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City Council Regular
Meeting Date: 06/11/2019  

Authorize the execution of Amendment No.1 to Agreement No. A2017-271 with SDI Presence LLC, increasing the total not-to-exceed amount from $220,000 to $420,000.
On September 8, 2015, the City Council approved Agreement No. A2015-191 with NexLevel to provide support in the selection of an Enterprise Resource Planning (ERP) system in the amount of $55,000. Amendment No. 1 was approved by the City Manager on June 2, 2016, in the amount of $4,000 to amend the scope of work to include ERP contract negotiation services. Amendment No. 2 was approved by the City Council on December 13, 2016, in the amount of $341,000 for project management of the implementation of the ERP system. The ERP project management services began in January 2017.  

On November 1, 2017, NexLevel was acquired by SDI; therefore, City Council authorized a new agreement with SDI for $220,000 which was the anticipated remaining amount of the original NexLevel contract. The consultant has proven to be a valuable resource and staff has needed his support more than originally anticipated. Expenses through June 30, 2019, on the SDI agreement are anticipated to amount to $220,000. The proposed amendment with SDI is for an additional $200,000 to fund costs through February 2021, which is the end of the contract term including the one-year renewal option.
This proposed action is exempt from review under the California Environmental Quality Act (California Public Resources Code §§ 21000, et seq.; “CEQA”) and CEQA regulations (14 California Code Regulations §§15000, et seq.) because it does not involve any commitment to a specific project which could result in a potentially significant physical impact on the environment; and constitutes an organizational or administrative activity that will not result in direct or indirect physical changes in the environment. Accordingly, this action does not constitute a “project” that requires environmental review (see specifically 14 CCR § 15378(b)(4-5)). 
There is sufficient funding in the Information Technology capital outlay budget to cover the fiscal year 2018-19 and 2019-20 cost of the SDI agreement. The Information Technology capital outlay budget is funded through charges to various City funds including the General Fund. The General Fund is responsible for approximately 55% of the Information Technology budget. Future costs will be budgeted for in the appropriate fiscal year.
SDI Presence LLC Amendment No.1

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