HomeMy WebLinkAbout12 Nice Software Procurement 2022 AGENDA ITEM #12
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Public District
MEETING DATE: September 7, 2022
TO: Board of Directors
FROM: Brad Wuest, IT Security and Applications Manager
Scott Crow, IT Director/ CIO
SUBJECT: Consideration of a Support Services Contract with Unisys
APPROVED BY
Brian C. Wright, General Manager
RECOMMENDATION:
Authorize the General Manager to execute an annual contract with Unisys, with an option
to extend two years, for Nice CXone Contact Center software licensing and
implementation for the District in the amount of $1,468.92 monthly including any
necessary usage charges and a onetime Implementation and training cost of$16,615.78.
BACKGROUND:
Currently, the District has an over ten year old Cisco VoIP phone system. The existing
VoIP system is functional, however it requires substantial staff time in managing its many
tools and applications. Further, the current system does not support call recording nor
call center metrics reporting, both common best practices in the customer service call
center industry. Currently, the District uses a legacy tool that does not provide the
functionality or reporting for quality assurance and optimize service to our customers.
ANALYSIS:
The staff has identified the need to procure a contact center solution to better serve our
customers and provide valuable metrics for staff and call recording capabilities. Through
an internal team evaluation process of market leaders, it was unanimously decided that
Nice CXone was the software that best fit the requirements in our evaluation process.
Section 3.08.060 of District Code allows vendors to Joint Purchase with the State of
California and Other Public Agencies. The District was provided an approved Joint
Purchasing NASPO quote from Unisys utilizing NASPO agreement AR2492. This
agreement includes the necessary software and implementation to configure the software
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for the District.
OBJECTIVES & GOALS:
This item is in support of the following goals and objectives:
District Code1.05.020 Objectives:
1. Responsibly serve the public.
3. Provide reliable and high quality network and phone services to the District.
6. Manage the District in an effective, efficient and fiscally responsible manner.
Strategic Goals:
1.4 Develop and implement high standards of customer service.
1.5 Develop and implement high operational standards, procedures, and Codes of
Conduct.
6.1 Utilize modern, cost effective work methods and equipment.
FISCAL IMPACT:
The 2022 Budget included a capital expenditure project for this subject solution in the
amount of $250,000. However, the recommendation involves a Software as a Service
(SaaS) contract, which effectively equates to a monthly expense expenditure
commitment.
The estimated annual cost of this new contract is $17,627, equating to a three year
contract term of$52,881. The total three year commitment, including training/setup costs
is $69,497. The SaaS solution is $180,503 less than the budgeted capital expenditure
over the three years.
Further, assuming the District extend the contract two years (total of five) to mirror a
maximum depreciation life of five years for a software capital purchase, the SaaS solution
has a five year cost of $88,135, which is $161,865 less than the capital expenditure
project budget.
The SaaS recommendation will be an unbudgeted expense of $21,023 in 2022 (install
costs+3 months)and $17,727 in 2023. Expense split equally between Electric and Water,
GL expense account number '/2.9.920.00.483 (IT Licensing, Maintenance, & Support).
In 2022, capital expenditures will be lower by $250,000 due to this recommendation and
depreciation expense (non-cash item) will be lower by $50,000 annually.
ATTACHMENTS:
None
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