PROPOSAL:

Issue RFP for New Finance Accounting System

SYNOPSIS:

AQMD’s current accounting system has served for almost eight years but can no longer accommodate further enhancements in either hardware or software. A new integrated accounting system (including accounting software that duplicates and enhances current functionality, a new computer, and migration of historical data) is needed to achieve efficient unified accounting and finance functions for the agency. This action is to issue an RFP to select a contractor. Funds for these services ($420,000) are included in the FY 1997-98 Budget.

COMMITTEE:

Administrative, October 24, 1997, Recommended for Approval

RECOMMENDED ACTION:

Approve the release of the attached RFP to solicit bids for purchasing a new finance accounting system.

Barry R. Wallerstein, D.Env.
Acting Executive Officer

Background

AQMD currently uses Bi-Tech government accounting software to provide fundamental accounting functions (General Ledger, Accounts Payable, Accounts Receivable) in addition to several other finance-related functions, including payroll, human resources, and purchasing. The finance computer platform is an HP935 and the data are stored in an Image database. The current system, comprising Bi-Tech software running on the HP935, has been in use since 1990. The software package itself has been modified extensively to conform with specific District needs and requirements.

Replacement of the hardware platform for the AQMD’s accounting system has long been planned. The HP935, purchased in 1989, uses a proprietary (non-UNIX) operating system combined with a non-relational database management system (Image). AQMD has migrated to UNIX operating systems and relational database management for the agency’s basic business and scientific computing, following common industry standards. UNIX offers greater computing power, a large selection of utilities, and greater flexibility in hardware upgrading over our existing proprietary system. A relational database offers the advantage of a standard portable query language (SQL). In a UNIX/SQL environment, data files and reports can be easily transported between UNIX platforms so that essential information can easily and securely move between independent systems. Many of these features provide needed solutions for the users of the AQMD’s finance accounting system.

AQMD began using Bi-Tech software in 1988, installing it on the HP935 in 1990. Although the software has been upgraded and modified since then, there are specific inadequacies with this older version of the Bi-Tech accounting software (including lack of Year 2000 readiness) that need to be resolved. As a result of the tremendous advancement in software technology since Bi-Tech was chosen, there may be accounting packages now available that provide all of the necessary accounting capabilities (e.g., generally accepted accounting principles/practices, or GAAP, for government applications) and better meet other agency requirements in the realms of payroll, human resources, and purchasing, both now and in the future. The acquisition of a new hardware platform is an excellent opportunity to upgrade our software capabilities.

Proposal

The interaction between software, hardware, and data in an enterprise finance accounting system is critical to the success of the system. All of these components are interdependent. For this reason, a comprehensive RFP for an integrated Finance Accounting System is the recommended course of action for AQMD. The integrated Finance Accounting System should combine the best off-the-shelf accounting package (customized as appropriate for AQMD) with the right computer platform for that accounting software and provide for migration of current and historical finance data to maintain appropriate continuity.

Outreach

In accordance with the AQMD’s consulting and contracting policies, a public notice advertising the RFP and inviting bids will be published in the following publications:

1.	Antelope Valley Press	9.	Korea Central Daily	18.	Philippine News
2.	Black Voice News	10	La Opinion	19.	Precinct Reporter
3.	Chinese Daily News	11.	La Voz	20.	Rafu Shimpo
4.	Eastern Group Publications	12:	Los Angeles Daily News	21.	Riverside Press Enterprise
5.	El Chicano	13.	Los Angeles Sentinel	22.	San Bernardino Sun
6.	Excelsior, The	14.	Los Angeles Times	23.	Santa Clarita Signal
7.	Inland Empire Hispanic News	15.	M/W/DVBE Source	24.	State of California Contracts
8.	Inland Valley Daily Bulletin	16.	Orange County Register		Register
		17.	Palm Springs Desert Sun

Additionally, potential bidders will be notified from the Los Angeles County MTA, and Cal Trans Directories of Certified Minority, Women, Disadvantaged and Disabled Veterans Business Enterprises; the Inland Area Opportunity Pages Ethnic/Women Business & Professional Directory; AQMD’s own electronic listing of certified minority vendors; and AQMD Purchasing’s mailing list. Copies of the RFP will be mailed to the Black and Latino Legislative Caucuses and various minority chambers of commerce and business associations; and placed on the Internet at AQMD’s Web site [http://www.aqmd.gov, "Business & Job Opportunities" icon] and AQMD’s bidder’s 24-hour telephone message line (909) 396-2724.

Bid Evaluation

Quotations received will be evaluated by an ethnic- and gender-diverse panel of technically qualified individuals according to the criteria described in attached RFP No. 9798-10.

Proposition 209 Compliance

On August 28, 1997, Proposition 209 went into effect when a stay of enforcement was lifted. Proposition 209 prohibits granting of preferential treatment based upon race, ethnicity, color, sex or national origin in the operation of public employment, public education, or public contracting. On October 10, 1997, the District’s Board adopted an Interim Contracting & Purchasing Policy and Consultant Selection Policy. The Interim Policy eliminates the granting of preference points based upon race or gender and only requires a good faith effort to subcontract with minority and women-owned businesses if subcontracts are to be let, when contracts are funded in whole or in part by EPA grant funds. Proposition 209 does not prohibit actions necessary to maintain eligibility for federal funding. In addition, in compliance with federal requirements, local preference points are allowed only if the contract does not involve federal funding. This contract award will be based on the interim policy. The remainder of the District’s Contracting and Purchasing Policy and Consultant Selection Policy remains unchanged.

Resource Impacts

Sufficient funds for these services and for purchasing the hardware and software in the amount of $420,000 ($270,000 in Professional and Special Services and $150,000 in Fixed Assets) are included in the approved FY 1997-98 Budget.

Attachments

Attachment 1 - Current Status of Information Management Major Projects
for the Period from July 1, 1997 through December 31, 1997

Attachment 2 - RFP # 9798-10 - Finance Accounting System

* Pending further technical and financial analysis.

Shaded Columns - Activities completed

Double-lined Columns - Current Board letter topic

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