Title:
Title
Supplemental Agreement: Automated Bids Contracts Digital Signatures (ABCDs)
End
FileID
File ID: 2019-01058
Location
Location: Citywide
Recommendation:
Recommendation
Pass a Motion authorizing the City Manager or City Manager’s designee to execute Supplement No. 7 to Agreement 2018-0566 with Eirutech, LLC, to continue providing essential services for the ABCDs and Oracle Enterprise Resource Planning (ERP) system implementation increasing the not-to-exceed amount by $60,000, for a new total not-to-exceed amount of $296,700.
Contact: Lydia Brambila, Contract Manager, (916) 808-1229; Robert Adams, Procurement Services Manager, (916) 808-5524, Department of Finance
Body
Presenter: None
Attachments:
1-Description/Analysis
2- Background
3- Supplemental Agreement 2018-0566-7
Description/Analysis
Issue Detail: In January 2015 the City did an RFP for the planned Automated Bids, Contracts and Digital Signatures (ABCDs) project. The City selected GNC Consulting, Incorporated through a competitive bidding process to support the ABCDs project by providing essential support services for the implementation of the new modules added to the City’s ERP software. These services included configuring solutions based upon the City’s design and business requirements to our new supplier portal, strategic sourcing, contracts, and enhanced requisition modules.
As the project neared completion, it was necessary to retain one of the subcontractors for ongoing support. Therefore, the City awarded a new single-sourced contract to the highest performing subcontractor with the most training and implementation experience. This contract was awarded to Eirutech, LLC (Rossana Caceres) for $79,500 on April 30, 2018.
After contract execution it was determined that a large software upgrade to the City’s Oracle ERP software (referred to as Fluid), several (10+) image updates to the newly added modules and the ERP system, resource constraints, and additional unplanned project related tasks were necessary to help support the successful rollout of the ABCDs project. The necessary enhancements resulted in 6 additional contract supplements bringing the contract not-to-exceed amount to $236,700 and the contract expiration date to December 27, 2019.
The ABCDs project was officially launched on May 6, 2019. Given the consultant’s knowledge of the project and remaining need for technical support to continue the implementation, it is necessary to increase the not-to-exceed amount from $236,700 to $296,700. Eirutech, LLC will provide full time support through August 8, 2019 and on-call services as needed for the remainder of the contract. The current expiration date of December 27, 2019 has not been changed. Details on the original contract and supplements are provided in Attachment 2.
Policy Considerations: This recommendation is consistent with the Sacramento City Code (SCC) Contracts for Professional Services requirements (SCC section 3.64) and in accordance with Procurement Policy No. AP-4102.
Economic Impacts: None.
Environmental Considerations:
California Environmental Quality Act (CEQA): This report concerns administrative activities and governmental fiscal activities that do not constitute a “project” as defined by the CEQA Guidelines Sections 15378(b)(2) and 15378(b)(4) and are not subject to the provisions of CEQA (CEQA Guidelines Section 15060(c)(3)).
Sustainability: None.
Commission/Committee Action: None.
Rationale for Recommendation: The successful implementation of the project is reliant upon additional support that Eirutech LLC will be providing. Potential cost savings that may be achieved through competitive solicitation of a new contractor would be outweighed by the changeover costs and delays associated with transitioning to a new contractor. The existing project has adequate funding to support this extension.
Financial Considerations: The additional consultant services needed to complete the project require an increase in the not-to-exceed amount of the existing contract by $60,000. Adequate resources for the contract change are available in the existing Digital Strategies (A07000700) project budget.
Local Business Enterprise (LBE): LBE requirements were waived for the original contract.