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HomeMy WebLinkAboutAgreement - NetFile, Inc. - Electronic Campaign Filing Management System - Signed 2022-02-07City of Gilroy Agreement/Contract Tracking Today’s Date: February 2, 2022 Your Name: Thai Nam Pham Contract Type: Services over $5k - Contractor - NO ENG OR DESIGN Phone Number: 408 846-0204 Contract Effective Date: (Date contract goes into effect) 2/7/2022 Contract Expiration Date: 6/30/2023 Contractor / Consultant Name: (if an individual’s name, format as last name, first name) NetFile, Inc. Contract Subject: (no more than 100 characters) Electronic Campaign Filing Management System Contract Amount: (Total Amount of contract. If no amount, leave blank) 5,300.00 By submitting this form, I confirm this information is complete:  Date of Contract  Contractor/Consultant name and complete address  Terms of the agreement (start date, completion date or “until project completion”, cap of compensation to be paid)  Scope of Services, Terms of Payment, Milestone Schedule and exhibit(s) attached  Taxpayer ID or Social Security # and Contractors License # if applicable  Contractor/Consultant signer’s name and title  City Administrator or Department Head Name, City Clerk (Attest), City Attorney (Approved as to Form) Routing Steps for Electronic Signature Risk Manager City Attorney Approval As to Form City Administrator or Department Head City Clerk Attestation DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE EXHIBIT A-1 SCOPE OF SERVICES The Services to be performed for the User by the Contractor under this Agreement are more fully described in the Contractor’s proposal which is added to this Exhibit A and incorporated by this reference. EXHIBIT A – CONTRACT SPECIFICS A. Expected Outcome NetFile will develop and maintain a system that permits the City of Gilroy (“User”) and users authorized by the User to (1) Electronically file FPPC Statement of Economic Interest, Form 700 (“SEI”) (up to 130 filers per calendar year) as well as FPPC Campaign Statements for all committees that have a filing requirement to the User to be available (in redacted form) for public viewing of documents over the Internet through a link on the User’s website; (3) maintain a database all FPPC SEI and Campaign forms to track filings and generate filing deadline and amendment letters and (4) allow the User to scan SEI and Campaign reports/forms not submitted electronically. B. Deliverables NetFile will continue to have ready for use a system that permits (1) electronic filing of FPPC Statement of Economic Interest, Form 700 and FPPC Campaign Statement Forms (hereinafter collectively referred to as “FPPC Forms”); (2) availability of FPPC Forms in an electronic format to be available (in redacted form) for public viewing of documents over the Internet through a link on the User’s website; (3) maintaining a database of the FPPC Forms to track filings and generate filing deadline and amendment letters and (4) allow the User to scan FPPC Forms not submitted electronically. C. Scope of Service 1. NetFile will develop and maintain a system that: (a) For Filers Using the Internet: DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD i. Allows the User to provide to Filers who have their own access to the Internet, a user ID and password which is used to log on to a secure site hosted on NetFile’s web server but accessible via the User’s web site. ii. Allows Filers who have their own access to the Internet, to log on to, enter data in, and upload to NetFile’s secure site electronic formats of FPPC Forms that are required to be filed to the User. iii. Once the forms have been uploaded, NetFile’s secure site validates the submitted filing and notifies the Filer that the filing was accepted or, if declined, explains why the filing was declined. iv. Allows Filers to print a copy, using Adobe Acrobat Reader, of the forms that they upload to NetFile’s secure site. v. Allows Filers to access earlier validated electronically filed forms. (b) For the User: i. Allows tracking of Filers and all electronically filed forms in a database. ii. Allows User to scan hard copy filings and post to the online searchable database provided a liability waiver is signed by the User absolving NetFile of any liability associated with manually redacted documents not under the control of NetFile during the redaction process. (c) For All FPPC Forms Uploaded to NetFile’s Secure Site: i. Produces two versions in .pdf format of the FPPC Forms: one version, not accessible by the public, will include all information as filed (non-redacted); the other version, accessible by the public, will have all street addresses and bank account information, if applicable, blocked from view. (d) For the Public: i. Allows the public to search and view electronically filed documents (with street addresses and bank account information, if applicable, blocked from view) over the Internet. ii. If a document was not available electronically, NetFile’s secure site will notify the searcher that the document is available for viewing in the office of the User Clerk. 2. NetFile’s system will, among other things:  Issue an ID number and password for Filers.  Grant different user access and security levels for User staff. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD  Store and edit general information about Filers.  Store and edit all filings by individual statement periods where applicable.  Generate notification letters telling the filer of the upcoming filing deadline.  Indicate how filings were received.  Track deadlines for filings and amendments and generate letters notifying Filers of delinquencies.  Track delinquencies and generate letters notifying Filers of fines.  Allow the public to search and view the database and complete list of electronic filings (with addresses and bank account information, if applicable, redacted) via the Internet.  Allow the public to search and view the database and complete electronic filings (without addresses and bank account information redacted) on kiosk provided by the User located in office.  Have sufficient back-up hardware and/or software and/or policies and procedures to ensure that data under the control of NetFile, relative to this Agreement, is not irretrievably lost or destroyed. 3. NetFile will also:  Provide unlimited support to the User staff by email or phone during NetFile’s normal working business hours. 4. All intellectual property, including existing source code or additional source code written for the purpose of developing this system for the User, will be the sole property of NetFile. If NetFile were to cease operations during the contractual period, NetFile would provide to the User all source code relative to the User’s system. D. Performance Standards Performance standards are based upon providing deliverables according to the timeline for performance as determined by Project Manager (City Clerk), and whether the system meets the expected outcome in terms of timeliness and functionality. NetFile servers have a guaranteed uptime of 99%. F. Payment Schedule The payment for ongoing services shall be as follows: NetFile will submit an invoice for continuing ongoing services of FPPC Forms, in the amount of $5,300 per year on the day the contract is signed. Payment terms are net 30 days from date of invoice. This fee amount covers up to 130 Form 700 filers on an annual basis as well as all filers who file FPPC Campaign Statements to the User.. G. Additional Terms Submitted by NetFile -Limitation of Liability DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD The maximum liability to the User by NetFile and its licensors, if any, under this agreement, or arising out of any claim by the User related to NetFile’s services, products, equipment or software for direct damages, whether in contract, tort or otherwise, shall be limited to the total amount of fees received during the last 12 months by NetFile from the User hereunder up to the time the cause of action giving rise to such liability occurred. In no event shall NetFile or its licensors be liable to the User for any indirect, incidental, consequential, or special damages related to the use of NetFile’s services, products, equipment or software or NetFile’s failure to perform its obligations under this agreement, even if advised of the possibility of such damages, regardless of whether NetFile or its licensors are negligent. Provided, however, that for any peril or exposure insured against under the insurance required pursuant to Exhibit C, the limits of liability to User by NetFile shall not be less than the amount of applicable, valid, and collectible insurance set forth in Exhibit C. -All training for the User is free and unlimited. -Unlimited e-mail support for User Staff with guaranteed 1 working day turnaround -Unlimited telephone support for User Staff during normal business hours of M-F 9:00 am to 5 pm. -E-mail based filer help with guaranteed 3 working day turnaround -NetFile pays for initial FPPC SEI $1,000 paperless application fee for Gilroy DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE EXHIBIT B-1 SCHEDULE OF FEES User shall pay Contractor the sum of $5,300 dollars per year for up to 130 FPPC Form 700 filers and all FPPC Campaign Form filers required to file to the User per year. All invoices shall be submitted to the User at the address shown below: City of Gilroy City Clerk 7351 Rosanna Street Gilroy, California 95020 Contractor shall submit the following information with each invoice: (a) Date of invoice; (b) Detailed description of Deliverable; and, (c) Price, as applicable User and Contractor agree to negotiate in good faith as to any disputes regarding the payment of Contractor’s invoices by User. Renewal Fees: The Agreement may be extended by mutual agreement of both parties in writing. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE, INC. This agreement for the performance of services ( "Agreement ") is made and entered into on this 1st day of July, 2015 ( "Effective Date'), by and between "NeTile, Inc. ", a California corporation, with its principal place of business located at 2707 Aurora Road, Mariposa, California 95338 ( "Contractor "), and the City of Gilroy, California, with its principal place of business located at 7351 Rosanna Street, Gilroy California 95020 ( "User "). User and Contractor may be referred to herein individually as a "Party" or collectively as the "Parties" or the "Parties to this Agreement." RECITALS Whereas: A. User desires to obtain professional services more fully described in this Agreement; B. Contractor represents that it, and its sub - contractors, if any, have the professional qualifications, expertise, desire and any license(s) necessary to provide certain goods and/or required services of the quality and type which meet the User's requirements and, C. The Parties have specified in this Agreement the terms and conditions under which such services will be provided and paid for. Contractor and User agree as follows: AGREEMENT PROVISIONS 1. SERVICES TO BE PROVIDED User employs Contractor to perform the services ( "Services ") more fully described in Exhibit A entitled, "SCOPE OF SERVICES." Exhibit A is attached and incorporated by this reference. Except as otherwise specified in this Agreement, Contractor shall furnish all necessary technical and professional services, including labor, material, equipment, transportation, supervision and expertise to satisfactorily complete the work required by User at his/her own risk and expense. 2. TERM OF AGREEMENT Unless this paragraph is subsequently modified by a written amendment to this Agreement, the term of this Agreement shall begin on the Effective Date of July 1, 2015 and terminate at the end of the day on June 30, 2017. The fee for this service is listed in the "Compensation and Payment" section below. Upon User's sole discretion, this Agreement for continued service may be renewed annually. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD 3. COMPENSATION AND PAYMENT Gilroy is participating in a special program with another City nearby to combine NetFile based services to receive the discounted price as reflected in Exhibit A. a. For the time period of July 1, 2015 through June 30, 2017, Contractor will bill User on an annual basis for Services provided by Contractor during the following year, subject to verification by User. User will pay Contractor within thirty (30) days of User's receipt of invoice. 4. NO ASSIGNMENT OF AGREEMENT User and Contractor bind themselves, their successors and assigns to all covenants of this Agreement. This Agreement shall not be assigned or transferred without the prior written approval of User. 5. NO THIRD PARTY BENEFICIARY This Agreement shall not be construed to be an agreement for the benefit of any third party or parties, and no third party or parties shall have any claim or right of action under this Agreement. 6. INDEPENDENT CONTRACTOR Contractor and all person(s) employed by or contracted with Contractor to furnish labor and/or materials under this Agreement are independent contractors and do not act as agent(s) or employee(s) of User. Contractor has full rights, however, to manage its employees in their performance of Services under this Agreement. Contractor is not authorized to bind User to any contracts or other obligations. 7. SUBCONTRACTING None of the Services under this Agreement shall be performed by subcontractors unless Contractor specifically identifies subcontractors in writing and User pre- approves such subcontractors in writing. Contractor shall be as fully responsible to User for the acts and omissions of its subcontractors, and of persons either directly or indirectly employed by them, as Contractor is for the acts and omissions of persons directly employed by it. 8. USE OF USER NAME OR EMBLEM Contractor and its employees, agents and representatives will not, without the prior written consent of User in each instance, use in advertising, publicity or otherwise the name of User or any affiliate of User, or any officer or employee of User, nor any trade name, trademark, trade device, service mark, symbol or any abbreviation, agreement or simulation thereof owned by User or its affiliates, nor represent, directly or indirectly, that any product or service provided by Contractor has been approved or endorsed by User, nor refer to the existence of this Agreement DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD in press releases, advertising or materials distributed to prospective customers. Notwithstanding the foregoing, Contractor may acknowledge, when asked, that the User is a NetFile client. 9. AUDITS User, through its authorized representatives, has the right during the term of this Agreement, and for three (3) years from the date of final payment for goods and/or Services provided under this Agreement, to audit the books and records of Contractor regarding matters covered by this Agreement. Contractor agrees to maintain accurate books and records in accordance with generally accepted accounting principles. Any expenses not so recorded shall be disallowed by User. Contractor agrees to help User meet any reporting requirements with respect to Contractor's Services if requested by User in writing. 10. QUALIFICATIONS OF CONTRACTOR Contractor represents that its personnel are qualified to furnish Services of the type and quality which User requires. User expressly relies on Contractor's representations regarding its skills and knowledge. Contractor shall promptly perform all Services requested by User in a safe manner and in accordance with all federal, state, and local operation and safety regulations. Contractor shall work closely with and be guided by User. Contractor shall also perform all work in accordance with generally accepted business practices and performance standards of the industry. 11. MONITORING OF SERVICES User may monitor the Services performed under this Agreement to determine whether Contractor's operation conforms to User policy and to the terms of this Agreement. User may also monitor the Services to be performed to determine whether financial operations are conducted in accord with applicable User, county, state, and federal requirements. If any action of Contractor constitutes a breach, User may terminate this Agreement pursuant to the provisions described herein. 12. WARRANTY Contractor expressly warrants that all materials and services covered by this Agreement shall be fit for the purpose intended, shall be free from known defects, in a timely manner, and shall conform to the specifications, requirements, and instructions upon which this Agreement is based. Contractor agrees to promptly replace or correct any incomplete, inaccurate, or defective Services at no further cost to User when defects are due to the negligence, errors or omissions of Contractor. Contractor further warrants and represents that it is the owner of or has acquired the rights to use including derivative rights) the software, technology or otherwise that is required to provide all related materials and services as set forth in Exhibit A, without violating any rights of any third party, and there is currently no actual or threatened suit by any such third party based on an alleged violation of such third -p*ty rights by Contractor. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD Contractor further warrants that NetFile servers have a guarantee uptime of 991/6 and for so long as User shall pay the fees described in this Agreement (a) the System will be materially free of errors, and (b) Contractor will provide the Professional Services in a professional and workmanlike manner consistent with the highest industry standards. Contractor further warrants, during the term of this Agreement, that (i) the NetFile servers will be free of any Harmful Code as defined below), and (ii) Contractor will not interfere with or disrupt User's or the User's use of the System. For purposes of this Agreement, the term "Harmful Code" means any software code with the ability to damage, interfere with, or adversely affect computer programs, data files, or hardware without the consent or intent of the computer user. This definition includes, but is not limited to, self - replacing and self - propagating programming instructions commonly called viruses," "Trojan horses" and "worms." Contractor agrees to implement reasonable procedures adequate to prevent any software, link or code provided to User hereunder from being contaminated with Harmful Code. If Contractor learns of or suspects the existence of any Harmful Code, Contractor will immediately - notify User and make every effort to remove the Harmful Code. 13. NON - DISCRIMINATION Contractor shall not discriminate on the basis of race, gender, religion, national origin, ethnicity, sexual orientation, age or disability in the solicitation, selection, hiring, or treatment of n subcontractors, vendors or suppliers. Contractor shall provide equal opportunity for subcontractors to participate in subcontracting opportunities. Contractor understands and agrees that violation of this clause shall be considered a material breach of the contract and may result in contract termination, debarment, or other sanctions. 14. CONTRACTOR TO HOLD USER HARMLESS Subject to the limitations set forth in Exhibit A (SCOPE OF SERVICES) Section F LIMITATION OF LIABILITY), Contractor agrees to indemnify, protect, defend, and hold harmless User, its User Council, officers and employees from and against any claim, injury, liability, loss, cost, and/or expense or damage, including all costs and reasonable attorney's fees in providing a defense to any claim, arising from Contractor's negligent, reckless or wrongful acts, errors, or omissions with respect to or in any way connected with the performance of the Services by Contractor, its agents, subcontractors and/or assigns under this Agreement. 15. INSURANCE REQUIREMENTS During the term of this Agreement, and for any time period set forth in Exhibit C, Contractor shall purchase and maintain in full force and effect, at no cost to User insurance policies with respect to employees assigned to the Performance of Services under this Agreement with coverage amounts, required endorsements, certificates of insurance, and coverage verifications as defined in Exhibit C attached and incorporated by this reference. 16. AMENDMENTS DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD This Agreement may be amended only with the written consent of both Parties. 17. INTEGRATED DOCUMENT This Agreement represents the entire agreement between User and Contractor. No other understanding, agreements, conversations, or otherwise, with any representative of User prior to execution of this Agreement shall affect or modify any of the terms or obligations of this Agreement. Any verbal agreement shall be considered unofficial information and is not binding upon User. 18. SEVERABILITY CLAUSE In case any one or more of the provisions in this Agreement shall, for any reason, be held invalid, illegal or unenforceable in any respect, it shall not affect the validity of the other provisions, which shall remain in full force and effect. 19. LAW GOVERNING CONTRACT This Agreement shall be governed by and construed in accordance with the laws of the State of California without regard to the conflict of laws provisions of any jurisdiction. 20. DISPUTE RESOLUTION a. Any controversies or claims between Contractor and User regarding this Agreement must first be put in writing and delivered to the other_ Party. The Parties will meet in good faith to attempt to resolve the issue in question. If the Parties fail to come to an agreement on the resolution of the issue, all required administrative procedures must be followed. If all administrative procedures are exhausted and the Parties are unable to resolve the issue, the matter must be submitted to mediation within thirty (30) calendar days after the written request for mediation is delivered by one Party. b. The Parties may agree on one mediator. If they cannot agree on one mediator, the Party demanding mediation shall request that the Superior Court of Shasta County appoint a mediator. The mediation meeting shall not exceed one work day [eight (8) hours]. The Parties may agree to extend the time allowed for mediation under this Agreement. c. Mediation under this section is a condition precedent to filing an action in any court. In the event litigation or mediation arises out of any dispute related to this Agreement, the Parties shall each pay their respective attorneys' fees, expert witness costs and cost of suit, regardless of the outcome of the litigation. d. Only after both the administrative dispute resolution procedure and the mediation procedure have failed to resolve a dispute between the Parties may one or both of the Parties file suit in the appropriate civil court. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD FAR % WL04 The exclusive jurisdiction and venue with respect to any and all disputes arising hereunder shall be in state and federal courts located in Santa Clara County, California. 22. ELECTION OF REMEDIES The pursuit by any Parry of any specific remedy shall not exclude any other remedy available to the Party. 23. CONFLICT OF INTERESTS This Agreement does not prevent either Party from entering into similar agreements with other parties. To prevent a conflict of interest, Contractor certifies that to the best of its knowledge, no User officer, employee or authorized representative has any financial interest in the business of Contractor and that no person associated with Contractor has any interest, direct or indirect, which could conflict with the faithful performance of this Agreement. Contractor is familiar with the provisions of California Government Code Section 87100 and following, and certifies that it does not know of any facts which would violate these code provisions. Contractor will advise User if a conflict arises. 24. TERMINATION OF THE AGREEMENT a. Termination Without Cause Either Party may terminate this Agreement without cause by giving the other Party written notice ( "Notice of Termination ") which clearly expresses that Party's intent to terminate the Agreement. Notice of Termination shall become effective no less than thirty (30) calendar days after a Parry receives such notice. After either Party terminates the Agreement, Contractor shall discontinue further services as of the effective date of termination, and User shall pay Contractor for all Services satisfactorily performed up to such date. b. Termination For Cause For purposes of this Agreement, the term "default" shall mean the. failure of any Party to perform any material obligation in the time and manner provided by this Agreement. Either Party may terminate this Agreement in the event of a default by the other Party by providing a written Notice of Termination to the defaulting Party. Such Notice of Termination shall become effective no less than ten (10) calendar days after a Party receives such notice. Such Notice of Termination for cause shall include a statement by the terminating Party setting forth grounds for determination of default under the Agreement. In the event this Agreement is terminated for cause as set forth under this section, User shall pay Contractor for all Services satisfactorily performed up to the date the Agreement is terminated. User may deduct from such payment the amount of actual damage, if any, sustained by User due to Contractor's failure to perform the Services or for breach of this Agreement. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD c. Opportunity to Cure Default Upon receipt of a Notice of Termination for Cause by a Party arising from its default under this Agreement, the defaulting Party shall have five (5) days from the receipt of such notice to cure the default by making such payment or performing the required obligation. If the default is cured to the mutual satisfaction of the Parties, the Agreement shall remain in effect upon written acceptance of the cure by the Party who issued the Notice of Termination for Cause. In addition to, and cumulative to all other remedies in law, at equity and provided under this Agreement, in the event Contractor is in material default of its duties or obligations under this Agreement and it fails to cure the default within five (5) days after receipt of written notice of Termination for Cause from User, User may, without waiving any other rights under this Agreement, elect to withhold from the payments due to Contractor under this Agreement during the period beginning with the 6th day after Contractor's receipt of notice of Termination for Cause, and ending on the date that the default has been cured to the reasonable satisfaction of User, an amount that is in proportion to the magnitude of the default or the service that Contractor is not providing. Upon curing of the default by Contractor, User will cause the withheld payments to be paid to Contractor, without interest. d. Termination Due to Unavailability of Funds When funds are not appropriated or otherwise made available by the User to support continuation of performance, the Agreement shall be cancelled and the Contractor shall be reimbursed for the reasonable value of any nonrecurring cost incurred but not amortized in the price of the supplies or services delivered under the Agreement prior to termination. 25. NOTICES All notices to the Parties shall, unless otherwise requested in writing, be sent to User addressed as follows: City of Gilroy City Clerk 7351 Rosanna Street Gilroy, CA 95020 And to Contractor addressed as follows: NetFile 2707 Aurora Road Mariposa, CA 95338 or by facsimile at (209) 391 -2200 DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD 26. HOSTING SERVICES a. Availability of Services. Subject to the terms of this Agreement, Contractor shall use its best efforts to provide online access to the User and filers of FPPC Statement of Economic Interests forms for twenty -four 24) hours a day, seven (7) days a week upon completion of the parsed database and accepted by the User and thereafter, throughout the term of this Agreement. User agrees that from time to time Contractor's servers may be inaccessible or inoperable for various reasons, including: (i) equipment malfunctions; (ii) periodic maintenance procedures or repairs which Contractor may undertake from time to time; or (iii) causes beyond the control of Contractor or which were not reasonably foreseeable by Contractor, including interruption or failure of communications or transmission links, hostile network attacks or other failures (collectively "Downtime "). Contractor shall provide forty-eight (48) hour advance notice to User in the event of any scheduled Downtime. Contractor shall use its best efforts to minimize any disruption, inaccessibility and/or inoperability in connection with the Downtime, whether scheduled or not. In the event of any Downtime, User shall be entitled to a pro -rata reduction of any payments due and payable to Contractor for such period. b. Backups Contractor shall maintain backup servers and telecommunications connections and maintain weekly backups of User's database of FPPC Statement of Economic Interests Form filings on such backup servers. Contractor's disaster recovery and contingency planning, equipment, software, and telecommunications connections shall enable Contractor to provide User access on and from such backup servers within forty-eight (48) hours of any disruption in service. C. Storage and Security Contactor shall operate and maintain the servers in good working order with access restricted to qualified employees of Contractor and persons specifically designated by User. Contractor shall undertake and perform the measures set forth in Exhibit A to ensure the security, confidentiality subject to Section 27 d. below, and integrity of all User content and other proprietary information transmitted through or stored on Contractor's server(s), including, without limitation: (i) firewall protection; (ii) maintenance of independent archival and backup copies of the User's content; and (iii) protection from any network attack and other harmful, malicious, or disabling data, work, code or program. d. Non - Disclosure Contractor shall comply with all laws and regulations applicable to the gathering, processing, storing, transmitting and dissemination of personal information. Contractor will not disclose any personal information except as required pursuant to the FPPC Statement of Economic Interests Forms laws, without User's prior written consent, unless such disclosure is DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD i) authorized pursuant to the FPPC Disclosure laws; (ii) required by law or regulation, but only to the extent and for the purpose of such law or regulation; (iii) is in response to a valid order of any court of competent jurisdiction or other government body, but only to the extent of and for the purpose of such order, and only if Contractor first notifies User of the order and permits User to seek an appropriate protective order; or (iv) with written permission of User in compliance with any terms or conditions set by User regarding such disclosure. 28. LIABILITY FOR USER SCANNED DOCUMENTS User accepts any and all liability resulting from the placement of documents scanned by the User that are made available on the Internet for public viewing through the services of the Contractor. In no event does the Contractor accept liability created by any document scanned into the System by the User. The Parties acknowledge and accept the terms and conditions of this Agreement as evidenced by the following signatures of their duly and authorized representatives. It is the intent of the Parties that this Agreement shall become operative on the Effective Date. The City of Gilroy, APPROVED AS TO FORM: J. Ed and Tewes Acting City Administrator 7351 Rosanna Street Gilroy, CA 95020 NetFile, Inc. BY: / TOM DIEBERT Vice President NetFile, Inc. 2707 Aurora Road Mariposa, CA 95338 Telephone: (209) 742 -4100 Facsimile: (209) 391 -2200 DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE EXHIBIT A SCOPE OF SERVICES The Services to be performed for the User by the Contractor under this Agreement are more fully described in the Contractor's proposal which is added to this Exhibit A and incorporated by this reference. EXHIBIT A — CONTRACT SPECIFICS A. Expected Outcome NetFile will develop and maintain a system that permits the City of Gilroy ( "User ") and users authorized by the User to (1) Electronically file FPPC Statement of Economic Interest, Form 700 SEI ") (up to 130 filers per calendar year) to be available (in redacted form) for public viewing of documents over the Internet through a link on the User's website; (3) maintain a database of the FPPC SEI forms to track filings and generate filing deadline and amendment letters and (4) allow the User to scan SEI reports/forms not submitted electronically. B. Deliverables NetFile will continue to have ready for use a system that permits (1) electronic filing of FPPC Statement of Economic Interest, Form 700 (hereinafter collectively referred to as "FPPC Forms "); (2) availability of FPPC Forms in an electronic format to be available (in redacted form) for public viewing of documents over the Internet through a link on the User's website; 3) maintaining a database of the FPPC Forms to track filings and generate filing deadline and amendment letters and (4) allow the User to scan FPPC Forms not submitted electronically. C. Scope of Service 1. For two years from the date of execution of the service agreement, NetFile will develop and maintain a system that: a) For Filers Using the Internet: i. Allows the User to provide to Filers who have their own access to the Internet, a user ID and password which is used to log on to a secure site hosted on NetFile's web server but accessible via the User's web site. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD ii. Allows Filers who have their own access to the Internet, to log on to, enter data in, and upload to NetFile's secure site electronic formats of FPPC Statement of Economic Interest Forms. iii. Once the forms have been uploaded, NetFile's secure site validates the submitted filing and notifies the Filer that the filing was accepted or, if declined, explains why the filing was declined. iv. Allows Filers to print a copy, using Adobe Acrobat Reader, of the forms that they upload to NetFile's secure site. v. Allows Filers to access earlier validated electronically filed forms. b) For the User: i. Allows tracking of Filers and all electronically filed forms in a database. ii. Allows User to scan hard copy filings and post to the online searchable database provided a liability waiver is signed by the User absolving NetFile of any liability associated with manually redacted documents not under the control of NetFile during the redaction process. c) For All FPPC Forms Uploaded to NetFile's Secure Site: i. Produces two versions in .pdf format of the FPPC Forms: one version, not accessible by the public, will include all information as filed (non - redacted); the other version, accessible by the public, will have all street addresses and bank account information, if applicable, blocked from view. d) For the Public: i. Allows the public to search and view electronically filed documents (with street addresses and bank account information, if applicable, blocked from view) over the Internet. ii. If a document was not available electronically, NetFile's secure site will notify the searcher that the document is available for viewing in the office of the User Clerk. 2. NetFile's system will, among other things: Issue an ID number and password for Filers. Grant different user access and security levels for User staff. Store and edit general information about Filers. Store and edit all filings by individual statement periods where applicable. Generate notification letters telling the filer of the upcoming filing deadline. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD Indicate how filings were received. Track deadlines for filings and amendments and generate letters notifying Filers of delinquencies. Track delinquencies and generate letters notifying Filers of fines. Allow the public to search and view the database and complete list of electronic filings with addresses and bank account information, if applicable, redacted) via the Internet. Allow the public to search and view the database and complete electronic filings (without addresses and bank account information redacted) on kiosk provided by the User located in office. Have sufficient back -up hardware and/or software and/or policies and procedures to ensure that data under the control of NetFile, relative to this Agreement, is not irretrievably lost or destroyed. 3. NetFile will also: Provide unlimited support to the User staff by email or phone during NetFile's normal working business hours. 4. All intellectual property, including existing source code or additional source code written for the purpose of developing this system for the User, will be the sole property of NetFile. If NetFile were to cease operations during the contractual period, NetFile would provide to the User all source code relative to the User's system. D. Performance Standards Performance standards are based upon providing deliverables according to the timeline for performance as determined by Project Manager (City Clerk), and whether the system meets the expected outcome in terms of timeliness and functionality. NetFile servers have a guaranteed uptime of 99 %. F. Payment Schedule The payment for ongoing services shall be as follows: NetFile will submit an invoice for continuing ongoing services of SEI Forms, in the amount of $2,650 per year on the day the contract is signed. Payment terms are net 30 days from date of invoice. This fee amount covers up to 130 filers on an annual basis. G. Additional Terms Submitted by NetFile Limitation of Liability The maximum liability to the User by NetFile and its licensors, if any, under this agreement, or arising out of any claim by the User related to NetFile's services, products, equipment or software for direct damages, whether in contract, tort or otherwise, shall be limited to the total amount of fees received during the last 12 months by NetFile from the User hereunder up to the time the cause of action giving rise to such liability occurred. In no event shall NetFile or its DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD licensors be liable to the User for any indirect, incidental, consequential, or special damages related to the use of NetFile's services, products, equipment or software or NetFile's failure to perform its obligations under this agreement, even if advised of the possibility of such damages, regardless of whether NetFile or its licensors are negligent. Provided, however, that for any peril or exposure insured against under the insurance required pursuant to Exhibit C, the limits of liability to User by NetFile shall not be less than the amount of applicable, valid, and collectible insurance set forth in Exhibit C. Live Training Sessions Contractor will conduct all live training sessions (staff and filer) in a combined format for the Cities of Gilroy and another yet to be named City. Contractor will train at either location. The Cities of Gilroy and the other City are allowed one live combined staff training session and one live combined filer training session per year. It is up to the discretion of the contractor to provide additional free training sessions in any given year. Unlimited e-mail support for User Staff with guaranteed 1 working day turnaround Unlimited telephone support for User Staff during normal business hours of M -F 9:00 am to 5 pm. E -mail based filer help with guaranteed 3 working day turnaround NetFile pays for FPPC SEI $1,000 paperless application fee for Gilroy DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE EXHIBIT B SCHEDULE OF FEES User shall pay Contractor the sum of $2,650 dollars per year for up to 130 filers per year. All invoices shall be submitted to the User at the address shown below: City of Gilroy City Clerk 7351 Rosanna Street Gilroy, California 95020 Contractor shall submit the following information with each invoice: a) Date of invoice; b) Detailed description of Deliverable; and, c) Price, as applicable User and Contractor agree to negotiate in good faith as to any disputes regarding the payment of Contractor's invoices by User. Renewal Fees: The Agreement may be extended by mutual agreement of both parties in writing. DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD AGREEMENT FOR THE PERFORMANCE OF SERVICES BY AND BETWEEN CITY OF GILROY, CALIFORNIA AND NETFILE EXHIBIT C INSURANCE REQUIREMENTS INSURANCE COVERAGE REQUIREMENTS Without limiting the Contractor's indemnification of the User, and prior to commencing any of the Services required under this Agreement, the Contractor shall purchase and maintain in full force and effect, at its sole cost and expense, the following insurance policies with at least the indicated coverages, provisions and endorsements: A. COMMERCIAL GENERAL LIABILITY INSURANCE 1. Commercial General Liability Insurance policy which provides coverage that shall in no event be less than, the following: 1,000,000 each occurrence 1,000,000 general aggregate 1,000,000 personal injury 2. Exact structure and layering of the coverage shall be left to the discretion of Contractor; however, any excess or umbrella policies used to meet the required limits shall be at least as broad as the underlying coverage and shall otherwise follow form. B. WORKERS' COMPENSATION 1. Workers' Compensation Insurance Policy as required by statute and employer's liability with the following limits: at least one million dollars 1,000,000) policy limit Illness/Injury by disease, and one million dollars 1,000,000) for each Accident/Bodily Injury. 2. The indemnification and hold harmless obligations of Contractor included in this Agreement shall not be limited in any way by any limitation on the amount or type of damage, compensation or benefit payable by or for Contractor or any subcontractor under any Workers' Compensation Act(s), Disability Benefits Act(s) or other employee benefits act(s). DocuSign Envelope ID: BC84F2C8-669E-4986-8C38-22EBA9886FCD