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HomeMy WebLinkAboutStaff Report 3.A 11/19/2012 w2ALtrleciltem/v#3 .A 2859 DATE: November 19,2012 TO: Honorable Mayor and Members of the City Council through City Manager FROM: William-Mushall"o;Finance Director Sue Simmons,Commercial Services.Manager SUBJECT: Resolution Authorizing City Manager to,Sign:Purchase Documents for Tyler Cashiering Software in the amount of$38,407 RECOMMENDATION It is recommended that the_City'Council adopt the attached Resolution authorizing the City Manager to sign purchase documents for Tyler Cashiering software from Tyler/Eden in the • amount of.$38,407 plus travel costs and applicable sales taxes. • • I • BACKGROUND - • ' The City currently utilizes Eden's third party software system called(CORE Cashiering to process cash receipts. The-City utilizes Tyler Technologies' proprietary Eden software system for all accounting functions, including financials, budgeting and payroll: The acquisition of Eden software was authorized by the Petaluma City Council on December 17, 2007 in Resolution #2007-211. The CORE Cashiering system was included in the Eden acquisition because an integrated proprietary cashiering module was not available at that time. In late 2010 Tyler Technologies developed a,proprietary cashiering system for Eden accounting systems called Tyler Cashiering. Eden no longer is selling,CORE Cashiering to new clients. The CORE Cashiering system will.be gradually phased out. CORE Cashiering does not operate with Windows 7. It currentlyis installed in Windows XP compatibility mode, which could compromise functionality at some point. As Eden continues to de-emphasize this product, the technical support response time, and the time taken to resolve issues will increase. DISCUSSION The Financial Audit Information Systems Review, performed by Maze and Associates in 2012, recommends the implementation of a unique identification and.authentication for all cashiering users to definitively determine which user accesses cashiering data or processes a cashiering transaction. The CORE Cashiering system does not satisfy this requirement. It does not have Windows authentication as a login option. It utilizes;a proprietary user identification system which is separate from the Windows authentication utilized in the other Eden modules. CORE Agenda Review: ' City Attorney _ Finance Director City Mana • Cashiering also requires a complete exit from the cashiering system in order to switch cashiering users. Eden's Tyler Cashiering system utilizes the same Windows authentication used in the other Eden modules. The'software also is designed to accommodate switching users in the cashiering system for shift changes throughout the day without exiting program; and the cashier's unique Eden user identification is linked to each cashiering transaction. A critical role of the City's Information Technology department is to ensure continued business operations in.the-event of and-in the days following disaster. This often involves the creation of a redundant system at a`second location. Currently, there is no redundant setup for the cashiering system to be used for business continuity. Moving to the Tyler Cashiering module would allow us to take advantage of the Eden financial system's existing hardware setup and software licensing to similarly have a back-up for our cashiering operations. Tyler Cashiering has flexibility in setup that greatly opens the opportunity for redundancy, an opportunity that does not exist with the current cashiering system. CORE Cashiering is not PCI compliant, which impedes the implementation of efficient, credit card swipe technology. Tyler Cashiering offers a card swipe system that is fully integrated with the cashiering/accounting system. This system will eliminate the double entry processing required by external credit card terminals. • CORE Cashiering's annual maintenance costs are calculated.on a perseatlicense basis. 'In order u to keep this cost down, the number of seat licenses were kept to anabsoluteminimum,just the computers used by the City's cashiers (9). Therefore, access to detailed revenue information has. been very limited. Computers that do not have the seat license software installed cannot access cash receipt information. This hinders receipt related research and reporting by non-cashier accounting staff Tyler Cashiering utilizes a site license which would.allow.an unlimited amount of users to access the system Without additional annual costs. Staff compiled.a questionnaire and submitted it:to personnel in three Cities that recently implemented Tyler Cashiering after having used CORE cashiering in previous years. The responses were very favorable. All three Citiesreported an improvement in receipting efficiency and speed, and better technical support from Tyler Technologies' programming team. The resolution authorizing this acquisition follows the requirements outlined in the City's Municipal Code 4.04.100. The referenced section provides for cooperative purchasing of items • thathave been publicly bid and awarded. The proposal meets the code section by having been bid and awarded by the National Joint Purchasing Alliance (NJPA). Tyler's award contract is ##113011. Staff recommends that the Council adopt the attached Resolution, authorizing the City Manager to sign purchase documents for Tyler Cashiering software from Tyler/Eden in the amount of $38,407 phis travel costs and applicable sales taxes, personal property or other similar taxes. 2. FINANCIAL IMPACTS The Tyler Cashiering system purchase totals $38,407. This includes software priced at $24,000; consulting, training and support totaling $12,960;•a USB reader costing $62.00; three hand-held scanners totaling $1,155, and a cash drawer costing $230.00. The purchase of the Tyler Cashiering system is funded by the Information Technology Division. $9,800 will be funded from current appropriations anda mid-year budget adjustment will be requested in the amount of $28,607. Starting January 2013; cashiering software maintenance costs will decrease from the CORE Cashiering seat license rate of$19,500 per year to the annual Tyler cashiering site license rate of$5,760. This will result in savings of$13,740 per year. When those savings are considered, the incremental investment in the Tyler Cashiering system will be recovered in approximately 2.15 years. Implementation of this proposal will also result in savings of staff time associated with cashiering processing, accounting research, and on ongoing maintenance and support. Implementationof this proposal will result in savings to staff in cashiering processing time, accounting research and reporting time, and ongoing maintenance and support time. ATTACHMENTS 1. Resolution Authorizing City Manager to Sign Purchase Documents for Tyler Cashiering Software in the amount of$38,407. 2. Tyler/Eden quote # 27895 (refereed to as Exhibit A in the resolution). • • 3 ATTACHMENT 1 RESOLUTION AUTHORIZING.CITY MANAGER TO SIGN PURCHASE DOCUMENTS FOR TYLER CASHIERING SOFTWARE IN THE AMOUNT OF $38,407 WHEREAS, the,City of Petaluma's most recent financial audit recommended an improved user identification system within the City's cashiering system, and WHEREAS, the current cashiering system is based on a software system that has not performed adequately for integration purposes and does not allow access over a broad base of City users; and WHEREAS, the Tyler Cashiering Module ("Eden system") is the same software used for the City's financial system and therefore will facilitate better integration of the cashiering system and the financial system;-and WHEREAS, the Eden system will reduce annual maintenance costs over time and allow cashiering information to be available to all City staff, rather than a limited number of users; and WHEREAS; the City has obtained a cost quotation from Tyler Technologies for the Eden ` • system which was previouslycompetitively bid and awarded>through-the National Joint Purchasing Alliance, and therefore conforms to Petaluma Municipal Code section.4:04.100, • providing an,exception to a.City,formal bid process. NOW,THEREFORE, BE IT RESOLVED by the City Council of the City of Petalunia as follows: The City Council authorizes the City Manager to execute purchasing documents to acquire cashiering software, training and consulting services and one year of annual maintenance from Tyler/Eden not to exceed the sum of$38,407, plus travel costs and applicable sales, personal property or other similar taxes, as outlined in the Sales Quotation from Tyler Technologies dated September 6, 2012 and attached hereto as Exhibit A. 1- Exhibit A Quoted By: Christina Hendrickson 00� j��w e. Date: 09/06/2012 0 00 0to L Quote Expiration: 12/30/2012 oe teclinciatttes Quote Name: Tyler Cashiering Quote Number: 27895 Sales Quotation For: Tim Williamsen Mr. Phone: (707)778-4573 City of Petaluma PO Box 61 Fax:: Petaluma, CA 94953 Email: timw @ci.petaluma.ca:ns 1 Software �` tModel`# . •, D'es c p--t to n. . °,• -� � n,.-;. „5�Pnces `ExPteInICdCeL d a oyDa ts.�io unt�,� r '-g 5ot.h.va_r_e s otal„ ••• Qt �P°+ ,� . uTy.er C_asli_iering.-.Sn-o-ftw�are 1.00 532,000.00 $32;000.00 58,000.00 $24,000.00 Total: Total: $8,000.00 $24,000.00 2 Services Training •�4 rModcl#t'. •; =fl .1 Description ': � z-r Quanft� ` Pnra7� �Exteiided nisiount+ �;1tra3nin".Total OF=CASH-CS-E Tyler Cast icting-Consulting 00 $1,200.00 51,20(.00 $0.00 . �r--77.11_,29600_00_ OF'CASH TR E _ Tyler Casl;ieriEg Tratmgg� 5 00' a �l 200:00 l�$6 000"_00�( 00 24 . 000 00 ; Total: 1 , 200 . 00 + $7,200.00 6 + 000 • 00 -1 5 , 76n . 00 + Total Total- Total Total Total 62 • 011 + Other Consulting: Training: Conversion Services: Services: Services: 385 . 00 + $0.00 $0.00 $7,200.00 $0.00 $7,200.00 3p8 . 00 385 . 00 + Total Training Total Da s: 6 Consulting 23 . 00 ' y Days: 0 38 , 407 . 00 '* 3 Maintenance Dcscriphmt rt.. Qpaotit �Priu Extended DtscountSr h'Imotena`nceeCotail" OF-CASH=SP=E' Tyler Cashiering- Support 1.00 55,760:00 55,760.00 $0:00 $5,760.00 Total: Total: $0.00 $5,760.00 4 Hardware fi �• " ° "Descrtp'rion y. Quanhtj a.„ V. +Eztcnded Dtsctiunt it dware Totalt' • '+��+ Ms:t� e ..,��' ,dr Fx�,"�*`tea •{ �°'!,., � J� .Aa ML' `t!4 �' . 4Rc +a.rPrlce.`.A• � �. �.. v �d _.ia r��'.,2 VI:R-CASH-HDNS3610-8D ID Tcch MiniMag USB Reader 100' 56200 562`.00 $0.00 562.00 Total: Total: Pagel o City of Petaluma $0.00 $62.00 Summary Fees Maintenance Total Software $24,000.00 $5,760.00 'Total Services $7,200:00 Total Hardware $62:00 Summary Total $31,262.00 $5,760.00 Comments Tyler's,quote contains estimates of the,amount-of services:needed,;based on bur preliminary understanding of the size and scope of your project. The actual amount of services depends.on such factors as your leveliof involvement'in the project and the speed of knowledge transfer. Prices submitted in the quote do not include:travel expenses incurred in accordance with Tyler's then-current Business Travel Policy. 'Tyler's prices:do'not include applicable local,city or federal sales,,use, excise,personal property or other similar taxes or duties,which you are responsible for determining and remitting. In the event Client cancels services less than two(2)weeks in advance,Client is liable to Tyler for(i)all non-refundable expenses incurred by Tyler on Client's behalf; and(ii)daily fees associated with the canceled.services-if_Tyler is unable to re-assign its personnel. For existing EDEN Clients,the fees are billed as follows: 100%of Application Software License Fees upon delivery of theisoftware products - 100%of the Year 1 Application Software Maintenance Fees are billed upon Initiation(first day of training) - 100%of the Third Party Product License Fees/Purchase Price upon delivery of the third party products 100%of the Year I Third Party ProducfMaintenance Fees upon delivery of the third party products - Services and associated expenses as provided/incurred. Payment is due within 30 days of invoice receipt Quote as subject to existing Contract. Optional Software and Services--not+.included�in Totals " ` a $ " -r uD eeriOf on). .1 ,9Qunih $ce E;PtenfId dQ �' f n , v! fMd.aF r c' 'fad i Scr ki,k-6g . VAR-CASH-HDW-3601- Hand Held Scanner-Model 1.00 $385.00 5385.00 50.00 5385.00 ED 46000 VAR,CA_SH`HDW'1606 . __ - _ • ED� t Pinter=(LPSON TM-H6000110 i '1,00 r1 400 00 i $1;90000 1 .$0.00 ' $1400.00. VAR-CASH-HDw'-3607- Cash Drawer 1.00 5230.00 5230.00 50.00 5230.00 ED Unless otherwise indicated in the Contract or Amendment thereto,pricing for optional items will be held for six(6)months from the Quote date or the Effective Date of the Contract,whichever is later. Total: $2,015.00 . Customer Approval: Date: Print Name: P.O. #: All primary values quoted in:US Dollars. City of Petaluma Page 2 of 2 6