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08. Memo December 2022 Server ReplacementPage 1 of 1 City of Scandia 14727 209th St. N. PO Box 128, Scandia, Minnesota 55073 Phone (651) 433 -2274 | Fax (651) 433-5112 | www.cityofscandia.com DATE: Wednesday, April 6, 2022 FROM: Ken Cammilleri, City Administrator TO: Honorable Mayor and City Council Members RE: Server Replacement 2022 The City’s server is now currently old enough that it no longer has hardware support. Considering the critical dependence that this piece of infrastructure has on our organization workflow and services, this is a critical investment that should be made. We have currently budgeted $4,000 for the replacement of the City’s server, but it is anticipated that this estimate will fall short of what is needed to purchase a new server. The total estimated cost for the server hardware is $6,000 to $7,800, $1,200 for labor, and potentially $1,100 for additional software. Given the variability of the market and supply chain issues, this estimate will very week to week. However, this purchase will last 5 years. The anticipated expense range is $8,300 to $10,100. It should be noted that there is a likelihood that prices may exceed this range, but our goal is to hold back costs as much as possible while maintaining the minimum system specifications. We have looked at cloud based server infrastructure. The cost is estimated to be around $12,000 per year. This estimate does not include the continuation of server maintenance services of approximately $5,900 per year, which is our current cost for yearly server maintenance. The City Council is encouraged to approve the purchase. Please let me know if you have any questions.