Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
PROJECT GOVERNANCE
PROJECT NAME
Motor Vehicle Division IRP/IFTA System
DATE
11/06/2012
LEAD AGENCY
Taxation and Revenue Department (TRD)
OTHER AGENCIES
None
EXECUTIVE SPONSOR
Mark Williams, MVD Director
AGENCY HEAD
Demesia Padilla, TRD Cabinet Secretary
AGENCY CIO/IT LEAD
Greg Saunders, CIO
PROJECT MANAGER
ITD: Jan Christine
MVD: Mac Lewis
PROJECT ABSTRACT (PROVIDE A BRIEF DESCRIPTION AND PURPOSE FOR THIS PROJECT)
The Commercial Vehicles Bureau (CVB) of the Motor Vehicle Division (MVD) of TRD
administers interstate Motor Carrier registration and tax transactions under the International
Registration Plan (IRP) and the International Fuel Tax Agreement (IFTA).
The IFTA\IRP system provides for the base jurisdiction or authorized third parties to license,
calculate, bill, and record payment of fees for all member IRP and IFTA jurisdictions in which
the applicant’s fleet operates. The registering jurisdiction then disburses the collected fees to
the other jurisdictions along with a control document called a ‘transmittal’ and a summary
document, which shows how the fees were calculated for each registrant (recap). The system
also handles fee processing, and reporting.
The Agency’s current IRP/IFTA systems were acquired from, and are currently maintained by
Xerox/ACS at a monthly cost of approximately $35,000. The current Xerox/ACS contract,
with all available contract extensions, will expire on June 30, 2013.
Because there are a number of vendors in what is now a competitive marketplace for Motor
Carrier systems, including IRP and IFTA, the Agency has pursued a competitive bid RFP
procurement process (RFP#20-333-00-11763) to identify and contract for the IRP/IFTA
system solution that meets the Agency’s needs and offers the best value for the Agency.
Working with Arizona State University’s Performance Based Studies Research Group
(PBSRG), the Agency has completed the initial selection and clarification phases of a
Performance Information Procurement System (PIPS) Best Value RFP process, and is now
prepared to go to contract with the selected contractor, Fast Enterprises LLC. The Agency’s
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
intention is to integrate the IRP and IFTA modules into the Agency’s current instance of
GenTax, as it is upgraded to GenTax Version 9. The Commercial Vehicles Bureau already
uses the GenTax Weight Distance Tax (WDT) program, and sees real advantage in having the
three programs (WDT, IRP and IFTA) in the same package.
Start Date
Planned End Date
November 26, 2012
06/30/2013
Amount Requested this Certification
$ 470,000
Amount Previously Certified
$0
Remaining Appropriation not Certified
$0
Total Appropriated Amount
$0
CERTIFICATION HISTORY (INCLUDE ANY PREVIOUS PROJECT OR PHASE CERTIFICATIONS)
Date
11/06/2012
Amount
Funding Source(s) (use specific citations to laws, grants, etc.)
$470,000 66-2-7.2. Royalties
66-6-23.5H
Funding is from the DRIVE MVD funds and the TRD-MVD Operating Budget.
APPROPRIATION HISTORY (INCLUDE ALL FUNDING SOURCES,
Fiscal Year
None
Amount
E.G.
FEDERAL, STATE, COUNTY, MUNICIPAL LAWS OR GRANTS)
Funding Source and Appropriation language
66-2-7.2. Royalties
66-6-23.5H
Total
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
The Fast Enterprises LLC (Fast) cost proposal is based on a model where the State pays a single
quarterly usage fee that encompasses all the required licensing, services, maintenance and support for
the duration of the contract. Although Fast will start accruing these fees on day-one of the project, the
State will not be invoiced for any amounts until we are live in production with IFTA and IRP.
MAJOR DELIVERABLE SCHEDULE AND PERFORMANCE MEASURES
Major Project Deliverable and Performance
Measure
Implementation & Software Purchase
IV&V
TOTAL
MAINTENANCE
Four (4) Years of Maintenance
Budget
Due Date
Project Phase
$420,000
06/30/2013
Implementation
$50,000
06/30/2013
Implementation
$470,000
06/30/2013
Implementation
COSTS NOT INCLUDED IN THIS
CERTIFICATION
$1,680,000
Quarterly
Maintenance
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
BUDGET
Comments:
Description
Consulting
Services
FY12
FY13
0
Staff Internal
FY14
0
FY15
FY16
0
0
0
0
0
0
$470,000.00
IV&V &
Implemen
tation
Services
Hardware
Software
Contingency
0
0
TOTAL
$
$
IT SYSTEM ANALYSIS (ON THIS DOCUMENT, OR AS AN ATTACHMENT, PROVIDE A SUMMARY
DESCRIPTION OF THE TECHNICAL ARCHITECTURE)
This project will use the existing GenTax architecture. No additional purchases of Windows software
or hardware are required.
INTEROPERABILITY (DESCRIBE IF/HOW THIS PROJECT INTERFACES WITH EXISTING SYSTEMS/APPLICATIONS)
The IFTA\IRP does not require interoperability with any other MVD systems, only with the existing
GenTax software and infrastructure and national clearing house systems.
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
INDEPENDENT VERIFICATION & VALIDATION (INCLUDE SUMMARY OF THE LATEST IV & V REPORT)
First report will be available December 31st, 2012.
RISKS AND MITIGATION STRATEGIES
Risk 1
Description –
Liabilities – All prior IRP
supplements MUST be
paid, before any new
supplements can be
processed with
supervisor/manager
override if necessary.
Risk 2
Description –
Infrastructure or equipment
failure at data center
Probability - Low
Impact - High
Mitigation Strategy: We will be converting balances from a
legacy system and will know if there are outstanding supplement
balances. The new system easily recognizes the balance and can
prevent new supplements (with supervisor/manager override).
Contingency Plan: If for some reason we did not convert
balances, an Indicator can be added to the IRP account to flag
existence of a prior balance. Such an indicator can also stop a
new supplement (with supervisor/manager override).
Probability - Low
Impact - High
Mitigation Strategy: GenTax is architected with multiple failover
points that provide a series of redundancies.
Contingency Plan:
The system’s architecture is also capable of replicating data to
an off-site data center in the case of a disaster or destruction of
the primary site. The (existing) TRD disaster recovery plan
specifies the steps and triggers for enabling this technology.
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
Risk 3
Description –
Data to be converted not
available at the initiation of
the project.
Probability - Medium
Impact - High
Mitigation Strategy: The State has a relationship with the
current vendor as well as other, unrelated contracts which are
likely to motivate the current vendor to perform well. In
addition, Fast Enterprises has worked with the existing vendor to
perform extracts in other jurisdictions across the United States.
Contingency Plan:
Assessing the capabilities, timeline and contractual issues will be
a top priority of the IFTA|IRP project upon initiation. Risk in
this area will require constant attention to ensure timelines are
being met and the project is not waiting for converted data to
continue.
Risk 4
Description –
Quality of Converted Data
Probability - Medium
Impact - High
Mitigation Strategy: The GenTax Implementation Methodology
specifies that users will be dedicated to confirming the quality of
converted data before it is put to productive use. These practice,
or “mock” conversions occur several times during the project as
refinements are made and additional data become available.
During the mock conversion, the user directly compares data in
the legacy system to that converted into GenTax. Discrepancies
are recorded and resolved.
Contingency Plan:
In addition, the GenTax testing methodology encourages use of
both “new” and converted data for system and end-to-end testing
phases. When actual converted data is used within the new
system, additional quality issues are uncovered and can be
addressed before the final conversion occurs.
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Implementation
Request for Certification and Release of Funds Form
ALL CERTIFIED PROJECTS MUST FOLLOW NM STATE POLICIES AND PROCUREMENT CODE
TRANSITION TO OPERATIONS: (DESCRIBE AGENCY PLAN TO MIGRATE PROJECT SOLUTION TO PRODUCTION.
INCLUDE AGENCY
PLANS TO FUND AND MAINTAIN THIS PROJECT AFTER DEPLOYMENT. )
Internally, the Commercial Vehicle Bureau only consists of one location and approximately 68 TRD personnel, simplifying the transition to production. The infrastructure is not separate
from that used for GenTax, so there is no need to transition to a untried infrastructure. The
Contractor must deliver an Operations and Support Plan prior to production implementation.
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