REPORT TO THE CITY COUNCIL
July 17, 2014
FROM: R. RENENA SMITH, Assistant City Manager
City Manager's Office
THROUGH: JANE SUMPTER, Budget Manager
Finance Department
BY: HENRY J. FIERRO, Principal Budget Analyst
Finance Department
SUBJECT
Title
Enter into a contract for budget software and services in the amount of $488,143 for an initial one (1) year set up of software and an ongoing maintenance agreement with Sherpa Government Solutions LLC of Denver, Colorado - Finance Department
Body
RECOMMENDATION
Staff recommends that the City Council award a requirements contract for the acquisition of budget software in the amount of $488,143 for a one (1) year initial set-up with an ongoing maintenance service agreement and authorizes the City Manager or his designee to sign the contract on behalf of the City.
EXECUTIVE SUMMARY
The Budget and Management Studies Division of the Finance Department initiated a request for proposal (RFP) for the acquisition of new budget development and preparation software in order to replace the City's current system (BRASS). The need for replacing BRASS is due to its inability to function properly with the processing architecture of Microsoft's Windows 7 and above. This issue has established BRASS as an obsolete and unreliable tool to complete the City's complex budget process with critical deadlines. Four proposals were received and evaluated and Sherpa Government Solutions LLC was chosen as the most responsive and responsible bidder.
BACKGROUND
The need to replace the City's BRASS system is due to its inability to function with the processing architecture of Microsoft's Windows 7 and above. The proprietor of BRASS offers web-based software as a means to address the BRASS issue with Windows 7 and submitted a proposal for this RFP. Therefore, BRASS enhancements are not made available to continue connectivity with supporting applications that incorporate technology advancements.
The RFP was advertised in the Business Journal on Wednesday, March 19, 2014. The number of building exchanges received regarding fax notice inviting proposals was five, while the number of specifications distributed to prospective proposers was 17. The public opening occurred on Thursday, May 1, 2014. A total of four proposals were received and opened. Proposals will expire within 120 days of proposal opening which corresponds to Friday, August 29, 2014.
The four companies that submitted proposals were Application Software Technology Corporation, CGI Technologies and Solutions Inc., GNC Consulting Inc., and Sherpa Government Solutions LLC. The RFP No. 9267 required each proposer to provide: 1) cover letter; 2) Proposal Deposit; 3) fixed-cost proposal; 4) proposer questionnaire; 5) statement of qualifications and experience; 6) references; 7) acceptance signature of City forms; 8) signature for all Addenda issuances; 9) organizational chart; 10) signature pages authorizing individual who signs proposal; and 11) completion of scope of work requirements.
An Evaluation Committee of five City staff members and one external member were established to review the four proposals as well as participate in four software demonstrations provided by each respective vendor. In addition, the Evaluation Committee developed a list of questions per review of submitted proposals as well as per demonstrations. These questions were submitted to respective vendors which provided responses by requested date. The responses were incorporated into the committee's determination to formalize a recommendation.
Of the four proposals received and reviewed, the Evaluation Committee determined that the proposal submitted by Sherpa Government Solutions LLC (Sherpa) as most responsive and provided the best value for the City. The recommendation to acquire Sherpa's Budget Formulation and Management (BFM) software and services is due to: 1) their proposal meets all the criteria as specified in RFP No. 9267; 2) their BFM software meets, in totality, the RFP's scope of work as well as exceeds current functionality of BRASS; 3) project team has extensive experience towards BRASS data and reporting conversions along with budgeting processes; 4) proposal includes their establishment of all BRASS reports in the new system; 5) proposal includes the conversion of all 15 BRASS databases; 6) project team members will provide the ongoing support; and 7) BFM includes budget book-building functionality within base price. A report from the evaluation committee is attached along with a proposal matrix summary.
The RFP requested a fixed price for new software, conversion and implementation to new system, staff training, ongoing support and first five years of annual maintenance. Sherpa's proposal included a fixed price of $488,143. The fixed cost proposal under year 1 is $341,213 for software acquisition, conversion and implementation, training, and first year of annual maintenance. The remainder of $146,930 corresponds to annual maintenance services for year 2 through year 5. The funding source to cover the acquisition and service costs was established and approved as part of the FY 2015 Adopted Budget. Once the project commences, an evaluation will be conducted by vendor and staff to determine if the City's current hardware inventory can accommodate the new software's requirements. Preliminary assessment of additional hardware (servers) needed to run the BFM software is estimated between $7,200 and $29,500. The project's budget is at a level to cover such additional hardware costs.
The staff determination was posted on the City's website on Friday, June 27, 2014. The Council may adopt staff's recommendation which would award a requirements contract for one (1) year with an ongoing maintenance service agreement in the amount of $488,143 or reject all proposals. If all proposals are rejected, the project will be rebid resulting in a delay of approximately 90 days.
ENVIRONMENTAL FINDINGS
N/A
LOCAL PREFERENCE
N/A. Proposals submitted by the four vendors are headquartered outside Fresno, California.
FISCAL IMPACT
Appropriations were established per the FY 2015 Adopted Budget in the Information Services Department and the Finance Department and are sufficient enough to cover recommended software acquisition and associated services.
Attachments:
Evaluation Committee Report
Matrix Summary