11-15-05 Item 18South Miami
To: Honorable Mayor, Vice Mayor &
City Commission
From: Maria V. Davis
City Manager
ORDINANCE:
Date: November 15, 2005
Agenda Item # 9
Re: Authorizing the City Manager to
enter into a three year agreement for the
financing and purchase of computer
software upgrades
AN ORDINANCE OF THE MAYOR AND CITY COMMISSION OF THE CITY OF
SOUTH MIAMI, FLORIDA, AUTHORIZING THE CITY MANAGER TO ENTER INTO A
THREE YEAR CONTRACT WITH KOCH FINANCIAL CORPORATION IN THE
AMOUNT OF $97,643.24 IN ORDER TO FINANCE THE PURCHASE OF A CITY -
WIDE COMPUTER SYSTEM SOFTWARE UPGRADE FROM SUNGARD HTE
SOFTWARE AND TECHNOLOGY SOLUTION; CHARGING MONTHLY PAYMENTS IN
THE AMOUNT OF $2,712.31 TO THE MIS MAINTENANCE- INTERNET SOFTWARE
ACCOUNT NUMBER 001.1340.513.4634; PROVIDING FOR SEVERABILITY,
ORDINANCES IN CONFLICT, AND AN EFFECTIVE DATE.
BACKGROUND AND ANALYSIS:
The City is in need of a new and updated computer system software & technology that
Koch Financial Corp, located in Overland Park, KS, has offered to finance for a period
of three years. The proposed upgrade of the City's computer system and technology
has been proposed by our current vendor of ten years, Sungard HTE software and
technology solution, for a total cost of $89,730.00. The amount being financed for the
solution is $89,730.00 at a rate of 5.570 %, resulting in 36 monthly payments of
$2,712.31; the first payment is due January 1, 2006 for a total contract price of
$97,643.24. This is a currently budgeted expenditure for 2005106.
• Our software application is ten years old and is menu driven, which is extremely
slow and requires more training for new personnel.
+ A Needs Assessment performed by HTE indicated that City employees had
requirements that the present software could not fulfill, and that City employees
require more training.
The installation will begin in January 2006 and the training will begin in February 2006.
All Department Directors will be required to meet with appropriate HTE support
personnel at least once a month during this period of training.
HTE has provided excellent training and HTE has allowed the City to request
certain trainers that we have established relationships with and work well with our
personnel.
HTE provides periodic upgrades to all applications, which keeps the applications
up to the state-of-the-art. The cost of the upgrades is included in the annual
maintenance fee.
I'Pff; UM 9 I'MIN VIT191 9211111 tole to 11-7R2 (oil 01 1161TI Lit IZA I a NFM 1590 1561
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• No per seat installation or license fee
• Lower cost to purchase
Less cost to maintain
• Platform compatibility
• Thin-client technology
• Enhanced integration with other graphical applications
• Positioned for evolving technology advances NaviLine Series Architectule
LAW10211,
he monthly payments in the amount of $2,712.31 will be made from the M12
Maintenance-Internet Software account number 001.1340.513.4634 as budgeted in t1i
Fiscal Year 2005106 budget with account balances as follows:
Current Balance $96,161.00
2005106 Appropriation 24,410.79
New Balance $71,750.21
11i 111,111 11 Z a-
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5
6
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9
PASSED AND ADOPTED this day of
ffeMl
C:\Documents and Settings\Aricke\My DocumentsMord Documcnts\OrdinanceHTEUpgirade,doe
KOCH FINANCIAL CORP-00ATIM0
. IUIV
October 18, 2005
Mr. Gremaf Reyes
City of South Miami
greyes@cityofsouthmiami.net
Ms. Holly Thompson
I -- I i I-1 irE inc.
Sungard , T
hthompson@hteinc.com
RE: Financing Proposal for City of South Miami., Florida
Dear Mr. Reyes and Ms. Thompson:
Koch Financial Corporation is pleased to provide this proposal to finance the proposed acquisition of
a Sungard HTE software and technology solution by the City of South Miami, Florida. Our proposed
terms and conditions are as follows:
Lessor: Koch Financial Corporation ("Koch")
Lessee: City of South Miami, Florida (the 'City")
Issue Type: Tax-exempt -installment purchase financing, subject to annual
appropriation
Funding Date: December 1, 2005 (estimated.)
Amount Financed: $89,730
Payments: Monthly payments in arrears
Term: Three (3) years
Interest Rate: 5.57%
Payment: $2,712.31
Total of All Payments: $97,643.24
Prepayment Terms: On any payment date, in whole, but not in part, as per the attached
payment schedule.
Fees or Closing Costs: None. However the City will be responsible for any of its own fees or
expenses or those of any consultants or advisors it may retain. Koch is
willing to finance expenses related to closing the transaction.
Documentation: It is anticipated that the transaction will be documented via an
Installment Purchase Agreement in a form provided by Koch. A sample
of the financing documentation will be provided upon request or may he
viewed on our website at www.kochfinancial.c0m
7600 College Boulevard, eh Floor * Overland Park, Kansas 66210 9 913-693-7956
FAX 913-693-7875 * E-mail: jeff.ray@kochfinancial.com ® Website www.kochfinancial.com
Financing Proposal
Sungard HTE
October 18, 2005
Rate Lock., The interest rate referenced above is proposed as a firm bid for any
funding date through December 11 2005, based upon written acceptance
from the City by no later than November 18, 2005. The interest rate is
subject to indexation thereafter.
• Negotiation • all final financing documents required to the
satisfaction • all parties;
• Verification of eligibility for tax exempt financing; and
• Final underwriting, due diligence and credit approval
Please feel free to call -me at 866-869-0253 with any questions or desired further clarification.
Thank you for the opportunity to present this proposal. We look forward to working with each of you
in the closing of this transaction.
-JM=
Jeffrey K. Ray
Senior Vice Presidel
By: -
Title:.
Date:
7500 College Boulevard, e Floors Overland Park, Kansas 66210 * 913-693-7956
is iii � !!! 0� '
n -AT
Financing Proposal
Sungard
October
Totals: $97,643.24 $7,913.24 $89,730.00 Rate 5.570%
7500 College Boulevard, 5th Floors Overland Park, Kansas 66210 * 913-693-7956
• c •;
Payment
Payment
Purchase
C}tttstanding
Pmt #
Date
Amount
Interest
Principal
Price
Balance
7500 College Boulevard, 5th Floors Overland Park, Kansas 66210 * 913-693-7956
• c •;
12/1/2005
$89,730.00
1
1/1/2006
$2,712.31
$416.50
$2,295.82
$89,182.87
$87,434.18
2
2/1/2006
$2,712.31
$405.84
$2,306.47
$86,830.27
$85,127.71
3
3/1/2006
$2,712.31
$395.13
$2,317.18
$84,466.75
$82,810.53
4
4/1/2006
$2,712.31
$384.38
$2,327.93
$82,092.25
$80,482.60
5
5/1/2006
$2,712.31
$373.57
$2,338.74
$79,706.74
$78,143.86
6
6/1/2006
$2,712.31
$362.72
$2,349.59
$77,310.15
$75,79417
7
7/1/2006
$2,712.31
$351.81
$2,360.50
$74,902.44
$73,433.77
8
8/1/2006
$2,712.31
$340.86
$2,371.46
$72,483.56
$71,062.31
9
9/1/2006
$2,712.31
$329.85
$2,382.46
$70,053.44
$68,679.85
10
10/1/2006
$2,71231
$318.79
$2,393.52
$67,612.05
$66,286.32
11
11/1/2006
$2,71231
$307.68
$2,404.63
$65,159.32
$63,881.69
12
12/1/2006
$2,712.31
$296.52
$2,415.79
$62,695.21
$61,465.89
13
1/1/2007
$2,712.31
$285.30
$2,427.01
$60,219.66
$59,038.89
14
211/2007
$2,71231
$274.04
$2,438.27
$57,732.63
$56,600.61
15
3/1/2007
$2,712.31
$262.72
$2,449.59
$55,234.04
$54,151.02
16
4/1/2007
$2,712.31
$251.35
$2,460.96
$52,723.86
$51,690.06
17
5/1/2007
$2,712.31
$239.93
$2,472.38
$50,202.03
$49,217.68
18
6/1/2007
$2,712.31
$228.45
$2,483.86
$47,668.49
$46,733.82
19
7/1/2007
$2,712.31
$216.92
$2,495.39
$45,123.20
$44,238.43
20
8/1/2007
$2,712.31
$205.34
$2,506.97
$42,566.08
$41,731.46
21
9/1/2007
$2,712.31
$193.70
$2,518.61
$39,997.10
$39,212.85
22
10/1/2007
$2,712.31
$182.01
$2,530.30
$37,416.20
$36,682.55
23
11/1/2007
$2,712.31
$170.27
$2,542.04
$34,82331
$34,140.50
24
12/1/2007
$2,712.31
$158.47
$2,553.84
$32,218.39
$31,586.66
25
1/1/2008
$2,712.31
$146.61
$2,565.70
$29,601.38
$29,020.96
26
2/1/2008
$2,712.31
$134.71
$2,577.61
$26,972.22
$26,443.36
27
3/1/2008
$2,712.31
$122.74
$2,589.57
$24,330.86
$23,853.79
28
4/1/2008
$2,712.31
$110.72
$2,601.59
$21,677.24
$21,252.19
29
5/1/2008
$2,712.31
$98.65
$2,61167
$19,011.30
$18,638.53
30
6/1/2008
$2,712.31
$86.51
$2,625.80
$16,332.98
$16,012.73
31
7/1/2008
$2,712.31
$74.33
$2,637.99
$13,642.24
$13,374.74
32
8/1/2008
$2,712.31
$62.08
$2,650.23
$10,939.00
$10,724.51
33
9/1/2008
$2,71231
$49.78
$2,662.53
$8,223.22
$8,061.98
34
10/1/2008
$2,712.31
$37.42
$2,674.89
$5,494.83
$5,387.09
35
11/1/2008
$2,712.31
$25.01
$2,687.31
$2,753.78
$2,699.78
36
12/1/2008
$2,712.31
$12.53
$2,699.78
-$0.00
-$0.00
7500 College Boulevard, 5th Floors Overland Park, Kansas 66210 * 913-693-7956
• c •;
HTE INC.
SUPPLEMENT TO H.T.E., INC. SOFTWARE LICENSE AND SERVICES AGREEMENT
BY AND BETWEEN SUNGARD HTE INC. AND THE CITY OF SOUTH MIAMI, FL
SCHEDULE A- PRICING AND PAYMENT SCHEDULE
CONTRACT NO. SAM- 20051089
This Supplement is to the HTE- Software Management, Inc. Software License and Services Agreement dated August 28, 1995
(Agreement), between SuuGard HTE Inc. (HTE) and The City of South Miami, FL (Customer). Unless otherwise stated
below, all terms and conditions as stated in the Agreement shall re+*+ai++ in effect.
Designated Machine
Use of the Licensed Program (s) provided in this Supplement on platforms other than specified blow, without written
permission from HTE; may be subject to an upgrade charge.
Type: Model: Serial Number
Operating System: Tape Drive:
SnnGard ATE Licensed
Lase Fees
No. Days of
Tro*g
Tramnit Fees
Implementation
Fee
Annual
Support
NaAbseSdeaPMrgralieu
S 44060.00
$ 6,000.00
S 13,200.00
GMEA -GW
S 7,460.00
ItuWahentalion Fces
000.00
6,000.00
Global Financials - GFJ
Included
Pr "ed
7,200.00
7,200.00
Pmrcbasin -PlJ
4,760.00
14270.00
$ 14 0.00
Accourft Receivable -MRJ
2,550.00
Grand Total
Gash R=ipts - CRJ
Included
$ 0,M60..
$ 14 400
paymnywound -MU
5,080.00
Businmuccns=_Olj
90.00
Cade Fnf i -CFJ
1,880.00
CmtamecIn$n=dWR S -CXJ
7,570.00
l4aft Permits -IiPJ
4 -.00
Laad4larml Mmagmed -LXJ
Included
Work O k,/F - WJ
2 5M
11
$ 13,Z00.0o
$
Document Services -DXJ
No
HEU+8DPtan2
10,000.00
Lieessed Proffamos Sub Total
$ SRAN 00
11
$ 13,2W99
$ 6,00009
S 14,270.00
Dhwount
sou
S=Qwd HTE Licensed Pr am Totals
S 4406000
11
$ 13 00
$ 00000
$1 74 1
Payment Schedule-
Total
Contract
Due Upon
Contract
Eseeutwu
Due As
hwun &
Delivered
Due As
Oherwise rioted
licepw FWs
S 4906tk00
S 44060.00
Thin' Thining Fees
S 13,200.00
$ 13,2N.00
ItuWahentalion Fces
000.00
6,000.00
Pr "ed
7,200.00
7,200.00
Am ml S
14270.00
$ 14 0.00
Grand Total
S f" 73400
$ 00
$ 0,M60..
$ 14 400
APPLICABLE TAKES ARE NOT INCLUDED IN THIS SCHEDULE, AND, IF APPLICABLE, WILL BE ADDED
TO THE AMOUNT IN THE PAYMENT INVOICES) BEING SENT SEPARATELY TO THE CUSTOMER
RPayments:
T "0VNMN07" ABOVE SMLL BEPAYABLEAS FOLLOWS:
License Fees: Upon execution of this Supplement.
Training Fees: On invoice, as incurred.
Implementation Fees: Upon execution of this Supplement.
Project Management Fees: Upon execution of this Supplement.
SunGa d IITE Schedule A SNIIA- 20051089 SuaGard HM Schedule A.doc
Ver. 03123/05 1 of
September 27, 2005
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