Consider Action on a Resolution Approving a Purchase Order with Affiliated Communications Inc. for the Purchase and Installation of New Telephone System Equipment and Authorizing the City Manager to Execute the Purchase Order in an Amount Not to Exceed $128,204.28. 

The existing phone system was purchased and installed in 2013 and it has reached the end of its useful life. This item is funded out of the Information Technology Equipment Replacement Fund (ITERF). ITERF was established to accumulate sufficient resources to allow the Town to replace systems, including hardware and software, on a regular basis to be adequately responsive to the increasing demands on the network. ITERF resources are acquired through charges to the operating budgets of departments on an annual basis. Charges are calculated based on the total number of users.

The Texas Department of Information Resources (DIR) is responsible for a cooperative contracts program that enables government entities to efficiently pool their purchasing power to drive down costs. This program provides an effective procurement channel for thousands of public sector entities across Texas. DIR simplifies the procurement process for public sector entities throughout the state by releasing a Request for Proposal (RFP) and choosing vendors at the state level who can be selected by state agencies and local governments without issuing an RFP. Affiliated Communications Inc. is a DIR vendor.

Administration recommends approval.