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Staff Report PREPARED BY: Chris Gjerde, IT Manager and Holly Zappala, Management Analyst Reviewed by: Town Manager, Assistant Town Manager, Town Attorney, and Finance Director 110 E. Main Street Los Gatos, CA 95030 ● (408) 354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 12/03/2019 ITEM NO: 3 DATE: November 20, 2019 TO: Mayor and Town Council FROM: Laurel Prevetti, Town Manager SUBJECT: Authorize the Town Manager to Enter into a Five-Year Agreement with ECS Imaging, Inc. for Software Maintenance and Support Not to Exceed $350,000 RECOMMENDATION: Authorize the Town Manager to enter into a five-year agreement with ECS Imaging, Inc. for software maintenance and support not to exceed $350,000. BACKGROUND: In 2008, the Town first contracted with Peelle Technologies to purchase electronic management software (Laserfiche), scanners, consulting support, and offsite scanning services. Laserfiche digitizes and organizes paper documents, allows users to locate content quickly through a robust search functionality, and brings together digital files from multiple locations into a unified repository. Peelle helped implement and customize Laserfiche for Los Gatos, which has enhanced the efficiency of document storage and retrieval for all Town Departments. Laserfiche has also enabled public access to ordinances, plans, reports, and other documents via the Town website. Laserfiche sells their product through approved, licensed Solution Providers of record. The Solution Provider is responsible to service the accounts listed under their license with Laserfiche. In 2017, Peelle discontinued Solution Provider support of Laserfiche and Laserfiche transferred the Town’s assigned “Solution Provider of record” to ECS Imaging. ECS Imaging, Inc. took over the existing contract via a First Amendment, which expires on January 1, 2020. The First PAGE 2 OF 3 SUBJECT: Authorize the Town Manger to Enter into a Five-Year Agreement wit ECS Imaging, Inc. for Software Maintenance and Support DATE: November 20, 2019 BACKGROUND (continued): Amendment and original Purchase and Service Agreement can be found as Attachment 1 to this report. The Town’s Laserfiche technical support representative also transitioned from Peelle Technologies to ECS Imaging at that time. A letter from Laserfiche indicating that ECS Imaging is the Town’s assigned Solution Provider of record and likely has the best understanding of the Town’s system can be found as Attachment 2 to this report. DISCUSSION: In order to maintain the existing Laserfiche software licenses and services, a new contract is needed with ECS Imaging. ECS is the top Laserfiche Solution Provider in California and has extensive experience and expertise working with many local government municipalities, water districts, etc. throughout the state. The Town Attorney has reviewed and approved ECS as a sole-service provider for all software maintenance and support for Laserfiche products as found in Attachment 3. Solution Provider account services include: additional sales of software, management of version upgrades (typically at no additional charge), and technical support (remote support is also typically at no additional charge). When a higher level of technical support is needed, ECS’s hourly rate for consultants of their level of expertise is at the industry standard. A draft five-year Agreement for Purchase and Service can be found as Attachment 4 to this report. CONCLUSION: Based on ECS Imaging Inc.’s substantial knowledge of the Town’s customized Laserfiche implementation, excellent support history with the Town, position as top Laserfiche Solution Provider in California, competitive pricing, and the fact that switching to a different Laserfiche Solution Provider would be disruptive to Town operations and service delivery, staff recommends that the Town Council authorize the Town Manager to enter into a five-year agreement with ECS Imaging, Inc. for software maintenance and support not to exceed $350,000. COORDINATION: The Finance Department, Town Attorney, Information Technology, and Town Manager’s Office coordinated this report. PAGE 3 OF 3 SUBJECT: Authorize the Town Manger to Enter into a Five-Year Agreement wit ECS Imaging, Inc. for Software Maintenance and Support DATE: November 20, 2019 FISCAL IMPACT: There are sufficient funds available in the Information Technology budget. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachments: 1. First Amendment 17.233 to Purchase and Service Agreement 17.010 for Software Maintenance and Support Services 2. Laserfiche Solution Provider of Record Letter 3. Sole Source Memorandum Approved by Town Attorney 4. Draft Five-Year Purchase and Service Agreement