DATE: January 19, 2021
SUBJECT:
Title
RESOLUTION AUTHORIZING AGREEMENT AND PURCHASE ORDER WITH CARAHSOFT TECHNOLOGY CORPORATION FOR DOCUSIGN LICENSING AND ENTERPRISE PREMIER SUPPORT SERVICES WITH FIVE-YEAR TOTAL COST OF OWNERSHIP NOT TO EXCEED $660,603.15. EXPENDITURES FOR FY2021 ARE BUDGETED. FUNDS REQUIRED FOR FUTURE FISCAL YEARS WILL BE BUDGETED IN THE APPROPRIATE FISCAL YEAR, SUBJECT TO BOARD APPROVAL UPON ADOPTION OF EACH FISCAL YEAR’S BUDGET
Body
EXECUTIVE SUMMARY:
In January 2018, the District’s Information Technology Department began efforts to automate document signature business processes by implementing a pilot roll out of an electronic signature solution. The pilot of the solution, “DocuSign,” proved the platform met District business requirements and the decision was made to extend the solution to key staff in every department at the District. This enterprise roll-out focused on two key business processes used District-wide, agreement/lease signatures, and invoice signatures.
Work from home directives issued in March 2020 then drove the requirement for other forms and documents, previously executed with wet signature, to be processed using a digital signature solution that could be used by all staff working remotely. DocuSign was further leveraged to facilitate electronic signatures for these additional documents, thus allowing business to successfully continue while staff worked remotely.
These increased uses of the DocuSign solution have caused an increase in licensing costs. The five-year Total Cost of Ownership, at current licensing counts, is $660,604. Staff proposes utilizing National Association of State Procurement Officials (NASPO) pre-competed agreement number AR2472 to continue the purchase of required licensing through Carahsoft, DocuSign’s exclusive reseller.
RECOMMENDATION:
Recommendation
Adopt a Resolution Authorizing an Agreement and Purchase Order with Carahsoft Technology Corporation for DocuSign licensing and Premier Support services.
Body
FISCAL IMPACT:
The cost to the District for the first five years is estimated at $660,604. Funds for the first year of the Purchase Order are budgeted in Fiscal Year 2021/2022 of the Technology Management Program’s Equipment and Systems operating expense account. Funds needed for future fiscal years will be budgeted in the appropriate fiscal year and cost account, subject to Board approval upon adoption of each fiscal year’s budget.
Compass Strategic Goals:
This agenda item supports the following Strategic Goal(s).
• A thriving and modern maritime seaport.
• A Port with an innovative and motivated workforce.
• A financially sustainable Port that drives job creation and regional economic vitality.
DISCUSSION:
In January 2018, the Information Technology Department began efforts to automate document signature business processes by implementing a pilot roll out of an electronic signature solution which allowed documents to be sent, reviewed, and signed electronically from any computer or mobile device. The pilot of the solution, “DocuSign”, proved the platform met District business requirements and the decision was made to purchase 15 licenses to be used for tenant agreements and leases.
The success of the pilot rollout led to an additional 45 licenses for an enterprise roll-out focused on three key business processes used District-wide: agreement/lease signatures, invoice signatures, and public permit signatures.
Furthermore, to comply with the State of California’s Executive Order N-33-20 (Stay at Home Order) in March of 2020, license counts were increased 60 to 120. Work from home directives meant that forms and other documents which had previously been executed with wet signature while in the office, now required an alternative remote solution. Staff worked to configure DocuSign to accommodate these additional signatures processes, thus allowing business to successfully continue remotely.
While the increase in licensing over time has caused an increase in license costs, DocuSign has enabled the District to gather required signatures:
• Efficiently - In some cases DocuSign has reduced processing times from weeks to days
• Securely - DocuSign security features include unique envelope ID and Certificate of Completion to keep the document’s integrity. A digital signature is legally binding in the United States through the “Electronic Signatures in Global and National Commerce Act” and the “Uniform Electronic Transactions Act.” DocuSign is ISO 27001:2013 certified as well as AICPA (American Institute of Certified Public Accountants) SOC 1 Type 2 and SOC 2 Type 2 certified.
• Transparently - DocuSign gives visibility into where a document is in the review and signature process
Additionally, DocuSign has allowed the District to offer transactional park permits to the public by allowing permit requestors to sign all required documents from within the park permitting system instead of printing, signing, scanning, and emailing the signed documents back to the District. DocuSign has also allowed for these signed documents to merge with park permitting payment summaries.
The five-year total cost of ownership, at current licensing counts, is $660,604. Staff proposes utilizing National Association of State Procurement Officials (NASPO) pre-competed agreement number AR2472 to continue the purchase of required licensing through Carahsoft, DocuSign’s exclusive reseller.
General Counsel’s Comments:
The Office of the General Counsel has reviewed and approved this agenda, the proposed agreement and purchase order, and resolution, as presented, as to form and legality.
Environmental Review:
The proposed Board action, including without limitation, a resolution to purchase DocuSign licensing and support services, does not constitute a "project" under the definition set forth in California Environmental Quality Act (CEQA) Guidelines Section 15378 because it will not have a potential to result in a direct or indirect physical change in the environment and is, therefore, not subject to CEQA. No further action under CEQA is required.
The proposed Board action complies with Sections 21 and 35 of the Port Act, which allow for the Board to pass resolutions and allow the Board to do all acts necessary and convenient for the exercise of its powers. The Port Act was enacted by the California Legislature and is consistent with the Public Trust Doctrine. Consequently, the proposed Board action is consistent with the Public Trust Doctrine.
The proposed Board action does not allow for "development," as defined in Section 30106 of the California Coastal Act, or "new development," pursuant to Section 1.a. of the District’s Coastal Development Permit Regulations. Therefore, issuance of a Coastal Development Permit or exclusion is not required.
Equal Opportunity Program:
Not applicable.
PREPARED BY:
Catherine Nazal
Management Analyst, Information Technology
Attachment(s):
Attachment A: Agreement with Carahsoft Technology Corporation for DocuSign
Attachment B: Purchase Order with Carahsoft Technology Corporation