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Board approves on-premise Mitel phone system to limit ongoing operations costs

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Summary

The Lebanon Community School Corp board voted to replace the district telephone system with an on-premise Mitel system to limit ongoing annual service charges, rather than a higher-cost cloud alternative.

Lebanon Community School Corp voted on March 18 to purchase a new Mitel on-premise telephone system to replace equipment last purchased in 2006 and to limit recurring operations-fund service costs.

District staff said vendors quoted both on-premise (locally hosted) and cloud-hosted options. The on-premise Mitel solution carried a five-year service cost estimated at $18,000 per year; cloud-hosted alternatives were quoted at roughly $45,000 per year. The total procurement is just over $274,000; district staff said approximately $171,000 of that will be paid from bond proceeds and the remainder from the operations fund to cover service charges that bond counsel determined may not be paid from debt proceeds.

Why it matters: District administrators said choosing the on-premise solution reduces projected ongoing operations-fund spending compared with the cloud option and protects limited ongoing revenue amid uncertain state funding. Staff also noted the chosen phones can be migrated to cloud services in the future.

Board action The board approved the purchase and five-year service agreement with Mitel by voice vote. District staff said the new phones will be placed in every existing classroom and office and in the additional rooms added at the new Central Elementary building.

Ending: Staff said adopting the on-premise system allows the district to defer a separate purchase of new transportation routing software from the operations fund by one year, and that the phones will support future cloud migration if desired.