Amendment to Blanket Contract 47025086 and Entering into Various Non-Competitive Contracts with Active Network, Ltd., for Software Subscriptions, Processing Fees, and Professional Services

Council approval is required because the total value and duration of these contracts extend beyond staff authority under the City's procurement and financial by‑laws. The purpose of this report is to request City Council authority to: - Amend Blanket Contract number 47025086 with Active Network, Ltd., for the program registration and recreation facilities / space booking system, ACTIVENet, for Parks and Recreation for system enhancements and processing fees. - Execute three (3) separate non-competitive contracts with Active Network, Ltd., for software subscriptions, processing fees, and professional services, for a term ending on December 31, 2030, under the Enterprise CLASS Replacement Project for Corporate Real Estate Management, Revenue Services, Court Services and City Clerk's Office. Previously, Blanket Contract 47025854 was established for Corporate Real Estate Management, executed under Divisional Authority, and Purchase Order 6056849 was established for Revenue Services, executed under Parks and Recreation authority ( GG4.21 ). However, upon further review of the authority requirements under Municipal Code Chapter 195, Council approval is required for these contracts and is being sought through this report. Since 1999, the City of Toronto has used Active Network, Ltd.'s CLASS software system to support program registration, front‑counter transactions, and facilities booking for multiple City divisions. The CLASS system is at the end of its life, and the supplier is discontinuing support. In 2023, under the Registration and Booking Transformation Project, Active Network, Ltd., was competitively awarded Blanket Contract 47025086 through Negotiated Request for Proposal Document Number 2915353397 to replace Parks and Recreation's existing CLASS system for a program registration and recreation facilities / space booking system with Active Network, Ltd.'s current platform, ACTIVENet. This report recommends amending Blanket Contract Number 47025086 to support system enhancements that will improve the overall experience for both staff and the public and to account for higher‑than‑projected processing fees due to growth in recreation participation and Council-approved inflationary increases to user fees. This contract award process established a Master Services Agreement with Active Network, Ltd., that includes privacy, security, and confidentiality protection obligations that may be leveraged by other City divisions with similar requirements. The Enterprise CLASS Replacement Project was initiated by the Technology Services Division to support City divisions that needed to replace the CLASS software and were not originally included in the scope of the Registration and Booking Transformation project and the Negotiated Request for Proposal issued. Technology Services Division conducted a review of how the CLASS software was used by Corporate Real Estate Management, Revenue Services, Court Services, and the City Clerk's Office, and confirmed that their requirements align with Parks and Recreation's competitive procurement and can be met using Active Network, Ltd., products under the existing Master Services Agreement. This report recommends entering into three (3) separate non‑competitive agreements for these divisions to maintain reliable, secure service delivery using industry-standard technology solutions. A non-competitive procurement may be undertaken where both the proposed procurement and supplier can be justified in good faith based on an exception set out in Toronto Municipal Code Chapter 195, Procurement. This procurement will be proceeding under the exception related to Exclusive Rights, where Active Network, Ltd., and the City have determined in good faith that both the proposed procurement and the selected supplier, along with the terms and conditions of the contract, are beneficial to the City (Toronto Municipal Code, Chapter 195, Procurement, Section 7.1.C). City Council approval is required in accordance with Municipal Code Chapter 195, Procurement, where the current request exceeds the Chief Procurement Officer's authority of the cumulative five-year (5) commitment for each supplier, under Article 7, Section 195-7.3 (D) of the Purchasing By-Law or exceeds the threshold of $500,000 net of Harmonized Sales Tax allowed under staff authority as per the Toronto Municipal Code, Chapter 71 Financial Control, Section 71-11A.

2. City Council authorize the Chief Technology Officer and the Chief Procurement Officer to negotiate and execute three non-competitive agreements with Active Network, Ltd., until December 31, 2030, on terms and conditions satisfactory to the Chief Technology Officer and in a form satisfactory to the City Solicitor for: a. Corporate Real Estate Management in the value of $512,301 net of all applicable taxes and charges ($521,317 net of Harmonized Sales Tax Recoveries) b. Revenue Services and Court Services in the value of $1,420,977 net of all applicable taxes and charges ($1,445,986 net of Harmonized Sales Tax Recoveries) and; c. City Clerk's Office in the value of $496,313 net of all applicable taxes and charges ($505,048 net of Harmonized Sales Tax Recoveries).