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HomeMy WebLinkAboutReso 2013-2051RESOLUTION NO. 2013- -2051 A RESOLUTION OF THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, APPROVING AN AGREEMENT WITH PALADIN DATA SYSTEMS (SMARTGOV) FOR THE BUILDING AND COMMUNITY DEVELOPMENT DEPARTMENTS, TO PROVIDE A PERMITTING AND LICENSING SYSTEM, INCLUDING INSTALLATION, CONFIGURATION, MIGRATION OF EXISTING DATA, TRAINING, AND SUPPORT, IN AN AMOUNT NOT TO EXCEED SIXTY -NINE THOUSAND SIXTY -ONE DOLLARS (S69,061.00), IN SUBSTANTIALLY THE SAME FORM AS ATTACHED HERETO AS EXHIBIT "A ", BY UTILIZING LIGHTHOUSE POINT RFP NO. 2012 -007; AUTHORIZING THE MAYOR TO EXECUTE SAID AGREEMENT; AUTHORIZING THE CITY MANAGER TO DO ALL THINGS NECESSARY TO EFFECTUATE THIS RESOLUTION; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS. on March 15. 2007 via Resolution No. 2007 -1063 and Resolution No. 2007- 1064 the City Commission approved agreements with Black Bear Systems, Inc. and Homework, Inc. to implement the PTWin32 system the current permitting and licensing system used by the Building and Community Development Departments; and WHEREAS, Black Bear Systems, Inc.. the manufacturer of that system, has since dissolved, leaving the City with no manufacturer support; and WHEREAS, Paladin Data Systems (SmartGov) will provide enhanced functionality, as well as an integrated solution that will also incorporate the Zoning application process, as well as Local Business Tax Receipts and Certificates of Use which are currently handled by separate applications; and WHEREAS, Paladin Data Systems has submitted a proposal to provide these services, attached hereto as Exhibit "A ": and WHEREAS, the Information Technology Department has reviewed the proposal from Paladin Data Systems and has determined it to be fair, reasonable, and customary; and WHEREAS, the City wishes to enter into an agreement with Paladin Data Systems for SmartGov Svstem and the training of staff. in an amount not to exceed Sixty -Nine Thousand Sixty -One Dollars ($69,061.00), in substantially the same form as attached hereto as Exhibit "A ", by utilizing Lighthouse Point RFP No. 2012 -007. NOW THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF SUNNY ISLES BEACH, FLORIDA, AS FOLLOWS: Section 1. Approval of Agreement. The City Commission hereby approves the Agreement with Paladin Data Systems for the SmartGov System in the Building and Community 82013- Paladin Data Systems Agnnt Page 1 of 2 SIB Development Departments and the training of staff, in an amount not to exceed Sixty -Nine Thousand Sixty -One Dollars ($69,061.00). in substantially the same form as attached hereto as Exhibit "A ". Section 2. Authorization of Mavor. The Mayor is hereby authorized to execute said Agreement. Section J. Authorization of Citv Manager. The City Manager is hereby authorized to do all things necessary to effectuate this Resolution. Section 4. Effective Date. This Resolution will become effective upon adoption PASSED AND ADOPTED this 18'h day of April 2013. s r' ATTEST: Jan 0I e'A. Hines, C, City Clerk . f_ FO FORM FFICIENCY: Attorney Vote: S—O Mayor Edelcup Vice Mayor Aelion Commissioner Gatto Commissioner Levin Commissioner Scholl R2013- Paladn Data Systems Agent Moved by: V l Ga o♦ 0L Seconded by: Qom"UAtk� GA-TTO ✓ (Yes) (No) (Yes) (No) (Yes) (No) (Yes) V(Yes) _(No) (No) Page 2 of 2 S I B A T A r-%YX T DATA JL 1nnov )iion I inregrirV I residis April 11, 2013 City of Sunny Isles Beach 18070 Collins Ave Sunny Isles Beach, FL 33160 To Whom It May Concern: 19362 Powder Hill Place NE Poulsbo, WA 98370 w m.Paladin0amcm p 360.779.2400 p 8005320448 r 360379.2600 Paladin agrees to give the City of Sunny Isles Beach the same pricing, terms and conditions as currently providing the Lighthouse Point, Contract No. 1023. Changes: 1.4 ('SMARTGov Community) as amended with Lighthouse Point, FL, replaced definition with 'PALADIN's SMARTGov Community° software solutions delivered as Software as a Service ('SaaS' is a delivery model in which software and associated data are centrally hosted and typically accessed via a web browser with a network connection to the internet) ' 1.7 ('Licensed Jurisdiction ") replaced °Lighthouse Point' with "Sunny Isles Beach' 4.2 ('Expenses°) Added the following language - 'CLIENT shall not be responsible for any - expenses exceeding the amount estimated in the approved statement of work without prior written authorization and approval by the CLIENT.' 4.4 (°Right to modify flees') Added the following language - "Any increase in fees for SMARTGov, Community shall.be limited to a maximum of 5% of the current annual subscription fees paid by CLIENT." 7.6 (`Effect.of Termination') Strike She following language — "The cost of exporting and shipping the data to the CLIENT will be paid by the CLIENT, unless otherwise provided, and may be invoiced by PALADIN upon shipment.' 12:5 ('Governing Law') State of Florida replaces State of Washington and Miami Dade County Florida replaces Kitsap County Washington Added is a new Section 4.5 ("Availability of Funds') to state the following: 4.5 ('Availability of Funds') The Client's performance and obligation to pay under this Agreement is contingent upon an annual appropriation for its purpose by the City Commission. In the event the City Commission fails to appropriate funds for the particular purpose of this Agreement during any year of the term hereof, then this Agreement shall be terminated upon ten (10) days written notice and PALADIN shall be compensated for the Services satisfactorily performed prior to the effective date of termination. A innowlion I in(egrily I r 113 Z S}gcerely, Dan Burton COO Paladin Data Systems Corporation Attachments: Sales Order Statement of Work Exhibit A — SLA SIB CMART5 otr- Paladin Data Systems Corporation 19362 Powder Hill Place NE Poulsbo, WA 98370 -8720 Tel: 360- 779 -2400 1- 800 -532 -8448 Fax: 360- 779 -2600 To: City of Sunny Isles Beach Building Department 18070 Collins Ave. Sunny Isles Beach, FL 33160 Date: April 9, 2013 Order: 1035 Ordered by: Serenity Lumbard Required Date: May 9, 2013 Telephone: 305 - 947 -2150 Fax: 305- 949 -3113 Contact Person: Clay Parker, Chief Building Official Email: cparker @sibfl.net Purpose of this Sales Order: City of Sunny Isles Beach, FL, is purchasing SMARTGovCommunity® Software as a Service (SaaS) —Permit Planning, Plan Review, Code Enforcement, Licenses, Cashiering, Integrated GIS w /satellite imagery and road map base layers. This subscription includes 5 free "occasional users" which individually average less than 30% usage during an 8 hour day. Start Date: TBD Period: 12 months from the Start Date Back -up Availability Date will be the 15th of each month, beginning one (1) month after Start Date. (The rile will be available each month for download for one week following the Back -up Availabilitv Date. after which the file with be deleted.) Subscription Services 26 End - Users' End Users SMARTGovCommunity®SaaS $18,525.00 1 Site Module SMARTPortal $3,260.00 SMARTConnector SaaS Transaction $1,376.00 1" Year Discount [$7,600.00] Subtotal for Annual Subscription $15,581.00 Services Fees Optional Additional Services Purchasing 1 Site SMARTConnectors 2 Base map GIS Layers Free 1 Site SMARTConnectors Additional GIS Overlays $3,500.00 Code Set -up (Labor) 1 Site SMARTConnectors Parcel Connector Code $3,500.00 Set -up (Labor) 1 Site SMARTConnectors Financial Connector Free Code Set -up (Labor) SMARTConnectors Merchant Services $3,500.00 Connector Code Set -up (Labor) 60 Hrs. $160/Hr. PTWIN Data Migration Free Subtotal Additional Services $10,500.00 Optional Additional Time and Materials Services and Expenses based on Statement of Work # 23143 Attachment "A" 8 1 B �MAItTGov" 120 Hrs. $160 Per Hour Configuration and Training (Labor - See 'Statement $19,200.00 of Work #23143) 513,030.50 1 Week 'Travel and Expenses (See Statement of $3,000.00 Work #23143) $13,030.50 70 Hrs. $160 Per Hour Fee Configuration Service $11,200.00 60 Hrs. $160 Per Hour Access Data Migration- Business Licensing $9,600.00 Subtotal for Optional Additional time and $43,000.00 Materials Services and Expenses Monthly Total without sales tax $69,061.00 Annual Subscription Year 2 $15,561.00 Annual Subscription Year 3 and beyond (or $23,161.00 the then current fees) '31 End Users will be set up in the system and will be subject to monitoring and amendment of the number of End -Users and Fees under Section 3.1(b). Schedule of Payments 50% of SMARTGov Communitys Total (Annual Subscription Services Fees and 513,030.50 Optional Additional Services ) Invoiced Upon Contract Signing 50% of SMARTGov CommunityO Total (Annual Subscription Services Fees and $13,030.50 Optional Additional Services ) Invoiced at Start Date 100% of SMARTGov Community® SaaS for Year 2, Due at Anniversary Date for $15,561.00 Renewals Time and Materials Work and Travel and Expenses to be invoiced monthly as they Monthly occur See Statement of Work #23143 Sales Tax Not Included in the Above Amounts If tax exempt, please provide a copy of tax exempt certificate. ' Travel and Expenses: Airfare will be billed according to coach class. Lodging will be billed according to the actual rates; however, PALADIN agrees to rent an economy, if available. Meals and incidental expenses will be billed according to per diem rates as contained in GSA per diem rates. This Paladin Data Systems Corporation Sales Order and the same terms and conditions of City of Lighthouse Point, FL, SMARTGov Communitye' Subscription Agreement (collectively, "Agreement') is entered into by City of Sunny Isles Beach, FL ('CLIENT') and Paladin Data Systems Corporation ('PALADIN* and, together with CLIENT, the 'Parties" and each a "Party') as of the Effective Date. By signing this Agreement, CLIENT agrees to the terms and conditions contained in City of Lighthouse Point, FL, Agreement, in Exhibit A — SMARTGov Community° Service Level Agreement which are incorporated herein by this reference. This Agreement is effective as of the last date set forth below (the 'Effective Date "). Print Title ? Date l� f9vf I I�IJ FORM ATTORNEY PAadin Data Systems Corporation Signature Print Name C) (3 Print Title I Ili 113 Date Sig o o SMART V� Got/ • SMARTGov Community® Subscription Agreement Com ndy TERMS AND CONDITIONS 1. DEFINITIONS As used in this Agreement, the following terns shall have the following meanings: 1.1 "CLIENT Data" shall mean any data, information, records, images or files added or entered into, processed or generated by the SMARTGov Community° by or on behalf of CLIENT. 1.2 "Confidential Information" shall mean any non - public data, information and other materials (whether in tangible or intangible form) regarding the products, services or business of a party (and/or, if either party is bound to protect the confidentiality of any Third Party's information, of a Third Party) provided or accessible to either party by the other party where such information is marked or otherwise communicated as being 'proprietary' or "confidential' or the like, or where such information should, by its nature, be reasonably considered to be confidential and/or proprietary. Without limiting the foregoing, Confidential Information of PALADIN includes the software and all source code, source documentation, inventions, know -how, and ideas, updates and any documentation and information related to SMARTGov Community. 1.3 "Documentation" includes, but is not limited to, any on -line help files, electronic media, executables, report files, data table definitions, system designs, or written instruction manuals regarding the use of SMARTGov Community. 1.4 'SMARTGov Community" shall mean PALADIN's SMARTGov Community® software solutions delivered as Software as a Service ('SaaS' is a delivery model in which software and associated data are centrally hosted and typically accessed via a web browser with a network connection to the internet). 1.5 "End- User" shall mean an individual registered and identified by CLIENT by name to receive a unique password in order to access SMARTGov Community, including employees, agents, consultants, contractors and any other persons having access to SMARTGov Community by virtue of his or her relationship with CLIENT. 1.6 "EULA" shall mean the SMARTGov Community End User License Agreement, which is located at htto: / /smartgov.paladindata.com. 1.7 "Licensed Jurisdiction" shall mean City of Sunny Isles Beach, FL. 1.8 "Fees" shall mean the fees, charges and other amounts to be paid by CLIENT to PALADIN hereunder. 1.9 "Modifications" shall mean improvements, additions, changes, updates, upgrades, bug fixes or derivative works relating to SMARTGov Community, including but not limited to the graphical user interface, by whomever made them and whether or not they incorporate or are based on any information gained as a result of this Agreement. 1.10 "Normal Business Hours" shall mean Monday through Friday (excluding holidays) from 8 a.m. to 5 p.m. Pacific Time. 1.11 "Recommended Equipment" shall mean any hardware or other equipment, if any, recommended by PALADIN to be used with SMARTGov Community as specified in the Documentation and /or on the SMARTGov Community website, currently located at http: / /smartgov.paladindata.com. 1.12 "Results" shall have the meaning set forth in Section 3.1. 1.13 - "Subscription Services" shall mean the access to SMARTGov Community and those support and maintenance services provided by PALADIN to CLIENT pursuant to the terms and conditions described herein. 1.14 "Start Date" shall mean the date agreed upon by PALADIN and CLIENT that the Subscription Services will be available for CLIENT's use. Page 3 Initials — Paladin -9 Client_ f%9� � - o SMART cov. SMARTGov Community® Subscription Agreement Community 1.15 "Term" shall have the meaning set forth in Section 7.1. 1.16 "Third Party" shall mean any entity or individual other than PALADIN or CLIENT. 2. LICENSE GRANT 2.1 SMARTGov Community. (a) License. Subject to the terms and conditions of this Agreement, PALADIN hereby grants to CLIENT, a non - exclusive, non - transferable, limited license, during the Term, for End -Users to access and use SMARTGov Community in accordance with the Documentation solely for e- government software solutions. CLIENT'S use of SMARTGov Community is limited to the number of End -Users and modules as set forth in the Sales Order, except as provided in Section 4.1(b) herein. In addition, if SMARTPortal (public portal) is purchased under this Agreement, CLIENT may display on its website the public portion(s) of SMARTGov Community, which are the pertion(s) of SMARTGov Community available to CLIENT that do not require a password for use. CLIENT agrees that all rights not expressly granted to CLIENT hereunder are reserved by PALADIN and its Third Party licensors or vendors, as applicable. (b) Restrictions. CLIENT agrees that SMARTGov Community contains trade secrets and other confidential and /or proprietary information owned by PALADIN or its Third Party vendors. CLIENT shall not and shall not allow End -Users or other persons to (a) modify, make derivative works, alter any part of SMARTGov Community, (b) copy the SMARTGov Community, in part or in whole, (c) reverse engineer, decompile, disassemble or otherwise attempt to derive source code of the SMARTGov Community or other proprietary information from the SMARTGov Community, d) sell, transfer, lease, rent, loan, distribute or attempt to grant any rights to the SMARTGov Community to any Third Party, (e) use the SMARTGov Community to act as a service bureau or application service provider, or to permit access of any kind to SMARTGov Community to any Third Party, or (f) disclose SMARTGov Community or any Documentation, to any Third Party, except as otherwise permitted herein. Furthermore, End -Users may not log into more than one machine at a time.- PALADIN -may electronically monitor CLIENT's use of SMARTGov Community for compliance with the license terms and restrictions set forth in this Section 2. 2.2 Data. CLIENT grants to PALADIN a non - exclusive license to use CLIENT DATA for the purposes of performing its obligations under this Agreement. 2.3 PALADIN represents that it holds all copyrights, trademarks, patents, or other rights to the software and SMARTGov - Community and required to provide the license to CLIENT and shall indemnity and defend CLIENT at PALADIN'S expense for any claim filed against CLIENT for infringement of any of these rights by a third party. 3. OWNERSHIP 3.1 SMARTGov Community Ownership. As between the parties to this Agreement, PALADIN and its licensors shall retain sole and exclusive ownership of, and all right, title and interest in and to SMARTGov Community, Documentation, Modifications all suggestions, ideas, improvements, feedback, evaluation materials, presentations, designs, technology, inventions, know -how, works of authorship, software, specifications, and other materials, information and any other intellectual property made, developed, conceived or reduced to practice by PALADIN (whether alone, or jointly with Client) in the performance of this Agreement (collectively, 'Results'). To the extent necessary to effect this intention, CLIENT hereby assigns to PALADIN any and all right, title and interest in and to SMARTGov Community and Results, and shall execute all such further instruments and documents and to do all such other acts and things, as may be requested by PALADIN from time to time to secure and preserve PALADIN's rights hereunder. Page 4 Initials — Paladin 4& Client 5!B Vp SMART � Gov- SMARTGov Community® Subscription Agreement Community 3.2 PALADIN Trademarks. O 9 SMARMeoPI Community and SMARTGov"' are registered trademarks of PALADIN (the "Paladin Trademarks'). PALADIN hereby grants to CLIENT a non - exclusive, non - transferable, right to use the Paladin Trademarks as long as such use is solely to identify and promote SMARTGov Community, and CLIENT complies with the trademark usage policies and guidelines provided by PALADIN, as may be updated or revised by PALADIN from time to time. CLIENT receives no ownership right in the Paladin Trademarks and agrees not to take any action inconsistent with such ownership. All use of the Paladin Trademarks by CLIENT will inure to the benefit of PALADIN. 3.3 Client Data and Trademarks. CLIENT hereby grants to PALADIN, during the Term, a non- exclusive, non - transferable, license to display the CLIENT name and logo designated by CLIENT for use on the user interface of SMARTGov Community through which CLIENT accesses and uses SMARTGov Community and for the marketing and promotion of SMARTGov. PALADIN receives no ownership right in the CLIENT Data or CLIENT Trademarks. PALADIN may, with CLIENT's consent, use excerpts of CLIENT Data in demonstrations and presentations regarding the SMARTGov Community. 3.4 Ad Hoc Report Writer Software. Exago Inc. is the owner of the ad hoc report writer software (eWebReports) that PALADIN uses as part of SMARTGov Community. Exago Inc. requires End -Users to agree to the provisions listed in the EULA. 4. FEES and PAYMENT 4.1 Fees. (a) Subject to Section 4.1(b), Fees for use of SMARTGov Community are based on the number of add on modules and the number of End -Users licensed hereunder. CLIENT will pay the Fees set forth in the Sales Order. All Fees are payable in United States dollars and are exclusive of any and all taxes. If PALADIN is required to pay any federal, state or local taxes based on the services provided under this Agreement, the taxes shall be invoiced and paid by Client (excluding taxes based on PALADIN's gross receipts or net income). (b) If PALADIN determines based on its electronic monitoring of CLIENT and End -Users under Section 2.1(b) that the actual number of End -Users exceeds the number licensed under this Agreement, then the parties agree that PALADIN reserves the right to amend the Sales Order for any successive Renewal Term to increase the number of End - Users, and the Fees, subject to Section 4.4 herein. 4.2 Expenses. Fees do not include travel, lodging or other expenses related to SMARTGov Community. CLIENT will reimburse PALADIN for all travel, lodging, communications, incidentals and other out -of- pocket expenses as they relate to the services rendered hereunder by PALADIN to CLIENT. CLIENT shall not be responsible for any expenses exceeding the amount estimated in the approved statement of work without prior written authorization and approval by the CLIENT 4.3 Payment PALADIN shall invoice CLIENT, and CLIENT shall pay such invoice within thirty (30) days of invoice date and shall be deemed overdue if they remain unpaid thereafter. All overdue invoices are subject to an interest charge of one and one -half percent (1.5 %) per month, or the maximum rate allowed bylaw, whichever is lower. In addition to any other rights and remedies of PALADIN hereunder, if payment is past due, PALADIN may, in its sole discretion, elect to suspend SMARTGov Community and any other services provided by PALADIN to CLIENT under this Agreement or any other agreement between CLIENT and PALADIN. CLIENT shall make all payments of Fees or expenses in United Slates dollars and directed to: Page 5 Initials — Paladin Client a o o SMART Gov. Community Attention: Accounts Receivable Paladin Data Systems Corporation 19362 Powder Hill Place NE Poulsbo, WA 98370 Electronic Remittance should be made to: SMARTGov Community® Subscrfpdon Agreement Bank of America Account # 485007023715 Account Name: Paladin Data Systems Corporation ACH Routing Number # 323070380 Bank Address: 1000 6th Street, Bremerton, WA 98337 A contract or invoice reference number must accompany all payments. 4.4 Right to Modify Fees. PALADIN reserves the right to modify Fees for SMARTGov Community, beginning year six, under this Agreement upon notice to CLIENT no less than sixty days prior to the Annual Subscription renewal and before such Fee modification is to take place. Any increase in fees for SMARTGov Community shall be limited to a maximum of 5% of the current annual subscription fees paid by CLIENT. 4.5 Availability of Funds. The Client's performance and obligation to pay under this Agreement is contingent upon an annual appropriation for its purpose by the City Commission. In the event the City Commission fails to appropriate funds for the particular purpose of this Agreement during any year of the term hereof, then this Agreement shall be terminated upon ten (10) days written notice and PALADIN shall be compensated for the Services satisfactorily performed prior to the effective date of termination. 5. RESPONSIBILITIES 5.1 CLIENT Responsibilities. (a) CLIENT shall be solely responsible for the manner in which CLIENT and End -Users use SMARTGov Community, including the requirements for End -Users set forth in Section 11 below. CLIENT shall ensure that only authorized End -Users have access to any passwords provided by PALADIN for use in connection with SMARTGov Community and shall not disclose such passwords to any other individual. CLIENT acknowledges and agrees that it is solely responsible for strictly maintaining the confidentiality and integrity of such passwords and CLIENT shall indemnify and hold harmless PALADIN from and against any liability, damages or costs arising from CLIENT's failure to comply with this Section 5.1. CLIENT shall notify PALADIN immediately in writing if the security or integrity of a password has been compromised. (b) CLIENT agrees to (i) cooperate and consult with PALADIN in the delivery of SMARTGov Community to CLIENT, and (ii) provide and maintain, in good and working order at all times, its own Internet access and all necessary Recommended Equipment, telecommunications equipment, software and other materials necessary for End -Users to access and use SMARTGov Community. (c) CLIENT will have total responsibility for the quality of the CLIENT Data captured and stored in SMARTGov Community. PALADIN will not be held responsible for the quality of the CLIENT Data or any losses that may occur because of incorrectly managed CLIENT Data. (d) CLIENT will not take any action that: (i) imposes or may impose, in PALADIN's sole discretion, an unreasonable or disproportionately large load on SMARTGov Community infrastructure; (ii) interferes or attempts to interfere with the proper working of SMARTGov Community or engage in any activity that disrupts, diminishes the quality of, interferes with the performance of, or impairs the functionality of SMARTGov Community; or (iii) circumvents, disables, or interferes or attempts to circumvent, disable, or interfere with security - related features of SMARTGov Community or features that prevent or restrict use, access to, or copying of any data or enforce limitations on use of SMARTGov Page 6 Initials —Paladin Client +u7 1 rte, oSMART co J.. SMARTGov Community® Subscription Agreement Community Community or data. (e) CLIENT will not use SMARTGov Community to track, store, or otherwise process or memorialize any other governmental entity's data, with the sole exception of importing information pertaining to the Licensed Jurisdiction from any source available to the Licensed Jurisdiction, even if that source contains another governmental entity's data. (f) CLIENT shall have sole responsibility for downloading and storing back -up files as long as PALADIN makes such back -up files available for download in accordance with Section 5.2(c) below. (g) At least three (3) business days before the Start Date, Client shall provide to PALADIN the name and contact information of CLIENT's administrator, who will be responsible for issuing user names and passwords for End -Users and Named Users. CLIENT may change such administrator by providing written notice to PALADIN. (h) CLIENT represents and warrants to PALADIN that it (i) has all requisite legal power and authority to execute this Agreement and to carry out and perform its obligations hereunder, and (ii) is and will remain in compliance with all applicable laws, regulations and rules of any government body or other competent authority relating to its business or performance under this Agreement. 5.2 PALADIN Responsibilities. (a) Subject to the terms and conditions provided herein, PALADIN shall use commercially reasonable efforts to provide SMARTGov Community in material conformance with the Documentation. CLIENT shall promptly notify PALADIN in writing if SMARTGov Community fails to materially conform to the Documentation, and PALADIN's entire liability and CLIENTS exclusive remedy shall be for PALADIN to use commercially reasonable efforts to provide SMARTGov Community in material conformance with the Documentation. (b) PALADIN shall issue a user name and password, and otherwise provide access to, SMARTGov Community for CLIENT's administrator by the Start Date, provided that CLIENT furnishes information in accordance with Section 5.1(g). (c) Each month, by the Back -up Availability Date set forth on the Sales Order, PALADIN shall make available for CLIENT a back -up file of CLIENT's Data for CLIENT to download for a period of 72 hours, after which PALADIN shall delete such file. (d) PALADIN represents and warrants to CLIENT that it (i) has all requisite legal power and authority to execute this Agreement and to carry out and perform its obligations hereunder, and (ii) is and will remain in compliance with all applicable laws, regulations and rules of any government body or other competent authority relating to its performance under this Agreement. 5.3 Scope. Services other than SMARTGov Community, such as training, implementation, consulting services and other professional services are outside the scope of this Agreement but may be provided pursuant to PALADIN's Professional Services Agreement if agreed upon in writing by the parties. 6. SUBSCRIPTION SERVICES Subscription Services, standard upgrades, and scheduled maintenance shall be provided for SMARTGov Community as set forth at http: / /smartgov. paladindata. com /smartgov /supportloverview.html, and shall be conditioned upon compliance with this Agreement, including payment of annual Fees. Subscription Services do not include, and PALADIN shall not be responsible or liable with respect to, any problems or issues arising from (i) unauthorized or improper use of SMARTGov Community; (ti) modification, alteration or configuration of SMARTGov Community by CLIENT or a Third Party that has not been authorized in writing by PALADIN, (iii) hardware, software, technology or intellectual property which has not been provided by PALADIN pursuant to this Agreement, (iv) telecommunications facilities; (v) any breach of this Agreement by CLIENT, or any act or omission of any End -User which, if performed or omitted by Client, would be a breach of this Agreement, and /or (vi) any act or omission of CLIENT or any End -User that prevents, delays, disturbs or interferes with PALADIN's performance of its obligations under this Agreement.. Page 7 Initials — Paladin CV6 Client \ _ SIB � �nAoSMART W <<it3v:. SMARTGov Community® Subscription Agreement Community 7. TERM AND TERMINATION 7.1 Term. This Agreement shall commence on the Start Date and shall continue for the period specified in the Sales Order (the 'Initial Term'), and shall be renewed for successive periods of equal duration (each a 'Renewal Term') (the Initial Term and any Renewal Terms, collectively the 'Term') unless either party provides sixty (60) days notice prior to the end of the Term of the party's election not to renew the Agreement. Either party may terminate this Agreement as set forth in Sections 7.2, 7.3 and 7.4 below. 7.2 Stop in Service by PALADIN. After first full year of service and upon one hundred and twenty (120) days written notice, PALADIN may terminate provision of SMARTGov Community as a PALADIN offering. CLIENT DATA will be exported and returned to the CLIENT via digital media at PALADIN expense. PALADIN shall return to CLIENT within thirty (30) days of the end of the Term, the prorated remainder of the Fee based on the period remaining in the Term. 7.3 Termination for Cause. Either party may terminate this Agreement by giving to the other party written notice of such termination upon any of the following events: (a) the other party's material breach of the Agreement, provided that the other party has not cured the breach within thirty (30) days after receipt of notice of the breach, (b) the other party becomes subject to any bankruptcy or insolvency proceedings under federal or state statute, (c) the other party becomes insolvent or becomes subject to direct control by a trustee, receiver or similar authority, (d) the other party is liquidated, voluntarily or otherwise, or (e) the other party terminates or suspends its business In addition, PALADIN may terminate this Agreement if the CLIENT fails to make any payment due hereunder within thirty (30) days after receiving written notice from PALADIN that such payment is delinquent. 7.4 Immediate Termination. Notwithstanding Section 7.3 above, PALADIN may immediately terminate this Agreement upon written notice to CLIENT if CLIENT violates the scope or any restriction on its license under Section 2 or its obligations hereunder with respect to Confidential Information of PALADIN. 7.5 Reinstatement. If CLIENT elects not to renew this Agreement but then later desires to reinstate SMARTGov Community, PALADIN may, at its sole discretion, reinstate CLIENT's SMARTGov Community if the CLIENT pays a reinstatement fee equal to 20% of the then - current year's Fee for SMARTGov Community plus the upcoming year's Fee for SMARTGov Community. 7.6 Effect of Termination. (a) Upon termination for any reason, all licenses granted hereunder shall automatically terminate, and PALADIN may immediately disable and discontinue CLIENT's access to and use of SMARTGov Community without notice to CLIENT. Upon termination of this Agreement for any reason, CLIENT shall return to PALADIN all Documentation and all information and materials that it has acquired pertaining to SMARTGov Community and any other Confidential Information of PALADIN. (b) If the CLIENT decides to terminate their access to SMARTGov Community prior to the end of the then - current Term, PALADIN will retain the balance of Fees paid for such Term. (c) Within ten (10) business days of the termination date, PALADIN will export all CLIENT Data then - stored in SMARTGov Community and ship the information to the CLIENT in a digital format. 7.7 Survival. All rights to payment and the provisions of Sections 3, 4, 5.1(a), 5.1(c), 7.6, and 8 through and including 13 of this Agreement (together with any other provisions that by their sense or context are intended to survive termination) shall survive any expiration or termination of this Agreement. Page 8 Initials — Paladin& Client I gnoSMART A'ov SMARTGov Community° Subscription Agreement Community 8. DISCLAIMER OF WARRANTIES 8.1 PALADIN's SMARTGov Community may be temporarily unavailable from time to time due to required maintenance, telecommunications interruptions, or other disruptions. PALADIN may also make improvements and /or changes in SMARTGov Community at any time without notice. PALADIN will not be responsible for any damages that CLIENT may suffer arising out of use, or inability to use, SMARTGov Community. PALADIN will not be liable for unauthorized access to or alteration, theft or destruction of CLIENT's data files, programs, procedures or information through accident, fraudulent means or devices, or any other method. It is hereby acknowledged that it is CLIENT's responsibility to validate for correctness all output and reports and to protect CLIENT Data and programs from loss by routinely executing backup procedures as described in 5.2(c). CLIENT hereby waives any damages occasioned by lost or corrupt data, incorrect reports or incorrect data files resulting from a programming error, operator error, equipment or software malfunction, or from the use of third -party software. 8.2 EXCEPT AS EXPRESSLY STATED HEREIN, SMARTGOV COMMUNITY ACTUAL PROPERTY MATERIALS, INFORMATION AND OTHER ITEMS OR SERVICES PROVIDED BY PALADIN UNDER THIS AGREEMENT ARE PROVIDED TO CLIENT AND END -USERS ON AN "AS IS" 'WHERE IS' BASIS WITH NO WARRANTIES OF ANY KIND. PALADIN AND ITS LICENSORS AND SUPPLIERS DISCLAIM ALL WARRANTIES, WHETHER EXPRESS OR IMPLIED, BY STATUTE OR OTHERWISE, INCLUDING, WITHOUT LIMITATION, WARRANTIES OF NONINFRINGEMENT AND MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE. PALADIN DOES NOT WARRANT THAT THE SERVICES WILL BE UNINTERRUPTED, ERROR -FREE OR WITHOUT DELAY AND SHALL NOT BE LIABLE FOR ANY LOSS OF DATA 9. LIMITATION OF LIABILITY 9.1 LIABILITY. NOTWITHSTANDING ANY OTHER PROVISION OF THIS AGREEMENT, THE AGGREGATE LIABILITY OF PALADIN FOR DAMAGES ARISING OUT OF SMARTGov COMMUNITY AND SUPPORT SERVICES OR OTHERWISE UNDER THIS AGREEMENT, INCLUDING BUT NOT LIMITED TO MISTAKES, OMISSIONS, INTERRUPTIONS, DELAYS, TORTIOUS CONDUCT OR ERRORS, OR OTHER DEFECTS, REPRESENTATIONS, USE OF SERVICES OR ARISING OUT OF THE FAILURE TO FURNISH OR INABILITY TO USE SERVICES, WHETHER CAUSED BY ACTS OF COMMISSION OR OMISSION, SHALL BE LIMITED TO THE AMOUNTS PAID BY CLIENT HEREUNDER FOR THE TWELVE (12) MONTHS PRIOR TO THE EVENT GIVING RISE TO SUCH LIABILITY. 9.2 EXCLUSION. EXCEPT WITH RESPECT TO THE DAMAGES ARISING FROM A PARTY'S BREACH OF THE LICENSE AND /OR LICENSE RESTRICTIONS, OR CONFIDENTIALITY OBLIGATIONS OR INDEMNIFICATION OBLIGATIONS HEREUNDER, NEITHER PARTY SHALL BE LIABLE FOR ANY INDIRECT, INCIDENTAL, SPECIAL, CONSEQUENTIAL, EXEMPLARY OR PUNITIVE DAMAGES (INCLUDING BUT NOT LIMITED TO DAMAGES FOR LOST PROFITS OR SURPLUSES OR LOST REVENUES, BUSINESS INTERRUPTION AND LOSS OF BUSINESS INFORMATION), WHETHER OR NOT CAUSED BY THE ACTS OR OMISSIONS OR NEGLIGENCE OF ITS EMPLOYEES OR AGENTS, AND REGARDLESS OF WHETHER SUCH PARTY HAS BEEN INFORMED OF THE POSSIBILITY OR LIKELIHOOD OF SUCH DAMAGES. 10. END -USERS CLIENT acknowledges and agrees that each End -User shall use SMARTGov Community in accordance with the terms and conditions set forth in the EULA. 11. CONFIDENTIAL INFORMATION 11.1 Disclosure and Use. The Confidential Information disclosed by either party (the 'Disclosing Party') to the other (the 'Receiving Party') constitutes the confidential and proprietary information of the Disclosing Party, and the Receiving Party agrees to maintain the confidentiality of the other's Confidential Information. The Receiving Party will treat all Confidential Information of the other in the same manner as it treats its own similar confidential or proprietary information, but in no case will the degree of care be less Page 9 Initials — Paladin Client S I B *no SMART .91 a . Community SMARTGov Community® Subscription Agreement than reasonable care. The Receiving Party shall use Confidential Information of the Disclosing Party only in performing under this Agreement and shall retain the Confidential Information in confidence and not disclose Confidential Information to any Third Party (except as authorized under this Agreement) without the Disclosing Party's express written consent. The Receiving Party shall disclose the Disclosing Party's Confidential Information only to those employees and contractors of the Receiving Party who have a need to know such information for the purposes of this Agreement, and such employees and contractors must be bound by this Agreement or have entered into agreements with the Receiving Party containing confidentiality provisions covering the Confidential Information with terms and conditions at least as restrictive as those set forth herein. CLIENT agrees to promptly report to PALADIN any unauthorized use or disclosure of PALADIN's SMARTGov Community or its Confidential Information. 11.2 Acknowledgement of Confidentiality. Both parties agree that SMARTGov Community, Documentation, and the Fees set forth herein are Confidential Information of PALADIN. Both parties agree that the CLIENT Data is Confidential Information of CLIENT. Any other specific information that is claimed by CLIENT to be confidential must be clearly identified as such by Client, and PALADIN will maintain the confidentiality of all such information marked confidential or proprietary as provided herein. 11.3 Exceptions. Notwithstanding the foregoing, each party's confidentiality obligations hereunder shall not apply to information which: (a) is already known to the Receiving Party prior to disclosure by the Disclosing Party without restriction as to use or disclosure; (b) becomes publicly available without fault of the Receiving Party; (c) is rightfully obtained by the Receiving Party from a Third Party without restriction as to use or disclosure, or is approved for release by written authorization of the Disclosing Party; (d) is developed independently by the Receiving Party without use of or access to the Disclosing Party's Confidential Information; or (e) required to be disclosed by law, or compelled by court order or subpoena. 11.4 If the Receiving Party is required to disclose any Confidential Information of the other by law, regulation or governmental authority, the Receiving Party will provide reasonable notice to Disclosing Party of such required disclosure and reasonably cooperate with the Disclosing Party in preventing or limiting such disclosure, or obtaining an appropriate protective order or other remedy. If a protective order or other remedy is not obtained, then the Receiving Party may disclose such Confidential Information as necessary for compliance with the applicable law, regulation or governmental authority. Notwithstanding such disclosure, such information shall remain Confidential Information and subject to the requirements of this Section 11. 11.5 Remedies. CLIENT acknowledges and agrees that any breach or threatened breach of this Section 11 or the license and restrictions set forth in Section 2 may cause PALADIN irreparable harm for which monetary damages will be inadequate compensation. Accordingly, PALADIN shall be entitled, in addition to any other remedies available at law or in equity, to immediate injunctive relief without requiring a cure period and without the necessity of posting a bond. Nothing stated herein shall be construed to limit any other remedies available to the parties. 12. GENERAL TERMS 12.1 Force Majeure. Except with respect to payment obligations, neither party shall be liable for any failure of performance or equipment due to causes beyond such party's reasonable control, including but not limited to: acts of God, fire, flood or other catastrophes; any law, order, regulation, direction, action, or request of any governmental entity or agency, or any civil or military authority; national emergencies, insurrections, riots, wars; unavailability of rights -of -way or materials; or strikes, lock -outs, work stoppages, or other labor difficulties. 12.2 Basis of Bargain. PALADIN and CLIENT acknowledge that PALADIN has set its Fees and entered into this Agreement in reliance upon the disclaimers of warranties and limitations of liability and damages Page 10 Initials — Paladin Client OMERMO it �10 SMART �Y Gory.. Community SMARTGov Community® Subscription Agreement as set forth in this Agreement, and that such provisions form an essential basis of the bargain between the parties and do not cause this Agreement, or the remedies available hereunder, to fail of its or their essential purpose. 12.3 Assignment; Binding Effect. This Agreement may not be transferred or assigned by either party without the express written consent of the other, which will not be unreasonably withheld or delayed, except that PALADIN may, without the consent of CLIENT, assign this Agreement in its entirety to a parent, subsidiary or affiliate of PALADIN, or an acquirer of more than fifty percent (50 %) of PALADIN's outstanding voting capital stock or to a purchaser of all or substantially all of PALADIN's assets. Any purported transfer or assignment in contravention of this Section shall be null and void. This Agreement shall inure to the benefit of and be binding upon the parties and their respective successors and permitted assigns. 12.4 Notices. Any notice hereunder shall be deemed properly given when delivered, if delivered in person, or sent via facsimile (with confirmation of receipt), overnight courier, certified or registered mail (postage prepaid) to CLIENT at the address listed on the first page of this Agreement or to PALADIN at: Paladin Data Systems Corporation, 19362 Powder Hill PI NE, Poulsbo, WA 98370, Fax # (360) -779- 2600. Attention Chief Operations Officer. Each party must notify the other party of any changes to its address in accordance with this Section. 12.5 Governing Law. This Agreement shall be governed and construed in accordance with applicable federal law and the laws of the State of Florida, without regard to conflicts of laws principles. The parties agree to the exclusive jurisdiction and venue of the Florida State courts serving Miami Dade County Florida, and United States federal courts. CLIENT hereby waives all defenses of lack of personal jurisdiction and forum non conveniens. 12.6 Amendment; No Waiver. Except as otherwise expressly provided herein, this Agreement may not be amended or modified and the observance of any provision of this Agreement may not be waived (either generally or any particular instance and either retroactively or prospectively) except with the written consent of the parties. No failure by either party to enforce any rights hereunder shall constitute a waiver of such right then or in the future or any other right or remedy hereunder. 12.7 Headings. Headings and captions are for convenience only and are not to be used in the interpretation of the Agreement. 12.8 Prevailing Party. The prevailing party in any action to enforce this Agreement will be entitled to recover its attorney's fees and costs in connection with such action. 12.9 Independent Contractors. The relationship of PALADIN and CLIENT established by this Agreement is that of independent contractors and nothing in this Agreement shall be construed (i) to give either party the power to direct or control the day to day activities of the other or (ii) to constitute the parties as partners, franchisees, joint venture's, co- owners or otherwise as participants in a joint or common undertaking. Further, nothing in this Agreement shall prevent PALADIN from licensing or providing SMARTGov Community or similar services to any Third Party or from engaging in any development of software or products similar in any manner to SMARTGov Community provided hereunder. 12.10 Export Compliance. CLIENT shall comply with all applicable United States and foreign laws, regulations, regulations, rules and requirements relating to license, delivery, import, export or re -export of technology or content abroad, including without limitation, the requirements under the U.S. Export Administration Act, regulations of the Bureau of Industry and Security or its successor, executive orders, and other export controls of the United States. 12.11 Invoices. The terms, provisions or conditions of any purchase order or other business form or written authorization used by CLIENT will have no effect on the rights, duties or obligations of the parties under, or otherwise modify, this Agreement, regardless of any failure of PALADIN to object to those terms, provisions or conditions. 12.12 Severability. If for any reason a court of competent jurisdiction finds any provision of this Agreement, or portion thereof, to be unenforceable, that provision of the Agreement will 'beeeenforced to Page 11 Initials — Paladin& Client one SMART Wolf Community SMARTGov Community® Subscription Agreement the maximum extent permissible so as to affect the economic intent of the parties, and the remainder of this Agreement will continue in full force and effect. 12.13 Counterparts. This Agreement may be executed in any number of English language counterparts or duplicate originals, and each such counterpart or duplicate original shall constitute an original instrument, but all such separate counterparts or duplicate originals shall constitute one and the same instrument. 12.14 Entire Agreement. This Agreement constitutes the entire Agreement of the parties concerning its subject matter and supersedes any and all prior or contemporaneous, written or oral negotiations, correspondence, understandings and agreements between the parties respecting the subject matter of this Agreement. Page 12 Initials — Paladin Client S8 Exhibit A SMARTGov Community® Service Level Agreement This Service Level Agreement ('SLA ") for SMARTGov° Community Software as a Service (SaaS) is an exhibit to the SaaS agreement by and between Paladin Data Systems Corporation ( "PALADIN ") and City of Sunny Isles Beach, FL ( "CLIENT'), which the Parties have executed contemporaneously with this SLA. This SLA is attached to and incorporated into the SMARTGov Community SaaS Agreement. 1. DEFINITIONS As used in this SLA, the following terms shall have the following meanings: 1.1 "Access Protocols" will mean industry standard internet access protocols through which PALADIN makes SMARTGov Community® accessible to the CLIENT, which includes, unless otherwise specified, HTTP and HTTPS. 1.2 "Annual Subscription Service Fee" will mean the annual SMARTGov Community® Subscription Services fee. 1.3 "Application Service" will mean the SMARTGov Community® software application being delivered as a hosted service by PALADIN. 1.4 "Disaster" will mean a catastrophic event that is caused by acts beyond the reasonable control of PALADIN and that results in significant or potentially significant downtime or disruption of the production environment and requires PALADIN to invoke its Disaster Recovery plan. PALADIN has sole and exclusive right to declare Disaster. 1.5 "Disaster Recovery" will mean PALADIN's process to restore System Availability in the event that PALADIN declares a Disaster as defined above in 1.4. 1.6 "Non -Core System Functionality will mean functionality that does not require real time availability for effective use of the System. This explicitly includes, but is not limited to, reporting and background batch processing. Non -Core System Functionality availability is explicitly excluded from the calculation of System Availability. 1.7 "Party or Parties" shall mean either PALADIN or CLIENT individually or collectively. 1.8 "Scheduled Downtime" will mean the total amount of time during any Service Year during which the Application Service core features and functions are unavailable for the majority of CLIENT's users according to the Access Protocols, due to planned system maintenance performed by PALADIN, as set forth below. PALADIN will exercise reasonable efforts to perform scheduled system maintenance Friday thru Sunday between the hours of S:OOPM Friday PST and 12:00 AM Sunday PST. PALADIN reserves the right to change the scheduled downtime, provided that PALADIN makes reasonable effort to minimize impact on CLIENT. If the CLIENT approves a production change affecting the Application Service and core features outside of the scheduled system maintenance window indicated above, such maintenance shall be considered as Scheduled Downtime. 1.9 "Service Year" will mean the preceding 365 days from the date of an SLA claim. 1.10 "System" will mean the Application Service. 13 Initials — Paladin_ Client ` J IB 1.11 "System Accessibility" will mean the ability for end users to gain access to System features and functionality. System Accessibility is not the same as System Availability. The System can be available without being accessible due to CLIENT network or local system issues. System Accessibility is only contemplated in the context of this document when accessibility limitations are due to the System being unavailable. 1.12 "System Availability" will mean, with respect to any Service Year, the ratio obtained by subtracting Unscheduled Downtime during such Service Year from the total time during such Service Year (525,600 minutes), and thereafter dividing the difference so obtained by the total time during such Service Year. If CLIENT has been using the Application Service for less than 365 days, Service Year is still the preceding 365 days but any days prior to CLIENT use of the service vrill be deemed to have had 100% availability. Represented mathematically, System Availability for any particular Service Year is determined as follows: System Availability = (Total Service Year Time (525,600 minutes) - Unscheduled Downtime) I Total Service Year Time (525,600 minutes). NOTE: "Total Service Year Time" is deemed to include all minutes in the relevant Service Year period as described above (525,600 minutes). 1.13 "System Uptime" will mean the total amount of time during any Service Year during which the Application Service's core features and functions are available for CLIENT use according to the Access Protocols. 1.14 "Unscheduled Downtime" will mean the total amount of time during any Service Year during which the Application Service core features and functions are unavailable for CLIENT's access according to Access Protocols, other than Scheduled Downtime, as defined above. See section 4.1 for details on detection of "Unscheduled Downtime." 2. SYSTEM PERFORMANCE 2.1.1 System Availability: PALADIN will undertake commercially reasonable measures to make sure System Availability equals or exceeds ninety-nine percent (99%) during each Service Year (the 'Service Standard'), provided that any Unscheduled Downtime occurring as a result of circumstances beyond PALADIN's reasonable control including, without limitation, (i) CLIENT's breach of any provision of this Agreement; (ii) non - compliance by CLIENT with any provision of this Agreement; (iii) incompatibility of CLIENT's equipment or software with the Application Service; (iv) poor or inadequate performance of CLIENT's systems; (v) CLIENT's equipment failures; (vi) CLIENT's network and internet service provider, (vii) public internal, (viii) security exposure, or (ix) force majeure (as contemplated in the Amendment), shall not be considered toward any reduction in System Availability measurements. In the event of a "Disaster," System Availability service levels defined herein do not apply. 3. SYSTEM SUPPORT CLIENT may report Unscheduled Downtime by calling 866 - 367 -4572 or emailing support@paladindata.com during PALADIN's normal business hours (Monday thru Friday, 5:00 am to S:OOpm PST). PALADIN will exercise commercially reasonable efforts to respond to reports of Unscheduled Downtime by telephone or email acknowledgement within thirty (30) minutes of such report. The report will be assigned a case number for tracking purposes. 14 Initials — Paladin .9 Client, 4. MEASUREMENT AND REPORTS 4.1 System Monitoring and Measurement: PALADIN will provide for monitoring of System Availability on an ongoing basis. All measurements of System Availability will be calculated on the Service Year period during the Term. This monitoring will be performed through a combination of monitoring services provided by PALADIN's hosting vendor, internal PALADIN tools, and an external web site URL monitor that validates the availability of the CLIENT's application URL. These tools are intended to serve as an initial alert to PALADIN that the system may be unavailable. PALADIN will then conduct a series of tests to confirm System Availability. • If one of the above alerting mechanisms reports that the System is unavailable and PALADIN confirms the System to be unavailable, then Unscheduled Downtime will be calculated, in 5 minute increments, as the time between when the initial notification or alert was received until PALADIN confirms System Availability has been restored. • If one of the above alerting mechanisms reports that the System is unavailable, but PALADIN's tests and assessments confirms that the System is available, then Unscheduled Downtime will be calculated as the time between when the initial notification or alert was received until PALADIN confirms System Availability has been restored if PALADIN is unable to confirm that the System was, in fact, available during period between the initial notification or alert and point at which PALADIN confirmed that the System was available. 4.2 System Performance Reports: Upon CLIENT's request and at no cost to CLIENT, PALADIN will provide standard System Availability reports to CLIENT on a quarterly basis setting forth measurements of Unscheduled Downtime and a calculation of System Availability for the relevant preceding Service Year period. CLIENT agrees that PALADIN's monitoring and measurement method and standard System Availability reports are the sole and exclusive methods of measuring System Availability under this Agreement. No other measure shall be accepted unless validated, and mutually agreed to in writing by both parties before implementation. If CLIENT disagrees with any measurement or other information set forth in any such report, it must so inform PALADIN in writing within ten (10) calendar days after receipt thereof. Accuracy of any such report shall be deemed conclusive unless such notice is provided by CLIENT. Any such notice must indicate specific measurements in dispute and must include a detailed description of the nature of the dispute. PALADIN and CLIENT agree to attempt to settle any such disputes regarding System Availability and/or related measurements in a timely manner by mutual good faith discussions. 4.3 Credits for Unscheduled Downtime: In the event PALADIN fails to meet 99% System Availability in any Service Year period, then CLIENT shall receive a credit of 5% of the Annual Subscription Service Fee. CLIENT must claim credit in writing within thirty (30) days following PALADIN's provision of the quarterly System Performance Report as set forth in Section 4.2. Credits properly claimed by CLIENT will be applied to the next renewal period's Annual Subscription Service Fee and such fee will be reduced by the amount of the credit. PALADIN's invoice for each renewal period shall reflect any credit earned during the previous subscription period and the reduction to the Annual Subscription Service Fee for the upcoming renewal period. 15 Initials — Paladin IV Client i° i' ATA inn D ovation I integrity 1 results Paladin Data Systems Corporation 19362 Powder Hill Place NE Poulsbo, WA 98370.8720 Tel: 360 - 779 -2400 1 -800 -532 -8448 To : Sunny Isles Beach, City of, FL 18070 Collins Ave Building Department Sunny Isles Beach, FL 33160 Contact: Clay Parker Work to Be Page 1 of 4 Date: 28- MAR -2013 Quotation: 23143 Telephone: 305- 947.2150 Fax 305. 949.3113 Estimated By : 0412812013 Time and Materials work for SMARTGov Community® Fee Configuration, Configuration and Training, Access Data Migration, and Travel' for Sunny Isles Beach, Florida. 'Travel and Expenses: Airfare will be billed according to actual rates; however, PALADIN will purchase coach class tickets. Lodging will be billed according to the actual rates; however, PALADIN agrees to book government rate lodging if available. Car rental will be billed according to actual rates; however, PALADIN agrees to rent economy car if available. Meals and incidental expenses will be billed according to per diem rates as contained in the GSA per diem rates. The below costs are estimates and actuals will be billed to CLIENT. iConfiguration and Training 120 160.00 $19,200.00 I Travel and Expenses i 1 3,000.00 $3,000.00 Fee Configuration Service 70 160.00 $11,200.00 Access Database Migration - Business Licensing 60 160.00 $9,600.00 Total estimated cost: $43,000.00 Please sign on the acceptance line below to authorize work. Thank you. This "Statement of Work" (SOW) is a cost estimate based on time and materials work. This SOW is valid for 30 calendar days from the issue date. The Paladin "Professional Services Agreement' (PSA) is incorporated as part of this statement of work. Billing occurs monthly. Terms are Net 30. Late payments are subject to a 1.5% finance charge. Jib Trod= 7,._. Paiadio SIB Paladin Data Systems Corporation 19362 Powder Hill Place NE Poulsbo, WA 98370 -8720 Tel: 360.779 -2400 1- 800. 532.8448 Page 2 of 4 Date: 21 -MAR -2013 Quotation: 23143 Job Tracks• By Paladin SIB Pag 3 of 4 Professional Services Agreement between Paladin Data Systems Corporation and Sunny Isles Beach, City of, FL 1. Services Paladin Data Systems Corporation will provide to Client the Service specified on a standard Paladin Work Order, Paladin Proposal or Client Purchase Order, under the terms of this Agreement. Each Work Order, Proposal or Purchase Order shall specify the Services • and applicable fees, and win be governed by the terms of this Agreement. To the extent that the terms and conditions of any Paladin Work Order, Proposal (or any customer purchase order) entered into between the parties conflict with or are inconsistent with the terms and conditions of the Agreement, the terms and conditions of this Agreement shall control. 1. Fees for Services and Termination Unless otherwise specified in the applicable Work Order, Proposal or Purchase Order, Services shall be provided to Client on a time and material basis (T &M7. Rates must be specified on the attached Rate Structure or on a standard Work Order or Proposal. If a dollar limit is stated in the applicable Work Order, Proposal or Purchase Order, the limit shall be deemed an estimate for Client's f budgeting and Paladins resource scheduling purposes; after the limit is expended, Paladin will continue to provide the Services on a T & M basis if a Work Order Proposal or Purchase Order for continuation of the Services is signed by the parties. Unless otherwise stated in a Work Order or Proposal, any T & M Work Order or Proposal may be terminated by providing to Paladin 14 days written notice of such termination. 3. Incidental Expenses Unless otherwise stated in the Work Order, Client shall reimburse Paladin for reasonable travel, communications, and out-of- pocket expenses incurred in conjunction with the services. 4. Invoicing and Payment Paladin shall invoice Client monthly, unless otherwise expressly specified in a Work Order or Purchase Order. Charges shall be payable within 30 days of invoice date and shall be deemed overdue if they remain unpaid thereafter. All overdue invoices are subject to an interest charge of 1.5 % per month. 5. Taxes The charges do not include taxes. If Paladin is required to pay any federal, state, or local taxes based on the Services provided under this Agreement, the taxes shall be billed and paid by Client, this shall not apply to taxes based on Paladin income. 6. Term This agreement shall commence on its Effective Date. Either party may terminate this Agmement at anytime by providing the other party with at least 14 days written notice. Any Work Order outstanding at the time of termination shall continue to be covered by this Agreement as if it had not been terminated. 7. Warranty Paladin warrants that the Services will be performed consistent with generally accepted industry standards. 8. Limitations on Warranty CLIENT MUST REPORT ANY DEFICIENCIES IN THE SERVICES TO PALADIN IN WRITING WITHIN THIRTY (30) DAYS OF COMPLETION OF THE SERVICES IN ORDER TO RECEIVE WARRANTY REMEDIES. THE WARRANTY HEREIN IS EXCLUSIVE AND IN LIEU OF ALL OTHER WARRANTIES, WHETHER EXPRESS OR IMPLIED, INCLUDING THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE AS SET FORTH IN PARAGRAPH 9 OF THIS AGREEMENT. 9. Exclusive Remedy For any breach of the above warranty, Client's exclusive remedy, and Paladins entire liability, shall be the reperformance of the Services. If Paladin is unable to reperform the Services as warranted, Client shall be entitled to recover the fees paid to Paladin for the deficient services. IN NO EVENT SHALL PALADIN BE LIABLE FOR ANY CONSEQUENTIAL OR INCIDENTAL DAMAGES ARISING FROM ANY SERVICES PROVIDED HEREUNDER, INCLUDING BUT NOT LIMITED TO CLAIMS FOR LOST PROFITS OR OTHER ECONOMIC DAMAGES. 10. Relationship between the Parties Paladin is an independent contractor, nothing in this Agreement shall be construed to create a partnership, joint venture, or agency relationship between the parties. Each party will be solely responsible for payment of all compensation owed to its employees, as well as employment related taxes. Each party will maintain appropriate worker's compensation for its employees, as well as employment related taxes. Each party will maintain appropriate workers compensation for its employees as well as general liability insurance. 11. Authority to Enter Into Agreement Each party to this Agreement has the authority to enter into and form this Agreement. The individuals signing the Agreement have the authority to act as agents of their respective organizations. Each party acknowledges that they have read this Agreement and will abide by it. SIB Pag 4 of 4 12. Force Majeure Neither party will be considered to be in default of this Agreement as a result of events beyond their reasonable control. For purposes or this Agreement, such acts shall include, but are not limited to, acts of God, catastrophe, or other 'force majeure' events beyond the parties'reasonable control. 13. Assignment of Contract The Client may not assign the Agreement or its responsibility for payments to any organization, without written approval by Paladin. Paladin may not assign its responsibilities for performance under the Agreement to any organization without written approval of the Client. 14. Hold Harmless Indemnify Client asserts it possesses all the rights and interests in the licensed software necessary to enter into this agreement, and shall indemnify and hold Paladin, its agents and employees harmless from any loss, damage or liability for infringement of any United States patent fight or copyright with respect to the use of the licensed software; provided that Client is notified in writing within ten calendar days of suitor claim against Paladin, that Paladin permits Client to defend, compromise or settle said claim of intringement and give Client all available information, assistance and Pthority to enable Client to do so, provided Paladin fully observes all the terms and conditions of this Agreement. 15. Confidentiality and Mon-Disclosure Except as legally required, the parties agree that neither party shall directly or indirectly disclose or use any Confidential Information without prior written permission from the other parry. 'Confidential Information' means any type of confidential or proprietary information or material disclosed to or known by the recipient of such information ('Reclpient7 as a consequence of or through its relationship with the party disclosing such information, and consisting of information conceived, originated, discovered, or developed in whole or in part by Recipient, which is not part of the public domain or otherwise generally available to the Recipient from independent sources, including but not limited to information which relates to research, developmenl, trade secrets, know -how, inventions, technical data, hardware, software, source codes, object codes, manufacture, purchasing, accounting, engineering, marketing, merchandising and selling, business labs or strategies, and information entrusted by third parties to the party disclosing such information. 16. Nonsolicitation of Employees During the period that this Agreement is in effect and for a period of six (6) months after termination or expiration thereof, each party agrees not to solicit for employment any technical or professional employees of the other party assigned to work on the Project without the prior written approval of the other party. 17. Insurance and Risk of Loss The Client bears all responsibility for damages to their equipment and facilities. 18. Possession of Software, Software Enhancements and Documentation Paladin shall be entilied to exclusive possession of all software, enhancements to Client's software, documentation relating to such software and enhancements and other intellectual property developed pursuant to this Agreement until all funds due from client are paid in full. Paladin's exclusive right to possession shall continue until full payment is received regardless of ownership rights in the software Client expressly agrees to Paladin's possessory lien on all software, software enhancements, documentation, and intellectual property developed by Paladin. 19. Survival of Rights The rights and responsibilities of sections 14, 15 and 16 shall survive the termination of this Agreement. 20. Severability All provisions of this Agreement are severable and no provision hereof shall be affected by the invalidity of any other such provision. 21. Governing Law; Attorney's Fees; Venue This Agreement shall be governed by and construed in accordance with the laws of the state of Washington. In the event of a dispute over this Agreement, the prevailing party shall racovar its reasonable attornays' faes and costs from the breaching party. Venue shall be in Kitsap County, Washington. 22. Entire Agreement This agreement constitutes the complete agreement between the parties and supersedes all previous and contemporaneous agreements, proposals, or representations, written or oral, concerning the subject matter of this Agreement. Neither this Agreement nor a Work Order or Purchase Order maybe modified or amended except in writing signed by a duly authorized representative of each party. no other act, document, usage, or custom shall be deemed to amend or modify this Agreement, a Work Order, or Purchase Order. It is expressly agreed that any terms and conditions of Client's purchase order shall be superseded by the terms and conditions of this Agreement and the applicable Work Order. SIB City of Sunny Isles Beach 18070 Collins Avenue Sunny Isles Beach, Florida 33160 (305) 947 -0606 City Hall (305) 949-3113 Fax MEMORANDUM TO: The Honorable Mayor and City Commission VIA: Christopher J. Russo, City Manager FROM: Derrick L. Arias, Chief Information Officer DATE: 4/18/2013 RE: Authorization to enter into an agreement with Paladin Data Systems to provide a permitting and licensing system, including installation, configuration, migration of existing data, training, and support. RECOMMENDATION: It is recommended that the City Commission approve this Resolution authorizing the City Manager to enter into an agreement with Paladin Data Systems to provide Permitting and Licensing software services, implementation services, and training. REASONS: In 2007, the City implemented PTWin32, the current permitting and licensing system used by our Building and Community Development departments. The manufacturer Of that system has since dissolved, leaving the City with no manufacturer support. Additionally, it is based on legacy technology (Paradox database), for which it has become extremely difficult to obtain support. The --- proposed system from-Paladin Data Systems (SmartGov) will provide enhanced functionality, as well as an integrated solution that will also incorporate the Zoning application process (currently paper based), as well as Local Business Tax Receipts and Certificates of Use which are currently handled by separate applications (custom databases based on Microsoft Access). The first year costs include one -time costs of $53,500 and first year subscription of $15,936 for a total of $69,436. Annual reoccurring subscription costs are Aeenda Item No. IOK Date 4110013 254 $23,836. However, years 1 and 2 are discounted to $15,936. FUNDING SOURCE: Funding was bugeted and is available under the Building Department Budget, 14- 514 -5643. Costs will be allocated to 14- 514 -5317, 14- 514 -5313, 10- 559 -5317, and 10- 559 -5313, and funds will be re- allocated accordingly. ATTACHMENTS: • Resolution • Quote Agenda Item No. IOK Daze 4/18/2013 255