Council action is requested to issue a purchase orders to Open Systems International, Inc. (OSI) and Dell Technologies for $218,400.00 (OSI) and $116,389.60 (Dell), for a Supervisory Control and Data Acquisition/Energy Management System (SCADA/EMS) control systems upgrade and servers for the Power & Light Department. The total fiscal impact is $334,789.60.

Council approval to issue purchase orders.

Open Systems International, Inc. (OSI) provided the City’s Power & Light Department (IPL) with a SCADA/EMS computer system in 1999. The SCADA/EMS is a proprietary computer system used by the Power & Light Department to monitor and control the high voltage electrical system (voltages greater than 13,000 Volts). The SCADA/EMS is required to have high availability and high reliability. Little or no downtime is tolerated for Power & Light to comply with industry requirements in service to the City of Independence.

The proposed contract seeks to upgrade the existing SCADA/EMS control hardware and software at both the primary and backup control centers. OSI Software and Support Adders total $23,000.00. Implementation in the amount of $183,400.00 includes installing software, upgrading the SCADA/EMS control system at both control centers, and completing all related project work. Onsite travel expense for OSI project engineer is not to exceed $12,000.00.

OSI is the sole source provider for this upgrade work and will be responsible for implementation including project design, management, and testing and has submitted a detailed proposal to satisfy all objectives.

OSI is contracted to annually provide technical support, software maintenance and updates for the SCADA/EMS. OSI is the only vendor (sole source) that can provide this service for IPL. This service is required for the SCADA/EMS to maintain its high availability/high reliability and to maintain NERC Cybersecurity Infrastructure Protection regulatory compliance. The existing Power & Light operating budget for fiscal year 2024 includes sufficient funds to cover this expense.

Because OSI no longer acquires the computer hardware necessary for system upgrades, the Power & Light Department must procure and ship computer hardware matching the required specifications to OSI for software installation and system testing prior to onsite integration at Power & Light control centers. Computers from Dell Technologies match the required OSI specifications, are preferred by OSI, and replace existing Dell computers purchased in 2017. Pricing of the Dell Technologies computer hardware from Dell Marketing LP is under public purchase contract Dell NASPO Computer Equipment PA – Missouri. Furthermore, project expenses include shipping computers with insurance protection using UPS Ground.

Per section 8.06.004, Paragraph 4 of the City Code states competitive bidding is not required when purchases are made through a cooperative contract established by a government purchasing entity or cooperative. The cooperative bids used will have been established pursuant to RSMo. 70.220 or generally accepted governmental purchasing practices through the competitive bidding process.

Approval of this item authorizes the Finance Director to issue change orders up to a total of ten (10) percent of the original authorized amounts, so long as appropriations are available.

The fiscal impact to the City is $334,789.60. Funding for the project is included in the fiscal year 2023-24 adopted budget, page 244, project account number 7020-5406-202411-C, SCADA/EMS Software/Hardware Upgrade, IPL Fund 20.