Explanation
BACKGROUND
This legislation authorizes the Director of the Department of Finance and Management to establish a purchase order for the Department of Technology with Lawson Software, to purchase licenses and training for the Lawson Process Flow Integrator (PFI) software. As part of the Columbus Human Resources Information System (CHRIS), this new software will enable the City to integrate the Lawson CHRIS software with other applications utilized as part of CHRIS using a tool specially developed by Lawson for use with its software products. Lawson PFI will also enable integration with other non-Lawson systems (e.g., existing time-keeping systems) currently utilized throughout the City.
As part of the original Lawson Software purchase, associated with purchase order EL007511, the City purchased Lawson Process Flow Professional as part of the Lawson Business Intelligence Suite. Since then, it has been discovered that this software product does not enable the City to automate some key business processes, including the electronic approval of payroll by appointing authorities and the electronic approval of personnel actions. Both of these functions are required before the City can complete Phase I of the CHRIS project. The new Lawson Process Flow Integrator will enable the necessary automation. Furthermore, Lawson Software will no longer support Process Flow Professional after May 31, 2011, so it is necessary to upgrade to the next-generation Process Flow Integrator software.
The initial software license cost is $40,000.00, however, with a $21,500.00 discount off the regular price of Lawson PFI, which Lawson will honor until November 8, 2010, the purchase price is $27,500.00 ($18,500.00 for software licenses and $9,000.00 for training). The initial maintenance coverage period associated with this purchase will begin the date the purchase order is certified by the Columbus City Auditor through May 31, 2011. Subsequent annual maintenance costs will be $3,712.00 (twenty percent of the annual license fee). Included in this purchase is training for two (2) City staff at Lawson facilities, incorporating two (2) classes focused on administering the PFI application. The funding needed for this purchase is $27,500.00.
This ordinance also requests approval to purchase Lawson PFI in accordance with sole source procurement provisions of Section 329 of the Columbus City Code; as it has been determined Lawson Software is the sole distributor of PFI, and does not utilize distributors or re-sellers for PFI software in the public sector.
The Department of Technology staff researched alternative software products, and concluded that the Lawson PFI software was best able to meet the needs of the City, as it has been specially designed to integrate the Lawson CHRIS suite and also integrate with other non-Lawson City systems involved in human resource management and payroll processing. The price of PFI was negotiated between the City and Lawson, and Lawson has offered a substantial (over 50%) discount off the regular price of PFI software licenses. Training needs were determined in discussions between City staff and Lawson Software, and Lawson is charging the City its standard per credit fee of $750.00.
EMERGENCY: Emergency designation is requested to avoid interruption of service, and to enable the City to integrate the Lawson HRIS software.
Fiscal Impact: The cost associated with this legislation is $27,500.00 for the purchase of Lawson Process Flow Integrator (PFI) software licenses and training from Lawson Software with a maintenance period to begin the date the purchase order is certified by the Columbus City Auditor through May 31, 2011. This amount is budgeted and available within the Department of Technology Information Services Capital Improvement Fund.
Contract Compliance:
Lawson Software - 41-1251159 - Expiration 09/02/2011
Title
To authorize the Director of the Department of Finance and Management for the Department of Technology to establish a purchase order with Lawson Software to purchase Lawson Process Flow Integrator (PFI) software licenses and training as part of the Columbus Human Resource Information System (CHRIS); in accordance with the sole source provisions of the Columbus City Code; and to authorize the expenditure of $27,500.00 from the Department of Technology Information Services Capital Improvement Fund. ($27,500.00)
Body
WHEREAS, the Department of Technology has a need to acquire the Lawson Process Flow Integrator (PFI) software licenses and training to be utilized in the Columbus Human Resource Information System (CHRIS) project, and
WHEREAS, Lawson Software has provided the Department of Technology with an initial cost of $40,000.00, however, with a $21,500.00 discount off the regular price of Lawson PFI, which Lawson will honor if a purchase order is certified by November 8, 2010; the purchase price is $27,500.00 ($18,500.00 for software licenses and $9,000.00 for training), and
WHEREAS, this legislation authorizes the Director of the Department of Finance and Management, for the Department of Technology, to establish a purchase order to acquire Lawson Process Flow Integrator (PFI) software licenses and training from Lawson Software, to enable the City to integrate the Lawson HRIS software with other applications utilized as part of CHRIS, using a tool specially developed by Lawson Software for use with its products and integration with non-Lawson systems currently utilized throughout the City, and
WHEREAS, this agreement is being established in accordance with the sole source provisions of the Columbus City Code, Section 329.07, and
WHEREAS, the initial maintenance coverage period associated with this agreement will begin on the date the purchase order is certified by the Columbus City Auditor through May 31, 2011; $3,712.00 per year thereafter, and
WHEREAS, an emergency exists in the usual daily operation of the City in that it is immediately necessary for the Director of the Department of Finance and Management on behalf of the Department of Technology to establish a purchase order with Lawson Software to acquire Lawson PFI and training, to enable the City to integrate the Lawson HRIS software with other applications and avoid interruption in the performance of services necessary; for the preservation of public health, safety, and welfare; now therefore
BE IT ORDAINED BY THE CITY COUNCIL OF COLUMBUS:
SECTION 1: That the Director of the Department of Finance and Management, for the Department of Technology, is hereby authorized to establish a purchase order with Lawson Software, to purchase Lawson Process Flow Integrator (PFI) software licenses and training; with an initial cost of $40,000.00, however, with a $21,500.00 discount off the regular price, which Lawson will honor if a purchase order is certified by November 8, 2010, the purchase price is $27,500.00 ($18,500.00 for software licenses and $9,000.00 for training) for installation and related services associated with the Central Payroll and Human Resources Information Management System (CHRIS); with the initial maintenance coverage period associated with this agreement to begin the date the purchase order is certified by the Columbus City Auditor through May 31, 2011.
SECTION 2: That the expenditure of $27,500.00 or so much thereof as may be necessary is hereby authorized to be expended from:
Dept./Div.: 47-02| Fund: 514| Sub-fund: 002| Project Name: Human Resources Information| Project Number: 470049-100000| OCA Code: 514049| Obj. Level 1: 06 | Obj. Level 3: 6655| Amount: $27,500.00
SECTION 3: That the City Auditor is authorized to make any accounting changes to revise the funding source for all contracts or contract modifications associated with this ordinance.
SECTION 4: That this agreement is being established in accordance with the sole source provisions of the Columbus City Code, Section 329.07.
SECTION 5: That for the reasons stated in the preamble hereto, which is hereby made a part hereof, this ordinance is hereby declared to be an emergency measure and shall take effect and be in force from and after its passage and approval by the Mayor, or ten days after passage if the Mayor neither approves nor vetoes the same.