Title
Telephone Circuit Rate Contract
History
The Village phone service contract with Call One of Chicago Illinois is coming up for renewal in July 2013. Call One provides core AT&T services to the Village at a lower cost, versus purchasing these services directly from AT&T.
Two options were reviewed by staff. The first option would be to keep the existing base AT&T PRI service rate structure which will yield an 11% increase in the Village’s communication costs. The second option is to move to Call One’s PRI product and rate structure.
Staff is recommending procuring Call One’s PRI product and rate structure, which is estimated to reduce voice communication costs by $9,725 annually or $30,307 over the proposed three year contract. These savings are accomplished by a combination of lower base PRI fees and lower local and long distance rates. In addition, the Village will be provided Enhanced Caller ID services, as well as, additional phone call reporting capabilities.
Moving to Call One’s product will involve a physical installation and cut over of phone services. Call One has provided staff with several municipal references. All the references were contacted and positive feedback was received.
On June 3, 2013, this item was reviewed and approved by the Finance Committee and referred to the Board for approval.
Financial Impact
It is estimated that an annual savings of $9,725 will occur in communications account 010-0000-441100.
Recommended Action/Motion
I move to approve the Telephone Circuit Rate contract with Call One of Chicago Illinois under the Suburban Purchasing Cooperative program.