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City Council <br />Meeting Minutes <br />February 17, 2015 <br />Page 6 of 20 <br />Council member Loo asked IT Director Neves to identify the municipalities who were <br />asked for references on this software solution. IT Director Neves explained Tyler <br />Technology has two different product lines, MUNIS for Finance and HR and EnerGov <br />for Community Development. He requested references from the IT Directors and teams <br />from the cities of Pueblo and Boulder, Colorado and Bountiful, Utah. He reported <br />receiving favorable references on the software solutions proposed by Tyler <br />Technologies. He noted the City of Boulder has been involved in this process over the <br />last three years. He stressed this will be a challenge for the City staff, but the Directors <br />are ready for the challenge. <br />Council member Loo reported researching on -line for feedback on satisfaction from <br />various municipalities. She stated there were three major news articles regarding Tyler <br />Technologies, which were less than favorable and one of the municipalities was Fort <br />Morgan. She asked if there are provisions in the contract for non - performance. <br />IT Director Neves confirmed there are non - performance provisions built into the <br />contract. There is not a specific damage clause, but there is a clause, which pushes the <br />licensing fee out until the end of the project. He reported hearing positive feedback <br />about Tylers' training and implementation of the software package. He stated Finance <br />and HR are comfortable with MUNIS. For Planning /Community Development there was <br />an in -depth search for the EnerGov references. They received references from Grand <br />Junction, Breckenridge, Boulder and Erie, who recently rolled out EnerGov. He was <br />comfortable the City will be getting the best product for the best price. <br />Council member Leh referenced the annual support and maintenance cost, which total <br />almost $60,000 and requested clarification. IT Manager Neves explained there is an <br />optional database support through Tyler, which everyone one he spoke to urged him to <br />include in the contract. The annual maintenance is $12,854 for the third party <br />maintenance, which is the point of sale unit and the database support for the first year <br />and the $58,000 includes the $12,854. He explained it is typical for software companies <br />to charge anywhere from 15 to 20% fee based on the purchase price. The contract was <br />written not to exceed 3% per year for the first ten years. <br />Council member Leh inquired whether the IT Department anticipates the cost of the <br />support will come down. IT Director Neves stated the amount will come down by <br />$12,000 because the database support will not be needed however the cost of <br />maintenance will still be in the $40,000 range. The closest competitor was New World, <br />but their cost was $250,000 over the Tyler solution and their annual subscription was at <br />almost 40% of the product cost annually. He felt the City is getting the best product for <br />the best price. <br />Mayor Muckle inquired about the number of years the company has been in business <br />and what assurance does the City have they will be around in the next ten years. IT <br />Director Neves stated Tyler has been in business since the late 1980's and has about <br />300 successful installations in the United States. They have purchased the Tyler MUNIS <br />