Item Coversheet
Pittsfield Charter Township

6201 West Michigan Avenue, Ann Arbor, MI 48108
Phone: (734) 822-3135  I  Fax: (734) 944-6103
Website: www.pittsfield-mi.gov


Office of the Supervisor
 
 


MEMORANDUM
 
 


TO:
Pittsfield Charter Township Board of Trustees
 
THROUGH:
Mandy Grewal, Supervisor

FROM: 
John Adams, Director of IT

DATE:

September 14, 2022

SUBJECT:

Authorize the purchase of Microsoft 365 cloud licenses to move Township email and storage to the cloud hosted service for an annual cost not to exceed $24,000


BOARD ACTION REQUESTED:

Authorize the purchase of Microsoft 365 cloud licenses to move Township email and storage to the cloud hosted service for an annual cost not to exceed $24,000

BACKGROUND:

The Township email has been running on on-premise servers for years.  The trend has been to move this function to Microsoft cloud hosted servers.  Most security recommendations are also to move away from onsite Exchange servers.  With other servers moving to the cloud and more employees working from offsite locations this will provide the most productive system.  Our current server will need to be upgraded within the next year if we do not migrate to the cloud.  Since the Township has a Microsoft Enterprise Agreement (EA), these licenses will be transitioned to the new type of license.  The cost is based on the number of licenses per the number of months covered.  The licenses include the newest Microsoft Office software for employees to use from the cloud or computer installed setups.  Microsoft Teams is also a big feature included that will add to employee productivity.  The cost to add the licenses this year will be up to $24,000.00.  The 2023 annual EA payment will have the new licenses added to the year 3 payment not to exceed $54,800.00.  The currently approved 2023 annual EA payment is $30,800.00. Renewals will be brought to the Board of Trustees every 3 years with the Enterprise agreement contract.

IMPACT ON TOWNSHIP'S HUMAN RESOURCES:

N/A



IMPACT ON TOWNSHIP'S BUDGET:

The 2022 payment of up to $24,000.00 for the additional licenses will be paid out of 101-259-928.  A budget transfer will be submitted separately.  The 2023 annual payment of up to $55,000.00 will also be paid out of 101-259-928.



IMPACT ON INDIRECT COST:

N/A



IMPACT ON OTHER TOWNSHIP DEPARTMENTS OR OUTSIDE AGENCIES:

N/A



CONFORMITY TO TOWNSHIP POLICIES:

This licensing agreement conforms to current Township policies


ATTACHMENTS:
Description
Microsoft 365 Licenses