REPORT TO THE CITY COUNCIL
FROM: BRIAN BARR, Director
General Services Department
BRYON HORN, Chief Information Officer
Information Services Department
BY: MELISSA PERALES, Purchasing Manager
General Services Department, Purchasing Division
SUBJECT
Title
Actions pertaining to the award of a Requirements Contract for the purchase of eProcurement software and related services to OpenGov, Inc. for three years, with four optional one-year extensions in an amount not-to-exceed $28,810.60 for one-time implementation services plus $94,415.48 per year for cloud-hosted software, with annual increases not-to-exceed five percent (Bid File 9691)
Body
RECOMMENDATION
Staff recommends Council approve the award of a Requirements Contract for the purchase of eProcurement software and related services to OpenGov, Inc. for three years, with four optional one-year extensions in an amount not-to-exceed $28,810.60 for one-time implementation services plus $94,415.48 per year for cloud-hosted software, with annual increases not-to-exceed five percent.
EXECUTIVE SUMMARY
The General Services Department, Purchasing Division requests approval to establish a contract for eProcurement software and related services with OpenGov, Inc. OpenGov is a comprehensive cloud-based software designed to streamline procurement processes. It provides a centralized platform for creating, managing, and tracking bids, Requests for Proposals, and contracts. It also enhances collaboration among staff, ensures transparency, and simplifies the workflow saving significant time and effort in managing all aspects of procurement. The cooperative purchase agreement will be authorized through a competitively solicited cooperative procurement process administered by NASPO ValuePoint, in coordination with the State of Utah and which the State of California has issued a Participating Addendum.
BACKGROUND
The General Services Department, Purchasing Division is responsible for managing the City of Fresno’s procurement process. This includes publicizing solicitations for goods and services and maintaining a list of vendors interested in doing business with the City. Currently, the publication process in managed through an electronic platform called Planet Bids.
With the growing demand for public procurement, the City has seen a significant increase in the number of solicitations, from an average of 184 annually between fiscal years 2018 and 2022 to over 240 in fiscal year 2023. In fiscal year 2024, the Purchasing Division processed over 250 solicitations and are forecasting 275 solicitations in fiscal year 2025. As a result, the need for a more efficient and streamlined procurement process has become essential. After a thorough review of various procurement systems, staff determined that OpenGov best meets the City’s needs. The software will unify the entire procurement process, from the initial stages of developing project specifications and writing Requests for Proposals to contract execution and management. By enhancing collaboration across all stages, OpenGov will significantly expedite the procurement process, reduce administrative burden, and improve overall efficiency. This will help the City manage the increasing volume of solicitations more effectively, ensuring timely project delivery and maintaining high standards of accuracy and compliance.
OpenGov will significantly improve a labor-intensive step in our current procurement process. Currently, numerous individuals across multiple City departments, including project managers, the Purchasing Division, the City Attorney’s Office, and Risk Management must meticulously review specifications to ensure the correct language is present before releasing the documents to the public. This process can take several weeks to months to complete. OpenGov will simplify this process, significantly reducing labor intensive tasks and saving weeks in the procurement timeline, all while maintaining the integrity and accuracy of bid documents. This will result in quicker project approvals, more efficient use of staff time, and a more streamlined procurement process that ensures high-quality outcomes while upholding City standards.
The OpenGov platform is designed specifically for public agencies and will help the City manage every step of the procurement process more effectively. OpenGov will streamline the entire process, from developing bid specifications to managing contracts, making collaboration among staff more efficient and ensuring greater transparency. Additionally, OpenGov will simplify participation for local vendors by automatically migrating information from the current platform into OpenGov as well as providing free registration and access to training resources on how to use the system.
Utilizing a cooperative contract was determined to be the most cost-effective and overall best value for obtaining the procurement software.
The City Attorney has approved the contract as to form.
ENVIRONMENTAL FINDING
By the definition provided in the California Environmental Quality Act (CEQA) Guidelines Section 15378, the award of this contract does not qualify as a “project” as defined by CEQA.
LOCAL PREFERENCE
Local preference is not applicable. The City is not issuing a request for proposals for this cooperative purchase agreement.
FISCAL IMPACT
The funding to cover the purchase cost of the software was approved in the FY2025 adopted budget as part of the software appropriations in the Information Services Department budget.
Attachments:
Cooperative Purchase Agreement