Des Plaines approves $766,000 year-end purchase

The Des Plaines city council has authorized a $766,400 purchase for software to help streamline the city's processes and day-to-day operations, officials said.

The software, Enterprise Resource Planning, replaces an old management system, which costs about $84,000 yearly to maintain and will not be supported beyond 2013, said Michael Duebner, director of information technology.

The new software will be used across departments to manage a variety of city functions including payroll, budgeting, accounting, licensing, permitting, human resources, parking citations, utility billing, street repairs and real estate transfers.

Half the cost will be paid from the city's general fund reserves and the remainder will be covered by the capital equipment replacement fund.

Duebner said the need for the software upgrade is essential as current city processes are disconnected and don't interact with each other.

However, two city aldermen said they felt the purchase was being rushed at the last meeting of the year without being given enough time to study other options.

Eighth Ward Alderwoman Rosemary Argus said the issue never came up during the city's extensive budget discussions and hearings, held September through November.

“If this is going to be more efficient are we going to be eliminating more positions?” Argus asked.

The city eliminated four administrative positions — director of building and code, economic development coordinator, a deputy fire chief, and assistant to the public works and engineering director — and made other cuts to save $535,000 in 2011.

Duebner said staff reductions aren't foreseen as a result of the software purchase.

City officials said since the software upgrade was a big-ticket item, City Manager Jason Slowinski decided not to present it as part of the $96 million 2011 budget, which was approved last month.

The city's finance committee reviewed the software purchase earlier this month where a lot of the aldermen's questions were answered.

However, the impetus to buy it now is simply because the vendor offered to cut the price by $200,000 if the city went ahead with the purchase before year's end, said 4th Ward Alderwoman Jean Higgason, who chairs the finance committee.

Fifth Ward Alderman James Brookman said it's an unnecessary expense at this time and believed the vendor was forcing the purchase in order to shut out competitive bidding.

“I think we can look at it in the next budget year,” Brookman said. “I frankly don't like the pressure. We are passing it on the last meeting of the year outside of the budget process, which sets a bad precedent. The efficiencies described today don't convince me that this needs to be approved tonight.”

Sixth Ward Alderman Mark Walsten said he believes the software upgrade is key to the future operations of the city.

“I think spending money on an antiquated system is very irresponsible,” he said.

The city council waived competitive bidding and approved the purchase by a 6-2 vote. Brookman and Argus opposed the deal.

Duebner said he hopes to have the new software running by September 2011.