Title
Authorization to Amend Agreement with BEM Systems, Inc., to Extend Term for Real Estate Management System (Ordinance S-49538)
Description
Request to authorize the City Manager, or his designee, to amend Technology Products and Professional Services Agreement 140770 with BEM Systems, Inc., to provide two additional one-year options to extend the term. Further request authorization or the City Controller to disburse all funds related to this item.
Report
Summary
BEM currently provides the Finance Department's Real Estate Division with maintenance, customer support and hosting services for the PAECETrak real estate acquisition management system. PAECETrack is a proprietary web-based software application developed and owned exclusively by BEM Systems, Inc. (BEM). The current agreement expires on April 26, 2023, with no options to extend. PAECETrack is utilized to manage real estate business processes such as property acquisition, appraisal services, environmental assessments, leases, easements, relocation, and title services necessary for all Citywide real estate projects and transactions. In addition to the current Citywide acquisition projects in process, additional projects are anticipated as the result of the Transportation Infrastructure Bill and Capital Infrastructure Program (CIP) projects. Any disruptions or loss of data related to changing systems mid-project would be a significant risk in meeting project schedules and reporting requirements. Therefore, staff recommends extending the current agreement for two, one-year periods to provide uninterrupted acquisition services and maintain essential project and acquisition information required for reporting.
This item has been reviewed and approved by the Information Technology Services Department.
Procurement Information
In accordance with Administrative Regulation 3.10, normal competition was waived as a result of a determination memo citing sole source. PAECETrak is a proprietary web-based software application developed by BEM; no other firm can update, maintain, or enhance this proprietary software.
Contract Term
The first year of the agreement will begin April 27, 2023, through April 26, 2024, with the additional one-year option to extend through April 26, 2025.
Financial Impact
The extended term is $74,252.70, plus applicable taxes, with the cost to escalate three percent annually. Aggregate expenditures for the two option periods will not exceed $150,733, plus applicable taxes. Funds are available in the Finance Department's operating budget.
Concurrence/Previous Council Action
The City Council approved:
• Agreement 140770 and Amendments 1, 2, and 3 (Ordinance S-41583) on April 15, 2015; and
• Agreement 140770 and Amendments 4, 5, and 6 (Ordinance S-46374) on Feb. 19, 2020.
Department
Responsible Department
This item is submitted by City Manager Jeffrey Barton and the Finance Department.