2002 AGN APR 16 I18 - Laserfiche WebLink

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CITY OF COLTON Item #18 AGENDA REPORT For City Council Meeting of April 16, 2002 TO: Honorable Mayor and Members of the City Council FROM: Dilu deAlwis, Finance Director �^� a- SUBJECT: Award a contract to Synergen, Inc., for the implementation of a Work Order System in an Amount not to exceed $450,000 DATE: March 28, 2002 BACKGROUND On July 17, 2001, the City Council awarded a contract to Eden Systems for an upgrade to the City's existing financial system software. The upgrade to the Windows-based, Inforum Gold version does not include a work order module; it was the City's intent at that time to solicit proposals for a stand-alone work order system that would be fully integrated with the upgraded version of Eden. DISCUSSION/ANALYSI5 A Request for Proposal was mailed to seven prospective vendors on October 30, 2001. Two vendors responded — Synergen, Inc., and GBA Master Series. Both vendors provided on-site demonstrations for staff to evaluate. While both systems have experience working with water and wastewater systems, only Synergen, Inc. has experience with electric systems. Currently, the City does not have the capability to capture all costs associated with capital projects; consequently, estimates are ofren given as to the total cost of a project, which excludes cost components such as labor and equipment. The implementation of a work order system would alleviate this problem, and allow staff to calculate accurate costs, plan the costs of projects more accurately, as well as track the costs of projects under construction more closely. While the cost for purchasing the work order system proposed by Synergen, Inc. is substantial, staff feels that this system is the best fit for the urilities and the City. The inveshnent in this system will pay for itself over time in terms of real savings realized through increased operational efficiencies, and improved management of resources such as personnel, assets, inventories, and budgets. The average payback for a computerized maintenance management system is 14.5 months, with average savings of 283% in maintenance productivity, 19.4% in lower material costs, and 17.8% in inventory reduction. With the advent of projects like the Colton Jets Power Plant, Big League Dreams Sports Park, and various capital improvement projects, the implementation of a work order system this year is timely and extremely important to accurately caphare and track costs. ALTERNATIVES Reject all bids and continue to work without a work order system; however, to do so would be detrimental to the enterprise funds, as the Regional Water Quality Control Board has required the Wastewater Deparhnent to obtain a computerized maintenance management system. In addition, the State Water Resources Board recommends the use of a computerized maintenance management system to increase the efficiency and reliability of Water Depariment operations.