June 21, 2005
SUBJECT: Award of Contract for Software Maintenance Services for the Integrated Financial System (F0406-71)
REPORT IN BRIEF
Approval is requested for the award of a one-year contract to Tier Technologies Inc., of Walnut Creek for software maintenance for the City’s Integrated Financial System for the Information Technology Department.
BACKGROUND
The City’s Integrated Financial System was purchased in 1995. Subsequently, Council has awarded annual contracts for software maintenance and support to obtain system enhancements and new releases of the accounting, asset management, purchasing and cost allocation modules.
DISCUSSION
Section 2.08.070 (b) of Sunnyvale Municipal Code exempts from competitive bidding those situations where the City’s requirements can be met solely by a single source. The Integrated Financial System software is proprietary to Tier Technologies, and it is the only organization that can provide upgrades and software support for its products.
FISCAL IMPACT
Annual Software maintenance costs include:
|
1. |
Accounting Module |
$30,769 |
|
2. |
Asset Management Module |
$10,906 |
|
3. |
Purchasing Module |
$26,659 |
|
4. |
Cost Allocation Module |
$14,025 |
|
|
Total Costs |
$82,359 |
Costs are the same as for the previous year. Payment will be made in FY 05/06 and funds have been budgeted in Information Technology Activity 765060 – Maintain Application Maintenance and Support.
RECOMMENDATION
It is recommended that Council award a one-year contract, in substantially the same form as the attached draft and in an amount not to exceed $82,359, to Tier Technologies, Inc., for software maintenance services for the City’s Integrated Financial System.
Prepared by: