As a part of the process for developing the One Library Management System (LMS) procurement an approach to determining contribution levels by Councils to the purchase/implementation costs needs to be finalised. Public Library Services (PLS) and the LGA have jointly prepared a proposal paper to seek feedback from Councils on a proposed contribution approach. The paper is attached to this circular and feedback is sought to the LGA by Friday, 11 February, 2011.
The business case for the One Library Management System (One LMS) proposes, based on estimates of what Councils would spend individually on replacing LMSs, that Councils contribute up to $4m. An issue to be addressed as this project advances is how to determine the level of contribution of individual Councils to this $4m total. It may be that during a competitive procurement process final tenders come in at lower than the costs estimated in the Business Case, which took a conservative approach. However for the purposes of progressing this project and enabling Councils to prepare forward budgets a formula for allocating this figure is required.
Following liaison between PLS and the LGA, a draft allocation was developed using the LGA's membership subscriptions formula as a starting point for consideration. The draft allocation formula is based on a number of principles or propositions which are relevant in considering how the distribution of these costs should occur. The propositions, forumula and draft allocation are outlined in the attached proposals paper.
Note that this paper does not address how annual maintenance costs will be apportioned and it is not intended that the same approach will apply. The Business Case suggests annual maintenance costs of the system will be no greater than currently spent in total by Councils.
It should be noted also that this process was commenced on the basis that no Council would be asked to commit to participate in this project until an LMS has been chosen, actualcosts are known, a detailed proposal is made available and that the Council elects to participate. In addition a selection process is being developed to ensure a sound process for determining which Councils would be scheduled when in the implementation plan - and in particular for resolving issues if a larger number of Councils wish to implement at any point, than can be managed.
The LGA is seeking feedback on this proposals paper by no later than Friday, 11 February, 2011 on the form linked below. It is intended that individual Council feedback and an LGA summary will be shared with the Libraries Board of SA before a contributions approach will be finalised.