SOLE SOURCE JUSTIFICATION FORM
I Bulletin or Reference Number: R200105-0006S15 SECTION I·GENERAI..INFORMATION Requesting AgencylUniversity: Name of Requestor: Tille:
Southern Illinois University at Department/Bureau/Section: Carbondale David Crain Dale: Pinnacle Telemanagement Software Calero
Information Technology April 10, 2015
Provide a desorlption of the supplies or services required: In 2010, SIUC awarded a contract through an RFP process for Plnncale software which belonged to Paetec. Paetec was then acquired by Windsteam in 2011. In that same year before before being acquired by Wlnds!ream, Paetec acquired Compco. In 2013, Clearlake Capital Group purchased Pinnacle from Wlndstream and two other communcations management solutions providers to form a subsidiary called Calero. Maintenance and hosted/managed service for Pinnacle. a telemanagement software used by Telecommunications Services for information gathering and billing. The fee includes maintenance and hosting/managing of application and databases at the vendor's facility. Value of Initial Term, this Change Order or Amendment, or if a Renewal, Value of this Renewal: $ 91,500
Value is: 0 Actual Estimated
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New Sole Source
This is a: Professional and ArtistiC?
0
Yes
121
No
Sole Source may not be ulled for amendments for Professional or Artistic SelVices if the amendment would increase the value by more than 5% of the Initial award or extend the term by more than 60 days.
SECTION II - PROPOSED TERM DOne-Time Purchase IZ! Term Contract Estimated Begin Date: 5/10/2015
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Estimated Contract End Date: 1/31/2020
One-Time Amendment or Change Order to an Existing Contract for Reasons Other Than Adding Additional Funds Explain (Then Skip Section III and go to Section IV):
If a Term Contract, does the term, including renewals, exceed 12 121 Yes 0 No months? If yes, a detailed justification is required: The University and Calero would like the term of this agreement to coincide with the term of the original agreement that was awarded on December 15, 2014. Telecommunications Services unit operates on a Local Account. all telecommunications related services are tracked and charged to campus departments and private on-campus entities. The Pinnacle Telemanagement software is essential for the tracking and billing of services includir.g time and material costs, long distance call charges, etc. Further more, Calero and its affiliates own all rights, title and interest including intellectual property rights, in the Pinnacle Software. No other vendors can provide maitenance, consulting, training or support services. It also took 3 years of effort and costs incurred to implement, making it time consuming and costly to replace the software.
SECTION 11/ - RENEWALS Number of Potential/Remaining Renewals: Length of Each Renewal in Months: Total Value of All or Remaining Renewals;
$
SECTION IV • FUNDING Select the type of funding to be used (check all that apply): Federal Funds 0 State A ro riated Funds
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SECTION V· SOLE SOURCE JUSTIFICATION This purchase is economically only available from a single source because it is:
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o o o o o o o
Art or Entertainment Services or Athletic Events Compatibility of Equipment, Accessories, Replacement Parts or Service Critical Changes to the Existing Contract Are Necessary and Best Accomplished by the Contract Holder Federal/State Grant Requires Contract with Vendor Items are Copyrighted or Patented and the Items are Only Available From the Holder - Ccpyright or Patent Number(s): Items are Required by an Existing Franchise Agreement Items are Required for Research and No Other Source is Able to Meet the Researcher's Documented Need Items are for Commercial Resale Items Are Needed for Trial Use or Testing
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Media for Advertising Necessary Adjustment of Utility Facilities in Conjunction with Highway Construction Organization Memberships (Dues, Fees, Conference Charges Including Mandated Travel and Related Expenses) Public Utility Regulated Services Radio and/or Television Broadcast Rights Railroad Crcissings;/Fsiciliities Alterations - Proprietary
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SOLE SOURCE JUSTIFICATION FORM Bulletin or Reference Number: R200105-0006815 SECTION VI· HISTORY Has the Agency or University purchased these supplies or services in the past?
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Yes
0
No
yes, STARTING WITH THE MOST RECENT CONTRACT AND WORKING BACKWARD, for the entire relationship with this vendor for this supply or service, list each term, value, short description and type of procurement of each: Term From: 211/2010 2/1/2011
Term: One Two
Term To: 1/31/2011 1/31/2012
Value: $ 79,297.80 $ 63,161
Description: Bid was awarded to Compco. Contraot transferred to Paeteo and later Wlndstream due to acquisitions. Original renewal Original renewal Original renewal Contract
Contract Number:
7696 7696
Type: Competitively Bid Renewal
7696 1/31/2013 Renewal 2/1/2012 $ 63,161 Three 7696 Renewal 2/1/2013 1/31/2014 $ 63,161 Four 1/31/2015 7696 Renewal 2/1/2014 $ 63,161 Five 1/31/2020 $ 331,652 7696 Sole Source 2/112015 Six Seven Select One $ Select One Eight $ Select One Nine $ Ten Select One $ If more than 10 years, explain: The RFP which was awarded to Compco in 2010 included software installation, maintenance, and training but did not include hosted/managed service. In 2011 CompcQ was acquired by Paetec which also took over our contract with Compco. The value shown under term One is the actual amout paid to Com co, the bid amount was $193,690. SECTION VI! • BUSINESS RATIONALE
1.
Provide a detailed explanation of the need for the supplies or services: The Telecommunications Services Unit operates on a Local Account. All services and costs are tracked and charged to departments or private entities on-campus. Pinnacle Telemanagement software is essential for the tracking and billing of services. Sole Source notice R2001 05-0006S was published to procure on-going hosting and maintenance of the software. Recently after this Sale Source was awarded Calero introduced a new module for the Pinnacle system. This new module, Pinnacle Invoice Manager, will seamlessly integrate with the university's current system and will benefit our processes in the following ways. Calero will handle the download of the monthly vedors' invoices, verify them fOf accuracy, dispute any discrepancies, and apply charges to the customers accordingly. Invoice Manager also includes the automation of the Administrative Information System's General Ledger feed process which currently is done manually with programs writen by an employee who has retired. This integration can prevent the dependacy on one single employee and lack of continuity whe he/she leaves the employment of the university.
2.
Why are the requested supplies or services the only one that can satisfy your requirements? Calero and its affiliates own all rights, title and interest including intellectual property rights, in the Pinnacle software. They do not offer their software rights to third part resellers, no other vendors can provide maintenance, consultlng and support services.
3.
What are the unique features of the supplies or services that are not avaHable in any other produot or by any other vendor? Provide specific, quantifiable factors/qualifications: Pinnacle Telemanagement software has a full suite(1 00%) of features designed by telecommunicarion experts for use by Telecommunication department in universities and private companies across the United States. Calero has personnel who are well versed in developing, consulting and training on this software.
4.
If services, what are the unique qualifications this vendor possesses? Provide specific, measurable factors/quaHficatlons: We have been using Pinnale for a long time, our data entry process and format have been fully designed for use in Pinnacle, making it difficult to migrate to a oiffent software platform. Plus it has the ability to synchronize the data on our SL-1 00 phone switch with the information on the system.
5.
Were alternative supplies or services evaluated? 0 Yes lZJ No Sa. If yes, name the alternative vendors whose supplies or services were evaluated: NfA 5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Please be specific with regard to features, characteristics, requirements, capabilities and compatibility:
NIA 5c.
6.
If no, why were alternatives not evaluated? Alternatives were not evaluated because this is a proprietary software only available from this vendor. This system has been fully integrated within the University's systems and daily operations. An RFP was submitted in October 2009 and the bid was awarded to Compco on February 1st, 2010. In 2011, Paetec the parent company of Pinnacle acquired Compco and assumed the contract responsibility. That same year Paetec was acquired by Windstream which was later acquired by Clearlake Capital Group in 2013. Clearlake Capital Group acquired Pinnacle from Wlndstream and two other communications management solution providers to form a subsidiary called Calero.
What efforts were made to get the best possible price? Effort was made by negotiating with Calero to privide best possible price for the Invoice Manager module. No other vendors were sought because the Invoice Manager Module has to integrate with the existing Pinnacle communications management software in production which is owned by Calero and is a hosted service.
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Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or 7a. If yes, please provide details regarding future obligations and/or needs:
8.
Why is the price for Iris purchase considered 10 be fair and reasonable? The price is fair and reasonable based on the quotes we received on the RFP 5 years ago.
need?
0
Yes
tEl
No
If this Is a renewal, describe why circumstances are such that competitive selection Is stll! not an alternative since awarding the original contract: N/A
O.
11.
What will be the financial or other Impact to the state if this s01e source Is not approved and a competitive bid is required? A competitive bid would result in one responsive bidder due to Calero and its affiliates owning all rights, title and interest including intellectual property rights. In the Pinnacle software. In the absence of an approval, access to the software will be denied, leaving SIU Teleccmmunicatlons Services without a telemanagement software solution, or in other words, without the fundamental tool necessary to conduct daily business operations. Telecommunications Services operates under a local account, services provided and other experses are funded by charge back to the customers. Information pertinent to services provided Including cable records, time and material, subscriber information, work orders, trouble tickets, and long distance charges are recorded and managed through the use of Pinnacle telemanagement system. Is there any additlona! justification information that you would like to add to Justlfy this sole source?
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SECTION VIII· APPROVALS REQUESTING DEPARTMENT SIGNATURE
r
are
Jeffrey K. Goh
4-10-15
Printed Name
618-453-6232
Director of Information Technology
[email protected]
Requesting Department Representative Tele hone Number
Requesting Department Representative Email Address
STATE AGENCY BUREAU/DIVISION HEAD OR UNIVERSITY PURCHASING DIRECTOR APPROVAL AND SIGNATURE REQUIRED I know and understand the contents of this Sole Source Justification and attest thai all statements are true and correct and that the fairness and reasonableness of the price was adequately confirmed.
Debbie Abell Printed Name
[email protected]
618-453-5751
Director of Procurement Services State Agency BureaulDivision Head or UnIversity Purchasin Director Email Address
SPO APPROVAL AND SIGNATURE REQUIRED I know and understand the contents of this Sole Source Justification and have verified that all statements are true and correct and that the fairness and of the price adequately confirmed.
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