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REQUEST FOR COUNCIL ACTION 1 <br />DATE: April V 1^95 <br />Ciry <br />ITEM NO <br />^ ISss <br />a <br />Department Approval: <br />Name Ron Moorse <br />Title City Administrator <br />Admin^trator Reviewed: <br />'A <br />Agenda Section: <br />City Administrator's <br />Report <br />Item Description: ^ <br />Financial Reporting and Information Systems Recommendation <br />As part of the 1995 budget process, staff identified the potential for significantly reducing data <br />processing/information systems costs through the installation of an in-house information <br />processing system. The city has been a member of the LOGIS information processing system <br />for a number of years. Staff has analyzed the LOGIS system versus in-horse systems in terms <br />of capabilities, ease of use, versatility/flexibility, and costs to determine if the city would be <br />better served by changing to an in-house system. The report regarding this analysis is attached <br />for your review . <br />Benefits of In-House System <br />The comparison identified a number of benefits in the areas of capabilities, ease of use, <br />versatility/flexibility, and costs. Several benefits are as follows: <br />1. <br />2. <br />3. <br />4. <br />The in-house system would be installed on a Local Area Network which would <br />significantly improve the city’s ability to share, retrieve, process and preserve <br />information. <br />The proposed new financial and accounting system enables more effective and <br />efficient work processes in the areas of accounting and financial reporting. <br />The in-house system would place the city into a more flexible position in terms <br />of being able to take advantage of opportunities provided by new technology. <br />The Local Area Network p* )vides an environment and opportunities which <br />encourage staff to develop skills in the use of personal computers to increase <br />efficiency and effectiveness of operations. <br />The in-house system would enable the city to make the most effective use of in- <br />house expertise in the areas of personal computers and management information <br />systems. <br />The in-house system provides significant cost savings: <br />A. When the initial comparison of costs was conducted, the cost savings <br />related to changing from the LOGIS system to an in-house system were