I. Council Action Requested.
Title
To authorize the town manager to execute a contract on behalf of the town with Tyler Technologies, Inc. for replacement, maintenance, and support of the town’s financial software systems for a period of seven (7) years totaling $629,726.00; of which, one-time fees and first year costs totaling $107,918.00 to be reimbursed from the proceeds of a tax-exempt municipal lease purchase payment.
Body
II. Basis for Council Action.
Council approval of this item is required because;
a. The Council has authority to enter into contracts as the legislative body of the Town pursuant to Article II, section 3(I) of the Charter, and
b. The purchase involves lease-purchase finance, requiring Council approval in accordance with Section 5.4 of the Town of Windham Purchasing Policies (2009), as amended.
III. Issue Summary.
Please refer to the attached contract, which has been reviewed and approved by the town’s legal counsel.
The upgrade of the town’s financial system is included in the capital equipment replacement plan as project TM-2009-001. The project was originally planned for fiscal 2009, rescheduled to 2016 during the 2013 budget process, then to fiscal 2017.
This proposal moves from a traditional self-hosted solution, as originally envisioned when the project was first added to the capital plan, to a cloud-based “Software-as-a-Service” (“SaaS”) platform. The one-time and first year fees will be capitalized and financed; the remaining years of the contract will be added to the operating budget.
The finance committee’s recommendation of this project was discussed at the Council meeting of October 4, 2016 (CD 16-320). The term of the agreement is for seven years instead of the five years included the cost analysis, guaranteeing no cost increases for an additional two years.