05 Attachment 2 - TMAuthority.Memo.IT.SoftwareONE M E M O R A N D U M
Town Manager’s Office
PREPARED BY: Holly Zappala
Management Analyst
Reviewed as necessary: Town Manager, Assistant Town Manager, Town Attorney, Finance Director
110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832
www.losgatosca.gov
TO: LAUREL PREVETTI, TOWN MANAGER MAYOR REVIEW 7/22/20
FROM: CHRIS GJERDE, IT MANAGER
SUBJECT: MICROSOFT SOFTWARE LICENSING
SOFTWAREONE
DATE: June 30, 2020
RECOMMENDATION:
It is recommended that the Town Manager purchase Microsoft software licensing from
SoftwareONE in an amount not to exceed $63,872.56.
BACKGROUND:
The Fiscal Year 2020/21 Operating Budget anticipated the annual renewal of Microsoft
software licensing in the Town’s Information Technology Budget Operating Expenditures line.
Generally, the Town Council does not review routine software licensing purchase requests;
however, as software usage has increased and since the combined purchase price for these
licenses exceeds the Town Manager’s purchasing authority of $50,000, this purchase requires
Council approval pursuant to the Town Purchasing Policy.
DISCUSSION:
This Microsoft software purchase includes annual licensing for server operating systems, server
management, server applications, the Office suite, and security software on both staff desktops
and in the cloud.
In accordance with the Town Purchasing Policy Section 7c regarding Cooperative Purchasing,
the prices for Microsoft software license renewals are negotiated by the County of Riverside
and sold by volume licensing partner SoftwareONE. Most California agencies, from large ones
ATTACHMENT 2
PAGE 2 OF 2
DATE: June 30, 2020
SUBJECT: MICROSOFT SOFTWARE LICENSING
SOFTWAREONE
DISCUSSION (continued):
such as the Department of Motor Vehicles, to small cities and special districts, use this
purchasing arrangement to obtain the best prices.
The Town’s current Volume Licensing Agreement is valid through June 30, 2022. The
agreement has no monetary value and is a means of securing pricing. SoftwareONE is the
vendor the Town purchases the license through, and the agreement is with Microsoft.
An interruption in Microsoft licensing software would halt the daily computer operations of
Town staff.
CONCLUSION:
Staff recommends that the Town Manager purchase Microsoft software licensing from
SoftwareONE for FY 2020/21 in an amount not to exceed $63,872.56.
COORDINATION:
The Finance Department, IT, and Town Manager’s Office coordinated this report.
ENVIRONMENTAL ASSESSMENT:
This is not a project defined under CEQA and no further action is required.
FISCAL IMPACT:
There are sufficient funds available in the IT budget to purchase these software licenses.
Attachments:
1. SoftwareONE Invoice
2. Volume Licensing Agreement