Title
The Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 2 to DWSD Contract 6002028 with City Insight, LLC to provide support and maintenance for the DWSD Customer Payment Portal; by adding $2,400,000.00, for a new total amended contract amount not-to-exceed $4,070,860.00 and extending the term 5 year for a new term ending 6/30/29. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
Body
Agenda of June 18, 2024
Item No. 2024-108
Proposed Amendment No. 2
Contract No.: 6002028
Contractor: City Insight, LLC
Contractors Address: 607 SHELBY ST STE 700 PMB 243 DETROIT, MI 48226
Current Contract Amount: $1,670,860.00
Proposed Amendment No. 2 Amount: $2,400,000.00
Proposed New Total Contract Amount: $4,070,860.00
Current Contract Term: 5/14/19 - 3/31/24
Proposed Amendment No. 2 Extension: 4/1/24 - 6/30/29 (5 years)
Proposed New Contract Term: 5/14/19 - 6/30/29
TO: The Honorable
Board of Water Commissioners
City of Detroit, Michigan
FROM: Gary Brown, Director
Water and Sewerage Department
RE: Proposed Amendment No. 2 to DWSD Contract 6002028
Support and Maintenance for the DWSD Customer Payment Portal
City Insight, LLC
MOTION
Upon recommendation of Marqaicha Welch, Procurement Manager, the Board of Water Commissioners for the City of Detroit, Water and Sewerage Department authorizes the Director to approve Amendment No. 2 to DWSD Contract 6002028 with City Insight, LLC to provide support and maintenance for the DWSD Customer Payment Portal; by adding $2,400,000.00, for a new total amended contract amount not-to-exceed $4,070,860.00 and extending the term 5 year for a new term ending 6/30/29. This also authorizes the Director to take such other action as may be necessary to accomplish the intent of this vote.
BACKGROUND / JUSTIFICATION
DWSD has been redefined as a customer service agency focused on transitioning to deliver continuous improvements and high-quality service to our retail water customers. In 2017, a cornerstone of the strategy to achieve the service level performance required was to leverage a Detroit-based startup to help DWSD deliver high quality and easy to use services for our customers via the DWSD’s retail customer service portal.
Since launching on August 27, 2017, the DWSD Customer Self-Service Portal, provided by City Insight, LLC, has established itself as one of the most convenient channels for DWSD’s customers to process transactions with the department. The portal is a critical and essential component in DWSD’s overall strategy. DWSD has sought to offer additional features to enhance customer experience via the DWSD customer payment portal. The changes that were implemented along with customers’ habits, both indicate that the portal can reasonably be expected to facilitate over $100 million in payments annually.
The agreement established City Insight as DWSD’s portal provider. The agreement provides Annual Technical Support Services, including software licensing, system hosting, security services, Enhanced customer notifications (email, SMS, and smart home technology), a $365,430 investment in new features and improvements and an as-needed contingency of $50,000 annually for unplanned improvements.
This proposed Amendment No. 2 is requesting to add an additional $2,400,000, which will provide $480k/year for 5 years for annual operations and maintenance.
PROCUREMENT METHOD
The Contract was created as a single source, with an approved Exception to Competitive solicitation, due to City Insight being the proprietary software package designed and sold exclusively by City Insight. The Exception to Competitive Solicitation was approved on 3/26/19 by Director Brown.
The Contract was created to build upon and enhance the original portal infrastructure and optimize performance with minimal time and cost to DWSD. City Insight has provided quality performance and services to DWSD as a partner in improving services within Detroit, as well as being the most cost effective option for DWSD.
Amendment 1 was initiated through requisition 508097 and approved by Budget on 7/24/23. Amendment 1 added $215,430.00 for a new contract not-to- exceed amount of $1,455,430.00. The amended contract helped to provide time for the on-going maintenance and support along with the current invoice balance.
This Proposed Amendment No. 2 was initiated through requisition #520257 and approved by Budget on 5/14/24. The DWSD IT Department is requesting to add an additional $2,400,000.00 for an amended total contract amount not-to-exceed $4,070,860.00 and extend the term by 5 years for a new contract term ending 6/30/29, for annual operations and maintenance.
City Insight’s clearances expire 3/18/25. A formal amended contract document has been sent to the vendor for signature.
SUMMARY
A. Contract No.: 6002028
B. Initial Contract Amount: $1,455,430.00
C. Amendment No. 1 Amount: $215,430.00
D. Proposed Amendment No. 2 Amount: $2,400,000.00
E. Proposed New Total Contract Amount: $4,070,860.00
F. Initial Contract Term: 05/14/19 - 03/31/24
G. Proposed Amendment No. 2 Extension: 04/01/24 - 06/30/29
H. Proposed New Contract Term: 05/14/19 - 06/30/29
I. Funding Source: O&M Funds
J. GL String(s):
5720-20168-483301-622302-000205-10790-0000-00000 - 38.2% Water
5820-20179-493301-622302-000226-15805-0000-00000 - 61.8% Sewer
K. Projected Fiscal Year (FY) Contract Expenditures:
FY 24-25 $480,000
FY 25-26 $480,000
FY 26-27 $480,000
FY 27-28 $480,000
FY 28-29 $480,000
This proposed amendment was presented to the BOWC Finance Committee on June 5, 2024. Per DWSD procurement protocol, and past precedence, no further approvals are required.