ADSPO13-043465-Amendment_1_Exhibit_E_-_22_CGI_Cost_Proposal_Summary.pdf

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Master Agreement AZ|ADSPO13-043465
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ADSPO13-043465
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Arizona

About this file

This document is a Cost Proposal Summary from CGI Technologies and Solutions Inc. for the Arizona Financial Information System (AFIS) Replacement project, submitted to the State of Arizona on October 15, 2013. The proposal is in response to Solicitation No. ADSP013-00001953 and provides a detailed breakdown of costs for implementing a new enterprise resource planning (ERP) system using CGI's Advantage software.

The proposal presents two total cost options with pricing for mandatory and optional components, including software licensing, implementation services, hosting, and disaster recovery. The total cost ranges from $54,146,566 to $55,497,739, representing an 18-20% reduction from a previous September 2012 submission. The solution includes site-wide licenses for various Advantage modules covering financial management, asset management, grants lifecycle, performance budgeting, and salary forecasting. CGI offers a 98% fit to Arizona's requirements, an enterprise licensing model with no additional costs for new users, and a blended hourly rate of $119.40 for implementation services. The proposal also includes optional components for Budget Development and Travel modules, with specific implementation timelines and potential future expansion opportunities.

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CGI Response to the State of Arizona – Amendment One Cost Proposal Summary Arizona Financial Information System (AFIS) Replacement;

Solicitation No. : ADSP013-00001953 1 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

1 Cost Proposal Summary

CGI has carefully constructed a cost effective proposal response that we strongly believe meets State of Arizona’s short and long-term needs for the Arizona Financial Information System Replacement Project. CGI thanks the State for their time in clarifying the AFIS replacement project effort and is pleased to present an updated cost proposal that includes several benefits in the State’s pricing provided in the Cost Schedules:

75% of the Advantage software enhancements proposed in the September 17, 2012 submittal will be included in the Advantage baseline, providing a higher level software fit out of the box and reducing the long term total cost of ownership

The price of Advantage software enhancements reduced significantly.

Overall price for hosting several Disaster Recovery options are included and contain pricing itemized within the Cost Schedules

CGI staff are re-categorized within work streams defined on Schedule 1 to better reflect effort by work stream

1.1 Schedule 1 – Total Cost

CGI is providing a firm fixed price that includes all costs required to implement the proposed solution consistent with the State’s solicitation.

CGI’s total cost includes a firm-fixed price for the business process redesign, implementation services, software licensure and maintenance, post-go-live support services, mandatory hosting and optional hosting that was requested in the RFP and through additional discussions with the State. The State’s Attachment 1: Cost Schedules have been populated as requested in the RFP. Two Total Cost Options are presented:

CGI Pricing Aligned to Delivery Success

CGI is implementing its own Advantage ERP government software

98% Fit – Total Cost of Ownership lower with Out-Of-Box solution

Cost-effective, pragmatic, and risk-mitigating delivery approach

Licensing discount applied based upon DES being on maintenance

Advantage Enterprise Licensing model translates to no new costs as new users are added

Solicitation No. : ADSP013-00001953 2 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

Table 1: Total Cost Option A vs. Total Cost Option B

Total Cost Option A Total Cost Option B

Mandatory Components

Optional – Hosting of Production Environment

Optional – Hosting of Disaster Recovery Environment

Price (with Taxes) $55,497,739 $54,146,566

Percentage Reduction from September 2012 Submittal

18% 20%

Tables 1 through 4 summarize the pricing for the mandatory portions of our total solution pricing

vs. the Optional components. For these views we are showing the two options for Hosting of Production Environment and Hosting of Disaster Recovery Environment in the optional table, even though these costs are part of the cost evaluation in Schedule 1: Total Cost from Attachment 1: Cost Schedules. The outlined costs are based upon an enterprise license model for Advantage and include limited use models for Advantage Procurement, Human Resource Management, and Employee Self-Service to facilitate integration with the State’s current systems in these areas it has identified it would like to maintain for the foreseeable future.

Overall, we know the robust Advantage built for government capabilities, a 98% fit to AFIS requirements, combined with an implementation partner with proven success on complex statewide rollouts which include DOTs offers the lowest risk implementation at the greatest value for moving this critical initiative to success.

As the State considers the costs for this critical initiative we bring attention to the Value Added components of Advantage outlined in the Appendix B -Value Add to our proposal. The Advantage Collections module and the Managed Advantage offering provide opportunities for the State to leverage CGI’s experience and commitment to Public Private Partnerships. This could be an option to fund AFIS replacement, further decrease the total cost of ownership, free up valuable support resources, keep the new AFIS solution current with releases, and create a level payment model for years into the future. CGI has complied fully with the RFP requirements and we look forward to the opportunity to leverage our extensive experience with Advantage to discuss certain scope items that may offer similar or same results but at a lower cost without invoking new or added risk.

Solicitation No. : ADSP013-00001953 3 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

Table 2: Mandatory Solution Components

Mandatory Solution Components Proposed Price (rounded to the nearest $ for this depiction)

Firm Fixed Price for Mandatory Software and Services of CGI’s Proposed Advantage Solution for AFIS

$51,147,571

Total Price Mandatory Components Before State and Local Transaction Privilege Tax

$51,147,571

State and Local Transaction Privilege Tax $1,404,622

Grand Total Price Mandatory Components $52,552,193

Table 3: Optional CGI Hosting and CGI Disaster Recover (A)

Optional Solution Components (A) Proposed Price (Rounded to the Nearest $ for this Depiction)

Optional - Hosting of Production Environment $2,407,002

Optional - Hosting of Disaster Recovery Environment $538,544

Total Price Optional Components $2,945,546

Table 4: Optional CGI Disaster Recovery (B)

Optional Solution Components (B) Proposed Price

(Rounded to the Nearest $ for this Depiction)

Optional - Hosting of Production Environment $0

Optional - Hosting of Disaster Recovery Environment $1,594,373

Total Price Optional Components $1,594,373

Solicitation No. : ADSP013-00001953 4 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

Table 5: Amendment 1 vs. March 2013 Pricing with Total Cost Option A

Services Costs (Schedule 2)

Project Mgmt and Functional/Technical Cost (Schedule 2 Ref A) 21,127,933$ 20,958,702$ 169,231$

Enterprise Readiness Cost (Schedule 2 Ref B) 3,838,707$ 3,838,707$ 0$

Development (Schedule 2 Ref C) 8,122,586$ 8,122,586$ 0$

Software Costs (Schedule 5)

Software License (Schedule 5 Ref A) 4,608,549$ 4,651,103$ (42,554)$

Ongoing Software Licensure (Schedule 5 Ref B) 8,792,277$ 8,873,461$ (81,184)$

Hardware Costs (Schedule 6) 574,920$ 580,228$ (5,308)$

Project Team Training Costs (Schedule 8) 390,575$ 390,575$ -$

Hosting Costs (Schedule 9)

Non-Production Environment Hosting Costs (Schedule 9 Ref A) 744,611$ 744,611$ 0$

Optional Production Environment Hosting Costs (Schedule 9 Ref B) 2,407,002$ 2,407,002$ 0$

Optional Disaster Recovery Environment Hosting Costs (Schedule 9 - Option A) 538,544$ 538,544$ 0$

All Other Costs (Schedule 10) 4,352,036$ 4,392,221$ (40,186)$

Firm Fixed Price - Mandatory Software and Services 52,552,193$ 52,552,194$ (1)$

Firm Fixed Price - Optional Hosting Services - A 2,945,546$ 2,945,546$ 0$

Total Firm Fixed Price 55,497,739$ 55,497,740$ (1)$

Cost Category Amendment 1 Total

March 2013 Submission

Change in Price

Solicitation No. : ADSP013-00001953 5 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

Table 6: Amendment 1 vs. March 2013 Pricing with Total Cost Option B

CGI has populated the Cost worksheets with information from our proposed work plan. It is fully anticipated during Project Initiation activities the work plan and corresponding cost schedules will be updated. The information provided should give the State information needed to drive the final budget allocation for the project. CGIs response is fully compliant to the State RFP. To be fully compliant, CGI made the following cost assumptions in generating the proposed costs:

CGI fully anticipates final work plan and cost schedule adjustments based upon project start and final contract discussions with the State will be made upon contract negotiations and project start-up activities.

The Vendor responsibility for production operations not only includes the maintenance and support of the application, but of the infrastructure purchased by the Vendor for the operations (hardware, database, operating system, for example).

State staff levels are based upon our experience with other State’s similar in size to Arizona. Actual FTEs needed is dependent upon level of availability/commitment, experience level, functional knowledge, functional skills and technical skills. Staff levels depicted is based upon the State’s desire to transition the ERP to the State for on-going support. If the State elects to leverage our Managed Advantage Value Add option, the

1 Services Costs (Schedule 2)

2 Project Mgmt and Functional/Technical Cost (Schedule 2 Ref A) 21,127,933$ 20,958,702$ 169,231$

3 Enterprise Readiness Cost (Schedule 2 Ref B) 3,838,707$ 3,838,707$ 0$

4 Development (Schedule 2 Ref C) 8,122,586$ 8,122,586$ 0$

5 Software Costs (Schedule 5)

6 Software License (Schedule 5 Ref A) 4,608,549$ 4,651,103$ (42,554)$

7 Ongoing Software Licensure (Schedule 5 Ref B) 8,792,277$ 8,873,461$ (81,184)$

8 Hardware Costs (Schedule 6) 574,920$ 580,228$ (5,308)$

9 Project Team Training Costs (Schedule 8) 390,575$ 390,575$ -$

10 Hosting Costs (Schedule 9)

11 Non-Production Environment Hosting Costs (Schedule 9 Ref A) 744,611$ 744,611$ 0$

12 Optional Production Environment Hosting Costs (Schedule 9 Ref B) -$ -$ -$

13 Optional Disaster Recovery Environment Hosting Costs (Schedule 9 - Option B) 1,594,373$ 1,594,373$ 0$

14 All Other Costs (Schedule 10) 4,352,036$ 4,392,221$ (40,186)$

15 Firm Fixed Price - Mandatory Software and Services 52,552,193$ 52,552,193$ 0$

16 Firm Fixed Price - Optional Hosting Services - B 1,594,373$ 1,594,373$ 0$

17 Total Firm Fixed Price 54,146,566$ 54,146,566$ 0$

Cost Category Amendment 1

Total March 2013 Submission

Change in Price

Solicitation No. : ADSP013-00001953 6 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

State can anticipate the full time staff needed on the project and in production to drop significantly.

The hourly rate reflects a firm fixed price blended hourly rate for the purposes of completing the cost schedule and is dependent upon the final scope and approach selected.

CGI has assumed net-30 payment terms for invoices.

CGI has assumed that hardware and licenses will be invoiced and paid at the time of installation.

The State will allow for off-site personnel for production operations as long as there are personnel available on-site for knowledge transfer to the State.

The 180 day warranty commencing on go live date will conclude for acceptance when all critical and serious defects have either been resolved, or have an identified remediation plan for them. Items requiring a remediation plan completion date beyond the 90 day period will be handled as part of production support activities.

The State will allow for off-site personnel for production operations as long as there are personnel available on-site for knowledge transfer to the State.

The 180 day warranty will conclude for acceptance when all critical and serious defects have either been resolved, or have an identified remediation plan for them. Items requiring a remediation plan completion date beyond the 90 day period will be handled as part of production support activities.

The State requests a summary of pricing associated with the State Transportation Improvement Plan (STIP) implementation including but not limited to software, implementation and other services. The table below summarizes key components. The cost proposal does not include pricing for STIP implementation and software.

Solicitation No. : ADSP013-00001953 7 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

Table 7: State Transportation Improvement Plan Costs Item Hours / Price Cost Schedule

STIP Implementation $511,510 Schedule 2 & Schedule 4 Please see Transportation Analyst- STIP (4,284 hours)

STIP Custom Modifications $0

STIP Reports $296,351 Schedule 3 Please see reports with functional area of State Transportation Improvement Program (STIP) (2,482 hours)

STIP License $291,600 Schedule 5 Advantage Performance Budgeting & Formulation license

STIP Maintenance for contract term $703,591 Schedule 5 Advantage Performance Budgeting & Formulation maintenance

Total $1,803,051

1.2 Schedule 2 – Services Cost

Schedule 2-Services Cost includes the cost by position and month in delivering ERP services for implementing the CGI Advantage solution for the AFIS replacement project. CGI is proud to present an experienced CGI Advantage ERP team with a specially discounted blended rate of $119.40 per hour to deliver a successful implementation.

1.3 Schedule 3 – Development Cost

Schedule 3-Development Cost includes development costs for the State of Arizona modifications, interfaces, conversion, infoAdvantage data warehouse changes, infoAdvantage reports creation, and development pool of hours. Hours for configuration are not reflected in this Cost Schedule. Configuration would include activities such as business rule setup within the CGI Advantage ERP or business intelligence toolset. The development hours by work stream are shown in the table below.

Solicitation No. : ADSP013-00001953 8 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

Table 8: Summary of Hours by Development Work stream

Development Work Stream Development Hours

Enhancements 16,506

Interfaces 13,668 15,792

Conversion 15,792 13,536

Business Intelligence (infoAdvantage) 20,061 17,578

Development Pool of Hours 2,000 4,614

1.4 Schedule 4 – Consulting Hours by Month

Schedule 4-Consulting Hours by month includes the hours by position and month in delivering ERP services for implementing the CGI Advantage solution for the AFIS replacement project.

1.5 Schedule 5 – Software Costs

Schedule 5-Software Costs inventories software required by the State of Arizona for the AFIS Replacement project. All software-related costs required as part of CGI’s proposed solution have been included in the pricing found in Schedule 5 – Software Costs. CGI presents a favorable Existing Client Discount resulting in a 23% reduction from the license and maintenance price submitted in September 2012 to the State. The discount is noted on this cost schedule.

Solicitation No. : ADSP013-00001953 9 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

The table below defines the metrics used for priced software license line items on this schedule.

Table 9: Software License Metrics

License Metric License Metric Description

Authorized A specific user license that grants access to all components of the application.

Concurrent Any user across the enterprise may leverage the concurrent (user) license with the limitation of the number of users that are logged in at any one time.

Concurrent Session Any user across the enterprise may leverage the concurrent session license with the limitation of the number of login sessions at any one time.

(specific to BusinessObjects)

Core Core-based licenses are based upon the number of core processors on the physical server or allocated to a VM

CPU CPU can refer to number of sockets irrespective of cores (e.g. the SQL Server model prior to 2012). CPU can also simply mean it is a calculation based upon some CPU/core factor.

Install Production Environment installation enabling site wide use.

Named A specific user may access the application

NPE Install Non Production Environment installation enabling site wide use.

PVU A Processor Value Unit is a license cost factor based upon IBM’s determination of the relative value of different core architectures (e.g. a 5000 series Intel core has a smaller PVU than an IBM POWER7 core). Each IBM software program has a specific price per PVU.

Server Server licenses are tied to specific servers and cannot be split up.

Site Any user across the State may use the application.

VM Virtual Machine.

CGI Advantage is deployed in many large State and Local governments. CGI’s experience in implementing and supporting the CGI Advantage Financial solution was leveraged in determining the number of licenses to support the State required user population for specific end user components. The table below identifies the total number of users supported by licenses that are used by the end user population.

Solicitation No. : ADSP013-00001953 10 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

Table 10: Total End Users Supported by License

License Name License Metric License Quantity

Total Users Supported

Advantage Financial Base System Site 1 All State Users

Advantage Asset Management Site 1 All State Users

Advantage Grants Lifecycle Management Site 1 All State Users

Advantage Performance Budgeting & Formulation

Site 1 All State Users

Advantage Salary & Benefit Forecasting Site 1 All State Users

Advantage infoAdvantage Site 1 All State Users

Advantage infoAdvantage Dashboard Site 1 All State Users

IBM Maximo Authorized License Named 1 1

IBM Maximo Limited Use Licenses – Inventory

Named 200 200

IBM TRIRIGA Real Estate Manager Concurrent 10 100

IBM TRIRIGA CAD Integrator/Publisher Authorized 5 5

IBM TRIRIGA Facilities Manager Concurrent 35 100

IBM TRIRIGA Application Builder Authorized 1 1

IBM TRIRIGA Connector for Business Applications

Install 1 1

SAP BusinessObjects Enterprise Professional for QRA

CPU 4 400

SAP BusinessObjects Web Intelligence CPU 4 400

SAP Business Objects Explorer CPU 4 400

SAP Business Objects Xcelsius Interactive Viewing

CPU 4 400

SAP Business Objects Xcelsius Enterprise

Named 5 5

SAP Business Objects Mobile CPU 4 400

The licenses outlined for IBM Maximo and IBM Tririga are sized to meet the State’s needs based on the number of users defined by the State and outlined in the table above.

Solicitation No. : ADSP013-00001953 11 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

1.6 Schedule 6 – Hardware Costs

Schedule 6-Hardware Costs inventories hardware for the State supported on-premise production operations scheduled July 2015.

The hardware itemized in this schedule will not be required by the State if the Optional Production Hosting services are provided by CGI, as outlined in Schedule 9, are leveraged. This hardware is required for a State hosted on-premise solution only.

1.7 Schedule 7 – Labor Rates Schedule

Schedule 9-Labor Rates Schedule provides billing rates (all inclusive of travel and expenses) for a range of different skill areas. This schedule provides multiple tiers of CGI resources for various positions that align to the cost schedule. These rates are intended for use with unforeseen changes in scope that the State requests CGI to support on a time and materials basis. The rates are consistent for the duration of the project.

1.8 Schedule 8 – Project Team Training Costs

Schedule 8-Project Team Training Costs provides an inventory of all training classes targeted for the State project team as part of the AFIS replacement.

Project Team Training is priced at a group rate for 15 staff. We anticipated more than 15 staff would need project team training for select subjects and, as such, included training for two or three groups of 15 staff each (i.e., 30-45 project team members). Project Team Training costs are reduced by reducing the number of State staff being trained from two groups to one group of students for certain sessions. Please see Appendix G – Advantage Learning Program Course Catalog, for an inventory of all classes, including a note for those that are earmarked for delivery two or three times. The project team will work with the State as needed to support additional attendees beyond the noted class size in the course catalog.

CGI has included a third Financial Product Walkthrough session to provide flexibility to the State in delivering training to key department users not part of the defined project team. This 4 day overview of Advantage Financial solution includes lecture, demonstration, and hands on exercises in a live training environment.

CGI will provide access to the CGI Advantage hosted training environment and associated Independent Study Guides (ISG) for the duration of Phase 2 – Implementation. The State may leverage the ISG curricula for any State user. The environment will be refreshed quarterly to allow reuse of the training data setup for use with the Independent Study Guides.

Solicitation No. : ADSP013-00001953 12 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

1.9 Schedule 9 – Hosting Costs

Schedule 9-Hostings Costs provides mandatory pricing for non production hosting and optional pricing for production hosting and production disaster recovery. This schedule includes pricing for two optional Disaster Recovery components

Optional – Hosting of Production Environment (A): CGI Production and Disaster Recovery Hosted Solution with 12 hr RTO, 4 hour RPO. Please note that the ‘Transition Credit’ provided on the payment schedule reflects effort included in the mandatory pricing that would not be required if the State chooses the CGI Production and Disaster Recovery hosted solution.

Optional – Hosting of Disaster Recovery Environment (B): State Production On Premise and CGI Hosted Disaster Recovery Solution with 12 hr RTO, 4 hour RPO

1.10 Schedule 10 – All Other Costs

Schedule 10-All Other Costs inventories items not defined on other cost schedules.

Item 1 is an Accelerated Baseline fee is included for the enhancements identified through the analysis of State of Arizona requirements that will be placed in the CGI Advantage baseline and available for use by the State in CGI Advantage Release 3.10, the designated release for the State go live. This results in a 98% fit out of the box, a reduction in the price of custom software enhancements from $11.2 million to $2.2 million, the addition of a $4 million Accelerated Baseline fee, and resulting long term overall lower total cost of ownership.

The table below represents the proposed Accelerated Baseline Fee for the Travel Management and Budget Development components of the AFIS Replacement Project. This is provided as requested by the State.

Table 11: Accelerated Baseline Fee

Functional Area Accelerated Baseline Fee

Travel Management $250,000

Budget Development $60,000

Total $310,000

Item 2 is Microfocus SilkPerformer license leased for use during a 30 day performance testing period prior to go live and is included in this cost schedule.

Solicitation No. : ADSP013-00001953 13 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

1.11 Schedule 11 – Budget & Travel Svcs Costs

Schedule 11-Budget Development and Travel Module Services costs inventories the services associated with the optional components of Budget Development and Travel. The State must decide by no later than October 1, 2013 in order to implement the optional travel component and by February 1, 2014 to implement the optional budget development component by the scheduled go live date of July 2015.

1.12 Schedule 12 – Deliverable Payment Schedule

Schedule 12 - Deliverable Payment Schedule provides all service deliverables and associated retainage and retainage release payment months.

Based on the State’s request, CGI has tracked the work effort as compared to the invoice amounts by month. This information is displayed in the table below for the project from March 2013 through June 2017. The cumulative gross invoice amount (represented by the orange line) never exceeds the cumulative effort (represented by the blue bars). The exhibit below provides a graphical view of CGI work effort (cumulative cost) as compared to the invoiced amount by CGI (cumulative gross invoice) by month.

Exhibit 1: Cumulative Gross Invoice vs. Cumulative Costs by Month

Solicitation No. : ADSP013-00001953 14 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

The exhibit below provides the same information as shown in the previous table but by State Fiscal Year. The orange line represents the cumulative services costs as compared to the cumulative invoice amount by year. The blue represents the cumulative gross invoice amount.

Exhibit 2: Cumulative Gross Invoice vs. Cumulative Costs State Fiscal Year

CGI made the following updates to Schedule12 – Deliverable Payment Schedule:

1. CGI aligned our deliverables list more directly with the State’s deliverables as presented in the Scope of Work

2. CGI created sub-deliverables to create deliverables that can be submitted and reviewed in a manageable manner.

3. CGI updated the estimated activity month to reflect the expected level of effort on a cumulative basis.

4. CGI revised the deliverable payment values to better reflect the level of effort on a work areas basis.

5. CGI revised deliverables and/or their estimated month of activity based on feedback from the State during the January 16, 17 and 23 meetings.

a. Moved the project start date from February 2013 to April 2013. Allowed the BPR Phase to remain a 5-month effort.

b. Moved the Phase 2 Implementation Phase to begin September 2013. Adjusted the

Implementation Phase to be a 22-month effort

c. Removed online travel booking business area.

FY13 FY14 FY15 FY16 FY17

Gross Invoicing 200,000 9,726,346 26,433,485 32,282,226 33,089,226 Client Costs 1,198,575 13,137,547 29,132,424 32,487,431 33,089,226

5,000,000

10,000,000

15,000,000

20,000,000

25,000,000

30,000,000

35,000,000

Cumulative Gross Invoicing vs. Cumulative Client Costs by State FY

Gross Invoicing Client Costs

Solicitation No. : ADSP013-00001953 15 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

CONFIDENTIAL

d. Modified project management deliverables estimated month of activity by assigning some of the deliverables to be completed in Phase 2

e. Split the Project Team Training deliverable into a BPR and an Implementation Phase deliverable to accommodate the on-boarding of the State’s staff

f. Revised the delivery date of the Communication Plan to align better with the BPR Phase effort

g. Modified deliverables to identify optional post implementation summary for Budget Preparation and Travel.

6. CGI revised deliverables and/or their estimated payment values to reflect revisions in requirements status.

a. Review and estimation of the Functional Requirement have resulted in revision of level of effort for enhancements

b. Review and estimation of development and implementation work

7. CGI modified the payment retainage terms as discussed with the State to contribute to additional cost savings. The retainage release schedule includes:

a. Adjusted Retainage holdback amount to 15%

b. 50% of retainage released prior to system acceptance

c. Retainage Release Schedule that follows enabled CGI to reduce the State cost by

$75,000:

d. Initiation and Planning Retainage Release

e. Fit Gap Retainage Release

f. To-Be Process Retainage Release

g. Configuration and Development Retainage Release

h. Testing Retainage Release

i. Deployment Retainage Release

j. All Phases I and II Deliverables Retainage Release

Solicitation No. : ADSP013-00001953 16 October 15, 2013

© 2013 CGI Technologies and Solutions Inc., All Rights Reserved.

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1 Cost Proposal Summary
1.1 Schedule 1 – Total Cost
1.2 Schedule 2 – Services Cost
1.3 Schedule 3 – Development Cost
1.4 Schedule 4 – Consulting Hours by Month
1.5 Schedule 5 – Software Costs
1.6 Schedule 6 – Hardware Costs
1.7 Schedule 7 – Labor Rates Schedule
1.8 Schedule 8 – Project Team Training Costs
1.9 Schedule 9 – Hosting Costs
1.10 Schedule 10 – All Other Costs
1.11 Schedule 11 – Budget & Travel Svcs Costs
1.12 Schedule 12 – Deliverable Payment Schedule

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