SUBJECT/RECOMMENDATION:
Title
Approve a three-year maintenance and support agreement with Tyler Technologies, Inc. of Yarmouth, ME for Munis Financials, Human Capital Management (HCM), and Tyler Time & Attendance Management software in a not to exceed amount of $2,115,445.57 pursuant to Clearwater Code of Ordinances Section 2.563(1)(d), Non-competitive purchases (Impractical) and authorize the appropriate officials to execute same. (consent)
Body
SUMMARY:
In April of 2023, the City partnered with Tyler Technologies for the provision of Software as a Service (SaaS) for Tyler Munis Financials and Munis Human Capital Management (HCM) solutions.
Tyler Munis serves as the City's enterprise standard system for financial management, including general ledger, accounts payable, accounts receivable, asset tracking, and purchasing, as well as payroll and human resources/benefits administration across all City departments. Replacing this system would require an estimated two to three years to implement and would involve significant costs (approximately $3-$4 million), in addition to substantial operational disruption. Due to these factors, this procurement is considered impractical, and City staff recommends that Tyler Munis remains the City’s standardized enterprise platform.
The requested not-to-exceed amount includes maintenance and support for Munis Financials, HCM and Time & Attendance for a three-year term. The total also includes a one-time professional service fee of $262,520.00 to support implementation of Tyler’s Time & Attendance Management SaaS model.
The Time & Attendance module is natively integrated with the City’s existing Munis HCM/payroll system. This integration enables real-time data exchange between timekeeping and payroll, eliminates manual data entry and file transfers, reduces reliance on paper approvals, and ensures system compatibility, data integrity, and centralized vendor support.
Implementing the Saas Time & Attendance module with also reduce long-term maintenance costs, eliminate the need for custom interfaces, and enhance operational efficiency. The system will improve electronic management of timecards and schedules, provide real-time reporting within Munis, support configurable workflows and user-level security controls, and reduce the risk of errors.
Annual SaaS maintenance charges for Munis Financials and Human Capital Management (i.e. payroll and HR) are $513,221.10 in the first year and are subject to annual increases up to 6%. Annual SaaS maintenance charges for Munis Time & Attendance are $68,801.00 in the first year and are also subject to annual increases up to 6%.
APPROPRIATION CODE AND AMOUNT:
Funding for the annual maintenance and support agreement for the current fiscal year is budgeted and available in Information Technology, operating cost code 5559864-530500, maintenance contracts. Funding for the new module purchase and implementation is available in capital project 94828, Financial System Upgrades. Funding for future years will be requested as part of the annual budget process.
The Information Technology department, and associated projects, are funded by revenues from the Administrative Services Fund, an internal service fund of the city responsible for the administration of city-wide technology services.
STRATEGIC PRIORITY:
These purchases help achieve strategic objectives of 1.2, 1.3, and 1.4 for High Performing Government. The Information Technology Department maintains critical public infrastructure to deliver sustain a high level of service to support a safe and healthy community.
