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HomeMy WebLinkAboutItem 2b: Contract with Knight Communications for Information Technology ManagementG pl,l�_�•t� V o � I InrorporoloJ Z. -P s, d 0 C�uaicy ocA STAFF REPORT Administrative Services Department DATE: September 4, 2012 TO: Honorable Mayor and City Council FROM: Hue Quach, Administrative Services Director V15 SUBJECT: AWARD A THREE YEAR INFORMATION TECHNOLOGY MANAGEMENT CONTRACT TO KNIGHT COMMUNICATIONS IN THE AMOUNT OF $314,280 ANNUALLY WITH THE OPTION TO ENTER INTO THREE ONE -YEAR EXTENSIONS Recommendation: Approve SUMMARY The City sent out Request for Proposals for Information Technology Consultant services on June 8, 2012, to 26 potential consulting firms that were known to be serving California government agencies. The City received three proposals in return. Those proposals were submitted by: Definitive Networks Incorporated (DNI), Knight Communications, and Synoptek. After an evaluation process conducted by the Director of Administrative Services, Director of Recreation and Community Services, and Director of Public Works Services, Knight Communications received the highest total score and is recommended for award of a three year information technology contract based on excellent services and overall contract value. DISCUSSION On June 8, 2012, a Request for Proposal for Information Technology Consultant (IT) services was solicited from 26 IT consulting firms that were known to be serving California government agencies. Staff developed the list of possible consultants based upon discussion with other agencies as well as several IT consulting firms that had previously contacted the City. The RFP included goals such as seeking cost- effective, quality, and productive Information Technology Management Services to assist the City to effectively and efficiently serve the City's residents, businesses, and visitors without compromising the AWARD OF INFORMATION TECHNOLOGY MANAGEMENT CONTRACT September 4, 2012 Page 2of4 security of the City's network. The basis for award and acceptance of a submitted proposal included: cost, stability, reliability, references of comparable services, resumes of individuals, and a complete understanding and knowledge of the requirements as set forth in the RFP. Out of the 26 IT consulting firms that were invited to provide a proposal, the City received only three proposals. Prior to the deadline for submitting proposals, numerous inquiries were posed regarding current contract cost; why the City went out for proposals; as well as whether the City was happy with our current service provider, Knight Communications. It seemed there was general interest based on these inquiries. The evaluation of proposals was conducted by the Director of Administrative Services, Director of Recreation and Community Services, and Director of Public Works Services. There were five criteria that were utilized in selecting the best IT Consultant for the City: 1) Thoroughness and understanding of scope of work; 2) Related experience of the firm; 3) References; 4) Cost; and 5) Quality of proposal. Each criterion was scored using a point system established below with each consulting company having the potential of scoring a maximum of 100 points from each rater. 1. Thoroughness and understanding of scope of work 20 points 2. Related experience of firm 20 points 3. References 20 points 4. Cost 25 points 5. Quality of proposal 15 points Total: 100 points The proposed range of fees was $306,000, $314,280, and $330,600 annually. However, because one firm provided fees with an annual increase, as opposed to a fixed fee for the initial three year term as requested in the RFP, the combine three year cost of $936,000, $942,840, and $991,800 gives a better comparison of the net cost differences proposed by each consulting company. The overall summary of results is provided in the table below. Company Total Score All Raters Combined 3 Year Cost Knight Communications 427 Yale Ave., Suite 201 294 $942,840 Claremont, CA 91711 Synoptek 19520 Jamboree Rd., Suite 230 257 $991,800 Irvine, CA 92612 Definitive Networks Inc. (DNI) 4305 Hacienda Dr., Suite 560 250 $936,000 Pleasanton, CA 94588 AWARD OF INFORMATION TECHNOLOGY MANAGEMENT CONTRACT September 4, 2012 Page 3 of 4 All three bidders are sufficiently qualified to do the work. In choosing Knight Communications over the other companies, there were three main factors, which are discussed below. 1. On -site Staff Assigned to the City: Knight Communications will be providing three full time bodies on site at any given time of the day. DNI and Synoptek have proposed to provide 2 full time bodies from their respective company. Current experience in the City calls for staffing, at a minimum, three full -time individuals for services and demands within the City. In some cases, such as when new computers are deployed, Knight has provided an extra part-time body on site, at no cost to the City, to ensure service level does not decline but also that the project will be completed without delays. 2. Additional Services Cost: Since the initial contract with the City in August 2000, Knight Communications has provided a comprehensive service that included assistance with bids and vendors and all special projects that are outside of the scope of work with no additional charge to the City. Knight has proposed to continue with that level of service and added additional services such as: a. Develop and implement a comprehensive Technology Master Plan. b. Maintenance and support of the Police Department's Mobile Digital Computers (MDC). c. Management of the Digital Video recording system at the Police Department. d. Provide input and review of requests for proposal or bids. e. Assist with vendor negotiation on I.T. projects. DNI has provided a proposal that specified special projects outside the scope of the Information Technology Management Services Agreement are billable based on a fixed -bid analysis. Similarly, Synoptek stated that they will bill based on an hourly set rate structure, for professional services beyond the scope of the proposed services. 3. Familiarity with Cities: Although all of the consultant companies have experience working with government agencies, the two companies that have clients that are closely similar to Arcadia are Knight Communications and Synoptek. DNI's client base is mostly Fire Departments and Special Districts. Knight Communications and Synoptek have worked with full service cities and consequently provides them with a better understanding to expedite solutions to Arcadia's organizational needs learned through those experiences. In addition, selecting Knight Communications will allow for continued stability with the network system. Knight Communications became the City's I.T. consultant in August 2000 and have been the architect of the City's I.T. infrastructure that has been reliable, AWARD OF INFORMATION TECHNOLOGY MANAGEMENT CONTRACT September 4, 2012 Page 4 of 4 secure, and stable without major downtime to the City. Their services to City staff have been exemplary with many complements coming from all departments for their responsiveness and tailored services. FISCAL IMPACT The annual cost for providing information systems management is $314,280. This amount is less than the current contract of $324,000. Appropriate funds are budgeted in the General Fund Operating budget for Fiscal Year 2012 -13. RECOMMENDATION It is recommended the City Council award a three year Information Technology Management contract to Knight Communications in the amount of $314,280 annually with the option to enter into three additional one -year extensions. Approved: ominic Laz o City Manager