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<br />1-:Ci^..J'-0'7... <br />:<~)'8~D1 <br />O' _ptJS cP <br />l(b.1\\\(~ <br /> <br />l'",t <br /> <br />A-2007-049 <br /> <br />.".._-,.,,---~."- <br /> <br />SOFTWARE MAINTENANCE AND SUPPORT AGREEMENT <br />("MAINTENANCE AGREEMENT") <br /> <br />THIS AGREEMENT, made and entered into this 2./F-fr day of Fe.&,...WlY,-\ ,2007 by and between <br />V ALLEY OAK SYSTEMS, INC., a California corporation located at 5000 Executive Parkway, Suite #340, San <br />Ramon, California 94583 (hereinafter "VaS"), and the City of Santa Ana, a charter city and municipal <br />corporation organized and existing under the Constitution and laws of the State of California located at 20 Civic <br />Center Plaza, M-30, Santa Ana, California 92701 (hereinafter "City"). <br /> <br />RECITALS <br /> <br />A. vas and City entered into Agreement A-1999-003, dated March 16, 1999, for installation, training <br />and maintenance of the City's Personnel Services Agency workers' compensation liability claims software <br />program. The Agreement was amended by the Parties to add services and increase compensation. Said <br />Agreement and the First Amendment A-2002-035, dated April 5, 2002, Second Amendment A-2003-069, dated <br />April 7, 2003 and Third Amendment A-2005-0n, dated April 4, 2005 (hereinafter collectively referred to as <br />"said Agreement") are attached hereto as Exhibit A, and incorporated by this reference. <br /> <br />B. City as the licensee of Software Products owned and developed by vas, desires to continue to utilize <br />vas to provide upgrades, maintenance and support of the liability and claims software programs. <br /> <br />C. In undertaking the performance of this Agreement, vas represents that it is knowledgeable in the field <br />of workers compensation statutory and regulatory compliance and is able to provide upgrades, maintenance and <br />support of both the workers' compensation and liability claims programs to keep it in compliance with statutory <br />and regulatory changes, in a professional and timely manner. <br /> <br />NOW THEREFORE, in consideration of the mutual and respective promises, and subject to the terms and <br />conditions hereinafter set forth, the parties agree as follows. <br /> <br />I. MAINTENANCE AND SUPPORT SERVICE <br /> <br />a. vas agrees to provide the technical support services necessary to remedy any operational difficulties <br />attributable to those software products in the vas Claims Management System which have been licensed to <br />City, as set forth in Exhibit A. <br /> <br />b. vas agrees to provide unlimited phone support from 8.00 AM to 6.00 PM Pacific Time on weekdays <br />except City holidays. <br /> <br />c. vas agrees to provide periodic product updates and upgrades to the products listed in la. Upgrades and <br />updates to the products shall include bug fixes, updating of custom check printing, standard product <br />enhancements, and State of California Workers' Compensation and General Liability business rule updates <br />and requirements. Software updates and upgrades shall include functionality of previous versions of <br />software, including Bill Review, Employee and Check Reconciliation Interfaces. The frequency and <br />timeliness of the updates and upgrades shall be reasonably based on the seriousness of bugs / problems <br />reported by City and the lead time required for compliance with State ofCalifomiajurisdiction business <br />rules. In all cases, vas shall provide compliance updates no later than ninety (90) days prior to the <br />effective date of the legislation or regulation. Upon adequate notice of revised regulatory provisions, vas <br />shall indemnify City for all fines and/or penalties imposed by State or Federal regulatory authority for <br />delayed implementation of regulatory provisions. <br /> <br />d. vas shall provide all patches necessary to be compliant with annual benefit rate changes no later than 90 <br />days prior to the effective date oftlte rate change. Said patches include 1099 patches required for Federal <br />reporting and California annual report data elements. <br />