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TO: |
Board of Trustees |
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THROUGH: |
Jay Fox, Executive Director |
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FROM: |
Dave Hancock, Chief Capital Services Officer |
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PRESENTER(S): |
Dan Hofer, Director of Capital Programming and Support |
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Sumerset Ellis, GIS System Admin Supervisor |
TITLE:
title
Contract: Geographic Information Systems (GIS) Software (Environmental Systems Research Institute “ESRI”)
end
AGENDA ITEM TYPE:
Procurement Contract/Change Order
RECOMMENDATION:
Approve and authorize the Executive Director to execute a purchase order and associated disbursements for Geographic Information Systems (GIS) software from the Environmental Systems Research Institute (ESRI) for five years from February 4, 2025, to February 4, 2030, in the amount of $413,311.69. Execution of contract services beyond April 13, 2025 is contingent on renewal of the vendor’s contract with the State of Utah (AR076).
BACKGROUND:
UTA currently uses ESRI for its Geographic Information Systems (GIS) software needs. ESRI’s GIS software suite allows UTA to perform many activities, including: producing service, operator, custom, and ad hoc maps Title VI analytics such as demographics and ridership estimation, field verification work such as condition analysis and asset inventory, and UTA’s open data portal for ridership. Additionally, the Federal Transit Administration requires a bi-annual physical inventory update, which will take place in 2025, necessitating the purchase of Mobile Worker licenses for agency-wide use.
Previously, UTA has utilized the State of Utah contract to procure ESRI. UTA’s current software services contract with ESRI expires on February 4, 2025. Staff proposes continuing use of the state contract for a new procurement.
DISCUSSION:
The proposed Purchase Order includes a five-year term utilizing the existing state contract AR076. The state is currently delayed in its procurement process but has extended its existing agreement with ESRI through April 2025 while finalizing the next three-year term. In the event that the State does not renew its contract, this subscription would terminate and UTA would need to pursue an alternative procurement method for its GIS software needs.
The state contract renewal includes a change in its licensing structure from a Concurrent User structure to Named User licenses, where each user is assigned a specific license type. This change was instigated by ESRI and will result in a cost increase compared to previous years.
The licensing structure required to meet UTA’s GIS needs are:
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Annual ArcGIS Enterprise license*: |
$11,799.00 |
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Professional Plus (1) |
$4,200.00 |
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Professional (5) |
$2,200.00 |
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Creator (20) |
$700.00 |
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Spatial Analyst (2) |
$650.00 |
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Network Analyst (2) |
$650.00 |
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Mobile Worker (78) |
$400.00 |
*The annual license provides 50 Enterprise-level Creator licenses and 1,000 Viewer licenses.
Due to the State of Utah contract expiring on April 13, 2025, the vendor is not authorized to provide access beyond that date without an Authorization to Proceed from UTA which will be issued if the state contract is extended, renewed, or replaced.
UTA staff anticipates that the state contract will be renewed prior to April 13. In the event that another extension is placed on the contract, UTA would issue a Notice to Proceed that would reflect the terms outlined in the extension. Finally, if the state contract is not renewed, all ESRI services would cease after April 13, 2025 and UTA would need to initiate a procurement process for such services, which would most likely start in early March.
The status of the State of Utah contract will be continually monitored by staff, and appropriate actions will be prepared prior to April 13, 2025.
CONTRACT SUMMARY:
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Contractor Name: |
Environmental Systems Research Institute (ESRI) |
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Contract Number: |
UTA Purchase Order 24-03905 |
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State of Utah Cooperative Contract AR076 |
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Base Contract Effective Dates: |
February 4, 2025 - February 4, 2030 |
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Extended Contract Dates: |
N/A |
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Existing Contract Value: |
N/A |
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Amendment Amount: |
N/A |
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New/Total Contract Value: |
$413,311.69 |
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Procurement Method: |
State Contract |
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Budget Authority: |
2025 Approved Operating Budget |
ALTERNATIVES:
ESRI is the leading provider of GIS software and no comparable alternatives are currently available in the market. If the contract is not renewed, all current use cases at UTA would be paused until suitable replacements could be found.
FISCAL IMPACT:
The expected spend over five years for this request is $413,311.69. The 2025 approved Operating Budget includes $74,799.00 for the Esri agreement with projected funding requests for 2026 through 2029 totaling $338,512.69.
All funds will come from the Contract Services operating expense line item in the Department of Information Technology yearly budget 5200.50353.92.
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2025 Approved Operating Budget: |
$74,799.00 |
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2026 Budget Request: |
$78,538.95 |
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2027 Budget Request: |
$82,465.90 |
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2028 Budget Request: |
$86,589.19 |
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2029 Budget Request: |
$90,918.65 |
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Expected 5-year total: |
$413,311.69 |
Note: Projected funding requests for 2026 through 2029 increases by 5% annually. Costs are paid upfront for a full year subscription. This means that, assuming the budget for the 2029 license renewal is approved and executed in February 2029, service under that license would not expire until February 2030.
ATTACHMENTS:
Purchase Order: 24-03905 Geographic Information Systems (GIS) software (Environmental Systems Research Institute (ESRI))
State Contract AR076 - Environmental Systems Research Institute (ESRI) - (link <https://statecontracts.utah.gov/Contract/Details/AR076-Geographic-and-Aerial-Mapping%7C54552816-322e-4ff4-b258-c64587b46757>)