Label
Office 365
Department of Information Technology
Anne Bennett (x1493)
Title
Authorizing the Mayor to enter into a one-year software-as-a-service agreement with the option to renew for up to four consecutive one-year terms for Office 365; authorizing the appropriation and expenditure of funds for Office 365 and related data migration from the Information and Communications Technology Fund; waiving the competitive bidding requirements of Toledo Municipal Code Chapter 187; and declaring an emergency.
Body
SUMMARY & BACKGROUND:
The City’s existing Microsoft Exchange email system is outdated and presents security vulnerabilities. The current Microsoft email offering, Office 365, is delivered in a SaaS model and includes entitlements to the full suite of Microsoft Office products (Outlook, Word, Excel, PowerPoint, etc.) along with other messaging and collaboration tools.
The Department of Information Technology has been planning to utilize approved Capital Improvement Fund dollars to cover the migration to O365 and a five-year subscription for up to 2600 employees. However, Microsoft will not enter into a five-year license agreement and therefore the Capital Improvement Fund is not able to be used for this purchase.
This Ordinance authorizes the appropriation and expenditure of funds in the Information and Communications Technology Fund to cover this critical Microsoft email migration and subscription to Office 365.
Summary
NOW THEREFORE Be it ordained by the Council of the City of Toledo:
SECTION 1. That the Mayor is authorized to enter into a one-year software-as-a-service agreement with the option to renew for up to four consecutive one-year terms for Office 365, upon terms and conditions acceptable to the Director of Law and the Director of Information Technology.
SECTION 2. That the appropriation of $500,000 is authorized in the Information and Communications Technology Fund to Account Code 7084-17500-1144007ITSAAS and the expenditure of same is authorized for the purpose identified in Section 1.
SECTION 3. That the appropriation of $91,905 is authorized in the Information and Communications Technology Fund to Account Code 7084-17500-1144004ICTADM and the expenditure of the same is authorized for the migration of data from the Microsoft Exchange to the Office 365 SaaS environment.
SECTION 4. That the appropriation of $591,905 is authorized from the funds and in the amounts identified in the attached Schedule A for the chargeback of the internal service fund costs identified in Section 2 and that the revenue estimate for the Information and Communications Technology Fund is increased in the amount of $591,905 to reflect said chargebacks.
SECTION 5. That subject to annual appropriations the annual expenditure of funds for Office 365 is authorized over the term of the agreement authorized in Section 1 from the Information and Communications Technology Fund Account Code 7084-17500-1144007ITSAAS.
SECTION 6. That this Council finds and determines it is in the best interest of the City to waive the competitive bidding requirements of Toledo Municipal Code Chapter 187 for the reason that maintaining the Microsoft suite of products is cost effective and ensures minimal disruption for all end users.
SECTION 7. That the Finance Director is authorized to draw their warrant or warrants against the above-mentioned Account Code in amounts not to exceed those authorized above in payment of the obligations authorized above upon presentation of the proper voucher or vouchers.
SECTION 8. That this Ordinance is declared an emergency measure and shall take effect and be in force from and after its passage. The reason for the emergency lies in the fact that this Ordinance is necessary for the immediate preservation of the public peace, health, safety and property, and for the further reason that this Ordinance must be immediately effective in order for the City to update the City’s email system to increase security and reduce vulnerabilities.
Vote on emergency clause: yeas 11, nays 0.
Passed: March 25, 2025, as an emergency measure: yeas 11, nays 0.
Attest:
Julie A. Gibbons Carrie Hartman
Clerk of Council President of Council
Approved: March 26, 2025
Wade Kapszukiewicz
Mayor