Council approves Tyler Technologies amendment with 10% contingency after questions on migration risk

The Elsagundo City Council on May 5 approved an amendment to the city's agreement with Tyler Technologies for Enterprise Environmental Health software and related services, including a staff-requested 10% contingency to cover potential migration complications.

The agreement was discussed after council pulled item five from consent to ask why the amendment included a 10% contingency. Fire Chief Ryan Ali and management analyst Alina explained that the contingency was intended to cover unanticipated issues during migration from the old, sunsetted product to Tyler's new platform. "The 10% contingency was just a conservative cushion to not require additional approvals if something did come up and we did need to increase that budget ever so slightly," Alina said.

Council members questioned whether the contingency was necessary on a software migration and noted previous municipal projects where contingencies were exceeded. Staff said the contingency was proposed by the city (not part of Tyler's initial bid) to avoid repeated return trips to council if minor migration issues emerged.

After discussion and a series of procedural clarifications, a council member moved to approve the amendment to the agreement with Tyler Technologies. The motion carried with a majority; the council recorded a 3—1 vote in favor of the amendment.

Staff emphasized oversight during implementation and weekly check-ins with Tyler to manage timeline changes and avoid cost overruns. The amendment authorizes the city manager to sign the contract as amended and funds the migration and associated implementation activities.