DATE: December 14, 2021
TO: Board of Supervisors
SUBMITTED BY: Robert W. Bash, Director of Internal Services/Chief Information Officer
SUBJECT: Amendment to Master Agreement for Data Processing Professional Services
RECOMMENDED ACTION(S):
TITLE
1. Approve and authorize the Chairman to execute Ninth Amendment to Master Agreement No. 17-058 for Data Processing Professional Services, effective upon execution with no change in term to February 28, 2022 and increasing the maximum compensation amount by $1,500,000 to a total of $9,500,000; and,
2. Adopt Budget Resolution increasing the FY 2021-22 appropriations and estimated revenues for the Internal Services Department - Information Technology Org 8905 in the amount of $575,000 (4/5 vote).
REPORT
Approval of the recommended action will allow the Internal Services Department-Information Technology Services Division (ISD-IT) and various departments to continue procuring Data Processing Professional Services. The increase is due to higher than anticipated service needs for supplemental projects and will be funded by the user departments. This item is countywide.
ALTERNATIVE ACTION(S):
If your Board does not approve the recommended action, ISD-IT and various departments will not be able to continue the utilization of these professional services. Existing projects would be halted and staff would need to pursue professional services through alternative procurement procedures, expending staff time and resources.
FISCAL IMPACT:
There is no increase in Net County Cost associated with the recommended action. User departments are responsible for ensuring their respective budgets have sufficient appropriations to pay for data processing professional services being requested. User departments have exceeded the projected use for Data Processing Professional Services and as of November 29, 2021, pending invoices total $320,816.10. Approval will increase the appropriations and estimated revenues by $575,000 in the ISD-IT Org 8905 FY 2021-22 budget to cover pending invoices and future expenditures.
DISCUSSION:
On February 28, 2017, the Board approved Master Agreement No. 17-058 for Data Processing Professional Services. The term began March 1, 2017 through and including June 30, 2017 with maximum compensation of $1,500,000.
On May 16, 2017, the Board approved Amendment One to the Master Agreement, increasing the total compensation to $8,000,000 and extending the term date through February 29, 2020 with the option for two, one-year extensions.
The IT field is rapidly changing, and the needs of departments are evolving. Projects presented to ISD-IT require diverse skill sets and ISD-IT has contracted with temporary contractors through this Master Agreement to augment staff skills. The Master Agreement establishes a list of qualified vendors. When supplemental IT projects are identified and services are needed, the Master Agreement allows ISD-IT to then bid out each project competitively across all vendors with the specific specializations to maximize the County’s flexibility and effectiveness in fulfilling IT needs.
User departments have exceeded the prior anticipated compensation amount for Data Processing Professional Services due to higher than anticipated service needs for projects that were not accounted for when the agreement was developed five years ago, including projects related to addressing the Creek Fire, the COVID-19 pandemic, the voter registration project for Elections, and American Rescue Plan Act (ARPA). Approval of the recommended action will increase the total compensation by $1,500,000 to $9,500,000, allowing departments to pay for services rendered and continue to procure Data Processing Professional Services until a new agreement is in place. Due to the number of vendors on the master agreement, the Department is requesting that the Board sign the amendment first, if approved, before going to the vendors for countersignature.
REFERENCE MATERIAL:
BAI #37, May 16, 2017
BAI #28, February 28, 2017
ATTACHMENTS INCLUDED AND/OR ON FILE:
On file with Clerk - Ninth Amendment to Master Agreement No. 17-058
On file with Clerk - Resolution (Org 8905)
CAO ANALYST:
Sonia M. De La Rosa