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I I I I and these would pull us through for the short or medium term. Eventually the system will have to be replaced, the question is when." Director Ponty said staff was asking for ~ $10,000 for the basic study and authority to engage KPMG for anyone or combination of additional research options. Councilwoman Buchan said, "The report states we acquired this software in 1981 ITom a company that went bankrupt after we installed it. For sixteen years or so we have been able to maintain and upgrade the software as necessary. That is a long time. How much longer can this go on? Let us not wait until it does crash completely. Director Ponty and I have had discussions about this, as well as Councilman Claire. This is a very wise move on our part to move ahead now and see what we need to do before the roof caves in." Vice Mayor Howard thanked Director Ponty for the detailed report, and suggested KPMG look at Oracle software. Director Ponty said KPMG would compare the functionality of the City's system to systems currently being installed in cities the same size. He said preliminary discussions suggest that Oracle would probably be at "the high end of what we could afford." Councilwoman La Berge said it was amazing what the Finance Department has accomplished since 1981 without substantial upgrades, as well as providing fmancial services for other jurisdictions. Director Ponty said the City was currently providing software support services to SBSA, South San Francisco, San Bruno and Burlingame. - Councilman Leipzig said the Finance Department receives an award every year for doing an outstanding job, and it is well deserved. "We seem to get our paychecks out and we spend money pretty well around here. If we said OK, let's get new software and you told me on the phone that we are looking at three quarters of a million dollars, ball park, would you still need the services of KPMG to analyze which software we would need, want and could afford?" Director Ponty said, "depending on the results of the evaluation, if the recommendation is to Council that we proceed with new financial software, our recommendation is to go with a consultant other than KPMG, to avoid the appearance of a conflict of interest." Councilman Leipzig said, "I think the need for new software in the immediate future is there. What that is we don't know. We don't know if it is going to breakdown next week, next year, next five years. We have a lot going on in Redwood City... I would ask the Council to think about not approving this tonight. This is nearly $23,000 or $24,000 for a study when we pretty much know we are going to need this new software. Let's put it into the budget, pencil it in for three quarters of a million dollars for the following year. Let's get the City Hall opened, the fire station opened, get some of these projects behind us. Free up some of our mental thinking, abilities, time, energy, and just go out to that direct -- consultant vendor and say we need new software. I think it saves money, and I think it saves the focus of our department heads." REGULAR COUNCIL MEETING MINUTE BOOK NO. 55 APRIL 21, 1997 MINUTES Page No. 273 PAGE 21