ADMINISTRATIVE REPORT
MEETING DATE: April 8, 2026 AGENDA CATEGORY: Consent - Agreements TO: Honorable Mayor and City Council
FROM: Randy McKeegan, Finance Director
DATE: March 25, 2026
SUBJECT: Amendment No. 1 to Agreement NO. 2023-041 with VertexOne Software, LLC 2 (increasing compensation $998,856; revised not to exceed $2,666,401) for additional data migrations and project scope adjustments necessary for completion of utility billing system implementation.
RECOMMENDATION:
Staff recommend approval of the amendment.
BACKGROUND:
On February 8, 2023, the City of Bakersfield entered into a Master Services Agreement, (Agreement 2023- 041) with VertexOne Software, LLC (“VertexOne”), to implement a new utility billing software system.
The City and VertexOne have determined that an amen dment to Agreement No. 2023 -041 is necessary due to data -quality issues identified during the implementation of the VXcis system. During the data conversion process, the condition of the legacy data required substantially more remediation and validation than originally anticipated. To ensure the accuracy, completeness, and reliability of all data migrated into the new system, three additional data migrations were deemed essential.
Exhibit E includes the expanded scope and timeline adjustments outlined in the “First Amendment” with specific details provided in two separate documents related to the new scope or work. The first is connected to an additional data migration necessary to prepare for the final phases of the integration.
The second lays out additio nal data migrations required to finalize data corrections, support expanded User Acceptance Testing (UAT), and System Integration Testing (SIT). These activities materially affect the project schedule and overall scope. As a result of the expanded effort, the project’s go-live date must be revised to November 2026, with Final Acceptance expected in January 2027.
FISCAL IMPACT:
The $998,856 increase is available in the ERP project established for the City. No appropriation of additional funds is necessary.
COUNCIL GOAL:
Innovative and Efficient City Government
ATTACHMENTS:
Amendment to agreement