HomeMy WebLinkAbout6.i. Enterprise Resource Planning (ERP) Upgrade
EXECUTIVE SUMMARY
City Council Regular Meeting: October 18, 2022
AGENDA ITEM: Enterprise Resource Planning (ERP)
Upgrade
AGENDA SECTION:
Consent
PREPARED BY: Teah Malecha, Finance Director AGENDA NO. 6.i.
ATTACHMENTS: Resolution APPROVED BY: LJM
RECOMMENDED ACTION: Adopt a Resolution Approving a 10-year Commitment for the
LOGIS ERP and Utility Billing Software Applications
BACKGROUND
The City has been utilizing Tyler Technologies Incode for roughly 20 years for general ledger, accounts
payable, and payroll functions, and Civic Systems Clarity for utility billing for 10 years. As we have
expanded as a city, the functionality has remained limited and requires an inefficient amount of staff time.
As the City continues to grow, it is critical that our internal systems advance so that we are able to provide
the most efficient support both internally and externally.
The City has the option to conduct a Request for Proposal (RFP) for a new ERP solution or can choose to
utilize Local Government Information Systems (LOGIS) which offers an ERP solution through a Joint
Powers Agreement (JPA) that currently includes 27 participating agencies in Minnesota. Rosemount
utilizes LOGIS for police and fire records along with some network assistance. LOGIS recently completed
the RFP process and is proceeding with a 10-year contract with Oracle Fusion for financial software and
SpryPoint for utility billing. Based upon the discussion at the last work session, the City will be moving
forward with upgrading to Oracle and SpryPoint through LOGIS.
The Oracle pricing includes all system components including financial, HR, payroll, workflow tools, and
advanced reporting tools. The SpryPoint pricing includes all system components including billing and
payments, meter management, and mobile field service. It includes the software costs for Oracle and
SpryPoint along with LOGIS costs which include all software support and training. The annual cost for
Oracle is fixed for 2023-2027 followed by a two percent annual increase from 2028-2032. The annual cost
for SpryPoint will increase five percent annually from 2024-2032. These numbers would be included in the
annual rate models. There is currently $210,000 in an assigned fund for City-wide software that can be
utilized for the expenses.
Annual Costs
General Fund Water Sewer Storm Water Total Cost
Oracle 116,914.50 12,990.50 12,990.50 12,990.50 155,886.00
SpryPoint - 31,565.33 31,565.33 31,565.33 94,696.00
2
One-Time Implementation Costs
General Fund Water Sewer Storm Water Total Cost
Oracle 189,416.25 21,046.25 21,046.25 21,046.25 252,555.00
SpryPoint - 36,360.33 36,360.33 36,360.33 109,081.00
The current building permit software has been in use for roughly 25 years. The capabilities of the program
are limited and unable to expand to our future needs. Staff would like to implement a solution that allows
flexible reporting, an external customer portal, and a code enforcement module, along with other items.
Once a new ERP is in place, staff will further research the building permit program options. Rosemount is
continuing to expand at a rapid pace. It is important that we are able to be flexible and ensure our
customers and residents receive the best service we are able to provide.
LOGIS has requested a formal commitment from each agency by November 15th. Expenses would not be
incurred until implementation begins. The contract pricing runs through 2032 for Oracle and SpryPoint.
RECOMMENDATION
Staff recommends the City Council adopt the resolution approving a 10-year commitment for the LOGIS
ERP and utility billing software applications.
CITY OF ROSEMOUNT
DAKOTA COUNTY, MINNESOTA
RESOLUTION 2022 - XX
A RESOLUTION APPROVING A 10-YEAR COMMITMENT FOR THE LOGIS
ERP AND UTILITY BILLING SOFTWARE APPLICATIONS
WHEREAS, the City of Rosemount is a member of the Local Government Information
Systems (LOGIS) association; and
WHEREAS, the City of Rosemount desires to utilize the LOGIS-supported ERP and utility
billing software application systems; and
WHEREAS, LOGIS has negotiated new long-term contracts with Oracle Corporation and
SpryPoint Solution, Inc. to serve the ERP and utility billing needs of its membership; and
WHEREAS, in recognition of the substantial investment and operation impact of
implementing a new software system, the City of Rosemount acknowledges the benefits of
ensuring long-term financial and operational certainty; and
WHEREAS, each member participant is asked to adopt a 10-year commitment to secure its
ERP and utility billing software pricing and support through LOGIS.
THEREFORE, BE IT RESOLVED, by the City Council of the City of Rosemount, that
this resolution affirms our long-term commitment to the LOGIS ERP and utility billing
software applications and associated software support effective January 1, 2023 through
December 31, 2032.
ADOPTED this 18th day of October, 2022, by the City Council of the City of Rosemount.
William H. Droste, Mayor
ATTEST:
Erin Fasbender, City Clerk