HomeMy WebLinkAbout2020 07.06 City Council Regular Agenda 04 �,?ACHf� City of Apache Junction, Arizona Meeting location:
+� City Council Chambers
1U Z at City Hall
Agenda 300 E.Superstition Blvd.
\gilONr Apache Junction,AZ
- City Council Work Session 85119
apachejunctionaz.gov
Ph:(480)982-8002
Monday,July 6,2020 7:00 PM City Council Chambers
A. CALL TO ORDER
B. ROLL CALL
C. AGENDA ITEMS
1. 20-319 Update and discussion on the Munis financial software system and the
proposed Second Amendment to the City contract with Tyler
Technologies, Inc. to add the following software modules at an annual
maintenance cost of$20,680 for Phase 11 of the project: human
resources, payroll with employee self-service, vendor self-service and
bids with contracts. A one time implementation fee of$82,740 in
addition to $21,920 in travel, if travel were to resume, will be incurred
and billed as needed with City's consent.
Sponsors: Anna McCray
Attachments: Staff Memo
Software and Service Agreement
2. 20-316 Discussion and update on the qualified use of pandemic-related
expenditure grant funding recently made available through the
Coronavirus Aid, Relief and Economic Security ("CARES")Act
(signed into law by President Trump on March 27, 2020 under Pub. L.
116-136).
Sponsors: Jeff Serdy
Attachments: AZ CARES Fund Update
3. 20-318 Discussion on temporary authorization for the Pinal County Sheriff's
Office to respond to any noise complaints relating to bull riding nights
(Thursdays and Saturdays from 8-10PM)taking place at the Hitching
Post Saloon located at 2341 N. Apache Trail. Representatives from
the Apache Junction Police Department and the Pinal County Sheriffs
Department will be available for questions.
Sponsors: Gail Evans
City of Apache Junction,Arizona Page 1 Printed on 6/16/2026
City Council Work Session Agenda July 6,2020
D. ADJOURNMENT
Copies of this agenda and additional information on any of the items listed above may be obtained from
the City Clerk's office located at 300 E Superstition Blvd,Apache Junction,AZ 85119, Monday through
Thursday from 7:00a-6:00p, excluding holidays.
The City of Apache Junction invites and welcomes people of all abilities to use our programs, sites and
facilities. Specific requests may be made by contacting the Human Resources Office at(480)474-2617
or TDD(480) 983-0095.
The Apache Junction City Council may vote to go into Executive Session for legal advice on any item
listed on this agenda pursuant to A.R.S. §38-431.03(A)(3);this notice is given pursuant to A.R.S. §
38-431.02 to the members of the City Council and the public.
City of Apache Junction,Arizona Page 2 Printed on 6/16/2026
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
o Agenda Item Cover Sheet Apache Junction,AZ
U =i 85119
Agenda Item No. 1.
Piz File ID: 20-319
Sponsor: Anna McCray Agenda Date: 7/6/2020
Index: In Control: City Council Work Session
Update and discussion on the Munis financial software system and the proposed Second
Amendment to the City contract with Tyler Technologies, Inc. to add the following software
modules at an annual maintenance cost of$20,680 for Phase II of the project: human
resources, payroll with employee self-service, vendor self-service and bids with contracts. A
one time implementation fee of$82,740 in addition to $21,920 in travel, if travel were to resume,
will be incurred and billed as needed with City's consent.
City of Apache Junction,Arizona Page 1 Printed on 6/16/2026
City of Apache Junction
I� 300 East Superstition Boulevard • Apache Junction, Arizona 85119 •www.ajcity.net
DATE: June 29, 2020
TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS
THROUGH: BRYANT POWELL, CITY MANAGER
MATT BUSBY, ASSISTANT CITY MANAGER
FROM: ANNA MCCRAY, ASSISTANT TO THE CITY MANAGER
RE: MUNIS FINANCIAL MANAGEMENT SOFTWARE AND ENTERPRISE
RESOURCE PLANNING (ERP) SYSTEM —SECOND AMENDMENT TO CITY'S
AGREEMENT WITH TYLER TECHNOLOGIES, INC.
In August of 2018, the city entered into a contract with Tyler Technologies, Inc. for the Munis
financial management software system. In December of 2018 a first amendment to this contract
was completed administratively as it did not add dollars to the existing contract; simply
converted unused dollars that had been planned for data conversion and reallocated them to
additional implementation consultant hours.
On July 1, 2020 the city went live with the new software. The Munis financial software has
brought the city a modern, centralized financial management software that is improving
efficiencies such as providing department access to real-time financial data, automating
processes, and eliminating paper and duplicative processes.
City staff is proposing a Phase II through a second amendment to the contract with Tyler
Technologies, Inc. for additional Munis software modules that would include:
1) Human Resources
2) Payroll with Employee Self-service
3) Employee Expense Reimbursement
4) Vendor Self-service
5) Bids Management
6) Contract Management
These modules would take the place of current separate systems being used in the city and
consolidate them into the Munis ERP system. Like the Munis financial modules, these would also
be supported through the Software as a Service (SaaS) which is housed via a remote data center
that offers the city a high level of redundancy and security.
The city will be using a cooperative Mohave Contract (Contract No. 17D-TYL-0525) for these
additional modules. The one-time estimated implementation fee with data conversion is
$82,740 which is included in the FY21 tentative budget. The $82,740 does not include travel
fees IF travel were to resume. We anticipate most sessions to take place via remote options
such as gotomeeting. The annual maintenance and support fee is $20,680.
Home of the Superstition Mountains
SECOND AMENDMENT TO SOFTWARE AS A SERVICE AND
IMPLEMENTATION SERVICES AGREEMENT BETWEEN CITY OF
APACHE JUNCTION AND TYLER TECHNOLOGIES
THIS AMENDMENT is made and entered Into this day of ,
20 . ("the Execution Date") by and between the CITY OF APACHE
JUNCTION, ARIZONA, an Arizona municipal corporation ("City"), and TYLER
TECHNOLOGIES, INC., a Delaware corporation("Tyler"), sometimes collectively
referred to as the "Parties"or individually as the"Party".
RECITALS
A. On August 20, 2018, the Parties entered Into a Software as a Service
("SaaS") Agreement which included maintenance and support of the City's
Enterprise Resource Planning System ("ERP"), commonly referred to as Munis
financial operations, (the "Agreement").
B. On December 6, 2018, City and Tyler executed an amendment (the
"First Amendment") to the Agreement which reallocated data conversion
expenses to additional implementation consultant assistance on the financials
segment.
C. City now desires to add six (6)additional SaaS modules and associated
Implementation/conversion services to be performed by Tyler in Phase 11.
AGREEMENT
NOW, THEREFORE, in consideration of mutual promises contained herein
and other good and valuable consideration, the receipt and adequacy of which
Is hereby acknowledged, the Parties agree to amend the August 20, 2018,
Agreement as follows:
A. Exhibit E, Scope of Work, Section 1.2 and Exhibit A, Investment
Summary, will be amended to include the SaaS services,
Implementation/conversion services, and estimated travel expenses set forth in
the sales quotation attached hereto as Exhibit 1. The annual SaaS fees payable
under the Agreement shall be increased in the amount of$20,680, for the Tyler
Software added herein. The first year's annual SaaS Fees shall be invoiced on
September 1, 2020 for the period September 1, 2020 through August 31, 2021.
Subsequent SaaS Fees shall be invoiced in accord with the terms of the
Agreement.
B. Unless otherwise provided herein, services identified at Exhibit 1 and
added to the Agreement pursuant to this Amendment (not to exceed $82,740
without Client's prior written approval), along with applicable expenses
(estimated at$21,920), shall be invoiced as provided and/or incurred.
C. Except as expressly amended herein, all other terms and provisions of
the Agreement executed by the Parties on or about August 20, 2018, shall
remain in full force and effect until the Agreement is terminated.
IN WITNESS WHEREOF, the Parties have caused this Amendment to be
signed by their duly authorized representatives as of the day and year first
above written.
CONSULTANT:
TYLER TECHNOLOGIES, Inc., a Delaware
corporation
6130120
By: Christo er P. He b rrf _
Its: President. Enterprise Group
CITY:
CITY OF APACHE JUNCTION, ARIZONA,
an Arizona municipal corporation
By: Jeff Serdy
Its: Mayor
ATTEST:
Jennifer Pef'ia
City Clerk
APPROVED AS TO FORM:
(0 00 -20
R.Joel Stern
City Attorney
2
STATE OF_Maine )
)88.
COUNTY OF_Cumberland)
The foregoing was subscribed and sworn to before me this_30_day
of June_, 2020, by Christopher P. Hepburn_as _President, Enterprise Group_
of Tyler Technologies, Inc., a Delaware corporation.
License Notary Public/A r at Law
My Commission Expires:
3 I Zv�O
ME Bar ID#009461
STATE OF ARIZONA )
) ss.
COUNTY OF PINAL )
The foregoing was subscribed and sworn to before me this
day of , 20_, by Jeff Serdy, as Mayor of the City of Apache
Junction,Arizona, an Arizona municipal corporation.
Notary Public
My Commission Expires:
3
EXHIBIT 1
.0 Quoted By: Jennifer wahlbrink
tyler
. ' Date: 6/10/2020
teanologies Quote Expiration: 9/1312020
Quote Name: City of Apache Junction-BRP-Munis Additional Modules
Quote Number: 2020-10570962
Quote Description: 5-20-20 v 1
Sales Quotatbn For
City of Apache Junction
300 E Superstition Blvd
Apache Junction,AZ 95119-2925
phone+1(490)474-5066
Saag One Time Fees
Financial:
Bid Managemend 3.0 $1,993.00 24 $3,912.00 $0.00
Cwb-act Management 3.0 $1.975.00 24 $3,912.00 $3,000.00
Human Capital Management
Human Resources&Talent Management 3.0 $5,589.00 88 $14,344.00 $0.00
Payroll WESS 3.0 $6,872.00 168 $27.384.00 $0.00
Recruiting 3.0 $1,258.00 16 $2,608.00 $0.00
Productivity:
eProcuremert 3.0 $2,993.00 24 $3,912.00 $0.00
TOTAL: $20,680.00 344 $56,072.00 $3,000.00
Other Services
Dosciiplion Guantity Unit Price Unit Discount Ex',ow!o(I Pi ice
Configuration Hours 96 $163.00 $0.00 $15,648.00
Project Management 40 $163.00 $0.00 $6,520.00
Self-Service Insta llatim Fee-Client Hosted(Existing Customers) 1 $1,500.00 $0.00 $1,500.00
2020-105709-2-5r2o20 v.t I Of 6
Other Services
TOTAL: $23,668.00
Summary One Time Fees Recurring Fees
Total Tyler Software $0.00 $0.00
Total Saes $0.00 $20,680.00
Total Tyler Services $82,740.00 $0.00
Total 3rd Party Hardware,Software and $0.00 $0.00
Services
Summary Total $82,740.00 $20,680.00
Contract Total $144,780.00
(Excluding Estimated Travel Expenses)
Estimated Travel Expenses $21,920.00
2020-105709-2-5-20-20 0 2 of 6
Detailed Breakdown of Comrerstons(included in Contract Total)
Unit R ico Unit DiSCOLII)t Extended Price,
Contracts $3,000.00 $0.00 $3,000.00
TOTAL: $3,000.00
2020-105709-2-5-20-20 v.1 3 of 6
Optional SaaS One Time Fees
Description ft Ybal-s Annual Foo Ir.if)l. HOUrs 1,riipl Cost Data Convoi bloi I
Financial:
Employee Expense Reimbursement 3.0 $2,240.00 32 $5,216.00 $0.00
TOTAL: $2,240.00 32 $5,216.00 $0.00
Unless otherwise Indicated in the contract or amendment thereto,pricing for optional Items will be held for
six(6)months from the Quote date or the Effective Date of the contract,whichever is later.
Customer Approval: Date:
Print Name: P.O.P
All primary values quoted In US Dollars
2020-105709-2-5-20-20 v.1 4 of 6
Comments
Client agrees that items in this sales quotation are,upon Client's signature or approval of same,hereby added to the existing agreement("Agreement")between the parties and
subject to its terms.Additionally,payment for said items,as applicable but subject to any listed assumptions herein,shall conform to the following terms:
• License fees for Tyler and third party software are invoiced upon the earlier of(i)deliver of the license key or(ii)when Tyler makes such software available for download
by the Client;
• Fees for hardware are invoiced upon delivery;
• Fees for year one of hardware maintenance are invoiced upon delivery of the hardware;
• Annual Maintenance and Support fees,SaaS fees,Hosting fees,and Subscription fees are first payable when Tyler makes the software available for download by the Client
(for Maintenance)or on the first day of the month following the date this quotation was signed(for SnaS,Hosting,and Subscription),and any such fees are prorated to align
with the applicable term under the Agreement,with renewals invoiced annually thereafter in accord with the Agreement.
• Fees for services included in this sales quotation shall be invoiced as indicated below.
• Implementation and other professional services fees shall be invoiced as delivered.
o Fixed-fee Business Process Consulting services shall be invoiced 50%upon delivery of the Best Practice Recommendations,by module,and 50%upon delivery of
custom desktop procedures,by module.
e Fixed-fee conversions are invoiced 50%upon initial delivery of the converted data,by conversion option,and 50%upon Client acceptance to load the converted data into
Live/Production environment,by conversion option Where conversions are quoted as estimated,Tyler will invoice Client the actual services delivered on a time and
materials basis.
• Except as otherwise provided,other fixed price services are invoiced upon complete delivery of the service.For the avoidance of doubt,where"Project Planning
Services"are provided,payment shall be invoiced upon delivery of the Implementation Planning document Dedicated Project Management services,if any,will be
invoiced monthly in arrears,beginning on the first day of the month immediately following initiation of project planning.
o If Client has purchased any change management services,those services will be invoiced in accordance with the Agreement.
° Notwithstanding anything to the contrary stated above,the following payment teens shall apply to services fees specifically for migrations: Tyler will invoice Client 501A
of any Migration Fees listed above upon Client approval of the product suite migration schedule. The remaining 50%,by line item,will be billed upon the go-live of the
applicable product suite.Tyler will invoice Client for any Project Management Fees listed above upon the go-live of the first product suite.Unless otherwise indicated on
this Sales quotation,annual services will be invoiced in advance,for annual terms commencing on the date this sales quotation is signed by the Client If listed annual
service(s)is an addition to the same service presently existing under the Agreement,the first term of the added annual service will be prorated to expire coterminous with
the existing annual term for the service,with renewals to occur as indicated in the Agreement
• Expenses associated with onsite services are invoiced as incurred.
Tyler recommends the use of a 128-bit SSL Security Certificate for any Internet Web Applications,such as the Munis Web Client and the MUNIS Self Service applications if
hosted by the Client This certificate is required to encrypt the highly sensitive payroll and financial information as it travels across the public internet There are various vendors
who sell SSL Certificates,with all ranges of prices.
Conversion prices are based on a single occurrence of the database.H additional databases need to be converted,these will need to be quoted.
2020-1057M2-5.20-20 v.1 5 of 6
Comments
Tyler's quote contains estimates of the amount of services needed,based on our preliminary understanding of the size and scope of your project.The actual amount of services
depends on such factors as your level of involvement in the project and the speed of knowledge transfer.
Unless otherwise noted,prices submitted in the quote do not include travel expenses incurred in accordance with Tyler's then-current Business Travel Policy.
Tyler's prices do not include applicable local,city or federal sales,use excise,personal property or other similar taxes or duties,which you are responsible for determining and
remitting.Installations are completed remotely,but can be done onsite upon request at an additional cost.
In the event Client cancels services less than two(2)weeks in advance,Client is liable to Tyler for(i)all non-refundable expenses incurred by Tyler on Client's behalf,and(ii)
daily fees associated with the cancelled services if Tyler is unable to re-assign its personnel.
Implementation hours are scheduled and delivered in four(4)or eight(8)hour increments.
Tyler provides onsite training for a maximum of 12 people per class.In the event that more than 12 users wish to participate in a training class or more than one occurrence of a.
class is needed,Tyler will either provide additional days at then-current rates for training or Tyler will utilize a Train-the-Trainer approach whereby the client designated attendees
of the initial training can thereafter train the remaining users.
Payroll library includes: 1 PR check,I direct deposit,1 vendor from payroll check,1 vendor from payroll direct deposit,W2,W2c,ACA 1095B,ACA 1095C and 1099 R.
Project Management includes project planning,kickoff meeting,status calls,task monitoring,verification and transition to support.
Personnel Actions Forms Library includes: 1 Personnel Action form-New and 1 Personnel Action Form-Change.
Tyler's pricing is based on the scope of proposed products and services being obtained from Tyler.Should portions of the scope of products or services be removed by the Client,
Tyler reserves the right to adjust prices for the remaining scope accordingly.
The Munis SaaS fees are based on 32 concurrent users. Should the number of concurrent users be exceeded,Tyler reserves the right to re-negotiate the SaaS fees based upon any
resulting changes in the pricing categories.
Development modifications,interfaces and services,where applicable,shall be invoiced to the client in the following manner.5001a of total upon authorized signature to proceed
on program specifications and the remaining 50%of total upon delivery of modifications,interface and services.
2020-105709-2-5-20-20 v.1 6 of 6
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
o Agenda Item Cover Sheet Apache Junction,AZ
U =i 85119
Agenda Item No.2.
�Piz oN* File ID: 20-316
Sponsor: Jeff Serdy Agenda Date: 7/6/2020
Index: In Control: City Council Work Session
Discussion and update on the qualified use of pandemic-related expenditure grant funding
recently made available through the Coronavirus Aid, Relief and Economic Security ("CARES")
Act (signed into law by President Trump on March 27, 2020 under Pub. L. 116-136).
City of Apache Junction,Arizona Page 1 Printed on 6/16/2026
AZCARES Fund Update
June 15, 2020
Apache Junction Allocation - Review
• $4.8 million — reimbursement based on salary and benefit
costs of public safety personnel .
• Reimbursement fulfills the Fed . requirements for funding.
• The required application submitted on June 30, 2020.
• We do not have the funds yet.
Apache Junction Allocation - Review
• Discourage thinking of these funds as blank check.
• Recommend taking a slow and cautious fiscal approach .
• Many cities and towns are delaying action until August
or later.
Examples from Cities/Towns/Counties
1. Reserve for Vital Services
• Estimated Revenue Loss
• Rainy day Fund and "Future Needs"
• As much as 50% or more of funding
Examples from Cities/Towns/Counties
2. City Operations
• Public Safety needs
• Emergency Operations needs
• PPE, sanitation, testing
• Facility retrofit, telework
• 25% or more of funding
Examples from Cities/Towns/Counties
3 . Community Investment
• Business Assistance
• Utility Assistance
• Non Profit Assistance
• Homelessness assistance
• Food assistance
• 15%-20% of Total Funding
The Case for Reserves
• The impact on the economy was swift and dramatic.
• History has shown recovery is slow.
• There are many unknowns about the impact on revenue.
• The pandemic continues to spread in Arizona .
• Fiscal stewardship and maintenance of vital services (like public
safety) for residents, businesses, and visitors is priority.
• State is showing dramatic decrease and impacts the budget
directly.
• Historic impact on local collections haven't been as dramatic as
the state, but have been and will likely be severe.
• Unknown impact on winter visitors & winter revenue.
City O
• Examples of Police facilities and vital equipment needs.
• Dispatch Remodel - $219,000 GF, $125,000 Other Funds
• Radios at end of life - High Cost
• $8,000 per radio
• 3 radios need replacement
• COPS grant
• Grant Award spells out higher required amounts required by city.
• Only cover up to $1 million for 8 officers.
• City required match is $1.4 million.
• Still feel strongly we need to accept this grant.
• Other equipment that has gone unfunded in years past.
• Example: Protective (riot) gear
• Overtime is likely to go up as spread continues.
City Operational Needs
• Examples of other facilities and equipment needs.
• Emergency Management
• Generator at city hall to maintain connection between City owned
facilities.
• $39,000 prep work & $45,000 for generator
• Unknown costs related to facility retrofit and telework.
AZ Constitution Gift Clause Question
Can cities establish a small business assistance
program with AZCares monies without violating
the Constitutional provision referred to as the
"gift clause ?"
AZ Constitution Gift Clause - Cont 'd
What is the Gift Clause? Ariz. Const. Art. 9, § 7
• "Neither the state, nor any county, city, town,
municipality, or other subdivision of the state shall
eve r. . . make any donation or grant, by subsidy or
otherwise, to any individual, association, or
corporation ..."
• Full text:
https://www.azleg.Gov/viewDocument/?docName=http://www.azleg.gov/const/9/7.htm
AZ Constitution Gift Clause - Cont 'd
The Gift Clause purpose is to "prevent government
bodies from depleting the public treasury by giving
advantages to special interests or by engaging in
nonpublic enterprises." See Wistuber v. Paradise Valley
Unified School District, 141 Ariz. 346, 349 ( 1984) .
AZ Constitution Gift Clause - Cont 'd
- A government expenditure will be upheld if: 1) it has a public purpose; and 2)
the consideration (a bargained for exchange) the government entity receives "is
not grossly disproportionate to the amounts paid to the private entity." See
Cheatham v. DiCiccio, 240 Ariz. 314, 318 (2016) citing Turken v. Gordon, 223
Ariz. 342 (2010).
- Further, indirect benefits (such as additional sales tax revenues or increased
jobs) cannot be considered for purposes of determining the adequacy of
consideration; only benefits that are bargained for by the parties and that the
private party promises to provide constitute consideration. Id.
AZ Constitution Gift Clause - Cont 'd
• Courts must not be overly technical; they shall give
appropriate deference to the findings of elected
officials and a public purpose will only be found lacking
where the governing body's discretion has been
unquestionably abused . Id.
AZ Constitution Gift Clause - Cont 'd
• Governor and Attorney General (AG) both declined to give an
opinion due to potential conflict of interest related SB1487
investigations.
• SB 1487 - Signed into law April 2016.
• Requires the AG to investigate alleged violations of state
statute or the Arizona Constitution by a county, city or
town. Violations can result in the withholding of state shared
revenues.
• League of Cities have recommended that Cities and Towns
consult with their legal counsel to determine legality and
risk.
Business Assistance Examples
• Federal Coronavirus Relief Funds
• Direct s — Phx., Tuc., Mesa, Mar. & Pima Counties
• Prioritized needs, COVID impact
• Rough approximation of 20% for small business
• Still uncertain as to success - may depend on criteria,
exceptions, eligible expenses, etc.
• Mandate to spend by December 30
Business Assistance — Contd
• AZCARES Fund
• Through state to municipalities
• Individual municipalities have been slower to
act
• Deployed programs
• Unique plans for program administration
• Unique allocations, requirements
Business Assistance — Contd
• Pinal County
• $ 15,000 per business max ( no specific cap set,
estimating 500 businesses)
• Rent, utilities (3 months)
• Very low barrier to access funding
• City of Maricopa
• $ non-specific, submit need
• Rent (3 months), PPE & cleaning equipment
• Council determine awards, follow up doc, clawback
Non - Profit Assistance
• Access to funds
• Depends on the program
• Separate category from for-profit business
Non - Profit Assistance
• Pinal County Community Development Block Grant
(CDBG ) Coronovirus funding
• Prevent, prepare for, and respond to the pandemic
• Four Apache Junction non-profits applied and are
set to receive from $ 10 — 25k
Non - Profit Assistance — Contd
• Four Pinal County agencies that serve AJ & requires
equal distribution of funds to AJ are set to receive
from $ 10 — 80k
• Any non-profit was eligible to apply for CDBG-CV
funds
• Application period opened June 22 & closed July 5
Next Steps
• Get the funds in our coffers .
• Continue to monitor pandemic.
• Continue to monitor impacts on local and state economy.
• Continue to research gift clause issue.
• Continue to research program options.
• Bring back to August 3rd city council work session .
Discussion /Questions
►P�"E�c�, City of Apache Junction, Arizona 300 E Superstition
Boulevard
� 0 Agenda Item Cover Sheet Apache Junction,AZ
85119
Agenda Item No. 3.
Piz File ID: 20-318
Sponsor: Gail Evans Agenda Date: 7/6/2020
Index: In Control: City Council Work Session
Discussion on temporary authorization for the Pinal County Sheriff's Office to respond to any
noise complaints relating to bull riding nights (Thursdays and Saturdays from 8-10PM)taking
place at the Hitching Post Saloon located at 2341 N. Apache Trail. Representatives from the
Apache Junction Police Department and the Pinal County Sheriffs Department will be available
for questions.
City of Apache Junction,Arizona Page 1 Printed on 6/16/2026