Submitted By: Lourdes Ramos
presenter
Presentation By: Mel Poole
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Department: Ocala Fiber Network
STAFF RECOMMENDATION (Motion Ready):
title
Approve expenditures under contract with CenturyLink/Lumen Technologies for internet bandwidth/metropolitan area network circuits for the City and its customers in the amount of $293,063
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OCALA’S RELEVANT STRATEGIC GOALS:
Economic Hub
PROOF OF PUBLICATION:
N/A
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BACKGROUND:
Ocala Fiber Network (OFN) purchases Lumen Metropolitan Area Network (Metro Ethernet) circuits to resell to several key account customers, including government agencies, community anchor institutions, and emergency/first responder agencies. These circuits provide interconnectivity to customers in areas where OFN cannot extend its infrastructure.
Historically, individual connections have been billed in separate segments as determined by Centurylink Sales Solutions, Inc. (“CenturyLink”) based on connection type and location. Since Fiscal Year 2019, expenditure tracking has been captured under the following five Munis contracts:
|
CONTRACT NO. |
FY2019 |
FY2020 |
FY2021 |
FY2022 |
FY2023 |
FY2024 |
TOTAL EXPENDITURE BY CONTRACT |
|
TEL/13-002 |
84,102.20 |
81,872.57 |
78,492.00 |
69,687.71 |
111,773.18 |
118,052.94 |
$543,980.60 |
|
TEL-16-253 |
53,533.22 |
54,653.88 |
54,653.88 |
48,499.52 |
13,339.08 |
12,076.13 |
$236,755.71 |
|
TEL/17-208 |
160,216.97 |
193,356.20 |
167,527.87 |
113,019.36 |
114,961.07 |
109,668.76 |
$858,750.23 |
|
TEL/17-310 |
19,282.91 |
26,290.41 |
38,117.54 |
8,640 |
8,640 |
8,640 |
$109,610.86 |
|
TEL/17-314 |
29,274.36 |
30,000 |
30,000 |
30,000 |
27,500 |
30,000 |
$176,774.36 |
|
TOTAL BY FY |
$346,409.66$386,173.06$368,791.29$269,846.59$276,213.33$278,437.83 |
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In October 2023 and December 2024, in accordance with Procurement Policy No. PRO-070, Article III - Emergency or Critical Procurements, OFN sought authorization to process change orders on an emergency basis under each of the foregoing contracts to allow for payment of outstanding invoices for this critical purchase.
Resolution 2020-22 requires change orders above the City Manager’s limits of approval to be brought to City Council for approval. According to Procurement Policy PRO-070, an emergency is defined as a situation where there is an urgent need for services, and requiring standard competitive procedures would disrupt essential City operations. Any items authorized under this condition must be included as agenda items at the next available Council meeting.
The purpose of this Item is to seek Council approval for Fiscal Year 2025 expenditures and to satisfy the notice requirements of both Resolution 2020-22 and Procurement Policy PRO-070.
FINDINGS AND CONCLUSIONS:
For the sake of efficiency in the methods utilized to monitor and categorize expenditures for Metro Ethernet circuits moving forward, OFN will consolidate payments for this service under a single contract each Fiscal Year (Contract No. OFN/250258). Staff anticipates the City will expend approximately $293,063 to cover Metro Ethernet circuit expenditures during Fiscal Year 2025.
FISCAL IMPACT:
Funding for this agreement is available in Fiscal Year 2024-25 in account 490-031-290-539-53-34050 Other Services - Fiber For Resale.
PROCUREMENT REVIEW:
The underlying exception requests, approvals, and emergency authorizations are attached hereto.
LEGAL REVIEW:
The underlying agreements have been approved as to form and legality by the City Attorney.
ALTERNATIVE:
• Approve with Changes
• Table
• Deny