CITY COUNCIL AUTHORITY PROCUREMENT AWARDS
ACTION REQUESTED:
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Approve the Sole Source Procurement 21-226, OnBase Maintenance Renewal to Requordit, Inc. for an amount not to exceed $255,360.60 and for a three-year term
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DEPARTMENT: Information Technology
SUBMITTED BY: Jacqueline Nguyen, Director
BACKGROUND:
Since 2003, OnBase has been the electronic document management system that manages and stores the City’s official documents such as ordinances and resolutions, contracts, engineering and architectural plans, plats, and licenses. The renewal of the maintenance agreement is required in order to maintain the environment, implement upgrades, and provide troubleshooting support.
DISCUSSION:
This sole source is requested for a three-year term from July 1, 2021 to June 30, 2024 for the renewal of the support and maintenance agreement for the OnBase software. By contracting for a three-year term, the City is guaranteed a consistent price for each year instead of a 3% increase per year. Keeping the annual cost at $85,120.20 for each of the three terms, a savings of $15,725.86 or $5,241.95 per year will be realized.
The Information Technology (IT) Department has identified this purchase as a sole source because under Hyland’s commercial policies, Requordit is the sole authorized reseller to provide maintenance support to the City. A sole source letter from the software developer is attached.
If this sole source was not approved, the IT Department would be required to solicit for a new electronic document management system. Switching to a new system would have significant impact on City operations due to the central use of the software by all departments. Costs would not only include the new system, but also implementation, migration of all documents, and staff training. This would take several years to offset the monetary and resource costs to transition.
FISCAL IMPACT:
OnBase Annual Maintenance is expensed to the Software & Hardware maintenance account below. A total of $90,000 is budgeted in 2021 for this renewal. The remaining years will be budgeted and expensed accordingly during the 2022 and 2023 budget processes.
|
Account Number |
Fund Description |
Total Budget Amount |
|
16101100-531312 |
General Fund |
$2,721,517 |