Issue details

Proposed decision

The Deputy Leader to agree to:

1. enter into a new Microsoft licencing agreement for 3 years to meet KCC business and Infrastructure licensing requirements – including the Microsoft Azure Consumption; and

2. delegate authority to the Director of Technology, in consultation with the Deputy Leader, for the necessary contractual negotiations and authority to enter into any legal agreements required to implement the above.

Reason for the decision

KCC needs to enter into a new licensing agreement to ensure continuation of the use of the Microsoft Office 365 suite and all of the tools available, including security packages. This agreement will also include the Azure consumption.

Background

KCC entered into an Enterprise Licencing Agreement with Microsoft via its reseller in June 2023, for a period of three years under Key decision 23/00037. This agreement provides access to a variety of M365 applications, tools and modules which are essential to supporting the Councils business operations.

As the current agreement expires on 30 June 2026, when a new licencing agreement is required to ensure business continuity and continued use of the M365 licence estate and all of its benefits.

As part of this arrangement the Council will be able to take advantage of enhanced licensing which is critical to support its remote working policy and enhancing the security of KCC’s infrastructure. This will also support the Council’s Cloud First strategy.

Options (other options considered but discarded)

·        Do nothing – dismissed, as a licensing agreement is necessary for the day to day running of the Council. Microsoft licencing is standard across the public sector and cannot be purchased directly, but only through a Licencing Solutions Partner.

·        Run a procurement to enter into a new Microsoft licencing agreement with a new provider – Microsoft licencing is standard pricing across the public sector. This would involve beginning a relationship with a new partner, whereby our current relationship is well established and trusted.

·        Enter into a new Microsoft licencing agreement with existing provider – Following a procurement exercise undertaken in 2020, the Council has established a strong working relationship with Bytes Software Services Ltd.This supplier also provides additional support in ensuring our licence and Azure estate is optimised and efficient - this is the recommended option.

How the proposed decision supports the Council’s Strategic Statement

The Microsoft environment is a crucial part of the technology infrastructure and as such forms part of building KCC resilience.