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Item 17 Staff Report

Palo Alto City Council
December 16, 2024

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Item 17 Staff Report
Meeting
December 16, 2024
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Palo Alto City Council
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City Council
Staff Report
From: City Attorney
Report Type: CONSENT CALENDAR
Lead Department: City Attorney
Meeting Date: December 16, 2024
Report #:2411-3837
TITLE
Approval of Purchase Order C24193066 with Origami Risk LLC for Records Management Software Supporting the City’s Claims and Litigation for a Three-Year Term Not-To-Exceed Amount of $206,310; CEQA: Not a project

RECOMMENDATION
Staff recommends that City Council approve and authorize the City Manager or their designee to execute Purchase Order C24193066 with Origami Risk LLC to procure Origami Risk software through December 16, 2027, in an amount Not-To-Exceed $206,310.

BACKGROUND
The City Attorney's Office is responsible for processing and investigating all claims and handling litigation brought against or by the City. Since 1973, the City Attorney’s Office has utilized CYCOM Data Systems Inc.’s Claims and Litigation module (“Citylaw”) to manage documents, calendars, and other records relating to claims and litigation matters. Reliable and efficient information management is critical for processing and reporting relating to claims and litigation matters. CYCOM has an annual maintenance fee of $5,116 but the system is antiquated and has become unreliable and inefficient due to frequent crashing and errors. A new state-of-the-art claims management system (CMS) is critically needed to maintain the integrity of essential records, and will increase efficiency by allowing us to streamline processes, run detailed reports, improve accuracy, and facilitate annual audits.

ANALYSIS
On review of industry offerings, staff determined that software from Origami Risk, LLC meets office needs and provides best value. After assessing the Office's needs through interviews of key personnel, the City Attorney’s Office conferred with surrounding jurisdictions, researched the market and various systems online, and received demonstrations of system capabilities from several potential vendors. Origami Risk LLC is a privately held company led and wholly owned by an experienced management team. Founded in 2009, Origami Risk provides records management software that serves as an alternative to the legacy technology used by other

suppliers. Origami Risk connects data, automates workflows, provides access to analytics and insights, and improves collaboration and communication. With over 190 government contracts, Origami provides a full-featured CMS platform for most major coverages, including but not limited to General Liability, Property, Auto, Auto Physical Damage, etc., providing comprehensive functionality including claims management as well as incident intake, letter merge, and reporting.

In 2016, the County of San Mateo entered into contract no. 17000-16-R074356 with Origami Risk for their claims management. In accordance with PAMC section 2.30.360(k), the City may use “another governmental or public agency's contract or substantially the same contract terms provided: (i) the agency uses a solicitation method substantially similar to the method required by this chapter; (ii) the contract is consistent with the requirements specified in this municipal code; and (iii) the Procurement Officer determines that the city will realize overall value to utilizing the other agency's contract or contract terms compared to the city performing its own solicitation.” Procurement staff has determined that the procurement of this software is exempt from the City’s competitive solicitation requirements as the County of San Mateo’s contract with Origami Risk meets the criteria under this section.

FISCAL/RESOURCE IMPACT
The Fiscal Year 2025 Operating Budget includes one-time funding of $100,000 for software acquisition and an initial estimate of $35,000 for recurring annual costs. Actual annual recurring costs will be $53,155 yearly. The Fiscal Year 2026 Operating Budget will include an adjustment to align with this cost.

STAKEHOLDER ENGAGEMENT
The services were coordinated with internal stakeholders and the service provider.

ENVIRONMENTAL REVIEW
The approval of this contract is exempt from review under the California Environmental Quality Act (CEQA) under CEQA Guidelines section 15061(c)(3) because it can be seen that there is no possibility that the activity in question may have a significant effect on the environment.

ATTACHMENTS
Attachment A: Origami Agreement C24193066
APPROVED BY:

Molly Stump, City Attorney

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