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Emphasys Computer Solution, Incn emphasys S O F T W A R E PROPOSAL FOR City of La Quinta Request for Proposal Investment Reporting and Analytics Software March 20, 2023 Treasury SymPro Management Software SODOLIN"TSrn Pro S March 20, 2024 Rosemary Hallick Finance Department City of La Quinta78495 Calle Tampico La Quinta, California, 92253 Re: Cover Letter Dear Ms. Hallick Emphasys is pleased to submit the enclosed proposal for Investment Reporting and Analytics Software. This proposal is valid for 90 days from the proposal due date. Over the past thirty years, the SymPro software solutions have become the standard for the Government Sector in Investment Management Software. In the State of California, over 100 Public Sector entities including 45 Cities are using the SymPro Investment System. Our clients include: the City of Los Angeles, the City of San Jose, the City of Thousand Oaks, the City of Bakersfield, the City of Pasadena, and the City of Santa Barbara to name a few. Our solutions are public sector driven. No other vendor in the market can match our experience and knowledge of public sector processes. I will be your primary contact throughout the procurement process, and I am authorized to make representations to you for these purposes. You may reach me in the following ways: Mailing Address: Office: (510) 584-9015 3675 Mt. Diablo Blvd E-mail: jdemarco@emphasys-software.com Suite 280 Lafayette, CA 94549 Peter Bakonyvari, General Manager is authorized to contractually obligate the firm. I look forward to working with you and helping the City meet its treasury management needs. Sincerely, Joe DeMarco Regional Sales Manager Emphasys Software - SymPro Division Srn Pro I TREASURY MANAGEMENT SOLUTIONS Firms Background, Qualifications, and Experience, including the following: (a) Legal name of Company, and if incorporated, the state in which the company is incorporated and the date of incorporation. Legal Name: Emphasys Computer Solutions Inc. Incorporated in the State of Michigan in 1984 (b) If the firm is a subsidiary of a parent company, identify the parent company Emphasys Software is a wholly owned subsidiary of Constellation Software, Inc. (CSI), a publicly held entity whose stock is traded on the Toronto Stock Exchange under the symbol CSU. CSI is headquartered in Toronto, Canada, has offices in North America, Europe, and Australia, and has over 15,000 employees and a market cap of over $65 Billion. CSI was recently named one of the top 100 largest software companies in the world. (c) Taxpayer Identification Number (a W-9 will be required should proposer be selected) 39-2464382 (d) Number of years in business and/or number of years providing the services described in this RFP 35 years (e) Resumes of the Project Manager or key personnel who will be responsible for performance if any agreement results from this RFP See Section 6 (f) Summarize the firm, its structure and product lines, and the software being offered Emphasys' SymPro Division is the established leader in meeting the needs of Public Sector Treasury Managers —a group of users unique in terms of demands for system functionality and meeting regulatory requirements. Our experience in simplifying the treasury reporting and accounting process is unmatched in the Treasury community. That's why hundreds of governmental organizations and agencies trust us with their financial and operational needs. Organizations of all shapes and sizes rely on our SymPro solution to comprehensively manage investment, debt, and cash portfolios with increased accuracy and efficiency --leading to data integrity, standardization, and reliability. The SymPro solution is being used in over 370 installations nationwide with client portfolios ranging from $25 million to over $15 billion in assets. Our customers include Counties, Cities, Power Agencies, Utilities, Transportation Agencies, School Districts, and other various public sector entities. Srn Pro I TREASURY MANAGEMENT SOLUTIONS The SymPro Investment Management System was originally developed to address Public Agency reporting requirements mandated in 1985. These requirements involved the management and reporting associated with fixed income securities. In 1990, the company expanded the feature set of the software to address the analytical and reporting requirements of Investment managers and cash managers. SymPro's sole focus and commitment is providing treasury solutions to public sector entities. 100% of our development is geared towards meeting the needs of our public sector clients Section 2 — Scope of Services The City of La Quinta has been successfully using the SymPro Investment Management solution for their investment portfolio tracking, reporting, and accounting needs. The SymPro system helps manage fixed income investments and liquidity, create daily and monthly reporting, calculates returns and yields, monitors compliance, exposure risk, and more. Over the past thirty years, the SymPro software solutions have become the standard for the Government Sector in Investment Management Software. In the State of California, over 100 Public Sector entities including 45 Cities are using the SymPro Investment System. Our clients include: the City of Los Angeles, the City of San Jose, the City of Thousand Oaks, the City of Bakersfield, the City of Pasadena, and the City of Santa Barbara to name a few. Our solutions are public sector driven. No other vendor in the market can match our experience and knowledge of public sector processes. System Details We are proposing a Microsoft Windows based solution that will run in a network environment utilizing any current Windows operating system. The solution will be accessible by 3 users concurrently. The proposed solution includes the following SymPro Investment modules currently implemented at the City: Investment System — Fixed Income Module Financial Service —Import of Market Pricing from Custodial Bank Fixed Income Module The Fixed Income Module provides a standard methodology for maintaining investment positions, reporting on earnings and investment assets, displaying original and updated valuations, and keeping a schedule of cash flows and maturities. It features on-line calculations of interest transactions by date, investment yield, yield to maturity, total interest due and amortization of discount and premiums. The program can manage an unlimited number of portfolios and includes a fund number option that assigns each investment position to a particular fund, client, or manager. The system produces over 50 standard reports. Among them is a GASB 31 mark to market report, a GASB 40 interest rate risk report, a GASB 72 report, a Total Return report calculated on a time weighted basis, maturity and interest receivables reports, numerous investment listing and performance reports, and much more. Srn Pro I TREASURY MANAGEMENT SOLUTIONS The module also offers enhanced reporting and analytics for performance -oriented finance managers. This module allows you to monitor price volatility using modified, original, and effective duration. "What - if" analysis can be performed on full or multiple partial sales and recorded with full cash flow history. Specific interest periods for floaters and auction rate preferred bonds are available. These bonds may be redeemed or rolled over to the next period with a new interest rate for each period. All rolling and reverse repurchase agreement investment types are conducted in this module. Enhanced reporting features include consolidated reporting by individual fund or a range of funds, batch reporting for your daily or weekly management reports, and subsidiary performance reporting enabling you to track individual funds or money managers as well as the total portfolio. Conclusion Over the past thirty years, the SymPro software solutions have become the standard for the Government Sector in investment accounting and reporting. We have over 370 client installations, 100% in the public sector, in 45 different states. We have the knowledge and experience to continue to provide a software solution to City that meets your investment reporting, tracking, and accounting needs. Minimum requirements of the investment management software solution are as follows: (a) Correctly report on all security types as permitted under California Government Code §53601 Yes, the system provides a standard methodology for maintaining investment positions, reporting on earnings and investment assets, displaying original and updated valuations, and keeping a schedule of cash flows and maturities. (b) Produce a suite of reports necessary for monthly and/or quarterly reporting to the Financial Advisory Commission and the City Council. Reports should include, at a minimum, the following: security issuer; purchase date, maturity date, original cost/book value, PAR value, market value, and yield of each investment; portfolio weighted average yield and maturity; portfolio total return; and portfolio total earnings. Please specify if reports are customizable and if there are illustrative tables, charts or graphs included. Provide samples of such reports as part of the submittal. All of the requirements above can be met by the SymPro Investment System currently in use by the City. The system produces over 50 standard reports. Among them is a GASB 31 mark to market report, a GASB 40 interest rate risk report, a GASB 72 report, a Total Return report calculated on a time weighted basis, maturity and interest receivables reports, numerous investment listing and performance reports, and much more. (c) Calculate interest accruals, premium and discount amortization as needed, interest revenue received for a specified period and revenue projections for a specified period (inclusive of interest as well as maturities). Yes, the system features on-line calculations of interest transactions by date, Srn Pro I TREASURY MANAGEMENT SOLUTIONS investment yield, yield to maturity, total interest due and amortization of discount and premiums. The system produces over 50 standard reports. Among them is a GASB 31 mark to market report, a GASB 40 interest rate risk report, a GASB 72 report, a Total Return report calculated on a time weighted basis, maturity and interest receivables reports, numerous investment listing and performance reports, and much more. (d) Ability to export reporting in formats readable by Microsoft Excel, text files, csv, and/or Portable Document Formats. Yes, this is a standard feature (e) Ability to import reporting from custodial bank to include market pricing and/or interest received. The current solution at the City has the ability to import market prices from your custodial bank. As an option we are proposing the Custodial Download Service. This will allow the City to automatically import investment transactions from your Custodial Bank for automation of data entry. This is priced as an option to give the City flexibility. (f) Specify if software has market pricing functionality built-in, and include source of pricing, frequency of pricing updates, and whether or not the market pricing function has additional software, system, or service subscription requirements. This is available as an option in place of importing market prices from your custodial bank. It would include once per month market pricing from an outside pricing service called DATAFEED, which is maintained by ICE Data Services. Describe the software, its platform and/or its delivery: (a) Is software desktop/local or cloud -based? The current solution installed at the City is a Microsoft Windows based solution that will run in a network environment utilizing any current Windows operating system. As an option, we are proposing a hosted version. This will give the users of SymPro the ability to access the system remotely from any browser and eliminate the need for the City's IT department to maintain the application at the City. (b) How frequently is the software updated? We will deploy patches and fixes as needed. We typically deploy an enhancement release every 12 to 18 months. Your customer service representative will coordinate all updates and will perform preliminary testing with your sample database before releasing it to the client for testing and final production readiness. Srn Pro I TREASURY MANAGEMENT SOLUTIONS (c) Describe the technology or system requirements including servers/memory/storage if applicable. SymPro applications can be installed on a network file server or a workstation. To use SymPro applications you need the following minimum system requirements: NETWORK FILE SERVER Microsoft Windows Operating System (2019, 2022) 8GB RAM 4GB available disk space CLIENT/STAND-ALONE WORKSTATION Microsoft Windows Operating System (10, 11) 16GB RAM 20GB available disk space (d) If cloud-based/hosted, please list how many times over the past two years the system was unavailable to clients. Describe the back-up system in place, including disaster recovery or business continuity plans. Describe all security measures and disclose any hosting partners if applicable. Optional Hosted Solution Details: Client Connectivity Clients connect through a browser using HTMLS connectivity. Supported browsers include Internet Explorer (Depreciated), Chrome, Safari, Firefox, and other chromium -based browsers. Authentication And Application Delivery Kerberos is leveraged to establish a connection to the hosted application. Kerberos is a widely used and proven ticketing secure authentication method. In addition to Kerberos, multiple multi -factor authentication (MFA) services can be utilized for an extra layer of protection. (Available for an additional fee) It provides high-level data security by integrating Google Authenticator. Compute Our products are hosted on Azure Virtual Machines with Premium SSD v2 for all Operating System Disks and Data Disks, Microsoft Azure guarantees you will have Virtual Machine Connectivity of at least 99.9%. Full Disk Encryption is provided by using Azure Disk Encryption which utilizes BitLocker. Disk Encryption keys and secrets are managed with Azure Key Vault. Storage Data is stored in Premium SSD using Local Redundant Service (LRS) where it is Srn Pro I TREASURY MANAGEMENT SOLUTIONS constantly copied to two additional disks in the local zone. With LRS we can achieve a 99.99% assurance of data availability. All disks are backed up daily to Azure Service recovery vaults using Geo Redundant Services (GRS). Backups are copied synchronously three times within a primary region. Backups are also copied asynchronously to another secondary physical location. Backups are kept for 180 days. Data is encrypted using 256-bit AES encryption. This is FIPS 140-2 compliant and is one of the strongest block ciphers available. Disaster Recovery Workloads for both physical and virtual machines are replicated using Azure's site recovery. Replication is done from the primary site to a secondary location. When an outage occurs, there is an option to failover to the secondary location. Data from both disk and memory is backed up constantly and synchronously to a secondary location with a maximum latency of 30 seconds. In the event of hardware failure or datacenter unavailability, return to operations (RTO) within 48 hours of the declaration of the disaster. Either new hardware or an alternative datacenter would be provided. Monitoring Emphasys leverages Azure Monitor. Azure Monitor is a comprehensive solution that collects and analyzes data. This data can then be used to maximize performance and availability of resources and identify any problems. Using Log Analytics, Emphasys can interactively analyze and run log queries to gain various insights into data. Azure Sentinel is utilized by Emphasys to provide security information and event management. It uses built-in Al to quickly analyze large volumes of data and investigate suspicious activity. Security Emphasys uses Network Security Groups that contain security rules to control inbound and outbound network traffic. Each rule specifies source, destination, port, and protocol. Azure Web Application Firewalls are leveraged to protect against common web - hacking techniques such as SQL injection and security vulnerabilities such as cross -site scripting. With this we can have complete visibility into the environment and block malicious attacks. Emphasys protects applications using Azure's DDoS Protection. Always -on traffic monitoring monitors traffic 24 hours a day and 7 days a week. Adaptive threat intelligence detects and mitigates DDoS attacks automatically. End -user Srn Pro I TREASURY MANAGEMENT SOLUTIONS connections are encrypted with SSL/TLS and FIPS 140-2 compliant encryption. This practice ensures adherence to data compliance policies such as PCI DSS, HIPPA, and GDPR. (e) Does this software assist with accounting journal entries or reconciliations? Yes, with the optional GL Module & Interface The SymPro General Ledger Module and Interface is designed to create general ledger journal entries to reflect investment transaction activity within a portfolio for a specific date range. The activity includes purchases, sales, maturities, interest received, investment earnings, and other standard fixed income transactions. Once the journal transactions are created, you can view the transaction file on screen, print reports based on the file's data, and export the data to your GL System. (f) Does the software include audit trail functionality? Yes, the system has the ability to provide audit trails for data that is entered, edited, and deleted when the user ID password functionality is deployed. (g) Describe the historical data the software maintains. Data in the system can be retained for as long as a user desires. There is an optional yearly closing process that takes a user through a year- end closing process. During this process, the data is archived, and only open positions are moved forward to the next fiscal year. Archived data can be stored for as long as necessary. (h) Provide an estimated implementation timeline and describe how existing data will be imported into the software. Not applicable, the software is already in use at the City. (i) List resources provided for customer service, technical support and training, including business hours available and average response time for technology - related inquiries. Our process for customer support is characterized by being proactive, not reactive, in our approach. To that end, the City can expect the following: 1. A primary Customer Service Specialist will be assigned to the City and will meet with the City on a regular basis. The purpose of this meeting is to ensure Emphasys fully understands the City's priorities. 2. No charges for phone support, it can be used as much as you want with no additional charges for calls above average. Srn Pro I TREASURY MANAGEMENT SOLUTIONS 3. Routine courtesy follow-up calls to ensure customer satisfaction. 4. Training Webinars provided at no cost. 5. All software updates and patches. A client call tracking system is used to log support calls. Calls are listed at (1) general information inquiries, (2) Issues that do not affect general operations, (3) Issues that are affecting general operations, (4) Issues that have halted general operations. Issues are given priority depending on their severity, but clients usually get a response the same day. Severity Description Response Duration Level Time Time to 1 Business Day Issues that have halted general respond is >90% Critical operations, client is down. 1-2 business hours Issues that affect general operations Time to 2-3 Businoess High and there is not an acceptable respond is Days >90 /o workaround. Client is operational. business a days Issues that do not affect general Time to 1-2 Weeks Low operations and there may be an respond is 1 >80 /o acceptable workaround. — 3 business days For general information inquiries, responses could take up to 24 hours to receive an answer depending on call volume. The product support team has initial access to this information, and they can pass information along to sales, marketing, or corporate management if necessary. Issues that cannot be solved to a Client's satisfaction will be escalated to the Director of Operations and ultimately to the General Manager of Emphasys for final resolution. Section 3 — References (g) Number of clients using the software, and how many are government agencies Over 370 Public Sector Clients across the Country. In the State of California, over 100 Public Sector entities including 45 Cities are using the SymPro Investment System. (h) Client name, contact person, telephone number, and email address of at least two clients Srn Pro I TREASURY MANAGEMENT SOLUTIONS City of San Jose, CA Cesar Blengino (408) 535-7043 cesar.blengino@sanjoseca.gov Implemented the SymPro Investment System in August of 2017 City of Thousand Oaks, CA Jane Alderman (805) 449-2221 jadelmann@toaks.org Implemented the SymPro Investment System in October of 2000 Section 4 & 5 — Pricing Investment Management ■ Fixed Income ■ Multi -User (3 Concurrent Users, Network) ■ Financial Services —Import of Market Prices from Custodial Bank Annual Maintenance & Support $5,394 (7/1/2024 — 6/30/2025) Options Hosting (3 Named Users) $3,600/Year Custodial Download Service $5,000/Year (Transaction Import from 1 Custodial Bank) Section 6 — Staffing and Project Organization The SymPro division on Emphasys Software is based in Lafayette, CA and this is the office that will be involved in providing the service to the City. Some key personnel the City may interact with include: S rnPro SoLU�oNSN= Carlton Young Director of Professional Services Carlton Young has worked in the banking and financial industry for over 25 years, working with public funds and insurance companies. Carlton joined SymPro at the beginning of 2000, and currently oversees the implementation, technical support and quality assurance groups at SymPro. He is involved with the regional training of SymPro users and often works in implementing new users. Carlton works closely with the programming group to provide insight from the users' perspective. Carlton has a BS in Managerial and Agricultural Economics from the University of California at Davis. Prior to joining SymPro, Carlton worked at the Bank of New York in the securities lending group, overseeing accounts in the Western United States. He has spent his entire career, working for financial institutions providing custody administration and securities lending services. Carlton is very knowledgeable about securities and the reporting needs of institutional investors. Jake Hensley Implementation Consultant Jake Hensley has worked in treasury and finance for over 11 years, serving at local government and higher education organizations. At Emphasys, Jake is responsible for product implementation, support, and training. As a former SymPro client, Jake is an experienced user of the product, and is familiar with governmental accounting and treasury needs. He aims to help clients optimize the product to increase efficiency of operations and alignment with best practices. Jake has a BS in Accounting from Colorado Mesa University and an MBA from Eastern Washington Stacy Sebastian Sr. Product Consultant Stacy Sebastian has worked in the banking industry for over 10 years as a product officer in the Treasury Management group. Stacy joined SymPro in 2003 and currently is a Treasury Analyst. She is an integral member of the product support, quality assurance and client training groups. Stacy works closely with the clients to address both technical and functional inquiries. Stacy also works with the Product Management group to address technical specifications of the software. Stacy has a BS in Business Information Systems from DeVry Institute in Pomona, CA. Prior to joining SymPro; Stacy worked at Union Bank of California and Wells Fargo Bank in their Treasury Management group. She has supported various cash management products for the medium to large corporations. Jay McCormick Sr. Software Engineer Jay is a Software Engineer with Emphasys Treasury and Debt Management team. Jay has been with Emphasys Software since 2009 and working in software development for over 25 years. At Emphasys, Jay provides custom programming, interface development, client technical support and participates in the design and architecting of solutions. Jay holds a BS in Computer Science from Iowa State University and holds certifications in various programming languages, concepts, and technologies. Srn Pro I TREASURY MANAGEMENT SOLUTIONS University. He is also a Certified Treasury Professional (CTP). Prior to joining Emphasys, Jake was the Treasury Manager for the City of Spokane in Washington state, where he oversaw the city's cash management, investment portfolio and pool, and debt. Section 7— Subcontracting Services We do not utilize Subcontractors. Section 8— Disclosures There have been no alleged significant prior or ongoing agreement failure, any civil or criminal litigation or investigation pending, which involved the proposer or in which the proposer has been judged guilty or liable within the last five (5) years. Section 9— Acknowledgement of Insurance Requirements If selected, we will provide the minimum insurance coverage and indemnification noted in Exhibits E and F, respectively, of the City's Agreement for Contract Services. Exceptions to Agreement for Contract Services The following is intended to serve as a non-exclusive list of the provisions in Attachment 1- Agreement for Contract Services we would like amended. If awarded the contract under the RFP, we would expect the ability to negotiate the terms of the terms and conditions. The below is a summary of the provisions that are of specific concern at this time: Attachment 1- Agreement for Contract Services: • Paragraph 1,2,4,6,7 and 8 of Services of Contracting Party • Paragraph 1,2 and 3 of Compensation • Paragraph 1,2,3 and 4 of Performance Schedule • Paragraph 2,3 and 4 of Coordination of Work • Insurance • Indemnification • Records and Reports Srn Pro I TREASURY MANAGEMENT SOLUTIONS • Paragraphs 2,3,7, 8 and 9 of Enforcement of Agreement • City Officer and Employees; Nondiscrimination • Paragraph 8 of Miscellaneous Provisions • Exhibit E- Insurance Requirements • Exhibit F- Indemnification In addition, we would expect the ability to add provisions related to licensing terms and restrictions, limitation of liability, and IP ownership rights. CAL*0P-NL ATTACHMENT 2 INSURANCE REQUIREMENTS ACKNOWLEDGEMENT Must be executed by proposer and submitted with the proposal I, Joe DeMarco (name) hereby acknowledge and confirm that Emphases Computer Solutions, Inc. (name of company) has reviewed the City's indemnification and minimum insurance requirements as listed in Exhibits E and F of the City's Agreement for Contract Services (Attachment 1); and declare that insurance certificates and endorsements verifying compliance will be provided if an agreement is awarded. I am a Regional Sales Manager. of Emphases Computer Solutions, Inc., (Title) (Company) Commercial General Liability (at least as broad as ISO CG 0001) $1,000,000 (per occurrence); $2,000,000 (general aggregate) Must include the following endorsements: General Liability Additional Insured General Liability Primary and Noncontributory Commercial Auto Liability (at least as broad as ISO CA 0001) $1,000,000 (per accident) Personal Auto Declaration Page if applicable Errors and Omissions Liability $1,000,000 (per claim and aggregate) Worker's Compensation (per statutory requirements) Must include the following endorsements: Worker's Compensation Waiver of Subrogation Worker's Compensation Declaration of Sole Proprietor if applicable 44(V 1. 11.3PUH 111 ATTACHMENT 3 NON -COLLUSION AFFIDAVIT FORM Must be executed by proposer and submitted with the proposal I, Joe DeMarco (name) hereby declare as follows: I am a Regional Sales Manager of Emphases Computer Solutions, Inc., (Title) (Company) the party making the foregoing proposal, that the proposal is not made in the interest of, or on behalf of, any undisclosed person, partnership, company, association, organization, or corporation; that the proposal is genuine and not collusive or sham; that the proposer has not directly or indirectly induced or solicited any other proposer to put in a false or sham proposal, and has not directly or indirectly colluded, conspired, connived, or agreed with any proposer or anyone else to put in a sham proposal, or that anyone shall refrain from proposing; that the proposer has not in any manner, directly or indirectly, sought by agreement, communication, or conference with anyone to fix the proposal price of the proposer or any other proposer, or to fix any overhead, profit, or cost element of the proposal price, or of that of any other proposer, or to secure any advantage against the public body awarding the agreement of anyone interested in the proposed agreement; that all statements contained in the proposal are true; and, further, that the proposer has not, directly or indirectly, submitted his or her proposal price or any breakdown thereof, or the contents thereof, or divulged information or data relative hereto, or paid, and will not pay, any fee to any corporation, partnership, company, association, organization, proposal depository, or to any member or agent thereof to effectuate a collusive or sham proposal. I declare under penalty of perjury under the laws of the State of California that the foregoing is true and correct. Proposer Signature. Proposer Name: Proposer Title: Company Name: Address: Joe DeMarco Regional Sales Manager Emphases Computer Solutions, Inc. 3675 Mt Diablo Blvd, Suite 280, Lafayette, CA 94549 ta Qaiata C:AL*OPNIA - ATTACHMENT 4 ACKNOWLEDGEMENT OF RECEIPT OF ADDENDA Must be executed by proposer and submitted with the proposal; If no addenda has been issued, mark "N/A" under Addendum No. indicating Not Applicable and sign /_191Q=1zIBill Ly,Iz[9� 'i[rU/_ri 10=1 V11][GY_r1l,[H:7=[91=1121