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Staff Report 411-10
TO: HONORABLE CITY COUNCIL FROM: CITY MANAGER DATE: NOVEMBER 22, 2010 REPORT TYPE: CONSENT DEPARTMENT: ADMINISTRATIVE SERVICES CMR:411:10 SUBJECT: Approval of Contract with Pacific Technologies Incorporated (PTI) in the Amount of $99,698 for Preparation of an Information Technology Strategic Plan RECOMMENDATION Staff recommends that Council: 1. Approve and authorize the City Manager to execute the attached contract with Pacific Technologies Inc, (PTI) in an amount not to exceed $90,698 for preparing an updated strategic plan for the City of Palo Alto's Information Technology Services, 2, Authorize the City Manager or his designee to negotiate and execute one or more change orders to the contract with Pacific Technologies Incorporated for related, additional but unforeseen work which may develop during the project, the total value of which shall not exceed $9,000, DISCUSSION Background The City of Palo Alto, located in the global center of innovation and technology, strives to be a leader in technology in government. Palo Alto would like to take advantage of current and future technological advancements to improve its role as both a service provider and a community builder, Palo Alto citizens are technically savvy, expressing an interest in utilizing technology to improve communication with City Hall, stay engaged in Civic issues, and expedite and simplify transactions related to the services that the City provides, These desires must be examined in light of staffing limitations and budgetary constraints, and investments in technology must be strategically plauned, An initial IT Strategic Plan was developed for Palo Alto over ten years ago. That plan included the areas of hardware, software, networks, and the IT organizational structure, and has served as a reference guide as technology decisions were made. Due to technology advances as well as changing City priorities, an updated Strategic Plan is needed to establish a broad overview of CMR: 411:10 PAGE 1 0,'4 : Palo Alto's IT goals over the next three to five years, along with a plan for implementing prioritized initiatives. Scope of Services Description The scope of work to be performed under the contract is for preparation of such an Information Technology Strategic Plan. PTI will perform an assessment of the City's current technology position, work with key stal,eholders to develop a strategy for future IT direetion, and propose a three-to five-year strategic plan for IT projects to guide the City in allocating available resources to achieve teehnology objectives. Staff and PTI will present the Strategic Plan to the City Council for a discussion about the direction of future technology projects. Please see Exhibit A of Attachment A for the complete scope of services. Summary of Solicitation Process P"ofessional ServiceslRFP #135684 Update the Strategic Plan for tile City of Palo Alto's Information Technology Services Proposed Length ofProiect 4-6 months Number of Proposals Mailed 20 Total Da}'s to Res~ond t~Proposal 33 ,)'re-proposal Meeting Date None i Number of Company Attendees at Pre-NA :.J>l'<'J"'~~1 Meeting Number of Proposals Received: 17 Company Name. Location (City, State) Selected for oral . . interview? I. Networld Solutions San DicllO, CA No 2. Plante and Moran Southfield, MI Yes 3. Blueeran~, Inc. I Redondo Beach, CA No 4. ThirdW~ve Corporation Los Angeles, CA Yes 5. System~ Tecbnology Associates Tustin, CA No ! 6. Moss Adams Seattle,. W A Yes 7. ClientFirst Consultimg Group Corona,CA No 8. LBL Technology Partners Minneapolis, MN No 9. Pacific Technologies Inc. Bellevue, W A Yes 10. Elert & Associates Stillwater, MN No II, The CIO Collaborative LasVegas, NV No 12. PROVISTA Software International Fremont, CA No ~!leny, Dunn, McNeil &_Parker Portland, ME Yes , 14. PA Consulting Group Los Angeles, CA No 15. NexLevel Information Technology Carmichael, CA Yes 16. RNR ConSUlting Cleveland, OH No 17. Solec San Diego, CA No ' , Range of Proposal Arllounts $59,110 -$276,343 I Submitted . CMR: 411:10 PAGE 2 GF4 I I " i I I I[ !i I I! The RFP process allows the City to negotiate the price of the work upon selection of the successful firm. An evaluation committee consisting _ of staff from the Administrative Services Department, Information Technology, Police Communications, Library Services, Utilities Department, and City Manager's Office reviewed the proposals. Six firms were invited to participate in oral interviews on June 23 and June 29, 2010. Tbe committee carefully reviewed each firm's qualifications and submittal in response to the criteria identified in the RFP, focusing on the qualifications and experience of the teams, the completeness of their proposals, and the soundness of their described methodologies for effectively completing the work. The list of firms was narrowed down to three, who participated in oral interviews with the Director of Administrative Services and the Assistant City Manager on August 4, 5 and 9. Pacific Technologies Incorporated (PTI) was selected because their proposed team is highly qualified to provide the services requested by the City. The film focuses only on Infol1nation Technology for govemment entities, and has extensive experience in preparing similar strategic plans for other cities. Their proposal was well-written, showing a good understanding of the assigmnent, and their methodology appears appropriate for working with Palo Alto. References from fonner clients were good. Contract negotiations were held to clarify requirements of some of the tasks and to ensure that the consultant would be available to present the findings to Council. The contract amount for providing the-requested services is $90,698, including expenses. Additional services in an amount not to exceed $9,000, which equals approximately 10 percent of the total contract, are requested to allow potential additional interviews of stakeholders, or other related work that may prove necessary. RESOURCE IMPACT Funding for the agreement to prepare an InfOlmation Technology Strategic Plan is included in the Information Technology budget for this fiscal year. However, the plan will encompass projects across all City Fund centers (General Fund, Enterprise, and Internal Service Funds). As individual initiatives are selected for implementation, funding must be identified for each project, and will be requested for Council approval as appropriate in future budgets. POLICY IMPLICA TlONS The recommendation is consistent with CutTent City policies. ENVIRONMENTAL REVIEW This is not a project under the California Environmental Quality Act (CEQA) PREPARED BY: CMR: 411:10 PAGE 3 OP'4 DEPARTMENT HEAD: CITY MANAGER APPROVAL: ATTACHMENTS ATTACHMENT A: Contract CMR:411:10 Dire(;tol' of Administrative ServiceR PAGE 4 OF 4 CITY OF PALO ALTO CONTRACT NO. Cl1135684 AGREEMENT BETWEEN THE CITY OJ!' PALO ALTO AND PACIFIC TECHNOLOGIES, INC. J!'OR PROFESSIONAL SERVICES UPDATE TIlE STRATEGIC TECHNOLOGY PLAN This Agreement is entered into on this 9TH day of November, 2010, by and between the CITY OF PALO ALTO, a California chartered municipal corporation ("CITY"), and PACIFIC TECHNOLOGIES, INC., a California Corporation, located at 14711 NE 29th Place, Suite 216, Bellevue, WA 98007 (PH) (425) 881-3991 ("CONSULTANT"). RECITALS The following recitals are a substantive portion of this Agreement. A. CITY intends to update its, cuttent Technology Strategic Plan ("Project") and desires to engage a consultant to provide CONSULTANT Services for this Plan ("Services"). B. CONSULTANT has represented that it has the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY in reliance on these representations desires to engage CONSUr;r ANT to provide the Services as more fhlly described in Exhihit "A", attached to and made a part of this Agreement. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, this Agreement, the parties agree: AGREEMENT SECTION 1. SCOPE OF SERVICES. CONSULTANT shall pcrform the Services described in Exhibit "A" in accordance with the terms and conditions contained in thi~ Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement shall be from the date ofits full execution through June 30, 2011, unless terminated earlier pursuant to Section 19 of this Agreement. SECTION 3. SCHEDULE OJ!' PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULT ANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit "B", artached to and made a part of this Agreement. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. CITY's 1 Professional Services Rev. J"no2. 2010 IICc·te"alsharedlASDIPURCH\SOLlCIT ATIONSICURRENT BUYER -eM FOLDERSIKA THy\Contra c',\C111356M·PTllContrnct CI1lJ56114 Pacific Technologies, Inc. doc agreement to extend the tenn or the schedule for perfonnance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT fol' perfonnance of the Services described in Exhibit "A", including both payment for professional services and reimbursable expenses, shall not exceed Ninety Thousand Six Hundred Ninety Eight Dollars ($90,698.00). Additional Services, if any, shall be authorized in accordance with and subject to the provisions of Exhibit "COO, and shan not cxceed a total additional amount of $9,000. CONSULT ANT shall not receive any compensation for Additional Services perfonned without the prior written authorization of CITY. Additional Services shall mean any work that is detennincd by CITY to be necessary for the proper completion of the Projeet, but which is not included within the Scope of Services described in Exhibit "A". SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the services perfomled and the applicable charges (including an identification of personnel who perfonned the services, hours worked, hourly rates, and reimbursable expenses), based upon the CONSULTANT's billing rates. If applicable, the invoice shall also describe the percentage of completion of each task. The infonnation in CONSULTANT's payment requests shall be subject to verification by CITY. CONSULTANT shall send all invoices to the City's proj ect manager at the address specified in Section 13 below. The City will generally process and pay invoices within thirty (30) days of receipt. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All of the Services shall be perfonned by CONSULTANT or under CONSULT ANT's supervision. CONSULTANT represents that it possesses the professional and technical personnel necessary to perfonn the Services required by this Agreement and that the persolll1el have sufficient skill and experience to perfonn the Services assigned to them. CONSULTANT represents that it, its employees and subconsultants, if permitted, have and shall maintain during the term of this Agreement all licenses, pennits, qualifications, insurance and approvals of whatever nature that are legally required to perfonn the Services. All of the services to be furnished by CONSULTANT under this agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itselfinfonnedof and I in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement. CONSULTANT shall procure all pennits and licenses, pay all charges and fees, and give all notices required by law in the perfonnance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT shall correct, at no cost to CITY, any and all errors, omissions, or ambiguities in the work product submitted to CITY, provided CITY gives notice to CONSULTANT. If CONSULTANT has prepared plans and specifications or other design documents to construct the Project, CONSULTANT shall be obligated to correct any and all errors, 2 Professional Services Rev. June 2, 2010 \\Ce-terra\shnredIASDIPURCH\SOLICITATIONSICURRENT BUYER-CM FOLDERSIJ<A THY\Contra ctslCII 135684·pmCuntract CI1135684 Pacific Technologies, Inc.doc omissions or ambiguities discovered prior to and during the course of construction of the Project, This obligation shall survive termination of the Agreement. SECfION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction cost~ at each phase of design submittal .. If the total estimated construction cost at any submittal exceeds ten percent (1 0%) of the CfrY's stated construction budget, CONSULTANT shall make recommendations to the CfrY for aligning the PROJECI' design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY, SECfION 10. INDEPENDENT CONTRACfOR. It is understood and agreed that in perfomling the Services under this Agreement CONSULTANT, and any person employed by or contracted with CONSULTANT to furnish labor and/or materials under this Agreement, shall act as and bc an independent contractor and not an agent or employee of the CITY. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the perfom1aoce of any of CONSUL TANT' s obligations hereunder without the prior written conscnt of the city manager. Consent to one assignment will not be deemed to be consent to any subsequent assignment. Any assignment made without the approval of the city manager will be void. SECTION 12. SUBCONTRACTING. CONSULTANT shall not subcontract any portion of the work to be performed under this Agreement without the prior written authorization of the city manager or designee. CONSULTANT shall be responsible for directing the work of any subconsultants and for any compensation due to subconsultants. CITY assumes no responsibility whatsoever concerning compensation. CONSULTANT shall be fully responsible to CITY for all acts and omissions of a subconsultant. CONSULTANT shall change or add subconsultants only with the prior approval of the city manager or his designee. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Dan Borgen, CEO, as Principal in Charge (Projeet Manager), to have supervisory responsibility for the performance, progress, and execution of the Services and to represent CONSULTANT during the day-to-daywork on the Project. If circumstances cause the substitution of the project manager, or any other key personnel for any reason, the appointment of a substitute project director and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY's project manager. CONSULTANT, at CITY's request, shall promptly remove personnel who CITY finds do not perform the Services in an acceptable marmer, are uncooperative, or present a threat to the adequate or timely completion of the Project or a threat to the safety of persons or property. The City's Project Manager is Libby Dame, Administrative Services Department, 250 Hamilton Avenue, Palo Alto, CA 94301, Telephone: 650-329-2213. Ihc Project Manager will be CONSULTANT's point of contact with respect to performance, progress and exceution of the 3 Professional Services Rev. )uo.2,2010 \\Cc-terra\$hared\ASDIPURCH\SOLICIT ATIONSICURRENT BUYER·CM FOIDERS\KATHY\Con~a cts\C11135684·PTl\Con~.ct C11135684 Pacific Technologies, Inc.doc Services. The CITY may designate an alternate project manager from time to time. SECTION 14. OWNERSHIP OF MATERIALS. Upon delivery, all work product, including without limitation, all writings, drawings, plans, reports, specifications, calculations, documents, other materials and copyright interests developed under this Agreement shall be and remain the exclusive property of CITY without restriction Of limitation upon their use. CONSULTANT agrees that all copyrights which arise from creation of the work pursuant to this Agreement shall be vested in CITY, and CONSULTANT waives and relinquishes all claims to copyright or other intellectual property rights in favor of the CITY. Neither CONSULTANT nor its contractors, if any, shall make any of such materials available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the scope of work. CONSULTANT reserves right; title and interest in the methodologies, trade secrets, software tools, and know-how employed by CONSULTANT to conceptualize and produce all work products and deliverables. CITY may modify these work products for intemal, non-commereial use and may distribute the draft and final reports internally without restriction. CITY shall not distribute CONSULTANT's copyrighted material to third parties, including parties undercontractto CITY, for their commercial use, without written consent from CONSULTANT. All records submitted by CITY to CONSULTANT will be safeguarded by CONSULTANT. SECTION 15. AUDITS. CONSULT ANT will permit CITY to audit, at any reaqonable time during the term ofthis Agreement and for three (3) years thereafter, CONSULTANT's records pertaining to matters covered by this Agreement. CONSULTANT further agrees to maintain and retain such records for at least three (3) years aftcr the expiration or earlier termination of this Agreement. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall protect, indemnify, defend and hold harmless CITY, its Couacil members, officers, employees and agents (each an "Indenmified Party") from and against any and all demands, claims, or liability of any nature, including death or injury to any person, property damage or any other loss, including all costs and expenses of whatever nature including attorneys fees, experts fees, court costs and disbursements ("Claims") that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an hldemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from Claims arising from the active negligence, sole negligence or willful misconduct of an Indenmified Party. 16.3. The acceptance of CONSULTANT's services and duties by CITY shall not operate as a waiver ofthe -right of indenrnification. The provisions of this Section 16 shall survive the expiration or early telmination of this Agreement. SECTION 17. W AlVERS. The waiver by either party of any breach or violation of any covenant, 4 Professional Services Rev. June 2. 2010 IICc-teITllI,haredlASDIPURCHISOLlCIT A TI0NSICURRENT BUYER·CM FOLDERSIKA lliY\Contm ctsICll135684·PTlIContrllCt Cl lB5684 Pacific Technologies, fnc.doc term, condition or provision of this Agreement, or of the provisions of any ordinance or law, will not be deemed to be a waiver of any other term, covenant, condition, provisions, ordinance or law, or of any subsequent breach or violation of the same or of any other term, covenant, condition, provision, ordinance or law. SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit "Do. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best's Key RatingOuide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the tcrm of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subjectto the approval of CITY's Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days' prior written notice of the cancellation or modification, CONSULTANT shall be responsible for ensuring that current certificates evidencing tbe insurance are provided to CITY's Purchasing Manager during the entire term of this Agreement. 18.4. The pmcuring of sueh required policy or policies of insurance will not be construed to limit CONSULTANT's liability hereunder nor to fulfill the indemuification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. Upon receipt of such notice, CONSULTANT will immediately discontinue its performance of the Services. 19.2. CONSULTANT may terminate this Agreement or suspend its performance of the Services by giving thirty (30) days prior written notice thereof to CITY, but only in the event of a substantial failure of performance by CITY. 19.3. Upon such suspension or termination, CONSULTANT shall deliver to the Professional Services 5 Rev.lune2,2010 \\Cc-te"alsharedIASD\PURCH\SOLIOTA T10NSICURRENT BUYER-CM FOLDERllIKA THYlContr. ct,\Cll1356&4-pmConlract C11135684 Pacific Technologies, lnc.doo City Manager immediately any and all copies of studies, sketches, drawings, computations, and other data, whether or not completed, prepared by CONSULTANT or its contractors, if any, 01' given to CONSULTANT or its contractors, if any, in connection with this Agreement. Such materials will become the property of CITY. 19.4. Upon such suspension or termination by CITY, CONSULTANT will be paid for the Services rendered or materials delivered to CITY in accordance with the scope of services on or before the effective date (i.e., 10 days after giving notice) of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSUL TANT's services wbich are of direct and immediate benefit to CITY as such determination may be made by the City Manager acting in the reasonable exercise ofbis/her discretion. The following Sections will survive any expiration or termination of this Agreement: 14,15,16,19.4,20, and 25. 19.5. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement. SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Officc of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention ofthe project manager at the address of CONSULTANT recited above SECTION 21. CONFLICT OF INTEREST. 21.1. In accepting tbis Agreement, CONSULTANT covenants that it presently has no interest, and wiIl not acquire any interest, direct or indireet, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT finther covenants that, in the performance ofthis Agreement, it will not employ subconsultants, contractors or persons having such an interest. CONSULTANT certifies that no person who ha~ or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be intcrpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code ofthe State of California, 21.3. If the Project Manager determines that CONSULTANT is a "Consultant" as that term is defined by the Regulations of the Fair Political Practices Commission, CONSULTANT Professional Services 6 Rev. June 2, 2010 IICc·terralsharedIASD\PURCII\SOLICITATIONSlCURRENT BUYER·CM FOLDERSIKATHYlCon". ctsICII13S684·PTIIContract CI I 135684 Pacific Technologies, Inc.doc shall be required and agrees to file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act. SECTION 22. NONDISCRIMINATION. As set forth in Palo Alto Municipal Code section 2.30.510, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminatc in the employment of any person because of the race, skin color, gender, age, religion, disability, national origin, ancestry, sexual orientation, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements ofSeetion 2.30.510 pertaining to nondiscrimination in employment. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REOUIREMENTS. CONSULTANT shall comply with the City'S Environmentally Preferred Purchasing policies which are available at the City's Purchasing Department, incorporated by reference and may be amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of the City's Zero Waste Program. Zero Waste best practices include first minimizing and reducing waste; second, reusing waste and third, recycling or composting waste. In particular, Consultant shall comply with the following zero waste requirements: • All printed materials provided by Commltant to City generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double-sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by the City's Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable based inks. • Goods purchased by Consultant on behalf of the City shall be purchased in accordance with the City's Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Office. • Reusable/returnable pallets shall be taken back by the Consultant, at no additional cost to the City, for reuse or recycling. Consultant shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. SECTION 24. NON-APPROPRIATION 24.1. This Agreement is subject to the fiscal provisions of the C"harter of the City of Palo Alto and the Palo Alto Municipal Code. TIus Agreement will terminate without any penalty (a) 'It the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. SECTION 25. MISCELLANEOUS PROVISIONS. 25.1. This Agreement will be governed by the laws of the State of California. Professional Services 7 Rov. luno2, 2010 l\Cc-IerralsharedIASDlPURCHlSOLlCllATIONSIClJRRENT BlJYER-CM FOLDERSIKATHYlCuntra clsICll135684·PTl\Cuntract C1113S684 Pacific Technologies, Inc.doc 25.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 25.3. The prevailing party in any action brought to enforee the provisions of this Agreement may recover its reasonable costs and attorneys' fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys' fees paid to third parties. 25.4. This document represents the entire and integrated agreement between the parties and supersedes all prior negotiations, representations, and contracts, either written or oral. This document may be amended only by a written instrument, whieh is signed by the parties. 25.5. The covenants, terms, conditions and provisions of this Agreement will apply to, and will bind,< the heirs, successors, executors, administrators, assignees, and consultants of the parties. 25.6. If a court of competent jurisdiction finds or rules that any provision of this Agreement or any amendment thereto is void or unenforceable, the unaffected provisions of this Agreement and any amendments thereto will remain in full force and effect. 25.7. All exhibits referred to in this Agreement and any addenda, appendices, attachments, and schedules to this Agreement which, from time to time, may be referred to in any duly executed amendment hereto are by such reference ihcorporated in this Agreement and will be deemed to be a part of this Agreement. 25.8 If, pursuant to this contract with CONSULTANT, City shares with CONSULTANT personal information as defined in California Civil Code section 1798.81.5( d) about a California resident ("Personal Information"), CONSULTANT shall maintain reasonable and appropriate security procedures to protect that Personal Information, and shall inform City immediately upon learning that there has been a breach in the security of the system or in the security of the Personal Information. CONSULT ANT shall not use Personal Information for direct marketing . purposes without City's express written consent. 25.9 All unchecked boxes do not apply to this agreement. 25.1 0 The individuals executing this Agreement represent and warrant that they have the legal capacity and authority to do so on behalf of their respective legal entities. IN WITNESS < WHEREOF, the parties hereto have by their dilly authorized representatives executed this Agreement on the date first above written. Professional Services 8 Rev. June 2, 2010 \\Cc·terralsharedIASDIPURCH\SOLlClTATIONSICURRENT BUYER·CM FOLDERS\KA THy\Contta c!SIClI135684·PTnContract CIIlJ5684 Pacific Technologies j Ine.ooc IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement on the date first above written. CITY OF PALO ALTO PACIFIC TECHNOLOGIES, INC. City Manager (Required on contracts over $85,000) Purchasing Manager (Required on contracts over $25,000) Contracts Administrator (Required on . contracts under $25,000) APPROVED AS TO FORM: Senior Ass!. City Attorney (Required on Contracts over $25,000) Attachments: EXHIBIT "An: SCOPE OF WORK EXHIBIT "B": EXHIBIT "C": SCHEDULE OF PERFORMANCE COMPENSATION EXHIBIT "D": INSURANCE REQUIREMENTS 9 Professional Services Rev. June 2, 20lO C:\Uscrs\bmcbr1de\AppData\LQcal\Mlerosoft\ Windows\Tempornry Internet Fites\Ctmtent Outlook\W2VXIVRO\Contract C 11135684 PacifIC T echnmoglC5 Inc.doc Scope of Work EXHIBIT" A" SCOPE OF SERVICES Detailed Task Descriptio-'-n...:...s _____ -:-___ --: ____ _ • Project Management + Phase 1: Assessment + Phase 2: Strategy Development • Phase 3: IT Strategic Plan Development Project Management Task 1. Manage Project Project Phases This task incorporates the effort required for PTI to manage the assessment and planning work across the three phases, and to perform quality assurance for each task. PTI's project manager will meet with the City's project steering team as needed to 12 Professional Services Rev. June 2, 2010 C:\Uscrs\bmcbride\A ppData\l.ocal\M" k:tusof\\ Windows \T emporary Internet Files\CMtent Outlook\ W2 VX[VRO\Contrt1Ct C 11135684 Pactfic Tecbnologies Inc.doc /-~----"(;'oQ(dinate work tasks, review progress, and discuss current findings and issues. In ( // addition, PTI's project manager will submit monthly status reports. Task ~ evelop and Distribute Information Request . ___ ."._c .. ,,~~~ __ .~._ ---tlpon··th prcrject'start;-P'fI-will-develop,md-distribute-8I6ql:restfonalienteit}r---·-·~--~----·- \ informati n -including our proprietary tools used to collect and analyze IT labor, invento and spending data. In addition, we will ask for germane documentation, such , as kay, ity performance indicators, organization charts, IT service backlog, and related ",,-. items. PTI will employ this information throughout Phase 1. ',,,-----~ following graphic depicts PTI's sample IT staffing matrix from a similar client engagement. @PTI City 01 P.loAlto. CA. Scope ofWor!<' October 13, 2010. © 2010 Pacific Technologies. Inc. 13 Sample IT Staffing Matrix @PTI City of Palo Allo, CA· Scope of Work • October 13, 2010' ©2010 Pacific Technologies, Inc. 14 /''''''''-'''-" '-"~~~~"" ( / T~\COnduct Project Kickoff PTI will f~cilitate a project kickoff to introduce key project participants, confirm project ..... ···_-If._._, .. _--'_ .. , .-~objectjv.ef,-and..establi$h.the.deci$ion.making.$tructureJor-the.pr.oject.andtharole.of.the .. City project steering team in reviewing and approving project deliver ables, We also will \ facilitatela discussion of key business drivers and strategic priorities for information \ technol6gy (see task 4), ."., ... --~ 1: Assessment @PTI Task 4. Review Documentation PTI will review the documentation provided by the City in response to task 2, This task familiarizes the PTI team with the City business environment, service delivery goals, and policy objectives, as well as current technology environment. The City is responsible for providing PTI the requested documentation within a reasonable timeframe, according to the project schedule, Task 5. Develop and Validate Business Function Model PTI will develop a model of the City's major business activities and validate the model with selected stakeholders, The resulting model will be used to assess the City's current level of automation in support of these business functions, and in developing a model of the City's "ideal" application architecture (task 14), We've included a sample bUsiness function model on the following page, Task 6. Develop Ideal Application Architecture Based on the validated business function model (task 5), PTI will develop an ideal application architecture to illustrate how the City might automate its business functions and services, without regard for existing solutions or cost. This will facilitate the gap analysis to be performed in task 14, Task 7. Conduct Interviews and Focus Groups We will conduct up to ten (10) one-on-one interviews with senior management and facilitate up to ten (10) focus groups comprised of 10 to 15 stakeholders, We will provide interview guides and focus group agendas in advance so that interviewees and participants can familiarize themselves with the likely content of these discussions, and prepare their thoughts and responses if they so desire, The interviews and focus groups will address the City's internal and external bUSiness environment, as well as how those environments affect and influence information technology in the City. We also will ask interviewees and focus group participants to identify the strengths and weaknesses of the City's current technology environment in the four IT focus areas of: software applications, IT service delivery, IT decision making, and technical infrastructure, We will also surface attendant concerns related to key bUSiness process. Please note that the proposed number of interviews and focus groups will involve over 100 City stakeholders. The City may wish to consider expanding this task to involve more staff or other stakeholders, Our work plan is flexible in this area, City olP.lo Alto, CA' Scope of Work • October 13, 2010' © 2010 Pacific Technologies, Inc, 15 @PTI Sample Business Function Model Task 8. Identify Business Drivers and Strategic Priorities A business based approach to IT planning PTI will facilitate a work session with the project steering team during the project kickoff (task 3) to identify key business drivers and strategic priorities for information technology at the City. We will use this information, together with findings from our document review (task 4) and interviews and focus groups (task 7), to establish a more thorough understanding of the business context for this IT planning work. This will help ensure that the final information technology strategic plan aligns well with the City's core business needs and strategic vision. Task 9. Assess Technical Configuration Based on a completed IT inventory and other technical documentation from the City (task 4), PTI will review the City's IT portfolio, including servers, firewalls, workstations, networks, telephone systems, radios, and associated infrastructure. PTI staff also will conduct a walkthrough of the City's data center andtor other networking closets to assess Clly 01 Palo Allo, CA· Scope 01 Work • October 13, 2010' © 2010 Pacific Technologies, Inc. 16 / /-"""" ""'--thei.( maturity in the areas of security, environmental controls, power, space allocation, and a ministrative monitoring. ""-""--"[-"~~--" "-""i~;:~ It~~I~~tm~,~~~~~~ltr;~~~~%;~~~~;;;~~;"~!k;;;;;~;a~n~~r~;~ai:~;!~ .. --."" : r rlS ana SIS WI Inrorm our recommenua,lons relateu 10 optimizing an consOrl atlng \ key com, onenls of the City's current technical architecture. '\" The illy trations below provide samples of PTI's infrastructure analysis from a similar , c~engagement. -~. "".-Sample PTI Metrics A fact·based analysis of your IT Inventory ®PTI PC to Email/Calendaring Server Ratio Sample 103:1 Target Ratto for PCs 10 EmalllCaJandaring: Servers ~~\ PC to File/Print Server Ratio Target Rallo for PCs to FlIeiPrinl Servers sample 223: t Task 10. Assess IT Organization and Service Delivery At the core of our methodology, PTI models the staffing levels and organizational structures that currently support delivery of IT-related services. This provides a baseline to assess future staffing requirements and allows analysis of the alignment of staffing patterns with strategic objectives. Based on a completed IT staffing matrix and other IT organization-related documentation from the City (task 4), we will analyze all aspects of IT service delivery -including customer services, application and infrastructure services, and IT planning and administration. Employing modeling tools unique to PTI, we quantitatively examine total labor effort provided by the central IT department as well as any non-IT titled staff and outsourced providers. Using this data and our extensive database of IT staffing benchmarks (collected from dozens of public sector organizations), we will help the City understand how it compares to similar organizations and industry best practices in key labor efficiency metrics, such City of Palo Alto, CA· Scope of Work • Oclober 13,2010' ©2010 Pacific Technologie •. Inc. 17 @PTI City of Palo Alto. CA. Scope afWork' October 13, 2010'@2010PaclficTechnologles,lnc, 18 @PTI Sample IT Staffing Levels and Support o:;~!~Cf~E~;~ ~E$~"~"'-~-'''-'' PCs to PC Support FTEs '"-""-""~-- Task 11. Conduct Budget Analysis Based on a completed workbook and other budget-related documents from the City (task 4), we will analyze the City's current IT budget. We will review operations and maintenance spending from a variety of perspectives, including: • Comparing IT operations and • • • • maintenance (O&M) spending as a percentage of overall City operating budget to the IT spending of other, similar agencies Reviewing labor costs of specific IT activities Reviewing alignment of spending with strategic priorities Assessing whether the level of financial investment is capable of supporting the City's current and future needs Identifying areas of under-investment IT O&M Spending as a % ofTotal City O&M Spending This will also include an analysis of current funding sources, such as the general fund, capital project funding, interdepartmental chargeback, and grants. We will also assess the City's current IT cost allocation model, including its alignment with city strategic priorities, service cost accuracy, and inherent incentives and disincentives. The exhibit shown above provides a sample of PTI's summary IT spending analysis for a similar engagement. Task 12. Assess Application Architecture PTI will conduct application reviews with city users to determine their strengths and weaknesses, helping us ascertain where Significant investment might be needed. We will assess selected applications for their ability to meet business needs, usability, data access integration, and interfaces. We will examine up to 20 applications. This will include core enterprise applications (e.g., the finance and human resources management systems) and department-specific applications (e.g., the Utilities Department systems for utility billing). Clly of Palo Alto, CA' Scope of Work' Octobe, 13. 2010· © 2010 Pacific Technologies, inc. 19 --"~. "-'---.,... ~, ."" / TaS~~DeveIOP Findings We will ynthesize our assessment findings in each of the four IT focus areas - ., ...... (. •... __ .. ,_., .. ", __ hi9hli9hll, g.lheiujsks.and_impacts~apd.defil'le.techl'lology~related.issues,thatneed.,to."., .. . \ be addre,ssed for the City to meet its business objectives, We will review and validale \ Ihese fi?l:iings wilh the City's Project Steering Team in a strategy workshop (task 16). \'''-,._!'}laie 2: Strategy Development --. .... -.- Task 14. Develop Candidate IT Vision and Goal State Based on our findings from interviews and focus groups (task 7) the City's strategic priorities identified in task 8, and other assessment findings, we will draft a candidate IT vision and goal state for the City. After reviewing the C,ity's current IT position, we will work closely with City stakeholders during the IT strategy workshop (task 16) to review and refine these vision and goals. We will use the SMART criteria to ensure that the City's IT goals are Specific, Measurable, Agreed-upon, Realistic, and Timely. @PTI We will facilitate consensus around the IT vision and goal state -putting a strategic "stake in the ground" for the City's short-and long·term IT direction, Task 15. Perform Gap Analysis Using our interview and focus group findings, and findings from the application reviews (task 12), we will compare gaps between the City's existing application portfolio and the ideal application architecture defined in task 6, We will categorize current applications as having a severe, moderate, or minimal gap. Those applications with a severe gap become candidates for investment. We've included a sample ideal application architecture and gap analysis on the following page. Task 16. Conduct IT Strategy Workshop PTI will facilitate a workshop with the City's project steering team to collaboratively define a vision for IT at the City, reviewing our assessment findings (tasks 4 through 13) and the candidate IT vision and goal state from task 14, We will distribute the materials in advance to facilitate thoughtful discussion. During this workshop, we also will prioritize potential application investments in light of the application gap analysis and curren! business needs. We will review the gap analysis and facilitate participants through a normative voting process to force-rank the applications. Finally, we will work with the steering committee to review and refine a candidate IT governance model, with associated roles and responsibilities. The resulting model will address issues with existing governance processes, facilitate alignment between the City's technology objectives and its mission and business goals, and define mechanisms for keeping the IT strategic plan current. The workshop approach ensures that city staff has "ownership" over the resulting work products. We've included a sample IT decision making model on page 30. Cily of Palo ARo, CA' Scope of Work • OClober 13, 2010' © 2010 Pacific Technologies, Inc, 20 , i I /~, / J '-f / \~ Specialized Applications Common Applications ®PTI Sample Ideal Application Architecture and Gap Analysis o Project Accounting Decision Support DocumentIRecords Management Emergency Management Financial Management Minimal OVerall Gap Moderate Assessment Severe Not RevieWed Management o Prosecution ea • ., Manag.,ment o Public Safety Scheduling Grant/Contract Management Human Resources Management Internet 3 3 7 Intranet PersonalProducUvHy Timekeeping 9 City of Palo Alto, CA· scope of Work· October 13. 2010.0 ,2010 Pacific Technologies, Inc. A business oriented view of your application portfolio 21 ®PTI Sample IT Decision-Making Model1 Aggrega.."1liS small projed:S with similar purposes for priOlitizatioo 1 In this diagram. PRe is the Project Review Committee and OBIS is the Office of Budget and Infonmation Systems. City of P~lo ~to, CA • Scope of work· October 13, 2010 • e 2010 Pacific Technologies, Inc. assessmem of IT support impacts 22 /'" '-"'''-" /' Ta~'lr Develop Recommendations I Based ~~on our assessment findings in phase 1, and the outcome of the IT strategy """,,"_\l,,,,~,,,,,_,_, ___ ,::~~:~~ '. ~~~:!d~:~,~:~;ii~i~:~:~~~:~v!~~~~~~t,~~~,rn~,~~re~,~~~~~~~o~:t~,_,_",_"" We will etermine the needed staffing, skill sets, and organizational structure(s) to suppor;! the City's technology priorities, including staffing and structures for customer • servjp~ and support, application support, infrastructure operations, and IT planning and "'''' ydrtlinistration, Other recommendations will include strategies for making improvements -" .. -to the City's application portfolio, as well as technical recommendations (e.g" hardware, networks, databases) to improve efficiency, address unmet demands, and anticipate future system requirements. We will recommend modifications, as appropriate, to the city's current IT cost allocation model and consider recommendations surrounding emerging and enabling technologies such as mobile/wireless computing, e-Government, and others, Our recommendations will consider best practices and address IT funding strategies. ®PTI Phase 3: IT StrategiC Plan Development Task 18. Align IT Projects with Business Priorities PTI will define specific tactical projects resulting from the recommendations developed in task 17 and align these projects with the business priorities and strategic objectives identified in task 8. This will ensure each recommended project supports the City's business needs, strategic direction, and future vision. IT projects will encompass each of the four strategiC IT focus areas: applications, IT service delivery, IT decision making, and technical infrastructure, Task 19. Develop Implementation Plan and Timeline PTI will develop a preliminary implementation plan with proposed durations, and start and completion dates for eGtch of the IT projects identified in task 17. We will work with the City's steering committee to review and finalize this implementation plan in task 21. The following Gantt chart illustrates a project implementation timeline from a similar engagement. City Of Palo Alto eA. scope of wark * October 13 201Q. @ 2010 pacjfic TechnOlogies 23 • 1 @PTI Sample Project Implementation Plan and Timeline III 1 • ( ! . Task 20. Perform Cost Analysis We will develop one-time and recurring cost estimates for each of the implementation projects. We will conduct market research and verify cost projections with vendors to ensure that our estimates are valid for City budgeting purposes, and are practical to implement. Please note that although we will identify the attendant benefits of each of the projects, we will not conduct a formal return on investment (ROI) analysis as part of this work. We've included a sample project cost summary below. Note that these costs are not high level numbers "picked from air." We build them up by looking at software . purchase and license costs, hardware purchase and replacement costs, external labor, and internal labor as appropriate. Citl' Of Palo AJto CA. Scope of Wprk • October 11 30]0' C 2010 Pacific TecbpplogJes Inc. 24 ®PTI Sample Project Cost Summary In addition to providing a list of implementation projects and cost estimates, we will also align these projects with the City's strategic priorities. The following graphic depicts a sample implementation project alignment with the City's goals from a similar client engagement. City Of PalO Alto en. scope of WOrk October 13 2Q10. © 2010 PaCifiC reChDQJQ~jes Inc. 25 @PTI Sample Alignment with Strategic Priorities Task 21. Conduct Implementation Planning Workshop PTI will facilitate a workshop with the City's steering committee to refine and validate the implementation plan, timeline, and project costs. Task 22. Prepare Draft IT Strategic Plan PTI will distill, synthesize, and document our work from all three phases in a draft IT Strategic Plan for the City. Before writing the report, we will review the table of contents with the City for approval. We will submit the draft report to the steering committee for review and comment. Task 23. Prepare Final IT Strategic Plan Working from a set of consolidated comments from the City, we will conduct a page-by page walkthrough of the draft report. We will then incorporate any necessary revisions into the final IT Strategic Plan. Task 24. Deliver Final Presentation PTI will prepare and deliver a presentation of our findings and recommendations. We typically target this presentation for an executive audience, although we can tailor it for other audiences should the City prefer. Deliverables CONSULTANT will culminate work in the following formal deliverables: City of palo Alto CA' Scope Of work • Octoher 13 201Q' Q 2010 Pacific TechnolOgies Inc, 26 .,."..--~-~--, , '~. A draft and final Information Technology Strategic Plan, including: @PTI • Meaningful local government IT benchmark data • An implementation plan, including definition of recommended projects, high level one-time and recurring cost estimates for each project (valid for budgeting) and a recommended project schedule • Related appendices and supporting documentation • A final presentation that summarizes key findings and recommendations City of palO altg CA. Scwle of Work • october 13 201Q· (1 2010 pacific Technologjps Inc. 27 EXHIBITB SCHEDULE OF PERFORMANCE CONSULTANT shall perform the Services so as to complete the required Services according to the following schedule: Project Schedule This section presents the schedule for the project. CONSULTANT understands the City's desire to complete the IT strategic plan within 90 days. That said, based on our past experience with organizations on similar projects, CONSULTANT believes that the desired timeline is quite aggressive if the City of Palo Alto expects effective results. With the above in mind, CONSULTANT has developed a project schedule culminating in the creation of a draft report in approximately 120 business days. CONSULTANT and CITY agree thatthe work plan and timeline are not "carved in stone." CITY may wish to shift the emphasis of our work, or include additional activities. CONSULTANT shall welcome the opportunity to discuss these alternatives with the City and make related adjustments to the work plan. The following Gantt chart outlines the tentative schedule, and estimated start and finish dates of each task in our work plan. ~mofi1-T Project Schedule -Iii ill !iii lID ..,.--+_. III iii !iii '-""""" • ""'" , .. ,,, .. ,, ...... ""''' , ......... "" .~" • L_ ~~ __ J __ ®-~ I!mm I m EXHIBIT "C" COMPENSATION The CITY agrees to compensate the CONSULTANT for professional services performed in accordance with the terms and conditions of this Agreement, and completed to the reasonable satisfaction of the CITY, as described in Exhibit A, Scope of Services, a fixed, not-to-exceed price for professional services of $78,048. This fixed price includes a 20% discount from PTI's standard professional services cost. PTI will progress bill for their work on a monthly . basis. In addition, PTI will bill for travel and related costs (such as mileage and parking) as incurred, with a 1.8% markup which reflects the current Washington State Business and Occupational Tax on PTI's gross receipts. PTI estimates travel expenses at $12,650. The final, not-to-exceed priee for professional services is $90,698.00. CONSULTANT agrees to complete all Basic Services, including reimbursable expenses, within this amount. Any work performed or expenses incurred for which payment would result in a total exceeding the maximum amount of compensation set forth herein shall be at no cost to the CITY. Per RFP 135684, the following tables present PTI costs for our the scope of services. I-s-c::--'-~·~ '------,.II:-~-·~-~-~~~u~~~~~~ies~··T;1 ~~~r:-l-~1~~~g:J,L. E-xt-en-d-ed Rat. I Consultant, etc.) , I hour~~ ~:::e-:-:a:a~:~:~~pe-:n-ts-e-s -.~_--.-.. -t---=~:-,~-~-:::~-~~:~~er_ ~.~ j 40 $124 __ ~~~ i:~~o TOTAL NOT TO EXCEED, I --$4-,9-6-0-1 TASK 1 .~~ ___ i---c.---.----l-------+-----._.,. __ ---1 Task 2: Develop and distribute information request 1, Dan Borgen -, 2 ~pr-?i"<'tMana.ll.'!L--~--$124 $248 __ _ MIke Stlverman -. 2 $124 I $248 Lead Consultant . ---1 i ~~~;7~~;~~;n-=-,2._. __ . $II;=---==-t $:24 ___ ---1 ~-:::------.~i: ~:.::~;!;lane.--,LI 6_··fl.04,-_._-..... 1$$6 0 2 .. 4 .. ,,,_--- Travel and Livin,,,gL::E::;x":pe"'us="=es:---__ :-. _ . _ .. TOTAL NOT TO EXCEED, i 'I· I TASK 2 -+_.__ . .1 . r---__ Sj ,344 , Dan Borgen ---i 8 ! $124 ·1· $992 Project Mana~.. ~--. . . "-I Mike Silvennan -~ Lead Consultant 8 I $124 $992 J \-""<====----+----f---.-.-. '--'-" : NicoleSimpkinson-10 ' $]]2 $1,120 I Task 3: Conduct project Idckoff I Senior Consultant L ~_~~.~~~ _______ .... .,II:,~_O_:_:_li_:_; .... I_a_n .... e .... ~-.... ~_=""-_=.:t:I=_1=_O= __ ~=~~=~-~~~'=$_I-O.=4=-_ .•• _-_=._=.~--.--·t'-'-~$$~51~,'.oO~,,§4~OO~~~~~~~ ~rravel and Living..!'xpenses. . I i~~~_~ N_O~_TO_EX~_E~D, --'-_._._._. __ ---'__ l..... ____ I __ ._$9_.2_0~ 18 Professional Services Rev JUlle 2, 20 10 C:\ Users\bmebride\AppData\Local\Microsoft\ Windows\ Temporary Internet F iles\Content, Oullook\ W2VXIVR O\Contract C1113 5684 Pacific Techoologies ine.doe I 1 Scope ~ : Review documentation Travel TOTA TASK and Livin» Expenses L NOT TO EXCEED, 4 Task 5: Develop and validate business function model ·~··-·T.·~·~·---'-·~·~····-·~-··--I I Labor Categories : Hourly rate I Est ' (N r Rat reflect a i (e,g., Consultant, Sr. ! Hours 20~e~jSCo~<ed ~ Extended Rate I ' Consultant, etc.) 1 .~~ou'lyrateL....... . _~~_~. '.~-'. Senior Consultant ,8 . $112 $896 I Consultant '4 . $104 $416. $0 , I .1 $1,312 : , .. 1 DanBorgen~ 12 $124 $248 Project Manager I \ --~,,~ --~-------'-~-, Mike Silvennan .. I I Lead Consultant .2 $124 I Nicole Simpkins on -'4 .. --~~-'-'-, $112 : $448 1 Senior Consultant ..L... ~ithSlane .. I $104 : $208 I ,2 L~;--;-;-:-, i Travel and Living Consultant -.,.-.,~~". Expenses L~~-. .. 1$0' ~ , TOTAL NOT TO TASK 5 EXCEED, Task 6: Develop ideal application archit.eln re LivinJDl.'<.Jl"llses ~ 01' TO EXCEED, Task 7: Co focus grou nduct interviews and ps Living Expenses '-~. ., bravel and , TOTAL N01 TO EXCEED, I TASK 7 [""" '''''''' ... '" ,. "',," I and strategic priorities I '''~-r-''--. $1,152 Dan Borgen Project Manager Mike Silvennan Lead Consultant Nicole Simpkinson ... Senior Consultant Meredith Slane - Consultant .. - '-.~~.~------~------- Dan Borgen .. Proj ect Manager -.~ Mike Silverman .. Lead Consultant .- Nicole Simpkinson - ~r..c:ol1sultant Meredith Slane .. Consultant , 2 $124 E , . ..~-~ .. -- -----~----" --~-------.. --I $22;-'--' 2 1$112 J $124 J!248 , I """~" I ' r-'~" _~ __ ._. $O-=--__ ~ $1,136 : .. --.-~ .. ' 12 $124 $1,488 '1 1 -.-.--~.--.-.- 12 ' $124 , $1,488 f-- 1$112 , 10 .. -fe,,, 10 $104 $1,040 ,_._--I .. , $0 , .-.~~~--~--'._-'. I --+--__ ....L_ .. __ ~fO-$5,13ij Dan Borgen.. I t J' Protect Manager _+-2_~_._._ t=~--' $248 .. ~ Mike Silvennan - 2 I' $124 I, $248 ' Lead Consultant '-', N=iCO"'l-"e"'S""im~p"'k'"in'!s-on----+-, -2----+'-·$·-1-12---··---'1$22;- I Semor Consult"lli..... ... L-.. ~,. I f--------·· I Meredith Slane R~;~t"~~~v~"~-;~;;-:~~pc-e~-l~-e~~,--==t=s~u~lta~n~t _'~~~_'..J:'-.. ~-_-~~ .. -';" _$ .. 1 O4~'~= ___ jj :: 16_~$~I-'1-3-6-1I' , TASKS LtiSk 9: AssessteCbniClll .. 1 Dan Borgen :,~~"=rl_.·, $124---~: $248 19 Pf(lfcssional Services Rev June 2,2010 C:\U sers\bmcbr ide\AppDa ta\Local\tv1ierosoft\ Win dows\Tetnporary Internet F iles\CQntent Outlook\ W2VXIVRO\Conttact eli 135684 Pacific Technologies Inc.doc ~cope - ; eonllguration ! i - ; Travel and Living Expenses TOTAL NOT TO EXCEED, TASK 9 I Task 10: Assess IT organization and servIce delivery - i I Travel and Living Expenses • TOTAL NOT TO EXCEED, I TASK 10 i Task 11: Conduct budget analysis Travel and Living Expenses TOTAL NOT TO EXCEED, TASK II Task 12: Assess application architecture ...."..---.. -Travel and L,VID Ex enses TOTAL NOT TO EXCEED, TASK 12 Task 13: Develop findings ._---~--I Labor Categories ; Hourly rate (e.g", Consultant. Sr. Est. (Note: Rates reflect n Extended Rate Hours , 20% discounted ! Consultant, etc.) ; hourlv rute) . -Froject Matllll!er Mike Silvennan-2 $124 i $248 _ Lead Consultant i Nicole Simpkinson -4 $112 i $448 ; Senior Consultant __ -I $1,66~ Meredith Slane -16 1$104 Consultant -.--~-- $0 ---~~ !--'---~--.--- $2,608 1 Dan Borgen-.2 $124 $248 Project Manager 12 -Mike Silvennan - -Lead Consultant $124 $248 ~NiCOle Simpkinson - ----~--~ __ Senior Consultant 16 $112 $1,792 i Meredith Slane ~~.-------~ : Consultant 2 $104 ~ $0 ______ l L $2,496 -----_. -~ .. --- ; Dan Borgen- ! Project Manager 2 I $124 -$248 -Mike Silvennan -2 i $124 $248 Lead Consultant --- ; Nicole Simpkinson-I 6 $112 $672 ~enior Consultan'---__ __~ __ -~ Meredith Slane -20 $104 i $2,080 ! Consultant --~--.-----~ r--- $0 -i $3,248 I $124 Dan Borgen-I $248 --- 2 Pmj ect Manager --~- I $124 1$248 --• Mike Silverman -2 ! Lead Consultant ___ -I------------ Nicole Slmpkinson -_ 8 i $112 $896 Senior Consultant ----~---~-- Meredith Slane 8 $104 $832 Consultant .-~ $0 ------ $2,224 Dan Borgen -6 Pro 'eet Man"'a=er!.-__ f-__ _ i Mike Silverman -6 ~C~o~ns~ul-tan-t--~J.-- Nicole Slmpkinson -8 SeniorC::~on~su1!.atlt ___ -+-;:-___ t-:;:=:--___ ...L-=-;:-___ -l Meredith Slane -8 $124 $744 • $124 $744 [$112 $896 $104 i $832 .. --~--- Professional Serviees Rev June 2, 2010 20 C:\Us ers\bmcbride\AppDa ta \Local\M icrosoft\ Windows\T emporary Internet FUes\Conlcnt Outlook\ W2 VXIVR O\Contract C t 1135684 PacifIC Technologies Tnc.doc Scope Labor Categories (c.g., Consultant, Sf. : Consultant, clo.) Consultant Est. Hours ; Hourly rate (Note: Rates refl",t a Extended Rate 20% discounted houri rate , Travel and Livirtg.;cE~x;;e:;n;;:ses~---t--------t__ ___ ._._1-_ .. ___ . __ --+1...,$""0:....... ___ ---1 TOTAL NOT TO EXCEED, , TASKJ3 Task 14: Develop candidate IT vision and goal state : Travel and Living Expenses r TOTAL NOT TO EXCEED, TASK 14 , ! Task 15: Perform gap analysis I Travel and Living Expenses : TOTAL NOT TO EXCEED, ill§I<.I5 I ! ; Task 16: Conduct IT Strategy Worl<shop 1 Travel and Living Expenses TOTAL NOT TO EXCEED, TASK 16 , Task 11; Develop , recommendations ! I $3,216 ' "--"---4-----.----_...J, UDanBorgen-~ 2 i $124 Project Manager -i----- · Mike Silverman-f--$-IZ-4----+--------, Lead Consnltant i $248 $248 M ____ .. .. _------1 $0 ! 1 $1,152 12 ,,~ .. · Dan Borgen -1 $124 $248 I Project Man.'lB~ ~ike Silverman -2 1 $124 $248 · Lead Consultant 1 Nicole Slmpkmson -1$112 ; Senior Consultant 6 $672 1 Meredith Slane -:6 $104 1$624 Consultant ! '-1-------.. --1 $0 I $1,792 .-------_._- Han Borgen-16 $124 $1,984 Proiec! Manager Mike Silverman -116 $124 $1,984 Lead Consultant __ r--' ._. Nicole Simpkinson -16 $112 $1,792 Senior Consultant ----~----.- d ; Meredith Slane -16 I $104 : $1,664 I Consultant.. .. ~. I $3,105 .1--- I .. -----.. -~~---- :i I $10,529 Dan Borgen-6 $124 1$744 Pmiect Manager --- Mike Silverman -1$744 , Lead Consultant 6 $124 M ___ ' __ ! Nicole Simpkinsoll -10 $112 $1,120 • Senior Consultant Meredith Slane -I $1,248 .. - Consultant 12 1$104 : Travel and Idving Expenses..... ----'---_ .. $0 TOTAL NOT TO EXCEED, ! TASK 11 Task 18; Align IT projects with Dan Borgen- ..J:Ittsi~ess ~rlorities Project Manager 21 I Iz ! $124 i .. _,--- $3,856 $248 Pl'ofessiotlfll Service,q Rev JI.lI1C 2, 2010 C :\Use.rs\bmcbride\App Data\Loo-a l\Microsoft\ Windows\ T elllporary Jnternet Files\Content. Out!ook\W2VXfVRO\Contract C 11135634 Pacific Technologies Inc.doc Labor Categories (e.g'l Consll!tant. Sf, COllSul!ant, etc.) Est. Hours Hourly rate , (Nure:Rare,reflccta i Extended Rate 200/0 dJScounted , i------~~~~.~---'----_t_;_;:;__=;__--_+~ .. - Mike Silverman , Lead Consultant ;~U!l'!~te) : $24~~---1 ! Nicole Simpkinson ~ , Senior Consultant Meredith Slane Consultant 2 2 4 $112 $224 "l . $104 $416 ~6;~~~;~v::6 ~~'2c::;e~",~;o~;:-,---+--··-~~~·-~··~-+~-~··~-..I--~-----i-11 $"'O'---"'_~~~"--'I TASK ,.,18'--_______ b--c::-____ -+ ___ -+_ ... ___ .. _-t. ____ $1_,136 i ~a~ B~~en , 2 i $124 ' $248 ---.-J Task 19: Develop implementation plan and timeline -;;:;--, _reavel and 1iving. Expenses , TOTAL NOT TO EXCEED, ' TASK 19 ~-.. ---... Task 20: Perform cost analysis I i Travel an'£! LivIng Expenses I TOTAL NOT TO EXCEED, TASK 20 I i Task 21: ConductImplementation . Planning WOI"I",hop Travel and LivIng llXlJenses I TOTAL NOT TO EXCEED, ; TASK 21 i Task 22: Prepare draft Strategic Technology Plall rOlec anager .. --~----+---... i Mike Silve!1nan-! I Lead Consultant 2 i $124 i $248 ! Nicole Simpkinson-I --- ; Senior Consultant 2 $112 ' $224 Meredith Slane -I 4 Consultant i ~~~r---~- $0 , --1-------- , $1,136 1 1 Da~ Borgen -Pro' eel. Manager 2 $124 $248 Mike Silverman -2 $124 $248 ' Lead Consultant .-~----.- Nicole Simpkinson ,., ! 16 $112 $1,792 Senior Consultant --Meredith Slane-16 $104 $1,664 Consultant ... -i-------~' -~--~ $0 I i -.. -~------~--.. Dan Borgen-12 , ProieetManager .. --~-.. I Mike Silverman- 112 ; Lead Consultant Nicole Simpkinson - i 12 Senior COllsultant -~ ~ .. Meredith Slane -16 Consultant ; Dan Borgen -8 Proiect Manager , Mike Silverman -. ! 8 Lead Consultant , NICole Sllllpkmson 32 Senior Consultant ~ --+- Meredith Slane -I 32 • Consultant ' 22 $3,952 ' $124 $1,488 $124 $1,488 1$112 ' $1,344 ~---"- 1$104 $1,664 -.. -~~ .--~ I $3.JilL ! 59,089 I , i $124 $992 I $124 .. - $992 , ~,- $112 $3,584 __ .. +-____ ....J. $104 $3,328 Professiollfl.l Serviees Revlune2,2010 C:\Users\bmcbride\AppData\Local\Microsoft\ Wil1dows\Temporary Internet Files\Content. Outlook\W2VXIVRO\Contract Cl1135684 Paeific Technologies Ine.doc ! Scope Labor Categories (e.g" Consultant, Sr. Cons_dtal'll. etc,) ES:~ I ~~=r~L~:!~:' a Hours 20% discounted Extended Rate _~_ .. ~ , hOllr!y"ra"'te,,-__ +::-:-__ ~ ___ , , Travel and lAving E;;:,x2';';ell;::8Se;os __ -j_~ ______ ---.J!--... ___ .+ __ . __ ~ _ __+-"$"'O--~-.. --- i TOTAL NOT TO EXCEED, I TASK22 Dan Borgen- Pro'ect Mana .... e.-r . Mike Silverman- i Task 23: Prepare final Strategic Lead Consultant ; Technology Plan Nicole Simpkinson - ~eniorCollsultant Meredith Siane- Consultant Travel and Livin" Expenses TOTAL NOT TO EXCEED, ,-TASK 23 i ' Dan Borgen lJ;roject Manager i Mike Silverman- Task 24: Deliver final : Lead Consultant .. __ .. presentation Nicole Simpkinson - rJ'tiillior Consultant Meredith Slane - Consultant Travel and Living Expenses TOTAL NOT TO EXCEED, TASK 24 23 4 $124 4 $124 , 16 $112 -~-.~ 1-.... _ .... i 16 $104 I I 12 $124 4 $124 12 ! $112 '--"-,... .. & $104 $8,896 i . $496 $496 I--.- $1,792 . $1,664 i $0 $4,448 $1,488 ------.-~---- $496 .. -~ .. $1,344 , -- ~832 ):1 380 '-"- I $5.S~Oj Professionlll Services Rev June 2, 2010 C: \U:wrs\bmebride\AppData\Loeal\Microsoft\ W indows\T empon\ry Internet Files\Content. Otl flook\ W2VXfVRO\Con tract C 1113 5684 Pilei tie Technologies Inc. doc EXHIBIT "D" INSURANCE REQUIREMENTS CONTRACTORS TO THECITY OF PALO ALTO (CITY). AT THEIR SOLE EXPENSE, SIIALLFOR THE TERM OF 11m CONTRACTOBT AIN AND MAlNfAIN INSURANCE IN THE AMOUNTS FOR TIm COVERAGESPECIFIEDBEWW, AFFORDED RY COMPANIES WITH AM REST'S KEY RATING OF A-:VII, OR IIIGIlER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN TilE STATE OF CALIFORNIA. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY'S INSURANCE REQUIREMENTS AS SPEClFlED BEWW' I '=. MINIMUM LIMITS REQUIRED TYPE OF COVERAGE REQUIREMENT EACH YES YES -. YES YES i • NO YES OCCURRENCE AGGREGATE WORKER'S COMPBNSATrON i STATUTORY EMPWYER'S LIABILITY I STATUTORY : BODILY INJURY $'(000,000-$1,000,000 GENERAL LIABILITY, INCLUDING ! PERSONAL INJURY, BROAD FOR.\1 • PROPERTY DAMAOE $1,000,000 I $1,000,000 PROPERTY DAMAGE BLANKET CONTRACTUAL, AND FIRE LEGAL BODILY lNJUR Y & PROPERTY DAMAGE $1,000,000 $1,000,000 LIAIlILITY COMBINED. BODILY iNJURY $1,000,000 $1,000,000 -EACH PERSON $1,000,000 SI,OOO,OOO -EACH OCCURRENCE $1,000,000 $1,000,000 AUTOMOBn,E LIABll,ITY, INCLUDING , ALL OWNED, HIRED, NON-OWNED PROPERTY DAMAGE • $1,000,000 $1,000,000 i BODILY INJURY AND PROPERTY $1,000,000 . $1,000,000 J DAMAGE, COMBINED .. _ .. _ .. _._ .... L_ .. __ ~~_ . PROFESSIONAL LlABILn"Y, INCLUDING, i ERRORS AND OMISSIONS, MALPRACTICE (WI'IEN APPLlCAllLE), ! , AND NEGLIGENT PBRFORMANCE ALL DAMAGES $1,000,000 .. _------ TIlE CITY OF PALO ALTO IS TO liE NAMED AS AN ADDITIONAL INSURED: CONTRACroR, AT ITS SOLE COST AND EXPENSE, . . SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFPBCT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, .. THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONTRACfOR AND ITS SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS' COMPENSATrON, EMPWVER'S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES, I. lNSURANCE COVERAGE MUST INCLUDE: A A PROVISION FOR A WRITfEN TIllRTY DAY ADVANCE NOTICE TO CITY OF CHANGE IN COVERAGE OR OF COVERAGE CANCELLATION; AND B. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONTRACTOR'S AGREEMENT TO INDEMNIFY CITY .. C. DEDUCTIBLE AMOUNTS IN EXCESS OF $5,000 REQUIRE CITY'S PRIOR APPROVAL. II. CONTACTOR MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE. III. ENDORSEMENT PROVISIONS, WITH RESPECT TO THE INSURANCE AFFORDED TO "ADDITIONAL INSUREDS" A PRIMARY COVERAGE 24 Profession!'!1 Services Rev June 2, 2010 C:\Users\bmcbride\AppData\Local\Microsofi\ Windows\T emporary Internet Files\Content OuHook\W2 VXlVRO\Conlract Cll135684 PacJfic Technologies [ne,doe Wfrn RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONfRIBUTING wrrn ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS, B, CROSS LI~!lJJ:Y THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS tJNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED AGAINST ANOTHER, BUT THlS ENDORSEMENI, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY. I. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE ISSUINGCOMPANY SHALL PROVIDE CITY AT LEAST A l1llRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. 2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR TIlli NON-PAYMENT OF PREMIUM, THE ISSUING COMPANY SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. NOTICES SHALL BE MAILED TO: PURCHASING AND CONTRACT ADMINISTRATION CITY OF PALO ALTO P.O. BOX 10250 PALOALTO,CA 94303 25 Professiollsl Serviees Rev Junc2, 2010 C:\Uscrs\bmebride\AppData\Local\Microsoft\ Windows\TcmpQrary Internet Fiies\ContentOlltlook\ W2VXIVRO\Contract Ci I l35684 Pacific Technologies Inc,doe