CITY COUNCIL AGENDA ITEM
ACTION REQUESTED:
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Approve the Award of Change Order #1 to Contract 15-134, Electronic Bill Payment, to FIS for an amount not to exceed $22,000 and a total award of $202,000.
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DEPARTMENT: Finance Department
SUBMITTED BY: Lynn Lockwood, Assistant Director
BOARD/COMMISSION REVIEW:
N/A
BACKGROUND:
On November 18, 2014, City Council awarded Contract 15-134 to FIS for $180,000 and a three-year term ending December 31, 2017. The contract provides utility customers the opportunity to view and pay City bills online. This has proven a successful and convenient bill-pay method. The electronic bill payment program also reduced the City’s operating costs compared to the processing of paper bills.
DISCUSSION:
A change order in the amount of $22,000 is requested because usage of the electronic bill payment system was higher than Finance staff estimated when the contract was originally awarded. Between January 2015 and August 2017, the number of enrollees has increased approximately 22% (from 25,782 to 31,471) and number of payments per month increased approximately 25% (from 3,240 to 4,066).
This change order request does not impact the 18-month contract extension (January 1, 2018 - June 30, 2019) the City Council approved at the October 17, 2017 meeting. The purpose of this change order is to ensure that funds are available for anticipated electronic bill payments through the end of this contract term (December 31, 2017).
FISCAL IMPACT:
CIP #: N/A
Electronic bill payments are expensed to the other professional service accounts listed below. A total of $121,500 is budgeted for e-bill maintenance in CY2017. The recommended request is within budget.
|
Account Number |
Fund Description |
Total Budget Amount |
|
410-1511-415.35-09 |
Electric Utility |
$60,750 |
|
430-1511-415.35-09 |
Water Utility |
$60,750 |