Title
Managed Security Services Requirements Contract (Ordinance S-43454)
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Terra Verde, LLC, to provide 24-hour monitoring of the process control network for the Water Services Department. Further request authorization for the City Controller to disburse all funds related to this item.
Report
Summary
The Water Services Department is requesting to implement a 24/7 security monitoring service for the process control network, which will be managed by Terra Verde, LLC. The monitoring service will provide an enhanced level of security controls to monitor critical infrastructure from cyberattacks. Terra Verde, LLC, a managed security service, will provide access to targeted threat intelligence, state-of-the-art analysis, and other resources for identifying, researching, and addressing security hazards. This solution enables highly skilled security engineers to monitor the process control network 24 hours a day, 7 days a week.
The Department of Homeland Security has publicly stated that cyber criminals are actively targeting critical and key resource networks and process control systems. The risk to the water service system could be catastrophic if a cyberattack were able to compromise or cripple the process control network affecting the delivery of water and wastewater services.
Procurement Information
In accordance with City of Phoenix Administrative Regulation 3.10, one offer was selected through the Information Technology Professional Services Qualified Vendors List. Three vendors in the project management and business analysis categories were invited to participate in the proposal.
The Water Services Director and Information Technology Services Chief Information Security Officer recommend that the contract with Terra Verde, LLC, be accepted.
Contract Term
The initial three-year term shall begin on or about May 1, 2017, and end on April 30, 2020. Provisions of the contract may include an option to extend terms of the contract up to two additional years which may be exercised by the City Manager or designee.
Financial Impact
The aggregate contract value for all option years will not exceed $367,966 (including applicable taxes) with an estimated annual expenditure of $70,333. Funds are available in the Water Services Department operating budget.
Department
Responsible Department
This item is submitted by Deputy City Manager Karen Peters and the Water Services Department.