2012-28056 Reso RESOLUTION NO. 2012-28056
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, WAIVING BY 5/7THS VOTE, THE FORMAL
COMPETITIVE BIDDING REQUIREMENT, FINDING SUCH WAIVER TO BE IN
THE IN THE BEST INTEREST OF THE CITY,AND AUTHORIZING THE CITY
MANAGER, TO NEGOTIATE AND EXECUTE AN AGREEMENT WITH
TERREMARK NORTH AMERICA INC.,IN THE NOT TO EXCEED AMOUNT OF
$328,560, FOR A PERIOD OF ONE (1) YEAR, TO PROVIDE INTERNET
ACCESS, MANAGED ROUTER SERVICES,AND HARDWARE COLOCATION
SPACE AT THE NETWORK ACCESS POINT (NAP) OF THE AMERICAS
DATA CENTER FACILITY.
WHEREAS, the Information Technology (IT) Department requires the continued use of
Terremark North America, Inc., site as part of the City's Disaster Recovery program to provide
internet access, managed router services and hardware collocation space at the Network Access
Point(NAP)of the Americas Data Center facility; and
WHEREAS,this space, consisting of 100 and 260 square feet of hardened Category 5 rated
co-location space, and its associated network connectivity serve, as an off-site disaster recovery
and production data center location for the City's critical server/network, and public safety
infrastructure; and
WHEREAS,the contracted services will also provide for the City's overall connectivity to the
internet; and
WHEREAS, the IT Department has been using the Terremark North America, Inc., site for
the past three(3)years, as authorized by a piggyback memo, utilizing Miami-Dade County Contract
No. 7662-4/10,for Internet Access and Managed Router Services, (as it offered discounted rates);
and
WHEREAS,the City can no longer piggyback on the County contract,as the Board of Miami-
Dade County Commissioners authorized the continued use of such contract as a bid waiver which
is not permissible and the City Code only allows the piggyback of competitively bid contracts; and
WHEREAS, the Administration recommends that the Mayor and City Commission hereby
waive, by 5/7ths vote, the formal competitive bid process, and authorize the City Manager, to
negotiate and execute an agreement with Terremark North America, Inc., in the not to exceed
amount of$328,560,for a period of one(1)year, as part of the City's Disaster Recovery program to
provide internet access, managed router services and hardware collocation space at the Network
Access Point (NAP) of the Americas Data Center facility, finding such waiver to be in the best
interest of the City;
NOW,THEREFORE, BE IT RESOLVED BY THE MAYOR AND CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA that the Mayor and City Commission hereby waive, by
5/7ths vote,the formal competitive bidding requirement,finding such waiver to be in the best interest
of the City, and authorize the City Manager,to negotiate and execute an agreement with Terremark
North America, Inc., in the not to exceed amount of$328,560,for a period of one(1)year,to provide
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internet access, managed router services, and hardware co-location space at the Network Access
Point(NAP)of the Americas Data Center Facility.
PASSED AND ADOPTED this R/11 day of 2012.
ATTES
CIT&CLERK MAYOAR
INCORP ORATED:
Z;
CH L
APPROVED AS TO
FORM & LANGUAGE
&FnR EXECUTION
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City ttorney Date
COMMISSION ITEM SUMMARY
Condensed Title:
A Resolution Waiving By 5/7ths Vote, The Formal Competitive Bidding Requirements And Authorizing The City
Manager, Or Her Designee, To Negotiate And Execute An Agreement With Terremark North America, Inc., In An
Amount Not To Exceed $328,560, For A Period Of One (1) Year, To Provide Internet Access, Managed Router
Services And Hardware Co-location Space At The Network Access Point (NAP) Of The Americas Data Center
Facility.
Key Intended Outcome Supported:
Improve Process through Information Technology
Supporting Data(Surveys, Environmental Scan, etc.): N/A
Issue:
Shall the Commission adopt the resolution?
Item Summary/Recommendation:
The City of Miami Beach Information Technology (IT) Department has been using Terremark North America,
Inc., since 1999 for 100 and 260 square foot of hardened Category 5 rated co-location space at the Network
Access Point (NAP) of the Americas Data Center Facility authorized pursuant to a piggyback memo approved by
the City Manager for use of Miami-Dade County Contract 7662-4/10, for Internet Access and Managed Router
Services. The City can no longer utilized this contract as the Board of Miami-Dade County Commissioners
authorized the continued use of the above mentioned contract as a bid waiver, which is not permissible as a
"piggyback" per the Miami Beach City Code Section 2-369. The Code only allows us to piggyback contracts that
have been authorized pursuant to a competitive bid. Terremark North America, Inc., will extend to the City, the
same pricing that is offered to Miami-Dade County. This space at the NAP serves as an off-site disaster recovery
and production datacenter location for the City's critical server/network, and public safety infrastructure and
overall connectivity to the internet. Due to their mission critical nature, the City must secure the most reliable
services offered, which are available at the NAP. It is prudent for the City's Data Center to be located at the NAP
as the City is located in a barrier island with no facility that has this type of infrastructure suitable for this purpose.
The Administration recommends that the City Commission adopt the attached Resolution, which recommends a
waiver of the competitive bidding process, by 5/7ths vote, finding such waiver to be in the best interest of the City,
and further authorizing the City Manager, or her designee, to negotiate and execute an agreement with
Terremark North America, Inc., in an amount not to exceed $328,560, for a period of one (1) year, to provide
internet access, managed router services and hardware collocation space at the Network Access Point (NAP) of
the Americas Data Center facility.
Advisory Board Recommendation:
N/A
Financial Information:
Source of Amount Account
Funds: 1 $328,560 550-0640-000323
OBPI Total $328,560
Financial Impact Summary:
City Clerk's Office Legislative Tracking:
Sign-Offs:
art t Director s i ity Manager City anager
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AGENDA ITEM
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City of Miami Beach, 1700 Convention Center Drive,Miami Beach,Florida 33139,www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Herrera Bower and Members of the City Commission
FROM: Kathie G. Brooks, Interim City Manager x A,�/,/_
DATE: November 14, 2012
SUBJECT: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI
BEACH, FLORIDA, WAIVING BY 5/7THS VOTE,THE FORMAL COMPETITIVE BIDDING
REQUIREMENTS, FINDING SUCH WAIVER TO BE IN THE BEST INTEREST OF THE
CITY, AND AUTHORIZING THE CITY MANAGER, OR HER DESIGNEE, TO NEGOTIATE
AND EXECUTE AN AGREEMENT WITH TERREMARK NORTH AMERICA INC., IN AN
AMOUNT NOT TO EXCEED $328,560, FOR A PERIOD OF ONE (1) YEAR, TO PROVIDE
INTERNET ACCESS, MANAGED ROUTER SERVICES AND HARDWARE CO-
LOCATION SPACE AT THE NETWORK ACCESS POINT (NAP) OF THE AMERICAS
DATA CENTER FACILITY
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
KEY INTENDED OUTCOMES SUPPORTED
Improve Process through Information Technology
BACKGROUND
Terremark North America, Network Access Point (NAP) of the Americas Data Center Facility is one
of the most significant telecommunications centers in the world. The facility was the first purpose-
built, carrier-neutral Network Access Point and is the only facility of its kind located within our
immediate geographical area.
Terremark's NAP of the Americas makes Miami the only city in the U.S. where major
communications traffic from various domestic and international companies is handed off in a single
location. The NAP of the Americas is located in downtown Miami, it provides secure hosted
facilities, floor space, enterprise grade cooling and electrical power for IT systems from multiple
providers. Additionally, the NAP has the ability to self-sustain itself (due on-site fuel stores)for up to
two weeks without the need of replenishment of resources; also, they are on the priority list for fuel
replenishment during catastrophic events. The convergence of telecommunications infrastructure is
why the Federal Government and municipalities have chosen the NAP as its hosting provider. This
unique facility provides both private industry and government clients with a secure, reliable carrier-
neutral facility with direct network access to the world's major communications carriers.
The City of Miami Beach Information Technology (IT) Department,moved to the NAP Center in
2005, and acquired a 100 square foot hardened CAT5 rated co-location space for disaster
recovery.
4
As a result of a Business Continuity Analysis conducted in 2007, IT acquired an additional 260
square foot of co-located space to move all of its production IT infrastructure inclusive of data
storage equipment in order to gain the advantages and cost efficiencies associated with the superior
network connection infrastructure available there, and to safeguard certain network infrastructure as
part of its disaster recovery plan. The connectivity provided through Terremark at the NAP cannot be
`assumed by another facility without severe service disruptions and additional infrastructure costs to
the City. The implementation of overall project was a two-year endeavor which initially included the
following:
• Secured a 360 sq. ft. cage locations at the NAP;
• Secured high speed Internet connectivity for citywide internet use;
• Secured multiple network fiber connections to the NAP from multiple City Facilities for
availability;
• Configured the main networking equipment for connectivity to the City;
• Relocated the City's Internet and Intranet Web Servers to the NAP;
• Relocated.the City's Email and'Security Gateway devices to the NAP;
• Relocated all Public Safety production systems;
• Relocated all Citywide production systems;
• Relocated the City's Storage Area Network Equipment where all the City's data is stored;
• Enhanced the City's Backup and Recovery Strategy;
• Day to Day Operations of 220 Physical and Virtual Server Environments.
It is prudent to have the City's Data Center at the NAP since the City is a barrier island with no City
facility that has this type of infrastructure suitable for this purpose. Also, the City's Emergency
Operations Center(EOC) has a small IT closet where we maintain certain critical systems that would
be required in the event connectivity to the NAP is interrupted during a catastrophic event. The NAP
facility is also leveraged for EOC related activities that have been coordinated with the City's EOC
Manager. The NAP serves as a production datacenter location for the City's critical server/network,
and public safety infrastructure and overall connectivity to the internet. Due to their mission critical
nature, the City must secure the most reliable services offered, which are available at the NAP.
In addition to the physical reliability offered during and after a disaster, gaining access to the Internet
through the NAP provides the City with a level of service redundancy that it could not achieve on its
own without incurring significant costs This is the primary result of the multiple Internet Service
Providers (ISP's) that are located at the NAP, which provides. backup capability in the event of
specific ISP failure. If the City were not accessing the Internet backbone throughr this facility, it
would have to establish separate connections with multiple ISPs to obtain the level of reliability that it
currently experiences.
This co-location facility is host to the Federal government's USAF Southern Command, as well as
numerous other organizations such as Miami-Dade County and other municipalities. It is important
to note that five (5) other companies provide similar IT Disaster Recovery Services off the State of
Florida Contract; however, there hosting facilities are located out of region and are not within close
proximity to the City. The State of Florida pricing is comprised of primarily Disaster Recovery type
services which does not map to our current needs. The City is currently utilizing the existing NAP
location as its production data center for all critical City systems; as a result, it is imperative that our
data center be in close proximity to the City for support of day to day operations. In FY10/11, an
independent analysis was conducted by John D. Gardiner, a member of the Budget Advisory
Committee in which he concluded that"the pricing was excellent and hard to beat".
ANALYSIS
The City of Miami Beach Information Technology (IT) Department has been using the Terremark
North America, Inc., since 2005 authorized pursuant to a piggyback memo approved by the City
Manager for use of Miami-Dade County Contract 7662-4/10, for Internet Access and Managed
Router Services. The City can no longer utilize this contract as the Board of Miami-Dade County
Commissioners authorized the continued use of the above mentioned contract as a bid waiver which
is not permissible as a "piggyback" under the Miami Beach City Code Section 2-369. The Code only
allows us to piggyback contracts that have been authorized pursuant to a competitive bid.
Therefore, the Administration is requesting that the Mayor and Commission waive by a 517ths vote,
the formal competitive bidding requirements, finding that such waiver to be in the best interest of the
City, and authorizing the City Manager, or her designee, to negotiate, and execute an agreement
with Terremark North America, Inc., in an amount not to exceed $328,560 for a period of (1)year to
provide intemet access, managed router services and hardware co-location space at the Network
Access Point(NAP)of the Americas Data Center Facility.
Terremark North America, Inc., has committed to extend to the City, the same pricing that is offered
to Miami-Dade County for the next twelve months. However, the NAP has recently been acquired by
Verizon and is currently renegotiating contracts with GSA. Asa result, Verizon cannot extend pricing
to us beyond the 12 months but has committed to us that their GSA agreement, when completed will
be at equal or lower prices.
CONCLUSION
The Administration recommends that the City Commission adopt the attached resolution.
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