City of Santa Monica
California

Staff Report
2880

Award Request for Proposal and enter into agreement with ProDIGIQ, Inc. for Property Management Software

Information

Department:Public Works, Airport DivisionSponsors:
Category:03. Consent Calendar

Recommended Action

Recommended Action

Staff recommends that the City Council:

1.     Award RFP# 212 to ProDIGIQ, Inc, a California-based company, for proprietary and web-based comprehensive real estate and asset management software for the Public Works Department; 

  1. Authorize the City Manager to negotiate and execute a software licensing and services agreement with ProDIGIQ, Inc, in an amount not to exceed $144,000 (including a $24,000 contingency) for two years, with three additional one-year renewal options in the amount of $72,000, including a 20% contingency per year, for a total amount not to exceed $360,000 over a five-year period with future year funding contingent on Council budget approval. 

Staff Report Body

Summary 

The City owns various properties (e.g., commercial offices, raw land, and hangars) that are leased by tenants for a wide range of uses including for restaurant, retail, hotel and museum space, aircraft parking and storage, educational uses and artist studios. The Airport, in the Public Works Department, manages nearly $14.5 million a year in lease revenue to the Airport Fund (which by law is confined to airport-related uses) and an the Economic Development Division, in the Housing and Economic Development Department, manages an additional $14 million in lease revenue. The property management software program currently used by Airport and EDD staff does not support planned improvements for staff efficiencies or enhancements to tenant customer service. Staff recommends awarding an agreement to ProDIGIQ, Inc. to provide property management software that would adapt to the City’s growing property management needs, such as online payments, maintenance software connectivity, marketing functionality, and improved document management and reporting. The property management efficiencies realized by the new software would align with the Framework Outcome and Sub-Outcome of Governance and Stewardship, respectively.

 

Discussion 

The City provides property management for 671 leasable spaces: 515 managed by the Airport Division and 156 managed by EDD. Leases and licenses produce a significant amount of revenues to the General Fund and other funds, including more than 70 percent of the total annual Airport Fund and Pier Fund revenues.

 

The City currently uses a proprietary, web-based, comprehensive real estate and asset management software called Yardi for operations, lease execution, analytics, and accounting process services. This software, at its current configuration, does not provide a full menu of options to support planned improvements to efficiencies in managing City properties.

 

The number of properties managed directly by the City has greatly increased since 2015 when the Airport began the process of eliminating subleases of Airport properties and assets at the City Council’s direction (Attachment A). This resulted in the need for real estate and asset management software with enhanced functionality that the current software does not provide. At one point, the previous software’s functions sufficed, but as the City has continued to grow and implement new systems, interdepartmental software communication has become critical. Although there is an added cost when compared to the previous software, this new solution provides unlimited licenses and communication with other City systems. The added licenses would allow for access to those that closely collaborate with the Airport and EDD. Additionally, as part of the RFP requirement, the software will communicate with other stand-alone software in the City to enhance staff efficiencies and eliminate the need to transfer information from one system to the other. These are capabilities that are beyond those of the current software and staff has determined that the proposed software will be able to provide these needed services.

 

Since the software licensing and service agreement with Yardi is set to expire on December 31, 2019, the City issued a Request for Proposals (RFP) seeking property management software that would enhance the City’s ability to manage its properties. Capabilities the City sought within this RFP included:

 

·         the ability to accept online payments;

·         the ability to connect to the City’s maintenance software to improve staff’s response time to service requests;

·         enhanced lease advertising capabilities that would allow the City to promote its vacant properties to prospective tenants, including uploading pictures within the software program;

·         improved document management; and

·         the ability to provide robust reporting.

 

The software that would be provided by ProDIGIQ would increase functionality, upgrade customer service capabilities, and improve staff’s overall property management efficiency. ProDIGIQ would also provide software training and support. While being user-friendly and having an easily customizable interface, the software would also streamline and digitize several tasks currently done manually. This would allow staff to focus more time on customer service, property management and the maintenance of City assets.

 

Past Council Actions

03/24/15

(Attachment A)

Council directed staff to eliminate subleasing of Airport properties and assets and undertake the property management of various City-owned properties at the Airport

 

Vendor Selection

RFP Data 

RFP Posting Date 

RFP Posted On 

RFP Advertised In 
(City Charter & Municipal Code) 

# of Vendors Downloaded 

# of Submittals Received 

Date Publicly Opened 

02/07/2019 

City's Online Bidding Site 

Santa Monica Daily Press 

51 

4 

04/01/2019 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

RFPs Received 

 

Selection Criteria 

ProDIGIQ, Inc. 

 

Municipal Code 

SMMC 2.24.190 

Yardi 

 

Evaluation Criteria 

Experience, competence, ability to perform services promptly, reputation, and price. 

Main Street Computing 

 

Carahsoft Tech Corp 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Justification to Award 

Of the four proposers, staff shortlisted and interviewed two firms. Based on this criteria and criteria in SMMC 2.24.190, staff recommends ProDIGIQ, Inc. as the best qualified firm to provide a proprietary, web-based comprehensive real estate and asset management software product. ProDIGIQ was the only vendor that proposed software with capabilities that met all the City’s needs. The vendor has experience working with agencies such as the Ontario International Airport, Fullerton Municipal Airport, and Dallas Love Field Airport. ProDIGIQ’s references cited exceptional product results. 

 

Financial Impacts and Budget Actions 

Staff seeks authority to approve funding from the Airport Fund and General Fund to award an agreement with ProDIGIQ, Inc. for a proprietary, web-based comprehensive real estate and asset management software product.

Agreement Request 

 

Request Amount 

FY 2019-20 Budget 

Account # 

Total Contract Amount 

 $57,600 

57500001.575090  

$288,000 

$14,400 

01160004. 552010 

$72,000 

$72,000 

Total: 

$360,000 

 

Future year funding is contingent on Council budget approval.   

Meeting History

Aug 27, 2019 5:30 PM  City Council Regular Meeting
draft Draft