one gateway plaza tel los angeles, ca 90012-2952 metro....
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One Gateway Plaza Los Angeles, CA 90012-2952
213.922.2000 Tel metro. net
62
EXECUTIVE MANAGEMENT COMMITTEE MARCH 21,2013
SUBJECT: CONTRACT INFORMATION MANAGEMENT SYSTEM (CIMS)
ACTION: APPROVE CONTRACT MODIFICATION
RECOMMENDATION
Authorize the Chief Executive Officer to negotiate modification to Contract No. PS63502579 for an amount not-to-exceed $712,000 to Zanett Commercial Solutions, Inc., to incorporate the development and implementation of a Vendor Certification and Labor Compliance Management System as an extension of the Contract Information Management System, increasing the contract value from $6,231,032 to $6,943,032 , and extending the period of performance from twenty-seven months to thirty-six months.
ISSUE
The Diversity and Economic Opportunity Department (DEOD) is responsible for administering the Agency's Disadvantage Business Enterprise (DBE), Small Business Enterprise (SBE), Labor Compliance/Prevailing Wage and Project Labor Agreement (PLA) programs and to ensure the programs are in compliance with Federal and/or State regulations.
Over the last decade, these programs have grown and compliance requirements have increased; however, the existing system in use is solely for DBE/SBE contract compliance and was developed over a decade ago as a stand-alone system that can no longer support the demands of today's business requirements.
DISCUSSION
In March 2012, the Board approved the development of a Contract Information Management System (CIMS) to automate our procurement processes, improve data collection and retrieval, provide timely management reporting and improve goal compliance tracking .
The CIMS requirements analysis work highlighted the deficiencies of data duplication and process inefficiency that results from a lack of integration between dependent functions. As attainment of the DBE, SBE, PLA, and Prevailing Wage goals and provisions are a function of Metro's procurements, integration of the DEOD system requirements as an extension of CIMS will enable an integrated process to improve efficiency and data sharing to remove data duplication. Also, a common system will allow us to provide a common interface for our vendor community resulting in improved vendor interactions.
DETERMINATION OF SAFETY IMPACT
Approval of this contract modification will not impact the safety of Metro's patrons or employees.
FINANCIAL IMPACT
The funding of $712,000 for this project is included in the FY13 budget in cost center 9240, Information Technology Services, project 207131 CIMS Phase II, in account 50316 Professional Services.
Since this is a multi-year contract, the cost center manager and the Chief Administrative Services Officer will be responsible for budgeting the cost in future years.
Impact to Budget
The source of funds for this project is TDA, Article 4. These funds are eligible for bus and rail operating and capital expenditures.
ALTERNATIVES CONSIDERED
Continuation of current manual paper-based processes is not prudent as it precludes any opportunity for process improvement leading to cycle time reduction now or in the future.
As we currently own the hardware and network infrastructure required to install and run the Vendor Certification and Labor Compliance application in-house, use of an outsourced model where the application would be hosted and run in a third-party data center is not beneficial in the long term.
To postpone development of the Vendor Certification and Labor Compliance (VCLC) extension to CIMS to a future date is not cost effective as it will incur new start-up costs and increase design and development time required for vendor knowledge ramp up. Constructing the VCLC extension at this time takes advantage of the existing design knowledge and development work being performed for CIMS and incurs no start-up costs.
Contract Information & Management System 2
NEXT STEPS
System implementation and integration activities will commence within two weeks of contract modification approval. The system will be constructed and implemented concurrent with the Contract Information Management System.
ATTACHMENTS
A. Procurement Summary
Prepared by: Elizabeth Bennett, Project Manager (213) 922-4522
Contract Information & Management System 3
~let~ Chief Administrative Services Officer
Arthur T. Leahy Chief Executive Officer
Contract Information & Management System 4
ATTACHMENT A
PROCUREMENT SUMMARY
CONTRACT INFORMATION MANAGEMENT SYSTEM (CIMS)
1. Contract Number: PS63502579 2. Recommended Vendor: lanett Commerical Solutions, Incorporated 3. Type of Procurement (check one): D IFB D RFP D RFP-A&E
D Non-Competitive ~ Modification D Task Order 4. Procurement Dates:
A. Issued: September 9, 2012 B. Advertised/Publicized: Not Applicable C. Pre-proposal/Pre-Bid Conference: NA D. Proposals/Bids Due: NA E. Pre-Qualification Completed: NA F. Conflict of Interest Form Submitted to Ethics: NA G. Protest Period End Date: NA
5. Solicitations Picked Bids/Proposals Received: up/Down loaded:
NA NA
6. Contract Administrator: Telephone Number: Nathan Jones Ill (213) 922-6101
7. Project Manager: Telephone Number: Elizabeth Bennett (213) 922-4522
A. Procurement Background
In February 2011, Metro issued a solicitation for a Contract Information Management System. The procurement methodology for the CIMS project was a Best Value, Explicit Factors. Five proposals were received in response to the CIMS solicitation.
Based on the review and evaluation of the proposals, four of the five firms were deemed technically qualified to perform the work as defined in the Statement of Work. Zanett Commercial Solutions was awarded the contract for the CIMS project in March 2012.
Prior to this Contract Modification the following Modifications have been issued since the CIMS Contract had been executed:
Date Modification Action Mod Value
April 13, 2013 No. 1 Exercise Option $81,050.00
Dec 26, 2013 No.2 Administrative No Cost Changes
Contract Information & Management System 5
Contract Modification No.3 is to add a Vendor Certification and Labor Compliance (VCLC) extension to the Oracle Contract Lifecycle Management module of CIMS.
B. Evaluation of Proposals/Bids
This Change Order has been evaluated and merited as being technically acceptable. Metro has determined that lanett's technical proposal met all the technical and performance requirements identified in the Statement of Work. The SOW included technical features for both the Vendor Certification and Labor Compliance processes.
C. Cost/Price Analysis
Upon completion of the cost audit of lanett's proposed cost for the VCLC extension, being performed by MASD, all audit findings will be addressed and resolved in the negotiation process.
D. Background on Recommended Contractor
lanett Commercial Solutions, Incorporated located in New York City, New York has been in business for 12 years and is a certified Oracle Platinum Partner as one of Oracle's leading Enterprise Business Software (EBS) partners in the public sector and commercial industries. It is a leading systems integrator with a proven successful track record as one of Oracle's EBS partners in the public and commercial industries. lanett has experience in assisting public and private sector entities with supporting, upgrading, managing and implementing the entire EBS Suite and augmenting currently installed environments with additional applications such as Contracts and Procurement.
E. Small Business Participation
lanett Public Sector, Inc., has a Small Business Enterprise Goal SBE commitment of 20%. Current SBE participation is 14% and it is expected that the prime will continue to strive to meet their SBE commitment.
SMALL BUSINESS SMALL BUSINESS COMMITMENT SBE PARTICIPATION SBE
20% 14%
SBE Subcontractor Status %Committed Current Participation
1. Langford & Carmichael Performing 20% 14% Total Commitment 20% 14%
Contract Information & Management System 6
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