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HomeMy WebLinkAbout25F - SOFTWARE LICENSEREQUEST FOR COUNCIL ACTION CITY COUNCIL MEETING DATE: MAY 5, 2008 TITLE: AGREEMENT WITH UNISYS FOR MAINFRAME COMPUTER SOFTWARE LICENSES 'R 1~ ~ f f~ Ire CITY MANAGER RECOMMENDED ACTION CLERK OF COUNCIL USE ONLY: APPROVED ^ As Recommended ^ As Amended ^ Ordinance on 15i Reading ^ Ordinance on 2nd Reading ^ Implementing Resolution ^ Set Public Hearing For_ CONTINUED TO FILE NUMBER Approve and authorize the City Manager and Clerk of the Council to execute the attached agreement with Unisys Corporation in the amount of $141,000 for a two year term, subject to nonsubstantive changes approved by the City Manager and the City Attorney. DISCUSSION The City currently uses a Unisys mainframe computer as the operating platform for the City's financial systems. Unisys is the sole-source provider of essential system software for this equipment. The City is currently implementing a new financial system which will replace the Unisys mainframe. This new agreement will provide software licensing for the mainframe for a two year term covering the period before the new financial system is in place and the legacy system can be retired. A two year term with up front payment will provide lower pricing than the alternative month-to-month pricing. FISCAL IMPACT Funds are available in the Technology Plan (account 109-700-6291). APPROVED AS TO FUNDS AND ACCOUNTS: Francisco Gutierrez Executive Director Finance & Management Services Agency 25F-1 SOFTWARE LICENSING AGREEMENT BETWEEN THE CITY OF SANTA ANA AND UNISYS CORPORATION THIS AGREEMENT, is made and entered into this 5th day of May, 2008, by and between the City of Santa Ana, a charter city and municipal corporation duly organized and existing under the Constitution and laws of the State of California ("City"} and Unisys Corporation ("Vendor"). WHEREAS, the City desires to retain the services of Vendor to provide the City with computer software support and software licensing. THEREFORE, in consideration of their mutual and respective promises, the parties hereto do hereby state as follows: Terms and Conditions The term for this Agreement shall be for a period beginning July 30, 2008 and ending June 30, 2010. All terms and conditions regarding software licensing set forth in pages 1-6 of Unisys Consolidated Agreement -Number 99120112, shall have full force and effect in this Agreement. Said terms and conditions are attached hereto as Exhibit A, and incorporated herein by reference. 2. Scope of Services The Vendor shall provide software licenses as set forth in Exhibit B, "Supplemental Schedule Order", attached hereto and incorporated herein by reference. Compensation The City will pay to the Vendor total compensation under this Agreement in the amount of $130,589.00, plus applicable taxes, due before the commencement of the term of this Agreement. 4. Insurance Vendor is not required to provide additional insurance coverage or provide further proof of insurance. 1 of 2 25F-2 IN WITNESS WHEREOF, the parties have executed this Software Licensing Agreement as of the date of execution by both parties below. ATTEST: PATRICIA E. HEALY Clerk of the Council CITY OF SANTA ANA DAVID N. REAM City Manager Date: APPROVED AS TO FORM: JOSEPH W.FLETCHER City Attorney By. Laura Sheedy UNISYS CORPORATION Assistant City At rney VENDOR {signature} Name: Title: Tax ID# Date: 2 of 2 25F-3 r,, -~ t4 Agtecmer-t Number 99120112 iJNI5Y5 Client Nuns and Nailing Addre~ City of Santa Ana Mr. Thomas J. Gergen 20 Civic Center Plaza Santa Ana, CA 92702 Client acknowledges it has read and understands this Agreement (including all attached schedules and amendments) and is not entering into this Agreement on the basis of any representations not expressly set forth in it. Agreed and Accepted Unisys Corporation • 3//3/d a ~5~„--~n~AAIDIOAE~i-- tom) CONTRACTS MANAGER UNISYS COR°ORhTION (Pnniadnyp•d nvn•) Client ;Sipnaiva) (py~) Thomas .7. Gergen ;PmledAyped name) Information Systems Manager (Tm•) (Tilk) 1 of 14 1305 3D82~oB (3Ip6) EXHIBIT A 25F-4 Consolidated Agreement ~~ ~~J~TISYS G nsolidated A reement ~' 9 Unisys Corporation (Unisys) wilt sell and license Products and services and Client agree: to purchase and license those Products and services under the following terms and conditions: 1. Definitions t.1 Software means the object code version of computer programs and say related documentation, exckrding maintenance diagnostics. Software also means the source code version where proviaed by Unisys. Software also means microcode, not embedded in a circuit element, that enables the equipment to function according to its published specifications. ' t .2 Products means equipment. Software, documentation (including manuals and education materials) and Software maintenance releases and updates- 1.3 Sottwue Processing Unlt ('SPU') means equipment which controls and executes Software. t .4 SURETY Support Services means various forms of installation and support for the Products. 1.5 Proprietary Intarmatiott means Software, diagnostics, docu- mentation, including manuals, and any other information confidential !o Unisys or its Ncensors. 1.8 Information Services means all technical and consultative services other then SURETY Support Services. 1.7 Installation Date means the date Unisys completes installation (as determined by Unisys) or. if equipment or Software is to ha instaNed by ' Client, the tenth day following shipment. Z Effective Date This Agreement wdl become effective when signed by duly authorized representatives of both parties and will continue in eBect until terminated according to its terms. 3. Schedules -Ordering Procedure 3.1 Unisys will famish to Client and Client will accept and pay for the Products and services item¢ed on the following Schedules which, together with the terms on the Schedules, ere an integal part of this Agreement. Schedule name Equipment Sale SURETY support services Software Licenses Information Services All references to Products and services in this Agreement are fo the Products and services listed on the Schedules and on arty Schedules submitted to and accepted by Unisys pursuant to Section 3.2 and to any Products end services suppged by Unisys with such listed Products and services. 3.2 Client may order additional products and services under this Agreement by sulxt-itting properly completed Unisys Supplerriental Schedule Orders referencing this Agreement. All Orders will refer to this Ageemtnl by number and wit bs signed by Client. All education lecture courses must be ordered on a Client Education Enrollment Application. 3.3 All orders are subject to acceptance by Unisys. Acceptance by Unisys wiN be effective when cormiunicated in writing to Client Ths receipt or deposit by Unisys of a Client down payment will not constituq acceptance of an order. Any down payment received bom Client wiN be returned i( the order is not accepted by Unisys. 3.4 Unisys may substitute Products of equivalent or superior funC- tionality and performance in the event that any of the Products ordered are not available at the time of shipment. 4. Delivery and Installation 4.1 Unisys will arrange for delivery of Products and Client wit pay fa transportation in accordance with the Unisys published transportation charges in effect at the time of delivery or, if Unisys has not published any such charges, Client vdlt pay Unisys for transportation charges actually incurred. Client will also pay for all cables and site-specific installation materiels requaed !b install the equipment et Clients sits. 4.2 Unisys will provide Client with one copy of the then-current user documenMtion, in paper or electronic farm al the option of Unisys, for use with the Products ordered and environmental specifrcatior>s for equipment, where applicable. Prior to delivery of equipment, Client will prepare the installation site and wilt continue to maintain the installation site in accordance with such specifications. 4.3 Client wiN instal aN items of equipment with the designation 'Y' in the 'Client installable' column when theta is no installation charge listed on the Equipment Sale Schedule. Unisys will instal aU other items of equipment. Client will instaN al items of Software other than chose for which a fixed installation charge is indicated on the Software licenses Schedule. All Products to be instated by Unisys will be installed during Unisys normal working hours, unless otherwise provided in this Agreement. 4.4 Client may arrange for insulation by Unisys of Client instatiable Products, subject to the then-current standard Unisys changes and concitions. 4.5 It additional labor and rigging is required to Installation duo to Clients special site requirements, Cftent wiN pay those costs atcluding costs to meet union or local law requirements. 5. Payment 5.1 Charges for Products will be invoiced upon sh~xxrtent. 5.2 Charges for SURETY Support Services will be invoiced in advance, quarterly, annually, a at other periodic intervals; otherwise, charges wilt be invoiced after the services aro pertonned. Hourly use, page and remote service charges will be invoiced monthly unless otherwise indicated. 5.3 Charges for Information Services wNl De invoiced as the services are performed. 5.4 All charges must be paid no later than 30 days from the date of the invoice. Unisys msy impose a late payment charge equal to the lesser of (a} 1-1/296 per month or (b) the maxatium rate allowed by law. 5.5 Additional charges may apply to services rendered outside con- tracted hours or beyond normal coverage at ClienCs request, e.g., travel expenses, premium end minimum charges. ti. Taxes 6.1 Client will pay any tax Unisys becomes obligated to pay by virtue of this Agreement. exclusive of taxes based on the net income of Unisys. 6.2 Ali personal property and similar taxes assessed after shipment will be paid by CNent. T. Price Protxction 7.1 The charges far Products in any accepted order vriH remain fxm through delivery, unless through no fault of Unisys shipment takes place more than one you after the date of the order. It Unisys notifies Client that an increase in charges will apply to its order, Client may tsrrriinate the affected part at its order by giving written notice to Unisys within ten days of the date of notification of the increase. 2 of 14 ~sos seas-0oe tit 25F-5 7.2'SURFTY Support Services charges will ~e increased dttring the firgt ;4aefve months following ttx commence>k~,t of those services. The charges may be increased thereafter on each anniversary of the com- mencement date toltawing gt] days prior wrrtten notice to Client, unless otherwise noted on the SURETY Support Services Schedule. 7.3 Charges for Software Licenses and Information Services will not be increased during any ores-ysx trmt, but may be increased prior to arty subsequent term upon 90 days prior written notice to Client. It Software or services are contracted on a month-to-monftt basis the charges may be increased at any time following 90 days prior written notice. 8. Security Interest Unisys reserves a purchase money security interest in equipment until payment in full is received for all equipment delivered to Client and, for that purpose, this Ageement is a security agreement. By signing this Agreement. Client authorizes Unisys or its agent 1o sign on behalf o/ Client the necessary financing statements, or to fik a reproduction of a financing statement. Alternativery, Unisys may file this Agreement or a copy of this Agreement to perfect its secwity interest. If this Agreement a a copy of it is filed. intarmation concerning the security interest may be obtained ham Unisys at the address stated in Section 17. 9. Cllent'a Operational Responsibilities g. t Client acknowledges it has ir~ependenty determined That the Products and services ordered under this Ageement meet its requrcements. 9.2 Client has sole responsibility for use of the Products, including operating procedures, audit controls, accuracy and security of input and output data, restart and recovery routines, and other procedures neces- sary for ClienCs intended use of the Products. 9.3 Client vrilt ensure that its personnel are, et all times, educated and trained in the proper use and operation of the Products and that the Products era used in accordance urith applicable Unisys manuals and instructions 9.4 Client volt maintain back-up data necessary to replace uiticai Client data in the event of toss or image to such data from any cause. 9.5 If Unisys is providing SURETY Support Services. Client unp (s) maintain the operating environment in accordance unU Unisys specifications, (b) provide adequate working and storage space far use by Unisys personnel near the equipment. (c) provide Unisys full access to the equipment and suflrcienl computer time, subject only to Client's security rules. (d) follow Unisys procedures rot placing serrrice requests and determining if remedial service is required, (e) fohrow Unisys in- structions for operator maintenance and obtaining services, (~ provide a memory dump and additional data in machine readat>lo brm if requested, (g) reproduce suspected errors or malfunctions in Software, and (h) install ell error carractions and maintenance releases supplied by Unisys. 9.6 Information Services supplied by Unisys under this Ageement era provided to assist Client. Client, not Unisys, wit! be responsible tot determining objectives and obtaining the desired results. 10. Protection of Proprietary Intbnrtatlort t0.1 Client will keep in conAdertce rind protect Proprietary Information hom disclosure to thud parties and restrict its use as provided in this Agreement. Client acknowledges that unauttiarized disclosure of Pro- prietary Information may cause substantial economic toss to Unisys ar its licensors. All materials containing Proprietary Infomation will be marked vnth'Praprietary," 'Confidential' or in a manner which gives notice of its proprietary nature. Proprietary fntormation will not be copied, in whole a in part. except when essential to correcting. generating or modirying Proprietary Information for ClienCs authored use. Each Copy, including its stooge media, wig be marked by Client with all notices which appear on the original. 10.2 Upon termination or cancellation of any license granted under this Agreement, Client will destroy {and, in writing, certify destruction) a return to Unisys all copies of the Sortwaro the license for which has been so terminated or canceled and any other related Proprietary 3dt4 Infortnaticn in Clwr~ossession (including Proprietary Information incorporated in other;.~tware or wrAings). 10 3 Any ideas, concepts, know-how, data processing techniques, SofhMdre, documentation, diagrams, schematics or blueprints developed by Unisys personnel {atone or jointly with Client) in connedien wiffi Information Services provided to Client wilt be the exclusive prc~ rty of Unisys. Unisys grants to Chant anon-exclusive. royalty-Tree license to use any of the foregoing in accordance with the terms of this Agreement. td.4 Client acknowledges that all support materials, inckrding without limitation, diagnostic software, are the property of and include Pro- prietary Intormaton of Unisys. Client assures that such materials wilt be used only by Unisys mainter~ancs personnel, and that Unisys has the right to remove such materials (ram ClienCs facility at any time. TAis provision appkes even though such materials may ha listed in the Unisys price lists, catalogs, invoices or contracts. 10.E Client will inform its employees of their obligations under this Section 10 and instruct them so as to ensure sitrlt obligations are met. t0.d This Section 10 will survive termination or cancellation of this Agreement. 11. License 11.1 Unisys grants to Client a personal, non-exclusive and non- transferable license to use Software and related documentation st- cording to the terms and conditions of tliis Agreement, solely for ClienCs intemat data processing requirements on Me Unisys SPU in the Unked States on whid- Software is initially installed ClienCs use of 5ofturare wdl also be governed by any additions! eondifans which Unisys may provide on or prior to delivery of Softvran. Cleat ogees that Unisys may periodically inspect the computer site in order b audit Software wppiied by Unisys installed at ClenCs site et mutually agreed upon times. If s separate license agreement accompanies non Unisys commodity Software. then tits separate license agreement terms will supersede the license terms in this Agreement for that So(tWare. 11.2 Client may modify any Unisys application Software end may combine this Software with other programs ar materials to lortn an updated work, provided that upon termination of the license, the Unisys application Software will be remand from the updated work and returned to Unisys. Client will not decompile or disassarnbla any Software provided under this Agreement or modify Software wtuch bears a copyright notice of any third party- 11.3 Unisys providaa no media or documentation for Softwars des- ignated 'LO' (License Only). Client may make (a) one archival copy (for backup purposes) of each item of Software, and (b) one copy, as required, for each license granted of Software designs#ed'LO' Each copy will contain all legends and notices and wilt be subject to the same conditions and restrictions as the original. Software designated 'SUBSCRN' (subsuip6on) entitles Client to functional updates that Unisys releases for the same eligible base Software doting the applicable term of the subscription, provided Client has a current license and the latest applicable Software Maintenance Releases for the eNgtble base Software. Software designated 'dRIVER' is for use solely vviM those models of device types specified in the drivers then-content published specification and a license is required fa each separately addressable unit of a device type. 11.4 If the SPU on which any item of Software is licensed becomes temporarily unavailable. use of such Software may be temporarily Uansferred to an alternative SPU until the original SPU becomes available. 11.5 No license is gronled to Client to use any Unisys proprietary operating system Software to assess, test or develop any hardware products or device hander software or operating system sothvare that vrill be marketed by Client or others for compensation. Client may de- velop other software progams and may fast fully developed, commer- cially available non Unisys hardware products or software progams where such testing is solely intended for Client's inEarnal evawaGon of U-e fitness of such product or program fret Client's own internal data processing purposes. 4305 3982-008 (3190) 25F-6 1'1:6 If Client desires to: (a) use Software r^ service ouroau mode rp) use Software at another location, (c} trst'~uftware as restricted m Section t t .5, or (d) transfer operational uss of the Software to a third party; then Client roust request prior permission in writing from Unisys. Unisys will tfien advise Cfient wheCtet, and under what terms and conditions. Unisys wiA license the Software as requested. All restrictions applicable b Client will also appty >n any permitted service bureau or third party users, 11.7 This Agreement does not transfer to C~ient title to any +ntellactual property contained in any Software, documenation or Proprietary Information 11.8 No party is entitled to use any Software unless the party has a valid written license to use such Software ar-d atl applicable charges for the use of such Software have boon paid, except that Client may authorize temporary use of Software by a third party, only for Client's benefit, to assess, test or develop software programs to the extant authorized by Section 11.5 a to perform consulting services and stud- +es. provided such third party agrees in writing to be bound by the provisions of Nis Agreement regarding Proprietary Information and Software. t 1.9 This section applies to ~atl procurements of Software and docu- insntafton by or fa the U_S. federal government. 6y accepting delivery of the Software and doctrmentatlon, the government hereby agrees That the Software and documentation qualifies as 'commeraal' computer software and commercial software documentation vrtthin tl+e meaning of the acgtusitlon regulation(s) applicable to this procurement. Ths terms and conditions of this license shah prescribe the government's use and disclosure of the Software and documentation, and shall supersede any contrary provisions. The government agrees to return the Softwars.and documentation unused ii any provision of this License does oat meet the govarnrnent'a actual minimum needs or i! the government objects to any term of this license and the parties are unable to reach agreement on the terms of the license. The totlowing statement applies only to procurements governed by OFARS PaN 227.4 (OCT 1988}: 'Restricted Rigt-ts -Use. duplication and disclosure by the Government is subject to restrictions as set forth in subparagraph (c)(1)(ii) of the Rights in Technical Data and Computer Software clause at OFARS 252.221-7013 (OCT 1988).' 12. Warranties and Oisclaimets 12.1 EXCEPT AS EXPRESSLY STATED IN THIS AGREE1dENT, THERE ARE NO WARRANTIES, EXPRESS OR IMPLIED, 8Y C+PERATfON OF t11W OR OTHERWISE. UNISYS DISCLAIkIS THE 1r+lPUED WAR- RANTiES OF MERCHANTABILITY ANO FITNESS FOR A PARTICULAR PURPOSE AS TO 80TH UNISYS AND NON UMSYS PRODUCTS AND SERVICES. UNISYS WARRANTIES EXTEND SOLELY TO CLIENT. YEAR 2000 WARRANTIES OF EQIAPMtJdT A!!D SOFTWARE ARE MADE SOLELY IN SECTION 12.4. 12.2 Equipment: (a} Unisys warrants that equipment wilt t» Iron from defects in matenal and vrorkmanshgr and will substantietty conform to relevant Unisys published specincatans for a parted of twelve months from its In-_ stallation Date. Equipment (~ may be newly manufactured, (ii) may he assembled from new or serviceable used parts that are equivalent to new parts +n performance, a C~7 may have been previously instatled. During this twelve month viratra+nty period. Unisys will repair or replace any defective item of equipment or part or component of equipment promptly reported or sent to Unisys by Client which Unisys determines was defective due to faulty malarial or vartvnanship. Client vaill pay transportation and instxance costs to ship equipment if an oft-site repair location fs designated by Unisys; Unisys will pay the retum costs if the equipment was defective. Labor costs of diagnosis are not included in this warranty. (b) Because equipment requires on-going maintsnancs, the preceding warranty is not a substitute for SURETY Support Services, which are available to Client for a charge. (cj Unisys makes no representation of warranty as to non tlnlsys equipment provided to Client, all of which is sold or licensed to Client Latta 'AS IS." Client afire~~-look solely to the warranties and remedies, if any, provided by the ti~aufscturer. 12.3 Sottwarr (a) Each item of Software with the designation W is, in its unaltsred form, wananted for 90 days from its Installation Oate to conform sub- stanbalty to the then~unent published functional specifications. provided such Software is used +n a manner cons+stent with any applicable Unisys minimum equipment and software configuration specittcations_ Unisys will make roasonable efforts m correct such errors retlecting significant deviations from the hrnctional speciftcations as are reported by CI'+ent to Unisys during such warrenty period. Cb) Because not art errors in Software can of need bs corrected, Unisys does not warrant that ell Software defects uvifl be corrected. Similarly, Unisys does not warrant that the functions containtrd in the Software vdll meet Clients requirements tx that the Saitware wiN operate in combinations selected for use by Client (c) AA otlter Software delivered is not wartanled by Unisys and is licensed 'A5 IS.' In the case of non Uniaya Software. Client agrees to look solely to Ma warranties and remedies, if any, provided by the Unisys licensor or vendor. 12.4 Year 2000 -Equipment and Software (a) Unisys warrants that Ors Products designated 'R' in the Y2K Ready column in the relevant Schedule to this Agreement will be capable, when used in accordance with the applicable Product documentation provided by Unirys. of accuratety processing dots data (including, but not limited to calculating, comparing and sequencing) from, into acrd between tM 20th and 21st centuries and 1999 and 2000, including leap year calculations. provided that ant third party products and Client's customized data processing materials used in combination vinCt he Products properly exchange date data with the Products (hereinaAer 'Year 2000 Ready'). Unisys will repair or replace Prodects that do not aaurately process date data as set forts above, provided: () Client notices Unisys before March 31, 20b0 or..f later, before the sxp~atan of any general warranty period for the Products undo Sections 12.2 or 12.9 above; and (ii) Client keeps the Products at the then-currant release level(s) end, in the absence of a general warranty or after any general warranty period, enrolled continuously under Unisys maintenance. (b) Unisys makes no urarranty for date data functionality for Products designated'V" in tfie Y2K Ready column. Unisys obtains these Products from third parties and will pass on to Clien! such date dam functionality warranties, if any, as the Product vendor permits Unisys to pass along on the Product vendor's Dshalf to end users. Client agrees to look solely to such Product vendors for correction or repair of defects in date data functionality of such Products. (c) Products designated 'RC- in Ute Y2K Ready column are obtained from third parties and are warranted as'R' accordng to Section 12.4(a). above. when: () acquired from Unisys: and (i} designated by Unisys for use as a component in a Unisys packaged style designatsd'R:' and (r) used by Client only as a component in Utat Unisys packaged styli, In atl other instances, a Product designated'RC' will be deemed and treated as a 'V' Product under Section 12.4(b), above. (d) Unisys makes no warranty for date data functionality for Products designated 'N" or 'U' or for Products with no designation in the Y2K Ready column. Client acknowledges that it understands that Products designated 'N' are not and will not be made Year 2004 Ready and that Unisys disclaims any warranty of the Products ability to function correctly when dealing with dates. Client has independently evaluated the Products and, notvntltstanding the foregoing, confirms its order for the said Products and agrees its use of such Products will be at its sole risk. 12.5 SURETY Support Services: (a) Unisys warrants that equipment and Software will be supported in accordance with the specific SURETY Support Service selected. Unisys sole and exclusnre obliga8ons under this warranty will be to conform to me SURETY support service Osscripuons. Equipment parts which are removed far replacement by Unisys become the property of Unisys. X305 3984-00613199) 25F-7 (b) Ta determine eligibility and prerequisi_~~jor SURETY Support Servx>es, Unisys may require inspection. ai~,ient expense, of equip• ment which (i) has not been maintained continuousy by Unisys from the date of purchase by Client or (ii) has been relocated. (c} Unisys requires the same SURETY Support Service Level for the SPU and ell equipment and Sofhwere that is eligible for SURETY Support Services and inEeroperatss wilt the SPU. Application software. local area networks. wtxkstations, and remote data communications Products are excluded from tltis requirement (d) SURETY Support Services do not cover the parts and service required to repair damage or correct errors attrdiutabls to (i) alterations or out-of•specificatian supplies, (ii) accidents, misuse, negligence a (ailura of Client -o folbw instructions for proper use, care and cleaning of equiprrtsnt, (iii) external (atlas (e.g., failtre a nuctuation of electrical power or air condtiioning, fire, flood), or (iv) failure by Client to comply with Unisys environmental specifications. (a) SURETY Support Services apply only to properly configured Products at the minimum hardv~rare and softurare levels 4esignated Dy Unisys for support of the applicable Product specification. SURETY Support Services will include repair a correction of material deviatans that prevent the Product from being Year 2000 Ready onry if the Product is warranted as 'R• according to Sectiats 12.4(a) and (c) and Unisys is then curtently provid'mg development csater support (also retied engineering support) for the Produc! or. if Unisys discontinues devebpment center support, a Unisys created repair or correction already exists for the same deviation. Except as provided in the immediatery preceding sentence, all SURETY Support Services provided by Unisys exclude repa'a of damage a rorrection of errors related to date data functionality. ,~ (Q SURETY Support Services do not include correction or repair of detects. including any related to date date functionality, in the design. manufacture, materials or vuorkmanshQ of either (i) non Unisys services a products without a Unisys brand, or (ii) Product(s) to which Unisys has discontinued development center support. 12.ti Information Services: (a} Unisys will endeavor to provide Information Services on a timely basis subject m availability of qualified personnel and the difficulty and scope of the services b be provided. (b} Unisys may assign, reassign and substitute personnel at any lime and may provide Me same or similar services and materials to other clienb. (c) Information Services under this Agreement do not include any services related to date data functionality, including services pertaining to Ysar 2000. 13. Alterations and Attachments 13.1 If Unisys is providng SURETY Support Services, Giant wiL give Unisys prat written notice of any proposed alterations or atlactvnents b equipment. Unisys has no obligation to provide SURETY Support Services for non Unisys attachments, altered equipment a modified Software. Should Unisys agree fA maintain, support a coaect altered Products, Unisys may impose eddttiorpll charges. 13.2 Unisys is not responttdble for arty malfunction, nonperformance a degradation of performarta of Products, supplies a maintenance support materials caused by or resulting d'vectly a indirectly (ran any alteration or attachment unless Unisys is maintaining and Client has notified Unisys of the alteration or attachment that causes the malfunction. 13.3 Unisys warranties wilt not apply if attachment of non Unisys equipment a alteration of Products directty a indirectly results in any malfunction, nonperformance a degradation of psrtormarice of Unisys Products; in addition, Client will be solely responsible for resulting infringement. personal injury a damage to property and Products. 13.4 For purposes of this Agreement, 'alterations' includes, but is not limited to, the incorporation of non Unisys components, boards and subassemblies into equipment, as well as modifications to Software. 'Attachments' includes, but is not limited to, any non Unisys equipment, softvrar~rtpanents a devices which are connected b Unisys Products. ~--' 14. Limitation of Liability t4 1 UNLESS FURTHfft LIMITED ELSEWHERE M THIS AGREEMENT, THE ENTIRE I.IABIUTY OF UNISYS ANO CLIENT'S EXCLUSIVE REMEDY FOR DAMAGES FROM ANY CAUSE RELATED TO OR ARIS- ING OUT OF THIS AGREEMENT, REGAROI.ESS OF tHE FORM OF ACTION, WHETHER IN CONTRACT OR IN TORT, MILL NOT EXCEED THE GREATER OF (a) =100,1X10 OR (b) THE CHARGES PAID TO UNISYS DURING THE- 2t-INONTH PERIOD IMMEDIATELY PRIOR TO CLIENT'S NOTICE PURSUANT TO SECTION 1ti.1 FOR THE PRODUCTS Oil SERVICES WHICH ARE THE SUBJECT MATTER OF OR DIRECTLY RELATED TO THE CAUSES OF ACTION ASSERTI~_ TMS SECTION 14.1 DOES NOT APPLY TO CLAIMS COVERED BY SECTION 15_ 14.2 IN NO EVENT WILL UNISYS t3E LIABLE FOR (a) ANY INCI- DENTAL, INDIRECT, SPECIAL OR CONSECUENTIAL OAMA,GES, INCLUDING, BUT NOT UNITED T0, LOSS OF USE, REVENUES, PROFITS lXt SAVINGS, EVEN IF UNISYS KNEW OR SHOULD HAVE KNOWN OF THE POSSIt31UTY OF SUCH OANAGES, (b) CLa11fr1S, DEMANDS OR ACTIONS AGAINST CLIENT 8Y ANY PERSON, EXCEPT AS PROVIDED 1N SECTION t5, OR {cj LOSS OF OR DAMAGE TO CLIENT DATA FROM ANY CAUSE. 14.3 The entree Lability of Unisys and Clients exclusrve remedy for any defective non Utvsys Products provided under this Agreement is limited to their rotirrn to Unisys within 90 days alter shipment fa refund of the amount paid to Unisys for such Products {not incluctng any amounts paid for related services). 14.4 Unisys may desct Client to third parties having products a services which may be of interest to Client far use in conjunction vuitli the Products. Notwithstand'atg any Unisys ret:ortimendation, referral or introduction, Client unL independently investigate and Lest non Unisys products and services and will have sole responsibility for deterrrtining suitabiNty tar use of non Unisys products and services. Unisys hsas no liability wish respect to claims relating b a arising horn Ilse of non Unisys products and services, including, without limitation, claims arising from failure of non Unisys products to provide proper time and date functionality. 15. Patent, Copyright and Trade Secret Indemnification t5.1 Unisys, at its own expense, will defend and Indemnify Client against claims that Products famished under this Agreement infringe a United States patent a copyright or misappropriate trade secrets pro- tected under United States law, provided Client (a) gives Unisys prompt written notice of such claims pursuant to Section 17, (b) permits Unisys to defend or settle Me clauris, and (c) provides all reasonable assistance to Unisys in defending or settkng the claims. 15.2 As to any Product which is subject to a claim of infringriment or misappropriation, Unisy: may (a) obtain the right of continued use of the Product for Client a (b) replace or modify the Product to avoid the claim. If neither altsrnativa is available on commercially reasonable terms, Men, at the request of Unisys. arty applicable Software license and its charges will end, Client will stop using Me Product, and Client will return the Product to Unisys. Upon return of the Product, Unisys will give Client a credit for the price paid to Unisys, less a reasonable offset for use and obsolescence. 15.3 Unisys will not defend or indemnify Client if any claim of in- fringement or misappropriation (a) is asserted by a parent, subsidiary a affiliate of Client. (b) results from Clients design ar alteration of any Produce, (c) results from use of arty Product in combination witty any non Unisys product, or (d) rotates b a non Unisys Product atone. 15.4 This Section 15 slates the entire IiabiNty of Unisys and Clisnrs sole and exclusive remedies for patent a copyright infringement and trade secret misappropriation. 16. Term(nation and Cancellation 5 of t4 18. t Unisys may suspend SURETY Support Services i}any payment la such service under this Agreement is past due more than 30 days. 1303 3982-006 t3J99) 25F-8 ~te_2 Unisys may terminate SURETY Suppo rvicss a change sup- pai to Client for a Product upon srx mot~;~s written notice a at the expiration of the then-current term to SURETY Support Services, whichever occurs earlier 18.3 Either party may terminate any license fa Software or arty SURETY Support Services upon expiration of the applicable term by providing 30 days prior writltM notice. FaYure to give such notice wiU result in a renevwal or extertaion of the license a service in accordance with the provisions of this Agreement The licenses tar any Software automatlcalry terminate upon CtienCs discontinuance of use of the SPU on which itte Software was Ctcensed, at uArich time Client must either destroy a return the Softvrrrs and docurnenbtion to Unisys.. Upon termination a cancellation o15URETY Support Services. all diagnostics will be tattooed to Unisys. 16.4 Without prejudice to other remedies. Unisys may cancel this Agreement or any order placed under it. for default and repossess Products (excluding only equipment far which the purchase price has been fully paid). if, upon traitten notice, Clent tails to {s) make any payment identified as delinquent {includ'Ing payment of charges to services) within ten days or (b} cure any default relating to Sections 10 a 11 within 3o days. 18.5 Unisys may terminate SURETY Support Services on 30 days prig Witten notice if Unisys determines that any alterations, attachments, Client Software modification or failure to install a maintenance release will Interfere with the provision of such services. 18.6 Termiaa6on a canceNation of this Agreement will not affect any rights a duties arising under it with respect W Proprietary Information a security interest. '1T. Notices t i. f Alt notices required by this Agreement to be gitren to Client wiU be sent to its address on Me cover page of this Agreement. 17.2 AIt notices required by Sections 15 and 16.1 and aB requests for information under Section 8 wip be sent by certified a registered mail and, when given to Unisys. addressed to: Office of General Counsel Unisys Corporation URlsys Way Blue Bell PA 19424 cc: Regional Vice President 11.3 AN other notices to Unisys will tx sent to the Unisys office which has been servicing Client. 18. Dispute Resolution 18.1 Disputes and Demands ANY CLAIM OR CONTROVERSY RELATED TO OR ARISING OUT OF THIS AGREEMENT WHETHER IN CONTRACT OR iN TORT ("DISPUTE'), MALL BE RESOLVED ON A CONFlDENTIAL BASIS ACCORDING TO THE FOLLOWING PROCESS. WHICH EITHER PARTY MAY STAttT BY DELNERING TO THE OTHER PARTY A WRITTEN NOTICE DESCRtB1Nfi THE DISPUTE AND THE AMOUNT INVOLVED (" 18.2 Negotiation and Wdlbrtlon -AFTER RECEIPT OF A DEMAND, AUTHORED REPRESENTATIVES OF THE PARTIES WILL MEET AT A MUTUALLY AGREED UPON T1YE AND PLACE TO TRY TO RESOLVE THE DISPUTE t3Y NEGOTIATION. IF THE DISPUTE REMAINS UN- RESOLVED AFTER THIS MEETING, EITHER PARTY MAY START MANDATORY NON-BIt~ING MEDIATION UN~R THE COMMERCIAL MEDIATION ROUES OF TIC AMERICAN ARBITRATION ASSOCWTK)N (AAA). 18.3 Arbitration - IF THE DISPUTE REMAINS UNRESOl.VEO 45 DAYS AFTER THE RECENT OF THE DEMAND, EITHER PARTY MAY START BINdNIG ARBITRATION Ut~ER THE COMMERCIAL ARBITRATION ROUES OF THE AAA. THE ARBITRATION WILL BE BEFORE ONE ARBITRATOR; HOWEVER, BEFORE THE SELECTION OF THE ARBITRATOR, A PARTY (NMOSE IDENTITY YNLL NOT BE REVEALED TO THE ARBITRATOttS) MAY REQUIRE, AT ITS SOLE ADdTIONAL EXPENSE, A THRE~''3BITRATOR PANEL. AT LEAST ONE AiiBl- TRATOR WILL BE`tiei ATTORNEY. f+IO STATEMENTS t3Y, OR COMMUFNCATKkIS BETWEEN, THE PARTIES DURING NEGOTIATION OR MEDUTION, OR 80TH, UMOER SECTION 18.z ABOVE, WILL BE ADMISSIBLE FOR ANY PURPOSE IN ARBITRATION. THE ARBITRA- TOR(S) WILL HAVE NO AUTHORITY TO AWARD PUNITIVE DAMAGES OR ANY OTHER MONETARY RELIEF NOT MEASURED t3Y THE PREVAILING PARTY'S ACTUAL DAMAGES {ADJUSTMENTS FOR TIME VALUE OF MONEY PERMITTED}, AND WILL NOT MAKE ANY DECISION INCONSISTENT WITH THE TERMS AND CCNOITIONS OF THIS AGREEMENT. EACH PARTY WILL BEAR ITS OWN INTERNAL EXPENSES AND ATTORNEY'S FEES. 18.4 Court .NOTHING IN TIES SECTION 18 WILL PRECLUDE A PARTY'S RECOURSE TO A COURT OF COMPETENT JURISDICTION TO (a) ENFORCE THE TERNS OF, OR AN ARI3RRATtON AWARD UNDF.Ft, THIS SECTION; (b) SEEK TEMPORARY EQUITABLE RELIEF NECESSARY TO PROTECT ITS INTERESTS; OR (c) RECOVER SPECIFIC PROPERTY, I1Vq.UDIPIG AN ACTION IN REPLEVIN. 18.5 Time Limit -NEITHER ARBRRATION UNDER THIS SECTK)N NOR ANY LEt3AL ACTION, REGAR~ESS OF ITS FORM, RELATED TO OR ARISING OUT OF THS AGREEMENT MAY BE BROUGHT MORE THAN 2 YEARS AFTER THE CAUSE OF ACTION FIRST ACCRUED, EXCEPT IF A DEMAND 1S MADE WtTHN 45 DAYS BEFORE THE END OF THS 2 YEAR PERI00, THE PARTIES WILL HAVE ti0 ADDITIONAL DAYS FROM THE DEMAND TO START ARBITRATION UNDER THS AGREEMENT. 19. Atlter Provisions 15.1 All risk of toss a damage to Products will pass to Client upon delivery to Clients location. f9.2 Neither parry wilt De liable for failure to fulfill its obliga0orts when due to causes beyond its reasonable control. 19.3 Any (allure a delay by either party in exercising soy right a remedy will not constitute a waiver. 19.4 THIS AGREEMENT WILL BE GOVERNED BY THE LOCAL. LAW OF THE COMMONWEALTH OF PENNSYLVANUI 19.5 This Ageement constitutes the entire agreement between the parties with respect to the Products and services prov'~ded hereunder and supersedes aU prior proposals and agreements, both written and Drat, and all other written and orel communications between the parties. Statements made to you in the course of this sate are subject to the Year 2000 Infomtation and Readiness Oiscbsure Act (15 U.S.C. 1-note). In the case of a dispute. this Act may reduce your legal rights regarding the use of arty such statements, unless oMerwise spxlned by your contract a tariff. The terms and conditions of this Agreement trrt8 supersede all other terms and conditions submitted try Client, including any preprinted terms on any Client purchase orders. t 9.8 Unisys may assign this Agreement a its interest in any equipment. a assign the right to receive payments, without Clients consent. Any such assignment, however, w~l not change the obligations of Unisys to Client. Client urill not assign or transfer its rights or obligations under this Agreement without prior written consent of Unisys. Any assignment or transfer prohibited by this provision will be void. Unisys may subcontract any services desaibed in this Agreement to third parties selected by Unisys. 19.7 The terms and conditions of this Agreement may be modified Dory by a writing signed by a Unisys Vice President, General Manager a Contracts Manager. t9.8 Each paragraph and provision of this Agreement is severable, and if one or more paragraphs or provisions ~e declared invalid. the remaining provisions of this Agreement wilt remain in full farce and effect. 19.9 Products and services provided under this Agreement may be subject to U.S. and other gov~rtment export control regulations. Client assures that it vdll compry with all appHcabte export lays and regulations Kelated to the use, disclosure, export. a reexport of these Products and services. 6of14 1305 3982-006 (3x661 25F-9 . Agreement Number UNISYS Supplemental Schedule Order 99120112 Client City of Santa Ana Description of ProductslServices V Series ETP License. This order and term shalt end on 6/30/10. Payment is due before 6/30/08. Exhibit A This Order consists of the Products andlor services described on the forms listed and checked below: Check if Number Total dollars Form number Description applicable of pages ^ 4305 4931-006 Equipment Sale Schedule ® 1 130,589 4305 4933-006 Software Licenses Schedule ^ 4305 4934-001 Information Services Schedule ^ 4305 4940-005 Support Services Addendum ^ 4305 4942-002 Support Services Schedule ^ 4305 4944-002 Support Services Schedule for Desktop Equipment ^ 4305 4935-001 Systems Integration Addendum ^ 4305 4936-002 State and Local Government Addendum ^ 4305 5383-002 Statement of Work ^ 4305 7940-002 OS2200 Metering Software Schedule ^ 4305 7942-003 MCP Metering Software Schedule ^ 4305 7944-001 NDP Measured Software Schedule ^ 4305 7975-002 Application Software Support Services Addendum ^ 4305 7983-001 Application Support Services Schedule This Supplemental Schedule Order ("Order") is placed under the Agreement identified by the Agreement Number listed above. Unisys may accept or decline this Order. The terms and conditions of the Agreement will govern this Order. If there is no Agreement Number listed above when Client signs this Order, the Order will be governed by the Agreement that is identified below and attached to this Order, and Unisys will assign an Agreement Number upon its acceptance of the Order. Agreement title and form number (complete only if there is no Agreement Number in the block above) Agreed and Accepted Unisys Corporation (Signature) (Date) (Printed/typed name) Client: (Signature) (Date) T'homa:~ + . GeM~er. (Printedltyped name) :fana~cr, Tn~nr*~~^tion Serv_`_ccs (Title) 4305 6209-009 (9/05) 25F-10 ~xH~BiT g UNISYS Software License Schedule Agreement Number 99120112 Equipment Location CITY OF SANTA ANA 20 Civic Center Plz Santa Ana, CA 92701-4058 USA L' t f Products A licable to this Agreement Currency: USD Is Item o pp Sryle Description Qty Warranty License License Initial License Installation No. Plan Charge Charge Charge 1 V300-CE1 DEV AID:CANDE 1 W ETP24 19,990 2 V300-COB CMPLR:COBOL 74 1 W ETP24 30,982 3 V300-DM2 DATAMGT:DATA MGMT II 1 W ETP24 102,937 Software Discount -23,320 Page: Purchase Price Page: Install Charge License Plan 130,589 1. The initial license term (and the corresponding charges for licenses) will begin upon Unisys Shipment or Clients Total purchase price Total Install Charge download of the Software or Software key. Temporary backup use of Software may require Client to purchase 130,589 0 additional enabled performance for the backup SPU. C,rand total 130,589 2. Software licenses for which Unisys charges either an Annual License Charge (ALC} or a Monthly License Charge (MLC) will continue on a month-to-month basis and the ALC will renew annually until the license is terminated or canceled in accordance with the Termination and Cancellation section in this Agreement. 3. For certain licenses, Unisys may charge an Initial License Charge which includes the first monthly or annual license charge. 4. Extended Term Plan (ETP): Software licenses for which Unisys charges a single fee may have a 12 to 84 month extended term. Upon expiration of the extended term, the license will be automatically continued on amonth-to- month basis for a Monthly License Charge, unless terminated in accordance with the Termination and Cancellation section of this Agreement, or Client may pay another ETP fee for an additional extended term, if available. 5.One Time Charge (OTC): Client may use the Software for so long as Client continues to use the Software on the equipment, include SPU(s), for which it was licensed in accordance with the Agreement 6. Software that has no license charge I'ISted on this Schedule will have a license term that is coterminous with Clients possession and use of the equipment on which the Software is installed. UNISYS SHALL HAVE NO LUIBILITY FOR ANY CLAIM OF INFRINGEMENT OR MISAPPROPRIATION BASED SOLELY ON OPEN SOURCE SOFTWARE OR THIRD PARTY SOFTWARE CONTAINED IN ANY UNISYS PRODUCT. * Software designated Subscription ("SUBSCRN")entitles Client to receive functional update releases for the Software during the subscription term, provided Client has a current license and the latest applicable Maintenance Releases for the Software. Software designated License Onty ("LO") is provided without media or documentation; Client may make (a) one copy of the item for each LO license granted by Unisys, and (b) one copy for backup purposes, with each copy retaining all original notices and legends. Software designated Driver is for use solely with the device models specified in the driver's then-current published specification; a separate license is required for each individual addressable device. 4305 4933-007 (11106) 25F-11 25F-12