HomeMy WebLinkAboutCity Council Meeting - Council Workshop - Minutes - 04/07/1998 COMMITTEE OF THE WHOLE
April 7, 1998
The regular meeting was called to order at 5:40 p.m. by Council
President Orr. Present: Councilmembers Amodt, Brotherton,
Clark, Epperly, Woods and Yingling (who arrived at 5: 50 p.m. ) ,
Operations Director/Chief of Staff McFall, Police Chief Crawford,
Finance Director Miller, Planning Director Harris, Public Works
Director Wickstrom, Information Services Director Mulholland, and
Employee Services Director Viseth. Approximately 40 people were
in attendance.
Approval of Minutes. Woods moved to approve the minutes of the
meeting of March 3, 1998. Clark seconded and the motion carried.
1998-2000 Technology Plan. McFall explained that this project
has been underway for some time, and that there is a certain
sense of urgency with respect to some software products.
Mulholland noted that there had been some serious network pro-
blems in January, and that the network is not solid nor is it
capable of expanding. She discussed the following strategic
issues: moving to a three year plan cycle rather than a six year
cycle due to the rapidly changing technology and growth in the
city; selecting business software systems which would allow
citizens to use the Internet to deal with the city, and which
would allow for entering information only once whenever possible,
etc. ; obtaining power communication tools including an improved
electronic mail system; improving voice technology such as use of
a touch tone phone to request inspections or getting directions
to major facilities; investing in appropriate training for the
work force in order to maximize the return on the investment.
J. R. Simmons. Chief Operating Office for TMC Group, noted the
City's current system is eleven years old and has experienced
some component failures. He added that the product itself has
been discontinued by the manufacturer and that replacement parts
are difficult to get. He also noted that the system has capacity
problems and lacks key features common to most new telephone
systems which can enhance customer service. Simmons explained
that the new system would replace systems at seven major sites,
and would provide advanced call handling. He noted that a 24-
hour City Hall could be created by providing automated informa-
tion through the phone. He also stated that there would be
centralized features allowing for consistent service to the
public, as well as safety enhancements. He explained that the
process would begin with a needs analysis, followed by an RFP and
proposal, evaluation and implementation.
David Nicksic of the Moss Bay Group noted that they have worked
• with the City since January when they were called on to get the
network up and stable. He stated that the network is wholly
unreliable, that it will not support the planned computing
application, and that it will not support continued city growth.
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. Committee of the Whole April 7, 1998
He pointed out that the network has never been upgraded, and that
there are problems due to the telecommunications infrastructure.
He proposed getting the city back on track by being standards
based, and said that more tools are needed in order to provide
the citizens with high quality customer service.
Mulholland discussed the Year 2000 problem, noting that it is not
a myth and that City business systems will be impacted. She
explained the actions being taken in regard to this, and outlined
which business systems are to be replaced. She explained that
the vendor for the Parks registration system, the payroll system
and financial systems has withdrawn support effective December of
this year. She explained how some of the systems would be
impacted, and outlined steps to be taken in the next three years
as follows:
1998: Build network, implement electronic mail system;
provide PCs, software, and training; begin
selection and implementation of systems not Year
2000 compliant; and replace telephone system.
1999: Year 2000 Systems implementation; conclude PC
upgrades; internal data and voice disaster plan;
Web integration with business systems; select
consultants for Police Technology Plan; and network
fiber integration.
2000: Determine progress on Year 2000; business systems
integration; conclude Police Technology Plan; and
begin budget process for next plan cycle.
Mulholland then explained that business systems represent 33% of
the investment (approximately $4, 000, 000) , the network represents
16% (approximately $2, 000,000) , the PCs, software and updated
e-mail represent 14%, the telephone represents 9% (approximately
$1, 200, 000) and other projects represent 28%. She stated that
the Technology Plan provides an opportunity to build a better
city, asked the Council to commit to investing strategically, and
recommended that they take action.
Finance Director Miller explained that the Comprehensive Plan and
the Facility Plan were adopted last year, that this automation is
included and that funds were set aside. She emphasized that this
will not create any new taxes and noted that funds for operating
staff will come from a portion of the sales tax and from other
funds. She displayed a graph showing debt per capita and noted
that it is the lowest it has been in many years.
. Dick King of Lehman Brothers noted that the plan is to bond for
approximately half of the total amount, or $6,900, 000. He stated
that conditions in the bond market are currently quite favorable,
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• Committee of the Whole April 7, 1998
and that the borrowing cost would probably be about 4.5%. He
said that Council should note an intent to bond, if they believe
they will be issuing bonds for this project at some point, by
passing an Intention to Bond. He explained that that would give
them the ability to spend money now and reimburse it with bond
proceeds.
In response to Brotherton's question regarding business systems
which will not be supported after the end of this year,
Mulholland said the payroll/personnel system is the most complex
and that a decision must be made in two to three months in order
to allow six months for development. Miller noted for Clark that
she had looked at the possibility of lease/purchase but found
that bonding would be best because of the favorable interest
rate, and outlined which items would be covered. Yingling asked
about the significant investment in technology improving produc-
tivity and reducing the need for staff; Mulholland explained that
the human resources and payroll/personnel systems do not replace
paper. Miller added that with the new systems, information is
entered once and electronically forwarded to other departments,
so that although the amount of staff may not be cut, it would be
held down.
• Orr asked about fiber optics, and Mulholland noted that TCI must
provide activities to five facilities by next June. Nicksic
explained about switching from the lease service to fiber when it
becomes available, and noted that all of the equipment can be
reused. Miller noted for Brotherton that the annual payment for
the bonds would be approximately $960, 000, and that only the
interest is paid the first year. McFall noted that citizens will
have the ability to interact with City Hall 24 hours a day, to
register for classes and such things, and that the citizens will
receive services that were not available to them before because
of the advanced technology this plan provides. Clark asked
staff to be watchful for ways to help pay for this technology.
McFall agreed that the plan would probably not reduce staff, but
would allow the City to continue to be efficient and not have to
add staff. Yingling asked about salary levels for technical
staff and how they would be recruited. McFall said people would
be brought in at the top end of the current salary ranges, which
is competitive. He said that the plan also provides for market
analysis and that adjustments will have to be made over time. He
said a marketing plan will have to be developed and that the City
will have to work to retain technical employees.
Amodt asked about bids on this project, and Mulholland explained
that for software projects, there would be a needs analysis, an
. RFP or RFI issued, vendors demonstrations, reference checks, and
so forth. She said for hardware, competitive pricing is obtained
based on technical requirements, and that she will fax informa-
tion on leasing to Council for review. Upon questions from
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Committee of the Whole April 7, 1998
Epperly and Amodt about pricing, Mulholland offered to provide
comparisons.
Orr asked Mulholland to provide her with a list of the seven
sites she mentioned earlier, an estimate of costs for the future,
and costs of upgrading; Mulholland agreed to do so.
Orr thanked the staff for their presentation, and asked
Councilmembers to get any additional questions or concerns to
Mulholland, McFall or Miller soon, so that they can be answered
at the next Council meeting. Mulholland noted the urgency of
this issue, and emphasized her desire to answer Council's
questions. McFall noted for Brotherton that action on the
Intention to Bond can be deferred two weeks if Council is looking
at the potential of moving forward at that time.
Funding Options for Commuter Rail Parking Garage, Orr noted that
only a few minutes remain, and asked if Council would agree to
move this item to Other Business at the regular Council meeting
of this date, in the interest of time. All agreed.
The meeting adjourned at 6:48 p.m.
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Brenda .1 co e , CMC
City Clerk
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