Request for Proposal (RFP) (P ) PeopleSoft FSCM and HCM 9.2 Upgrade Project

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1 Request for Proposal (RFP) (P ) PeopleSoft FSCM and HCM 9.2 Upgrade Project RFP Submittals Due: July 10, 2015 by 5:00 p.m. (PST) (Submit electronically, in PDF format) via the City of Sacramento's online bid center at: 1

2 TABLE OF CONTENTS Section 1. General Information... 3 Section 2. General Requirements... 6 Section 3. PeopleSoft 9.2 Upgrade Scope and Deliverables... 7 Section 4. Submission Content and Format Section 5. Proposal Evaluation / Selection Criteria Section 6. Acceptance of Proposal Section 7. RFP Timeline ATTACHMENT SUBMITTAL SIGNATURE FORM ATTACHMENT Client References ATTACHMENT LOCAL BUSINESS ENTERPRISE (LBE) PARTICIPATION PROGRAM

3 Section 1. General Information 1.1 Purpose The City of Sacramento (City) is seeking proposals to obtain a PeopleSoft 9.2 Finance/Supply Chain Management (FSCM), Human Capital Management (HCM), and PeopleTools (PT) 8.54 Technical Upgrade. In 2005, the City initiated the process to replace its financial and human resources system with PeopleSoft and went live with version 8.9 for FSCM in 2007 and HCM in The City is currently using PeopleSoft 9.1 FSCM and HCM. The City went live with FSCM (Billing, Cash Management, Expenses, General Ledger, Grants, Payables, Program Management, Project Costing, Purchasing, Receivables, and eprocurement) version 9.1, PT 8.52, January of Following FSCM deployment the City went live with HCM 9.1, PT 8.52 on February 2013 (Absence Management, Benefits Administration, Human Resources, Payroll for North America, Time and Labor, and ebenefits). In addition, HCM is being used for single sign on functionality. The City of Sacramento is seeking proposals from qualified Vendors to supply the professional services necessary to upgrade and enhance our PeopleSoft applications to the latest image of version 9.2 and recommend business process improvements that may be available. Potential respondents will provide consulting services to the City of Sacramento IT Department. This document provides potential respondents with the information and guidelines necessary for developing their proposals. This RFP will define the scope of the work to be performed, the requirements the vendor ( Vendor ) must address the method for response and the administrative requirements that must be followed. In 2014, the City developed a Digital Strategy that provides a roadmap for technology improvements over the next five years. This upgrade of our current ecaps system is one of the key initiatives identified as an opportunity for improved citywide efficiency. 1.2 City Information The City of Sacramento is California s capital city. As of 2014, it has a population of 475,122 making it California s sixth largest municipality. Sacramento is a progressive City with great pride in its ethnic and cultural diversity, concern for environmental and social issues, and emphasis on quality in the provision of governmental services. As a Charter City, Sacramento operates under the City Council City Manager form of government. It has an annual budget of $940 million and approximately 4,262 full time equivalent positions. City responsibilities include: fire and police protection; public works 3

4 functions including provision of water, sewer, storm drain, and solid waste services; parks and recreation; and a variety of other community services. The City is committed to working in a digital environment to increase efficiencies and reduce costs. This commitment enhances collaboration, provides consistent practices and provides transparency where appropriate. Many City processes currently require updating and migration from a paper based form to an electronic and digital format. 1.3 City s Rights, Options and Policies Proposals may be withdrawn or modified before the due date of submission for proposals by delivering a written and signed request by the due date. A request for modification of the proposal after the due date will not be considered, including a representation that the proposer was not fully informed regarding any information pertinent to the proposal or the offer. The City shall not be responsible for or bound by any oral instructions, interpretations or information provided by the City or its employees other than the RFP contact. The City reserves the right to reject any or all proposals submitted, correct any technical errors in the RFP process, waive any irregularities in any proposal, negotiate with any of the proposers, accept other than the lowest fee offer, or enter into a subsequent agreement with another proposer if the originally selected proposer fails to execute its agreement with the City. Any agreement shall not be binding unless it is executed by authorized representatives of the City and the selected proposer. Proposing firms are solely responsible for any expenses incurred in preparing their proposals in response to this RFP. Proposals should be prepared simply and economically, providing straightforward, concise delineation of the firm s capabilities to satisfy the requirements of this RFP. The emphasis should be on completeness and clarity of content. To expedite proposal evaluations, it is essential that specifications and instructions contained in the proposal instructions are followed as outlined. Proposals received are public records that will be disclosed upon request. All material submitted that has not been clearly designated in the proposal itself as proprietary information becomes the property of the City. Proposals submitted become the property of the City and may be reviewed and evaluated by any persons at the discretion of the City. Responses to this RFP become the exclusive property of the City. At such time as City staff recommends a Proposer to the City Council, all proposals received in response to this RFP become a matter of public record and shall be regarded as public records and will be disclosed upon receipt of a request for public disclosure pursuant to the California Public Records Act; provided, however, that if any information or elements of the proposal is set apart and clearly 4

5 marked as Trade Secret or Proprietary when it is provided to the City, the City will give notice to the Proposer of the request for disclosure to allow the Proposer to seek judicial protection from disclosure. Failure by the Proposer to take timely steps to seek judicial protection from disclosure shall constitute a complete waiver by the Proposer of any rights regarding the information designated as Trade Secret or Proprietary and such information may be disclosed by the City pursuant to applicable procedures under the California Public Records Act. Under no circumstances will City have any obligations to seek judicial protection from disclosure for any proposals or other materials submitted in response to this RFP. City has no liability for any disclosure, unless such disclosure is made in violation of a court order obtained by a Proposer or pertains to materials marked as Trade Secret or Proprietary for which the City failed to give the above notice. Any/all respondents responding to this RFP do so entirely at their expense. There is no expressed or implied obligation by the City to reimburse any individual or firm for any costs incurred in preparing or submitting responses, for providing additional information when requested by the City or for participating in any selection demonstrations or interviews, including pre contract negotiations and contract negotiations. The City reserves the right to decide that one proposer is more responsive than the others and to select that proposal based on review of the proposal only. The City reserves the right to reject individual firm members, firms, and subcontractors and request substitution without indicating any reason. A proposal is late if received at any time after the required submittal date and time. A proposal received after the specified time will not be considered and will be returned to the proposer. 1.4 Submission Instructions: See section 4 for detailed information to be included with the RFP submissions. 5

6 Section 2. General Requirements 2.1 RFP Issue Date: June 8, RFP Due Dates and Submittal Instructions: RFP responses will only be accepted electronically in PDF format. Responses are due prior to July 10, 2015 at 5:00 p.m. (PST). Send submittals electronically in (PDF Format) to: Attn: Brian McKee 2.3 RFP Questions All questions regarding this RFP are to be directed in writing (Attn: Brian McKee) via submission through the City of Sacramento bid center: All submittals must reference this RFP number and include the individual s name, company, address, and contact information. Questions via phone will not receive a response. All questions must be received no later than June 22, 2015 at 3:00pm (PST). An addendum addressing all questions submitted will be posted on the City s online bid portal PlanetBids by close of business on June 29, Submitters may rely only upon written information and/or instructions from the City. The City shall not be responsible for any oral information and/or instructions given with regard to this RFP from third parties outside the City s online bid portal. To maintain a fair and equal process for all submitters, upon receipt of this RFP, submitters (or their designated agents) SHALL NOT directly or indirectly contact any City staff, other than the person identified in this RFP, for meetings, conferences or technical discussions that are related to the RFP. Unauthorized contact of any City staff may be cause for immediate disqualification of the submitter s information from the RFP process. 6

7 Section 3. PeopleSoft 9.2 Upgrade Scope and Deliverables 3.1 Background and Scope: The City is seeking proposals from qualified Vendors to supply the professional services necessary to upgrade and enhance our PeopleSoft FSCM and HCM applications to the latest image of version 9.2. The City is also looking for qualified vendors to recommend business process improvements that may be available with the latest image of PeopleSoft version Customization/Configuration complexity The City currently has approximately 31 incoming and outgoing interfaces in the FSCM and HCM applications. There are approximately 30 customizations made or in development, only three are assessed as complex. The City has also developed 20 bolt ons, three assessed as complex. The City defines customizations as any modification made to the delivered software from Oracle. Bolt ons are stand alone and do not affect the delivered system. The City has assessed all of their customization and bolt ons as simple, medium, or complex. In addition, the City has developed more than 100 Crystal Reports and 33 nvision reports. 3.3 Dedicated City Resources The City will be dedicating the following resources to the PeopleSoft 9.2 upgrade project: Project Manager 80% Business Analyst (FSCM & HCM) 2 at 75% Developer Technical Lead (FSCM & HCM) 75% Developer (FSCM) 50% Developer (HCM) 50% Subject Matter Experts (FSCM) 3 at 20% Subject Matter Experts (HCM) 2 at 20% As is apparent in the aforementioned resource allocation numbers, Subject Matter Experts (SME s) will not be dedicated to the upgrade at a rate that traditional projects like this usually demand. Our Finance and Human Resources personnel are extremely short handed, and will still be expected to keep up with their normal production work load while the upgrade effort moves forward. While they will be available for design decisions and configuration choices, they cannot be counted on to spend significant time testing. Because of this project reality, we are asking vendors to consider a workforce augmentation component to their proposals. We would expect the responding vendors to supply experienced PeopleSoft 9.2 analysts that can work closely with SME s and IT personnel to verify results, and validate configuration and process changes. 7

8 3.4 Work Environment 1. The City will provide workspace, basic office supplies, telephones and access to necessary systems and resources during the project. 2. The City will provide workstations for the vendor s project team members. 3. The City will be responsible for the installation of all databases and other system software installations throughout the project. The technical architecture changes or additions necessary to support the project and ongoing efforts will be completed by the City. 4. The vendor may assume that all identified technical infrastructure requirements have been, or will be satisfied at an appropriate time throughout the project. This includes all hardware and software requirements. 3.5 Expected Project Go Live Dates Because of the scarcity of resources within City customer divisions (See Section 3.3) and the pressures of day to day operations for those personnel, there are periods within the calendar cycle that offer a better chance of success than others. The annual realities of fiscal year end, the City budget cycle, tax filings, etc. provide challenges to production schedules operated by staff at reduced levels. As a result, the City favors going live with PeopleSoft 9.2 FSCM in February of 2016 and HCM in March 2016, and would expect vendor responses to reflect this schedule. If any vendor deems this schedule unrealistic or undesirable, it would not preclude them from submitting a successful bid. The City would encourage them however, to point out the merits of any proposed implementation schedule that varies from these dates and explain why the February/March 2016 go live dates are unrealistic, unattainable or otherwise not optimal for project success. 3.5 Vendor services The services being provided as part of a technical upgrade project will include, but may not be limited to the following components: 1. Analysis of customization/retrofit options where it has been determined that there may be an advantage in a new process, workflow, interface, etc. 2. System Development (applying configurations, conversions, and solution development as a result of new version functionality or process improvement opportunity. 3. Provide technical support to transition from existing Crystal reports to XML Publisher 4. (vendors can convert the delivered reports to XML and retrofit them as per the City s needs and provide knowledge transfer for the City staff to convert all the custom reports) 5. Testing (development and oversight of test plan, execution of test scripts, and provide documentation of adequate and sufficient testing including load testing). 8

9 6. Change management services identifying any impact to end users based on redesign of screens or adoption of new processes. 7. Deployment of upgrade scripts and retrofits to development, test, and production environments of Finance and HCM Applications. 8. Development of upgrade scripts and retrofits to development, test and production for PeopleTools. 9. Knowledge transfer to City staff involved in the technical upgrade project. 10. Post support (120 hours of on call support on an as needed basis after the go live of each phase). 3.6 Project Deliverables 1. We expect the Vendor to meet with internal IT project staff and stakeholders in order to plan and coordinate project duties and schedule 2. Contractor shall upgrade the current PeopleSoft HCM modules version 9.1 environment to version Contractor will leverage new functionality from the latest version (9.2) 4. Contractor will retrofit and retain, redesign, or reduce existing customizations 5. Contractor will assist in migration, test and verification of all current business, module and processing rules in the new version (9.2) 6. Contractor will migrate, test and verify all current interfaces in the new version 9.2 environments including the ones currently in development 7. Contractor will review and leverage the latest release of PeopleTools 8. Contractor will include the effort to implement the Travel and Expense module which is a key deliverable, but is not yet in production. The City would like to go live with the initial 9.2 FSCM upgrade, and then follow on with the configuration of Travel and Expense. 3.7 Upgrade and Implementation Methodology The Vendor s upgrade and implementation methodology is expected to be a comprehensive approach for transforming the business process review/reengineering phase into the solution design, development, testing and deployment phases. A comprehensive upgrade and implementation methodology is comprised of the activities and tools required to produce the deliverables and milestones of each phase. 1. Describe the upgrade and implementation methodology to be used for this project. 2. Provide details regarding the key activities and milestones by phase, including project deliverables. 3. Describe the processes to be employed around key design decisions, project deliverables and milestone reviews. 4. Provide an overall project timeline, including an estimate of the duration for each phase identified below 9

10 3.8 Training and knowledge transfer The Vendor will be expected to provide resources experienced with developing and executing training plans, including content development and delivery, to assist the City in meeting enduser training needs. Knowledge transfer will be an ongoing process throughout the entire project. The City will expect the Vendor to provide knowledge transfer both verbally and through written documentation and procedures. Training Plan 1. Vendor will describe their approach to user training and describe what methods will be used and which personnel will be affected. 2. Vendor will describe their process for developing any materials and curriculum 3. Vendor will describe their approach for utilizing business process documentation 4. Vendor will describe their training delivery approach (instructor to class, train the trainer, CBT, etc.) 5. Vendor will describe what they consider a condition of user readiness. 6. Vendor will describe their process for knowledge transfer to key City and IT personnel throughout the project. 10

11 Section 4. Submission Content and Format A proposer shall submit a completed proposal with below required items and any explanatory materials. All attachments and exhibits shall be identified with the proposer s name, proposal number and page number. At a minimum, proposal shall include the following: 1. Submittal Cover Sheet (Attachment 1). 2. Letter of Transmittal: The proposal letter will summarize, in a brief and concise manner that the proposers understanding of the requested services. Please include the official name of the firm submitting the proposal, mailing address, address, telephone number, fax number and contact name. The letter must be signed by an official authorized to bind the proposer contractually and contain a statement that the proposal is firm for ninety (90) days. An unsigned letter or one signed by an individual not authorized to bind the proposer will be rejected. 3. Project Schedule: Contractor shall deliver a project schedule as part of their proposal. There will be a Discovery phase after award of the contract which may result in slight modifications to the proposed schedule. Following acceptance of the schedule in the initial contract phase, any slippage by the contractor in complying with any deliverable must be accompanied by written notice to the Contracting Officer. 4. Statement of Objectives: Contractor shall deliver a Statement of Objectives (SOO) which should demonstrate understanding of what the City of Sacramento wants during the engagement. 5. Solution Process Overview: Contractor shall deliver a Solution Process Overview outlining the best way to accomplish the projects goals. 6. Proposed Project Team: Contractor shall deliver a proposed team with named resources and any internal IT resources that will be necessary along with their qualifications and the level of effort for success. 7. Pricing: Contractor shall deliver detailed pricing by phase. 8. Proposal Signature (Attachment 2). If the proposal is made by an individual, it shall be signed and the individual s full name and address shall be given. If it is made for a firm or partnership, it shall be signed with the firm or partnership name by a principal of the firm or partnership, who shall sign his or her own name and title. The names and addresses of each firm principal or partner shall also be provided. A Certificate of Secretary shall be attached to any proposal submitted by a corporation. 11

12 9. Company Information / Qualifications and Experience: The Submitter shall include qualifications and experience of the firm and resumes of individuals who would be assigned to this project. The Submitter shall identify the year the firm was established, the total number of employees, and the number of employees focused on this type of engagement. The Submitter will provide a financial reference or annual report, and a gross/net revenue report for each of the last three fiscal years. The Submitter may include any additional literature and product brochures. 10. Client References (Attachment 3): The Submitter must provide a minimum of three client references of a similar size, complexity and business. At least one local government reference is preferred. The Submitter will provide the following information about clients being used as references: client name, client contact information, client size and industry, product in use, license count/model, and brief description of the software and module usage. City intends to contact them regarding the use of your service. 11. Technical Specifications: Any third party software required or desired for the smooth operation of the proposed solution should be clearly identified if is going to be part of the upgrade effort (conversion tools, reporting software, verification or testing tools, etc.). 12. Licensing Cost Information: The proposer shall provide the detailed licensing options to support the usage of any software that would be necessary for the successful conclusion of the contract. 13. Training Information: The proposer shall provide the detail training requirements for business users, internal IT personnel or IT administrators if they will be required. 12

13 Section 5. Proposal Evaluation / Selection Criteria Proposals will be evaluated on the basis of the overall best value to the City based on the criteria set out in this RFP or otherwise reasonably considered relevant. Firms may be asked to participate in an oral interview, product demonstration and a proof of concept. Proposals should present information in a straightforward and concise manner, while ensuring complete and detailed descriptions of the Firm s abilities to meet the requirements of this RFP. Evaluation Criteria Maximum Points Vendor Experience 20 Project Team 20 Project Plan/Methodology 15 Cost 20 Reference applicability and Feedback 15 Accuracy and Completeness of the Proposal 5 LBE Preference 5 Total Points 100 At the completion of the evaluation process, a total point value will be compiled for each proposal. The award recommendation(s), if any, will not necessarily be based on the lowest prices proposed or on the point values assigned. LBE Five percent (5%) Proposal Evaluation Preference (Attachment 4) Development/Small Business/LBE Rejection of Proposals: The City of Sacramento reserves the right to reject any and all proposals received in response to this request, or to negotiate separately with any source whatsoever in any manner necessary to serve the best interest of the City. The City of Sacramento may at its discretion determine not to award a contract solely on the basis of this request for proposals and will not pay for the information solicited or obtained. It is recognized that each Proposer may have developed unique and typical methods of service delivery. It is not the City s intention to disqualify a Proposer due to variations in services equivalent to or of better quality and performance than that requested, which provides the necessary service, will receive full consideration for award. Withdrawal of Proposals: Unauthorized conditions, limitations, or provisions attached to a proposal may be cause for its rejection. No oral, telegraphic or telephonic proposals or modifications will be considered. The proposal may be withdrawn upon request by the Proposer without prejudice to the Proposer prior to, but not after the time fixed for opening of 13

14 proposals, provided that the request for withdrawal is in writing, has been executed by the Proposer or the proposal s duly authorized representative, and has been filed with the City. Contract Negotiations: Contract negotiations may be undertaken simultaneously during the evaluation of proposals with the finalist(s) as determined by the City. The City will not accept any changes to the standard agreement. 14

15 Section 6. Acceptance of Proposal The contents of the successful proposal will become the contractual obligations that will be contained in a formal written agreement. Failure of successful Proposer to accept these obligations in a formal agreement may result in cancellation of the award. Addenda and Supplements to RFP If it becomes necessary to revise any part of the RFP, an addendum to the RFP will be provided to all known prospective proposers via the City of Sacramento's online bid portal PlanetBids. It is the responsibility of the proposer to verify addenda and supplements up to the RFP submission date and time. Contractor Responsibilities The Contractor must commit a professional staff and an experienced Project Manager who will be responsible for coordinating the services with the City. Service shall be the best of its respective kind. All professionals shall be skilled, knowledgeable, and experienced in all aspects of providing the required services. Licenses The Contractor shall be required to obtain any necessary licenses and shall comply with all Federal, State and local laws, codes and ordinances without cost to the City. Non Waiver of Defaults Any failure by the City to enforce or require the strict keeping and performance of any of the terms and conditions of the contract, shall not constitute a waiver of such terms and conditions, nor shall it affect or impair the right of the City to avail itself of such remedies as it may have for any breach of the terms and conditions. Business Operations Tax Certificate Chapter 3.08 of the Sacramento City Code requires that anyone conducting business in the City of Sacramento obtain a Business Operations Tax Certificate and pay the applicable tax if necessary. The successful Proposer, and any subcontractors, will be required to show compliance with this requirement prior to award of the contract. Information about the Business Operations Tax Certificate may be obtained the City of Sacramento, Revenue Division, 915 I Street, New City Hall First Floor, Sacramento, CA 95814, or by telephone at (916) Contractual Obligations The standard City of Sacramento Professional Services Agreement includes, but is not limited to, the requirements shown in the attached sample contract. Proposer should review the 15

16 contract and indicate in the proposal the extent to which Proposer can and is willing to comply with each and every provision of the attached contract. This Request for Proposal together with Proposal s response shall be incorporated into the final contract. Professional Services Agreement The proposer(s) recommended for this award will be required to sign the Professional Services Agreement. The Agreement can be found at the following URL: Procurement/standard agreements Proposers are responsible for reading and understanding the Professional Services Agreement's requirements, terms and conditions prior to submitting their bids. 16

17 Section 7. RFP Timeline Listed below are the important dates when the City plans to take steps or actions. If the City finds it necessary to change any dates, such change will be accomplished by addendum to this RFP. Activity Date RFP Released June 8 Deadline for questions (submit electronically via June 22 PlanetBids) site Addendum issued responding to questions June 29 Deadline for Submissions (electronic PDF July 10 submission via City s online bid portal PlanetBids) Submission Review July 13 Vendor Elevations July Presentations / Proof of Concept (if needed) July Contract Negotiations July 27 July 31 Project award July 31 17

18 ATTACHMENT 1 SUBMITTAL SIGNATURE FORM All FIRMS must complete and sign this section. Failure to complete and sign this section will result in rejection of the submittal. Name of Firm: Business Address: (Street) (City) (State) (Zip Code) Telephone: FAX: Type of Business: Corporation Partnership Individual doing business under own name Individual doing business using a firm name Joint Venture (Attach Joint Venture Agreement) Federal Tax I.D. Number: The undersigned, as Proposer, certifies that the only persons or parties interested in this Proposal as principals are those named herein as submitter; that this qualification statement is made without collusion with any other person, firm, or corporation; that in submitting this Proposal the Proposer has examined all terms, conditions, and requirements set forth in the Request for Proposal; that the Proposer proposes and agrees that if this Proposal is accepted, the Proposer will execute and fully perform the contract for which Proposals are called; that the Proposer will perform all the work and/or furnish all the materials specified in the contract, in the manner and time therein prescribed, and according to the requirements as therein set forth; and that the Proposer will take in full payment therefor, the prices set forth in the contract. Signature: Date Signed: Name & Title: 18

19 ATTACHMENT 2 Client References (MINIMUM OF THREE REFERENCES REQUIRED) CLIENT NAME: NAME OF PROJECT: CITY/COUNTY: STATE: ADDRESS: KEY CONTACT NAME: TELEPHONE: DETAILS DATE SERVICES WERE PROVIDED: SCOPE OF THE ASSIGNMENT ON THE PROJECT: ADDITIONAL REMARKS: 19

20 ATTACHMENT 3 LOCAL BUSINESS ENTERPRISE (LBE) PARTICIPATION PROGRAM NOTE: Proposers must provide responses to the following items. Failure to provide a response to each of the items in this section may be grounds for rejection of the proposal. 1. LBE FIVE PERCENT (5%) PREFERENCE On April 3, 2012, the Sacramento City Council adopted a Local Business Enterprise (LBE) Preference Program to provide enhanced opportunities for the participation of local business enterprises (LBEs) in the City s contracting and procurement activities. On November 19, 2013, City Council increased the LBE preference and authorized City departments to require minimum LBE participation levels in individual contracts. Under City Code section , when the bid specifications for a City contract establish a minimum participation level for LBEs, no bidder on the contract shall be considered responsive unless its bid meets the minimum LBE participation level required by the bid specifications. The City has established a minimum 5% participation level for LBEs on this contract. Pursuant to City Code Section , no bidder on this contract shall be considered responsive unless its bid meets or exceeds this minimum participation level. Local Business Enterprise means a business enterprise, including but not limited to, a sole proprietorship, partnership, limited liability company, corporation, or other business entity that has a legitimate business presence in the city or unincorporated county of Sacramento. Evidence of legitimate business presence in the city or unincorporated county of Sacramento shall include: 1. Having a current City of Sacramento Business Operation Tax or County of Sacramento Business License for at least twelve (12) consecutive months prior to submission of bid; and 2. Having either of the following types of offices or workspace operating legally within the city or unincorporated county of Sacramento for at least twelve (12) consecutive months prior to submission of bid: a. The LBE s principle business office or workspace; or b. The LBE s regional, branch or satellite office with at least one full time employee located in the city or unincorporated county of Sacramento. A. LOCAL BUSINESS ENTERPRISE (LBE) Is the firm submitting the bid qualified as a local business enterprise? Check the appropriate box below: YES the firm submitting the bid is qualified as a local business enterprise. NO the firm submitting the bid is not qualified as a local business enterprise. If the response to the above is YES, provide the City of Sacramento Business Operations Tax Certificate Number and/or County of Sacramento Business License Number: If the response to the above is YES, provide a current copy of the City of Sacramento Business Operations Tax Certificate and/or County of Sacramento Business License. If the response to the above is YES, provide business office or workspace address*: 20

21 * Address must be a physical address for the basis of location, this excludes P.O. Box addresses. 21

22 22

23 LOCAL BUSINESS ENTERPRISE (LBE) PREFERENCE PROGRAM REQUIREMENTS (City Contracts, no Federal Funds Used) I. LBE PREFERENCE PROGRAM On April 3, 2012, the Sacramento City Council adopted a Local Business Enterprise (LBE) Preference Program to provide enhanced opportunities for the participation of local business enterprises (LBEs) in the City s contracting and procurement activities. On November 19, 2013, City Council increased the LBE preference. The LBE Program provides for a five percent (5%) preference on all City procurement opportunities under $100,000. For professional service contracts only, this preference also applies to procurement opportunities of $100,000 or more. A bid or quotation submitted by a firm that is located within Sacramento city and/or the unincorporated county of Sacramento will receive a five percent (5%) bid evaluation preference for the purpose of determining the lowest responsible bidder. If, after applying the 5% bid evaluation preference, the bid of an LBE firm receiving such preference is determined to be the lowest responsible bid, the award will be made for the actual amount bid. Bidders shall submit proof to the City demonstrating that the business is in compliance with all applicable laws relating to licensing and is not delinquent on any City of Sacramento or County of Sacramento taxes, permits, or fees. II. LBE QUALIFICATIONS A. A LBE designated in the bid must be qualified as a LBE prior to the time set for submission of bids. B. Local Business Enterprise means a business enterprise, including but not limited to, a sole proprietorship, partnership, Limited Liability Company, corporation, or other business entity that has a legitimate business presence in the city or unincorporated county of Sacramento. Proof of legitimate business presence in the city or unincorporated county of Sacramento shall include: 1. Having a current City of Sacramento Business Operation Tax or County of Sacramento Business License for at least twelve (12) consecutive months prior to submission of bid; and 2. Having either of the following types of offices or workspace operating legally within the city or unincorporated county of Sacramento for at least twelve (12) consecutive months prior to submission of bid: a. The LBE s principle business office or workspace; or b. The LBE s regional, branch or satellite office with at least one full time employee located in the city or unincorporated county of Sacramento. 23

24 C. A LBE must provide a physical address for the basis of location. This excludes P.O. Box addresses. D. A LBE must provide a current copy of the City of Sacramento Business Operations Tax Certificate and/or County of Sacramento Business License. III. APPLICATION OF LBE PREFERENCE A. When applying the LBE preference to a Bid, the preference shall apply to the Bid price solely for Bid evaluation purposes such that the total price bid by a Local Business shall be reduced by five percent (5%) of the amount bid by that Local Business, and the reduced Bid amount shall be deemed the amount bid by that bidder. The Contract price shall in all events be the amount Bid by the successful bidder awarded the Contract. B. When applying the LBE preference to a Proposal, the preference shall apply in the form of additional points to the Proposal's final score such that the score awarded to a Proposal submitted by a Local Business is increased by five percent (5%) of the total possible evaluation points. C. The LBE preference shall apply to all City procurement opportunities under $100,000 and professional service contracts of $100,000 or more IV. DEFINITIONS A. Local Business Enterprise (LBE): A business enterprise, including but not limited to, a sole proprietorship, partnership, limited liability company, corporation, or any other business entity that has a legitimate business presence in the city or unincorporated county of Sacramento. B. Proposal: Any response to a City solicitation for Proposals or Qualifications. C. Bid: Any response to a City solicitation for bids. 24

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