|
TO: |
Board of Trustees |
|
THROUGH: |
Jay Fox, Executive Director |
|
FROM: |
Alisha Garrett, Chief Enterprise Strategy Officer |
|
PRESENTER(S): |
Kyle Brimley, IT Director |
|
|
|
TITLE:
title
Contract: Compliance and Training Software Services (Skillsoft US LLC)
end
AGENDA ITEM TYPE:
Procurement Contract/Change Order
RECOMMENDATION:
Approve and ratify award and authorize Executive Director to execute Contract 24-03828 with Skillsoft Corporation for a total value of $563,378.46, which includes $331,991.49 for the initial two terms through 6 January 2027 plus two additional one-year options for $231,386.97 if exercised. Terms beyond the initial 5 month term are dependent on Skillsoft’s GSA contract being effective.
BACKGROUND:
Until January 6, 2024, UTA had a contract with Skillsoft under a State of Utah contract, with a catalog of almost 8000 online courses. The topics available vary, UTA specifically purchased two products:
• 300 unique user licenses for their Compliance Complete training: content such as Safety and Harassment prevention that UTA needs to remain compliant with Federal and State laws.
• 300 unique user licenses for Expert 2.0: training on diverse topics such as Microsoft Suite, Leadership, Communication, Project Management, and more.
Compliance Complete is used for UTA employees and external vendors. Expert 2.0 is available to all UTA employees (almost 3000). Over the last two years, UTA has increased the use of these products, resulting in constant overages. Compliance Complete was used by 788 people in 2022 and was on its way to a bigger overage in 2023. Expert’s use was close to 700. These overages result in a $21,480.68 debt that UTA would be contractually obligated to pay, however, the Skillsoft team has been working with UTA to adjust the number of licenses instead.
With a growing workforce, and a broader promotion of the Expert catalog to help all UTA employees develop professional skills, the number of licenses needs to be adjusted. We are aiming at 1500 licenses for each product. Under Skillsoft’s GSA contract, the price per license has gone from $175.32 to $48.29 (Expert), and from $33.48 to $25.49 (Compliance), resulting in a $110,663.82 yearly charge for the first three years, and a 3% price increase for the two one-year extensions. This would guarantee UTA this service until January of 2029.
DISCUSSION:
Skillsoft services were formerly contracted under a State of Utah cooperative contract which expired on January 6, 2024. This new contract (UTA CONTRACT #24-03828) with Skillsoft became effective on January 7, 2024 in order to prevent a lapse of service. It moves the UTA contract to a GSA schedule contract which expires on May 17, 2024, but has multiple options which allow the contract to continue until January 6, 2029 provided the options are exercised by GSA. The UTA GSA contract with Skillsoft has a base term of five (5) months, a second term of 31 months, and two additional one-year options. Skillsoft has received verbal assurances from GSA that its options will be exercised but UTA may not enter a firm commitment with Skillsoft extending beyond May 17, 2024, until Skillsoft’s GSA options are formally exercised. UTA will not issue authority to proceed for the 2nd term until GSA options are exercised. UTA will extend Skillsoft’s contract consistent with GSA’s exercise of the Skillsoft options.
UTA needs to remain compliant with training in several topics. Skillsoft provides updated content on all of these, since all their clients are government entities, they have a level of expertise unmatched in the industry.
Skillsoft also provides updated content on different skills, which allows all UTA employees the opportunity to gain new skills and improve current ones.
If UTA does not increase the number of licenses, UTA would be required to pay for any future overages, which could potentially result in a bigger expense since increasing the number of licenses also decreases the price per license.
Having the content already developed by Subject Matter Experts, guarantees that UTA is providing compliance training that meets the requirements. It also helps create career development, and retention by giving employees access to a myriad of courses online. Finally, it alleviates the cost and time it would take to create this content in-house.
Skillsoft was selected as a vendor because it has an integration with our current Learning Management System, as well as many others in case we ever switched platforms. They have a GSA Schedule 70 contract that allows them to significantly lower their cost per license. From the State vendors, they are the only ones with the kind of compliance training that UTA needs. They have almost 8000 courses for upskilling.
CONTRACT SUMMARY:
|
Contractor Name: |
Skillsoft US LLC |
|
Contract Number: |
24-03828 |
|
Base Contract Effective Dates: |
January 7, 2024 through May 17, 2024 (First Term) |
|
Extended Contract Dates: |
May 18, 2024 thru January 6, 2027 (Second Term); 7 January 2027 thru 6 January 2029 (Two one-year options). |
|
Existing Contract Value: |
N/A |
|
Amendment Amount: |
N/A |
|
New/Total Contract Value: |
$331,991.49 Initial Two Terms; $231, 386.97 two one-year options. Total value = $563,378.46. |
|
Procurement Method: |
GSA Contract 47QTCA19D002B |
|
Budget Authority: |
Approved Operating Budget |
|
|
|
ALTERNATIVES:
If UTA chooses to go another route no vendor would likely have both products. The other option would be to create the content in-house, which would significantly delay all current projects.
FISCAL IMPACT:
. In 2024, $110,663.82 is budgeted and allocated for the Skillsoft contract in the Approved FY2024 Operating Budget. Costs associated with the ongoing contract years are forecasted and included in 2024-2028 Financial Plan as follows:
2025 - $110,663.82
2026 - $110,663.82
2027 - $113,983.73
2028 - $117,403.24
ATTACHMENTS:
1) Signed Contract, Skillsoft Agreement & Exhibit B
2) GSA_Skillsoft_Contract
3) GSA_extension