TITLE
Recommendation to adopt Specifications No. RFP TI-23-201 for Enterprise Land Management (ELM) Consulting Services and award a contract to Gartner Consulting, of San Diego, CA, to provide Needs Analysis, Request For Proposal (RFP) Development and Vendor Selection Consulting Services for an amount not to exceed $890,000, authorize a 14.6 percent contingency in the amount of $130,000, for a total contract amount of $1,020,000 for a period of one year, with the option to renew for four additional one-year periods, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary subsequent amendments;
Award a contract to BerryDunn, of Portland, ME, for General Project Management Services and Organizational Change Management for an amount not to exceed $1,603,000, authorize a 20 percent contingency in the amount of $320,600 for a total contract amount of $1,923,600, for a period of one year, with the option to renew for four additional one-year periods, at the discretion of the City Manager; and authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary subsequent amendments;
Award a contract to Gartner Consulting, of San Diego, CA, for Quality Assurance Services, for an amount not to exceed $1,050,000, authorize a 20 percent contingency in the amount of $210,000, for a total contract amount of $1,260,000 for a period of one year, with the option to renew for four additional one-year periods, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary subsequent amendments; and
Increase appropriations in the Development Services Fund Group in the Community Development Department by $890,000, offset by funds available. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Gartner Consulting, of San Diego, CA for Enterprise Land Management System (ELM) Consulting Services that will assist with defining the needs, developing a Request for Proposals (RFP), and selecting software and system integrator for an ELM system (Scopes 1 and 2), a contract with BerryDunn, of Portland, ME, for services for General Project Management of the ELM implementation (Scope 3), and Gartner Consulting, of San Diego, CA, for Quality Assurance services for the ELM implementation (Scope 4).
The City of Long Beach (City) currently has an outdated ELM (installed in 2007) that supports City permitting and licensing functions and needs to be overhauled or replaced to better meet customer and City needs and to help meet state permit timeframe requirements that go into effect in January 2024. The current ELM system (Infor/Hansen software) includes multiple licensing, permitting, billing, payment, and collection functions in the following Departments: Community Development (Building and Safety, Planning, and Code Enforcement Bureaus), Financial Management (Business Services and Commercial Services Bureaus), Long Beach Fire (Fire Safety Bureau), Health and Human Services (Environmental Health Bureau), Long Beach Police, and Public Works, as well as the City Manager’s Office of Cannabis Oversight and Special Events and Filming. It also provides information for the Economic Development Department. The system has approximately 500 internal users, and it has approximately 80 unique permit and license types and 3,000 different fees. There are 1.3 million accounts/records. The system automates complex workflows, interfaces with several other systems and has multiple web portals for external customer access and internal City users. The City’s Long Beach Builds (LB Builds) - ELM project will replace or completely overhaul the current ELM system. LB Builds - ELM will substantially improve services for our customers who want permits or licenses and, in many other ways, better meet Long Beach’s needs and priorities. It will also help the City comply with new permitting timeframes required under State law. The City expects the new system will substantially improve internal linkages and coordination between departments, significantly improve City response time and quality of information to customers, and make significant improvements to internal operations.
Through the RFP process, the City solicited for consultants to assist in the LB Builds - ELM project and is recommending awards to vendors for four (4) project scopes:
• Scopes 1 and 2 (combined): Assist the City with identifying the needs for the new ELM (Scope 1), preparing an RFP, and selecting the software and system integrator (implementation services) (Scope 2).
• Scope 3: General Project Management services (general management of the implementation).
• Scope 4: Quality Assurance services (timely identification of project issues and recommendations to resolve them).
Because LB Builds - ELM is a large enterprise system with many facets, a significant contingency is recommended for each scope to provide resources for resolving the issues and challenges that are not yet known at this early stage which is typically faced by large projects, and for potential timeframe slippage. The base costs assume an aggressive implementation timeframe of 20 months (once the software is selected and the system integrator has begun work). This would result in implementation completion around April 2026. If that timeframe is extended, costs will likely be higher.
Total estimated costs for LB Builds - ELM are not yet known. Costs will be estimated during Scope 1 and 2 work on the project by City staff and the consultants, and further updated as proposals for the software and the system integrator are submitted.
The RFP was advertised in the Long Beach Press-Telegram on March 16, 2023, and 92 potential proposers specializing in consulting services were notified of the RFP opportunity. Of those proposers, 50 downloaded the RFP via the City's electronic bid system. The RFP document was made available from the Purchasing Division, located on the sixth floor of City Hall, and the Division's website at www.longbeach.gov/purchasing <http://www.longbeach.gov/purchasing>. An RFP announcement was also included in the Purchasing Division's weekly update of Open Bid Opportunities, which was sent to one local, minority-owned, or women-owned business group. There were 14 proposals received from eight (8) vendors by the proposal submission deadline of May 4, 2023. Of those eight (8) proposers, three (3) were Minority-owned Business Enterprises (MBEs), two (2) were Women-owned Business Enterprise (WBE), and one (1) was a certified Small Business Enterprises (SBEs), and none were Long Beach vendors (Local). The evaluation committee included representatives from the Community Development, Financial Management, and Technology and Innovation Departments. The evaluation committee determined that the most qualified firms to provide the services were as follows:
• Gartner Consulting, of San Diego, CA, for Scopes 1 and 2 combined;
• BerryDunn, of Portland, ME, for Scope 3; and,
• Gartner Consulting, of San Diego, CA, for Scope 4
LOCAL BUSINESS OUTREACH
To align with the City's outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the Long Beach Buys database to download RFP specifications. Through local outreach, one Long Beach vendor was notified of the RFP, that vendor downloaded the RFP, but did not submit a proposal. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Deputy City Attorney Erin Weesner-McKinley on September 27, 2023, Purchasing Agent Michelle Wilson on September 26, 2023, and by Revenue Management Officer Geraldine Alejo on October 2, 2023.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP TI-23-201 and award three (3) contracts concurrently is requested on October 17, 2023, in order to allow work on LB Builds - ELM to begin as expeditiously as possible.
FISCAL IMPACT
The total amount for the three (3) contracts, including a contingency amount of $660,000, will not exceed $4,203,600. The contract amounts associated with each of the four LB Builds - ELM project scopes are as follows:
Total Contract Costs of the Proposed Awards
|
Project Scope |
Base Contract Cost |
Contingency |
Total Contract Amount |
|
Scopes 1 and 2 |
$890,000 |
$130,000 |
$1,020,000 |
|
Scope 3 |
$1,603,000 |
$320,600 |
$1,923,600 |
|
Scope 4 |
$1,050,000 |
$210,000 |
$1,260,000 |
|
Totals |
$3,543,000 |
$660,600 |
$4,203,600 |
A majority of the costs for LB Builds - ELM consulting contracts will be funded primarily from the Development Services Fund Group in the Community Development Department. An appropriate share of the remaining costs will be funded from the General Services Fund Group in the Technology and Innovation Department. The allocated cost to the General Services Fund Group will cover the cost of licensing functions and will be determined as the project moves forward. These costs will be recovered through the Technology and Innovation Department’s Memorandum of Understanding process which will charge the applicable departments benefiting from the new licensing system.
To fund Scopes 1 and 2 covering the Needs Analysis, RFP Development and Vendor Selection Consulting Services, an appropriation increase is requested in the amount of $890,000 in the Development Services Fund Group in the Community Development Department offset by funds available. As the project moves forward, City staff will return to City Council with a request for appropriation to support subsequent project scopes.
This recommendation will have significant City staffing needs and impacts during the project and those needs will be determined early in the process. Appropriate and adequate staffing for the City’s significant share of the project will be important to the timing and quality of implementation as well as to overall project cost. This project is consistent with the existing City Council priority concerning LB Builds but may have a temporary impact on other priorities to ensure a timely and successful implementation. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
BODY
[Enter Body Here]
Respectfully Submitted,
CHRISTOPHER KOONTZ
DIRECTOR COMMUNITY DEVELOPMENT
LEA ERIKSEN
DIRECTOR TECHNOLOGY AND INNOVATION
KEVIN RIPER
DIRECTOR FINANCIAL MANAGEMENT
APPROVED:
THOMAS B. MODICA
CITY MANAGER