Title
Proposed Amendment No. 2
Contract No. CS-1689
AT&T Telecommunication/ WAN/ LAN/ Managed Security Services
Body
Agenda of: July 25, 2018
Item No.: 2018-820
Amount: $60,000,000
TO: The Honorable
Board of Directors
Great Lakes Water Authority
FROM: Sue F. McCormick
Chief Executive Officer
Great Lakes Water Authority
DATE: July 11, 2018
RE: Proposed Amendment No. 2
Contract No. CS-1689
AT&T Telecommunication/ WAN/ LAN/ Managed Security Services
Vendor: AT&T
MOTION
Upon recommendation of Jeffrey E. Small, Chief Information Officer, The Board of Directors (Board) of the Great Lakes Water Authority (GLWA), authorizes the Chief Executive Officer (CEO) to enter into Amendment No. 2, Contract No. CS-1689, "AT&T Telecommunication/ WAN/ LAN/ Managed Security Services" with AT&T, at a cost not to exceed $60,000,000 for a duration of five years; and authorizes the CEO to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND
On March 22, 2017, The Great Lakes Water Authority Board of Directors approved a Memorandum of Understanding (MOU) related to Contract CS-1689 between Great Lakes Water Authority (GLWA), Detroit Water and Sewerage (DWSD) and AT&T to recast, extend and transfer all AT&T Telecommunications and Network services from DWSD to GLWA. The MOU was created as a result of discussions to address increased charges which, as of August 2016, led to a run rate from AT&T services of $17.9M per year. This was an unsustainable amount and compared to an FY17 budget of $6M. The MOU also confirmed the intent of GLWA and AT&T to negotiate a new contract amendment. This amendment formalizes the principles of the MOU, adds additional services and benefits for GLWA, and provides a mechanism for DWSD to migrate their services without penalty.
JUSTIFICATION
This amendment incorporates cost savings due to renegotiated pricing, optimization of services, and resolution of billing disputes. Additionally, it reduces the...
Click here for full text