Mayor Michael R. Bloomberg and New York City Comptroller John C. Liu today announced an agreement to complete the installation of the CityTime automated timekeeping system. The agreement was formalized with the passage of a resolution today by the Board of Directors of the Office of Payroll Administration, which extends the contract of Science Applications International Corporation (SAIC) to ensure the full installation of the CityTime timekeeping system by June 30, 2011. The agreement stipulates the City will not pay SAIC any more money for the complete implementation and deployment of the CityTime timekeeping system. Upon full and timely completion of the installation, with 165,000 employees on the system, the City will pay SAIC up to $32 million, only for maintenance and support services. The current contract for implementation and maintenance of the system with SAIC would have expired at the end of the month. The Office Payroll Administration, which is overseeing implementation of the CityTime project, is jointly controlled by the Mayor and Comptroller, as defined by the City Charter.

“To efficiently manage a complex operation, the City needs a 21st Century system,” said Mayor Bloomberg. “There have been many problems with building CityTime, but the system does in fact work and it cures many of the issues our currently archaic time keeping methods present. The contract extension ensures this needed project gets completed and holds the contractor accountable for results. We will continue to work with the Comptroller to ensure the project is completed, and I want to thank him for his work on this issue.”

“New York City taxpayers are sick and tired of being milked by multi-billion dollar corporations for grossly overpriced and overdue projects,” said Comptroller Liu. “That’s why we will continue to demand and expect that anyone who does business with the City will fully deliver on their commitments. We New Yorkers refuse to be taken advantage of; not a penny more will be given to SAIC to build CityTime! Today, we also reaffirmed our commitment to responsible electronic timekeeping, added safeguards to ensure City employees are treated professionally, and sent a strong message that the days of private companies holding us hostage are over.”

For each month beyond the June 30, 2011 completion deadline, $3 million in damages will be assessed against the City’s payment to SAIC.

The resolution passed today also modifies the CityTime project to provide an alternative option to hand scanning and no employee will be required to use hand scanning devices.

Further, the resolution mandates:

• The retention of one or more “Subject Matter Experts” to determine whether the system can be transitioned to another vendor and largely maintained by City employees. 
• A competitive solicitation process for long-term maintenance and/or final deployment of the CityTime system. SAIC will be eligible to bid for the contract.
• Exploration of a transition of responsibility for the project to the City’s Financial Information Services Agency and staff performing post-deployment maintenance and support of the CityTime System shall be comprised largely of City employees.
• The Office of Payroll Administration will provide regular updates to members of the Board on status of the project.
• The Board will continue to hold senior management responsible for any deployment delays under their control.
• Deputy Mayor for Operations Stephen Goldsmith will assume responsibility for working with relevant City agencies to ensure that 165,000 employees are enrolled in the system on or before June 30, 2011.

The CityTime system currently has more than 73,000 employees using the system and, to date, has accurately handled time keeping for the employees on the system. It is designed to automate the City’s complex time keeping process. The CityTime project, when fully operational, will apply to a 165,000 workers.