Report Prepared by: Gabriel Williams, Software Analyst
Title
SUBJECT: Approval of a Three-Year Contract for RecTrac Management Software, Support, Hosting, and Migration Services with Vermont Systems in the Amount of $54,154 and a 5% Contingency of $2,708 for a Total Contracted Amount of $56,862
REPORT IN BRIEF
Considers approving to waive the competitive bid process and approving procurement through Vermont Systems’ multiyear contract in a not to exceed amount of $56,862.
RECOMMENDATION
City Council - Adopt a motion:
A. Approving to waive the competitive bidding requirements as stated in Section 3.04.210 of the Merced Municipal Code for standardization; and,
B. Approving the Services Agreement with Vermont Systems; and,
C. Approving the Hosting Services Agreement (HSA) with Vermont Systems; and,
D. Approving the PayTrac Payment Services Addendum (PTPSA) with Vermont Systems; and,
E. Approving the Sub-Merchant Application and Agreement (SMAA) with Vermont Systems; and,
F. Approving the Terms of Service (TOS) with Vermont Systems; and,
G. Approving the Annual Services Quote with Vermont Systems; and,
H. Approving the Hardware Quote with Vermont Systems; and,
I. Authorizing the City Manager or designee to execute the necessary documents.
Body
ALTERNATIVES
1. Approve, as recommended by staff; or,
2. Approve, subject to conditions as specified by the City Council; or,
3. Deny the request; or,
4. Refer back to staff for reconsideration of specific items as requested by the Council.
AUTHORITY
Charter of the City of Merced, Section 200
CITY COUNCIL PRIORITIES
As provided for in the FY 24/25 Adopted Budget.
DISCUSSION
The City entered into an agreement in 2006 with Vermont Systems for their RecTrac software. This software is used by the Parks and Community Services department for managing business functions such as registration for services and events, as well as processing payments within the department. The current RecTrac software is not supported by the vendor and will not receive future updates. This hampers the efficiency of the Parks and Community Services department. Staff is requesting approval to enter into a new three (3) year contract for a cloud-based version of the RecTrac software with Vermont Systems.
Because the value of the contract is above the bid threshold and the City already owns and operates RecTrac, staff is asking for authorization to waive the competitive bidding requirement because of standardization as outlined in section 3.04.210 of the Merced Municipal Code.
With the new software module, WebTrac, and equipment purchased in this new contract; Parks and Community Services will be able to process credit card transactions more efficiently, enable point-of-sale capabilities, decrease the number of required in-person visits and have online registration and payment processing.
If the contract is not approved, Parks and Community Services would lose resident engagement, revenue, and employee efficiency due to credit card and registration processing requiring employees to manually complete transactions and registrations required for various processes. This inefficiency will lead to increases in processing times for the entire department because it pulls away employee focus from the other parts of the department which hinders the entire department’s efficiency.
IMPACT ON CITY RESOURCES
There will be an annual recurring cost that covers the software, hosting, maintenance, and support costs. The first year’s annual cost will be prorated due to the contract starting later in the year. The estimate is $19,933 including the equipment and training fee. Years 2 and 3 costs will be included in the annual budget process.
The costs are outlined in the table below.
|
|
Year 1 |
Year 2 |
Year 3 |
Other |
Total |
|
Annual Costs (Includes COLT) |
$13,320 |
$13,986 |
$14,685 |
|
$41,991 |
|
One Time Cost Equipment (Includes Sales Tax) & Training (Non-Taxable) |
$12,163 |
|
|
|
$12,163 |
|
5% Contingency |
|
|
|
$2,708 |
$2,708 |
|
Grand Total |
$25,483 |
$13,986 |
$14,685 |
$2,708 |
$56,862 |
Also included in the table above, we ask to authorize a 5% Contingency of $2,708 to cover future unknown expenses.
The funding for current year contract amount is available in accounts 10184000-511009 and 20044000-591101.
ATTACHMENTS
1. Services Agreement with Vermont Systems
2. Hosting Services Addendum (HSA) with Vermont Systems
3. PayTrac Payment Services Addendum (PTPSA) with Vermont Systems
4. Sub-Merchant Application and Agreement (SMAA) with Vermont Systems
5. Terms of Service (TOS) with Vermont Systems
6. Annual Services Quote with Vermont Systems
7. Hardware Quote with Vermont Systems