99-23014 RESO
RESOLUTION NO. 99-23014
A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, AUTHORIZING A WAIVER, BY 517THS VOTE, OF
THE COMPETITIVE BIDDING PROCESS AND APPROVING A CONTRACT
WITH CYBORG SYSTEMS, INC. IN THE AMOUNT OF $332,414, FOR A
P A YROLLIHUMAN RESOURCES SYSTEM, UPON RECOMMENDATION OF
THE ADMINISTRATION, FOLLOWING A THOROUGH INVESTIGATION OF
THE AVAILABLE APPLICABLE SOFTWARE, THAT THIS SYSTEM PROVIDES
THE OPTIMAL SOLUTION FOR YEAR 2000 COMPLIANT P A YROLLIHUMAN
RESOURCES COMPUTERIZED PROCESSING.
WHEREAS, the City issued Request for Proposal No. 1-97/98 on October 17, 1997 to solicit
, proposals from responsible vendors to provide an integrated, Year 2000 compliant, hardware and
software solution for financial management, utility billing and payroll/Human Resources systems;
and
and
WHEREAS, one-hundred ten (110) RFP notices were issued resulting in eight responses;
WHEREAS, an Evaluation Committee, appointed by the City Manager and approved by the
Mayor and City Commission met in April, 1998, and in May, 1998, and recommended that all
proposals be rejected; recommending instead on upgrading the City's current financial management
software because of its excellent price, and trying to find State of Florida governmental agencies
with contracts for payrolllHuman Resources and utility billing on which to "piggy-back"; and
WHEREAS, because each government body is unique in terms of the number of employees,
the number of users, the hardware platform, the amount of training required, etc., it has been
impossible to find a contract on which to "piggy-back"; and
WHEREAS, the following vendors demonstrated their payrolVHuman Resources software:
KPMG (using SFG software); People Soft; HTE; and Cyborg and, by August 31, 1998, an informal
committee, made up of managers and staff of the Information Technology, Finance and Human
Resources Departments, overwhelmingly chose Cyborg because it was the optimal solution; and
WHEREAS, as a formal bid or RFP process is no longer possible due to Year 2000 time
constraint, the Administration would recommend that the Mayor and City Commission accept its
recommendation herein, and authorize, by 5/7ths vote, a waiver of the competitive bidding process,
finding such waiver to be in the best interest of the City.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, that the Mayor and City
Commission hereby authorize a waiver, by Sl7ths vote, of the competitive bidding process and
approve a contract with Cyborg Systems, Inc. in the amount of $332,414, for a payroll/Human
Resources system, upon recommendation of the Administration, following a thorough investigation
of the available applicable software, that this system provides the optimal solution for year 2000
compliant payroll/human resources computerized processing.
PASSED and ADOPTED this 6th day of January, 1999.
~ltl
MAYOR
CITY CLERK
APPROVED AS TO
FORM & LANGUAGE
& FOR EXECUTION
4fjlf'1~
ity Attorney Pio';lJP
~ITY OF MIAMI BEACH
ITY HALL 1700 CONVENTION CENTER DRIVE MIAMI BEACH, FLORIDA 33139
ltp:\\ci.miami-beach, fl. us
COMMISSION MEMORANDUM NO. ~
TO:
Mayor Neisen O. Kasdin and
Members of the City Commission
DATE: January 6, 1999
FROM:
Sergio Rodriguez
City Manager
,..
SUBJECT:
A Resolution of the Mayo and City Commission of the City of Miami Beach, Florida,
Authorizing the Administration to Waive, by Sl7ths Vote, the Formal Bid Process and
Issue a Contract to Cyborg Systems, Inc. in the Negotiated Amount of $332,414 for
a PayrolllHuman Resources System, Pursuant to an Agreement among the Finance,
Human Resources and Information Technology Departments, following a thorough
Investigation of the Available Applicable Software, that this System Provides the
Optimal Solution for Year 2000 Compliant Payroll/Human Resources Computerized
Processing.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FUNDING
Funding is available from the Information Technology Internal Services Fund (550,0630.000674).
BACKGROUND
Since 1986, the Human Resources Department and the Payroll Division of the Finance Department have
used a computer system called the PayrolllPersonnel System (PPS) to process the City's payroll and to
track employee related data. Although this system was bought from an outside vendor, it has been heavily
modified by the Inf()rmation Technology Department (IT) in order to accommodate the City's special
needs, These changes have been so prevalent that the system currently bears no resemblance to the original
system, and has not been supported by the vendor for at least ten years. More importantly, the system is
not Year 2000 (Y2K) compliant. In mid 1997 it was decided that the only viable solution to the Y2K
problem was to replace all of the legacy systems,
In September, 1997 IT, in cooperation with all affected departments, wrote an RFP seeking a replacement
for the following systems: Financial Management System (FMS), PayrolllPersonnel System (PPS), and
Utility Billing System (UTB), The RFP was issued in October, 1997 with a December, 1997 deadline for
the responses to the RFP, It was specified that a vendor could propose an integrated solution (covering
all systems) or a single system solution,
AGENDAITEM~
DATE
1- ~-q9-
Four vendors proposed integrated systems; they were: HTE Systems, BITECH Systems, SCI Systems, and
KPMG, our external auditors, who would acquire software from Software For Government (SFG), Two
other vendors made partial proposals: Oracle-Harris proposed a solution for Financial Management and
Payroll/Human Resources and Harris proposed a solution for Utility Billing only, Mitchell Humphrey
(MH), our current FMS vendor, did not submit a proposal because the Procurement Department had ruled
that there was no need for Mitchell Humphrey to make a proposal since they were proposing an upgrade
of their software and not a new system. Cyborg Systems, Inc. submitted a proposal but it was ruled
non-responsive because they failed to include their pricing,
An Evaluation Committee was appointed by the City Manager and approved by the City Commission, The
members of the committee were given copies of the responses for perusal. The Committee first met in
April, 1998 and agreed that the following vendors would be given further consideration: HTE, BITECH,
and SCI. All three vendors proposed an integrated solution, i.e" a solution comprised of Financial
Management, Payroll/Human Resources, and Utility Billing combined. The other three proposals were
deemed too expensive,
The Evaluation Committee met for a second time in May, 1998 and recommended:
· the RFP be rejected
· upgrading the Financial Management System to the Mitchell Humphrey software because of its
features, functionality and excellent price
· finding a State of Florida governmental agencies with contracts for Payroll/Human Resources
and Utility Billing on which the City of Miami Beach could "piggy-back",
The City began negotiations with Mitchell Humphrey for the upgrading of the Financial Management
System. The upgrade involved the conversion of historical data and training on the new appearance and
functionality of the system. Mitchell Humphrey and the City came to an agreement in July, 1998. The City
Commission approved the upgrading of the current Financial Management System and the rejection of all
RFP proposals, Commission Memorandum no. 418-98.
IT contacted Payroll/Human Resources software vendors with State of Florida governmental agency
contracts. The following vendors demonstrated their Payroll/Human Resources software: KPMG
(demonstrating SFG software), People Soft, HTE, and Cyborg. By August 31, 1998 an informal
committee, consisting of managers and staff of the IT, Finance and Human Resources Departments, had
decided to eliminate KPMG and People Soft because of their high price (between $800,000 and
$1,000,000) and HTE because it required too much customization to meet the City's needs, Cyborg was
chosen because it was almost as complete as People Soft Gudged the best software) but at a third of the
price. A copy of the contract between Cyborg and Broward County was sent to the Procurement
Department to determine whether the City might "piggy-back" on the contract. It was ruled that the City
could not "piggy-back" because the Broward County contract specified a different hardware platform from
the one proposed to the City,
The City hired a new Assistant Finance Director in mid July, 1998 and at a meeting between IT, Finance,
and Procurement it was decided that we might consider an integrated solution for the replacement of our
legacy systems, This meant that HTE might be considered again for the complete solution (Financial
Management, Payroll/Human Resources, Utility Billing) in addition to the Land Management System. The
Assistant Finance Director (AFD) would review the HTE financial system and compare it to the Mitchell
Humphrey's, The AFD attended a Mitchell Humphrey users group in September to see its upgraded
system,
On October 22, 1998 City staff who had been members of the committee met again and recommended the
following:
· purchasing Payroll/Human Resources software from Cyborg pending a site visit to the City of
Melbourne, Fl.
· purchasing the Financial Management upgrade from Mitchell Humphrey
purchasing Utility Billing software from Aquilium pending a site visit to New Smyrna Beach, Fl.
On November 13, 1998, two members of the Finance Department, one member of the Human Resources
Department, one member of the Risk Management Department, one member of the Office of Management
and Budget, and two members of the IT Department made a site visit to Melbourne, Fl. There was a
unanimous opinion among the City staff that the Cyborg software met the City's requirements. In addition
to doing the City's PayrolllHuman Resources functions that affect the payroll, the Cyborg software will
be used to process the payrolls for the City's four Pension Funds (General, Unclassified, Fire and Police,
and Supplemental Fire and Police) which currently are not Y2K compliant. It was agreed by City staff that
the Cyborg software presents the optimal solution considering functionality and price, among all of the
systems considered.
Cyborg has three contracts with State of Florida governmental agencies: Broward County, and the cities
of Melbourne and Sarasota. These contracts were issued via the RFP process. Because each government
body is unique in tenns of the number of employees, the number of users, the hardware platform, the
amount of training required, etc., it has been impossible to find a contract identical to the one that will meet
the City's requirements.
CONCLUSION
The Administration feels that the RFP process is the proper method to use, however, because of the year
2000 time constraints, it is felt that the RFP process, even an expedited RFP process, will not allow
sufficient time to implement the Payroll/Human Resources System and the four pensions Payroll
processing. Therefore, the Administration recommends the City Commission waive the formal bid process
and authorize the Administration to issue a contract to Cyborg Systems, Inc. for a Payroll/Human
Resoll!ces System.
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