To: HONORABLE MAYOR AND

CITY COUNCIL

From:  Ralph G. Tonseth

Subject:  SEE BELOW

Date:  09-10-03                                          

 

COUNCIL DISTRICT:  City-Wide

 

 

SUBJECT:     APPROVAL OF A FOURTH AMENDMENT AND CONTINUATION AGREEMENT TO THE CONSULTING AGREEMENT WITH BEARINGPOINT, INC. (formerly KPMG CONSULTING, INC.) FOR SERVICES IN CONNECTION WITH THE SELECTION AND IMPLEMENTATION OF AN INTEGRATED AIRPORT ACCOUNTS RECEIVABLE AND PROPERTY MANAGEMENT SYSTEM

 

 

RECOMMENDATION

 

Approval of a Fourth Amendment and Continuation Agreement to the Consultant Agreement with BearingPoint, Inc., for services in connection with the selection and implementation of an Integrated Airport Accounts Receivable and Property Management System, to extend the term of the agreement from June 30, 2003 to June 30, 2004. 

 

 

BACKGROUND

 

Under the authorization of Resolution No. 68294, adopted June 30, 1998, the City entered into an agreement with KPMG LLP to provide consulting services for the development of an Integrated Airport Accounts Receivable and Property Management (AR/PM) System RFP and for project management through system implementation and acceptance at a total cost not to exceed $300,000.

 

On June 22, 1999, Council approved a First Amendment to the Agreement.  The amendment extended the term to June 30, 2000.

 

On June 27, 2000, Council approved a Second Amendment to the Agreement.  This amendment extended the term to June 30, 2001 at no increase in compensation.

 

On January 8, 2002, Council approved a Third Amendment to the Agreement.  This amendment assigned the agreement to KPMG Consulting, Inc., modified the scope of services, revised the hourly rate schedule, revised the Compensation Schedule to reflect the modification to the scope of services and extended the term to June 30, 2003.

 

Effective October 2, 2002, KPMG Consulting, Inc., changed its name to BearingPoint Inc.  This was a change of name only and did not affect any rights or obligations under the existing contract.

 

 

ANALYSIS

 

The agreement requires BearingPoint to provide services for a series of tasks including industry analyses, current Airport and City business process analyses, RFP development and issuance for a software vendor, various presentations and a pre-proposal conference; all which have been completed successfully.  The final obligation currently underway covers system acceptance testing and performance of the software system against the detailed functional and technical requirements.

 

Council approved the selection of a software vendor on October 1, 2002.  The project plan estimates a ‘go-live’ date of November 3, 2003.  Staff anticipates that it will require the consulting services of BearingPoint for an additional twelve (12) month period to complete the project through the final new system acceptance and post-production review and issue resolution. 

 

 

PUBLIC OUTREACH

 

Not applicable

 

 

COORDINATION

 

This memorandum has been coordinated with the City Attorney’s Office, the Planning Department and the Risk Manager’s Office.

 

 

BUDGET REFERENCE

 

This is an extension to the term of the agreement at no additional compensation.

 

 

CEQA

 

Not a Project.

 

 

RALPH G. TONSETH

Director of Aviation

Airport Department