Title
Disaster Recovery Services (Ordinance S-48169)
Description
Request to authorize the City Manager, or his designee, to execute an amendment under Contract 131627 with Sungard Availability Services, LP (Contractor) to allow for payment to the Contractor’s first taxable entity, Sungard AS New Holdings III, LLC. Further request to authorize the City Controller to disburse all funds related to this item. No additional funds are needed.
Report
Summary
This contract provides disaster recovery services for citywide use. The Contractor informed the City of a change in its corporate tax structure, which established Sungard AS New Holdings III, LLC as its first taxable entity. Sungard AS New Holdings III, LLC is the Contractor’s new parent company, and the Contractor is now a disregarded entity within the meaning of U.S. Treasury Regulation § 301.7701-3. Accordingly, the City will remit payment due under the contract to the Contractor and Sungard AS New Holdings, LLC. The amendment will ensure that payment can be made to the Contractor and its first taxable entity following the change in its corporate tax structure.
Contract Term
Upon approval, the contract term shall remain the same. The contract term is valid through Dec. 31, 2021.
Financial Impact
Upon approval, the financial impact shall remain the same. No additional funds are needed.
Concurrence/Previous Council Action
This contract was originally approved by City Council on March 16, 2011.
Department
Responsible Department
This item is submitted by Deputy City Manager Inger Erickson and the Information Technology Services Department.