HomeMy WebLinkAboutCOUNCIL - AGENDA ITEM - 04/03/2018 - FIRST READING OF ORDINANCE NO. 049, 2018, APPROPRIAgenda Item 8
Item # 8 Page 1
AGENDA ITEM SUMMARY April 3, 2018
City Council
STAFF
Lisa Rosintoski, Utilities Customer Connections Manager
Lance Smith, Utilities Strategic Finance Director
Cyril Vidergar, Legal
SUBJECT
First Reading of Ordinance No. 049, 2018, Appropriating Prior Year Reserves in the Utility Customer Service
and Administration Fund for Cyber Security and System Enhancements for the Utilities Customer Information
System.
EXECUTIVE SUMMARY
The purpose of this item is to fund security improvements identified in a 2017 assessment of the Utilities
customer information system. This system is the Utilities’ primary tool for processing about $200 million in
revenue annually, and it supports multiple critical integrated systems that Utilities relies on for daily operations
in the delivery of accurate billing. Given the expected lifespan of the system, it is crucial that it is protected and
supported until such time as a new billing system is implemented.
STAFF RECOMMENDATION
Staff recommends adoption of the Ordinance on First Reading.
BACKGROUND / DISCUSSION
Specifics on security vulnerabilities, designs, and remedial measures are not discussed in this AIS and are not
treated as public records under the Colorado Open Records Act. Information on these topics can nevertheless
be provided to Council in confidential follow-up communications, as may be requested by Council. Enhancing
the cybersecurity protection of the utility customer information system will enable accurate recordkeeping and
benefit all ratepayers.
CITY FINANCIAL IMPACTS
Based on the 2017 assessment figures, the cost of implementing the recommended system enhancements is
estimated to be $111,000, plus $13,300 in annual maintenance and $50,000 in annual staff support. The total
amount requested in this appropriation is $149,300, which includes six months of support staff costs for the
first year.
As of December 31, 2016, the Utilities Customer Service & Administration fund had $1.4M in available
reserves. Reserves decreased slightly as of the end of 2017. There remains enough available reserves to fund
this appropriation of $149,300 in 2018. Ongoing maintenance and support costs of $63,300 will be funded by
ongoing revenues from the four Utilities enterprise funds starting in 2019.
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ORDINANCE NO. 049, 2018
OF THE COUNCIL OF THE CITY OF FORT COLLINS
APPROPRIATING PRIOR YEAR RESERVES IN THE UTILITY CUSTOMER
SERVICE AND ADMINISTRATION FUND FOR CYBER SECURITY AND SYSTEM
ENHANCEMENTS FOR THE UTILITIES CUSTOMER INFORMATION SYSTEM
WHEREAS, the purpose of this item is to appropriate $149,300 from Utilities Customer
Service and Administration Fund Reserves to enhance cybersecurity protection for the Utilities
customer information and billing system (CIS) and improve lifecycle support the system; and
WHEREAS, these funds are needed to proactively address potential security
vulnerabilities and enhance system operations, and guarantee continued accurate billing and
recordkeeping within CIS, as well as avoid costs associated with manual recordkeeping,
account processing, and reactionary installation delays; and
WHEREAS, Article V, Section 9 of the City Charter permits the City Council to
appropriate by ordinance at any time during the fiscal year such funds for expenditure as may be
available from reserves accumulated in prior years, notwithstanding that such reserves were not
previously appropriated; and
WHEREAS, the Financial Officer has determined that the appropriations as described
herein are available and previously unappropriated in the Utility Customer Service and
Administration Fund; and
WHEREAS, the City Council has determined funding system enhancements for the
Utilities customer information system is needed to guarantee continued accurate and protected
service billing operations and thereby serves a utility purpose beneficial to the ratepayers of each
utility.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
FORT COLLINS as follows:
Section 1. That the City Council hereby makes and adopts the determinations and
findings contained in the recitals set forth above.
Section 2. That there is hereby appropriated for expenditure from prior year reserves
in the Utility Customer Service and Administration Fund the sum of ONE HUNDRED FORTY-
NINE THOUSAND THREE HUNDRED DOLLARS ($149,300) to address potential
cybersecurity vulnerabilities and lifecycle maintenance issues in the Utilities Customer
Information System.
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Introduced, considered favorably on first reading, and ordered published this 3rd day of
April, A.D. 2018, and to be presented for final passage on the 17th day of April, A.D. 2018.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk
Passed and adopted on final reading on the 17th day of April, A.D. 2018.
__________________________________
Mayor
ATTEST:
_______________________________
City Clerk