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Imperial City council approves $259,468 purchase of replacement data-storage cluster
Summary
The City Council voted 3-0 to authorize a $259,468 purchase of a new data-storage cluster to replace a 2019 unit reaching end-of-support, citing rapid price increases tied to demand for AI servers and using IT reserves approved in 2020.
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The Imperial City Council voted 3-0 to approve the purchase of a replacement data-storage cluster, authorizing staff to spend $259,468 from the city’s IT reserves.
Alejandro Estrada, who presented the request, told the council the city’s existing cluster — bought in 2019 — is scheduled to reach end-of-support in August and that rapid market changes prompted an early purchase. "The cost of this technology has increased by more than 70% in the last 3 months," Estrada said, noting vendors including Dell, HP and Cisco face the same pricing pressures. "Therefore, we request your approval to proceed with the purchase of this new cluster in the amount of $259,468 using the IT reserves."
Estrada said staff had evaluated payment options with the finance director but recommended proceeding now to avoid further price increases. The council recorded a motion to approve the purchase (motion by Tucker, second by Amparano), conducted a roll-call vote and recorded the outcome as 3-0 in favor.
According to Estrada, the purchase will be funded from IT reserves that the council previously approved on Nov. 17, 2020; he said the request is intended to replace equipment that will soon be unsupported rather than draw from the general fund. City staff indicated vendors could not guarantee when the current price trend would ease.
Next steps: staff will finalize vendor selection and procurement paperwork so the replacement cluster can be ordered and installed before the existing unit reaches end-of-support.

