DEPARTMENT: Finance
DEPARTMENT HEAD: Troy Elliott
COUNCIL DISTRICTS IMPACTED: Citywide
SUBJECT:
Contract Management System for Department of Human Services (DHS)
SUMMARY:
This ordinance authorizes a contract with Sistema Technologies to provide the Department of Human Services (DHS) with an automated contract management system in order to provide greater efficiency, tracking and visibility. The first year cost for implementation, subscription and hosting fees is $380,757.02 and a total value of $563,398.02 over the contract term. The initial term of this contract is for a period of three years with two, one year renewal options.
BACKGROUND INFORMATION:
Submitted for City Council consideration and action is the proposal submitted by Sistema Technologies for a contract management system for DHS. The DHS Contracts Management Division monitors contracts valued in excess of $21 million with over 60 various agencies for over 100 programs that invests in human services outcomes to strengthen the services in the community.
The current process between the DHS Contracts Management Division and delegate agencies is a manual process which requires several levels of approvals throughout the division. The manual process begins when the agencies email their contract, planned scope of work, performance measures, reports, budgets, invoices and budget revisions on a Microsoft Excel spreadsheet or PDF attachment. The division receives the email with the attachment and then the process of reviewing, approving or declining of the submitted information continues throughout the division until it is ultimately approved. Tracking the process for each program is inefficient for both the agency and the division.
The proposed contract management system will provide the Department of Human Services with a web based grants management application that will allow for the tracking of delegate agency program expenditures and management of program budgets through a single portal. This system will integrate with multiple COSA specific finance and document archival solutions. The selected solution will also allow send automated alerts via email for contract monitoring and payment processing purposes at the delegate agency level.
The City issued a Request for Competitive Sealed Proposal (RFCSP) for a Contract Management System on December 16, 2016, with a submission deadline of February 17, 2017. Three responses were received.
An evaluation committee consisting of individuals from various departments including representatives from the Department of Human Services, Information Technology Services, Pre-K 4 SA and an external City stakeholder reviewed the proposals submitted. The Finance Department, Purchasing Division assisted to ensure compliance with City procurement policies and procedures. The proposal was evaluated based on all published criteria which included respondents’ experience, background, and qualifications and their proposed plan; which included their response to the City’s technical requirements.
The evaluation committee met on April 26, 2017 to discuss and evaluate the responsive proposals received. The evaluation of each proposal response was based on a total of 100 points; 35 points allotted for experience, background, qualifications; 25 points allotted for proposed solution; 10 points allotted for Small Business Enterprise Prime Contract Program; 10 points allotted for M/WBE Business Enterprise Prime Contract Program; and 20 points allotted for Respondent’s price schedule. After a recommendation for award was agreed upon by the selection committee, the pricing and SBEDA scores were revealed; Sistema Technologies received the highest ranking and was recommended for award by the evaluation committee.
The initial term for this contract is for a period of three years from the date of contract award. Two additional one-year renewals at the City’s option shall also be authorized by this ordinance.
ISSUE:
This ordinance authorizes a contract with Sistema Technologies to provide the Department of Human Services (DHS) with an automated contract management system in order to provide greater efficiency, tracking and visibility.
This contract will be awarded in compliance with the Small Business Economic Development Advocacy (SBEDA) Program. Sistema Technologies is a small, minority firm that received twenty (20) evaluation preference points as they are located within the San Antonio Metropolitan Statistical Area.
This contract is an exception to the Local Preference Program.
The Veteran-Owned Small Business Preference Program does not apply to non-professional service contracts, so no preference was applied to this contract.
ALTERNATIVES:
Should this contract not be approved, the Department of Human Services (DHS) will be required to continue using a manual tracking process. The current manual process is inefficient for both the agencies and divisions.
FISCAL IMPACT:
Funding is available from the FY 2017 General Fund and Technology Tax Notes.
RECOMMENDATION:
Staff recommends the approval of this purchase with Sistema Technologies to provide the Department of Human Services (DHS) with an automated contract management system. The first year cost for implementation, subscription and hosting fees is $380,757.02 with a total value of $563,398.02 over the term of the contract.
This contract is procured by means of a Request for Competitive Sealed Proposal and a Contracts Disclosure Form is required.