Title
SAP System Modernization - Requirements Contract - RFP 21-074 - Amendment (Ordinance S-49630)
Description
Request to authorize the City Manager, or his designee, to allow additional expenditures under Contract 155443 with Labyrinth Solutions LLC, dba InvenioLSI for the purchase of enhanced services, licensing, support, and maintenance for the Finance Department to further support the existing SAP application and infrastructure. Further request to authorize the City Controller to disburse all funds related to this item. The additional expenditures will not exceed $3,000,000.
Report
Summary
The City currently utilizes the SAP system for critical financial accounting and reporting processes, procurement, accounts payables and receivables, grant management, inventory management, and overall financial reporting and analytics. SAP has more than 3,000 users across all City departments and interfaces with numerous other Citywide systems and applications. The Finance Department has consolidated the management of all SAP licensing, infrastructure, support and maintenance into one contract with Labyrinth Solutions LLC, dba InvenioLSI. The additional expenditures will allow for continued modernization upgrades to the SAP system in the areas of accounts payables and receivables, travel management, treasury and debt management, enhanced analytics and real estate accounting.
This item has been reviewed and approved by the Information Technology Services Department.
Contract Term
The contract term remains unchanged, ending on Oct. 17, 2031, with an additional five-year option to extend.
Financial Impact
Upon approval of $3,000,000 in additional funds, the revised aggregate value of the contract will not exceed $43,000,000. Funds are available in the Finance Department’s budget.
Concurrence/Previous Council Action
The City Council previously reviewed this request:
• SAP System Modernization Contract 155443 (Ordinance S-47563) on May 19, 2021.
Department
Responsible Department
This item is submitted by City Manager Jeffrey Barton and the Finance Department.