ORDINANCE approving and authorizing contract between the City of Houston and JHC TECHNOLOGY, INC for an enterprise agreement for Amazon Web Services for the Houston Information Technology Services; providing a maximum contract amount - 3 years with two one-year options - $15,506,101.00 - Enterprise, General and Other Funds

H26505 – Approve and authorize an ordinance for a contract between the City of Houston and JHC Technology, Inc. in the amount not to exceed $15,506,101.00 for an enterprise agreement for Amazon Web Services (AWS) for Houston Information Technology Services.

Specific Explanation:

The Chief Information Officer and the Chief Procurement Officer recommend that City Council approve an ordinance for a contract between the City of Houston and JHC Technology, Inc. in the amount not to exceed $15,506,101.00 for a term of three (3) years and automatically be renewed for two (2) successive one-year terms for an enterprise agreement for Amazon Web Services (AWS) for Houston Information Technology Services.  Although the Contractor is a Texas Department of Information Resources (DIR) Go-Direct vendor, the City is expanding upon the DIR contract to include City of Houston specific terms and conditions.

The City currently subscribes to several separately contracted Amazon Web Services (AWS) platforms and this agreement will create a citywide enterprise contract for all City AWS subscriptions.  AWS provides on-demand delivery of computer power, data storage, applications, and other IT resources through a cloud services platform via the internet with pay-as-you-go pricing.  These services help departments improve reliability, deploy systems faster, and allows them to pay for what they actually use.  JHC will provide AWS hosting/cloud services and professional services, allowing the City to move applications/data into the cloud where the infrastructure has been designed and is managed in alignment with regulations, standards and best practices for storing government data.

Additionally, AWS is currently the utilized platform for the Utility Billing system for Houston Public Works, Permitting and Inspections platform Department of Neighborhood and Asset Management for Houston Airport System; with additionally planned initiatives for several departments.  As a part of the contract 24x7x365 support will be provided to the City Departments.

This initiative was presented to the Transportation, Technology and Infrastructure (TTI) Committee on May 29, 2018.

M/WBE Subcontracting:

This contract was issued with a 24% M/WBE participation goal. The vendor, JHC Technology, Inc., has designated the below-named companies as its certified M/WBE subcontractor’s:

Hire Houston First:

This procurement is exempt from the City’s Hire Houston First Ordinance. Bids/proposals were not required because the department is utilizing an Interlocal or Cooperative Purchasing Agreement for this purchase.

Fiscal Note:

Funding for this item is included in the FY19 Adopted Budget. Therefore, no Fiscal Note is required as stated in the Financial Policies.

$6,770,000.00 – (8300) Water & Sewer System Operating Fund

$3,650,000.00 – (2301) Building Inspection Fund

$1,546,000.00 – (8001) HAS Revenue Fund

$1,456,101.00 – (1002) Central Service Revolving Fund

$1,000,000.00 – (1001) Project Cost Recovery Fund

$   500,000.00 – (2302) Storm Water Fund

$   307,530.00 – (2310) Dedicated Drainage & Street Renewal Fund - (Supported by Third Party Funds: Metro)

$   151,470.00 – (2310) Dedicated Drainage & Street Renewal Fund - (Supported by Ad Valorem Tax)

$   125,000.00 – (1000) General Fund

$15,506,101.00 – Total