Posting Language
Title
Authorize negotiation and execution of various Texas Department of Information Resources cooperative contracts for information technology staff augmentation for all City departments, for an initial term of one year with up to two one-year extension options in amount not to exceed $42,500,000. Funding: $42,500,000 is available in the Operating Budgets of various City departments. Funding for the remaining contract term is contingent upon available funding in future budgets.
Body
Lead Department
Austin Financial Services.
Client Department(s)
All City Departments.
Fiscal Note
Funding: $42,500,000 is available in the Fiscal Year 2026-2027 Operating Budgets of various City departments.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Procurement Language:
The State of Texas Department of Information Resources contracts are cooperative contracts solicited by the State of Texas specific to information technology items and services. The Purchasing Office staff reviews quotes from multiple vendors with Department of Information Resources contracts to ensure the best value for the City. Best value determination includes price and contract terms as well as MBE/WBE/HUB inclusion.
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 aggregate authorization will be used to access multiple cooperative contracts for Information Technology (IT) staff augmentation services, available through the State of Texas Department of Information Resources (DIR). Providing aggregate authorization for a group of similar contracts provides City departments with the necessary expertise to augment their permanent information IT workforce. Functions of IT staff through the staff augmentation contracts include project managers supporting critical projects through the technology planning and implementation phases and technical training. These services are needed to allow the City to bring in targeted IT expertise.
The requested expenditure authorization amount represents about one year of estimated expenditures under these contracts. In previous years, two separate authorization requests were submitted to Council, one for Austin Energy and one for all other City departments. This is the first consolidated request that combines the needs of all City departments. With the One ATS initiative, the City’s overall need for IT staff augmentation will be evaluated, and funding authorization will be submitted to Council for approval on an annual basis. By requesting authorization incrementally, staff seek to fully utilize all authorization before requesting more. Segmenting the authorization requests also limits the extent City departments need to estimate their IT staff augmentation needs in future years when the staffing, projects and operational needs in those future years are not fully known.
The City’s IT staffing model consists of permanent City staff and temporary contractor staff. Temporary contractor staff are employees of the staffing firms who work under the direction of various departments. This allows City departments to maintain a stable workforce with the flexibility to adapt to changing needs. Multi-year contracts will maintain continuity for IT projects that span multiple years, helping prevent interruptions to critical initiatives. These contracts will replace existing IT staff augmentation contracts expiring September 30, 2026. The requested authorization amount was determined using departmental estimates based on historical spend and anticipated future usage.
None of these contractors are Texas-certified Historically Underutilized Businesses.
The 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 this aggregate authorization, it may be difficult for departments to fulfill IT staff augmentation needs in a timely manner, potentially leading to delays in the ability to provide services to citizens.
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Contract Details: |
|
|
|
Contract Term |
Length of Term |
Contract Authorization |
|
Initial Term |
1 year |
$42,500,000 |
|
Optional Extension 1 |
1 year |
[TBD] |
|
Optional Extension 2 |
1 year |
[TBD] |
|
Total |
3 years |
$42,500,000, initially |
Note: Contract Authorization amounts are based on the City’s estimated annual usage.
City Wide Usage:
|
Category |
Estimated Percentage per Category |
|
IT Project Management |
20% |
|
Software Development |
20% |
|
Business Analysis |
18% |
|
Tech Support |
8% |
|
Systems Analysis |
7% |
|
Architecture |
7% |
|
Other |
5% |
|
Data Analyst |
3% |
|
IT Training |
3% |
|
Network Analyst |
3% |
|
System Administration |
2% |
|
IT Security |
2% |
|
IT Communications |
1% |
|
IT Consulting |
1% |
|
IT Vendor Management |
<1% |
|
IT Service Management Operations |
<1% |