Denver Public Schools 2008 Bond Program

Transcription

1 Denver Public Schools 2008 Bond Program Priority Allocation of Available Bond Savings Bond and Mill Levy Oversight Committee December 14,

2 Overview Confirmed Project Savings Allocated May 2010: $75.6 million* Confirmed 2010 Project Savings Allocated May 2011: $25.9 million** Confirmed 2011 Project Savings available to allocate: $10.0 million Total confirmed GOB savings to-date: $102.7 million Priorities for allocation of confirmed savings to urgent priorities ($10.0 million): Development of new facility to locate West Denver Prep Middle School $6.0 million Provide funding to replace DPS aging financial systems $3.0 million Continuation of Technology Innovation/Assessment school grants for 2012 $1.0 million Bond Program Management will provide an update to the BMLOC on any additional confirmed savings in April 2012 following completion of project bids for summer 2012, and again following close-out of 2012 projects in December At those times, the team will provide recommendations for use of any savings against outstanding priorities. Note that it is likely that savings will be limited beyond this point (nearing the end of the bond period, recent known cost increases on materials and risks on several active projects). *See appendix for list of major projects funded with those savings **See appendix for list of major projects funded with those savings 1

3 Priority #1 Construct New School at Evie Dennis DPS Board of Education approved the opening of 2 West Denver Prep Middle Schools (6-8) to open in Far NE Denver for the school year. Strong need for middle school seats in this region of the city The schools will serve approximately 325 students each at full-build-out, will start at 6 th grade, and will add one grade each year. One school will open in leased facility in Montbello, where another DPS school (High-Tech Early College) is currently located. Current West Denver Prep middle schools earned 4 of the top 7 spots in DPS for academic growth in the school year. WDP will open its first high school at the Lutheran campus in SW Denver this fall DPS has an opportunity through a unique public-private partnership to costeffectively construct a new middle school at the Evie Dennis campus in Green Valley Ranch. Base Camp will be a partnership bringing students, families, educators, nonprofits and community together under one roof, to significantly improve the overall health and well being of students and the surrounding community.

4 Base Evie Dennis Base Camp will serve as a community hub for the Green Valley Ranch and Montbello neighborhoods. This Campus of Excellence will bring to life the P to 20 model by providing services from prenatal to senior in one location. Services include Clayton Early Learning Center, West Denver Prep Middle School GVR campus DPS Enrollment Center, Young Americans Bank, Additional non-profit and community agency partners

5 1 st Floor - Clayton Early Learning Center & Partner Services for Community Includes: Young Americans Bank Enrollment center Community partners Clayton Early Learning Center

6 2 nd Floor - West Denver Prep Middle School Classroom and Administrative space for West Denver Prep 6-8 th grade.

7 Cost Estimate Significant savings have been realized by partnering and sharing costs between DPS, Clayton Early Learning Center and the Foundation for Educational Excellence, and leveraging the shared facilities in place at the Evie Dennis campus. DPS share of the building 28,178 sq feet. ~58% of the building Total estimated project cost DPS share of costs $10.4 million $6.0 million Total project cost per square foot $212

8 Priority #2 Replace Existing Financial System (ERP) Financial Systems Replacement Project (ERP ) Funding and Negotiated Contract Pricing December 7, 2011

9 Topics Board of Education Request Project Overview Timeline Preliminary Analysis and Discovery Phase Project Benefits Project Resource Composition Project and Cost Components Anticipated Project Budget Funding Resources Timeline Implementation Phase Appendix - Project Risks & Mitigations Page 8

10 Board of Education Approval Request Approval of the CIBER Contract associated with the Financial System Replacement Project Requesting approval for a $2,374,402 implementation/training contract with CIBER CIBER provided best value for successful implementation CIBER is currently a partner in implementing the Lawson 2/3 Upgrade in HR Rates for CIBER labor are provided to DPS approximately 15% below their current market rate and are approximately 40% below that of Lawson Consulting services. Lawson Software contract for $754,068 (including 1 st year maintenance) was signed in November due to end of period incentives 59% discount from list price Additional software modules included in negotiated pricing Support of Foundation Gala Remainder of project costs $2,215,659 covers project RFP/analysis, staffing backfill, and contingency Total project cost estimated at $5,344,129 Page 9

11 Project Overview Problem The current financial system is 17 years old, and is difficult to upgrade and maintain. The current financial system does not integrate well with the existing HR/Payroll system and our other sub-ledger systems The current system does not provide strategic financial reporting or financial management capabilities, and is difficult/ cumbersome for users to navigate. Solution $2M Bond Funding Approved as a placeholder for the project in May 2010 RFP conducted and four possible system replacements considered Preferred solution selected after 12 months of thorough review, analysis and site visits. Lawson Software and CIBER implementation recommended, with installation to begin January System cutover anticipated for June/July The chosen system will improve the timeliness and accessibility of District financial data. Page 10

12 Project Benefits n n n n n n n n Aligns with Denver Plan Element of A Culture of High Expectations, Service, Empowerment and Responsibility and is logical next step for Strategic Management of Financial Resources Improve employee efficiency and streamline business processes Improve District ability to provide the right information to the right people at the right time Improve HR/Financial cross-system information integration and software/hardware support with move to a single vendor solution (Enterprise Resource Planning system) Improve ease of use for end users including school principals and secretaries through intuitive user interfaces and simplified accounting structures Improved financial reporting available at the school /department level and rolling up to District level results-- including improved data available for decision making at all levels Improved budgeting tools Improved grant management tools for application in managing use of federal, state, and local grant funds and assistance in managing risk of non-compliance n Improve internal controls through automation and enhanced security features Page 11

13 Project Resource Composition Software Purchase Lawson Financials Product designed specifically for K-12 schools Procured 11/22/2011 due to November Incentives offered: Pricing reflects a 59% discount across all the Lawson products purchased. (Original bid started with a 45% discount) The pricing includes negotiated pricing for the Learning & Development module needed by HR. Lawson Smart Office module is included for no additional upfront cost (there is maintenance in ongoing years) this user interface/integration tool covers financials and existing HR products Annual Maintenance cost increases are capped at 4% for all Lawson products for next 3 years for the current purchase and all legacy HR modules (standard annual increase is 6-7%) Implementation Consultant Ciber Current request for Board approval of contract The current request is for Board approval to contract with CIBER as the Software Implementation Partner CIBER is the existing implementation partner for Lawson for the HR systems upgrade The negotiated pricing represents an additional 3% discount from previously discounted rates CIBER has a proven track record of successful Lawson Financial Systems implementations Internal Staffing The DPS Project team will be staffed with current subject matter experts as needed Funding will provide back-up support and project management using temporary external resources to ensure continuation of current operations and successful project implementation Page 12

14 Project and Cost Components External Costs Item Cost Discount Total Project RFP/Analysis Efforts $150,000 $150,000 Software - Lawson $1,541,266 ($912,876) $628,390 1 st Yr. Maintenance -Lawson $308,253 ($182,575) $125,678 Training - Ciber $173,636 - $173,636 Implementation - Ciber $2,200,766 - $2,200,766 Total $3,278,470 Other Costs Item Cost Discount Total Staffing -Temporary Backfill $1,591,857 NA $1,591,857 Contingency $473,802 Total Costs $5,344,129 Page 13

15 Funding Requirements Total Projected Budget $5,344,129 Budget Approved (Bond) $2,000,000 Remaining to Be Funded ($3,344,129) Page 14

16 Funding Resources for Incremental Costs Available Source Amount Notes General Fund Savings $0.3 Savings from variable COP FY12 Budget. Savings from 2008 General Obligation Bond Total Available Funds $3.0M $3.3M Additional request of funds. Covers all remaining funding needed. Total Needs $3.3M Incremental Funding Only. Does not include existing staff. Page 15

17 Timeline Implementation Milestone Date Finance and Audit Committee Approval December 12, 2011 Project Review with Bond & Mill Levy Oversight Committee December 14, 2011 CIBER Contract Approved by Board of Education December 15, 2011 Internal Finance Pre-Planning January March 2012 Implementation Kickoff March 2012 Project Planning Staff Augmentation begins for: Project Manager & System Analyst Solution Design (Consultant Integration, Business Process Calibration, Project Team Training, Business Process Design and Modeling) Staff Augmentation begins for: Finance Staff and Programmer Configuration and Development (System Configuration and Setup, Custom and Interface Development, End User Documentation, Data Conversion Development) Staff Augmentation begins for: DoTS Technical Staff Testing and Quality Assurance (Integrated and User Acceptance Testing & User Training) April - May 2012 June September 2012 October December 2012 January 2012 June 2013 Activation (End User Training, Production Cutover, Post Cutover Support) July 2013 Page 16

18 Timeline Preliminary Analysis and Discovery Phase Milestone Original Date Project Kickoff November 2010 Vendor Prequalification February 2011 RFP Sent to Pre-qualified Vendors April 2011 RFP Responses Received From Tyler Technologies, Cayenta, Lawson/CIBER, and Sungard K12 Oral Presentations and Due Diligence Meetings with Sungard K12 and Lawson/CIBER May 2011 June 2011 Site Visits to Colorado Clients of Sungard K12 and Lawson July 2011 Selection of Lawson/CIBER as preferred Vendor Scope of Work and Negotiations with Lawson/CIBER August 2011 September/October 2011 Page 17

19 Appendix - Project Risks & Mitigations Risk DPS Resources Unavailable Delayed decision making due to change In Project Leadership Change in Technical or Subject Matter Expert (SME) Resources Causing Knowledge gaps Change in Project Scope, Timeline, or Costs Mitigation Effective use of backfill funding for appropriate resources Emphasis and support from office of COO, CIO, and CFO that project is a priority for the District Effective use of the communication and change management plans to provide frequent project status Produce regular, detailed status reports to executive team Hold (not just schedule) regular face-to-face meetings with Project Leadership and Executive Team for updates and accountability Involve primary and secondary SME for each area on all communication and training Complete and update project documentation through the duration of the project All changes beyond the initial Statement of Work (SOW) must be approved by CFO or COO; cannot be delegated and must be in writing All changes must be summarized and reviewed by the ERP Steering Committee at the next scheduled meeting (prior approval before sending to CFO could delay action and is not recommended). Page 18

20 Priority #3 Extend funding for Classroom Technology Innovation/Assessment Grants for 2012 During the school year, schools were invited to apply for Classroom Technology Innovation Grants (CTIG) to explore new and innovative ways to use technology resources with their students Bond fund savings were allocated to support this project. 14 schools (of 40 applicants) were awarded grants totaling $870,000 CTIG funds purchased: 840 ipads 27 ipad carts 160 laptops 4 Promethean boards The results of these grant projects have been promising and additional funding will allow new schools with worthy plans to advance their work. The instructional technology field is advancing rapidly and DPS needs to determine which tools can have the greatest impacts on student learning. This information will be especially important as we prepare for a 2012 Bond/Mill Levy. 19

21 School Assessment Technology Grants Beginning with the school year, DPS moved to an online format for all of the district s interim assessments. $1M of 2008 bond savings was allocated to support schools needing additional assessment technology resources. Schools were invited to apply for grants to receive student laptops and carts and/or student response systems (clickers). Three rounds of grant funding were provided final round, Dec sets of clickers have been allocated to schools. 731 netbook computers and 31 storage and charging carts have been awarded to 31 schools. With additional funding, we will be able to move closer towards assuring all schools have the technology tools necessary to support online assessments, without adversely impacting their schools other student technology needs. 20

22 Appendix Bond Program Additions $70M Savings & Funds Realignment 9 New Schools Projects $34.6M (Swigert-McCauliffe $9M; Slavens $8.8M; Lutheran $6M; Vista GVR 6.2M; Escalante-Biggs Academy $3.5M; Summit FFE $250K; 3 Conceptual Designs $750K (FNE/SE/SW)) 10 Major Technology Projects (e.g., online student assessments) $17.5M 24 Interior Projects (includes water fixtures, bleachers & carpet) $ 6.1M 26 Safety/Critical Maintenance (e.g., Fire Detection/Suppression) $ 5.3M 52 Principal Request Projects $ 3.9M 45 ADA Projects (includes 2 new elevators) $ 1.6M 5 Building Envelope Projects (windows & roofs) $ 1.5M 4 Modular Buildings (2 completed in 2010) $ 1.1M 13 Miscellaneous Exterior Projects $ 0.4M 8 Mechanical Projects $ 0.4M 2 ADA Elevator Projects Deleted/Deferred $(2.0M) 196 Additional Projects Total: $70.4M 21

23 2010 Bond Program Additions Additional Savings & Funds Realignment 1 New Schools Projects $2.0M (Increased Escalante-Biggs Academy $2.0, project now totals $5.5M) 1 Interior Projects (Mann Auditorium Renovation) $0.3M 5 Miscellaneous Exterior Projects $0.1M 4 Mechanical Projects $1.8M 1 Classroom Technology Innovation Grants $1.0M 11 Additional Projects $5.2M 22

24 Appendix Bond Program Additions (p.1) Project Amount Requested Best Grant Match Air/Water Quality $758,564 Best Grant Match Site Safety $607,311 Choice/Enrollment System $725,000 Streaming Media $400,000 Fire Detection Multiple Buildings $750,000 North HS Fire Suppression $650,000 Miscellaneous Code Compliance $250,000 DPS-CHU Facility $8,000,000 Hampden Heights (SE) Design $500,000 LEAP $725,000 Lutheran Campus Improvements $4,000,000

25 Appendix Bond Program Additions (p.2) Project Amount Requested Lawson Upgrade $371,000 RTI Toolkit $700,000 Classroom Tech Grants $1,000,000 HVAC Controls $1,481,000 Slavens Phase I $1,150,000 Denver Green School Expansion $1,000,000 New Schools/Shared Campuses for 2012 $900,000 Lincoln HS Fire Suppression $1,231,948 Byers Assessment & Design $750,000 Total 2011 Savings Allocated to Projects $25,900,000