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4.7 SR 03-04-2024 Request for Action To Item Number Mayor and City Council 4.7 Agenda Section Meeting Date Prepared by Consent Agenda March 4, 2024 Lori Stich, Finance Manager Item Description Reviewed by Contract with Civic Systems for New Financial Joe Stremcha, Assistant City Administrator Software Reviewed by Cal Portner, City Administrator Action Requested Approve, by motion, authorization to enter into a contract with Civic Systems for new financial software. Background/Discussion The City of Elk River has used Tyler Technologies InCode financial software for 15 years for general ledger, accounts payable, accounts billable and budgeting. The city utilizes other applications, including Excel Spreadsheets, to track projects and budgeting. Over the past year, the finance division researched replacement options to simplify and improve operations. After narrowing choices to Civic Systems and BS&A, staff recommends Civic Systems. Below is a summary of the costs for each product: Civic Systems BS&A Initial Setup/Conversion $88,855 $115,000 Annual Support $23,970 $36,340 Staff feels that Civic Systems will provide the most opportunities to improve our processes, including our ability to move to a nearly paperless workflow for accounts payable upon implementation. Civic Systems also has additional applications such as payroll, HRIS, business licensing and community development which we could consider migrating to when existing contracts expire providing greater integration and potential cost savings. Neighboring cities of Otsego, Big Lake, and Becker also use this software. Financial Impact The purchase was budgeted in the 2024 Capital Outlay Reserve Fund for $200,000. The initial setup/conversion include employee training and travel costs for implementation staff. Mission/Policy/Goal Meet the needs in an ever-changing environment for a sustainable and prosperous community. Attachments  Civic Systems Estimated Pricing Detail The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: January 2023