Report to Mayor and City Council
Tuesday, February 21, 2017
Discussion
SUBJECT:
Title
CONSIDER AWARD OF CONTRACT TO NEXLEVEL INFORMATION TECHNOLOGY, INC. FOR PROFESSIONAL PROJECT MANAGER SERVICES RELATED TO THE TYLER MUNIS IMPLEMENTATION (CITY COUNCIL)
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I. SUMMARY
The proposed professional services agreement with NexLevel Information Technology, Inc. is to provide project management services for the Tyler Munis Enterprise Resources Planning (ERP) system implementation.
II. RECOMMENDATION
Recommendation
APPROVE the proposed professional services agreement with NexLevel Information Technology, Inc. for a not to exceed sum of $311,850.
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III. ALTERNATIVES
TAKE another action deemed appropriate by the City Council.
IV. BACKGROUND
On November 28, 2016, the City Council approved the purchase of the Munis ERP System from Tyler Technologies, Inc.; and directed staff to release a Request for Proposals (RFP) for an implementation project manager.
As reported on November 28th, staff recommended hiring a professional project manager to keep the implementation project on task and hold Tyler Technologies, Inc. accountable for all deliverables. Staff was unable to identify a City employee with the skills necessary to manage the project, and the ability to abandon normal job duties for 2-3 years. Lessons learned from the cities of Culver City, Redondo Beach, Pasadena, Beverly Hills, and the City’s own past implementation experience indicate that resources must be dedicated to the implementation or it will not be successful and/or complete.
The RFP was released on November 29, 2016; and proposals were due December 14, 2016. The City received 4 proposals, as summarized below. Each proposal assumed 15-20 hours of work per week for the estimated project duration of 25 months.
• Information Design Consultants, Inc. ($386,250). No specific Tyler Munis and limited municipal experience; but significant system implementation and special districts experience. Limited company resources. Located in San Pedro, CA.
• NexLevel Information Technology, Inc. ($311,850). Significant experience with Tyler Munis and system implementation project management. Firm has 25 full-time employees, many of whom have direct municipal experience. The firm offers both depth of experience and resources. Located in Carmichael, CA.
• Rahban CPA & Consulting, Inc. ($252,700). Limited experience with Tyler Munis and system implementation project management. Proposal includes optional services with the Government Finance Officers Association to provide additional resources; but no specific proposal or pricing was provided. Limited company resources. Located in Los Angeles, CA.
• SoftResources LLC ($408,875). Significant experience with Tyler Munis and system implementation project management. The firm offers both depth of experience and resources. Located in Kirkland, WA.
The proposals were reviewed by the City Manager, Director of Finance and the Information Technology Manager. Staff selected two firms to interview: Rahban CPA & Consulting, Inc. (Rahban); and NexLevel Information Technology, Inc. (NexLevel). Interviews were conducted by the Director of Finance and the Information Technology Manager on January 4th and January 11th. After conducting the interviews and consulting with the City Manager, staff unanimously recommended NexLevel.
NexLevel was found to have depth of resources and direct relevant experience with municipal operations and the Tyler Munis system. NexLevel has assigned Ms. Cindy Abbott to be the City’s Project Manager. Ms. Abbott has over 30 years of experience in both the municipal and private sectors; including system implementation, project management, information technology, and management within a national payroll processing company.
The proposed NexLevel agreement does not deviate from the City’s standard template agreement, and was reviewed by the City Attorney’s office.
Next Steps
The Information Technology Manager has been working with Tyler Technologies to acquire and prepare the City’s servers for software download; and Tyler has completed the download. If the City Council approves the proposed agreement, staff expects the implementation project will kick-off during March. The estimated duration of the project is 25 months.
V. FISCAL IMPACT
On November 28th, staff reported that estimated project manager services may cost about $300,000 for the duration of the project; and requested a $60,000 budget amendment for the estimated amount to be expended in FY16-17. Therefore, the amended FY16-17 budget is sufficient to provide for project manager services through June 30, 2017. Estimated project manager expenditures for the next fiscal year will be included with the proposed FY17-18 budget.
VI. EXHIBITS
Proposed agreement with NexLevel Information Technology, Inc. (pages 4-29)
Prepared by: Kathryn Downs, Director of Finance