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HomeMy WebLinkAbout1983-06-07; City Council; 7402; Approve Purchase of Computer Software0 1.LI 6 a: a. a. c:x: z 0 ~ ..J u z :::, 0 (.) .. CIT'. OF CARLSBAD -AGEND,..~ BILL AB# 7({o,R MTG. 1::,7 tQ-:i IJI.LE; APPROVE THE PURCHASE OF COMPUTER SOFTWARE AND TRANSFER FUNDS \ '-. oep·r. Ho.---i.;--:-=:-=- . ! \.,_.t:\ I CITY ATr(J~t:b DEPT,_..E...,I .... N __ _ RECOMMENDED ACTION: ~ITYMGRY~ Approve Resolution No. 7-<.3~ authorizing the transfer of funds for the purchase of computer software anabyniTnute motion approve the purchase of QUASAR Systems Power House and Power Plan software packages. ITEM EXPLANATION: Power House and Power Plan are software tools designed by QUASAR Systems to assist Hewlett-Packard computer users in managing their computer and in using data already in existence on the system. The tools allow the users to create a database, put in data, access data,.create many reports and do computations and comparisons. In short they let the user "control" the system rather than the system 11 controling 11 the user. In the past four weeks, using the QUASAR packages we have been able to create many reports and fix problems that existed with the present software systems. Some-examples of the programs and improvements developed using these syste~s are: o Vacation & sick leave reports o Payroll file corrections o Payroll history reports o Engineering project tracking o Budget schedules -Revenue expense, fund balances O Personnel sched~les for 83-84 budpet o Total compensation cost computations for salary proposals o Emergency contact list of businesses in Carlsbad -for Police Dept. o Business License audit list o Unemployment insurance reporting for State o Disability insurance reporting for State The "Power Plan" package is a financial forr.castinq, planning, reporting_and analysis tool which also has the capability t.o interface to the Hewlett Packard graphics system. The usefulness of this type of tool has been shown in two areas during the past few weeks. The Personnel department has been able to cre«te a total compensation cost model which is currently being used to analyze the various compensation proposals offered by the associations and the city at meet and confer sessions. These models show the city the full cost of a proposal and allows management to immediately_ analyze any offer. The creation of the models was fast and easy enou9h to learn in a few sessions. Although the dollar value of this application is difficult to assess, correct and tiMely information in the meet and confer process is invaluable. J Approve the Purchase of Computer Software and Transfer Funds Page 2 The Finance Department has used the system to prepare budget schedules for revenue estimates and budget requests. These schedules can now be modified or changed as the Manager or Council review budget requests. The updated numbers are then immedi3tely available to management for further analysis. Schedules have been tied together so changes in one schedule can be carried into others effected by the adjustment; i.e., if expenditures are reduced, final balance at year ena will increase by the same amount. The ability to create these inter-locking schedules is particularly valuable when trying to provide accurate, timely information to the Council and Manager in an application where up-to-date information is a necessity. The budget, CIP, meet and confer, five year operating budget forecasts, annual audits and other major projects would use this type of tool. The software packages supplied by Quasar Systems, Inc., are unique in that there is no comparable product offered by other vendors. The Power House and Power Plan Software can be obtained only from Quasar Systems, Inc., making this a sole source purchase. The usual bidding procedures called for in the purchasing ordinance should, therefore, be waived. FISCAL IMPACT: Funding for this purchase would be available within several budgets. As shown in the attached report, Engineering, Sanitation, Water and Streetlighting would share in the funding for this purchase from savings in other accounts. The use of these funds will not substantially impact the ending balance of any fund. No contingency funds are to be used for this purchase. The purchase price 6f this package totals $36,570. EXHIBITS: Resolution No. 7;J3 2 approving the purchase of the Quasar Systems Software and transfer of funds. Memo dated May 25, 1983, to the City t'1anager regarding software from Quasar Systems. RESOLUTION NO. E9_ A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CARLSBAD, CALIFORNIA, AUTHORIZING THE PURCHASE OF QUASAR SYSTEMS SOFHIARE AND TRANSFERRING FUNDS 1 2 3 4 HHEREAS, the City .of Carlsbad has reviewed the functions and capabilities . 5 of the Quasar Systems Software known as Power House and Power Plan; and 6 WHEREAS, these systems have proven their value in increasing the 7, capabilities of the City's computer system; and 8 9 WHEREAS, Quasar Systems, Inc., is the sole provider of the above software; :and . WHEREAS, there are sufficient funds available in various City budgets to . 10 finance the purchase of these software packages. ll NOW, THEREFORE, BE IT RESOLVED by the City Council of the Cjty of Carlsbad, 12 California, as follows: 13 · 1. The City Manager is hereby authorized to purchase said software 14 packages from Quasar Systems, Inc.; and 15 c. That fund transfer No. 140 · on file with t:1e Finance Director, is 16 hereby approved to finance this purchase. 17 PASSED, APPROVED AND ADOPTED at a regu·lar meeting of the City Council of 18 the City of Carlsbad held on the 7th_ day of June 19 fol lowing, vote, to wit: , 1983, by the 20 21 22 23 24 25 26 27 28 AYES: NOES: Council M:mbers Casler, I.ewis, Kulchin, Chick and Prescott None ABSENT: None ATTEST: LER, Mayor rU;t:-£ ALETHA L. (SEAL) 3 DATE May 25, 1983 TO City Manager FROM Finance Director SUBJECT: Quasar Systems software -"Power House 11 and 11 Power Plan 11 Overview The attached schedule is a listing of the few simple applications where the staff has been able to use the Quasar System software in only a few weeks. The system benefits are primarily time savi'ngs in replacing manual operations with automated operations. Several applications list benefits that are more difficult to measure·such as improved emergency response or more accurate ar.d timely data. The cost savings on these few small applications totals $4,400 ar,,ually. If we were to apply these systems to large projects the cost savings annually would be two to three times as high. An annual cost savings of $12,000 in only the payroll, finance and personnel areas would not be unreasonable when projects such as th 0 CIP, budget, employee relations and ri~k management are considered. If other departments such as.utilities, engineering, maintenance and parks begin to have access, an.additional savings would be realized. Recommendation Just using the payroll, finance and personnel functions,with a. $12,000 per year cost savings, th~se software tools would have a payback period of three years. If other departments are considered; the payback period will be much shorter. Our recommendation' is that the City acquire the Quasar Systems. Funding is available from current appropriations as shown in attachment 11 811 to this memo. The attached agenda bill and resolution approve the purchase and transfer of funds. ATTACHMENT "A" Schedule of Quasar System Applications Systems presently in use 1. Description -Vacation and sick·leave reporting. This system creates three reports -all employees, all employees by department and employees who have problems with leave balances, i.P.. too high or too low. Benefit -Personnel can now identify potential problem areas relating to leave balances. Employees•with excessive vacation leave balances are identified~ j notified that balances must be.reduced to the maximum level specified in the M.0.U. Sick le11ve abuses can be identified and information relayed to departments for action. Cost savings -Potential problem employees can be identified and encouraged to improve attendance thereby improving the time on the job vs. non-P,roductive time. The City can avoid large lump sum vacation leave payoffs at the time of retirement or termination by monitoring leave balances. No dollar value has been computed for these benefits. 2. Description -Payroll file corrections. The present payroll system does not allow for the correction of errors that may be made in the payroll system. The Quasar system can allow the operator to access the payroll file (after entering the appropriate passwords) to correct any errors. Benefit -Under the present system, quarterly reports to the state and federal government ·generated by the system are wrong. An employee must hand verify and type all quarterly reports. If data is, corrected, reports could be designed and run that would prepare these reports a~tomatically. Cost ~avings -Approximately four days per quarter are used in verifying and correcting data. This equates to approximately $1,600 of staff time annually. 3. Descriltion -Payroll history reports. These reports allow the operator to generateistings of earnings history for any r·ange of dates. This allows verifi- cation of salary data for P.E.R.S. retirement requests and separation forms, and for quarterly and annual payroll files. Benefit -Without this type of report, payroll data fot· retirement and separation forms were generated by searching payroll records covering a three to six month period. This can now be gathered by the computer and reported in a concise manner to the payrolJ clerk. Cost savings -A minor dollar savings of about $500 annually would be realized in better use of staff time. This is based on about three hours per month or 36 hours per year of manual labor being replaced by a few minutes of computer labor. -1 - /1 norro .... .;n+..:nn _ llt'\omn1numnnf. .;n,_ ...... "'""~" "'-"'"""""''-.: .... -... _..,a _.1.,_ ..... _ ..J.:--Lw!., ,..a...y --~ --~•~• ~ --'. "''-...,""' , t'", VII VU"-"'t', VJIUVII\J, , "'•""'' U.fl\,,f\; , Cf-'VI "', a•~ QIIU "\,,,Q '-t: u r ;,,au I I I l, r~por1:1 ng • These programs access the corrected payroll data and create the quarterly and annual reports for the state unemployment and disability systems. Benefit -This is currently a manual effort done by typing a11·employee data onto state forms. The data is first corrected, values are computed and the report is typed. This has been replaced by a computer generated system. Thereby freeing the employee for other duties. Cost savings -The present manual system requires two days per quarter or about 64 hours per year to complete. This time could be replaced by a computer system freei,ng $800 worth of employee's time for other tasks. 5. Description -Emergency phone contact for all Carlsbad businesses. This report has been requested by the police department for some time. The data has been available but was never accessable in this manner before. (This report was created by a clerk steno after only a few minutes of instruction which indicates that the system is simple enough for a non-programmer to use effectively). Benefit -The Police Department can now determine who should be contacted in the event of a emergency involving a Carlsbad business. Cost savings -The cost savings of the ability to provide this service is particularly difficult to assess. The primary cost savings may accrue to the citizen wh~ can respond to an emergency at a business location as soon as notified rather than waiting until the next business day. 6. Descri tion -Business license audit list. This report (prepared in about ½ hours time will allow the license auditor to select those businesses to be audited and verify license amounts paid {or the past two years. Benefit -The license auditor has available in one place information on bus-mess license fee~ paid for the past two years, contact name, phone numbers, addresses etc. When selecting a large number of businesses to contact, all m~nual contact with business license files is eliminated. Cost savings -The license auditor would spend about three days selecting businesse~ to audit, researching files and creating work sheets. 1hi~ system cu~s the time to less than one day. A savings of only $300 1 however, this 1s a reduction of 50% in the time to complete the task. 7. Description -Operating budget schedules for revenues, expenditures, fund 6al ances and personnel. Each year the finance department manually prepares schedules of budget requests, managers allowances, and council adopted budgets. This means revising schedu1es and retyping at least four times each season. Benefit -The Quasar system allows the computer to do the manual labor while the manager gives the system instructions. One revision was cut from a four day process to only four hours. All schedules are linked so changes in one will be reflected in all appropriate places in all other schedules. A personnel schedule of five columns of numbers complete with sub-totals was created in 20 minutes, rather than the typical two to ·chree hours. Cost Savings -Substantial time has been saved in the past four weeks. Almost eight man/days of manual scheduling has been eliminated through the use of this system. A savings of over $1,200 has been realizes. -2- 8. Description: Totu1 compen~at1on cost pians for all employee groups, The personnel department has generated total comp.cost plans for each group which will allow the quick and accurate evaluqtion of any salary proposal from either side of the table. Benefit -Accuracy and timeliness are a key to credibility when working with employee groups. This system improves the accuracy and proves the credibility of cost calculations. The system also replaces the manual system previously in place thereby freeing the finance department and personnel staff for other duties. Cost savings -The only obvious cost savings are those associated with time saved by city staff. Although an exact dollar estimate is not available, personnel indicates that the computer system has cut the time necessary to do compensation computations to 1/3 of the original amount necessary. Future Applications The following applications could be developed ra~idly and at a fraction of ~he cost of conventional programming if the Quasar packages are available. (This is not intended to be an entire list of possible applications. It should be used as a guide for the types of applications Quasar systems ShQuld easily handle). 1. Five year C.I.P. funding program and docufuent preparation. 2. Five ye&r revenue and operating expense forecasts. 3. Fixed asset inventory systems for water, sanitation and general fund. 4. Investment monitoring, 5. Project cost accounting and contract management. (The recording of engineers and planners time spent on capital projects or developers projects). 6. Water and sewer rate analysis. 7. Fleet management statistical reporting. 8. Soecial district assessments (lighting, improvement, maintenance, etc.). 9. Parks program registration and activity sch~duling. 10. Geo base data file. 11. Risk management statistical reporting. 12. Parts inventory for fleet maintenance. 13. Employee history files. 14. Employee insurance plan monitoring. 15. Ambulance billing and collection. 16. Building department statistical reporting. -3 - Funding is available as follows: Funding Source General Fund (Engineering) Sanitation Water -Street Lighting TOTAL Total Price is based on: Total Amount $ 5,000 10,000 24,570 2,000 36,570 ATTACHMENT 11 811 ··· Amount to Power House Power Plan $ 3,000 6,000 10,170 1,500 20,670 Power Housa $19,500 Power Plan 152000 Sub Total 34,500 Tax@ 6% 2,070 TOTAL $36,570 $ 2,000 4,000 9,400 500