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HEALTH SERVICES AGENCY / ADMINISTRATION
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Requested Action(s)
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a) Request authorization for the Purchasing Agent to issue a revised purchase order to CDW-Government for 200 Microsoft 365 G3 user licenses including Teams with audio/video conferencing, 200 Microsoft 365 G5 Security licenses, Power App Suite (including 24 Power Automate, 5 Power BI Premium, 4 Power BI Pro, 20 Power Apps), 5 Microsoft Project licenses, 9 Microsoft Visio Licenses, 40 Microsoft Data Center Server licenses, 20 Microsoft Data Center Server Step Up licenses, 80 Microsoft Standard Server licenses, 25 SQL Server Standard licenses and 12 Azure Monetary Commitment Provision for Microsoft Cloud usage in the amount of $178,322.49 for FY 7/1/23 to 6/30/24
b) Request authorization for the Purchasing Agent to issue a purchase order to CDW-Government for the renewal of 200 Microsoft 365 G3 user licenses including Teams with audio/video conferencing, 200 Microsoft 365 G5 Security licenses, Power App Suite (including 24 Power Automate, 5 Power BI Premium, 4 Power BI Pro, 20 Power Apps), 5 Microsoft Project licenses, 9 Microsoft Visio Licenses, 40 Microsoft Data Center Server licenses, 20 Microsoft Data Center Server Step Up licenses, 80 Microsoft Standard Server licenses, 25 SQL Server Standard licenses and 12 Azure Monetary Commitment Provision for Microsoft Cloud usage in the amount of $178,322.49 for FY 7/1/24 to 6/30/25
c) Request authorization for the Purchasing Agent to issue a purchase order to CDW-Government for the renewal of 200 Microsoft 365 G3 user licenses including Teams with audio/video conferencing, 200 Microsoft 365 G5 Security licenses, Power App Suite (including 24 Power Automate, 5 Power BI Premium, 4 Power BI Pro, 20 Power Apps), 5 Microsoft Project licenses, 9 Microsoft Visio Licenses, 40 Microsoft Data Center Server licenses, 20 Microsoft Data Center Server Step Up licenses, 80 Microsoft Standard Server licenses, 25 SQL Server Standard licenses and 12 Azure Monetary Commitment Provision for Microsoft Cloud usage in the amount of $178,322.49 for FY 7/1/25 to 6/30/26
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Financial Impact:
The cost of software licensing is included in the Fiscal Year 2023-24, 2024-25 and will be added to the 2025-26 budgets in account #53220, Office Supplies and allocated to each Tehama County Health Services Agency (TCHSA) budget unit as follows:
Clinic Budget Unit 40251 - $20,542.75
Drug & Alcohol Budget Unit 40171 - $24,982.98
Mental Health Budget Unit 40131 - $85,683.96
Public Health Budget Unit 40121 - $47,112.80
Total Amount Allocated in Budget Units: $178,322.49. These costs are allocated to all programs within each budget unit allowing for reimbursement from 1991 Health Realignment, 1991 Mental Health Realignment, 2011 Behavioral Health Realignment, Federal and State program allocations and grant allocations. No County General Fund dollars are requested. Purchasing through the Software Assurance Program will fix the cost for 3 years at a significantly reduced price.
Background Information:
The Board of Supervisors approved CDW-G agreement on 6/6/23 (Misc. Agreement #2023-177) for the renewal of the Volume Licensing Program for the Microsoft Enterprise Software Assurance Agreement. This agreement requires annual installments for various Microsoft products at a locked price for a total of three years. The Board of Supervisors also approved the Purchase Order for Fiscal Year 2023-24. The Purchase Order that was submitted required a revision due to the 12 Azure Monetary Commitment Provision for Microsoft Cloud usage pricing not being included. This Purchase Order corrects the pricing, and the Purchase Orders for Fiscal Years 2024-25 and 2025-26 have also been included with the revised pricing.
The Department continues using the Microsoft Enterprise Software Assurance agreement for all Microsoft licensing due to it being cost effective and simplification of the management and compliance for licensing.
Some of the benefits of this Microsoft Enterprise Software agreement are:
• Flexibility and scalability - As demands for licenses increase or decrease TCHSA has the flexibility to adapt the number of licenses to meet the changing needs on a real time basis.
• Budgeting- The Enterprise agreement allows TCHSA to easily budget for annual licensing by fixing the cost for 3 years at a significantly reduced cost.
• Upgrade from Office 365 G3 to Microsoft 365 G3, which includes all Office 365 features plus Windows 10 Enterprise and Enterprise Mobility.
• Meets the requirement of continued integration for our Microsoft Server Configurations
• Facilitates the Windows operating system, Email/Exchange, Office Suite, Teams Communications and Conferencing, SharePoint, Visio, Power Apps and more.
• Security- This agreement will allow us to upgrade immediately to the latest software versions, with no additional cost, which helps TCHSA meet best practice standards in the Information Technology (IT) industry for security.
• Upgrades Security to G5 which enhances threat protection, automated email phishing investigations, compromised user account detection and recommendations for mitigation, and advanced user identity and access management for all TCHSA systems including the network.
• Technical and End-User Training- A benefit of this agreement is training vouchers for technical training and online end-user training.
This agreement allows the agency to utilize a hybrid blend of licensing. It will migrate the agency to Microsoft 365 G3 user and server licenses while upgrading to G5 Security features. These features include:
• Automated investigation and responses for phishing emails and compromised user accounts.
• Compromised user detection and recommendations for mitigation.
• Attack simulation and training.
• Reporting on campaigns targeting the agency.
• Threat explorer and threat trackers for trending security threats.
• User access reviews and management.
• User identity protection (capture risky sign-ins, risky users, leaked credentials).
• Advanced hunting for threats.
• Vulnerability management.
• Evaluation lab for testing threats and attacks.
If the Purchase Orders do not get approved, the Department will incur a higher cost to renew or upgrade our current Microsoft licensing. Additionally, this will leave the agency more vulnerable to cyber-attacks due to outdated software thereby creating the potential for HIPAA compliance issues.