R-1274 - 06/11/2013 - TELECOMMUNICATIONS - Resolutions Supporting Documents Rim (i.F.l;)
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AGENDA ITEM
Regular Board of Trustees Meeting
of
June 11, 2013
SUBJECT: Award of Contract- Telecommunications System Upgrade
FROM: Blaine Wing, Assistant Village Manager
Jim Fox, Assistant Information Technology Director
BUDGET SOURCE/BUDGET IMPACT: Program 151: $39,000 from Information Services
RECOMMENDED MOTION: I move that the Village Board award a contract for an NEC
telecommunications system upgrade to Sound,Inc.,Naperville, Illinois, subject to final
attorney and staff review, for a total cost not to exceed $39,000.
Background/History:
The Village of Oak Brook has an NEC NEAX 2000 IPS PBX telephone system that was
installed in 2006. The system reached"End-of-Support" from NEC in September 2012. End-of-
Support" means that NEC will no longer actively assist its customers or dealers with software
problems nor provide replacement parts for the system. Expansion of the system will be limited
by the current number of licenses included with the Village's system; no new licensing will be
available for the system. Sound, Inc. of Naperville installed the system and continues to provide
maintenance support. The timely availability of parts, should the need arise, and the depth of
maintenance support for the system have become an increasing concern to the Village.
As a result,the Village requested Wilson Consulting to provide a description of options available
to the Village regarding the NEC telephone system.
The options available to the Village are:
1. Continue with the current telephone system hardware and software.
The Village currently has a maintenance agreement with Sound, Inc. to provide
support for the telephone system. The support is limited to the technical knowledge
of Sound, Inc.'s technical staff and the availability of parts for the system. As the
V 1%
system is a traditional digital PBX with VoIP (voice over Internet protocol)
components in the Sports Core outlying buildings, the parts include numerous NEC
circuit cards as well as the system's call processor. Sound, Inc. has these parts in
stock. However,there is no guarantee that Sound, Inc. can maintain an adequate
inventory indefinitely. While it would be possible to procure parts from other
sources,the timeliness of getting delivery cannot be guaranteed.
2. Staff Recommendation -- Upgrade the NEC 2000 to the current NEC
supported system
NEC has provided the means to upgrade the Village's system by replacing the
processor and the operating software. Upgrading the system would extend NEC's
support of the resulting system to a period of either 5 years or 3 years from the end of
life announcement for the upgraded system; whichever came first, which is estimated
to be approximately 5-7 years from today. The telephones currently in place
throughout the Village would continue to be used and there would be little change in
the operation of the system by Village staff. Village staff has budgeted for this option
under program 151-91600. Total cost is $38,508.50
3. Replace the NEC system with a new telephone system
The Village could replace the NEC system with a new system. Wilson Consulting
has calculated that the cost of a new system will be approximately $155,500. This
would be for a new VoIP system, new telephones and the necessary data
infrastructure to support the VoIP system. Village staff does not believe the cost
benefit for a complete system replacement is justified at this time due to the relatively
good condition of existing telephone handsets. In addition, a new system will provide
limited enhancements over the existing system for Village staff. Village staff
believes a complete telephone system replacement should be considered in
approximately 5-7 years.
At the January 22, 2013 Board of Trustees meeting, staff requested approval to conduct the
Request for Proposal (RFP)process for the upgrade of the existing NEC telephone system. The
notice requesting proposals was posted on the Village website on March 11, 2013. Several
vendors were contacted and the sole proposal received, submitted by Sound Incorporated, was
opened on March 25, 2013.
Recommendation:
Staff recommends that the Village Board award a contract for an NEC telecommunications
system upgrade to Sound,Inc.,Naperville, Illinois, subject to final attorney and staff
review, for a total cost not to exceed $39,000.
RESOLUTION 2013-TELECOM-CNTRCT-EX-R-1274
A RESOLUTION APPROVING AND AUTHORIZING THE AWARD OF A CONTRACT TO SOUND, INC.
TO UPGRADE THE VILLAGE'S TELEPHONE SYSTEM
WHEREAS, the Village's telephone system ("System") was installed in 2006 and is no longer
supported by its manufacture with software updates or replacement parts, and the System cannot be
expanded to meet the Village's changing needs; and
WHEREAS, on January 22, 2013, the Village Board of Trustees directed Village staff to request
proposals to upgrade the System; and
WHEREAS, the Village issued a request for proposal on March 11, 2013 to upgrade the System
("RFP'); and
WHEREAS, the Village posted the RFP online and sent the RFP to various local companies that
provide telephone system upgrades; and
WHEREAS, Sound, Inc. of Naperville, Illinois was the only company to submit a proposal in
response to the RFP, which proposal is attached hereto as Exhibit A; and
WHEREAS, the Village has determined that Sound, Inc. is the most qualified and lowest
responsive and responsible proposer to upgrade the Village's telephone system; and
WHEREAS, the Village desires to award the contract and enter into an agreement with Sound,
Inc. for Sound, Inc. to upgrade the System for an amount not to exceed $38,508.50; and
WHEREAS, the President and Board of Trustees have determined that it is in the best interests of
the Village to enter into the Agreement in a final form approved by the Village Manager and the Village
Attorney;
NOW THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows:
Section 1: Recitals. The foregoing recitals are hereby incorporated into, and made a part
of, this Resolution as the findings of the President and Board of Trustees of the Village of Oak Brook.
Section 2: Approval of Purchase. The President and Board of Trustees shall, and do
hereby, approve the award of contract to Sound, Inc. to upgrade the System in a total amount not to
exceed $38,508.50.
Section 3: Authorization and Execution of the Agreement. The Village President and Village
Clerk shall be, and hereby are, authorized to execute a final Agreement on behalf of the Village after
review and approval of the final form of the Agreement by the Village Manager and the Village Attorney.
Section 4: Effective Date. This Resolution shall be in full force and effect upon passage and
approval in the manner provided by law.
[SIGNATURE PAGE FOLLOWS]
Resolution 2013-TELECOM-CNTRCT-EX-R-1274
Authorizing Contract to Sound Inc
For Upgrade to Telephone System
Page 2 of 3
APPROVED THIS 11'h day of June, 2013
Gopal G. Lalmalani
Village President
PASSED THIS 11th day of June, 2013
Ayes:
Nays:
Absent:
ATTEST:
Charlotte K. Pruss
Village Clerk
Resolution 2013-TELECOM-CNTRCT-EX-R-1274
Authorizing Contract to Sound Inc
For Upgrade to Telephone System
Page 3 of 3
EXHIBIT A
#23455876_vl
Chris Pochyly
Account Manager
Voice and Data Group
Sound Incorporated
Village of Oak Brook
Oak Brook, Illinois
Attn:Jim Fox
Sound Incorporated is a privately owned company which has been in the communications business since 1963.To date
we are one of the largest low voltage integrators in the Midwest servicing customers around the world.
Sound Incorporated uses the diversity of our 4 groups to service companies low voltage needs.This starts with your voice, data,
carrier services,security, building protection and music systems.
Our staff, which sets us apart from others, includes certified union technicians, Microsoft and Cisco certified engineers with
expertise in data and networking applications,and longevity within the company in both sales and management.
Finally our, expertise and depth guarantees that our customers will receive top quality products with the highest quality
installation to assure a long-term business relationship
Business Analysis: The Village of Oak Brook's NEC 20001PS network is now seven years old and requires an upgrade due
to several factors;manufacturer support and lack of replacement parts. NEC the manufacturer is terminating technical
support on September 30`h 2012.They will also terminate any new licenses including CPU,software and licensing.Also
spare parts are becoming hard to get. If the CPU processor failed,Sound might not be able to restore service completely.
Solution Overview Sound is proposing a new NEC 8300 server that is compatiable with your existing voicemail and
telephones.This will allow the Village of Oak Brook to retain some of the previous investment.
Sound Incorporated proposes to furnish and install an NEC 8300 VOIP voice server consisting of one
main controller with three chassis for the main site and 3 remote controllers for remote sites including new cards for
PRI's,analog trunks,analog stations,digital phone cards,IP Pads licenses,IP phone licenses and one year of software
assurance.All existing phones will be reused.Installation shall include overtime to avoid disruption to service.
Total price including labor and NEC trade in discount...............................................................................................$38,508.50
SYSTEM
Sound Inc.installation labor for the following equipment and features...
1 Main Controllers provided by the manufacturer
E 3 Remote Controllers provided by the manufacturer
3 Remote sites with IP phones
_ 3 Rack mounted chassis for main controller
i
4 Rack mount kits
0 External paging units to be programmed on the system
__.__I
I VPN l Remote Access,VPN,or"Meet me"
630.369.2900 1550 Shore Road Naperville,Illinois 60563 www.soundinc.com 0@SoundlnclL
Sound Inc.will provide the necessary server to deploy the call controll software. Sound Inc. is responsible for programming
and implementing the server connected to the proposed voice platform.
TRUNKING
Sound Inc.installation labor for the following equipment and features...
1 Digital circuits
0 SIP circuits
20 Analog trunks
0 Power failure jack connections
0 Resilient digital circuits
_ .._._
i 0 Resilient SIP circuits
STATIONS
Sound Inc.installation labor for the following equipment and features...
0 ' Digital phones
0 IP Phones
0 1 Remote IP Phones
0 Door Phones
L-0 Wall mounted phones
0 Headsets
0 j Internal paging zones
0 Music on hold sources
256 Number of extensions&mailboxes to rekey for migration
Mobile Twinning
Mobile twinning will provide seamless converged mobility across the entire Village of Oak Brook organization.Village of Oak
Brook users can work anywhere in the world without limits on device, network or location.
Without the need for mobile client software or additional server hardware,mobile twinning will enable Village of Oak
Brook's mobile workforce to
• set any 10 digit number as a twinned device
• make and receive calls on all licensed devices presenting a single identity to callers. This enables high availability,
consolidates to one corporate voicemail box,and offers the opportunity for cost savings.
Mobile twinning works with any device that has a phone number,including personal phones. Employees can use a mobile
or fixed device.Village of Oak Brook no longer needs to standardize devices or purchase and maintain mobile phones.
630.369.2000 1550 Shore Road Naperville,Illinois 60563 mm.soundinc.corn 0@SoundlncIL
Mobile twinning provides users with one centralized mailbox to store all voice messages(if a mailbox is sold,and within
proper cellular coverage).This not only simplifies message management,but also eliminates the expense of multiple voice
mail services.
Sound has included 0 mobile twinning users.
VOICEMAIL
Sound Inc. is proposing the reuse the existing NEC voicemail system. No additional programming changes are included in
this proposal.
Unified Messaging (We are upgrading the Voicemail to the latest server and software)
Customer's designated IT contact: Jim Fox
RESPONSIBILITIES
Customer Responsibilities
• Customer will provide onsite IT personnel for concurrent coordination, configuration, testing, and troubleshooting of
pertinent equipment, systems, or services not supplied by Sound Inc. as part of this project, that integrate with or are
involved in the functionality of the systems being installed by Sound Inc., at times agreed on during the project
planning process, possibly including off hours work and coverage the first business days after the cutover.
• Customer will provide a diagram of their existing data network.
• Customer will provide a floor plan displaying existing and new work stations of all facilities pertinent to the installation
• Installation (or replacement of)all site wiring(power,extension of network services,structured wire plant,etc.)as
necessary.
• Installation of necessary power distribution boxes,conduits,groundings, lightning protection,connectors,and
associated hardware.
• Installation of power outlets located within three feet of the equipment to be installed.
• Any building alterations necessary to meet wiring and other site requirements.
• Environmental modifications as required for the hardware.e.g., HVAC upgrades.
• Adequate and proper rack or surface space in/on which the hardware will be installed.
• Provide and install all patch cords required for the connection of all switches, routers,etc.
• Documentation of all necessary addressing and naming conventions/requirements. This information is required prior
to the on-site arrival of the Sound Incorporated Professional Services Technician.
• All Network Operating Systems, network drivers,application software,and testing for systems not supplied by Sound
Incorporated.
• Provide any and all necessary security clearances and access to facilities as required to Sound Incorporated personnel
for each phase of this project.
• Create a post cut punch list of incomplete items or features and submit to Sound Incorporated.
Project Responsibilities
630.369.2900 1550 Shore Road Naperville,Illinois 60563 wmi.soundinc.com Qa@SoundlnclL
Village of Oak Brook will determine an IP scheme for voice equipment.Voice should be on a separate subnet and VLAN or
physical network other than "normal"data.
Village of Oak Brook is responsible for setting up DHCP for phone stations. (Different systems require different customized
options)
Village of Oak Brook is responsible for configuring switches including voice&data VLANs.
Village of Oak Brook is responsible for coordinating traffic classification for L2 QoS.
Village of Oak Brook is responsible for customization of Spanning Tree Protocol for the specific system being sold.
Village of Oak Brook is responsible for programming LLDP/MED or CDP on the switches.
Village of Oak Brook is responsible for configuring the routers and/or L3 switches.
Village of Oak Brook is responsible for providing and/or making changes to the firewall(s).
Village of Oak Brook is responsible for coordinating routing protocols with and among other customer-premise routers as
appropriate.
Village of Oak Brook is responsible for coordinating traffic classification and LLQ(low latency queuing)across WAN links for
L3 QOS.
Village of Oak Brook is responsible for patching switchports to patch panels.
Village of Oak Brook is responsible for placing phones.
Village of Oak Brook is responsible for plugging PC's into phones.
Village of Oak Brook is responsible for providing work if necessary at remote/home offices.
CLARIFICATIONS
• Any projects that are performed or cut over during non-business hours(8am to 4:30pm)or weekends that are not
specifically set forth in the agreed-to time line in the contract,will be billed at Sound Incorporated's overtime,weekend,
or holiday rates.
• If any work being done for this specific project that affects normal business operations will be discussed beforehand
with the customer and planned for accordingly.
• Sound Inc.is not responsible for any other vendor's actions that disrupt normal business operations unless Sound Inc.
is acting as the general contractor for the specific project.
• Any changes made to the database implementation design after it has been agreed to and signed-off by the customer
will be considered billable changes and/or extras to this project.
• All system work will be performed by a Manufacturer Certified Technician(s).
• If necessary,Sound Incorporated may bill as an extra,any additional items added to the system or customers network
at the request of the customer.
• If any equipment supplied by Sound Incorporated is found to be defective during the installation,Sound Incorporated
will replace the equipment at no extra charge and complete the installation as specified.
• Any delays due to customer infrastructure problems,without pre-notification from the customer,experienced while a
Sound Incorporated engineer or technician is on-site that would prevent the completion of associated tasks will be
billable at Sound incorporated's prevailing labor rates.
• The system will be capable of dialing"911"for emergency situations. "911"calls will be routed out the local trunk
ports of each gateway.
• Sound Incorporated cannot be held responsible for work performed by other individuals or companies for
modifications,additions,or changes to this network equipment during or after completion of this contract.
• The IT and/or customer contact will be onsite for the cutover and cut coverage.
630.369.2900 1550 Shore Road Naperville,Illinois 60563 www.soundinc.com 0@SoundlncIL
If the information provided by customer is incorrect or incomplete,Sound Incorporated shall have the right to charge the
customer,for any increase in costs incurred or time expended by Sound Incorporated due to such error or omission,or
stop the project due to change of scope of work.
630.369.2900 1550 Shore Road Naperville,Illinois 60563 www.soundinc.com 13@Soundinc!L
WARRANTY
The new NEC 8300 equipment shall be guaranteed for one full year all parts and labor. Warranty exclusions include adds,
moves,changes,abuse, non-hardware related problems, network services, no trouble found,software and'Acts of God,"all
of which are billable at normal labor rates. Batteries, both internal and/or external, used for system power backup are
consumable, and are not covered by warranty. The normal working life is two years, and they should be replaced on a two-
year schedule. Any necessary conduit or electrical requirements is to be provided by others.
TERMS
50%Down Payment,40%on the day of system cutover and 10%net 10 days. Acceptance of a lease does not relieve the
buyer from the terms of this contract. Any money pre-paid will be refunded upon final payment by the leasing company.
This pricing is based upon the NEC loyalty program which expires September 30`h of 2012.
Respectfully Submitted by:
John Coconato
Acceptance By Purchaser Acceptance By Seller in Naperville,IL
By By
Title Title
Printed Name Printed Name
Date Date
630.369.2900 1550 Shore road Naperville,Illinois 60563 mmsoundinc.corn @SoundlnclL
TERMS AND CONDITIONS
1. Creation of a Security Interest.
Until such time as Buyer has paid the agreed purchase price. Seller hereby retains and Buyer hereby grants a purchase money
security interest in the described equipment. In connection therewith, Buyer agrees to execute all instruments (including financing
statements)deemed necessary by Seller under applicable law to establish,maintain and continue perfected Seller's purchase money
security interest in the equipment or otherwise protect its rights in and to said equipment. Buyer hereby authorizes Seller as its
attorney-in-fact to execute and file,on Buyer's behalf,any such UCC Financing Statement.
2. Limitation and Exclusion of Warranties.
Seller Hereby warrants the described equipment for a period of one (1) year from the date of installation and warrants that the
installation of said equipment shall be performed in a workmanlike manner. Buyer's exclusive remedy under these warranties shall be
the repair and replacement by Seller at Seller's expense of nonconforming equipment thereof.
The Warranty does not extend to any equipment which has been(1)subject to misuse, neglect, accident or abuse, (b)damaged by
acts of God, exposure to elements of weather, inadequate or surplus utility power, power surges, insufficient heating/ventilating/air
conditioning(HVAC), HVAC failure or causes other than ordinary use(It is the buyer's responsibility to regulate and filter any and all
necessary power requirements and to supply and maintain a static free environment to insure system integrity), (c) improperly
installed, repaired or altered by someone other than Seller, its subcontractors or affiliates, (d) used in violation of instructions
furnished by Seller. In no event shall Seller be liable for consequential or incidental damages arising out of a breach of any warranty
or any other provision contained herein.Seller may suspend warranty work if the purchase price is not paid in full when due and shall
not be required to recommence warranty work until all obligations of Buyer under this Agreement are satisfied in full; provided,
however,that nothing hereunder shall extend in the warranty period beyond one(1)year from the date of installation.
THIS WARRANTY IS THE ONLY WARRANTY GIVEN BY SELLER,AND ALL OTHER WARRANTIES EXPRESS OR IMPLIED ARE
EXCLUDED, INCLUDING ANY IMPLIED WARRANTY OF MERCHANTABILITY OR ANY IMPLIED WARRANTY OF FITNESS FOR
A PARTICULAR PURPOSE.THERE ARE NO WARRANTIES WHICH EXTEND BEYOND THE FACE HEREOF.
3. Waiver,Amendment, Notice,Termination.
Any waiver of rights hereunder or any amendment or requirement of notice or termination hereof shall not be effective unless made in
writing and signed by the party against whom such waiver,amendment, notice or termination is sought to be enforced.
4. Risk of Loss.
Upon delivery of the described equipment to the contract, Buyer shall bear the risk of loss and it shall remain on Buyer regardless of
any breach by Seller of any provisions hereof.
5. Tax Obligation.
Buyer will pay promptly when due all taxes,assessments and other charges levied or assessed by any governments or governmental
agency upon the sale of the described equipment.
6. Assignment.
Neither party may delegate its performance or assign its rights under this Agreement except upon the express written consent of the
other party which consent may be withheld in such party's sole discretion.
7. Benefit.
This Agreement shall be binding upon, shall inure to the benefit of, and shall be enforceable by, each of the parties hereto, its
successors and assigns.
8.Limitation of Liability
Buyer understands that:a)Sound is not an insurer of Buyers property or the personal safety of persons at said location b)Buyer will
provide any insurance on said location and its contents c) the amount Buyer pays to Sound is based solely on the value of the
system and service Sound provides and not on the value of Buyer's location or its contents d)security systems, alarm systems and
Sound monitoring may not always operate properly for various reasons e) it is difficult to determine in advance the value of Buyer's
property that might be lost, stolen or destroyed if the system or Sound service fails to operate properly f) it is difficult to determine
how fast the police,fire department or others would respond to an alarm signal g)it is difficult to determine what portion,if any,of any
property loss, personal injury or death would be proximately caused by Sound's failure to perform, negligence, or a failure of the
system.
Therefore, Buyer agrees that, even if a court decided that a failure of the system, Sound's negligence, monitoring, repair or service
caused or allowed any harm of damage,whether property damage, personal injury or death to Buyer or anyone at Buyer's location,
Sound's liability shall be limited to six(6) times the monthly service fee, and this shall be Buyer's only remedy, regardless of what
legal theory is used to determine that Sound was liable for the injury of loss.
9.Third Party Indemnification and Subrogation
If anyone other that Buyer asks Sound to pay for any harm and/or damages, including property damage, personal injury or death,
connected with or resulting from a) a failure of the security/alarm services b)Sound's negligence c)any other improper or careless
activity of Sound in providing the system or services or d)a claim for indemnification or contribution, Buyer will repay to Sound any
amount which a court orders Sound to pay or which Sound reasonably agrees to pay and amount of Sound's reasonable attorney's
fees and any other losses and costs that Sound may incur in connection with the harm and/or damages provided that Sound
promptly notifies Buyer of any such claim and allows Buyer to direct and/or participate in the defense and settlement of such claim.
Buyer's obligation to repay Sound for such harm and/or damages shall not apply if the harm and/or damages occurs while one of
Sound's employees or subcontractors is in or about said location,and such harm and/or damages is solely caused by the employee
or subcontractor. Unless prohibited by Buyer's insurance policy, Buyer agrees to release Sound from any claims of parties suing
through Buyer's authority or in Buyer's name,such as Buyer's insurance company, and Buyer agrees to defend Sound against such
claim.Buyer will notify its insurance company of this release.
630.369.2900 1550 Shore Road Naperville,Illinois 60563 www.soundinc.com = @SoundlnclL
10. Construction
This writing constitutes the final expression of the agreement between the parties and is intended as a complete statement of the
terms of the agreement. No course of prior dealings between the parties and no trade usage shall be relevant to supplement or
explain any term used in this Agreement.This Agreement has been finally accepted in the State of Illinois and shall be governed by
the laws of the State of Illinois including the Uniform Commercial Code and its amendments as effective in the State of Illinois.
11. Interest/Late Charges.
Buyer agrees to pay 1 '/M per month FINANCE CHARGE(18%PER ANNUM)if the purchase price it is not paid in full when due.
12. Severability.
This Agreement and all provisions hereof are intended to be severable, and this Agreement shall remain enforceable in the event
any provision thereof is declared invalid.
14. Authority.
Buyer represents, covenants and warrants to Seller that Buyer has corporate or other power to make and perform this Sales
Agreement and that the making and performance of the Sales Agreement by Buyer, and the financing hereunder, have been duly
authorized by all necessary corporate or other action of the Buyer and will not violate any provision of law or of its Articles of
Incorporation or By Laws,Articles of Organization, Certificate of Formation or other charter, or Operating Agreement, or result in the
breach of any agreement to which Buyer is a party or by which it is bound.
Initial
Date
530.369.2800 1550 Shore Road Naperville,Illinois 60563 www.soundinc.com 0@SoundIncIL