HomeMy WebLinkAbout22-05 RESOLUTION•
RESOLUTION NO. 22-05
A RESOLUTION APPROVING A CONTRACT IN THE AMOUNT
OF $31,575.00 WITH CAPITALSOFT.NET, LLC FOR THE
PURCHASE OF UTILITY RATE & FINANCIAL PLANNER
SOFTWARE.
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, Arkansas
hereby approves a contract in the amount of $31,575.00 with CapitalSoft.net, LLC
for the purchase of Utility Rate & Financial Planner software. A copy of the
contract, marked Exhibit "A" is attached hereto and made a part hereof.
PASSED and APPROVED this 15th day of February 2005.
ATTEST:
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By:
SONDRA SMITH, City Clerk
APPRO ED:
By:
DAN COODY, May.
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CONTRACT
1 6 rxary
This contract executed this IS4t day of y, 2005, between the City of
Fayetteville, Arkansas, a municipal corporation, and CapitalSoft.net, LLC, 956A
Beachland Blvd., Suite 11 Vero Beach, Florida.
In consideration of the mutual covenants contained herein, the parties agree
as follows:
1. CapitalSoft.net, LLC at its own cost and expense shall furnish all labor,
materials, supplies, machinery, equipment, tools, supervision, bonds,
insurance, tax permits, and all other accessories and services necessary to
complete items bid per bid #04-14 as stated in CapitalSoft.net, LLC's bid
proposal, and in accordance with specifications attached hereto and made a
part hereof under Bid #04-14, all included herein as if spelled out word for
word.
2. The City of Fayetteville shall pay a one-time license fee of $25,000.00 for
products based on prices indicated in CapitalSoft net, LLC's bid proposal, and
an Annual Maintenance fee of $5,000 00. Payments will be made only after
submission of invoice. Payments will be made approximately 30 days after
receipt of invoice.
3. The Contract documents which comprise the contract between the City of
Fayetteville and CapitalSoft net, LLC consist of this Contract and the
following documents attached hereto, and made a part hereof:
A. Bid form identified as Invitation to Bid #04-14 with the specifications
and conditions typed thereon.
B. CapitalSoft.net, LLC's bid proposal.
C. The Notice to Prospective Bidders and the Bid Tabulation.
4. These Contract documents constitute the entire agreement between the City
of Fayetteville and CapitalSoft.net, LLC and may be modified only by a duly
executed written instrument signed by the City of Fayetteville and
CapitalSoft.net, LLC.
5. CapitalSoft.net, LLC shall not delegate it's duties under the terms of this
agreement.
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6. CapitalSoft.net, LLC agrees to hold the City of Fayetteville harmless and
indemnify the City of Fayetteville, against any and all claims for property
damage, personal injury or death, arising from CapitalSoft.net, LLC's
performance of this contract. This clause shall not in any form or manner be
construed to waive that tort immunity set forth under Arkansas Law.
7. CapitalSoft.net, LLC shall furnish a certificate of insurance addressed to the
City of Fayetteville, showing that it carries the following insurance which
shall be maintained throughout the term of the Contract. Any work sublet,
the contractor shall require the subcontractor similarly to provide worker's
compensation insurance. In case any employee engaged in work on the
project under this contract is not protected under Worker's Compensation
Insurance, CapitalSoft net, LLC shall provide and shall cause each
Subcontractor to provide adequate employer's liability insurance for the
protection of such of his employees as are not otherwise protected.
Workmen's Compensation Statutory Amount
Comprehensive General &
Automobile Insurance
Bodily Injury Liability
$250,000 for each person
injured.
$500,000 for each accident.
Property Damage Liability $100,000 aggregate.
The premiums for all insurance and the bond required herein shall be paid by
CapitalSoft.net, LLC.
8. CapitalSoft.net, LLC to furnish proof of licensure as required by all local and
state agencies.
9. This contract may be terminated by the City of Fayetteville or CapitalSoft.net,
LLC with 30 days written notice
10. Freedom of Information Act: City of Fayetteville contracts and documents
prepared while performing city contractual work are subject to the Arkansas
Freedom of Information Act. If a Freedom of Information Act request is
• •
presented to the City of Fayetteville, CapitalSoft.net, LLC will do everything
possible to provide the documents in a prompt and timely manner as
prescribed in the Arkansas Freedom of Information Act (A.C.A. 25-19-101 et.
Seq.). Only legally authorized photo copying costs pursuant to the FOIA may
be assessed for this compliance
WITNESS our hands this 1541 day of January 2005.
ATTEST:
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SONDRA SMITH, City Clerk
ATTEST:
COMP/7NY SECRETARY
CITY OF FAYETTEVILLE
CAPITALSOFT.NET, LLC
PRINTED NAME ANDITLE
9.SGefyaki /dive,ocai ,/, a:eon/de/ ,c2 32 9tea
BUSINESS ADDRESS
City of Fayetteville, Arkansas
Budget Adjustment Form
•
Budget Year
2005
Department
Division:
Program:
Water & Wastewater
Meter Operations
Meter Capital
Date Requested
1/11/2004
Adjustment Number
Project or Item Requested:
$26,575 is needed in the Utility Rate & Financial
Planning software capital project.
$5,000 is needed in the Software Maintenance
operational account.
Project or Item Deleted:
None. $31,575 from the Water & Sewer Fund Use of Fund
Balance account.
Justification of this Increase:
The funding is needed for the purchase of a utility rate
and financial planning software packet and the annual
maintenance fee.
Justification of this Decrease:
There is sufficient fund balance remaining in the Water &
' Sewer.Fund to comply with City Policy and to meet 2005
objectives.
In 2004, there was $15,000 budgeted for the purchase of
the software that will go back to fund balance.
Account Name
Increase Budget (Decrease Revenue)
Account Number
Amount Project Number
Fixed assets 5400 1840
Software maintenance 5400 1810
Account Name
5801 00
26,575 04045 1
5416 00 5,000
Decrease Budget (Increase Revenue)
Account Number Amount
Use of fund balance 5400 0001
4999 99
31,575
Project Number
A.proval Signatures
equeste
udget Manage
Date
Date
Department Director Date
a Services D.
Date
Date
Budget Office Use Only(IF!)
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Type: A B C / I> I E
Date of Approval
Posted to General Ledger
Posted to Project Accounting
Entered in Category Log
Initial Date
Initial ' Date
Initial Date
Initial Date
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ARKANSAS
DEPARTMENTAL CORRESPONDENCE
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TO: Mayor Dan Coody and the Fayetteville City Council
FROM: Stephen Davis, Finance & Internal Services Director/N
Rainy Laycox, Billing & Collections Manager
DATE- January 25, 2005
SUBJECT: Utility Rate Calculation Software
Recommendation
Staff recommends award of a contract for Utility Rate Calculation Software to CapitalSoft.net,
LLC
Background
In mid -2004, City staff developed a Request -for -Proposal (RFP) seeking a utility rate software
module that Fayetteville could utilize to monitor water and sewer rates by customer class as well as
by jurisdiction. With this type of software package, City staff would be in a position to .better
monitor cost shifts between customer classes. •
The need for Fayetteville to have this type of capability in-house was very evident during the rate
adjustment public hearings from August 2003 through December 2003. The alternative to the -City
of Fayetteville owning this type of software package would be to contract with a rate consultant more
frequently for formal rate studies. The last rate study cost approximately $50,000.
Budget Impact
The purchase of Utility Rate Calculation Software was budgeted in 2004 for $15,000. The 2004
budget amount was not re -budgeted to 2005. The increased cost over the 2004 budget is a result of
purchasing the software with unlimited licensing that allows for multiple users. The 2004 budgeted
amount went back to fund balance. There is sufficient fund balance to cover the 2005 acquisition.
Discussion
CapitalSoft.net, LLC is the only responsive bidder to the RFP Staff has reviewed the software and
is proposing the City enter into a contract to purchase the software.
The software will be utilized by City staff to assist with the planning of operating budgets, capital
projects, major system repairs and rehabilitation, and debt service to determine the likely impact on
existing water and sewer rates.
Planning for the future and adaptability to changing mandated requirements will be the key to
maintaining a financially strong water and wastewater utility. Acquisition of this software package
provides an additional tool to meet those challenges.
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Staff proposes to use this software to:
• Monitor existing water and sewer rates to detect cost shifts between customer groups in a
more timely manner.
• Monitor existing capital improvement programs and debt issuance plans to ensure sufficient
cashflow to operations and debt service coverage tests.
• Develop multiple rate impact solutions that address mandated and/or necessary capital
improvements while complying with bond indenture requirements concerning minimum
revenue coverage tests.
• Enable compliance with the Fayetteville Code of Ordinances chapter 51.137 4(a) Annual
review by city; revision of rates —"The city shall review the charges at least annually and
revise the rates as necessary to ensure that adequate revenues are generated to pay the cost of
operation, maintenance, and replacement and that the system continues to provide for the
proportional distribution of operation, maintenance, and replacement costs among users and
user classes."
• Provides multi-year forecasting for each utility.
• Provide reports that include: Current vs. cost of service rates; baseline utility revenues with
current rates; utility baseline cash flows; debt service coverage ratios; five-year projected
cash flow requirements; and financial plans for capital improvement project requirements. ,•
•
Provideiutilityrate calculations for multiple jurisdictions.
• Supports utility basis for rate design as defined by the American Water Works Association.
• Capability to calculate utility rates for water, sewer, sanitation, and storm water utilities.
Finally, this software can be used to calculate water and sewer rates instead of contracting the rate
making effort. The City is still required to have an independent engineer evaluate the water and
sewer utility and issue a professional opinion that examines the utility system from an operational
point -of -view. The Operations Study is required to be completed every three years by a qualified
engineer and the report must contain an engineering evaluation, a financial analysis by utility, and a
report on compliance with bond indentures.
• •
RESOLUTION NO.
A RESOLUTION APPROVING A CONTRACT IN THE AMOUNT
OF $31,575.00 WITH CAPITALSOFT.NET, LLC FOR THE
PURCHASE OF UTILITY RATE & FINANCIAL PLANNER
SOFTWARE
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
Section 1. That the City Council of the City of Fayetteville, • : nysss
hereby approves a contract in the amount of $31,575.00 with Ca • 't :tri -t, LLC
for the purchase of Utility Rate & Financial Planner sof cop of the
contract, marked Exhibit "A" is attached hereto and
PASSED and APPROVED this 15
NDRA SMITH, City Clerk
AN COODY, Mayor
• •
REQUEST FOR PROPOSAL
04-16
UTILIY RATE CALCULATION AND PLANNING SOFTWARE
FOR
THE CITY OF FAYETTEVILLE, ARKANSAS
The City of Fayetteville, Arkansas is requesting proposals from
experienced and qualified firms to purchase Utility Rate
Calculation Software.
To be considered for evaluation, written proposals must be
received by August 30th, 2004 at 4:00 p.m. in the format set
forth in the accompanying documents. A non-responsive or
incomplete proposal will not be considered. Proposals received
after this deadline will not be considered. Eight (8) copies of
the proposal shall be mailed or hand delivered to the following
address:
Ms. Peggy Vice
Purchasing Manager
City of Fayetteville
113 West Mountain Street
Fayetteville, AR 72701
Telephone: (479) 575-8289
Fax: (479) 575-8241
The outside of the envelope must be clearly marked "RFP 04-16"
Request for Proposal -Utility Rate Calculation Software.
1. It shall be clearly understood that any costs incurred by
the respondent in responding to this request for proposal is
at the respondent's own risk and expense as a cost of doing
business, and the City is not liable for reimbursement to
the respondent for any expense so incurred, regardless of
whether or not the proposal is accepted.
2 Any inquiries or requests for explanation in regard to the
City's requirements should be made promptly in writing by
fax to the above listed number. No oral interpretation or
clarifications will be given as to the meaning of any part
of this request for proposal. All questions,
clarifications, and requests, together with answers, if any,
will be provided to all firms that have indicated an
interest or intention to submit proposals, but the names of
any firms submitting any questions, clarifications, or
requests will not be disclosed until after the deadline for
submitting proposals.
Any conditions or expectation on the part of the respondent
for performance by the City must be set forth in the
proposal. The City is not obligated to consider the
respondent's post submittal terms and conditions.
oi
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4 At the discretion of the City, one or more firms may be
asked for more detailed information before final ranking of
the firms, which may also include oral interviews.
5 The City will not be responsible for misdirected proposals.
Respondent should call the Purchasing Office at (479) 575-
8289 to insure receipt of their proposal documents prior to
opening time and date listed above.
•
REQUEST FOR PROPOSAL
04-16
UTILITY RATE CALCULATION SOFTWARE
FOR
THE CITY OF FAYETTEVILLE, ARKANSAS
1.0 Purpose
The City of Fayetteville, Arkansas, hereinafter referred to as
"the City", seeks proposals in response to this Request for
Utility Rate Calculation and Financial Planning software
(primarily water and sewer rates) to be utilized to assist City
management, City Council and Citizens in making informed
decisions regarding:
a) capital projects
b) rehabilitation
c) repair
d) debt issues
e) operating budgets
2 0 Functional Requirements
a) The utility basis for rate design as defined by
the American Water Works Association.
b) The cash basis for rate design as defined by the
American Water Works Association.
c) Multiple customer groups.
d) Multiple cost classification options.
e) Multiple cost classification methods.
f) Multiple rate design options
g) Unlimited sales/rates/cash flow scenarios.
h) Must be capable of calculating utility rates for
water, sewer, sanitation and storm water
utilities.
i) Must support utility rate calculations for
multiple jurisdictions.
3) Must support rate of return based on assets
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employed.
k) Must provide method -to calculate based on "what
if" scenarios by utility.
1) Must provide multi year forecasting by utility.
m) Must provide at minimum the following reports:
Current vs. cost of service rates, Baseline
utility revenues with current rates, Utility.
baseline cash flows, Debt service coverage
ratios, Five year projected cash flow
requirements, and a financial plan capital
improvement project requirements.
3.0 Software Requirements
The software should produce auditable schedules that provide
information on the impact each of the elements listed above have
on the utility's cash flow sufficiency and current rates.
The software proposed shall:
a) Allow import of cost"data from Microsoft Excel.
b) Must provide Multi-user access utilizing
Microsoft Sequel or Access DBMS.
4.0 System Requirements
a) List minimum hardware requirements, ram,
processor speed, etc. -
5.0 Training
a) List training provided with software, number of
people, number of days trained. Training will be
considered in evaluation.
6.0 Demo required of selected vendor before purchase
a) Demonstrate all capabilities before payment.
7.0 Annual update costs and annual software license cost per
year.
a) Number of concurrent user licenses.
8.0 List current customers. Give reference name and phone
number.
9.0 Verify current accounting/customer data format will work
with software.
Rainy Laycox
Submitted By
City of Fayetteville
Staff Review Form
City Council Agenda Items
Contracts
2/15/2005
City Council Meeting Date
•
Meter - Capital Exp/Billing & Coll. Finance & Internal Services
Division
Action Required:
Department
A Resolution approving the contract with CapitalSoft.net,LLC for the purchase of Utility Rate and Financial Planner
Software which meets requirements detailed in Request For Proposal 04-14 The contract consists of a one-time
license fee of $25,000.00 and an annual maintenance fee of $5,000.00 plus $1,575.00 for use taxes.
$31,575.00
Cost of this request
5400-1840-5801-00
5400-1810-5416-00
Account Number
04045
Project Number
Budgeted Item
$31,575
Category/Project Budget
$0
$0
Funds Used to Date
$31,575
Remaining Balance
Budget Adjustment Attached
x
Utility Rate and
Financial Planner Software
Program Category / Project Name
Other Improvements
Program / Project Category Name
Water and Sewer
Fund Name
Department Director
City Attorney
Finance arui Internal Service Director
Previous Ordinance or Resolution #
(2- G��at Original Contract Date:
Original Contract Number:
//zr/as
I/24/a
D to
ate
Received in Mayor's Office
Comments:Use Tax obligation not included in contract but is an obligation of the City of Fayetteville