Title
Consider/Discuss/Act on an Ordinance Amending the Fiscal Year 2021-2022 Annual Budget and Amending the 2022-2026 Capital Improvements Program to Provide Funds for the ERP Implementation Project (IT1007)
Summary
COUNCIL GOAL: Operational Excellence
(2B: Balance available resources to accommodate the growth and maintenance needs of the city)
MEETING DATE: August 16, 2022
DEPARTMENT: Department of Information Technology
CONTACT: Sid Hudson, Chief Information Officer
RECOMMENDED CITY COUNCIL ACTION:
• Approve ordinance
ITEM SUMMARY:
• This is a budget amendment for the Enterprise Resource Planning project in order to allow for additional time and resources for the project. This will allow for a high-quality system design and data conversion.
BACKGROUND INFORMATION:
• The Oracle ERP Cloud Applications is inclusive of ERP (Financials, Procurement, and Projects/Grants) as well as HCM (Core HR, Time, Absence, Payroll, Performance) data objects for conversion from the Naviline application to Oracle Cloud Applications. The project has encountered issues from staffing to data conversion and is being extended to a new go-live date of Summer 2023. This budget amendment is to adjust for the extended time needed to achieve a quality conversion from Navaline to Oracle Cloud.
FINANCIAL SUMMARY:
• This Ordinance amends the Fiscal Year 2021-2022 Annual Budget and the 2022-2026 Capital Improvements Program by transferring $1,000,000 from the General Fund balance, $1,000,000 from the Water/Wastewater Fund balance, $550,000 from the Solid Waste Fund balance, $550,000 from the Insurance/Risk Fund balance, and $900,000 from the Technology Improvement Fund balance and appropriating the funds in the Technology Improvement Fund for the ERP Implementation Project (IT1007) for Sierra Cedar / Premier International Change Order #5.
• With this amendment, the total project budget for the ERP Implementation Project (IT1007) will increase from $11,650,000 to $15,650,000.
• Upon approval of this item and the companion item for Sierra Cedar / Premier International Change Order #5, $2,258,142 will remain in Project IT1007.
BOARD OR COMMISSION RECOMMENDATION:
• N/A