PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF EL SEGUNDO AND

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1 PROFESSIONAL SERVICES AGREEMENT BETWEEN THE CITY OF EL SEGUNDO AND This AGREEMENT, is made and entered into this day of, 2019, by and between the CITY OF EL SEGUNDO, a municipal corporation ( CITY ) and, a Corporation ( CONSULTANT ). The parties agree as follows: 1. CONSIDERATION. A. As partial consideration, CONSULTANT agrees to perform the scope of services attached as Exhibit A, and incorporated herein ( SERVICES ). The SERVICES include providing software for coordinating and streamlining land use planning and zoning applications, building construction permitting, inspections, final approvals, fee calculations and collection, code enforcement management, business licenses, citizen inquiries and other associated tasks ( SOFTWARE ). B. As additional consideration, CONSULTANT and CITY agree to abide by the terms and conditions contained in this Agreement; C. As additional consideration, CITY will pay CONSULTANT the compensation set forth in the Schedule of Compensation attached hereto as Exhibit B, but in no event more than dollars ($ ). The compensation will be paid at the time and manner set forth in Exhibit B. D. CITY will not be liable for any costs or expenses exceeding the sum paid to CONSULTANT pursuant to Section 1(C) unless otherwise agreed to by the Parties and by written amendment to this Agreement. 2. TERM. The term of this Agreement will be from until. 3. INTELLECTUAL PROPERTY RIGHTS. A. CONSULTANT grants to CITY all rights, including, without limitation, copyright, title, and possession of the source code, of the SOFTWARE pursuant to the Copyright Act of 1976 (17 U.S.C. 101 et seq.). B. Copyright notice will be in the name of City of El Segundo and will appear and remain on the SOFTWARE. CONSULTANT will receive authorship credit in connection with SOFTWARE. Page 1 of 9

2 C. Pursuant to 17 U.S.C. 106A(3), CONSULTANT expressly waives any rights that CONSULTANT may have under Cal. Civ. Code 987 or 17 U.S.C. 101 et seq., including, without limitation, 17 U.S.C. 106, 106A, and 113, or any successor statute(s) or regulation(s). 4. ALTERATION OF THE SOFTWARE. A. Unless otherwise provided, CITY may alter, delete, or otherwise change any part of the SOFTWARE that CITY, in its sole discretion, deems appropriate. CITY agrees that in the event CITY unilaterally modifies any part of the SOFTWARE, the warranties given by CONSULTANT under this Agreement will be rendered void and CONSULTANT will not be liable to CITY for any consequent damages. B. To the extent that the provisions of this Agreement differ from those stated in California Civil Code Section 987, or 17 U.S.C. 101 et seq., the provisions of this Agreement will govern. 5. LICENSED SOFTWARE ESCROW ACCOUNT. A. CONSULTANT agrees to place the operating code of the Software in escrow with ( Escrow Holder ). B. Subject to the provisions of this Section, Escrow Holder will deliver the operating code of the Licensed Software to CITY should CONSULTANT 1. Discontinue the Licensed Software; 2. Terminate Software Support for the Licensed Software, or 3. Declare bankruptcy C. CITY s acquisition of the operating code of the Software is restricted to CITY s own use. CITY agrees not to transfer the operating code of the Licensed Software, or its documentation, to any third-party except as provided by law. D. In the absence of any triggering events or if CITY terminates this Agreement, the escrowed operating code will be retained by CONSULTANT. 6. WARRANTIES. CONSULTANT represents and warrants that: A. The SOFTWARE is the result of CONSULTANT s sole efforts unless Page 2 of 9

3 otherwise stipulated as a collaboration; B. Except as otherwise disclosed in writing to CITY, the SOFTWARE is unique and original and does not infringe upon any copyright or patent; C. The SOFTWARE, or its duplicate, has not been accepted for sale elsewhere; and D. All SOFTWARE installed by CONSULTANT will be warranted to be free from defects in material and workmanship for a minimum period of one (1) year from the date CITY accepts the SOFTWARE. CONSULTANT warrants that the SOFTWARE will perform in accordance with and strictly comply with specifications, requirements, standards and representations set forth in this Agreement. Should the SOFTWARE not perform as required, CONSULTANT will promptly correct any such deviations. The correction of any such deviation will be at no cost to the CITY and the work performed will be performed in a timely and professional manner by qualified personnel. 7. LAWS AND REGULATIONS. CONSULTANT will be responsible for complying with any and all applicable Federal, State, County, and Municipal laws and regulations and the conditions of any required licenses and permits before entering into this Agreement. Such compliance will be at CONSULTANT s sole cost and without any increase in price or time on account of such compliance, regardless of whether compliance would require additional labor, equipment, and/or materials not expressly provided for in the Agreement or CONSULTANT s proposal. 8. INDEMNIFICATION. CONSULTANT agrees to the following: A. Indemnification for Professional Services. CONSULTANT will save harmless and indemnify and at CITY s request defend CITY from and against any and all suits, actions, or claims, of any character whatever, including copyright or patent infringement claims or causes of action, brought for, or on account of, any injuries or damages sustained by any person or property resulting or arising from any negligent or wrongful act, error or omission by CONSULTANT or any of CONSULTANT s officers, agents, employees, or representatives, in the performance of this Agreement, except for such loss or damage arising from CITY s sole negligence or willful misconduct. B. Indemnification for other Damages. CONSULTANT indemnifies and holds CITY harmless from and against any claim, action, damages, costs (including, without limitation, attorney s fees), injuries, or liability, arising out of this Agreement, or its performance, except for Page 3 of 9

4 such loss or damage arising from CITY s sole negligence or willful misconduct. Should CITY be named in any suit, or should any claim be brought against it by suit or otherwise, whether the same be groundless or not, arising out of this Agreement, or its performance, CONSULTANT will defend CITY (at CITY s request and with counsel satisfactory to CITY) and will indemnify CITY for any judgment rendered against it or any sums paid out in settlement or otherwise. C. For purposes of this section CITY includes CITY s officers, officials, employees, agents, and representatives. D. It is expressly understood and agreed that the foregoing provisions will survive termination of this Agreement. E. The requirements as to the types and limits of insurance coverage to be maintained by CONSULTANT as required by CITY, and any approval of said insurance by CITY, are not intended to and will not in any manner limit or qualify the liabilities and obligations otherwise assumed by CONSULTANT pursuant to this Agreement, including, without limitation, to the provisions concerning indemnification. 9. INSURANCE. A. Before commencing performance under this Agreement, and at all other times this Agreement is effective, CONSULTANT will procure and maintain the following types of insurance with coverage limits complying, at a minimum, with the limits set forth below: Type of Insurance Limits (combined single) Commercial general liability: $2,000,000 Professional Liability $1,000,000 Business automobile liability $1,000,000 Workers compensation Statutory requirement. B. Commercial general liability insurance will meet or exceed the requirements of ISO-CGL Form No. CG or 88. The amount of insurance set forth above will be a combined single limit per occurrence for bodily injury, personal injury, and property damage for the policy coverage. Liability policies will be endorsed to name CITY, its officials, and employees as additional insureds under said insurance coverage and to state that such insurance will be deemed primary such that any other insurance that may be carried by CITY will be excess thereto. Such insurance will be on an occurrence, not a claims made, basis and will Page 4 of 9

5 not be cancelable or subject to reduction except upon thirty (30) days prior written notice to CITY. C. The insurer will agree to waive all rights of subrogation against the CITY, its officers, officials, employees and volunteers for losses arising from work performed by the CONTRACTOR for the CITY. D. Automobile coverage will be written on ISO Business Auto Coverage Form CA , including symbol 1 (Any Auto). E. Professional liability coverage will be on an occurrence basis if such coverage is available, or on a claims made basis if not available. When coverage is provided on a claims made basis, CONSULTANT will continue to maintain the insurance in effect for a period of three (3) years after this Agreement expires or is terminated ( extended insurance ). Such extended insurance will have the same coverage and limits as the policy that was in effect during the term of this Agreement and will cover CONSULTANT for all claims made by CITY arising out of any errors or omissions of CONSULTANT, or its officers, employees or agents during the time this Agreement was in effect. F. CONSULTANT will furnish to CITY duly authenticated Certificates of Insurance evidencing maintenance of the insurance required under this Agreement, endorsements as required herein, and such other evidence of insurance or copies of policies as may be reasonably required by CITY from time to time. Insurance must be placed with insurers with a current A.M. Best Company Rating equivalent to at least a Rating of A:VII. G. Should CONSULTANT, for any reason, fail to obtain and maintain the insurance required by this Agreement, CITY may obtain such coverage at CONSULTANT s expense and deduct the cost of such insurance from payments due to CONSULTANT under this Agreement or terminate. 10. USE OF SUBCONTRACTORS. CONSULTANT must obtain CITY s prior written approval to use any consultants while performing any portion of this Agreement. Such approval must approve of the proposed consultant and the terms of compensation. 11. TERMINATION OF AGREEMENT A. During the term of this Agreement, CITY may, in its sole discretion, terminate this Agreement with or without cause by giving written notice to CONSULTANT. Termination will become effective immediately upon the giving of notice as provided in this section of the Agreement. B. Except as otherwise provided, upon termination of this Agreement, CITY Page 5 of 9

6 will be liable to CONSULTANT only for all work done by CONSULTANT up to and including the date of termination of this Agreement unless the termination is for cause, in which event CONSULTANT need be compensated only to the extent required by law. C. In the event of termination, all completed work, materials, and supplies related to the SOFTWARE will be delivered to CITY and become CITY s property. In the event of such termination, CITY may take such action as may appear to be appropriate in the circumstances then prevailing, including, without limitation, commissioning another contractor to complete the SOFTWARE. CITY will pay CONSULTANT for work completed up to and including the termination date. 12. NOTICES. All communications to either party by the other party will be deemed made when received by such party at its respective name and address as follows: If to CONSULTANT: [name] [address] Attention: Phone: If to CITY: City of El Segundo 350 Main Street El Segundo, CA Attention: Phone: Any such written communications by mail will be conclusively deemed to have been received by the addressee upon deposit thereof in the United States Mail, postage prepaid and properly addressed as noted above. In all other instances, notices will be deemed given at the time of actual delivery. Changes may be made in the names or addresses of persons to whom notices are to be given by giving notice in the manner prescribed in this paragraph. 13. AUDIT AND ACCESS TO RECORDS. CONSULTANT, including CONSULTANT s subcontractors, will maintain records and other evidence of all expenses incurred in the performance of this Agreement for a period of three (3) years after completion. CITY or any of its duly authorized representatives will, for the purpose of audit and examination, have access to and be permitted to inspect such records and other evidence of expenses and costs charged to CITY and/or incurred for work related to SERVICES. For purposes of audit, the date of completion of the Agreement will be the date of CITY S payment for CONSULTANT s final billing (so noted on invoice) under this Agreement. 14. INDEPENDENT CONTRACTOR. CONSULTANT, CONSULTANT s subconsultants, employees, agents, and representatives, will act as independent Page 6 of 9

7 contractors while performing the SERVICES and will have control of CONSULTANT s work and the manner in which it is performed, except as is otherwise provided herein. CONSULTANT will be free to contract for other services performed during the term of this Agreement. CONSULTANT is not an agent or employee of CITY and is not entitled to participate in any pension plan, insurance, bonus or similar benefits CITY provides for its employees. 15. ASSIGNMENT. An essential element of this Agreement is the skill and creativity of CONSULTANT. CONSULTANT may not, therefore, assign the creative portions of the work to a third party for the production of the work without CITY s prior written consent. Failure to conform to this provision may result in termination of the Agreement. 16. ENTIRE AGREEMENT. This Agreement, and its Attachments, sets forth the Parties entire understanding. There are no other understandings, terms or other agreements expressed or implied, oral or written. There are two (2) attachments to this Agreement. Except as otherwise provided, this Agreement will bind and inure to the benefit of the Parties to this Agreement and any subsequent successors and assigns. 17. AUTHORITY/MODIFICATION. The Parties represent and warrant that all necessary action has been taken by the Parties to authorize the undersigned to execute this Agreement and to engage in the actions described herein. This Agreement may be modified by written amendment. 18. ACCEPTANCE OF ELECTRONIC SIGNATURES. The Parties agree that this Agreement, agreements ancillary to this Agreement, and related documents to be entered into in connection with this Agreement will be considered signed when the signature of a party is delivered by electronic (.pdf) or facsimile transmission. Such electronic or facsimile signature will be treated in all respects as having the same effect as an original signature. 19. TAXPAYER IDENTIFICATION NUMBER. CONSULTANT will provide CITY with CONSULTANT s Taxpayer Identification Number. 20. WAIVER. A waiver by CITY of any breach of any term, covenant, or condition contained in this Agreement will not be deemed to be a waiver of any subsequent breach of the same or any other term, covenant, or condition contained in this Agreement whether of the same or different character. The payment or acceptance of fees for any period after a default will not be deemed a waiver of any right or acceptance of defective performance. 21. SEVERABILITY. If any portion of this Agreement is declared by a court of competent jurisdiction to be invalid or unenforceable, then such portion will be deemed modified to the extent necessary in the opinion of the court to render such portion Page 7 of 9

8 enforceable and, as so modified, such portion and the balance of this Agreement will continue in full force and effect. 22. TIME IS OF ESSENCE. Time is of the essence for each and every provision of this Agreement. 23. INTERPRETATION; VENUE. This Agreement and its performance will be governed, interpreted, construed and regulated by the laws of the State of California. Exclusive venue for any action involving this Agreement will be in Los Angeles County. 24. FORCE MAJEURE. Should performance of this Agreement be prevented due to fire, flood, explosion, acts of terrorism, war, embargo, government action, civil or military authority, the natural elements, or other similar causes beyond the Parties reasonable control, then the Agreement will immediately terminate without obligation of either party to the other. 25. STATEMENT OF EXPERIENCE. By executing this Agreement, CONSULTANT represents that CONSULTANT has demonstrated trustworthiness and possesses the quality, fitness, and capacity to perform the Agreement in a manner satisfactory to CITY. CONSULTANT represents that CONSULTANT s financial resources, surety and insurance experience, service experience, completion ability, personnel, current workload, experience in dealing with private parties, and experience in dealing with public agencies all suggest that CONSULTANT is capable of performing the proposed contract and has a demonstrated capacity to deal fairly and effectively with and to satisfy a public agency. [signatures on following page] Page 8 of 9

9 IN WITNESS WHEREOF the parties hereto have executed this Agreement the day and year first hereinabove written. CITY OF EL SEGUNDO Greg Carpenter, City Manager CONSULTANT By Its By Its ATTEST: Tracy Weaver, City Clerk Taxpayer ID No. APPROVED AS TO FORM: Mark D. Hensley, City Attorney Page 9 of 9

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