REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS
OF THE COUNTY OF SAN BERNARDINO
AND RECORD OF ACTION
December 17, 2019
FROM
LAURIE ROZKO, Director, Purchasing Department
SUBJECT
Title v
Wireless Carrier Ongoing Participation Extension
End
RECOMMENDATION(S)
Recommendation
Approve ongoing participation with the following wireless communication carriers by Participating Addendum in State of California Pricing Agreements, under the National Association of State Procurement Officers Master Agreement #1907, at fixed rates, from January 1, 2020 through December 31, 2020:
1. Verizon Wireless
2. Sprint Solutions, Inc.
3. AT&T Mobility
4. T-Mobile US, Inc.
(Presenter: Laurie Rozko, Director, 387-2074)
Body
COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES
Pursue County Goals and Objectives by Working with Other Agencies.
Operate in a Fiscally Responsible and Business-Like Manner.
FINANCIAL IMPACT
Approval of this item will not result in the use of additional Discretionary General Funding (Net County Cost). Impact on departmental budgets is dependent upon usage, and departments that require wireless communication services are responsible for ensuring adequate funding in their current and future budgets. Carriers continuously evaluate market trends to determine if adjustments are needed to remain competitive. Wireless pricing is based on a discount off market rates, and have remained the same throughout the term of the contract as follows:
|
Carrier |
Discount |
|
Verizon Wireless |
23% |
|
Sprint Solutions, Inc. |
20% |
|
AT&T Mobility |
25% |
|
T-Mobile US, Inc. |
15% |
The County’s annual expenditure for wireless services and products is approximately $3.0 million.
BACKGROUND INFORMATION
Approval of this item will enable County departments to continue to acquire wireless communication services and products under existing National Association of State Procurement Officers (NASPO) contracts through December 31, 2020. NASPO’s goal is to provide their member states and local governments with the best overall value and most advantageous pricing option due to the collective purchasing power of many agencies.
The existing contracts with carriers will expire on December 31, 2020. When new contracts between NASPO and wireless carriers are completed, the Purchasing Department will make a recommendation to the Board of Supervisors (Board) regarding participation in new contracts. Participation in cooperative contracts with wireless carriers does not preclude the County from conducting its own solicitation or from utilizing other cooperative contracts that may be available with additional carriers.
On November 27, 2012 (Item No. 50), the Board approved County participation in NASPO Agreement #1907, utilizing State of California (State) Pricing Agreements from October 23, 2012 through October 31, 2016 plus two one-year options to extend the term. The first option was exercised by the Purchasing Agent based on delegated authority for the period of November 1, 2016 through October 31, 2017. Because the NASPO contracts and State Pricing Agreements with the Carriers went through June 30, 2019, the second option was exercised from November 1, 2017 through June 30, 2019. On November 6, 2018 (Item No. 34), the Board ratified the additional eight months and approved continued participation through June 30, 2019. On June 25, 2019 (Item No. 39) the Board ratified the additional six months and approved the continued participation through December 31, 2019. NASPO has now extended its agreements with the Carriers, including newly added T-Mobile US, Inc., through December 31, 2020. Pricing is based on a discount specific to each carrier off of current market rates.
PROCUREMENT
The NASPO competitive procurement is conducted by a lead agency, in this case, the State of Nevada. The State of California then executes a Pricing Agreement with each carrier using the NASPO Master Agreement, which enables local agencies to participate in the contracts.
REVIEW BY OTHERS
This item has been reviewed by County Counsel (Suzanne Bryant, Deputy County Counsel, 387-5455) on November 21, 2019; Finance (Joon Cho, 387-5402, Administrative Analyst) on Month November 25, 2019; and County Finance and Administration (Kelly Welty, Deputy Executive Officer, 387-4376) on November 25, 2019.