The City of Nanaimo is looking to add almost $2 million in additional funding to upgrade its financial system, with current software expiring at the end of the year. (Dreamstime)

By Jordan Davidson

financial system

‘No alternatives:’ City of Nanaimo looking to add $1.9M for software upgrades

May 26, 2025 | 6:15 PM

NANAIMO — Almost $2 million in additional funding will likely be added to the City’s business management software project, as it will no longer be supported by the end of the year.

The City has known since 2018 they would have to replace their Enterprise Resource Platform (ERP), used to facilitate all financial processes, including payroll and creating financial reports.

During the Wednesday, May 21, finance and audit meeting, the committee recommended increasing the ERP project budget by $1.9 million, bringing the total to $5.1 million.

General manager of corporate services Laura Mercer, said some delays were caused by a lack of staff, as they were unable to fill the dedicated staff members, which was included in the original budget.

“Despite the City’s best-laid plans for staff’s secondment, events outside of our control, resulting in project delays as staff were having to split their time between day-to-day operations and the project.”

above and beyond

Long-time Qualicum Beach volunteer awarded for lifetime of giving back

2h ago

shine bright

New downtown Nanaimo art installation creating a sensory experience

5h ago

One Goal Short

Clippers lose game of lead changes in Cowichan Valley

13h ago

Additional contract resources, secondary IT staff, and having to purchase software not part of the originally planned but deemed necessary also added to the increase.

With the project being extended by a year, $472,000 worth of licensing costs for 2025 and 2026 is now included in the project costs, instead of future operating costs.

The budget increase comes from the City’s reserve funding, with $200,000 and $900,000 coming from the 2025 and 2026 General Asset Management Reserve Fund, respectively, and $800,000 from the IT reserve Fund in the 2025-2029 Financial Plan.

The committee voted unanimously to approve the staff recommendation, with Mayor Leonard Krog commenting it’s another project they can’t put off.

“Again, another example of what has to be done and we have no alternatives.”

The additional funding still requires final approval from council at a future date.

More information on the budget increase is available here.

Subscribe to our daily news wrap. Local news delivered to your email inbox every evening. Stay up to date on everything Nanaimo and Oceanside.

info@nanaimonewsnow.com

Follow us on: Twitter (X) | Bluesky | Facebook