TO: Honorable Mayor & Members of the North Port Commission
FROM: A. Jerome Fletcher II, ICMA-CM, MPA, City Manager
TITLE: Approve the Utilization of Sourcewell Contract Number 120122-MBS With Verteks Consulting, Inc. for the Purchase of Telephone Hardware, Software and Maintenance in an Amount Not to Exceed $600,000 Through the Term Ending on March 8, 2027, and Authorize the City Manager to Approve any Modifications or Terminations in Concurrence With Sourcewell.
Recommended Action
Option 1: Approve the utilization of Sourcewell Contract Number 120122-MBS with Verteks Consulting, Inc. for the purchase of telephone hardware, software and maintenance in an amount not to exceed $600,000 through the term ending on March 8, 2027, and authorize the City Manager to approve any modifications or terminations in concurrence with Sourcewell.
City Commission Options
Option 1: Approve the utilization of Sourcewell Contract Number 120122-MBS with Verteks Consulting, Inc. for the purchase of telephone hardware, software and maintenance in an amount not to exceed $600,000 through the term ending on March 8, 2027, and authorize the City Manager to approve any modifications or terminations in concurrence with Sourcewell.
• Pros:
o Pre-Negotiated Competitive Pricing:
§ The Contract provides significant, pre-negotiated discounts off vendor list prices for all major product categories, including:
§ 40% off Contact Center & UC Applications
§ 33-35% off Core Telephony Infrastructure and Devices
§ 40% off Software Assurance (SWA)
§ 20% off Partner Built/Delivered solutions
§ These discounts are locked in for the Contract term, ensuring cost predictability and value.
o Compliant, Cooperative Procurement:
§ The Contract is awarded through Sourcewell, a national cooperative purchasing organization, ensuring compliance with public sector procurement requirements and reducing the administrative burden of conducting a separate Request for Proposal (RFP).
§ Participation is open to government, education, and nonprofit entities, confirming eligibility for our organization.
o Comprehensive Scope and Flexibility:
§ Covers a full range of telecommunication products and services, including new and current models, with options for close-out or refurbished equipment if needed.
§ Allows for additional terms and conditions to be negotiated at the purchase order level to meet specific local or legal requirements.
§ Supports both outright purchase and flexible financing/leasing options tailored for government and education for customers.
o Strong Warranty and Support Provisions:
§ All equipment, products, and services are warranted to be free from defects and suitable for intended use.
§ Manufacturer’s warranty is passed through to the purchasing entity, and vendor authorized partners are required to assist with warranty resolution.
§ Multiple levels of service and support are available, including 24/7 coverage, remote and on-site support, and expedited parts replacement.
• Cons: Staff has not identified a rationale for disapproving the use of this Contract.
Option 2: Deny the utilization of Sourcewell Contract Number 120122-MBS with Verteks Consulting, Inc. for the Purchase of telephone hardware, software and maintenance in an amount not to exceed $600,000 through the term ending on March 8, 2027, and authorize the City Manager to approve any modifications or terminations in concurrence with Sourcewell.
• Pros: Staff have not identified an advantage to denying the use of this Contract.
• Cons:
o Loss of Pre-Negotiated Discounts: Denying the Contract means forfeiting substantial, guaranteed discounts (up to 40% off list price) on telecommunication products and services, which could result in higher costs if purchasing through other channels or separate negotiations
o Increased Procurement Time and Administrative Burden: Without this Cooperative Contract, the organization would likely need to conduct a separate RFP or bid process, which is time-consuming; resource-intensive; and may delay the implementation of the new phone system.
o Potential Compliance Risks: The Contract is structured to meet public sector procurement requirements and compliance standards. Denying the Contract may require additional legal review and could increase the risk of non-compliance with procurement laws or internal policies.
o Loss of Streamlined Ordering and Support: The Contract provides a clear, streamlined ordering process and access to certified partners for installation and support. Without it, the organization may face more complex procurement and support arrangements, potentially impacting service quality and response times.
Background Information
Since December 2020, the Information Technology Division has leveraged the Sourcewell Contract No. 120122-MBS as a procurement method for software licensing, hardware, maintenance and value-added reseller services. This nationwide Contract is competitively bid and awarded to multiple qualified vendors, allowing agencies across the US to benefit from the collective buying power of nationwide volume purchasing.
Because the Contract is used by state agencies, counties, municipalities, school districts, and other public entities throughout the US, the negotiated pricing and discounts are significantly more favorable than what the City could secure independently. Utilizing this Contract has allowed the Information Technology Division to streamline procurement; maintain compliance with state procurement standards; and achieve cost savings over individual vendor Agreements. Continuation of this Contract ensures ongoing access to competitively priced software solutions needed to support City operations.
The utilization of Sourcewell Contract Number 120122-MBS with Verteks Consulting, Inc. for the purchase of telephone hardware, software and maintenance in an amount not to exceed $600,000 through the term ending on March 8, 2027, and authorization for the City Manager to approve any modifications or terminations in concurrence with Sourcewell has been reviewed by the City Attorney and is legally correct as to form.
Strategic Plan Pillar
Good Governance
Financial Impact
Expenditure under Sourcewell Contract Number 120122-MBS with Verteks Consulting, Inc. for the purchase of telephone hardware, software and maintenance shall be limited to funds that have been duly appropriated through the City’s budget process and are specifically allocated for the scope of goods or services outlined in the Agreement.
Any purchases made on or after October 1, 2026, against this Cooperative Contract are contingent on future appropriated funds for each Department.
Procurement
The utilization of this Cooperative Contract is consistent with Chapter 2, Administration, Article VIII, Procurement, Section 2-403(a)(4)(a) of the Code of the City of North Port, Florida.
The Information Technology Division of the City Manager’s Department will utilize the established internal procurement process for all purchases under these Contracts to ensure continued administrative oversight and compliance with the City’s procurement policies and procedures.
Attachments:
1. Contract
Prepared by: Eric Ryan, Information Technology Manager
Vicki Edwards, Senior Business Administrator
Aaron Bourquin, Infrastructure and Communications Manager
Department Director: Kaitlyn Griffin, MPA, Performance & Accountability Officer