BOARD MEETING DATE: January 6, 2006
AGENDA NO. 3

Execute Contract to Obtain Technical and Functional Support for Upgrading PeopleSoft HRMS/Payroll System Software

SYNOPSIS:

On September 9, 2005, the Board approved release of an RFP to obtain technical and functional support for upgrading AQMD’s PeopleSoft HRMS/Payroll System Software to a new release. Keeping relatively current on new software releases is important for enterprise software systems such as PeopleSoft. Without upgrading to new releases, AQMD will not benefit from delivered software enhancements and technology advances that improve productivity, flexibility, and efficiency. In addition, and perhaps more importantly, manufacturer’s technical support for the Release 8.3 modules will end in November, 2006. This action is to execute a contract for technical and functional support during the upgrade process. Funds for this purchase are included in the FY 2005-06 Budget.

COMMITTEE:

Administrative, December 9, 2005, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Chairman to execute a contract with MBH Solutions for technical and functional support for upgrading PeopleSoft HRMS/Payroll System Software to a more recent version in a total amount not to exceed $150,000.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

On September 9, 2005, the AQMD released RFP #2006-02 to obtain technical and functional support necessary to migrate AQMD’s PeopleSoft HRMS/Payroll from Release 8.3 to Release 8.9. The purpose of the RFP is to select vendors capable of upgrading AQMD’s HRMS/Payroll software modules cost-effectively and in a timely manner.

The purpose of the upgrade is to keep current on PeopleSoft software. Keeping relatively current by upgrading to new software releases is critical for enterprise software systems such as PeopleSoft. Without upgrading to new releases, AQMD will not benefit from delivered software enhancements and technology advances that improve productivity, flexibility, and efficiency. In addition, and perhaps more importantly, routine technical support provided by PeopleSoft (including regular updates of system tax tables used in Payroll calculations, on-line issue logging and resolution, downloadable patches and bug fixes, bundled patches to simplify implementation, etc.) may be terminated if the software is not upgraded by a certain date.

Staff recommends beginning the upgrade process, with the goal of moving the HRMS/Payroll modules onto Release 8.9 before technical support for AQMD’s current release ends in November, 2006.

Outreach

In accordance with the AQMD’s consulting and contracting policies, a public notice advertising the RFP and inviting bids was published in the following publications:

Additionally, potential bidders were notified utilizing the Los Angeles County MTA Directory of Certified Firms, the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; and AQMD’s own electronic listing of certified minority vendors. Notice of the RFP was mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business and Job Opportunities” icon, or http://www.aqmd.gov/busjob/ ] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Bid Evaluation

Seventy-two copies of the RFP were mailed out and nine vendors attended the mandatory bidders conference held on September 28, 2005. Two bids were received in response to the RFP when final bidding closed at 1:00 p.m. on October 12, 2005. Of the two bids, none were from disabled veteran-owned or women-owned business enterprises, one was from a certified minority-owned business, and none were from a certified small business enterprise.

The panel consisted of six AQMD staff: a Technology Implementation Manager, a Systems and Programming Supervisor, a Database Administrator from IM, a Controller from Finance, a Computer Operations Supervisor and a Human Resources Manager. Of these six panelists, one is African-American, two are Asian-Pacific Islander, two are Caucasian, and one is Hispanic; three are female and three are male.

Attachment 1 reflects the evaluation of the proposals and the respective ratings.

Proposal

Staff recommends that the Board award the contract to MBH Solutions for targeted technical and functional support necessary to migrate AQMD’s PeopleSoft HRMS/Payroll modules from Release 8.3 to Release 8.9.

Resource Impacts

Funds for this contract are included in the FY 2005-06 Budget.

Attachment(s)
1 - Evaluation of Respondents to RFP #2006-02.

ATTACHMENT 1

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