Explanation
BACKGROUND: Ordinance No. 1077-2013 authorized The City Auditor to enter into a contract with Tyler Technologies, Inc. for implementation and support services related to the deployment of a new financial management system, specifically Microsoft Dynamics AX 2012 for Public Sector (Dynamics AX). The contracted amounts included a Tyler-hosted solution for Dynamic AX. Funds, all within the original Budget, are now needed for expanded implementation and maintenance costs to be approved for expenditure.
The search for a new financial management system included: research with the Department of Technology via their contract with Gartner, Inc. - a worldwide leader in information technology research and advisory services; attending product demonstrations at national and local conferences; participating in product demonstration webinars; and making inquiries of public sector software vendors.
The City of Columbus solicited Requests for Statements of Qualifications (RFSQ) pursuant to Columbus City Code 329.13 for Professional Services for the purchase and implementation of a Financial Management System. The RFSQ was advertised in the City Bulletin, published to the web on Vendor Services, and all registered vendors for the related commodities were notified via email or fax. Thirteen sealed statements of qualifications were received by the City Auditor’s Office by the April 14, 2012 due date.
The initial responses were evaluated using (1) the competence of the Offeror to perform the required service; (2) the ability of the Offeror to perform the required service competently and expeditiously; (3) past performance of the Offeror as reflected by the evaluations of the city agency, other city agencies and other previous clients of the Offeror; and (4) functionality of proposed solution. On the basis of these evaluations, the committee (defined below) selected the highest rated six Offerors to provide webinar demonstrations of selected functionality. After the webinars, the committee requested technical proposals from five of these Offerors selected for further consideration. All five Offerors interviewed and met with Columbus personnel in order to enable accurate communication, to provide Offeror the opportunity to seek clarification in any matters pertaining to the proposal requirements, and to enhance the Offerors’ understanding of the City’s needs.
Technical Proposals were received and Offerors were ranked based upon the quality and feasibility of their proposals. Ratings were based upon the project plan, the functionality and benefits of the proposed system, satisfaction of the technical requirements, resource requirements, options for licensing, ongoing support, payment plans, and estimated total cost of ownership. The three highest rated Offerors were selected to make technical webinar presentations, to present a Treasury webinar, and to conduct two days of onsite scripted demonstrations to the Evaluation Committee.
Demonstrations were evaluated based upon available functionality, depth and breadth of product features, client interface, technical details, and overall compatibility with City’s goals and needs. The Department of Technology provided technical assessments of the solutions presented. Final rankings were determined by the complete quality and feasibility of the Offerors responses to provide the best overall fit for the City in terms of application functionality, ease of use, technological direction, cost, resources required to implement and maintain, and compatibility with the Offerors.
The Evaluation Committee was comprised of cross functional stakeholders from the City Auditor’s Office, the Department of Finance and Management, the Purchasing Office, and the Treasurer’s Office representing the various financial disciplines within the system. Additionally, aside from its initial involvement with research and technical specifications, during the request for the technical proposal stage of the RFSQ, the Department of Technology provided technical assessments and recommendations after reviewing the technical sections of the Technical proposal and participating in scripted demo evaluation for the technical webinar portion of the demonstrations.
In order to complete the Dynamics AX implementation, the City Auditor requires the ability to contract with various vendors. The City Auditor has attempted to name all potential vendors in Section 2 of this Ordinance. It is possible, though not likely, that the City Auditor may require the services of an additional vendor during the course of this implementation. The City Auditor respectfully requests City Council to waive the competitive bidding provisions of Columbus City Codes 329
FISCAL IMPACT: The financial management system project was approved in the 2013 Capital Improvement Budget with ordinance 0645-2013 for $10 million. This will authorize expenditure of funds within the original budget. This legislation is to authorize appropriation and expenditure of up to $2,351,883.00 for additional implementation and maintenance costs related to the new financial management system.
CONTRACT COMPLIANCE:
Company FID#/CC# Expiration Date
Tyler Technologies, Inc. (Tyler) 75-2303920 10/21/2017
Crowe Horwath LLP (Crowe) 35-0921680 04/10/2017
Title
To authorize the City Auditor to amend existing contracts with Tyler Technologies, Inc. and Crowe Horwath LLP and to enter into professional service consulting contracts for the additional implementation and maintenance costs and professional services and computerized systems necessary to deploy the Dynamics AX (DAX) financial management system; to authorize the appropriation and expenditure of up to $2,351,883.00 from the Auditor Bond Fund; to waive the competitive bidding requirements of the Columbus City Code; and to declare an emergency ($2,351,883.00).
Body
WHEREAS, implementation costs are need to provide additional application functionality, ease of use, technological direction, resources required to implement and maintain, and compatibility with the software implementer; and
WHEREAS, an emergency exists in the usual daily operations of the City Auditor’s Office in that it is immediately necessary to authorize the City Auditor to amend existing contracts and authorize additional professional services consulting contracts to provide for addtional implementation, support services and maintenance costs related to the deployment Dynamics AX 2012 for Public Sector and related systems replacing the City’s current financial management system, thereby preserving the public health, peace, safety, and welfare; now, therefore,
BE IT ORDAINED BY THE COUNCIL OF THE CITY OF COLUMBUS:
SECTION 1. That the City Auditor is hereby authorized to amend existing contracts with Tyler Technologies Inc. and Crowe Horwath LLP (Crowe)for professional services necessary for the continued implementation of Dynamics AX 2012 for Public Sector (DAX). This financial management system is replacing the City’s existing accounting, budgeting, procurement, and asset management systems.
SECTION 2. That, for the same purposes as set forth in Section 1 of this ordinance, the City Auditor is hereby authorized to enter into contracts with Microsoft, Compaid, Inc. and/or such additional consultant vendors as may be necessary and available through State Term contracts per the terms and conditions of such State Term contracts. This Council recognizes that this ordinance does not identify the contractor(s) to whom all of the contract(s) will be awarded and understands that its passage will give the City Auditor the discretion and final decision in determination of the contract(s) that are in the best interests of the City and necessary for the successful implementation of this financial management system. For the purposes of this ordinance, this Council deems it in the best interests of the City to delegate this contracting decision to the City Auditor and to waive the competitive bidding requirements of the Columbus City Code.
SECTION 3. That the sum of $2,351,883.00 is hereby available and authorized for expenditure from fund 783 Auditor Bond Fund for Financial System Implementation Dept./Div. No. 22-01 , Object Level One 06, Object Level Three 6655 OCA 783201, Project 783002-100000.
SECTION 4. That the sum of $719,500.00 is for maintenance, help desk and hosting of the Dynamics AX 2012 for Public Sector. The sum of 1,632,383.00 will be used for implementation and support for go live, equipment, ongoing implementations costs for 2017 budget cycle, and budget book.
SECTION 5. That the funds necessary to carry out the purpose of this ordinance are hereby deemed appropriated and authorized for expenditure, and the City Auditor shall establish such accounting codes as necessary.
SECTION 6. That the City Auditor is hereby authorized to transfer the unencumbered balance in a project account to the unallocated balance account within the same fund when said project has been completed and the monies are no longer required for said project.
SECTION 7. That the City Auditor is authorized to make any accounting changes to revise the funding contract or contract associated with the expenditure of the funds transferred in Section 3.
SECTION 8. That for reasons stated in the preamble hereto, which is hereby made a part hereof, this resolution 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.