COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Tax Collector/Treasurer

 

DATE:

01-26-2006

BOARD MEETING DATE:

03-28-2006

SPECIAL NOTICE/HEARING:

None

VOTE REQUIRED:

Majority

 

TO:

Honorable Board of Supervisors

FROM:

Lee Buffington, Tax Collector/Treasurer

SUBJECT:

Request for Approval of an Agreement with Independent Contractor, J&B Software, Inc. for Remittance Processing Hardware and Software upgrade services and for waiver of Request for Proposal process.

 

RECOMMENDATION:

Adopt a resolution authorizing the President of the Board of Supervisors to

    a) enter into an agreement with J&B Software, Inc. to provide remittance processing hardware and software upgrade services in the amount of $329,817.00 for the period March 29, 2006 through June 30, 2006.

    b) Waive the Request for Proposal process.

 

VISION ALIGNMENT:

Commitment: Ensuring responsive, effective and collaborative government by helping achieve the following goals:

Goal(s):

20. Government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

Performance Measure(s):

Measure

What/How Much We Do

FY 2004-05
Actual

FY 2005-06
Projected

Percent of funds received that are processed and banked within 24 hrs.

99%

99%

BACKGROUND:

All of the checks and remittance coupons (stubs) received by the Tax Collector/Treasurer for payment of property taxes as well as payments collected by all other County Departments are processed on two Unisys DP500 remittance processing machines. Digital Images of the checks and stubs processed are captured and stored for future reference. Payment transaction information is sent from the remittance processing machines to the appropriate departmental server for posting. J&B Software’s TMS image product is used to manage this process.

J&B Software, Inc. was engaged by the Tax Collector’s Office in September of 1999 to install their TMS Image remittance processing software for an amount not to exceed $415,000.00. Their product replaced a single operator, microfiche-image based product with software that allowed data entry to be distributed throughout the office based on the digital images and data captured.

The project was completed within budget and on schedule.

 

DISCUSSION:

The current DP500 Unisys remittance processing machines are now more than ten years old and are facing end-of-life. Maintenance costs are currently three times the rate of maintenance charges for a new machine. In addition, the current hardware and software used to store archive images of checks and stubs will be out of warranty and require replacement. The latest version of the J&B Software is expected to greatly enhance our remittance processing operation. This version of the software is also ready for the transfer of check images (Check21) and/or transfer of transaction records (ARC) to the bank when these technologies prove advantageous to reducing County-banking costs.

The current J&B Software product was configured and customized to meet the business requirements of the Tax Collector’s office. The upgraded version will retain these previously developed features. Substituting the current hardware and software with that of another vendor would not serve the best interests of the County and therefore a request for proposal waiver is respectfully requested.

ISD has reviewed and approved the information technology content of this agreement.

 

FISCAL IMPACT:

The contract with J&B Software will cost a total of $329,817.00. Current year funding is included in the Tax Collector’s Budget.