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HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 08/19/2008 - RESOLUTION 2008-073 AUTHORIZING THE EXECUTION OF A ITEM NUMBER: 27 AGENDA ITEM SUMMARY DATE: August 19, 2008 FORT COLLINS CITY COUNCIL STAFF: Brian Janonis Teri Bryant SUBJECT Resolution 2008-073 Authorizing the Execution of an Amendment Extending the Term of an Intergovernmental Agreement Between the City of Fort Collins, the City of Longmont, and Platte River Power Authority Relating to the Operation of a Joint Customer Information System. RECOMMENDATION Staff recommends adoption of the Resolution. FINANCIAL IMPACT Annual operation and maintenance of the joint customer information system for 2008 is estimated to be $355,000. These expenses are paid by Utility funds. EXECUTIVE SUMMARY In January 1998, the cities of Longmont and Fort Collins entered into a 10-year intergovernmental agreement with Platte River Power Authority to purchase and operate a joint customer information system on behalf of the two cities. The amendment to the intergovernmental agreement is necessary to extend the term of the agreement for 2 years. During the additional two year period, the parties intend to consider further amendments to the intergovernmental agreement. BACKGROUND In mid-1997, City staff went through a selection process to acquire a new customer information system. Longmont was also in the process of selecting a new system. Both cities selected the Banner Customer Information System. At that time,Platte River Power Authority,Fort Collins and Longmont conducted an evaluation of a joint customer information system, to be purchased and operated on behalf of the two cities by Platte River. The option was attractive both as a means of reducing costs and providing a superior system. Platte River entered into agreements with SCT Utility Systems, Inc. for the purchase of a Banner Customer Information System and an annual technical support program. Platte River also purchased the system hardware, operating software and hired technical staff to operate and maintain the customer information system at its facility. The intergovernmental agreement specifies that the cities of Fort Collins and Longmont will reimburse Platte River for all costs associated with the August 19, 2008 -2- Item No. 27 purchase and operation of the SCT Banner Customer Information System. Reimbursements for costs associated with the purchase and operation of the customer information system will be based upon the ration of the number of customers each city has to the total number of customers. The current share is Fort Collins—63% and Longmont—37%. Benefits received from the joint customer information system include: • Fort Collins, Longmont, and Platte River will use a single computer, thereby eliminating duplication of computer hardware and associated support staff. • The price of a single computer with increased capacity is less than the cost of three smaller computers purchased separately. • Fort Collins and Longmont do not need computers for their disaster recovery plans,as Platte River provides space on its backup computer. The backup customer information system, with up to the minute data, is available to both cities within one hour if the main system fails. The joint agreement is for the operation and maintenance of the customer service computer system. Each city continues to staff separate customer service offices to provide personalized local service for utility customers. RESOLUTION 2008-073 OF THE COUNCIL OF THE CITY OF FORT COLLINS AUTHORIZING THE EXECUTION OF AN AMENDMENT EXTENDING THE TERM OF AN INTERGOVERNMENTAL AGREEMENT BETWEEN THE CITY OF FORT COLLINS, THE CITY OF LONGMONT, AND PLATTE RIVER POWER AUTHORITY RELATING TO THE OPERATION OF A JOINT CUSTOMER INFORMATION SYSTEM WHEREAS, on August 26, 1988,the City of Fort Collins,the City of Longmont,and Platte River Power Authority ("Platte River") entered into an intergovernmental agreement (the "Agreement") for the purpose of acquiring and operating a joint customer information system at Platte River facilities; and WHEREAS, the Agreement has a ten year term that will expire on August 26, 2008; and WHEREAS, the parties seek to amend the Agreement to extend its term for an additional two-year period during which time further amendments will be considered by the parties; and WHEREAS,in order to set forth the provisions of the amendment allowing for an additional two-year tern, the parties propose entering into a "First Amendment to Customer Information System Intergovernmental Agreement Between the City of Fort Collins,the City of Longmont,and Platte River Power Authority" which is attached hereto as Exhibit A and incorporated herein by reference (the "First Amendment'). NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF FORT COLLINS that the Mayor is hereby authorized to execute, on behalf of the City of Fort Collins the First Amendment in substantially the form as set forth in Exhbit A, attached hereto. Passed and adopted at a regular meeting of the City Council held this 18th day of August A.D. 2008. Mayor ATTEST: City Clerk