Approving execution of the following agreements related to the Enterprise Resource Planning Software Project allowing the City Administrator and City Attorney to approve minor modifications for final form including:

1. Executing finalized agreement for Avant Proposal for Project Management services
2. Executing agreements with UKG / Mosaic for Time Entry, Time Evaluation, Scheduling, and Leave Management software and implementation services

The City of Rochester (City), in coordination with Rochester Public Utilities (RPU), received authorization from the City Council and the Public Utility Board to execute contracts for the implementation of an Enterprise Resource Planning (ERP) software solution. Technical implementation commenced on February 10, 2026, with discovery and design workshops beginning in April 2026 and scheduled to continue through December. These workshops occur weekly, include participation from both City and RPU staff, and serve as the foundation for the detailed configuration and build phases now underway.

Following a series of in-depth discussions involving the Payroll Team, the Steering Committee, and other relevant parties, the Project's Steering Committee has elected to adjust its solution approach for Time Entry and Time Evaluation. The revised strategy includes selection of a UKG product along with associated implementation services. This change will produce a net savings within the project budget, allowing additional needs to be addressed without altering the approved scope of the overall solution. Substantial cost savings may be realized by executing this agreement prior to September 30.

Since project initiation, our contracted project management resource, who supported the establishment of our program, has concluded their engagement. In July, they facilitated introductions to alternative service providers to match to our needs going forward. Avant, brings direct experience implementing several of the modules included in our ERP solution and was previously interviewed by the Steering Committee during initial evaluations conducted last November.

This supports our modern system which will have a larger user base, larger peer network, and be more familiar to new hires. Digital content must meet federal accessibility standards as defined by WCAG 2.1 Level AA or be withdrawn by April 2027. A modern ERP will help meet these requirements while being able to recruit from a larger labor pool of relevant skills.

November 14, 2022: Council Meeting - Contract with Government Finance Officers Association (GFOA) for needs assessment, process analysis, and creation of an action plan was authorized.

December 4th, 2023: CIP Approval containing initial funding for the project.

February 3, 2025: Council Meeting - Enterprise Resource Planning Software Requests for Proposals was authorized.

October 20, 2025: Council Meeting - Adopted Resolution No. 262-25 authorizing the finalization of an agreement for future City Council Approval with SAP / HCL for Enterprise Resource Software.

December 8, 2025: Council Meeting - Approved Request for Council Action to execute finalized agreements with SAP / HCL / Euna / Sodales

January 21, 2026: Council Meeting - Approved Agreement between City & RPU and Lakuna Consulting for full-time project management support

This will be paid from the Dec 8th, 2025 City Council approved project budget and not from the project's contingency. The overall impact of these items results in a net savings to the project of $357,700 which will be placed into the project's contingency.

No action will result in critical project management services being missed which would result in change orders of a net increase to the project, delay, or lower quality deliverables.