optic cable throughout the City of Manhattan Beach in order to upgrade their existing facilities for their subscribers. The City was able to acquire a portion of that fiber optic cable for the City's data and voice network connectivity that connects the following City facilities:
· 1400 Highland Avenue (City Hall)
· 420/425 15th Street (Public Safety Facility)
· 1600 Manhattan Beach Boulevard (Manhattan Heights)
· 1431 6th Street (Block 35)
· 3621 Bell Avenue (City Yard)
· 1400 Manhattan Beach Blvd (Fire Station 2)
· 1601 North Valley Drive (Joslyn Center)
· 1800 N Peck Avenue (Peck Reservoir)
The City's network is mission critical and 24/7 support of the fiber network is necessary.
In 2005, Adelphia Cable became Time Warner. Since then, the City's cable franchise agreement with Time Warner Cable (TWC) has expired and was replaced with the state cable franchise. Under the state franchise, many of the responsibilities TWC had under the City franchise were eliminated, including maintenance of the City's acquired fiber. While TWC has voluntarily provided fiber support in the interim, the City needs to have on-going maintenance and emergency support available given the critical nature the network plays in City operations (the fiber is used for voice, data and video).
Any downtime can be costly and lengthy, thus, it is essential to secure the network's performance and ensure reliable connectivity between the existing City sites. Time Warner has been responsive in fiber repairs without an agreement thus far, but has advised the City that a maintenance agreement is needed before they will respond to any requests for repairs.
DISCUSSION:
A maintenance agreement with Time Warner Cable will ensure regular and consistent support and availability of fiber optic connectivity. Further, several Information Systems Master Plan initiatives are dependent upon network stability and growth. For example, the broadcast enhancement project is reliant upon fiber optic connectivity between Joslyn Center and City Hall and there is currently damaged fiber, which impacts broadcast capability. Furthermore, future projects such as the replacement telephone solution will likely utilize Voice Over Internet Protocol (VOIP) technology, which requires fiber optic connectivity.
Due to the immediate need for the Joslyn Center repairs, coupled with the need for reliable network connectivity and support, staff believes it is in the City's best interest to enter into an agreement with TWC.
Because the fiber belongs to TWC, maintenance must also be provided by TWC; the City does not have the option of contracting with a third party. As a result, staff recommends that the City Council waive formal bidding and award a five year contract to Time Warner Cable for the support and maintenance of the City's fiber network infrastructure. Further, staff recommends that the City Council authorize the City Manager to negotiate and execute a five-year contract with TWC for fiber optic maintenance.