Data_Center_CI_Anaya_Signed_09-08-25__1_.pdf
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- Attached to
- Master Agreement AZ|ADSPO15-080717
- Contract number
- ADSPO15-080717
- Issued by
- Arizona
About this file
This document is a Competition Impracticable (CI) Authorization form from the Arizona Department of Administration's State Procurement Office, specifically involving the State Procurement Office, Lumen Technologies (contract holder), and Zadara (subcontractor). The form is for a contract authorization related to data center and cloud services, with Eric Bell, the Statewide Procurement Manager, serving as the requestor.
The contract (ADSPO15-080717) covers private cloud access services for approximately 8 state agencies, with Zadara providing the actual cloud services while Lumen handles invoicing. The current contract is a 3-year agreement, currently in its second year, with a 6-month extension requesting $220,740 in funding. The state has determined that Zadara's pricing is superior to previous providers like VMWare, with a consumption-based pricing model that will remain steady through the remainder of the 3-year term. The state considered but decided against conducting a new RFP due to the considerable time required and potential significant switching costs, opting to maintain the current contract vehicle through its original term.
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Arizona Department of Administration - State Procurement Office
Eric Bell
Statewide Procurement Manager eric.bell@azdoa.gov
602-499-9697
The State purchases private cloud access through this Contract. Although CenturyLink (Lumen) is the contract holder, it's their subcontractor, Zadara, that provides the service.
Approximately 8 State agencies purchase managed cloud services such as computing, Lumen is the Supplier but Zadara, their subcontractor, is providing the service. Lumen essentially only does the invoicing.
ADSPO15-080717 - Data Center Services
6 months $220,740
- Authorization Request for a new CI
The Data Center Services contract Scope of Work best fits the service the Zadara provides the State. The State has considered holding an RFP directly with the Managed Cloud providers in order to avoid paying the surcharges to the Reseller (Lumen, in this case) but 1) That would take a considerable amount of time to conduct and 2) There would be significant switching costs should the State move to a new vendor. Therefore, the State will continue to analyze these options but needs to stay with the current provider for now.
Additionally, the State entered into a 3-year agreement for Zadara and is currently only in Year 2. Therefore, the State wishes to keep the contract vehicle "unexpired" for the remainder of the 3-year term.
- Procurement requires an open and continuous availability of offerors
The State previously purchased similar services from VMWare and therefore has multiple price points. Zadara's pricing is significantly superior to VMWare and it's consumption based.
The pricing will remain steady during the remainder of the current 3-year term.
September 3, 2025
March 19, 2026
- Request Authorized Pursuant to R2-7-E303
Louis Anaya Deputy Assistant Director
09/08/2025
Continuation of Section II, 6.: Approximately 8 State Agencies purchase managed cloud services such as computing, storage, and networking.
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