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Budget committee backs ConvergeOne enterprise agreement for Cisco gear with LBE provisions
Summary
The committee recommended that the Board of Supervisors approve a citywide enterprise agreement with ConvergeOne for Cisco products and services (not-to-exceed $65 million, up to seven years), adding a 20% LBE goal for professional services and a $5 million targeted LBE opportunity; staff estimated roughly $2 million in annual savings.
The Budget and Finance Committee voted on Oct. 30 to move to the full Board with a positive recommendation an amended resolution authorizing an enterprise agreement between the city and ConvergeOne for Cisco products and services.
Chief information officer Linda Gural (presenting) described a competitive RFP that selected ConvergeOne as the top-scoring reseller and outlined a contract structure with a three‑year initial term and two two‑year extension options (a potential seven‑year total) and a not‑to‑exceed amount reported in the file of $65,000,000. Gural said the city’s historical annual spend on Cisco products is about $10,000,000 and that the enterprise approach would consolidate purchases across departments to gain deeper discounts and procurement efficiency.
Gural said the amended contract includes provisions to increase opportunities for local businesses: a 20% goal for professional services for Local Business Enterprises (LBEs) and a separate process to make an additional $5,000,000 in work available to LBEs over the term. “We’re expecting a savings of $2,000,000 a year with this enterprise agreement,” she said.
Sarah Campbell of the Budget Analyst’s Office summarized the financial rationale, noting the discounts are driven by volume and that the Board’s authorization of the full spending authority for the seven‑year term enables those discounts; the BLA recommended approval. Deputy City Attorney John Gibner told the committee the amendments were not substantive and could be adopted without triggering legal issues for committee action.
Chair Sandra Lee Fewer moved approval of the amendment and to forward the item to the full Board with a positive recommendation; the motion was taken without objection.
Next steps: the committee forwarded the amended resolution and contract to the full Board of Supervisors for consideration.
