BOARD MEETING DATE: July 9, 2004
AGENDA NO. 10

Authorize Purchase of PeopleSoft, Oracle and LibertyNet Software Support

SYNOPSIS:

PeopleSoft Integrated Financial/Human Resources System uses Oracle database software. The maintenance support for this system expires August 29, 2004; existing license and service agreements are being amended to extend support for four years, at a cost not to exceed 8 percent increase per year. The AQMD’s Liberty Imaging System provides District users access to records maintained in electronic format. Support for this system will expire on July 31, 2004. This action is to obtain approval for the purchase of PeopleSoft, Oracle and LibertyNet software maintenance support for another year. Funds ($237,436) for this expense are included in the FY 2004-05 Budget.

COMMITTEE:

Administrative, June 18, 2004, Recommended for Approval

RECOMMENDED ACTION:

Authorize the Executive Officer to execute contracts to:

1. Amend the software license and services agreement between the AQMD and PeopleSoft to purchase software maintenance support for the integrated Financial/Human Resources System for four years at a first-year cost of $144,333 with the cost in years 2-4 not to exceed an 8% increase per year.
    
2. Purchase one year of Oracle software maintenance support for the integrated Financial/Human Resources System at a cost not to exceed $20,000.
    
3. Purchase one year of LibertyNet software subscription and support for AQMD’s Liberty Imaging System at a cost not to exceed $73,103.

Barry R. Wallerstein, D.Env.
Executive Officer

Background

In April 1998, the AQMD purchased the PeopleSoft Financial/Human Resources System to be Year 2000 (Y2K) compliant and to enhance the functionality of the overall finance system. The PeopleSoft System eliminated duplicate effort, where possible, and integrated processes that access the same data. This year’s software maintenance support for the PeopleSoft system expires August 29, 2004.

The PeopleSoft System also uses Oracle database software, for which maintenance support expires August 11, 2004. The Oracle Database is used to store all of the data used in the PeopleSoft System.

PeopleSoft maintenance support includes the following services:
 

Software Maintenance	Licensed product updates, enhancements, and repairs;
Customer Care Business Center	Resolution of all business issues and aid in finding the assistance within PeopleSoft's customer service;
PeopleSoft Advisor	Business-oriented information needs and advice;
PeopleSoft Plugged In	Electronic distribution of information on new releases, fixes and patches, and software updates;
Customer Connection	On-line access to PeopleSoft information including news, documentation, training, and user groups;
Global Support Center	Assistance in resolving online operating difficulties, system failures, PeopleSoft application-related problems, potential system bugs, and installation and upgrade issues;
Access to PeopleSoft Forum	Access to database documentation and PeopleSoft application problems and fixes.

Oracle maintenance support includes the following services:
 

Software Maintenance	Licensed product updates, enhancements, and repairs;
Software Support	Assistance in resolving online operating difficulties, system failures, Oracle application-related problems, potential system bugs, and installation and upgrade issues;

AQMD has utilized the LibertyNet software for its records imaging system, which maintains the AQMD’s application and permit documents and other critical records, since 1990. Total storage to date is over 850,000 multi-page documents. The Windows-based, menu-driven, document management system is designed to store and retrieve critical AQMD documentation in electronic format. The system can provide concurrent information to multiple workstations simultaneously. It has a flexible compound document structure where black and white images co-exist with text and data within a single document. The current system includes document routing; and distribution offers ad-hoc, scheduled point-to-point, and broadcast distribution of documents. It also contains a complete set of markup and annotation tools that allow the user to add notes, comments and drawings to pages without compromising the original document's integrity. It has full network support so that information can be distributed rapidly within an organization regardless of architecture, and can be customized without programmers. Software subscription and support maintenance for LibertyNet expires on July 31, 2004.

Sole-Source Justification

Section VIII.B.2 of the Procurement Policy and Procedure identifies circumstances under which a sole-source purchase award may be justified. These requests for a sole-source award are made under provision VIII.B.2.c.(2) and (3). The services are available from the sole-source.

Proposal

PeopleSoft USA, Inc. and Oracle are the sole manufacturers and providers of this software and therefore the only source for software maintenance support licensing agreements. PeopleSoft offers four-year software maintenance support agreements, which provides AQMD with protection from further fee increases during the term of the agreement. Staff recommends amending the software license and services agreement between the AQMD and PeopleSoft to provide software maintenance support for the integrated Financial/Human Resources System for four years at a first-year cost of $144,333 with following year’s increases not to exceed 8% per year. Staff also recommends the purchase of one year of PeopleSoft and Oracle Software maintenance support to provide continued annual support for AQMD's integrated financial/human resources system, at $144,333 and $20,000, respectively.

Liberty IMS is the sole manufacturer and provider of this software and therefore the only source for its maintenance support licensing agreements. Staff recommends the purchase of LibertyNet software subscription and support to provide continued annual support for AQMD’s records imaging system.

Resource Impacts

Sufficient funds are included in the FY 2004-05 Budget, under District General Professional and Specialized Services ($164,333), and Information Management Professional and Specialized Services ($73,103).

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