HomeMy WebLinkAbout8744RESOLUTION NO. 8744
A RESOLUTION APPROVING AN AGREEMENT BETWEEN HMS, INC. AND ACCOUNTING
SYSTEMS, INC. AND THE CITY OF PUEBLO RELATING TO COMPUTER SOFTWARE AND
SERVICES FOR SALES TAX DIVISION OF THE FINANCE DEPARTMENT AND
AUTHORIZING THE PRESIDENT OF THE CITY COUNCIL TO EXECUTE SAME
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Computer Software License Agreement dated the 28 day of June, 1999 by and
between HMS, Inc. and Accounting Systems, Inc. and the City of Pueblo, including all Exhibits
and attachments thereto and all other documents incorporated therein by reference concerning
computer software and services for the Sales Tax Division and other operations of the City of
Pueblo Finance Department, (the "Agreement "), a true copy of which is attached hereto, is
approved.
SECTION 2.
The President of the City Council is authorized and directed to execute said Agreement,
and the City Clerk shall attest same.
SECTION 3.
Funds have been appropriated in the 1999 Budget to meet the financial obligations of
the City under the Agreement and will be made available, and transferred from Account No. 02-
1999- 100 -0 -40 -1133 for said Agreement.
INTRODUCED June 28, 1999
BY John Verna
Councilperson
APPROVED: N ij— 6 1k a --
President of the Council
ATTEST:
City rk
COUNCIL AGENDA
TITLE: A Resolution Approving an Agreement Between HMS,
Inc., and Accounting Systems, Inc. and the City of Pueblo
Relating to Computer Software and Services for Sales Tax
Division of the Finance Department And Authorizing the
President of the City Council to Execute Same
DEPARTMENT: Finance
DATE: June 28, 1999
BACKGROUND: In 1998 the Finance Department, in conjunction with the
Information Services Department, began a review of
software packages for the City's financial systems. The
software offered by HTE, Inc. was selected as the most
suited to the City's needs. However, HTE, Inc. did not
offer software for the City's collection and posting of sales
taxes. In addition, the Business License module of HTE
did not fully accommodate the City's needs. The Finance
Department believes that the software offered by HMS will
fully satisfy its needs for the issuance of business licenses
as well as the tracking and posting of sales taxes from
licensed businesses.
FINANCIAL
IMPACT: Funds for the purchase of this software will come from
account 02- 1999 - 100 - 000 - 040 -1133, Computer System
Replacement.
COMPUTER SOFTWARE LICENSE AGREEMENT
BETWEEN
HMS Incorporated
And
City of Pueblo
This Agreement entered into this June 28th 1999, _ by and between HMS Inc., a
North Carolina corporation, with principal offices at Matthews North Carolina, (hereinafter called
"HMS ") and its independent dealer ACCOUNTING SYSTEMS, Inc, a Colorado corporation with
principal offices at Fort Collins, Colorado (hereinafter called ASI), and _City of Pueblo, A
Municipal Corporation_ (herein called" Client ") for and in consideration of the payments,
agreements, covenants, and mutual undertakings, hereinafter set forth the parties do hereby
agree and contract with each other, as follows:
ARTICLE 1: PURPOSE: Client hereby engages HMS
and HMS and ASI hereby agrees to perform the
delivery and installation of the licensed products
hereinafter set forth in connection with the Work (as
hereinafter defined in Exhibit A).
of the software as defined in the system
documentation for the application software.
"Delivery" shall mean the physical on -site
delivery to Client of a component element of the
system.
ARTICLE 2: EXHIBITS: Attached hereto and made a
part hereof for all purposes are the following Exhibits:
Exhibit A:
Scope of Work
Exhibit B:
Compensation Schedule
Exhibit C:
Work Schedule
Exhibit D:
Maintenance and Support Services
Exhibit E:
Client Service Rates
ARTICLE 3: DEFINITIONS:
"Agreement" shall mean this Agreement and all
Exhibits and Schedules referred to herein, plus
any and all future Change Orders, Exhibits,
Schedules, and Amendments mutually agreed to,
in writing, by Client and HMS and ASI.
"Application Software" shall mean the HMS
Application Software programs
"Base Packages" are defined as those portions
of the HMS Application Software Systems listed
herein which exist and are owned or licensed by
HMS as of the execution of this Agreement.
"Corrections" shall mean changes to the
software furnished by HMS during the applicable
warranty period that are necessary to remedy a
nonconformance with the functions and features
"Documentation" refers to on -line help materials
that have been developed by HMS under this
Agreement for use in conjunction with the system,
and which are delivered in conjunction with the
software.
"Enhancements" are defined as changes to the
base packages that are deemed by HMS to be
betterments or improvements to the base
packages. All HMS - supplied enhapcements are
fully supported by new releases or versions of the
base packages.
"Equipment" shall mean the data processing
equipment and communications network provided
by the Client.
"Licensed Software" - shall mean the design,
technology, conventions, source code, object
code, flow charts, file layouts, printed forms
design, sample runs, operational description, user
manuals, sales literature, and other
documentation for the software set forth in Exhibi
A, and any subsequent version of the above
created by Client or HMS.
"Material Defect" is defined as an error, problem,
or omission, which crashes the program or
impairs a significant function from being
performed.
"out -of- pocket Expenses" shall mean the
actual, reasonable costs incurred by HMS or ASI
and its employees or agents in the performance
of its duties with respect to this Agreement,
including but not limited to travel and living
expenses, postage, long distance telephone calls,
reproduction costs, transportation expenses,
delivery expenses, and travel and on -site time not
already provided for within this Agreement,
charged at HMS or ASI's then applicable rates,
estimated in Exhibit B (Compensation and
Payment Schedule) of this Agreement for the
Work prescribed in Exhibit A (Scope of Work).
"Upgrades" shall mean improvements to the
Licensed Software which does not change its
basic function.
ARTICLE 4: SCOPE OF WORK: HMS shall deliver in
accordance with the provisions of this Agreement,
products which are described in the attached Scope of
Work Schedule, incorporated herein as Exhibit A, and
which the parties hereto desire to result in the
installation and implementation of computer based
municipal software to support Client's operation. HMS
will maintain prime responsibility for this contract, and
work as a team with Accounting Systems Inc (ASI), of
Fort Collins, Colorado in its fulfillment.
ARTICLE 5: TIME OF PERFORMANCE: The
services of HMS or ASI shall commence within fifteen
(15) days of the date of the final execution of this
Agreement by both Client and HMS and ASI and shall
be undertaken and completed in accordance with the
Tentative Implementation Schedule as modified during
the initial project meetings.
ARTICLE 6: CONSIDERATION:
(A) In consideration of the license granted to Client
hereunder, Client shall pay HMS or ASI the sum of
$25,000 (Medium SQL) dollars for the Licensed
Software and an estimated $ 17,500 for related
services performed by HMS or ASI pursuant to this
Agreement. Payments under this Agreement are to be
made in accordance with the provisions of the attached
Compensation and Payment Schedule, and shall be
payable upon invoice by HMS or ASI.
(B) All out -of- pocket expenses incurred by HMS or ASI
shall be paid by Client upon invoice by HMS or ASI;
provided however, that prior Client approval shall be
required for all items of these expenses in excess of
normal travel expenses. These reimbursable expenses
include, without limitation, employee travel and on -site
time which will be charged at HMS or ASI's then
applicable hourly rates, travel expenses, subsistence,
long distance telephone calls, postage and
extraordinary reproduction costs. HMS and ASI will
make every reasonable effort to minimize travel and
subsistence expenses.
(C) Client shall have the option to obtain software
maintenance and support services on an annual basis
J
from HMS, upon payment of a fee in the amount of
$5,000.00 on or before the expiration of the warranty
period and yearly thereafter for each year that such
maintenance and support services are desired.
ARTICLE 7: DEFINITION OF WORK:
The term Work shall include:
(1) Furnishing HMS - developed computer
application software (collectively the
"Software ") which directs operation of the
computer hardware in accomplishing the
specified tasks.
(2) On -line user documentation.
(3) Training and installation support as
specified in Exhibit A.
ARTICLE 8: LICENSES AND PROPRIETARY
AGREEMENT: The license granted under this
Agreement authorizes Client to use any Licensed
Software described in Exhibit A. Client shall have the
license to use the Licensed Software solely for its own
internal operations. Client will not register or make
application for any patent, copyright or reserving in
Client's or any other party's name, any information,
data system or equipment furnished by HMS
hereunder, nor will Client suffer or permit others to do
so. To the extent permitted by law, Client agrees to
hold, save and indemnify HMS free, clear, and
harmless of, from and against any and all liability
including but not limited to court costs, attorney fees
and investigation expenses which may arise out of or
result from Client's failure to fully perform its obligations
under any agreement referred to in this Article.
Subject to the terms of this Agreement, HMS hereby
grants to the Client a nontransferable, nonexclusive,
perpetual license to use any Licensed Software
described in Exhibit A. Client understands and
acknowledges that the Licensed Software supplied to
Client hereunder is proprietary to HMS and legal title to
the same shall remain in HMS as its sole property
subject to Client's rights specified herein.
ARTICLE 9: WARRANTY AND MAINTENANCE:
(A) HMS makes no warranty whatsoever and assumes
no responsibility for warranty with respect to the
Hardware purchased to operate the HMS software.
HMS warrants the licensed software is packaged after
a complete quality assurance testing program and that
at the time of delivery of the Software, and for a period
of (90) days thereafter, its performance shall be in
substantial accordance with the description provided in
the on -line user's manual or verbal instructions. In the
event any Software is determined to be defective,
Client's sole remedy shall be the correction or
replacement, as determined by HMS, of the Software
as soon as reasonably practicable, at HMS's cost and
expense.
(B) This warranty shall not apply wherever:
1. An item of the Application Software shall
not be used in accordance with HMS's
instructions; or
2. An item of the Application Software shall
have been altered, modified or converted
by Client or
3. Nonperformance or nonconformity of any
items of the Application Software directly
or indirectly results from a malfunction of
Client's Equipment; or
4. Any other factor caused by Client's
negligence which results in any item of
the Application Software becoming
inoperative; and
in the case of paragraphs 1 -4 above, the breach of
warranty would not have occurred but for the
occurrence of the conditions set forth in such
paragraphs. No provision in this Article shall serve to
permanently "void" the warranty except as may be
expressly provided herein and Client will be permitted
an opportunity to remedy any such breach stated
above which causes the warranty to not apply.
(C) EXCEPT AS MAY BE EXPRESSLY SET FORTH
HEREIN, HMS DISCLAIMS ALL WARRANTIES ON
HARDWARE AND SOFTWARE, INCLUDING
WITHOUT LIMITATION, ALL IMPLIED WARRANTIES
OF MERCHANTABILITY AND FITNESS FOR A
PARTICULAR PURPOSE. IN NO EVENT SHALL
HMS BE LIABLE FOR ANY SPECIAL
CONSEQUENTIAL OR INCIDENTAL DAMAGES,
HOWEVER CAUSED, WHETHER FOR BREACH OF
CONTRACT, BREACH OF WARRANTY,
NEGLIGENCE, OR OTHERWISE.
(D) In the event that errors or losses of data result
solely from errors by HMS personnel, and provided that
Client has complied with all of its obligations set forth in
this document, HMS shall provide necessary technical
support services, as soon as reasonably possible, at no
charge to Client in correcting the errors or reprocessing
the programs that resulted in erroneous or lost output.
(E) While Client's support services are in force, HMS
shall maintain the Licensed Software free from any
errors, defects, discrepancies or other nonconformance
at no cost to Client, aside from phone costs if Client
specifies that the resolution is of such importance that
it must be repaired immediately; provided however,
that Client is operating current versions of the
applications software, and that maintenance is not
necessitated by user error, hardware failures, incorrect
data, willful damage, negligence, or fortuitous casualty
loss such as lightning, fire, smoke or water damage, or
theft.
(F) During the period(s) Client purchases maintenance
and support services from HMS, HMS will furnish to
Client all updates, enhancements and new versions of
the Licensed Software developed by HMS, at no cost
or expense to the Client, subject to the terms ` of this
Agreement. Implementation services to install these
versions are not included under this Agreement.
ARTICLE 10: CLIENT'S RESPONSIBILITIES: Client
will, at its sole expense, fully cooperate with and assist
HMS or ASI in the performance of its services under
this Agreement and will undertake the responsibilities
specified in the following sections of this Article.
(A) Client will make available to HMS or ASI at least
one (1) qualified staff member, as Project Manager,
who will: (1) have authority to act for Client and to
make binding decisions with respect to this Agreement,
including addenda thereto, including the decisions to
modify the timeframes shown in the Implementation
Plan by mutual agreement with HMS or ASI, (2) review
promptly any specifications, documentation, materials,
and documents submitted by HMS; (3) provide
information and data concerning Client's operations
and activities; (4) assume responsibility for the
accuracy of the information and data supplied; (5)
provide access to Client's staff to answer questions; (6)
provide access to Client's facilities and Equipment
during the term of this Agreement and during the
Warranty Period provided herein; and (7) have the
authority to commit appropriate Client personnel for
training, or other group activity related to the project, to
the extent that this individual has the authority to do so.
Client understands that HMS or ASI will rely upon
Client's Project Manager as having the authority
specified hereunder and that all communications from
HMS or ASI to Client will be addressed to Client's
Project Manager as the liaison between HMS or ASI
and Client. Furthermore, all decisions of a substantive
nature made by the Project Manager will be provided,
in writing, to HMS or ASI.
(B) Client shall make available at Client's premises
suitable space for the training of Client's employees, if
such services are included within the Scope of Work.
(C) Client will provide adequate facilities, office space
and office equipment (including desks, chairs,
computer terminals, use of telephones, and document
reproduction facilities) at Client's site for use by HMS's
employees and others, as applicable. Such facilities will
be at least comparable to those provided to Client's
own personnel.
(D) It shall be Client's responsibility to furnish
competent employees to be trained in the operation of
the Application Software. These employees of Client
shall have at least an average capacity to comprehend
technical instructions, but need not have prior
knowledge or previous training or expertise in data
processing.
(E) Client shall have the employees to be trained in the
operation of the Application Software available for such
training at the times and for the duration designated in
the Implementation Plan. Client staff will review any
training materials and documentation prior to attending
the training sessions. Client will also provide
immediate written feedback as to the quality and
content of the training received.
(F) Client is responsible for reviewing their internal
operating and daily procedures to determine how they
must be modified to accommodate the new system.
(G) Client assumes full responsibility for the operating
environment in which the Hardware and Software are
to function. The proper operating environment with
respect to the Hardware is set forth in the
manufacturer's specifications. Site preparation shall
include, but not be limited to, unpacking and uncrating,
and meeting requirements for space, air - conditioning,
humidity control, electrical lines and power,
communications services, cabling and supplies needed
for proper operation.
(H) When support or maintenance services are
requested or scheduled, Client will provide a telephonic
attachment to one client computer in the network for
use of HMS for maintenance and support services.
This computer will have Stac ReachOut installed, and
be connected directly via 28,800 modem (or higher) to
an outside telephone line.
(1) Client recognizes that the HMS Application
Software is designed to operate using Laser printers.
All installation and support time spent in integrating
non -laser printers to this Application Software is to be
performed on a time and materials basis, outside of this
Agreement.
ARTICLE 11: INFRINGEMENT WARRANTY: HMS
warrants that the Licensed Software is the exclusive
property of HMS and that neither the Licensed
Software nor any element nor the use thereof does, as
of the date hereof, violate or infringe upon any patent,
copyright, trade secret, or other property rights of any
person and HMS will indemnify, defend and hold Client
harmless from and against any loss, cost and liability
arising out of any breach of this warranty.
ARTICLE 12: TERMINATION OF LICENSE:
(A) In the event that Client fails to comply with any of
the terms and conditions of this Software License
Agreement, or in the event that Client attempts to
assign, sublicense or otherwise transfer any of its rights
under this Agreement without prior written consent of
HMS, and any such default shall continue for thirty (30)
days following written notice by HMS to Client, HMS in
addition to its other rights at law and in equity, may
immediately terminate this Agreement and all licenses
granted hereunder upon notifying Client of this
termination.
(B) In the event Client abandons its use of the
Licensed Software, the license granted herein for the
respective Licensed Software shall immediately
terminate.
ARTICLE 13: DESTRUCTION OR TERMINATION:
Upon expiration or termination of the license granted by
this Agreement, Client will either return all copies of the
Licensed Software and its elements, or will submit
evidence satisfactory to HMS that all copies have been
destroyed.
ARTICLE 14: SECURITY OF SOFTWARE: Client
shall be solely responsible for the supervision,
management, and control of its use of the Licensed
Software, including but not limited to assuring proper
audit controls and operating methods, and
implementing sufficient procedures and checkpoints to
meet the requirements of this Agreement.
ARTICLE 15: DEVELOPMENT OF SYSTEM
ENHANCEMENT SPECIFICATIONS:
Client specifically understands that the HMS software
is provided in pre - packaged form, without
enhancements to fulfill specific Client needs, except as
noted in this document. HMS has used its best efforts
to include all functionality required to meet industry
standards for the application.
Enhancements to the applications will be undertaken
yearly. During the analysis process for these
enhancements, Client personnel will be offered the
opportunity to suggest improvements. HMS, at its sole
discretion, will decide which suggestions are
implemented.
This in no way restricts the Client from adding reports,
inquiries, and other functions which do not change the
database structure.
ARRTICLE 16: TRAINING: On or before the date
specified in the Implementation Plan, HMS or ASI will
provide on -site training as specified in Exhibit A to train
a "core" group of user personnel (the actual number of
which will be mutually satisfactory to HMS or ASI and
the Client) in the use, operation, and maintenance of
the Application Software ( "Training ").
All Training will be conducted at Client's office (or by
mutual agreement will be conducted at HMS or ASI's
office) with at least one (1) HMS or ASI instructor and
the core group of Client personnel. Any Training hours
requested by Client in addition to those set forth in this
Agreement will be provided by HMS or ASI on a time -
and- materials basis at the current hourly rates specified
in Exhibit E or at the adjusted rates specified therein, to
be determined by HMS or ASI at the time the request
for such additional training is submitted to HMS or ASI.
Any training canceled by Client with less than two days
notice will be treated as if it occurred and will be
invoiced appropriately.
ARTICLE 17: SOFTWARE ACCEPTANCE TESTING:
Upon completion of the Application Software delivery
and installation, the Application Software is ready for
Client's acceptance testing. Application software will be
accepted by Client when it performs in substantial
accordance with the functions and features outlined in
the on -line documentation or by default within 30 days
of delivery and installation if Client chooses not to
perform testing. Acceptance of said Applications
Software shall in no way void or otherwise affect the
warranty provided by HMS under Article 9 of this
Agreement.
If the Application Software does not perform in
substantial accordance with the description provided in
the documentation, Client will immediately notify HMS,
in writing, specifying any items of non - conformance.
After notification of a failure of the Application Software
to meet the Acceptance Tests, HMS will have a
reasonable amount of time to modify or improve that
Application Software to meet the functionality of the on-
line documentation.
ARTICLE 18: TERMINATION AND DEFAULT:
Upon termination of the Agreement, each party will
return to the other party all papers, materials and
properties of the other party held for purposes of
executing the Agreement, except the Application
Software and Documentation, unless the non - payment
of the License Fees for the Application Software is the
subject of Default by Client as defined below and in
which instance the Application Software and
Documentation will also be returned to HMS. Each
party will assist the other party in the orderly
termination of this Agreement as may be necessary for
the orderly undisrupted business continuation of each
party. Article 21 shall survive termination of this
Agreement.
(A) Default by Client: The nonpayment or
nonperformance of any obligation of Client hereunder
will not be deemed a default unless Client fails to cure
the same within thirty (30) days after written notice to
Client of such nonperformance or nonpayment;
provided however, that the non - payment or
nonperformance of any related to unauthorized
distribution of HMS licensed software shall constitute a
default without any requirement of notice. Any
nonperformance which, in the exercise of due
diligence, cannot be cured within such thirty (30) -day
period, shall not be deemed a default as long as Client
shall within such period and thereafter continue
diligently to cure such nonperformance.
(B) Default by HMS: The nonpayment or
nonperformance of any obligation of HMS will not be
deemed a default unless HMS fails to cure the same
within thirty (30) days after written notice to HMS of
such nonpayment or nonperformance. Any
nonperformance which, in the exercise of due
diligence, cannot be cured within such thirty (30) -day
period, shall not be deemed a default as long as HMS
shall within such period and thereafter continue
diligently to cure such nonperformance. If HMS fails to
cure such default, ceases to conduct business in the
normal course, becomes or permits the appointment of
a receiver for its business or creditors, suffers or
permits the appointment of a receiver for its business
or assets, or avails itself of or becomes subject to any
proceeding under the Federal Bankruptcy Act or any
other statute of any state relating to insolvency or the
protection of the rights of creditors, Client may do any
of the following: (i) terminate this Agreement; (ii) pursue
any remedy available to it at law or equity in addition to
any specific rights or remedies set forth herein; (iii) and
maintain possession and the right to use the
Application Software, in accordance with the terms of
the Software License Agreement.
ARTICLE 19: USER'S CONFERENCE On a regular
basis, HMS will organize a user's conference at a
convenient site in the United States. The conference
will comprise 2 -3 days of meetings during which the
direction of the applications are discussed and
planned. Client may, at clients option designate
suitable personnel to attend each user's conference,
and to participate in the planning of product
enhancements, subject to funding restrictions.
ARTICLE 20: ENTIRE AGREEMENT:
(A) This Agreement, the Exhibits and any ancillary
agreements referred to herein embody the whole
agreement of the parties. There are no promises,
terms, conditions, or obligations referring to the subject
matter hereof other than contained herein.
(B) No amendment or modification of this Agreement
shall be valid or binding on any party unless such
amendment or modification is in writing and signed by
the duly authorized representatives of both parties.
ARTICLE 21: PROTECTION OF PROPRIETARY
INFORMATION:
(A) Both parties agree that all data, information and
programs furnished to or used by the parties, including
all customer information, shall be regarded as
confidential. Such items shall remain the property of
the original owner, to be held in strict confidence by
both parties.
(B) The computer programs, documentation,
procedures and instructions used in providing the
services comprise the "Package" and are the sole and
exclusive property of HMS. During the rendering of the
Services, Client will acquire some understanding of the
Package and certain instructional material
encompassed in the Package will be provided to the
Client. All information encompassed in the Package is
highly confidential and proprietary to HMS, and Client
shall take all reasonable measures to prevent its
disclosure or loss. Client agrees that under no
circumstances, unless addressed elsewhere in this
Agreement or unless required pursuant to the Colorado
Open Records Act, will it allow any such information to
be made available in any form to any person other than
those employees and contractors of the Client, HMS
employees, or other HMS customers to whom
disclosure is necessary in order for Client to utilize
HMS's Services, and agrees to instruct its personnel as
to the confidentiality of the Package. Before Client
provides proprietary information to any such contractor,
it shall provide (30) days prior written notice to HMS of
its intention to do so and thereafter shall not disclose
such information to any contractor to whom HMS has
reasonable objection if such objection is received by
Client within said thirty day period.
ARTICLE 22: TAXES: Payment of any Sales and
Use, excise or like taxes applicable to the Hardware
and /of Software as listed herein and delivered shall be
the sole responsibility of Client.
l
ARTICLE 23: APPLICABLE LAW: The laws of the
State of Colorado shall govern the interpretation of this
Agreement.
ARTICLE 24: CONSENT TO BREACH NOT
WAIVER: No term or provision hereof shall be deemed
waived and no breach excused, unless such waiver or
consent shall be in writing and signed by the party
claimed to have waived or consented to such breach.
The consent by any party to, or waiver of, a breach by
the other, whether express or implied, shall not
constitute a consent to, waiver of, or excuse for any
other different or subsequent breach.
ARTICLE 25: COMPLIANCE: If any term or provision
of this Agreement shall be found to be illegal or
unenforceable, then it shall be stricken. Whereupon
this Agreement, as so amended, shall remain in full
force and effect.
ARTICLE 26: NOTICES: All notices under this
Agreement shall be in writing and shall be deemed duly
given; upon delivery, if delivered by hand (against
receipt); or three days after posting if sent by certified
mail (receipt requested); to a party hereto at the
address hereinabove set forth or to such other address
as a party may designate by notice pursuant hereto.
ARTICLE 27: AUTHORITY: Each party has full power
and authority to enter into and perform this Agreement,
and the person signing this Agreement on behalf of
each party has been properly authorized and
empowered to enter into this Agreement. Each party
further acknowledges that it has read this Agreement,
understands it, and agrees to be bound by it.
ARTICLE 28: UCC APPLICABILITY: Except to the
extent that the provisions of this Agreement are clearly
inconsistent therewith, this Agreement shall be
governed by any applicable provisions of the Uniform
Commercial Code (the "Code "). To the extent that this
Agreement entails delivery or performance of services,
such services shall be deemed "goods" within the
meaning of the Code, except where expressly
inconsistent with the intent and purpose of the Code.
ARTICLE 29: MEDIATION: All claims or disputes
arising between the parties hereto relating to the
Agreement and its ancillary agreements or the breach
thereof or relating to any matters within the scope of
this Agreement shall be submitted to non - binding
mediation by a mediator selected by mutual agreement
of the parties. In the event the parties are unable, for
any reason, within a reasonable time to agree upon a
mediator, or in the event either party rejects the
recommendation of the mediator, such claims or
disputes shall be decided in a court of competent
jurisdiction.
ARTICLE 30: FORCE MAJEURE: Neither party shall
be responsible for or, shall be deemed to have
breached this Agreement by reason of, delay or failure
in performance resulting from acts beyond the control
of such party, or, causes beyond the control and
without the fault or negligence of such party. Such acts
shall include but not be limited to: an act of God; an
act of war; riot; an epidemic, fire, flood or other
disaster; an act of government; a strike or lockout; a
communication line failure, power failure, or failure of
the computer equipment or non -HMS developed
software.
In the event HMS is delayed in the delivery of the
Licensed Software and Materials, or the installation
thereof, for reasons beyond its control, delivery or
installation shall take place as soon thereafter as is
reasonably feasible.
ARTICLE 31: HEADINGS NOT CONTROLLING:
Headings used in this Agreement are for convenience
only and shall not be used in construing or interpreting
any provision.
ARTICLE 32: NO ASSIGNMENT: Neither this
Agreement, nor any right or interest hereunder, shall be
assigned by Client without the prior written consent of
HMS. Any assignment of attempted assignment,
whether by operation of laws or otherwise without the
written consent of HMS shall at the option of HMS, be
null and void. HMS shall not assign any right or interest
hereunder without the prior written consent of Client.
ARTICLE 33: BINDING EFFECT: This Agreement
shall be binding upon and inure to the benefit of the
parties hereto, their respective successors and
assigns.
ARTICLE 34: NON - EMPLOYMENT: The parties
recognize that each has employees who might be
useful to the other party. Neither party will offer
employment to any employee of the other party before
one year following the termination of this Agreement.
ARTICLE 35: SUBJECT TO APPROPRIATION: Any
promise which the Client has made in this Agreement
is subject to City Council's appropriation of adequate
funds.
IN WITNESS WHEREOF, the Client and HMS and ASI have executed this Agreement as of the
date first above written.
ATtEST:
,City -Cte
City f Pueblo, A Municipal
Cor or tion
k i
By:
Title: President of City Council
BALANCE OF APPROPRIATIONS EXISTS
FOR THIS CONTRACT AND FUNDS ARE
AVAILABLE:
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Director df Fina
APPROVED AS TO FORM:
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City Attorney
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By: Ernest W. Aschermann
Title: Managing Director
Title: Sales Manager
EXHIBIT "A"
Attached and made a part of that certain Computer Software License Agreement dated
June 28th , 1999— between HMS and ASI and Client.
SCOPE OF WORK SCHEDULE
The scope of services to be provided under this Agreement are as follows:
HMS or ASI will provide and install one license of the subsystems itemized below onto a
suitable PC client and a suitable LAN server. Installation on the client shall include creation of
an HMS directory, loading of standard forms into the directory, establishment of an
applications Group and insertion of icons to cause the applications to be operated and
refreshed. HMS and ASI will assume that standard Microsoft products, including Windows
and Access will be available. HMS will assume that ReachOut remote communications
software is available on at least one client, and connected to a modem /telephone.
• HMS or ASI will provide a demonstration database of information suitable for training of users
in the operation of the applications. Such training shall concentrate on "hands -on" functions
with actual users of the modules. The estimated number of hours of training for each
application is included as follows:
Contracted Training
Sales Tax 24 — 36 Hours .
Business License 24 — 36 Hours
• HMS or ASI will assist in the conversion of data from the old system to the HMS database
structure by (a) providing data layout formats in excel and access, (b) by providing conversion
routines for AP,GL, PR and UB data into the HMS structure from the excel /access formats,
and (c) by providing technical assistance as desired.
HMS or ASI will assist in the process of analyzing the applications as
installation to itemize the enhancements required for each to operat e
environment. Such enhancements will be estimated for hours and cost.
decide which of the enhancements will be approved for production.
• HMS will provide support services as detailed in this agreement.
they prepare for
in the Client's
The Client shall
HMS Financials Family
HMS Receivables Family
HMS Public Works Family
Yes /No Applications Name
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� N �
� N �
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� N �
N
� N �
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� N �
� N �
� N �
L—
L— 1
� N �
� N �
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Enhancements to be Provided
Budgetary Accounting
Accounts Payable
Purchasing
Department Head / Requisitions
Fixed Assets
Payroll
Human Resources
Project Accounting
Budget Preparation
Cashiering
Utility Billing
Accounts Receivable
Sales Tax
Business License
Work Orders
Inventory Control
Garage Maintenance
Code Compliance ( when completed)
Application Est Hours Est Cost Description of Enhancement
Sales Tax 24 $3,000.00 Setup
Business License 24 $3,000.00 Setup
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EXHIBIT "B"
Attached and made a part of that certain Computer Software License Agreement dated
June 28th , 1999, _ between HMS and ASI and Client.
COMPENSATION AND PAYMENT SCHEDULE
On Signing: 50% of license
On Delivery of Applications: 50% of license
For Enhancements: Time /materials as invoiced
For Database Conversion: Time /materials as invoiced
For Training: Time /materials as invoiced
Expenses: as billed
Estimated Costs Totals:
License $ 25,000 (fixed)
Training 48 — 72 hours $ 7,000.00
Convert Assist 16 hours $ 2,000.00
Enhancements 48 hours $ 6,000.00
SQL Server (10 User with Client Licenses) $ 2,500.00
Analysis Time XXX hours $ TBD
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EXHIBIT "C"
Attached and made a part of that certain Computer Software License Agreement dated
June 28th , 1999- between HMS and ASI and Client.
WORK SCHEDULE
• Work shall commence within 15 days of the signing of this Contract.
• One of the first tasks shall be to determine the work schedule for the
implementation of the applications specified in Exhibit B.
• Once defined in detail, the work schedule will be attached to this Agreement in
place of this Exhibit C.
EXHIBIT "D"
Attached and made a part of that certain Computer Software License Agreement dated
June 28th , 1999, between HMS and Client.
Maintenance and Support Services Shall Include:
• Access to updates and upgrades for all applications licensed herein
• Access to HMS Technical staff for answering of any questions arising from the
proper use of licensed software
Access to HMS Technical staff for resolution of programming and data
problems. HMS utilizes a direct telephonic connection over a modem using
Stac ReachOut for this resolution.
Not Covered (without charge) Under This Agreement
• Resolution of data problems caused by customer actions
• Resolution of problems caused by hardware or network problems
HMS support services are available during the hours of 9:OOam to 5:OOpm eastern time from the
Matthews offices. Telephone costs are billed directly as they are incurred.
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EXHIBIT "E"
CLIENT SERVICES
HMS — Access /SQL
June 14, 1999
Submitted By:
Accounting Systems, Inc.
3307 S. College #200
Fort Collins, CO 80525
Submitted To:
City of Pueblo.
PO Box 1427
Pueblo, CO 81002
INSTALL /SETUP/TRAINING:
Accounting Systems Staff.
Software install, setup and training is available on -site or our training center in Denver (1333 W.
121" Ave.) or Fort Collins. Our rate for technical services (hardware, software and operating
systems) is $125.00 per hour and non - technical service (application software training) is $105.00
per hour. Call for class schedules and pricing. On -site visits will carry a fee for appointments
scheduled for less than 2.5 hours. Travel charges will be billed at $50/Hr plus mileage and
accommodations if necessary.
Larry Hill of HMS:
Larry's rates are $125.00 per hour billed in .25 hour increments. On -site is $1,000 per day. Air -
travel is preferably scheduled 21 days in advance (purchased by client) and coordinated directly
with Larry. Additional travel and accommodation charges will be billed.
CUSTOM PROGRAMMING/REPORT WRITING/DATA CONVERSON:
Custom Programming is available on a contract basis. Our rate for programming, report writing
and data conversion on an hourly basis is $125.00 per hour.
TELEPHONE SUPPORT:
Accounting Systems Support - Telephone Support is available at a rate of $125.00 per hour with a
.25 hour minimum and billed in .25 hour increment.
Acceptance of Service Rates: The above prices, specifications, and conditions are satisfactory
and are hereby accepted.
Date: Authorizing Signature: (City of Pueblo)