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HomeMy WebLinkAbout06-113 R , , Resolution No.06-113 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH PLANTE &MORAN, PLLC FOR CONSULTING SERVICES FOR SOFTWARE SELECTION AND IMPLEMENTATION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Olufemi Folarin,City Manager,and Dolonna Mecum,City Clerk,be and are hereby authorized and directed to execute an agreement on behalf of the City of Elgin with Plante & Moran, PLLC for consulting services for software selection and implementation,a copy of which is attached hereto and made a part hereof by reference. s/Ed Schock Ed Schock, Mayor Presented: May 24, 2006 Adopted: May 24, 2006 Omnibus Vote: Yeas: 6 Nays: 0 Attest: s/Dolonna Mecum Dolonna Mecum, City Clerk r , (40 Resolution No. 06-113 RESOLUTION AUTHORIZING EXECUTION OF AN AGREEMENT WITH PLANTE &MORAN, PLLC FOR CONSULTING SERVICES FOR SOFTWARE SELECTION AND IMPLEMENTATION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,ILLINOIS,that Olufemi Folarin,City Manager,and Dolonna Mecum,City Clerk,be and are hereby authorized and directed to execute an agreement on behalf of the City of Elgin with Plante & Moran, PLLC for consulting services for software selection and implementation,a copy of which is attached hereto and made a part hereof by reference. Ed Schock, Mayor Presented: May 24, 2006 Adopted: Vote: Yeas Nays Recorded: Attest: Dolonna Mecum, City Clerk (to ki \ UNA) AGREEMENT THIS AGREEMENT is made and entered into this 25th day of May, 2006, by and between the CITY OF ELGIN, an Illinois municipal corporation (hereinafter referred to as "CITY") and PLANTE & MORAN, PLLC, a Michigan limited liability company, (hereinafter referred to as "CONSULTANT" ) . WHEREAS, the CITY desires to engage the CONSULTANT to furnish certain professional services in connection with the selection and implementation of a municipal management system (hereinafter referred to as the "PROJECT" ) ; and WHEREAS, the CONSULTANT represents that he is in compliance with Illinois Statutes relating to professional registration of individuals and has the necessary expertise and experience to furnish such services upon the terms and conditions set forth herein below. NOW, THEREFORE, it is hereby agreed by and between the CITY and the CONSULTANT that the CITY does hereby retain the CONSULTANT for and in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby mutually acknowledged to act for and represent it in all consulting matters involved in the PROJECT, subject to the following terms and conditions and stipulations, to-wit : 1 . SCOPE OF SERVICES A. All work hereunder shall be performed under the direction of the Director of Management Information Systems of the CITY, hereinafter `referred to as the "DIRECTOR" . B . Outline of Services provided: Phase I Vendor Selection / Negotiation Phase II Implementation Management C . A detailed Scope of Services is attached hereto and made a part hereof as Attachment "A" . 2 . PROGRESS REPORTS CONSULTANT shall comply with the outline project milestone schedule provided herein as Attachment "B" . Progress will be recorded on the project milestone schedule and submitted with each request for payment (paragraph 5 A below) . 3 . WORK PRODUCTS All work products prepared by the CONSULTANT pursuant hereto including, but not limited to, reports, designs, calculations, work drawings, studies, photographs, models and recommendations shall be the property of the CITY and shall be delivered to the CITY upon request of the DIRECTOR provided, however, that the CONSULTANT may retain copies of such work products for its records. Such work products are not intended or represented to be suitable for reuse by the CITY on any extension to the PROJECT or on any other project, and such reuse shall be at the sole risk of the CITY without liability or legal exposure to the CONSULTANT. 4 . PAYMENTS TO THE CONSULTANT (Not To Exceed Method) A. For services provided the CONSULTANT shall be reimbursed at the direct hourly rate of personnel employed on this PROJECT, with the total fee not to exceed Eighty-Three Thousand Eight Hundred Dollars ($83, 800 . 00) regardless of the actual costs incurred by the CONSULTANT unless substantial modifications to the scope of the work are authorized in writing by the DIRECTOR. B. The CITY shall make periodic payments to the CONSULTANT based upon actual progress within 30 days after receipt and approval of invoice. Full payments for each task shall not be made until the task is completed and accepted by the DIRECTOR. 5 . INVOICES A. The CONSULTANT shall submit invoices in a format approved by the CITY. Progress reports (paragraph 2 above) will be included with all payment requests . B. The CONSULTANT shall maintain records showing actual time devoted and cost incurred. The CONSULTANT shall permit the authorized representative of the CITY to inspect and audit all data and records of the CONSULTANT for work done under this Agreement . The CONSULTANT shall make these records available at reasonable times during the Agreement period, and for a year after termination of this Agreement . 6 . TERMINATION OF AGREEMENT Notwithstanding any other provision hereof, the CITY may terminate this Agreement at any time upon fifteen (15) days prior written notice to the CONSULTANT. In the event that this Agreement is so terminated, the CONSULTANT shall be paid for services actually performed and reimbursable expenses actually incurred prior to termination, except that reimbursement shall not exceed the task amounts set forth under Paragraph 4 above. - 2 - 7 . TERM Unless terminated for cause or pursuant to Article 5 herein, this Agreement shall terminate on the date the CITY determines that all of CONSULTANT' s work pursuant to this Agreement has been finally completed. A determination of final completion shall not constitute a waiver of any rights or claims which the CITY may have or may thereafter acquire with respect to any term or provision of this Agreement . 8 . NOTICE OF CLAIM If the CONSULTANT wishes to make a claim for additional compensation as a result of action taken by the CITY, the CONSULTANT shall give written notice of his claim within 15 days after occurrence of such action. No claim for additional compensation shall be valid unless so made. Any changes in the CONSULTANT' s fee shall be valid only to the extent that such changes are included in writing signed by the CITY and the CONSULTANT. Regardless of the decision of the DIRECTOR relative to a claim submitted by the CONSULTANT, all work required under this Agreement as determined by the DIRECTOR shall proceed without interruption. 9 . BREACH OF CONTRACT If either party violates or breaches any term of this • Agreement, such violation or breach shall be deemed to constitute a default, and the other party has the right to seek such administrative, contractual or legal remedies as may be suitable to the violation or breach; and, in addition, if either party, by reason of any default, fails within fifteen (15) days after notice thereof by the other party to comply with the conditions of the Agreement, the other party may terminate this Agreement . 10 . INDEMNIFICATION To the fullest extent permitted by law, CONSULTANT agrees to and shall indemnify, defend and hold harmless the CITY, its officers, employees, agents, boards and commissions from and against any and all claims, suits, judgments, costs, attorneys fees, damages or other relief, including but not limited to workers compensation claims, in any way resulting from or arising out of negligent actions or omissions of the CONSULTANT in connection herewith, including negligence or omissions of employees or agents of the CONSULTANT arising out of the performance of this Agreement . In the event of any action against the CITY, its officers, employees, agents, boards or commissions, covered by the foregoing duty to indemnify, defend and hold harmless such action shall be defended by legal counsel of the CITY' s choosing. The provisions of this paragraph shall survive any expiration and/or termination of this agreement . - 3 - 11 . NO PERSONAL LIABILITY No official, director, officer, agent or employee of the CITY shall be charged personally or held contractually liable under any term or provision of this Agreement or because of their execution, approval or attempted execution of this Agreement . 12 . NONDISCRIMINATION In all hiring or employment made possible or resulting from this Agreement, there shall be no discrimination against any employee - or applicant for employment because of sex, age, race, color, creed, national origin, marital status, of the presence of any sensory, mental or physical handicap, unless based upon a bona fide occupational qualification, and this requirement shall apply to, but not be limited to, the following: employment advertising, layoff or termination, rates of pay or other forms of compensation and selection for training, including apprenticeship. No person shall be denied or subjected to discrimination in receipt of the benefit of any services or activities made possible by or resulting from this Agreement on the grounds of sex, race, color, creed, national origin, age except minimum age and retirement provisions, marital status or the presence of any sensory, mental or physical handicap. Any violation of this provision shall be considered a violation of a material provision of this Agreement and shall be grounds for cancellation, termination or suspension, in whole or in part, of the Agreement by the CITY. 13 . ASSIGNMENT AND SUCCESSORS This Agreement and each and every portion thereof shall be binding upon the successors and the assigns of the parties hereto; provided, however, that no assignment shall be made without the prior written consent of the CITY. 14 . DELEGATIONS AND SUBCONTRACTORS Any assignment, delegation or subcontracting shall be subject to all the terms, conditions and other provisions of this Agreement and the CONSULTANT shall remain liable to the CITY with respect to each and every item, condition and other provision hereof to the same extent that the CONSULTANT would have been obligated if it had done the work itself and no assignment, delegation or subcontract had been made. Any proposed subcontractor shall require the CITY' s advanced written approval . - 4 - 15 . NO CO-PARTNERSHIP OR AGENCY This agreement shall not be construed so as to create a partnership, joint venture, employment or other agency relationship between the parties hereto. 16 . SEVERABILITY The parties intend and agreed that, if any paragraph, sub- paragraph, phrase, clause .or other provision of this Agreement, or any portion thereof, shall be held to be void or otherwise unenforceable, all other portions of this Agreement shall remain in full force and effect . 17 . HEADINGS The headings of the several paragraphs of this Agreement are inserted only as a matter of convenience and for reference and in no way are they intended to define, limit or describe the scope of intent of any provision of this Agreement, nor shall they be construed to affect in any manner the terms and provisions hereof or the interpretation or construction thereof . 18 . MODIFICATION OR AMENDMENT This Agreement and its attachments constitutes the entire Agreement of the parties on the subject matter hereof and may not be changed, modified, discharged or extended except by written amendment duly executed by the parties . Each party agrees that no representations or warranties shall be binding upon the other party unless expressed in writing herein or in a duly executed amendment hereof, or change order as herein provided. 19 . APPLICABLE LAW This Agreement shall be deemed to have been made in, and shall be construed in accordance with the laws of the State of Illinois . Venue for the resolution of any disputes or the enforcement of any rights pursuant to this agreement shall be in the Circuit Court• of Kane County, Illinois . 20 . NEWS RELEASES The CONSULTANT may not issue any news releases without prior approval from the DIRECTOR, nor will the CONSULTANT make public proposals developed under this Agreement without prior written approval from the DIRECTOR prior to said documentation becoming matters of public record. - 5 - 21 . COOPERATION WITH OTHER CONSULTANTS The CONSULTANT shall cooperate with any other consultants in the CITY ' s employ or any work associated with the PROJECT. 22 . INTERFERENCE WITH PUBLIC CONTRACTING The CONSULTANT certifies hereby that it is not barred from bidding on this contract as a result of a violation of 720 ILCS 5/33E, et seq. or any similar state or federal statute regarding bid-rigging. 23 . SEXUAL HARASSMENT As a condition of this contract , the CONSULTANT shall have written sexual harassment policies that include, at a minimum, the following information: A. the illegality of sexual harassment ; B . the definition of sexual harassment under state and . federal law; C . a description of sexual harassment, utilizing examples; D. the vendor' s internal complaint process including penalties and provisions by which a complaining party may issue a complaint to someone other than the party being complained of; E . the legal recourse, investigative and complaint process available through the Illinois Department of Human Rights, and the Illinois Human Rights Commission; F . directions on how to contact the department and commission; and G. protection against retaliation as provided by Section 6- 101 of the Human Rights Act . A copy of the policies must be provided to the Department of Human Rights upon request . 24 . WRITTEN COMMUNICATIONS All recommendations and other communications by the CONSULTANT to the DIRECTOR and to other participants which may affect cost or time of completion, shall be made or confirmed in writing. The DIRECTOR may also require other recommendations and communications by the CONSULTANT be made or confirmed in writing . - 6 - 25 . NOTICES All notices, reports and documents required under this Agreement shall be in writing and shall be mailed by First Class Mail , postage prepaid, addressed as follows : A. As to CITY: JEFF MASSEY Director of Management Information Systems City of Elgin 150 Dexter Court Elgin, Illinois 60120-5555 B. �' As to CONSULTANT: lollIAT-1 .v.) e r ( ti-tiNYC Arre 2:7(4cd tiu2-n-} wk=-- So y .-1( t r.( ( c-/ k 37—a 36-7 IN WITNESS WHEREOF, the undersigned have placed their hands and seals upon and executed this Agreement in triplicate as though each copy hereof was an original and that there are no other oral agreements that have not been reduced to writing in this statement . FOR THE CITY: FOR THE CONSULTANT: By � By �� I City an er ' 1241 Attest : City Clerk F:\Legal Dept\Agreement\MIS-Plante & Morgan Agr.doc - 7 - Af{tlChn'ien+ "A" 3 • March 2, 2006 City of Elgin Municipal Management System Consulting—RFP#06-019 5.2.2 Phase I: Vendor Selection 1. Review Documents At the start of the project, we intend to review various documents that pertain to the project including the following information: 3 • Municipal Management System proposal prepared by the City • Other pertinent documents 3 2. Develop ERP Selection Criteria and Weighting Factors Our selection approach will enable the City to identify the overall finalist, in conjunction with other due diligence tasks (i.e., reference checks, site visits, successful contract negotiations). Before proceeding, the Steering Committee should meet to delineate the selection criteria and weighting factors that will be used to analyze Request for Proposal (RFP) responses and other due diligence results. The following list illustrates criteria and weighting factors we have successfully used to select ERP solutions for government clients. The list also explains how the ranking of RFP responses occurs: • Criterion: ERP Software Specification Compliance o Response weightings (i.e., Y = 100%, M = 50%, F = 25%, N = 0%) are used to calculate an overall weighted specification compliance percentage for each specification .1 application module sub-section o Relative weightings of specification / application module sub-sections in comparison to one 3 another (i.e., General Ledger = 25%, Payroll = 20%, Project/Grant Accounting = 10%, etc.) are used to calculate an overall weighted specification compliance percentage for the entire ERP solution o Compare compliance percentages of each vendor 3 • Criterion: Vendor Background Questionnaire Responses o Various point scores assigned to each question and a total score is calculated 311 o Compare point scores of each vendor • Criterion: Costs o One-time and on-going support costs are tallied o Compare costs of each vendor • Criterion: Professional Services Contract Compliance o Various point scores assigned to each clause and a total score is calculated o Compare point scores of each vendor • Criterion: Implementation Schedule Compliance o Various point scores assigned to each due date and a total score is calculated o Compare point scores with other vendors' scores • Criterion: Business Process Re-Design Compliance o Various point scores assigned to each process and a total score is calculated o Compare point scores of each vendor We typically use a tiered process in which to reach the finalist decision. For example, the City may wish to specify minimum criteria that all responding vendors are required to meet in order for their bid response to be considered (e.g., minimum population size of municipality with installation of the current version of their software, bid response does not exceed a particular dollar figure, etc.). For those vendors meeting the initial criteria, their bid responses will be evaluated against a second level of criteria prior to any formal due diligence activities, vendor demonstrations, etc. This evaluation will be based solely on their RFP response. The top two or three vendors that score the highest on this second round of scoring will be considered the finalist vendors. For the finalist vendors, a more comprehensive scoring process will be used that is based on the following sources of information: Page 32 of 46 I March 2, 2006 City of Elgin Municipal Management System Consulting—RFP#06-019 • Vendor RFP response • Vendor demonstration(s) • Reference checking with comparable sites • Potential site visits • Other due diligence activities (e.g., vendor research, knowledge of vendor in marketplace as noted by other clients or industry analysts) Categories of criteria and sub-criteria are established along with weightings to conduct an unbiased scoring of the finalist vendors. Scoring of the finalist vendors can be conducted in a group setting with all members of the selection committee developing a single score or conducted individually by members of the selection who will score vendors in areas that they have comfort in scoring. There may be situations in which certain members of the selection committee may not be comfortable with scoring a vendor's solution (e.g., technical infrastructure in which they do not have knowledge or expertise in that area). The following categories of criteria and relative rankings can be used as a typical example: • General Vendor 20% • Functional Requirements 40% • Technical Requirements 10% • Other Vendor 10% • Cost 20% An Excel template we have used on many client assignments will be used to record the above scores and calculations, allowing for a blind numerical ranking of the proposed solutions to be calculated. This removes all bias from the selection process. 3. Analyze Proposals and Select Semi-Finalists Vendors will be instructed to complete the forms in the RFP and return them on CD or diskette with their proposals. We will then tabulate the responses to the hundreds of application specifications that are included in the RFP. A percent compliance will be calculated and incorporated into a proposal comparison template we have developed. When combined with a variety of other comparative criteria gathered from the proposals, the template automatically calculates a blind numerical ranking of each. This eliminates any bias from influencing the selection process. The templates will allow the City to measure each vendor on: • Conformance with the specifications • Software licensing costs • Hardware purchase costs • Implementation, training, conversion, and modification services costs • On-going support costs • Contract terms and implementation schedule compliance • General background criteria (e.g., number of installations, historical financial performance, number of support staff, platforms supported, etc.) 9 We will meet with the City to present the comparative proposal analysis. Together, we will select the two most qualified vendors, based on the pre-established selection criteria and scoring by the selection committee 9 members, who will then be subjected to the due diligence tasks described in the following work plan tasks. 1 1 Page 33 of 46 1 March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 4. Provide Sample Vendor Demonstration Scripts and Other Due Diligence Templates We will provide the City with sample vendor demonstration scripts that are intended to direct the vendor 9 demonstrations towards the needs of the City. These scripts are intended to have the vendors demonstrate their products according to desired financial processes within the City such that staff can understand not only whether the vendor's product will support their financial processes but also how well the product can support their financial processes. Furthermore, these scripts allow for a more standardized process from which to compare the vendors. Additionally, we will provide sample templates to use during the vendor demonstration and due diligence activities including: • Vendor demonstration agenda 3 • Letters to send to those vendors who are proceeding forward upon receipt of their RFP responses as well as letters to send to those vendors whose solutions are not being considered based on initial review of their RFP responses • Forms to document vendor information during the vendor demonstrations, reference checking and potential site visit processes • Spreadsheet for scoring the RFP responses and finalist vendors 5. Facilitate Vendor Demonstration Process On behalf of the City, we will contact the semi-finalists and schedule a software demonstration with each. The demonstrations will be held at the City and will include a cross-section of staff from the City. A proposed agenda and demonstration scripts will be provided to the vendors. Various forms will be used as a detailed checklist for scoring each vendor's performance and functionality. As part of this engagement, we will not participate in attending the vendor demonstrations unless requested but intend to debrief with the City as go through the various vendor demonstrations. 6. Conduct Additional Due Diligence Activities In addition to vendor demonstrations, there are a number of activities that the City can undertake to conduct additional due diligence on the finalist vendors including: • We will provide forms to the City if they wish to conduct site visits to comparably sized and complex installations to review the installation of the vendor's software. We will provide the City with detailed checklists of issues and items to discuss and score during the site visits. Note that as a result of the demonstrations, it may be possible to eliminate one of the vendors, thereby reducing the number of site visits required. • We will provide forms to the City for reference checking to assess how well others have adapted the semi finalists' systems to their needs, and identify issues to address during contract negotiations. We have found that having City staff contact their peers at the reference sites results in more productive and informative conversations. As such, we will oversee the reference checking process, but not perform the checking ourselves. 7. Meet with the City to Select a Finalist Vendor and Present a Joint Recommendation to the City Council We will meet with the City up to two separate times to review the due diligence information gathered. It is possible that there may be a need to have the final two vendors conduct a final software demonstration that will focus on very specific areas of review. Together, we will review and discuss the finalist vendors overall solution and proceed forward with making a decision on a finalist vendor using the decision-making process developed previously. Page 34 of 46 March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 At the City's request, we will present the finalist recommendation to the City Council along with a synopsis of the entire needs assessment and selection process intending to gain concurrence from County Council to proceed with contract negotiations. 8. Review License and Support Agreements and Conduct Negotiations We will review the license and support agreements provided by the vendor and propose recommended changes to the contract. We will participate in negotiations with the finalist vendor. Contractual terms, conditions, and costs will be negotiated with the goal in mind of protecting the City's long-term interests. A draft of the final license and support agreements will be presented to the City's legal counsel for their review. Terms and conditions relating to term and termination of the agreements,,.purchase and support costs, caps on price increases, recourse for non-performance by the vendor, software acceptance criteria, rights to the source code if vendor declares bankruptcy, warranties and incorporation of the vendor's response to the RFP, governing law, insurance coverage requirements, rights to major new releases, payment terms tied to major deliverables, controls over expenses, development of an implementation plan, on-going support criteria, etc., will be successfully negotiated. Other City standard terms and conditions will be negotiated as necessary. We will facilitate the negotiations of License and Support Agreements with a representative from the Steering Committee and the City's legal counsel. Page 35 of 46 OM Ns IMP nu m Es No NE a ® ® O ® III ® d 11191 b ig March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 5.2.3 Phase II: Implementation Phase Note that this Phase should be performed at the conclusion of contract negotiations and will be performed in conjunction with the selected ERP vendor. There are a variety of implementation-related responsibilities that need to be determined prior to system implementation. The matrix below identifies the various implementation activities to be performed and can be used as a means of identifying City, Vendor and Plante & Moran participation during the implementation phase of the project. sxcxo '�� .c ..tie, br'w _'Vr'�§ �� dk� � i.`a•�` "�� ,.� %- � � Steer -RPM �TL" Project Initiation and Planning Activities 1. Develop project charter 2. Define project organizational structure including roles, responsibilities and expected • commitment level 3. Review"lessons learned" 4. Define and discuss client expectations of what is to be expected during the project and once the project is completed for each of the functional areas and executive sponsors 5. Identify all costs required to implement the system 6. Determine cost tracking mechanism 7. Develop project cash flow 8. Define the templates, tools and a process for budget monitoring 9. Conduct a project risk assessment session 10. Define procedures for on-going project risk management 11. Define project deliverables and milestones 12. Define a process for acceptance of project deliverables 13. Define the templates, tools and a process for action item management 14. Define the templates, tools and a process for issues management 15. Define the templates, tools and a process for meeting management 16. Define the templates, tools and a process for status reporting 17. Define the templates, tools and a process for initiating, reviewing, approving and tracking of change orders 18. Develop an overall project timeline and timeline for each team 19. Develop procedure for updating and reviewing project timeline 20. Define how project decisions will be tracked 21. Develop a Communications Management Plan 22. Define the communications needs of the various project stakeholders 23. Procure other required project resources 24. Determine whether any team development activities will be conducted during the project Page 36 of 46 • March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 z. -'-cn. .�: .,.x-� _ .. 3.7wir' T_ .._t I .. .-: ,tr- ..to- - wy�,}f i -.,, -_- .•.5.. .xse�.:�. ���t�� �r£_ � ' ..'�. - �;-[n �.�' ^''�.�%AT Tr��Or��` .: �af.^lR�z���� =.�'�i"_x � ' .. .:%S- 335"';iY !.—" ..?r?,+#'Z3•E"�iF.:l' s. , o �S ._ M'Y.'6 9-Fa ^i ...: �:t' .o,+-ro4vF-t _ ,:s?_twr.-'^ .mil F,`!' -. f _ ,,:, � -�.. �. i _��. ; ����-�:' �rt >-••. . , �� u�teer� ARM 25. Conduct project kick-off meeting Project Execution and Controlling Activities General Project Administration 26. Maintain and manage the Action Item Log 27. Maintain and manage the Issues Log 28. Maintain and manage the Decision Log 29. Maintain and manage the overall project schedule 30. Maintain and manage the individual team schedules 31. Identify, initiate, review and track change order activity 32. Execute Communications Management Plan 33. Prepare project communications 34. Resolve project issues 35. Manage project staffing issues 36. Assign and coordinate resources to conduct project activities 37. Schedule technical and application consulting sessions 38. Update lessons learned document throughout the course of the project Quality Assurance 39. Monitor compliance of vendor(s)to their contract(s) 40. Monitor the overall status of the project and raise issues to the appropriate level within the project 41. Review and comment, as needed, on the overall project timeline 42. Monitor and report on project risks 43. Review and approve/deny all vendor invoices Meetings and Status Reporting 44. Participate in team leads meeting 45. Participate in project management status meetings 46. Participate in Executive Steering Committee meetings 47. Participate in ad-hoc meetings, as needed 48. Prepare and present project status reports Cost Management 49. Track project costs 50. Prepare and present budget status reports on the project System Installation and Initial Configuration 51. Prepare site for system installation. 52. Install and conduct initial configuration of hardware Page 37 of 46 �nr . . . w rr Y r March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 53. Install and conduct initial configuration of software 54. Acquire, install and configure any other physical items (printers, desktop hardware and software, etc.) Process Mapping and Redesign 55. Identify processes to be mapped and redesigned 56. Schedule process mapping and redesign sessions 57. Conduct process mapping and redesign activities 58. Implement redesigned processes 59. Execute changes to policies and procedures resulting from process redesign sessions Security 60. Define security needs 61. Implement security classes Application Modifications and Customizations 62. Confirm application modifications and interfaces required 63. Develop modifications and interfaces 64. Define and develop custom reports Testing 65. Develop test packets and scenarios as part of acceptance testing 66. Conduct acceptance testing 67. Resolve issues discovered during acceptance testing 68. Communicate final system acceptance Training and Documentation 69. Develop end-user training material 70. Develop system operations documentation 71. Schedule training sessions 72. Copy and distribute training material 73. Prepare training classrooms 74. Conduct training sessions Data Conversion 75. Define data conversion approach 76. Develop data conversion maps 77. Develop data conversion programs 78. Test data conversion programs 79. Execute data conversion programs 80. Conduct data conversion clean-up Page 38 of 46 March 2, 2006 City of Elgin Municipal Management System Consulting— RFP#06-019 • s r '` �'��*� �-d��,`� `':� d„� � ;�n` s�Ct�fl�@s �:� �� _ =r�a�s .� '1. v' _ ._ .<��BR�Qr -� �l�jF`�� _.-���'t�+���, • ,' 3 ,` :' '` sy "'�f �' k'x -.:.ix z4 ,an.3 s 4 N 3 Y '' -:" '�-x. ✓ r- St r t" ` r _.,e _ _ 81. Develop a cut-over strategy Project Closure Activities 82. Conduct final acceptance of system 83. Identify post-implementation team activities that still require resolution 84. Develop a post-implementation project plan 85. Define the on-going system support structure _ 86. Develop a transition plan from the vendor to the client 87. Archive project records 88. Close-out all contracts 89. Conduct debriefing sessions on the product and services portion of the project 90. Conduct a process audit(6—9 months after implementation) 91. Conduct a system audit(6—9 months after implementation) Page 39 of 46 .March 2, 2006 City of Elgin Municipal Management System Consulting— RFP #06-019 1. Develop an Activity-Level Implementation Plan The findings from the previous Phases will significantly detail the necessary activities required to implement a new ERP and re-designed business processes. These findings will be input into a Microsoft Project TM Gantt chart. Interviews with the Team Lead Committee will be conducted to review the Gantt and identify additional activities required for a successful ERP implementation. We will incorporate the following into the Gantt chart: • Major phases • Major milestones • Activities and their due dates • Who is responsible for each of the activities • Activity interdependencies The Plan will address "who, what and when"for the following: • Project Definition o Project planning meeting schedule o Establish issues log o Establish change control approach and log • Implementation Team Formation • Team Training o Training plan o Attend training • Process Re-Design o Translation of process redesign findings and recommendations into work plan tasks o Oversight of process redesign implementation • Information Management Division Infrastructure o Operating platform procurement and installation o Disaster recovery resource identification, contracting, and installation of components o Security, facility, communications (LAN/WAN), and environmental conditioning component procurement and installation o ERP software installation o Adopting/adherence to standards o Test and formally accept • Design and Development o Determine customizations/modifications required o Develop software design approach o Identify resources to perform customizations/modifications(in-house or third-party) o Execute design and develop customizations/modifications o Oversight and management o Test and formally accept • Report Writing o Complete report cross reference o Determine reports needed o Develop report specifications o Report writer training o Write reports o Test reports Page 40 of 46 111 • 1 . March 2, 2006 City of Elgin Municipal Management System Consulting—RFP#06-019 • Interfaces/Integrations o Determine interfaces/integrations needed o Develop approach and tasks o Coordinate with third-party vendors of systems to be interfaced with o Test and formally accept • Conversions o Determine conversions needed o Develop approach and tasks o Prepare data for conversion o Conversion oversight o Test and formally accept 3 • End User Training 3 o Prepare exercises o Prepare environment o Conduct training 3 3 • Prototyping o Prototype plan development o Conduct prototype o Post-prototype review o Resolve issues • Go Live o Data conversion-Final o Paralleling, cut over, and contingency plan development o Security set-up and testing o Set up internal"help desk" o Production environment preparation o Readiness assessment o Execute paralleling plan o Execute cut over plan o Formal acceptance test—Module-by-module, System-wide o Execute contingency plan, if necessary o Begin live processing o Resolve issues resulting from live processing o Post-go-live assessment • The plan will be presented to the City for review and feedback. Page 41 of 46 0 ' •March 2, 2006 City of Elgin Municipal Management System Consulting—RFP#06-019 2. Establish Implementation Management Approach The development of a sound implementation strategy is essential to ensure the success of any project. Plante & Moran will outline an overall implementation approach and detailed project plan that the City of Elgin can use to implement the new ERP. The system implementation approach for the organization, that will address process and personnel issues above and beyond technical project requirements, will minimally include the following components: • Identification of prioritized recommendations for implementation • Key business process changes as a result of migration to a new operating system • The projected budget impacts of the new financial system operating model • An implementation timeline for migration to the new system and operating model • Change management considerations • A staff involvement, communication, and training strategy • A stakeholder communication and training strategy Development of the implementation approach and plan will include our proven methodologies and approaches that have successfully helped several other governmental and municipal organizations. While we have similar experience providing this type of assistance to other municipal organizations, our proposal focuses on providing the City of Elgin with an approach to address its unique circumstances and requirements. The following discussion outlines how to plan the implementation considering involvement of key departments in the process, organization of key stakeholders in the process, and the process changes required for successful implementation. The implementation approach outlined below will be used as a basis for formulating the City of Elgin Implementation Approach and Plan in order to assist in a smooth conversion to the new financial business processes and management information system. This approach has been used successfully in several of our prior engagements, resulting in operational transformation to a new core financial system and operational model. • Review and approve the business process, organizational, personnel, and technical recommendations by the Team Lead and Steering Committees. This leadership team will need to make a decision on the level of financial operational transformation it wishes to pursue. • Establish an Implementation Management Steering Committee. This steering committee could include the same representatives as the already existing project steering committee, or could include different representatives to gain broader exposure and buy-in to the new financial processes and system. The Steering Committee will have the responsibility to create the future state organizational 3 vision for the City's financial processes and provide support to staff during the change process. Establishment of this "executive" committee, providing sponsorship and support of the initiative, should secure a high probability of successful project implementation. • Establish implementation teams to manage the detailed implementation of recommendations including the rollout of organizational and functional changes for the new financial system operating model. The teams should have a leader and develop a team charter for definition of their roles and responsibilities within the implementation process. The role of the team leader will be to coordinate the activities of the team and liaison with the Implementation Management Steering Committee. Team members should consist of the appropriate staff members, IT staff members, and cross- functional City Department representatives as dictated by the recommendations being implemented. Wherever possible, multiple department representatives should be included on each implementation team, to consider different points of view in implementing the specific recommendations. The Implementation Management Steering Committee will want to ensure that when taken as a whole, all implementation teams have adequate stakeholder and cross-Departmental representation to ensure buy-in to the new financial system. I Page42of46 I 3 •March 2, 2006 City of Elgin Municipal Management System Consulting—RFP#06-019 3 • Perform implementation activities. In general implementation activities should include: o Develop a more detailed work plan/implementation schedule o Introduce process changes to affected staff o Identify staff training requirements o Revise policies and procedures o Train staff in their new responsibilities Once the implementation plan is finalized,we will: 3 • Present an organization plan/diagram for an Implementation Team • Provide a "Project Management Manual" to the City; the manual includes numerous forms, tables and administrative aids for the City to manage the Implementation Phase 3. Provide On-Going Project Support v During the course of the project, we will provide on-going assistance to the City that will include the following activities: • Participate in project status meetings • Conduct on-going monitoring of project issues and risks • Review and comments on project change orders • Review and comments on project deliverables • Provide guidance in conducting acceptance testing of the implemented system • • Review and comment on progress towards achieving project milestones For planning purposes, we anticipate the duration of the implementation phase of the project to span 12 months. I 1 II �I Page 43 of 46 gcImer�} \\ II City of Elgin Municipal Management System Consulting Project ID Task Name Start I Finish '2nd Quarter 3rd Quarter - Apr I May I Jun Jul 1 Aug l 1 City of Elgin-Municipal Management System Consulting Project i Tue 5/30/06 Mon 12/31/071 2 Phass 0:Project Management Tue 5/30/06 Mon 10/9/06 i 3 S- chedule and Moderate Project Status Meetings Tue 5/30/06 Mon 10/9/06 E ,,_; ..m 4 Phase I: Vendor Selection Tue 5/30/06 Mon 10/9/06 i h , 5 Review Documents Tue 5/30/06 Thu 6/1/06, 0 6 Develop and Communicate Decision Path Tue 5/30/06 Fri 6/2/061 • El 7 D- evelop ERP Selection Criteria and Weighting Factors Tue 5/30/06 Fri 6/2/06 i [}i 8 Conduct Proposal Analysis Mon 6/5/06 Wed 6/14/061 9 P• rovide Sample Vendor Demonstration Scripts and Other Due Diligence Templates Tue 5/30/06 Wed 5/31/06 I 10 F• inalize Vendor Demonstration Scripts Thu 6/1/06 Fri 6/9/06 11 C- ommunicate Vendor Demo Process to Vendors Wed 6/14/06 Wed 6/14/06 12 Facilitate Vendor Demonstration Process Tue 7/11/06 i Mon 8/21/061 13 Conduct Other Due Diligence Activities Thu 6/15/06 Mon 8/21/061 =° "m?"' 14 Meet to Select a Finalist Vendor and Present a Joint Recommendation to the City Council Tue 8/22/06 Mon 9/4/06 j; ill E E 15 Review License and Support Agreements and Conduct Negotiations Tue 9/5/06 Mon 10/9/06 i 16 Phase II: Implementation Planning Tue 10/24/06 Mon 12/31/07 17 Develop Activity-Level Implementation Plan Tue 11/7/06 Mon'12/11/06i 18 Establish Implementation Management Approach Tue 10/24/06i Mon 11/27/061 19 • Conduct Implementation Activities _ I Tue 12/12/06il Mon 12/31/071 Task lif Milestone IIIExternal Tasks 1.____ 7 Project:City of Elgin Date:Thu 5/4/06 Split Summary Iril External Milestone Progress NENIII Project Summary Deadline E Page 1 City of Elgin Municipal Management System Consulting Project 4th Quarter 1st Quarter 12nd Quarter 3rd Quarter 4th Quarter Sep I Oct 1 Nov f Dec Jan J Feb I Mar _ Apr J May Jun Jul I Aug 1 Sep Oct 1 Nov 1 Dec A Task Milestone External Tasks . a; Project City of Elgin Date:Thu 5/4/06 Split sR Summary111111111 External Milestone El Progress msomonnii Project Summary 11,1111111111111111111.111111 Deadline Page 2 City of Elgin Municipal Management System Consulting Project _- 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter 1st Quarter 2nd Quarter Jan j Feb I Mar Apr 1 May [ Jun Jul 1 Aug I Sep Oct J Nov I Dec Jan I Feb I Mar Apr 1 j I Task = Milestone • External Tasks Project:City of Elgin Date:Thu 5/4/06 Split Summary 1111.1111111 External Milestone pi Progress iimommi Project Summary 1111111111111111111.111111111111111 Deadline Page 3 t OFE< Agenda Item No. City of Elgin o„ !� I I E ytic ':bLi April 21, 2006 `" �r�e ' 001 ' 5 [ TO: Mayor and Members of the City Council l � II N ��� FROM: Olufemi Folarin, City Manager .l I Jeff Massey, MIS Director FINANCIALLY STABLE CITY GOVERNMENT y EFFICIENT SERVICES, AND DUALITY INFRASTRUCTURE SUBJECT: RFP #06-019 Consulting Services for Software Selection PURPOSE The purpose of this memorandum is to provide the Mayor and members of the City Council with information to award RFP #06-019 consulting services for software selection and implementation to Plante& Moran, PLLC RECOMMENDATION It is recommended that the City Council approve the award of RFP #06-019 for consulting service for software selection and implementation management to Plante & Moran, PLLC at a cost not to exceed $83,800. BACKGROUND The City has been using its current municipal management system since 1993. The system consists of finance, budgeting, purchasing, payroll, community development, fleet management, and utility billing. This system is based on a 1980's model of mainframe/dumb terminal and does not take advantage of modern computing environments. While the system is adequate for most internal staff usage, it does not lend itself to be integrated with or accessed from non-HTE and non-AS/400 systems. It does not take advantage of the modern windows server based computer network, e-mail, web interfaces, etc. The HTE system has served the City well for the almost 13 years it has been in place but it is now time to look to the future with a modern municipal management software system. This project will have a major impact on the day to day operations of the City for many years to come. The importance of choosing the most appropriate system meeting staff and constituent needs requires great due diligence and expertise. A firm that has routinely performed this type of system selection and implementation can provide the experience and expertise to assist the City Staff System SelectionTteam make the best choice for a new municipal management system. • RFP #06-019 Consulting Services for Software Selection April 21, 2006 Page 2 A competitive RFP for consulting services was published and four proposals were received. The proposal from Plante & Moran, PLLC was deemed to be the most responsive for the project. Plante & Moran has performed over 100 software selection and implementation projects for cities and counties throughout the Midwest. The process and methodology used is very thorough and will provide City staff with valuable insight and guidance through a very complicated process. Plante &Moran received very high praise from previous clients with similar projects. COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED None ,4/ ,;,FINANCIAL IMPACT There are sufficient funds budgeted ($ 478,000) and available ($414,900) in the Riverboat Fund, account number 275-0000-791.92-47, MIS Strategic Plan project 219511 to enter into a contract with Plante & Moran PLLC for the consulting services in an amount not to exceed $83,800. L AL IMPACT pmone ALTERNATIVES 1. Approve the award of consulting services to Plante & Moran, PLLC. 2. Award the RFP to one of the qualified, competing vendors. 3. Do not approve the award of the RFP. Respectfully submitted for Council consideration. jm Attachment r• RFP #06-019 Consulting Services for Software Selection April 21, 2006 Page 3 Tab Sheet Vendor: Plante & Moran, PLLC 27400 Northwestern Highway, Southfield, MI with offices at 2400 Big Timber Road, Elgin IL Cost per hour: $186, proposed hours 450 Other: hourly rate includes all travel and expenses. Vendor: Schafer Consulting, 9 Red Leaf Lane, Ladera Ranch, CA Cost per hour: $130, proposed hours 800 Other: travel, per diem and incidental expenses not included and billed separately. Vendor: Group 1 Solutions, Inc., 790 Roosevelt Rd, Glen Ellyn, IL Cost per hour: $184, proposed hours 252 Other: travel, per diem and incidental expenses not included and billed separately. Vendor: GAD Group, 101 Royce Road, Bolingbrook, IL Cost per hour: $115, proposed hours 562 Other: travel, per diem and incidental expenses, not included and billed separately.