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HomeMy WebLinkAboutResolutions - 1998.02.12 - 25355a. February 12, 1998 MISCELLANEOUS RESOLUTION #98018 BY: STRATEGIC PLANNING COMMITTEE, DENNIS POWERS, CHAIRPERSON IN RE: DEPARTMENT OF INFORMATION TECHNOLOGY - PURCHASE SERVICES TO COMPLY WITH YEAR 2000 REQUIREMENTS (PHASE I/) TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: WHEREAS, by Misc. Resolution #97047 (March 6, 1997), the Board of Commissioners authorized the Department of Information Technology (DIT) to acquire a Professional Services Contract for purposes of implementing Phase I of the Year 2000 Compliance Project; and WHEREAS, included in the same resolution, DIT was required to report back the results of Phase I to the Strategic Planning Committee before requesting additional authorization to proceed with Phase II; and WHEREAS the attached report outlines the results of Phase I, including the experience with Compuware Corp., and a recommended multi-faceted approach to ensure successful completion of the project within the next eighteen months; and WHEREAS, based on experience gained in Phase I, Compuware has submitted an initial estimate of $7.6 million to complete Phase II, including the conversion of 26 applications, 3,275 programs and 6.9 million expanded lines of code; and WHEREAS, although the County has negotiated a one million dollar reduction from the initial estimate of $7.6 million based on net lines of code, the Information Technology Department has developed its own estimate of $4.6 million based on actual experience in converting the Campaign Finance System, Reimbursement System, and the District Court System; and WHEREAS the recommended multi-faceted approach entails the utilization of several vendors, rather than a single vendor, in conjunction with Information Technology manpower resources allocated in the 1998/99 IT Master Plan, to accomplish the Year 2000 conversion process in the most economical manner; and WHEREAS, under the proposed approach, the volume of business allocated to each vendor currently under contract would depend upon that vendor's ability to successfully complete previously assigned Year 2000 conversion tasks, therebK leveraging the benefits of a competitive environment; and WHEREAS the 1998/99 IT Master Plan includes 14,500 hours of system analyst/programmer time allocated to Year 2000 conversion activities, equivalent to $1,232,500, the remaining portion of estimated project cost (40,000 hours/$3.4 million) is proposed to be allocated to several vendors currently under contract with the IT Department; and WHEREAS, with adoption of the 1997 Year-End Closing Resolution, the Board of Commissioners established a Fund Balance Designation of $2.5 million for Year 2000 Conversion expenses in 1998, leaving $900,000 to be absorbed by the FY1999 IT Professional Services budget; and WHEREAS the County Executive recommends adoption of the proposed approach as the most economical in achieving Year 2000 Compliance requirements. NOW THEREFORE BE IT RESOLVED that the Oakland County Board of Commissioners approves adoption of the Administrations recommended multi- faceted approach to achieving Year 2000 Compliance requirements in the most economical manner for the Department of Information Technology, specifically. that the 54,500 estimated hours ($4,632,500) necessary to complete the project be distributed as follows: Total 54.500 S4,632.500 Description Hours Amount IT 1998/99 Master Plan 14,500 $1,232,500 Outside Vendors - (1997 Year End Designated Fund Balance) 29,400 2,500,000 Outside Vendors - (1999 IT Professional Services Budget) 10,600 900.000 Chairperson, on behalf of the Strategic Planning Committee, I move adoption of the foregoing resolution. STRATEGIC PLANNING COMMITTEE eowto FISCAL NOTE (Misc. 98018) February 12, 1998 BY: FINANCE COMMITTEE, SUE ANN DOUGLAS, CHAIRPERSON IN RE: DEPARTMENT OF INFORMATION TECHNOLOGY - PURCHASE SERVICES TO COMPLY WITH YEAR 2000 REQUIREMENTS (PHASE II) TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS Chairperson, Ladies and Gentlemen: Pursuant to Rule XII-F of this Board, the Finance Committee has reviewed the above referenced resolution and finds: 1. The Department of Information Technology recommends a multi-faceted approach to bring the County's information systems into compliance with the year 2000 which includes the use of 14,500 hours of in- house system analyst/programmer time during FY 1998 and 40,000 hours of outside vendor time (29,400 in FY 1998 and 10,600 in FY 1999). 2. The volume of business (of the 40,000 hours) allocated to each vendor currently under contract, will depend upon the vendor's ability to successfully complete previous Year 2000 projects. 3. Funding to cover the 14,500 of in-house system analyst/programmer time, amounting to $1,232,500 for FY 1998, has been included in the FY 1998 Information Technology budget, no additional appropriation is required. 4. Funding to cover the 29,400 hours needed in outside vendor hours during FY 1998, amounting to $2,500,000, can be transferred from the Designated Fund Balance for Year 2000 Conversion, which was created with the FY 1997 Year End Report. 5. Funding to cover the 10,600 hours needed in outside vendor hours during FY 1999, amounting to $900,000, will be absorbed by the Information Technology fund balance and will be included in the rate calculations for FY 1999. 6. The FY 1998 and FY 1999 Budget be amended as follows: FY 1998 FY 1999 INFORMATION TECHNOLOGY FUND Revenue 18-636113-10000-1701 Operating Transfer - In Expenditures 18-636122-15000-3348 Professional Services 18-636113-10000-8005 Changes in Fund Equity GENERAL FUND Revenue 90-190000-14000-1582 Expenditures 18-101113-10000-8001 Prior Years Balance Operating Trans.- Out $2,500,000 $ 0 $2.500,000 $ 0 0 $ 0, $2,500,000 $ $2,500,000 $ 900,000 0 (900,000) 0 $ 0 $ 0 FINANCE COMMITTEE At. *S. E THE FOREGOING RESOLUTION L Brook(atterson. County Executive Date Resolution #98018 February 12, 1998 Moved by Powers supported by Devine the resolution be adopted. AYES: Jensen, Johnson, Kaczmar, Kingzett, Law, McCulloch, McPherson, Millard, Moffitt, Obrecht, Powers, Schmid, Taub, Wolf, Amos, Coleman, Devine, Douglas, Fracassi, Garfield, Holbert, Huntoon, Jacobs. (23) NAYS: None. (0) A sufficient majority having voted therefor, the resolution was adopted. STATE OF MICHIGAN) COUNTY OF OAKLAND) I, Lynn D. Allen, Clerk of the County of Oakland, do hereby certify that the foregoing resolution is a true and accurate copy of a resolution adopted by the Oakland County Board of Commissioners on February 12, 1998 with the original record thereof now remaining in my office. In Testimony Whereof, I have hereunto set my hand and affixed the seal of the County of Oakland at Pontiac, Michigan this 12th day c'ebruy, 1998. Lynn D. Allen, County Clerk