Item - 2023.GG5.5

The General Government Committee:

1.  In accordance with Section 71-11.1.C of the City of Toronto Municipal Code Chapter 71 (Financial Control), granted authority to:

a. renew the Master Services Agreement with Salesforce for a period of five (5) years effective August 1, 2023 and ending July 31, 2028; and

b. amend Non-Competitive Blanket Contract Number 47023379 with Salesforce.com Canada Corporation, and increase the Blanket Contract value by $1,643,621 net of all taxes and charges ($1,672,549 net of Harmonized Sales Tax recoveries) to procure and renew new licenses and support services as required until December 31, 2025, increasing the Blanket Contract value from $4,467,666 net of all taxes and charges ($4,546,296 net of Harmonized Sales Tax recoveries) to $6,111,287 net of all taxes and charges ($6,218,845 net of Harmonized Sales Tax recoveries) under the same pricing, terms and conditions as the existing agreement, and in a form satisfactory to the City Solicitor.

The City has been working to transform the public's experience in accessing and interacting with City services by providing simple, reliable, and connected services that anticipate customers changing needs.

Salesforce is the City of Toronto’s Enterprise Customer Relationship Management platform. This platform’s primary purpose is to centralize, track and manage customer interactions with the City regardless of the channel (for example, online service request portal, phone, email, or online chat) through which the customer is contacting the City. The Salesforce platform provides a quick and efficient mechanism for customers to get the information they need related to services the City offers, while at the same time providing the City staff with a centralized location, that is quick and easy, to find and manage interactions a customer has had with the City.

In 2017, the City selected Salesforce.com Canada Corporation through Request for Proposal Number 3406-17-0066, for the implementation of an Enterprise Customer Relationship Management solution. Following the contract award, the City and Salesforce.com Canada Corporation established a five (5)-year renewable Master Services Agreement , valid until July 31, 2023, to procure required Salesforce subscription licences towards realizing and supporting the City's Customer Service Strategy.

This platform was aimed to improve the customer experience when accessing City services and to efficiently manage approximately four (4) million annual interactions, including 1.3 million calls with Toronto residents, businesses, and visitors through the City’s 311 contact centre.

Since establishing this agreement, the City has leveraged the Salesforce platform to transform the public’s experience with City’s services, fundamentally improving how they access and interact with the City. In December 2018, the 311 Toronto Customer Relationship Management Phase 1 pilot solution leveraging the Salesforce platform was launched. This solution enabled customers to book appointments for four (4) selected Toronto Water services and report noise complaints for investigation by Municipal Licensing and Standards via the City's online self-serve portal or by calling 311 as part of the integrated online service strategy. Building on the success of the Phase 1 pilot, in November 2021, the City launched Phase 2 of the 311 Toronto Customer Relationship Management solution, covering approximately 650 services offered by 311, such as: ice and snow related complaints, illegal dumping, missed garbage collections, potholes on roads & expressways, et cetera.

The following City divisions currently leverage the Salesforce Customer Relationship Management platform for their core customer service offerings: Customer Experience (formerly 311 Toronto), Municipal Licensing and Standards, Toronto Water, Human Services Integration, Economic Development and Culture, Children's Services, Toronto Office of Partnerships, Toronto Revenue Services, and Solid Waste Management Services.

To accelerate the digital delivery of programs and services and for continued enhancement of the customer experience, the City currently has several different initiatives underway.

The City currently has authorities under GL16.5 (Renewal of Proprietary Technology Maintenance Contracts Supporting the City Services from 2021-2025) and GL23.15 Amendment to Blanket Contract Number 47023379 with Salesforce.com Canada Corporation) for up to $6,250,000 net of all taxes and charges ($6,360,000 net of Harmonized Sales Tax recoveries) to renew the existing Salesforce licenses. The purpose of this report is to request General Government Committee authority to renew and extend the Master Service Agreement with Salesforce for a period of five (5) years effective August 1, 2023 and ending July 31, 2028 and  to amend and increase the existing Non-competitive Blanket Contract Number 47023379 awarded under Staff Report GL16.5, with Salesforce.com Canada Corporation, to procure and renew new licenses and support services as required, until December 31, 2025, in the amount of $1,643,621 net of all taxes and charges ($1,672,549 net of Harmonized Sales Tax recoveries), increasing the Blanket Contract value from $4,467,666 net of all taxes and charges ($4,546,296 net of Harmonized Sales Tax recoveries) to $6,111,287 net of all taxes and charges ($6,218,845 net of Harmonized Sales Tax recoveries) under the same pricing, terms and conditions as the existing agreement, and in a form satisfactory to the City Solicitor.

General Government Committee approval is required in accordance with Municipal Code Chapter 195, Purchasing, where the current request exceeds the Chief Procurement Officer’s authority of the cumulative five-year commitment limit for each vendor 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 71-11.1.