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HomeMy WebLinkAboutStaff Report 2504-4542CITY OF PALO ALTO CITY COUNCIL Tuesday, June 17, 2025 Council Chambers & Hybrid 5:30 PM     Agenda Item     13.Approval of Authorize the City Manager to Negotiate and Execute Eight Professional Services Contracts for On-Call IT Project Support and supplemental staffing: Contract C26193247A with INSPYR Solutions, C26193247B with AgreeYa Solutions, C26193247C with TechLink Systems, C26193247D with Compunnel Software Group, C26193247E with Progile Tech Inc, C26193247F with Omm IT Solutions, C26193247G with Infojini Inc, and C26193247H with California Creative Solutions Inc in an Amount Not to Exceed $1,500,000 for a Term of One Year in Fiscal Year 2026; CEQA Status – Not a Project Title Updated, Supplemental Report added City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: IT Department Meeting Date: June 17, 2025 Report #:2504-4542 TITLE Approval of Eight Professional Services Contracts for On-Call IT Project Support and supplemental staffing: Contract C26193247A with INSPYR Solutions, C26193247B with AgreeYa Solutions, C26193247C with TechLink Systems, C26193247D with Compunnel Software Group, C26193247E with Progile Tech Inc, C26193247F with Omm IT Solutions, C26193247G with Infojini Inc, and C26193247H with California Creative Solutions Inc in an Amount Not to Exceed $1,500,000 in Fiscal Year 2026; CEQA Status – Not a Project; RECOMMENDATION Staff recommends that Council approve and authorize the City Manager or designee to execute eight separate five-year contracts for time-limited, on- call, as-needed, IT project support services for a collective total not-to-exceed amount of $1,500,000 in Fiscal Year 2026 with: 1. INSPYR Solutions, Contract Number C26193247A1; 2. AgreeYa Solutions, Contract Number C26193247B2; 3. TechLink Systems, Contract Number C26193247C3; 4. Compunnel Software Group, Contract Number C26193247D4; 5. Progile Tech, Contract Number C26193247E5; 6. Omm IT Solutions, Contract Number C26193247F6; 1 INSPYR Solutions, Contract No. C26193247A; https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/inspyr-solutions-llc-c26193247a.pdf 2 AgreeYa Solutions, Contract No. C26193247B; https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/agreeya-solutions-c26193247b.pdf 3 TechLink Systems, Contract No. C26193247C; https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/techlink-systems-c26193247c.pdf 4 Compunnel Software Group, Contract No. C26193247D; https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/compunnel-software-group-c26193247d.pdf 5 Progile Tech, Contract No. C26193247E; https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr- attachments/it-on-call/progile-tech-c26193247e.pdf 6 Omm IT Solutions, Contract No. C26193247F: https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/omm-it-solutions-c26193247f.pdf 7. Infojini, Contract Number C26193247G7; and 8. California Creative Solutions, Contract Number C26193247H8. Staff will return for City Council approval for services in Fiscal Year 2027 through Fiscal Year 2030 based on anticipated needs in the future. EXECUTIVE SUMMARY With the expiration of the City’s previous IT on-call contracts awarded in 2020, staff issued a new Request for Proposals (RFP No. 1932479) in early 2025 to identify multiple qualified vendors who can provide project-based, time-limited professional services on an as-needed basis. Following a competitive and structured evaluation process, eight firms are recommended out of 34 proposals (two proposals were deemed unresponsive) for contract award based on qualifications, experience, past performance, and competitive pricing. These contracts will enable the City to meet evolving IT project needs over the next five years. BACKGROUND In 2019, the City’s Information Technology Department (ITD) issued RFP (CMR #1136010) and awarded seven contracts for IT on-call services. These contracts allowed City departments to engage qualified firms to support time-limited IT projects through task orders. Recognizing the continuing and evolving need for specialized IT support across various domains and departments, staff issued RFP No. 193247 in early 2025 to replace the expiring contracts. The goal was to establish a new pool of qualified vendors capable of delivering these services from July 1, 2025, through June 30, 2030. The on-call structure allows the City to access skilled resources as needed for any department for a limited time. The proposed annual not-to-exceed amount increases by $250,000 over the Fiscal Year 2025 contract year. ANALYSIS Solicitation Process The solicitation was posted on OpenGov, the City’s eProcurement platform, for 32 days. 3,339 vendors were notified of the opportunity. The RFP closed on February 17, 2025. Work under each contract will be assigned through individual Task Orders. The City is not obliged to assign any specific amount of work to any contractor. Historically, the department has utilized 50% of the not-to-exceed amount in recent years. As the City’s reliance on technology continues to 7 Infojini, Contract No. C26193247G; https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr- attachments/it-on-call/infojini-c26193247g.pdf 8 California Creative Solutions, Contract No. C26193247H; https://www.paloalto.gov/files/assets/public/v/1/it- department/cmr-attachments/it-on-call/california-creative-solutions-c26193247h.pdf 9 January 16, 2025 IT On-Call Professional Services RFP: https://procurement.opengov.com/portal/palo-alto- ca/projects/141382/addenda 10 June 22, 2020 City Council Staff Report: https://www.paloalto.gov/files/assets/public/v/1/agendas-minutes- reports/reports/city-manager-reports-cmrs/year-archive/2020/id-11360.pdf grow, there is an increasing demand for enhanced capabilities such as workflow automation, interactive dashboards, SharePoint improvements, and data governance. Staff has received an increase in requests for enhancements and process improvements which warrants the increase of the not-to-exceed amount. •Server, network, and infrastructure •Cloud migration and evaluation •Security and audit compliance •Disaster recovery and business continuity •System architecture, VoIP, SharePoint, Exchange, and firewall •Application development, report generation, and mobile device management •Project Manager •Systems Administrator •Helpdesk Technician (Levels 1 and 2) •Network Engineer •Application Developer •Web/SharePoint Developer •Financial Analyst •Business Analyst •BI Developer Table 1: Summary of Request for Proposal Proposal Description Date Solicitation was Issued Date Solicitation was Closed Proposed Length of Project Number of Vendors Notified Number of Proposal Packages Downloaded Total Days to Respond to Proposal Pre-Proposal Meeting Pre-Proposal Meeting Date Number of Proposals Received Proposal Price Range Public Link to Solicitation Proposals were evaluated by staff from the Information Technology Department based on criteria outlined in the RFP, including proposal quality, feasibility and effectiveness of the proposed solution, relevant experience and staff qualifications, financial stability, ability to meet deadlines, past performance with the City and other agencies, and capacity to provide ongoing support. This is an on-call contract for as-needed services, and each vendor submitted hourly rates that vary by level of service and expertise, reflecting their specialization in different areas of the scope of work. The selected vendors submitted well-structured proposals, demonstrated proven experience, and showed a strong ability to meet current and future City needs. Several have successfully worked with the City in the past and received positive feedback for their responsiveness and service delivery. In addition to technical qualifications, vendors were selected for their ability to meet operational and compliance requirements and to support the City’s long-term goals. FISCAL/RESOURCE IMPACT Funding for subsequent years of the contract will be subject to approval through the annual budget development process. ITD is funded by an internal service fund. Approximately 49% of the department is General Fund funded with the remaining 51% funded by enterprise and special revenue funds. STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW LINKS TO CONTRACTS •INSPYR Solutions, Contract Number C26193247A11 •AgreeYa Solutions, Contract Number C26193247B12 •TechLink Systems, Contract Number C26193247C13 •Compunnel Software Group, Contract Number C26193247D14 •Progile Tech, Contract Number C26193247E15 •Omm IT Solutions, Contract Number C26193247F16 •Infojini, Contract Number C26193247G17 •California Creative Solutions, Contract Number C26193247H18 APPROVED BY: Darren Numoto, Chief Information Officer 11 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/inspyr-solutions-llc- c26193247a.pdf 12 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/agreeya-solutions- c26193247b.pdf 13 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/techlink-systems- c26193247c.pdf 14 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/compunnel- software-group-c26193247d.pdf 15 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/progile-tech- c26193247e.pdf 16 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/omm-it-solutions- c26193247f.pdf 17 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/infojini- c26193247g.pdf 18 https://www.paloalto.gov/files/assets/public/v/1/it-department/cmr-attachments/it-on-call/california-creative- solutions-c26193247h.pdf Item No. 13. Page 1 of 1 7 6 2 2 City Council Supplemental Report From: Darren Numoto, Chief Information Officer Meeting Date: June 17, 2025 Item Number: 13 Report #:2506-4866 TITLE Authorize the City Manager to Negotiate and Execute Eight Professional Services Contracts for On-Call IT Project Support and supplemental staffing: Contract C26193247A with INSPYR Solutions, C26193247B with AgreeYa Solutions, C26193247C with TechLink Systems, C26193247D with Compunnel Software Group, C26193247E with Progile Tech Inc, C26193247F with Omm IT Solutions, C26193247G with Infojini Inc, and C26193247H with California Creative Solutions Inc., Each in an Amount Not-to-Exceed $1,500,000 for a Term of One Year; CEQA Status – Not a Project RECOMMENDATION Staff recommends that the City Council authorize the City Manager to negotiate, approve, and execute one-year contracts with each of the vendors above for on-call Information Technology related services. Each vendor is not guaranteed any amount of work; the City must approve a task order for specific projects with binding terms on schedule and price. Each on-call contract will have a maximum not-to-exceed of $1,500,000, and the total spend on all 14 contracts combined shall not exceed $1,500,000. BACKGROUND The report originally distributed contained incorrect descriptions of multiyear terms and dollar values recommended. This supplemental report revises the title and recommendation to clarify the intent of the item. Upon City Council approval of the revised recommendation, staff will revise the contracts to reflect a one-year term with four optional years. Staff will return to Council for approval in Fiscal Year 2027 through Fiscal year 2030 to amend the contracts term based on the anticipated needs in the future. APPROVED BY: Darren Numoto, Chief Information Officer