REPORT TO STADIUM AUTHORITY BOARD
SUBJECT
Title
Action on Amendments to Agreements for the Financial Management System for the Stadium Authority
Report
COUNCIL PILLAR
Ensure Compliance with Measure J and Manage Levi’s Stadium
BACKGROUND
On October 13, 2020, the Stadium Authority Board (Board) authorized the Executive Director to execute agreements with Armanino, LLP and InTWO, Inc. (formerly SaaSplaza, Inc.) for the purchase and implementation of Microsoft Dynamics Great Plains (Great Plains), the Stadium’s Financial Management System (FMS). Both vendors were originally selected through a competitive procurement process. Armanino is the software integrator, and InTWO is the provider of Great Plains and cloud/hosting services.
The FMS implementation project kicked off on November 20, 2021 with participation from both Stadium Manager and Stadium Authority staff. As part of the project deliverables, Armanino developed a business process roadmap for the project and assisted in the implementation of Great Plains. Armanino also recommended the Stadium Authority to operate Great Plains on an independent database structure and upgrade the database environment to a more recent version. On April 19, 2022, the team successfully went live with the new Great Plains instance hosted by InTWO.
DISCUSSION
Amendment No. 1 to the Agreement with Armanino, LLP
This amendment adds managed services to the agreement in order for Armanino to continue providing ongoing management and support of the FMS. Managed services are required for all systems after go-live so there is ongoing support for issue resolution, system maintenance, and system optimization. The proposed services include functional and technical support, system reviews, application administration, consultant time for ad-hoc items. The annual cost for the managed services plan is $25,326, or $75,978 over three years, from November 1, 2022 to October 31, 2025. Staff is requesting approval to extend the term of the agreement through October 31, 2025 and increase compensation from the original contract amount of $198,460 for a revised not to exceed amount of $274,438.
Amendment No. 1 to the Agreement with InTWO, Inc.
Under this amendment, the one-time setup fee is revised from $4,438 to $5,969, and the ongoing fee is revised from $3,221 per month (or $38,652 per year) to $4,711 per month (or $56,532 per year). The increase in compensation is due to additional system functionalities, increase in user licenses, and upgrades to the previous selections. The Stadium Authority opted to have a dedicated SQL Azure infrastructure for the Great Plains instance and added five additional user licenses for the Stadium Manager and Stadium Authority staff. The original application server’s size and speed were also upgraded upon Armanino’s recommendation during the implementation process. These changes were factored into InTWO’s one-time setup fee and ongoing server and hosting fees.
ENVIRONMENTAL REVIEW
The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.
FISCAL IMPACT
Sufficient funding is available in the Stadium Authority FY 2022/23 Capital Expenditure Budget for the InTWO one-time setup fee increase. The ongoing managed services and annual subscription costs of $81,858 will be funded in the existing FY 2022/23 Stadium Authority Operating Budget. Budgets for future years will be incorporated as part of the budget process, subject to appropriation of funds.
COORDINATION
This report has been coordinated with the General Counsel’s Office.
PUBLIC CONTACT
Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Authorize the Stadium Authority Executive Director to execute Amendment No. 1 to the Agreement with Armanino, LLP for implementation and support services for the Stadium’s Financial Management System, to extend the term of the agreement to October 31, 2025 and increase compensation by $75,978 for a revised not to exceed amount of $274,438, and to execute future amendments as may be required to add/delete support services during the term of the agreement, subject to the appropriation of funds; and
2. Authorize the Stadium Authority Executive Director to execute Amendment No. 1 to the Agreement with InTWO, Inc. for Microsoft Dynamics Great Plains software subscription and cloud/hosting services, to increase the one-time setup fee to $5,969 and annual fee to $56,532, and to execute future service orders and/or amendments to add/delete software services and extend the term for as long as the system is used by the Stadium Authority, subject to the appropriation of funds.
Staff
Reviewed by: Kenn Lee, Treasurer
Approved by: Rajeev Batra, Executive Director
ATTACHMENTS
1. Agreement with Armanino, LLP
2. Agreement with InTWO, Inc.
3. Amendment No. 1 to the Agreement with Armanino, LLP
4. Amendment No. 1 to the Agreement with InTWO, Inc.