HomeMy WebLinkAbout2007-10-29 Ordinance 4972:'
ORDINANCE NO. 4972
ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO AMENDING
THE BUDGET FOR THE FISCAL YEAR 2007-08 TO PROVIDE AN
ADDITIONAL APPROPRIATION OF $4,000,000 TO CAPITAL IMPROVEMENT
PROGRAM (CIP) TE-07006, SAP CONTINUOUS IMPROVEMENT PROJECT
The Council of the City of Palo Alto does ordain as follows:
of the City of Palo Alto finds and
as follows:
_______ ~A. Pursuant to the p:t:'ovisions of Section 12 of Article _____ _
III of the Charter of the City of Palo Alto, the Council on
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B. In fiscal year 2007-08, the Council did adopt a budget
for CIP Project TE-07006, SAP Continuous Improvement Project
(Project), with an initial appropriation of $3,000,000 for the
Project; and
C. Prior to upgrading the existing SAP system and
implementation of SAP's Industry Specific Solution for
Utilities (IS-U) 1 it is necessary to put into place all
software licensing, maintenance and training. On July 23,
2007 1 the Council approved contract changes with SAP including
licensingl maintenance and training for an estimated costs of
$636,352; and
D. With the preparations in place, the City is now ready
to proceed with the upgrade of the existing SAP database
.. · .. ·soi .. t-wa-re-system .. Some--of -theuupg:r;adesinthe. system will
include enhancement to~he Budgeting process, implementation
of Employee Self Service (ESS) and Manager Self Service (MSS)
Modules, and implementation of the Utilities Module. The
upgrade also lays the foundation for future portal development
and constituent outreach giving the ability for community
members to submit one line work orders for items such as tree
trimming and pot holes; and
E. A Request for Proposal (RFP) was mailed to prospective
consultants and after a selection process Axon Solutions, Inc.
(Axon) was the selected vendor. Axon will perform the upgrade
and IS-U implementation within sixteen months for a total
estimated cost of $7,000,000; and
F. The existing appropriation balance of the Project is
not sufficient to cover for the costs of the upgrade; and
G. The total additional appropriation of $4,000,000 for
this project will be funded by a transfer of appropriation
from a number of CIP Technology projects and from the
Technology Fund Reserve. The details of the funding sources
are summarized in the following table; and
Funding Source Amount
TE-02014 (eGov-Web $788,960
Infrastructure)
TE-050Ql (S~2 CQntinllO~ ~~,127
Improvemen t)
Techno IOgy Fund Reserve $-3, {)-61, ~13
Total $4,000,000
H. City Council authorization is needed to amend the
2007-08 budget to make available the funds required for the
upgrade for CIP Project TE-07006, SAP Continuous Improvement
Project.
SECTION 2. The Technology Fund Reserve is hereby
decreased by Three Million Sixty One Thousand Nine Hundred
Thirteen Dollars ($3,061,913) with a remaining balance of One
Million Two Hundred Seventy Four Thousand Forty Nine Dollars
($1,274,049) .
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SAP Continuous Improvement Project from CIP Project TE-02014,
eGov-Web Infrastructure in the amount of Seven Hundred Eighty
Eight Thousand Nine Hundred Sixty Dollars ($788,960) reducing
the appropriation in CIP Project TE-0201S by $788,960.
SECTION 4. Transfer of budget into CIP Project TE-07006,
SAP Continuous Improvement Project from CIP Project TE-OS001,
SAP Continuous Improvement in the amount of One Hundred Forty
Nine Thousand One Hundred Twenty Seven Dollars ($149,127)
reducing the appropriation in CIP Project TE-OS001 by
$149,127.
SECTION 5. The sum of Four Million Five Dollars
($4,000,000) is hereby appropriated to CIP project TE-07006,
SAP Continuous Improvement Project.
SECTION 6. As specified in Section 2.28.080(a) of the
Palo Alto Municipal Code, a two-thirds vote of the City
Council is required to adopt this ordinance.
SECTION 7. As provided in Section 2.04.330 of the Palo
Alto Municipal Code, this ordinance shall become effective
upon adoption.
SECTION 8. The Council of the City of Palo Alto hereby
finds that this is not a project under the provisions of the
California Environmental Quality Act, and therefore, no
environmental impact assessment is necessary.
INTRODUCED AND PASSED:
AYES:
NOES:
ABSTENTIONS:
ABSENT:
ATTEST:
APPROVED AS TO FORM:
Sr. Assist. City Attorney
October 29, 2007
BARTON, CORDELL, DREKMEIER, KISHIMOTO,
KLEIN, KLEINBERG, MORTON, MOSSAR
BEECHAM
APPROVED:
Director of
Services