To: Board of Supervisors
From: Dr. Grant Colfax, Health Services Director
Report Title: Amendment to Purchase Order with Relutech, LLC for Hardware Maintenance Services
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Purchasing Agent, or designee, to execute on behalf of the Health Services Director, an amendment to purchase order #32304 with Relutech, LLC, to increase the payment limit by $3,426 for a new total amount not to exceed $118,188, to continue providing hardware maintenance services for computer equipment and components, with no change in the original term ending May 19, 2028.
FISCAL IMPACT:
Approval of this Amendment will result in additional expenditures of up to $3,426, for a new total amount not to exceed $118,188 over the three-year period. This purchase will be funded by Hospital Enterprise Fund I revenues.
BACKGROUND:
On March 25, 2025, the Board of Supervisors approved agenda item C.66 to execute a purchase order with Relutech, LLC in an amount not to exceed $114,762 for hardware maintenance services for the period May 20, 2025 through May 19, 2028.
Relutech provides third-party maintenance (TPM) services for server, storage, and networking equipment that is no longer under manufacturer warranty. These services include replacement of failed components, technical support, and on-site or remote maintenance, ensuring system reliability and minimizing downtime for critical infrastructure.
The Health Services Department has identified additional equipment that has recently fallen out of manufacturer warranty and requires coverage under the existing maintenance agreement. This amendment will allow for the inclusion of this equipment under the current contract, ensuring continuity of support and avoiding service gaps.
A prior competitive evaluation demonstrated that Relutech provides a significantly more cost-effective solution compared to other vendors, while maintaining the required service levels. This amendment remains within the scope of the original purchase and continues services under the existing Relutech Maintenance Agreement dated May 16, 2023. This purchase will be made via sole source justification, for product and service continuity.
CONSEQUENCE OF NEGATIVE ACTION:
Failure to approve this Amendment may result in lack of maintenance coverage for critical hardware, leading to increased risk of system downtime, delays in repairs, and potential disruption to healthcare operations and services.