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Board approves $123,456.72 licensing and three-year support for city cloud storage and Office 365

5919911 · September 17, 2025

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Summary

A contract and statement of work for cloud storage and Microsoft 365 licensing, plus annual implementation and support charges, were authorized; city staff said the costs are included in the IT budget.

The Southaven Board of Aldermen voted to authorize an agreement and statement of work for cloud services, including licensing for Microsoft 365 and cloud storage, and to approve a three-year implementation and support arrangement.

City staff described the licensing cost as $123,456.72 for Microsoft 365 software licensing (the price may vary with the number of users), and an annual implementation and support fee of $30,000 per year for three years billed monthly at $2,500. The mayor noted the expense is included in the IT budget.

City staff said the cloud services will be used for city document storage to improve security and compliance with state law. “That software will be used as a service for the city, storage,” a staff presenter said during the meeting.

Alderman Hoots moved to approve the agreement; Alderman Jerome seconded. A roll call vote carried the motion.

The ordinance or contract documents will be signed by the city IT department under the authorized agreement. The city did not present a line-by-line contract in public comments at the meeting and noted license fees may vary as user counts change.