Posting Language
Title
Authorize a contract for the purchase of technology hardware, software and services for Austin Technology Services through State of Texas Department of Information Resources cooperative program, in an amount not to exceed $5,000,000. Funding: $5,000,000 is available in the Fiscal Year 2026-2027 Operating and Capital Budgets of Austin Technology Services.
Body
Lead Department
Austin Financial Services.
Client Department(s)
Austin Technology Services.
Fiscal Note
Funding in the amount $5,000,000 of is available in the Fiscal Year 2026-2027 Operating and Capital Budget of Austin Technology Services.
Procurement Language:
Multiple contractors within this cooperative purchasing program were reviewed for these goods and services. Austin Financial Services and Austin Technology Services have determined this contractor best meets the needs of Austin Technology Services to provide these goods and services required for the City.
MBE/WBE:
Cooperative Agreement contracts are exempt from the City Code Chapter 2-9B (Minority-Owned and Women-Owned Business Enterprise Procurement Program); therefore, no subcontracting goals were established.
For More Information:
Direct questions regarding this Recommendation for Council Action to Austin Financial Services - Central Procurement at: FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500.
Additional Backup Information:
This authorization allows the City to procure time-sensitive technology solutions including hardware, software, and services through contracts solicited by the State of Texas Department of Information Resources (DIR) under its cooperative purchasing program, which offers competitively bid pricing.
The current DIR authorization will expire on September 30, 2026. This contingency authorization request is submitted to the Council before the end of each fiscal year to ensure the City has the flexibility to address unforeseen needs. In recent years, the City has significantly reduced its reliance on annual DIR authorizations through proactive planning and the establishment of master agreements when appropriate. The requested authorization will primarily be used to address urgent, time-sensitive needs that cannot be anticipated through existing agreements.
For Fiscal Year 2025-2026, Austin Technology Services' DIR contingency authorization totaled $10,000,000, of which approximately $2,961,189 (about 30%) was actually spent. This year's requested authorization has been reduced to $5,000,000, consistent with the City's continued efforts to lower its reliance on this contingency mechanism. This authorization is established exclusively for Austin Technology Services; other departments seeking to use it must request and obtain approval directly from Austin Technology Services.
The State of Texas Department of Information Resources is a cooperative purchasing association recognized under Texas procurement statutes. Cooperative associations, themselves or using a lead government, competitively solicit and award contracts that are eligible for use by other qualified state and local governments. Due to their substantial volumes, larger than any one government could achieve independently, cooperative contracts routinely include superior terms, conditions, and pricing. Use of cooperative contracts also results in lower administrative costs and time savings.
Without new authorization in place, it may be difficult for departments to purchase technology goods and services in a timely manner, impacting service delivery.