TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 4, 2014
COMMITTEE ON Procurement
Mr. David St. Pierre, Executive Director
Title
Issue purchase order and amend an existing an agreement with SAP Public Services, Inc. for annual SAP Software Maintenance, in an amount not to exceed $478,349.24, Account 101-27000-612820 Requisition 1379906
Body
Dear Sir:
Authorization is requested to issue a purchase order and amend an existing agreement with SAP Public Services, Inc. for annual SAP Software Maintenance. This purchase order will expire on June 30, 2015.
SAP Public Services, Inc. is the sole source provider of maintenance for the suite of SAP software products. As the licensor of all SAP products, SAP is directly responsible for providing proprietary patches, bug fixes, software upgrades, security updates, and technical support of the product licenses. The District currently uses the SAP enterprise system for financials, procurement, and human resources, the SAP Portal for the District's website, the SAP Public Budget Formulation and Business Warehouse for preparing and administering the budget, and a number of other smaller SAP solutions. Inasmuch as SAP Public Services, Inc. is the only source of supply for the services required, nothing would be gained by advertising for bids (Section 11.4 of the Purchasing Act).
SAP Public Services, Inc. is registered and in good standing with the State of Illinois.
The Multi-Project Labor Agreement is not applicable due to the specialized nature of the services required.
In view of the foregoing it is recommended that the Director of Procurement and Materials Management be authorized to issue a purchase order and amend an existing agreement with SAP Public Services, Inc. in an amount not to exceed $478,349.24.
Funds are available in Account 101-27000-612820.
Requested, Ellen Barry, Acting Director of Information Technology, EB:RB:rb
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Barbara J. McGowan, Chairman Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 4, 2014