The project to replace a 20-year-old SAP system with a SaaS-based HR and finance system was supposed to cost $3.2 million, but due to delays and cost overruns, it is now expected to cost nearly $50 million.

The project, has faced multiple setbacks, renegotiated contracts, and a new systems integrator, with completion now pushed to December 2025

West Sussex County Council is taking advantage of the so-called "flexible use of capital receipts scheme," introduced in 2016 by the UK government. This scheme allows councils to use money from the sale of assets such as land, offices, and housing to fund projects that result in ongoing revenue savings.

One of the assets being flogged off is a former fire station in Horley, advertised for $3.1 million.

Project delays, which began in November 2019, forced the council to renegotiate its terms with Oracle for $3 million. The council had expected the new SaaS-based HR and finance system to go live in 2021 and signed a five-year license agreement until June 2025.

The plans to go live were put back to 2023, and in the spring of 2024 delayed again until December 2025.

According to council documents published this week, it has "approved the variation of the contract with Oracle Corporation UK Limited" to cover the period from June 2025 to June 2028 and an option to extend again to the period June 2028 to 2030. "

The value of the proposed variation is $2.96 million if the entire term of the extension periods are taken," the council said.