COUNCIL COMMUNICATION
TO: Honorable Mayor and Council
FROM: Jill Olsen, Administrative Services Director
SUBJECT:Title
Approve Software License Agreement, Support and Maintenance Agreement and Software Implementation Services Agreement with N. Harris Computer Corporation for the Northstar Customer Information System (CIS) Software for Utility Billing (Jill Olsen)
Body
FUNDING SOURCE:
Wastewater Utility Fund and Irrigation and Drainage District Fund through the Community Investment Program (CIP).
PURPOSE:
Approve the Software License Agreement, Support and Maintenance Agreement and the Software Implementation Services Agreement for the purchase, implementation and support/maintenance of the Northstar Customer Information System to replace the City’s existing Sungard HTE system for utility billing.
BACKGROUND:
In November 2017, Council approved the purchase of the Oracle Fusion ERP system to replace the City’s existing financial system. This purchase was the first phase of replacements for the out-of-date and obsolete system. In this next phase, the City budgeted to replace the current Sungard HTE customer service/utility billing system in Fiscal Year (FY) 2018-19. Staff reviewed demonstrations for various systems and determined that the Northstar system was the best long-term solution for this purpose.
Purchase of the new billing system was included in the CIP for FY 2018-19. Staff demonstrated a variety of systems and the result was the selection of the most feasible product at the most affordable price. This system will be interfaced with the new Oracle Fusion ERP system and is a good long-term solution for the City.
Implementation of the system is priced at approximately $531,000 with annual support/maintenance fees of approximately $46,000. With the budget at $600,000 there will be a small amount for addressing any issues that arise during implementation.
COMMUNITY IMPACT:
The improved utility billing system will allow the City to continue to improve automation, simplify processes and provide an enhanced level of customer service.
FISCAL IMPACT:
Funds are available in the FY 2018-19 budget for purchase, implementation and support.
ATTACHMENTS:
Software License Agreement
Support and Maintenance Agreement
Software Implementation Services Agreement
Statement of Work
SUGGESTED MOTION:Recommended Action
I move to approve the Software License Agreement, Support and Maintenance Agreement, Software Implementation Services Agreement and the Statement of Work between Lake Havasu City and N. Harris Computer Corporation in an amount not-to-exceed $600,000 and authorize the City Manager to execute the agreements on behalf of the City.