Summary#
The Montréal city council unanimously adopted its position on a framework agreement for professional services to implement Oracle HCM Cloud, the City’s cloud-based human-resources system. It supports a 24-month agreement with Société Conseil Groupe LGS, with two optional 12-month extensions and a maximum amount of $2,808,643.79, taxes included. City staff say the goal is to continue the City’s gradual modernization of its human-resources and payroll systems. The agglomeration council makes the final decision at a later meeting.
- The proposed agreement would have Groupe LGS provide specialized services to the City when requested; it would not require the City to use the full amount.
- The City would evaluate Groupe LGS’s performance.
- The public call for tenders received three bids. Two were found administratively compliant; Groupe LGS received the highest final score under the pre-set selection criteria.
What it means for you#
- City employees: The agreement would support further work on the City’s HR system, including payroll for additional employee groups and HR functions. It does not itself change anyone’s pay or employment terms.
- Residents and taxpayers: This is a contract for City technology services, not a new public-facing service or a direct change to residents’ rights or fees.
- City administration: The City’s IT budget would cover authorized purchases as needs arise. The City council’s adopted position is not itself the final agglomeration decision to conclude the agreement.
Money#
The proposed agreement has a maximum amount of $2,808,643.79, taxes included; the materials do not give a forecast of actual spending.
- Spending would be charged to the IT Department’s existing 2026–2035 capital program budget for the HR system project, through purchase orders approved as needs arise.
- The amount is $272,785.66 (8.85%) below the City’s latest estimate. Groupe LGS’s price is $73,911.68 (2.63%) below the other compliant bidder’s price.
- The materials say the spending may include agglomeration expenses, but the share between City and agglomeration responsibilities cannot yet be determined.
What is unclear#
- The materials do not make clear whether the maximum amount includes work under both optional 12-month extensions.
- They do not state how much of the maximum the City expects to spend, or how much work it will request.
- The materials do not explain why the third bid was not among the two found administratively compliant.
Case for#
- City staff say the existing HR-system project still has important work ahead, including payroll for more employee groups and other HR functions. Additional specialized staff could help the City continue those deliveries.
- Groupe LGS had the highest final score under the pre-set criteria, and its price was below both the City’s estimate and the other compliant bid.
Case against#
- The agreement allows spending up to a substantial maximum, but the materials do not estimate actual use or explain how much work the City expects to buy.
- The City has already budgeted for the project, but the eventual split between City and agglomeration expenses is not yet known.