Report to Mayor and City Council
Tuesday, May 07, 2019
Consent
SUBJECT:
Title
CONSIDER APPROVAL OF AMENDMENT NO. 2 TO THE SOFTWARE AGREEMENT WITH IWORQ SYSTEMS, INC., EXTENDING THE TERM OF THE AGREEMENT TO FEBRUARY 1, 2022, AND INCREASING THE TOTAL COMPENSATION TO $68,320 (CITY COUNCIL)
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I. SUMMARY
In 2017, the City of Carson (City) began utilizing iWorQ Systems, Inc., (iWorQ) as the Public Works Department’s computerized maintenance management system (CMMS). Maintenance and support from iWorQ is required in order to ensure prompt resolution of problems, and staff is seeking a second extension in order to continue these services. The initial cost ($21,000) and first extension ($27,400) totaled $48,400 (Exhibit No. 1). Staff negotiated a 3-year extension of the Agreement for a total cost of $19,920 (Exhibit No. 2). If Amendment No. 2 is approved, the term of the Agreement would be extended for an additional 3 years, expiring on February 1, 2022, and the revised total contract sum would be $68,320.
II. RECOMMENDATION
Recommendation
1. APPROVE Amendment No. 2 to the Software Agreement with iWorQ Systems, Inc., extending the term of the Agreement for three years, beginning February 1, 2019 to February 1, 2022; and increasing the total compensation to $68,320; and
2. AUTHORIZE the Mayor to execute Amendment No. 2 to the Software Agreement with iWorQ Systems, Inc. as attached hereto upon approval as to form by the City Attorney.
1.
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III. ALTERNATIVES
TAKE another action the City Council deems appropriate, consistent with the requirements of the law.
IV. BACKGROUND
Pursuant to the Agreement entered into in January 2017, the City has utilized iWorQ as the Public Works Department’s computerized maintenance management system. The modules currently being utilized include Tree Management, Facilities Management, Fleet Management, Permits Management, and Citizen Engagement. Maintenance and support from iWorQ is required in order to ensure prompt resolution of any problems that occur. In order to continue this service, the Agreement needs to be extended.
On January 15, 2017, the original contract for $21,000 was approved by the City Manager for a period of one year. On July 17, 2018, the City Council approved the first extension from January 15, 2018, through February 1, 2019, along with the Permits Module that allows the Public Works Department to manage permit applications, inspection calendars, location mapping and online permit payments, for $27,400, for a total contract sum of $48,400.
If Amendment No. 2 is approved, the total contract sum would increase by $19,920 to $68,320 to cover the cost of maintenance and support for the above software as well renewal of the software licenses for continued use of the software for the next three years.
Maintenance for iWorQ’s software is proprietary and available only through iWorQ; therefore, soliciting competitive bids for maintenance of this software is impractical. Refer to CMC Section 2611 (e) (Sole Source Purchasing, for the continuance of the maintenance of proprietary software), and CMC Section 2611 (i)(16) (for the renewal of software licenses exception for the continued use of the software).
The City Council is therefore asked to approve Amendment No. 2 to the Software Agreement with iWorQ Systems, Inc., which (1) approves an extension of the original Agreement in order for iWorQ to continue providing the Public Works Department with access to their software application suite; and (2) increases the total contract sum to $68,320 (Exhibit No. 3).
V. FISCAL IMPACT
Funds for the remainder of FY 2018/19 were budgeted in account number 101-50-520-101-6004.
VI. EXHIBITS
1. Amendment No. 2 to Agreement for Contractual Services. (pgs. 3-10)
2. Amendment No. 1 to Agreement for Contractual Services. (pgs. 11-53)
3. Invoice #11095. (pg. 54)
Prepared by: Garrett Roberts, Administrative Analyst