REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF SAN BERNARDINO COUNTY
AND RECORD OF ACTION
September 24, 2024
FROM
LYNN FYHRLUND, Chief Information Officer, Innovation and Technology Department
SUBJECT
Title
Amendment to Master Service Agreement with Oracle America, Inc. for Software, Support and Maintenance of Software and Hardware
End
RECOMMENDATION(S)
Recommendation
Approve Amendment No. 5 to Master Service Agreement No. 14-800 with Oracle America, Inc. for software, support and maintenance of software and hardware, increasing the total not-to-exceed amount by $4,000,000, from $5,000,000 to a total amount of $9,000,000, and extending the contract period by three years for the total contract period of October 1, 2014, through September 30, 2027.
(Presenter: Lynn Fyhrlund, Chief Information Officer, 388-5501)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Improve County Government Operations.
Operate in a Fiscally-Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of Discretionary General Funding (Net County Cost). The Innovation and Technology Department’s (ITD) operating costs are recovered via service rates, approved annually by the Board of Supervisors (Board). The three-year cost for support and maintenance of Oracle America, Inc. (Oracle) software and hardware is $2,500,000. The remaining not-to-exceed amount of $1,500,000 will allow ITD to add additional software, support and maintenance of software and hardware, as needed, during the three-year period. The annual cost for Oracle software, support and maintenance of software and hardware is included in the ITD’s Computer Operations 2024-25 budget and will be included in future recommended budgets.
BACKGROUND INFORMATION
ITD maintains the Employee Management and Compensation System (EMACS), Geographic Information System applications, tape libraries and tape drives housed in the ITD data center, and the disaster recovery center, which utilize Oracle software and hardware.
On September 23, 2014 (Item No. 25), the Board approved Master Service Agreement No. 14-800 with Oracle America, Inc. (MSA) for software, support and maintenance of software and hardware, for the period of October 1, 2014, through September 30, 2019, in the amount of $3,623,643, and non-financial Amendment No. 1 to the MSA to update terms and conditions.
On September 10, 2019 (Item No. 31), the Board approved Amendment No. 2 to the MSA to increase the not to exceed amount to $5,000,000, for the period of October 1, 2014, through September 30, 2024, for software, support and maintenance of software and hardware.
On December 7, 2021 (Item No. 25), the Board approved Amendment No. 3 to the MSA to add Oracle University’s Terms and Polices for enrollment training courses, with no change to the total not-to-exceed amount of $5,000,000, for the period of February 1, 2022 through September 30, 2024.
On March 15, 2022 (Item No. 31), the Board approved Amendment No. 4 to the MSA adding Oracle’s Technology Network License Agreement for Business Operations, with no change to the total not-to-exceed amount of $5,000,000, effective March 15, 2022, with no change to the total contract period of October 1, 2014, through September 30, 2024.
Approval of Amendment No. 5 will renew the MSA with Oracle for an extended three-year period beginning October 1, 2024, through September 30, 2027, and increase the total amount by $4,000,000 to allow the County to continue to receive necessary software, support and maintenance of software and hardware services for a variety of Oracle products that are critical to County operations.
PROCUREMENT
N/A
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Bonnie Uphold, Supervising Deputy County Counsel, 387-5455) on August 27, 2024; Purchasing (Christina Reddix, Buyer III, 387-2060) on July 26, 2024; Risk Management (Gregory Ustaszewski, Staff Analyst II, 386-9008) on July 24, 2024; Finance (Iliana Rodriguez, Administrative Analyst, 387-4205) on August 23, 2024; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on August 23, 2024.