Oxnard City Council asked to approve $11.4 million amendment to ERP contract and $1.6M appropriation

Javier Chago de Lacero, City of Oxnard chief financial officer, asked the Oxnard City Council on 2025-06-30 to approve an eighth amendment to the professional services agreement with CreativeCore Technologies (contract 9431-21-FN) to add $11,366,103 to a new not-to-exceed total of $21,400,000 and extend the term to Dec. 30, 2028; he also recommended a $1,600,000 appropriation from General Fund 101 to fund project C2034 (ERP implementation) in fiscal year 2025-26 and asked the council to receive and file the ERP system annual report.

Chago de Lacero said the ERP project "is a solution to replace and upgrade city software and processes that are gonna determine how the city conduct business, how the city analyze data, and how the city service its residents better." He told council the project affects finance, human resources and payroll, permitting and licensing, asset maintenance, and utility billing.

As of June 30, 2025, the city has invested $12,400,000 in the ERP implementation, Chago de Lacero said. He reported a new total project estimate of $23,300,000, an increase of $2,100,000 from the estimate provided to council in April 2024. He attributed the increase to key staff turnover, complexity in payroll requirements, and complexity in business and license fee structures, and said timeline extensions moved some operating costs into the project budget.

The presenter said the new estimate includes a $1,200,000 contingency to account for unforeseen events. He reported two modules are currently live: core financials (went live Oct. 1, 2022) and human capital management, which includes human resources and payroll processes (went live Jan. 1, 2025). Two additional modelsenterprise planning and licensing (planning, permitting, business licensing) and enterprise asset management (public works and asset maintenance)are scheduled for early 2026; utility billing is the last model with a kickoff/plan for early 2026.

Chago de Lacero described CreativeCore Technologies (also referred to as KCT in the presentation) as serving a dual role: supporting ERP implementation as project managers and IT experts, and providing ongoing IT support after modules go live to cover persisting staffing vacancies in the city's IT department. The recommended amendment and appropriation were presented for council consideration; no vote or final action on the recommendations was recorded in the transcript provided.

Details of the recommendation presented to the council were: amend the professional services agreement (CreativeCore Technologies, contract 9431-21-FN) by $11,366,103 for a new not-to-exceed $21,400,000 and extend the term to Dec. 30, 2028; appropriate $1,600,000 from General Fund 101 available fund balance to project C2034 ERP implementation for FY 2025-26 and authorize corresponding budget transfers; and receive and file the ERP system annual report.