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File #: R-2016-068    Version: 1 Name: Dissolution of Energov Contract
Type: Resolution Status: Passed
File created: 2/26/2016 In control: Department of Information Technology
On agenda: 3/16/2016 Final action: 3/16/2016
Title: A Resolution Of The City Commission Of The City of Hollywood, Florida, Approving And Authorizing The Termination Of The Agreement With Tyler Technologies Inc. For Energov Software; And Approving And Authorizing The Appropriate City Officials To Execute The Attached Termination Agreement And Mutual Release Between The City And Tyler Technologies, Inc.
Attachments: 1. Energov Dissolution Resolution12_7_15.pdf, 2. Tyler - Hollywood FL - Termination Agreement - 12 07 2015.pdf, 3. energovcosts.pdf, 4. TermSheetTylerTechnologiesterminationandreleaseag2016, 5. BIS 16112.pdf

Title

A Resolution Of The City Commission Of The City of Hollywood, Florida, Approving And Authorizing The Termination Of The Agreement With Tyler Technologies Inc. For Energov Software; And Approving And Authorizing The Appropriate City Officials To Execute The Attached Termination Agreement And Mutual Release Between The City And Tyler Technologies, Inc.

 

 

Body

 

Staff Recommends: Approval of the Attached Resolution

 

 

Explanation:

The City of Hollywood was authorized to execute an agreement with Tyler Technologies Inc. on June 18th, 2014 for the purchase of a plan review, permitting, code enforcement, business license, and fire inspection system, Energov, for a not to exceed amount of $650,000.00. This purchase was based on a piggy-back of the licenses, modules, and scope for the Town of Jupiter and their 2012 contract, in R-2014-160.

 

The Project was broken into two phases, the Kick-off for the Treasury phase occurred in late July 2014, and the Kick-off for the Building phase in November 2014, with analysis done in March of 2015. Go-Live for Treasury was scheduled for January of 2015 but did not occur, the project was effectively halted in June of 2015, with the arrival of a new IT director, the Go-Live for Building was scheduled for FY16 and was also halted for the same reasons.

 

The rationale for halting this project and negotiating a dissolution of the contract was based on the following: The Town of Jupiter was much smaller (roughly 40%) than the city of Hollywood, and amount of licenses and software based on this piggy-back contract was also less that what was needed for full operational usage at Hollywood. The purchase of the Energov system, which depends on a centralized land management system did not fully integrate with the utility billing system, also based on a centralized land management system, essentially splitting what should have been one system into two; requiring additional work and entry for staff. In addition, the Energov system which required cash and accounts receivable integration as well as specific functionality for the approximately $2 million per year Treasury department did not seamlessly integrate with the city’s cashiering system or meet the required needs of the Treasury department.

 

Initially, additional budget requests were considered to purchase the needed functionality for Energov to meet the City's requirements, but that amount plus the additional amounts needed in custom work to get the needed functionality for Treasury quickly added up to about 1 million dollars in additional costs needed to make the system whole. It was at this point that the decision to abandon an approach leading to divisive, separate systems, was done in favor of a city-wide enterprise approach of obtaining an ERP (Enterprise Resource Planning) system, for which the city obtained needs assessment assistance with commission approval in R-2016-007.

 

Of the $650,000.00 allocated for this project, the City spent $376,305.73 due to contractually obligated purchases and for services and software usage for the period of one year, the project was halted in June 2015 and a refund to the city of 30% ($82,510.80) of the obligated licenses fee was negotiated with Tyler in October 2015. Overall, the dissolution of the contract saved the cost of an additional $1.3 million dollars (approximately) for a redundant system which only partially benefited some departments of the City and did not integrate with other city systems.

 

 

Recommended for inclusion on the agenda by:

Dr. Wazir A. Ishmael, City Manager

George Keller, Finance and Administration ACM

Raheem Seecharan, Director IT