To: Board of Supervisors
From: Marc Shorr, Information Technology Director
Report Title: Execute a Contract Amendment with Microsoft
☒Recommendation of the County Administrator ☐ Recommendation of Board Committee
RECOMMENDATIONS:
APPROVE and AUTHORIZE the Chief Information Officer, or designee, to execute a contract amendment for contract number 4957310 with Microsoft Corporation to increase the payment limit by $40,000 to a new payment limit of $280,000 with the current term remaining through December 11, 2026, for designated Engineering Package for Microsoft 365 Copilot.
FISCAL IMPACT:
The cost of this product is included in the department’s FY 25-26 budget (100% User Departments).
BACKGROUND:
The Department of Information Technology (DoIT) maintains a Microsoft Enterprise Services contract that provides Unified Advanced Support, essential to the operation of the County’s desktop and server systems. DoIT plans to amend this contract to include additional support for the secure setup of the Microsoft 365 Copilot environment. The County operates under a Microsoft Master Services Agreement (MSA) dated June 12, 2002, which is renewed annually through work orders issued under the MSA.
The Microsoft Master Services Agreement contains a limitation of liability in which Microsoft’s liability is limited to the amount paid by County for the services that have given rise to the claim.
This purchase is being made under sole source justification for continuity of service. The sole source was approved by Purchasing on November 5, 2025.
CONSEQUENCE OF NEGATIVE ACTION:
If this purchase is not approved, DoIT will lack Microsoft support for securely setting up the Copilot environment.