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SR-10-27-2015-3B 101-003-04-09 City Council Report City Council Regular Meeting: October 27, 2015 Agenda Item: 3.B 1 of 6 To: Mayor and City Council From: Karen Ginsberg, Director, Community & Cultural Services Jory Wolf, Chief Information Officer Subject: Software License and Maintenance Services Agreement for Homeless Management Information System (HMIS) Recommended Action Staff recommends that the City Council: 1. Authorize the City Manager to negotiate and execute a fourth modification to Software License and Maintenance Agreement No. 8903-A (CCS) with Bowman Systems, LLC in the amount of $25,000 for software licensing and data hosting of a homeless management information system , resulting in a three year agreement for a total amount not to exceed $266,520. 2. Authorize the City Manager to negotiate and execute a new contract with Bowman Systems, LLC, a Louisiana-based company, for software licensing and data hosting of a homeless management information system for a period of three years in an amount not to exceed $240,000 (including 10% contingency), with two additional one year renewal options in an amount not to exceed $160 ,000 (including 10% contingency), for a total amount not to exceed $400,000 over a five -year period. This is a sole source contract with future years funding contingent upon Council budget approval. Executive Summary Since 2008, Bowman Systems, LLC has been providing software, hosting, licensing, custom programming, and training for the City’s Homeless Management Information System. The current Software License and Maintenance Agreement No. 8903 -A (CCS) contract term will expire on December 31, 2015. The addition of $25,000 to the agreement will maintain services and complete scheduled upgrades through the end of the current contract period. A new contract is being negotiated to update the terms and conditions of continued use of Bowman System’s product , ServicePoint, for data integration, custom programming, inclusion of additional programs, maintenance, and 2 of 6 licensing for the period of January 1, 2016 through December 31, 2018, with two one - year options to renew. Background In 1995, the City of Santa Monica installed a computerized network for homeless service agencies to track client demographics, services, and outcomes. In 2006, the Urban Institute conducted an evaluation of Santa Monica’s homeless Continuum of Care and recommended the purchase of an updated Homeless Management Information System (HMIS) compliant with U.S. Department of Housing and Urban Development (HUD) data standards. The purchase of an updated HMIS is also an element of the City’s Action Plan to Address Homelessness in Santa Monica adopted by the City Council in February 2008. In December 2007, the City released a Request for Proposals (RFP) to provide HMIS software licensing and data hosting. The RFP was sent to 24 vendors, posted on one national HMIS job board, and advertised in the Santa Monica Daily Press in accordance with City Charter and Municipal Code provisions. Seven proposals were submitted in response to the RFP, and Bowman Systems, LLC, was selected based on price; the quality of the software product; the ability, capacity, and skill of the vendor to provide the HMIS software; the character, integrity, reputation, judgment, training, experience, and efficiency of the vendor; and the vendor’s client base of over 120 HMIS customers nationwide, including “best practice” agencies. On March 25, 2008 (Attachment A), Council authorized an agreement with Bowman Systems, LLC. Agreement #8903 was executed on December 10, 2008, in the amount of $120,770 with two additional one year renewal options in the amount of $44,760 per year to implement HMIS and to provide software licensing and data hosting of an HMIS compliant with HUD standards allowing for better data collection, analysis and program evaluation, and planning. On February 24, 2009 (Attachment B), Council approved the modification of the Agreement 8903 with Bowman Systems, LLC, in the amount of $28,500 to cover costs 3 of 6 for data migration and integration. While these costs had been anticipated at the time the original contract was executed, the pricing and scope of work could not be determined until the system was designed and implemented. In September 2009 (Attachment C), the City implemented the new HMIS, ServicePoint, and added key City initiatives into HMIS: Service Registry, Homeless Community Court, and Project Homecoming. Council approved the modification of the agreement with Bowman Systems, LLC, in the amount of $20,000 on September 22, 2009 to cover costs for on-site training and day-to-day project oversight due to a vacancy in the HMIS System Administrator position. On November 22, 2011 (Attachment D), Council approved the modification of the agreement with Bowman Systems, LLC, in the amount of $94,760, which includes $44,760 for the first renewal option, to cover costs associated with maintenance, licensing, data integration, and the expansion of ServicePoint to include over 190 programs and 178 users. Due to delays in negotiating the contract with Bowman Systems, LLC, Agreement No. 8903 (CCS) expired on December 9, 2011. The City entered into the Software License and Maintenance Agreement No. 8903-A (CCS) on May 15, 2012, for the period of December 10, 2011 through December 31, 2012. On November 13, 2012 (Attachment E), Council authorized a contract modification. The contract modification was executed on December 31, 2012, which extended the term through June 30, 2015 for a total not to exceed amount of $241,520. In June 2015, a second modification was executed to extend the term through September 30, 2015. In August 2015, a third modification was executed to extend the term through December 31, 2015, to allow sufficient time to negotiate with the vendor. The current modification will add $25,000 to provide on -going system maintenance and custom programming to complete a system upgrade implemented earlier this year. Since 2008, the system has grown from 155 users to nearly 250 users today. The aggregate total amount paid to Bowman Systems for the development, implementation, maintenance and licensing services through September 30, 2015, has been 4 of 6 $457,258.16. Discussion ServicePoint is a data management software that stores data for human services programs. It is used to collect a variety of demographic, social, financial, behavioral, health and housing history about each individual and household served by participating social service programs. ServicePoint also stores information on specific services provided, case notes and outcomes. The collected data be used in dozens of pre- programmed reports as well as for customized reports. This centralized data is shared across all ServicePoint participating agencies, providing users a holistic view of an individual’s history, needs, accomplishments and challenges, regardless of which agency they visit over time. Analyzing the data in ServicePoint offers a “map” of a participant’s service history, and can be aggregated to identify emerging needs, gaps in services and effective programs. ServicePoint is in its seventh year of operations, and agencies continue to add programs to the system. The increased use of ServicePoint benefits the City by presenting a holistic view of services being provided within the City. This data is critical in establishing the City’s capacity for services as well as to inform and influence regional policies regarding resource allocation and local responsibility. In addition, recently enacted federal regulations require increased participation of programs and performance outcomes tracking in HMIS. In addition, the successful importing of data from the City’s HMIS into the Los Angeles Con tinuum of Care regional HMIS has enhanced the City’s participation in regional planning efforts. Staff is currently in the process of conducting a data needs assessment that encompasses all Human Services Grants Program (HSGP) grantee agencies, as well as youth development programs operated by the City. The assessment may recommend additional build-outs of HMIS to include other special populations, or include ways to consolidate existing data sources into HMIS or a central data warehouse. Staff expect that HMIS will continue to expand and add new users and programs over the next contract period. A small contingency is included in the proposed 5 of 6 not-to-exceed amount, however, significant expansion of HMIS may require additional contract modifications and additional investment. Vendor Selection Section 2.24.080 (d) of the Municipal Code allows for exception to the competitive process when competition does not exist because only one vendor possesses the unique ability or capability to meet the particular requirements of the solicitation, such as a good or service that is otherwise only available from the one provider. Staff recommends Bowman Systems, LLC to provide homeless management information system (HMIS) software and maintenance on a sole source basis. Bowman Systems is the proprietary owner of ServicePoint, the software system selected by the City through competitive bid in 2007. Continued use of the ServicePoint system is paramount to the City’s ability to manage City-funded homeless programs, monitor program outcomes and track the usage of key services by participants. While other software systems exist, changing vendors would require significant investments of time and resources to select a new system, transfer tens of thousands of participant records, train 250 users on a new system and recreate dozens of currently automated reports. ServicePoint is highly regarded by agency users and is preferred by local agencies over the Los Angeles Continuum of Care HMIS software. A change of systems is neither recommended nor desired by local agencies or City staff. Financial Impacts & Budget Actions The contract modification to be awarded to Bowman Systems, LLC is $2 5,000, for an amended contract total not to exceed $26 6,520. Funds are available in the FY 2015-16 budget in the Human Services Division and will be charged to account 012628.544390. The new contract to be negotiated with Bowman Systems, LLC, is not to exceed $80,000 annually, for a not to exceed amount of $240,000 for a three -year period with two additional one-year renewal options for a total not to exceed of $400,000. Funds in the amount of $40,000 are available in the FY 2015 -16 budget in the Human Services Division. The contract will be charged to account 012628.544390. 6 of 6 Budget authority for subsequent years will be requested in each budget cycle for Council approval. Future funding is contingent upon Council approval. Prepared By: Margaret Willis, Administrator Approved Forwarded to Council Attachments: A. March 25, 2008 Staff Report (Web Link) B. February 24, 2009 Staff Report (Web Link) C. September 22, 2009 Staff Report (Web Link) D. November 22, 2011 Staff Report (Web Link) E. November 13, 2012 Staff Report (Web Link)     Reference:    Modified Agreement No. 8093   (CCS)  &  Contract No. 10205  (CCS)