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Report # 02-345

August 27, 2002

SUBJECT:

Award of Bid #F0206-79 for a File Server System to Support the Utility Billing Program (RTC#02-345)

REPORT IN BRIEF

Approval is requested for the award of a contract to Chouinard & Myhre, Inc., of Cotati, California, to furnish and install an IBM eServer iSeries File Server System for the Information Technology Department.

BACKGROUND

In early 1999, the City implemented an upgrade to its antiquated utility billing software and hardware. The City purchased an IBM AS 400 server and a utility billing software package produced by HTE, Inc. The new system greatly enhanced the City’s services, providing more accurate record keeping, more flexibility in providing services and a powerful tool for collecting revenues. That original system has gone through some minor software upgrades in the past four years, and the hardware has been stretched to its limit by the size of the database and the number of users.

HTE has now released a major upgrade (Version 6.0) that will provide a variety of enhancements, including a new screen interface, more flexible reporting capability, the ability to go online with utility billing, and fixes and enhancements of many problems in the previous version. To take advantage of these enhancements and to eliminate problems with the existing system, the City must also upgrade its hardware.

DISCUSSION

Bid specifications were developed by the Departments of Finance and Information Technology. The scope of work included the provision of all hardware, software and peripherals, installation of the new system and data migration from the old AS 400 server to the new iSeries server. The Notice Inviting Bids was directly distributed to seven IBM authorized iSeries dealers and broadcast to other potential bidders through the DemandStar by Onvia public procurement network. Sixty-two bidders requested bid documents. Sealed bids were received and publicly opened on July 24, 2002.  

Six bids were received.

 

Bidder

Total Bid

HTE VAR, LCC, of Chamblee Georgia

$73,643

Chouinard & Myhre, Inc., of Cotati, California

$77,063

Logical Design, Inc., of Rancho Cordova, California

$96,819

ACS Government Systems of Lexington, Kentucky

$101,248

ESI Group of Winters, California

$105,113

Jeskell, Inc., of Sunnyvale, California

$139,270

Staff has determined that the bid from HTE VAR is non-responsive and, therefore, should not be considered because it did not include resumes of key implementation personnel, as required. Without this information, staff is unable to evaluate the bidder's ability to successfully provide installation, training and data migration services. (HTE VAR, LLC, while originally a spin-off of HTE, the company from whom the software was originally purchased, is now a separate business entity.)

Staff, therefore, recommends acceptance of the bid from Chouinard & Myhre, Inc., the lowest responsive and responsible bidder.

FISCAL IMPACT

Total implementation costs, including hardware, software, installation, training, data migration, travel, miscellaneous peripherals, upgraded warranty support and sales tax will be $77,063. Ongoing software and hardware maintenance, effective upon expiration of factory warranty (one year for hardware; ninety days for software) will be addressed through a separate maintenance contract.

Funds are available in Information Technology Replacement Account #021100.

 RECOMMENDATION

It is recommended that Council award a contract in an amount not to exceed $77,063 to Chouinard & Myhre, Inc., to furnish and install an IBM EServer iSeries File Server System.

Prepared by:

Elaine Wesely
Purchasing Officer

Reviewed by:

Mary J. Bradley
Director, Finance

Reviewed by:

Shawn Hernandez
Director, Information Technology

 

Approved by:

Robert S. LaSala
City Manager

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