Administration - Alison Bong, Deputy Finance Director
Title
Title
Approve 5-Year Software Subscription Agreement with Questica
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Executive Summary
Finance is seeking council approval to enter into a 5-year contract with Questica for budgeting, budget management, and transparency software, which is part of the Minnesota Cooperative Purchasing Venture (CPV).
Background
In 2018, as part of a concentrated effort to gain a AAA credit rating, the city entered into a 5-year contract with OpenGov, a financial transparency and budgeting platform. OpenGov’s contract also includes budget book software by the company Workiva. The contract is set to expire at the end of 2022 and Finance has reviewed several software programs and recommends two complementary software programs to replace OpenGov called ClearGov and Questica.
In June of this year, Finance requested City Manager approval of a one-year annual subscription contract with ClearGov. ClearGov will replace Workiva’s budget book platform, W-Desk, with a robust digital budget book with optional printable PDF. Additionally, the 2022-2023 contract includes a module for capital budgeting, due to the platform’s short implementation period and the increased need for long-range capital planning. The City Manager approved the contract and Finance is implementing the platform. The 2022-2023 contract cost is $21,440 and comprises the module subscription and one-time setup costs of $17,600 and $3,840, respectively. For the 2023-2024 renewal, Finance expects to propose renewing the ClearGov contract for the digital budget book module only, which changes the 2023-2024 costs to $10,815.
Council is asked to approve the attached Software Subscription Agreement with Questica for support and maintenance of the budget planning, management, and financial transparency modules. The product has selected by Blaine staff due to its superior capabilities in budget management, budget planning, and forecasting, in comparison to OpenGov and other comparable platforms.
The software will integrate with the City’s Tyler New World enterprise resource planning platform. This will present clear and current financial information which can be viewed and manipulated by both Blaine staff and residents. The agreement will run from July 22, 2022, through July 22, 2027.
Strategic Plan Relationship
This project aligns with the city’s strategic plan goals of effective communication, financial sustainability, and well-maintained infrastructure.
Board/Commission Review
Not applicable.
Financial Impact
The 2022 costs will be covered through position vacancy savings. 2023-2026 costs will be covered by reallocating the OpenGov budget to ClearGov and Questica. If Blaine renewed the OpenGov contract for 2023 the cost would be $56,635. The 2023 costs for ClearGov and Questica would be $52,526, a savings of $4,109. Other costs include staff time to learn and implement the software; however, overall time savings are anticipated. First year costs include one-time implementation fees and annual fees. The Questica annual fees would be:
2022 - $41,711 + $47,106 (one-time setup costs) = $88,817
2023 - $41,711
2024 - $43,797 (5% increase)
2025 - $45,986 (5% increase)
2026 - $48,286 (5% increase)
Public Outreach/Input
Not applicable.
Staff Recommendation
By motion, authorize the City Manager to execute the attached Software Subscription Agreement with Questica.
Attachment List
Software Subscription Agreement with Questica