Resolution authorizing the Department of Technology to enter into the Third Amendment to the agreement between the City and County of San Francisco and Mythics, LLC, for the purchase of Oracle products and cloud computing solutions, to increase the agreement by $34,587,831 for a total amount not to exceed $94,587,831; and to extend the term for 31 months from April 30, 2026, for a total agreement term of May 1, 2021, through November 30, 2028.
Summary
This resolution authorizes the Department of Technology (DT) to execute a Third Amendment to its enterprise agreement with Mythics, LLC for Oracle products and cloud computing solutions. The amendment significantly increases the contract value by $34,587,831, bringing the new total not to exceed $94,587,831. It also extends the agreement term by 31 months, from April 30, 2026, to November 30, 2028, making the total term May 1, 2021, through November 30, 2028.
This agreement is crucial for maintaining uninterrupted access to mission-critical Oracle systems across various city departments, including financial, human resources, and public safety platforms. DT successfully negotiated annual price increase caps of 4% for on-premise software/hardware maintenance and 5% for Oracle Cloud subscriptions, which is projected to result in $1.3 million in cost avoidance over the extended term. The City will also continue to benefit from substantial discounts (at least 35% on on-premise software and 40% on SaaS software), preventing higher-cost, fragmented procurements and strengthening vendor oversight and cybersecurity.