RECOMMENDATION:
THAT the report dated June 14th 2004 entitled
“Acquisition of Hansen GIS Interface Module” be received;
AND that the acquisition of
the Hansen GIS Interface Module and related items and services be awarded to
Hansen Information Technologies - Canada Inc. (Hansen Canada Inc.) in an amount
to be negotiated with the vendor to an upset limit of $82,800 including 8% PST
and 7% GST ($77,760 including 8% PST excluding GST), as authorized by Section
14.1.b of the Purchasing By-Law 143-2000.
AND that the acquisition of an
additional 3 licenses and related maintenance for the ArcGIS software be
awarded to Environmental Systems Research Institute Inc., Canada (ESRI) in the
amount of $47,472 including 8% PST and 7% GST ($44,582 including 8% PST
excluding GST), as authorized by Section 14.1.b
of the Purchasing By-Law 143-2000.
AND that funding be provided from the 2004 ITS Capital Budget - Account
Number 049-5350-6327-005.
PURPOSE:
The purpose of this
report is to obtain approval from Council for the CIO to obtain the Hansen GIS
Interface Module and related items and services from Hansen Canada Inc., and to
obtain an additional 3 licenses and maintenance for the ArcGIS software,
required for use with the Interface Module, from ESRI.
BACKGROUND:
Hansen has been the Town of Markham’s corporate software system of choice since 1999 for
the management of municipal infrastructure assets, service requests and work
orders by the Waterworks and Asset Management departments. The existing implementation consists of two
main databases, geo and asset. Geo
represents the spatial data (lines, polygons, etc.), and asset represents the
text based data (descriptions, sizes, etc.).
Currently, all asset management operations and analyses require the
coordination of information between the two databases (in GIS and Hansen)
through third party software (MS Access) and manual methods. This is cumbersome and leaves significant
room for error.
The Province of Ontario has introduced several BILLS and REGULATIONS (referred to in this
document as “PO-BILLS”) addressing the areas of Water Management and Data
Retention:
BILL
175 – “The Sustainable Water and Sewage Systems Act, 2002”
BILL
190 – “The Safe Drinking Water Act, 2002
REGULATION
170 – “Record Retention of Data and of Activities”
In order to fulfill the more
extensive requirements of these bills and regulations, it has become necessary
to establish a common interface to merge and synchronize the geo and asset
databases in Hansen and GIS. A solution
is required that will provide interactive spatial analysis capabilities,
streamline asset management operations and analyses, and incorporate business
rules and process to offer quick and effective support for decision
making. These factors are crucial to
enable the Town to enhance its operational effectiveness and adhere to the
requirements of the PO-BILLS.
To
identify an appropriate solution for these requirements, an extensive
investigation was conducted. A project
team comprising staff from the business units and ITS worked together to
identify requirements, consider alternatives (including in-house development),
and analyze the feasibility and appropriateness of potential Hansen/GIS
interface solutions.
Also
taken into consideration was the performance of the Town’s current vendor,
Hansen Canada Inc. This company has
consistently provided quality software and service, and has established an
excellent working relationship with the Town.
OPTIONS/DISCUSSION:
The
evaluation of alternatives for an appropriate Hansen/GIS interface focused on a
solution that would provide the features, reliability and functional
requirements identified during the investigation. The solution needed to effectively
synchronize information, streamline processes, and provide effective support
for analysis and decision-making. The
chosen solution would be expected to offer improvements in efficiency and
resulting cost savings. The vendor must
be able to provide consistent, reliable support and top quality service. Finally, it was imperative that the solution
would provide the functionality required for the Town to comply with the legal
requirements of the PO-BILLS.
During the review of available
alternatives, it was determined that due to proprietary considerations, the
Hansen GIS Interface Module from Hansen Canada Inc. was the only product
available on the market capable of linking the Hansen and GIS databases in
accordance with the identified requirements.
(As well, the ArcGIS software, required for use with the Hansen GIS
Interface Module, was only available from ESRI.) Upon further evaluation, it was determined that
Hansen Canada Inc.’s solution readily fulfilled the requirements and criteria
that had been established. The Hansen
GIS Interface Module provided significant benefits and cost savings and could
be implemented at a lower cost than that required for in-house
development.
The Town of Markham’s
Purchasing By-Law 143-2000 Section 14.1.b
provides that, where there is only one source of supply for the goods to
be purchased, the Manager of Purchasing, in consultation with the appropriate Director,
may negotiate a contract for the supply of goods and services.
The position of Hansen Canada
Inc. as the sole available supplier of an interface solution, the quality,
functionality and benefits provided by their solution, their proven performance
with the Town, and the additional considerations outlined below support the
selection of Hansen Canada Inc. to provide the Hansen GIS Interface Module.
Benefits for obtaining the
Hansen GIS Interface Module include:
- The Hansen GIS Interface Module provides the features, reliability
and functionality required. It will
present a common, easy-to-use interface to connect and synchronize data
from Hansen and GIS. It will assist
data conversion, simplify system interaction, and maintain data
integrity. It will allow immediate
response to inquiries and issues, and enable improved service levels;
- The interface module will provide quick and effective support for
the analysis and decision making processes. It facilitates interactive spatial
analysis and links dynamically to all required asset management, customer
and location information. It
provides tools which will reduce time spent consolidating information and
allow for more effective analysis;
- This solution will offer further advantages by automating the
movement of information. It will
increase accuracy and eliminate data transfer errors associated with the
current manual transfer of data from GIS into Hansen.
- Significant benefits in efficiency improvements and cost savings
will be achieved. Current costs and
inefficiencies related to maintaining two disconnected systems will be
avoided. The added functionality of
the interface will streamline work processes, reduce time required to
complete activities, and increase service quality. Cost savings due to reduced staff hours
required have been estimated at approximately $24,700 per year;
- Selection of the Hansen solution will enable the Town to continue
to benefit from Hansen’s excellent service and support record, and the
solid working relationship they have established with the Town;
- The Hansen GIS Interface Module will provide the functionality required for the Town to effectively
comply with the legal requirements of the PO-BILLS. It will incorporate business rules and
process with asset and spatial information to ensure correct procedures
are followed and appropriate decisions are made. This will ensure adherence to all rules
and regulations and enhance operational effectiveness.
Given the quality, functionality and benefits provided by the Hansen GIS
Interface Module, Hansen’s proven track record with the Town, and the additional
considerations discussed above, ITS recommends that the Hansen GIS Interface Module and related items
and services be obtained from Hansen Canada Inc., and that the required 3
ArcGIS software licenses and related maintenance be obtained from ESRI.
Assuming
approval is given and acquisition of the software is processed immediately, the
project can be fully implemented within 10 to 12 weeks and shall be in full
production by no later than mid September 2004.
FINANCIAL CONSIDERATIONS:
Funding will be provided from
the 2004 ITS Capital Budget - Account Number 049-5350-6327-005, to an upset
limit of $130,272 including 8% PST and 7% GST ($125,232 including 8% PST
excluding GST).
Costs will be
distributed as shown below:
|
Cost Item
|
Description
|
Amount
|
|
Hansen
Information Technologies - Canada Inc.
|
|
Software
|
3 Hansen GeoAdministrator Licenses
|
|
|
Consulting
|
Project Management
|
|
|
Training
|
|
$5,400
|
|
|
|
|
Subtotal
|
$72,000
|
|
PST (8%)
|
|
$5,760
|
|
GST (7%)
|
|
$5,040
|
Hansen Canada Inc. Cost
|
$82,800
|
|
|
Environmental
Systems Research Institute Inc., Canada
|
|
Software
|
|
|
|
|
|
|
Subtotal
|
$41,280
|
|
PST (8%)
|
|
$3,302
|
|
GST (7%)
|
|
$2,890
|
ESRI Cost
|
$47,472
|
|
|
Total Cost
|
$130,272
|
BUSINESS UNITS CONSULTED AND AFFECTED:
Through their participation on
the project team, the Waterworks and
Asset Management departments were consulted and provided input. The IT Steering
Committee and CCC were also consulted.
|
|
|
|
|
Peter Loukes
Director, Operations & Asset Management
|
|
Jim Sales
Commissioner of Community & Fire Services
|
|
|
|
|
|
James Allen
Chief Information Officer
|
|
Andy Taylor
Commissioner of Corporate Services
|
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