Title
Approve and authorize the Contracts/Purchasing Officer to execute Amendment No. 13 to the Master Proprietary Software Maintenance Agreement dated April 7, 2008 for support of CGI Technologies’ Advantage System to continue Enhanced Maintenance Service (EMS) for Advantage HRM for a 5 year term beginning July 1, 2016 in the amount of $205,000 for year one and $185,000 each year thereafter, for a total of $945,000.
Report
RECOMMENDATION:
It is recommended that the Board of Supervisors:
Approve and authorize the Contracts/Purchasing Officer to execute Amendment No. 13 to the Master Proprietary Software Maintenance Agreement dated April 7, 2008 for support of CGI Technologies’ Advantage System to continue Enhanced Maintenance Service (EMS) for Advantage HRM for a 5 year term beginning July 1, 2016 in the amount of $205,000 for year one and $185,000 each year thereafter, for a total of $945,000.
SUMMARY/DISCUSSION:
On April 1, 2008, the Board of Supervisors approved and authorized the Contracts/Purchasing Officer to sign the Enterprise Resource Planning (ERP) Proprietary Software Maintenance Agreement No. 1402716 with CGI Technologies. The original agreement included a base “Standard Support and Maintenance” at a fixed price of $326,256 for the period of 8/1/08 through 12/31/09; $570,732 annually for the period of 1/1/10 through 12/31/12; and $115,427 for the period of 7/1/12 through 12/31/12. Subsequent Amendments allowed for the increased coverage of third party bundled software enhancements at no significant cost. On February 5, 2013 Amendment No. 1 the Master Proprietary Software Maintenance Agreement was extended through 12/31/17.
Enhanced Maintenance Services (EMS) was introduced on July 26, 2011 with Amendment No. 7. EMS provides that CGI Technologies maintain a test copy of Monterey County’s Advantage HRM version 3.7 production application code environment. This copy enables CGI to evaluate, resolve and test current and future Monterey County specific HR/Payroll system configurations. This test environment is based on unique and complex Monterey County adopted pay practices which vary from the FLSA compliant system developed by CGI Technologies. EMS also provides: Patch Set Services, Extended Phone Support Services, and Discretionary Services.
Amendment No. 13 continues Enhanced Maintenance Service (EMS) for Advantage HRM. At the time the County goes live with Advantage Version 3.10 EMS coverage continues for Advantage HRM and extends to include Advantage Financial. FY 2016-17 will be charged at a rate of $205,000 and subsequently drop to $185,000 for each FY thereafter. The proposed increase in rate of $205,000 for Fiscal Year 2016-17 is related to the transition from CGI Advantage version 3.7 to version 3.10. Total cost of Amendment No. 13 over 5 years is $945,000.
OTHER AGENCY INVOLVEMENT:
County Administrative Office participated in discussions regarding the necessity and cost of enhanced maintenance services.
FINANCING:
The costs for Amendment No. 13, continued Enhanced Maintenance Services have been included in Fund 001, Unit 8373 - Systems Management Budget for FY 2016-17. The budgeted appropriation in Unit 8373 is offset by ERP Departmental Charges.
Prepared by: Maria Papurello, Administrative Services Assistant, 755-5084
Approved by: Michael J. Miller, Auditor-Controller, 755-5040
Attachments:
Amendment No. 13
Exhibit A - ERP Maintenance Cost Summary