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CC - Item 4H - Purchase of Annual Microsoft Office 365 Licensing and Microsoft Entra ID Premeum 2 LicensingROSEMEAD CITY COUNCIL STAFF REPORT TO: THE HONORABLE MAYOR AND CITY COUNCIL FROM: BEN KIM, CITY MANAGER fA,�- DATE: NOVEMBER 12, 2024 SUBJECT: PURCHASE OF ANNUAL MICROSOFT OFFICE 365 LICENSING AND MICROSOFT ENTRA ID PREMIUM 2 LICENSING SUMMARY In light of recent numerous incidents of ransomware and other security incidents targeting government entities, the City of Rosemead ("City") has a need to preserve its security posture relative to accessing City computers and business systems. After a thorough analysis of the options, the Information Technology (IT) Division believes the Microsoft Entra ID Premium 2 licensing provides the best value and functionality to meet the City's security needs. The proposed quote is in the amount of $46,200 for the purchase of annual Microsoft Office 365 renewal licenses ($33,180) and Microsoft Entra ID Premium 2 renewal licenses ($13,020.) The IT Division holds responsibility for securing the City's business and information systems, including sensitive personal information, financial information relating to both the City and constituents, employee protected health information and other sensitive and legislatively protected information sets. Consequently, as the threat to local government entities continues to increase, the IT Division identifies ways to reduce the risk of compromise and potential data breaches. After using the software for the past year, the IT Division has confirmed that the Microsoft Entra ID Premium 2 product provides necessary security and control measures for user accounts within the City's Microsoft tenant. The annual Microsoft Office 365 licensing expires on December 9, 2024, and is required to enable City Staff to continue to utilize the Microsoft Office Suite applications. The proposed quotes (Attachment A) are for both the annual renewal of the Microsoft Office 365 licensing and Microsoft Entra ID Premium 2 licensing. AGENDA ITEM 4.11 City Council Meeting November 12, 2024 Page 2 of 2 Price quotes were provided from the following: Authorized Retailer Microsoft Office 365 Microsoft Entra ID P2 Total Cost (140 Oty.) (140 Oty.) Intelli-Tech B&R Fusion Connect $33,180 $13,020 $46,200 $39,463 $13,608 $53,071 $34,776 $13,608 $50,400 The most cost-effective quote was provided by the authorized retailer Intelli-Tech in the amount of $46,200. STAFF RECOMMENDATION It is recommended that the City Council authorize the City Manager to execute the purchase of the annual Microsoft Office 365 licensing and Microsoft Entra ID Premium 2 licensing with Microsoft via the authorized retailer Intelli-Tech in the amount of $46,200. FISCAL IMPACT Expenses in the amount of $46,200 will be covered by the budget allocated to the Information Technology Division for Fiscal Year 2024-25. STRATEGIC PLAN IMPACT None. PUBLIC NOTICE PROCESS This item has been noticed through the regular agenda notification process. Prepared & submitted by: chard Rojas Assistant City Manager Attachment A: B&R Business Solutions Proposed Quote Attachment B: Fusion Connect Proposed Quote Attachment C: Intelli-Tech Proposed Quote Attachment A B & R Business Solutions Proposed Quote B&R Business 5 0 L u r 1 0 s 5 QUOTATION 524 Brighton Ave. Unit 2, Spring Lake, N107762 Phone: 732.845.5002 Fax: 732.845.8145 bandrsolutions.com Ship To/Bill To: Quote Number: Quote Date: City of Rosemead 2024-0073 October 14, 2024 8838 East Valley Boulevard Contact: Quote Expiration: Rosemead, CA 91770 Abraham Parra October 31, 2024 City of Rosemead - Microsoft 365 Licenses - Annual Commitment QTY DESCRIPTION BILLED TERM RATE TOTAL 140 Microsoft Entra ID P2 Monthly 1Y $8.10 $1,134.00 140 Microsoft Teams Enterprise Monthly 1Y $4.77 $667.80 140 Office 365 E3 (no Teams) Monthly 1 Y $18.72 $2,620.80 TOTAL $4,422.60 Terms of this quotation are dictated by the B&R Business Solutions Cloud Services Agreement. Attachment B Fusion Connect Proposed Quote fUS& connect._ Customer Account Information City Of Rosemead 8838 E VALLEY BLVD, ROSEMEAD, CA, 91770-0000 CSP Quote: QUO -01373-W51321)1 Date: 10/18/2024 Quote Valid Through: 11/17/2024 QTY Term Price Term Total Activation Date Microsoft Services Microsoft Entra ID P2 - Annual Term, Monthly Billing 140 $97.20 $13,608.00 12/09/2024 Office 365 E3 -Annual Term, Monthly Billing 140 $248.40 $34,776.00 12/09/2024 Microsoft Copilot for Microsoft 365 -Annual Term, Annual Billing 140 $360.00 $50400.00 12/09/2024 Total: 1$98,784.00 Terms for Microsoft cloud services. Additional terms governing the use of Microsoft Cloud Services are set forth in the Fusion Connect Microsoft Cloud Services Addendum available at www.fusionconnect.com/legal. Pricing from Microsoft is subject to change. In the event of an increase in price prior to installation, Customer may cancel without early termination fees. 2024 Fusion Connect. Inc. All rights reserved. Service Order: 715285-1 Page 4 of 6 Attachment C Intelli-Tech Proposed Quote QUOTATION /NTELL/-TECH 1652 Yeager Avenue - La Verne, CA 91750 phone (909) 394-5188 /fax (909) 394-5190 www.intelli-tech.com Abraham Parra City of Rosemead 626-569-2192 8838 East Valley Blvd Rosemead, CA 91770 Attn: Accounts Pava BB38 East Valley Blvd Rosemead, CA 91770 1 1 140 I COLFBR-0001-1Y I NCE MS Office365 (Plan E3) Lic, Annual 1 -Yr Renewal Contract Dates: 12/10/24 -12/9/25 2 1 140 1 COLFK5-0001-1Y I NCE MSEntra ctIDat2 Lic 2/6/24Annual ,-2Y/Yr7 Renewal Contraal 10/25/24 1 AP1O2524A-PR Account Manager - Pamela Rumph 909-394-SlSS x1207 TeamPam(@intelli-tech.com Inside Sales - Sandy Nguyen Net 30 Freight Email 1 $ 237.00 1 $ 33,180.00 Email 1 $ 93.00 1 $ 13,020.00 Sub -total $ 46,200.00 Grand Total $ 46,200.00