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Agreement with ACS for Photo Red Light Enforcement Program~. 7S - ~~y AGREEMENT BETWEEN THE CITY OF MIAMI BEACH, FLORIDA, AND ACS STATE AND LOCAL SOLUTIONS, INC. FOR PHOTO RED LIGHT ENFORCEMENT PROGRAM This Agreement (this "Agreement") is made as of this oi3~day of S~pTc~~~ ; 2009, by and between the CITY OF MIAMI BEACH, FLORIDA, a municipal corporation having its principal office at 1700 Convention Center Drive, Miami Beach, Florida 33139 (City), and ACS STATE AND LOCAL SOLUTIONS, INC., a Delaware corporation duly authorized to do business in Florida, and having its principal office at 12410 Milestone Center Drive, Fourth Floor, Germantown, MD, 20876 (Vendor or ACS). RECITALS WHEREAS, on December 10, 2008, the Mayor and City Commission enacted Ordinance No. 2008-3621, creating Article XI, entitled "Dangerous Intersection Safety," of Chapter 106 of the Miami Beach Code, entitled "Traffic and Vehicles"; and WHEREAS, Article XI, Chapter 106 of the Code authorizes the enforcement of red light infractions through the utilization of automated image capture technology in an effort to reduce traffic crashes and resulting injuries; and WHEREAS, on October 7, 2008, the Mayor and City Commission authorized the issuance of Request for Proposals No. 02-08/09 for a Red Light Camera Enforcement System (the RFP); and WHEREAS, on February 25, 2009, the City Commission approved Resolution No. 2009-27022, authorizing the City Administration to negotiate with ACS, as the recommended proposer pursuant to the RFP; and WHEREAS, accordingly, the Administration has negotiated the following agreement with ACS for installation, operation, and maintenance of a red light violation enforcement camera system. NOW THEREFORE, in consideration of the mutual covenants contained herein, and for other valuable consideration received, the receipt and sufficiency of which are hereby acknowledged, the parties agree as follows: AGREEMENT 1. Definitions. All definitions set forth in Ordinance No. 2008-3621, as codified in Chapter 106, Article XI, Sections 106-480 through 106-494 of the City Code, and as same may be amended from time to time (hereinafter, the City Ordinance or the Ordinance), are incorporated herein. In addition, the following words and phrases shall have the following meanings in this Agreement: 1.1 "Authorized Employee" means the Traffic Control Infraction Review Officer, whose duties and qualifications are set forth in the City Ordinance. 1.2 "Authorized Infraction" means each Potential Infraction in the Infraction Data for which authorization to issue a Notice of Infraction in the form of an Electronic Signature is given by the Authorized Employee by using the Vendor System. 1.3 "City Ordinance" (or "Ordinance") means Ordinance No. 2008-3621, as codified in Chapter 106, Article XI, Sections 106-480 through 106-494 of the City Code, and as same may be amended from time to time (hereinafter, the City Ordinance). 1.4 "Civil Fee" means the fee assessed for violations of the City Ordinance (as set forth in the Ordinance). 1.5 "Confidential or Private Information" means, with respect to any Person, any information, matter or thing of a secret, confidential or private nature, whether or not so labeled, which is connected with such Person's business or methods of operation or concerning any of such Person's suppliers, licensors, licensees, City's or others with whom such Person has a business relationship, and which has current or potential value to such Person or the unauthorized disclosure of which could be detrimental to such Person, including but not limited to: 1.5.1 Matters of a business nature, including but not limited to information relating to development plans, costs, finances, marketing plans, data, procedures, business opportunities, marketing methods, plans and strategies, the costs of construction, installation, materials or components, the prices such Person obtains or has obtained from its clients or City's, or at which such Person sells or has sold its services; and 1.5.2 Matters of a technical nature, including but not limited to product information, trade secrets, know-how, formulae, innovations, inventions, devices, discoveries, techniques, formats, processes, methods, specifications, designs, patterns, schematics, data, access or security codes, compilations of information, test results and research and development projects. For purposes of this Agreement, the term "trade secrets" shall mean the broadest and most inclusive interpretation of trade secrets. 1.5.3 Notwithstanding the foregoing, Confidential Information will not include information that: (i) is a public record, and not otherwise exempt pursuant to Florida law; (ii) was generally available to the public or otherwise part of the public domain at the time of its disclosure; (iii) became generally available to the public or otherwise part of the public domain after its disclosure and other than through any act or omission by 2 any party hereto in breach of this Agreement; (iv) was subsequently lawfully disclosed to the disclosing party by a person other than a party hereto; (v) was required by a court of competent jurisdiction to be described; or (vi) was required by applicable state law to be disclosed. 1.6 "Designated Intersection" means an Intersection, as that term is defined in the City Ordinance, set forth on Exhibit A attached hereto, and such additional Intersections as Vendor and the City shall mutually agree from time to time through the parties' Project Managers. 1.7 "Electronic Signature" means the method through which the Authorized Employee indicates his or her approval of the issuance of a Notice of Infraction in respect of a potential Infraction using the Vendor System. 1.8 "Enforcement Documentation" means the necessary and appropriate documentation related to the enforcement of Red Zone Infractions, as defined in the City Ordinance, including but not limited to warning letters, Notices of Infraction (using the specifications of the hearing officer and the City, a numbering sequence for use on all notices (in accordance with applicable State statutes and the City's Ordinance), instructions to accompany each issued Notice of Infraction (including in such instructions a description of basic enforcement procedures, payment options and information regarding the viewing of images and data collected by the Vendor System), chain of custody records, criteria regarding operational policies for processing Notices of Infraction (including with respect to coordinating with the applicable vehicle registry), and technical support documentation for applicable hearing officers . 1.9 "Equipment" means any and all cameras, sensors, equipment, components, products, software and other tangible and intangible property relating to the Vendor System, including but not limited to all camera systems, housings, sensor arrays, severs and poles. In accordance with its Proposal, Vendor shall provide and install the 2-pole design at each Designated Intersection approach (See Section 2.b.1 on page 13 of Vendor's Proposal). 1.10 "Governmental Authority" means any domestic or foreign government, governmental authority, court, tribunal, agency or other regulatory, administrative or judicial agency, commission or organization, and any subdivision, branch or department of any of the foregoing. 1.11 "Infraction" means any Infraction of the City's Ordinance (including Red Zone Infractions, as defined in the Ordinance) . 1.12 "Infractions Data" means the images and other Infractions data gathered by the Vendor System at the Designated Intersection. 3 1.13 "Installation Date" means the date on which Vendor completes the construction and installation of at least one (1) Designated Intersection in accordance with the terms of this Agreement so that such Intersection is operational for the purposes of functioning with the Red Light Photo Enforcement Program. 1.14 "Intellectual Property" means, with respect to any Person, any and all now known or hereafter known tangible and intangible (a) rights associated with works of authorship throughout the world, including but not limited to copyrights, moral rights and mask-works; (b) trademark and trade name rights and similar rights; (c) trade secrets rights; (d) patents, designs, algorithms and other industrial property rights; (e) all other intellectual and industrial property rights (of every kind and nature), whether arising by operation of law, contract, license, or otherwise; and (f) all registrations, initial applications, renewals, extensions, continuations, divisions or reissues hereof now or hereafter in force (including any rights in any of the foregoing), of such Person, consistent with the definition of such terms in Florida Statutes. 1.15 "Notice of Infraction" shall mean the notice of an Infraction, which is mailed or otherwise delivered by Vendor to the alleged violator on the appropriate Enforcement Documentation in respect of each Infraction pursuant to the requirements of the City Ordinance. 1.16 "Operational Period" means the period of time during the Term, commencing on the Installation Date, during which the Red Light Photo Enforcement Program is functional in order to permit the identification and the issuance of Notices of Infraction for Infractions using the Vendor System. 1.17 INTENTIONALLY OMITTED 1.18 "Person" means a natural individual, company, Governmental Authority, partnership, firm, corporation, legal entity, or other business association. 1.19 "Project Manager" means the project manager appointed by the City in accordance with this Agreement, who shall be the City Manager or his designee and shall be responsible for overseeing the installation of the Intersection and the implementation of the Red Light Photo Enforcement Program, and which manager shall have the power and authority to make administrative decisions relating to the City's obligations pursuant to this Agreement including, but not limited to, change order authorizations, subject to any limitations set forth in the City's Charter or Code or by the City Commission. 1.20 "Potential Infraction" means, with respect to any motor vehicle passing through a Designated Intersection, the data collected by the Vendor System with respect to such motor vehicle, which data shall be processed by the Vendor 4 System for the purposes of allowing the Authorized Employee to review such data and determine whether a Red Zone Infraction has occurred. 1.21 "Proprietary Property" means, with respect to any Person, any written or tangible property owned or used by such Person in connection with such Person's business, whether or not such property is copyrightable or also qualifies as Confidential Information including, without limitation, products, samples, equipment, files, lists, books, notebooks, records, documents, memoranda, reports, patterns, schematics, compilations, designs, drawings, data, test results, contracts, agreements, literature, correspondence, spread sheets, computer programs and software, computer print outs, other written and graphic records and the like, whether originals, copies, duplicates or summaries thereof, affecting or relating to the business of such Person, financial statements, budgets, projections and invoices. 1.22 "Vendor Marks" means all trademarks registered in the name of Vendor or any of its affiliates, such other trademarks as are used by Vendor or any of its affiliates on or in relation to the Red Light Photo Enforcement Program at any time during the Term this Agreement, service marks, trade names, logos, brands and other marks owned by Vendor, and all modifications or adaptations of any of the foregoing. 1.23 "Vendor Project Manager" means the project manager appointed by Vendor in accordance with this Agreement, which project manager shall initially be named by the Vendor within fourteen (14) days of the execution of this Agreement, or such person as Vendor shall designate by providing written notice thereof to the City from time to time, who shall be responsible for overseeing the construction and installation of the Designated Intersections and the implementation the Red Light Photo Enforcement Program, and who shall have the power and authority to make administrative decisions relating to Vendor's obligations pursuant to this Agreement, including but not limited to change-order authorizations. 1.24 "Vendor Red Light Photo System" (or "Vendor System") means, collectively, the Red Light Photo Enforcement Program provided by Vendor and all Equipment relating thereto (including, without limitation, applications, back office processes and digital red light traffic enforcement cameras, sensors, components, products, software and other tangible and intangible property relating thereto). 1.25 "Red Light Photo Enforcement Program" (or the "Program") means the process by which the monitoring, identification and enforcement of Infractions is facilitated by the use of certain equipment, applications and back office processes of Vendor including, but not limited to, cameras, flashes, central processing units, signal controller interfaces and sensor arrays which, collectively, are capable of 5 identifying Infractions and recording such Infraction data in the form of photographic images of motor vehicles. 1.26 "Red Light Photo Infraction Criteria" means the standards and criteria by which Potential Infractions will be evaluated by Authorized Employees of the City, which standards and criteria shall include, but are not limited to, the definition of a Red Zone Infraction set forth in the City Ordinance, relying upon the duration of time that a traffic light must remain red prior to an Infraction being deemed to have occurred, and the location(s) in an intersection which a motor vehicle must pass during a red light signal prior to being deemed to have committed an Infraction, all of which shall be in compliance with all applicable laws, rules and regulations of Governmental Authorities. 1.27 "Traffic Signal Controller Boxes" means the signal controller interface and detector, including but not limited to the radar or video loop, as the case may be. 1.28 "Warning Period" means the period of thirty (30) days after the Installation Date of the first two (2) cameras . 1.29 "City Marks" means all trademarks registered in the name of City; such other trademarks as are used by City on or in relation to the City of Miami Beach at any time during the Term of this Agreement; service marks, trade names, logos, brands and other marks owned by City; and all modifications or adaptations of any of the foregoing. 2. Term. The term of this Agreement shall commence as of the date hereof and shall continue for a period of five (5) years after the date of the first paid Notice of Infraction from the first installed Intersection (the "Initial Term"). The City shall have the right, but not the obligation, to extend the term of this Agreement for up to two (2) additional, two (2) year terms following the expiration of the Initial Term (each, a "Renewal Term" and collectively with the Initial Term, the "Term"). The City may exercise the right to extend the term of this Agreement for a Renewal Term by providing written notice to Vendor not less than sixty (60) days prior to the last day of the Initial Term or the Renewal Term, as the case may be. 3. Services. Vendor shall provide the Vendor System to the City, in each case, for each Designated Intersection, in accordance with the terms and provisions of the Ordinance. 3.1 Installation. With respect to the construction and installation of the Designated Intersection and the installation of the Vendor System at such Designated Intersection, the City and Vendor shall have the respective rights and obligations set forth on Exhibit B attached hereto. 6 Vendor will have at least ten (10) Designated Intersection approaches installed and activated on or before January 31, 2010, excluding events of Force Majeure (as defined in Section 30 hereof). In the event that Vendor fails to comply with the installation/activation deadline in this paragraph, the City, through a Resolution adopted by a majority of the City Commission, may terminate this Agreement in the same manner (and with the same rights and remedies) as provided in Section 6.2 hereof (relating to termination during the Warning Period). 3.2 Maintenance. With respect to the maintenance of the Vendor System at the Designated Intersections, the City and Vendor shall have the respective rights and obligations set forth on Exhibit C attached hereto. 3.3 Infraction Processing. During the Operational Period, Infractions shall be processed as set forth on Exhibit D attached hereto. 3.4 Prosecution. The City shall diligently prosecute Notices of Infraction pursuant to the terms, procedures and requirements of the City Ordinance. 3.5 Other Rights and Obligations. During the Term, in addition to all of the other rights and obligations set forth in this Agreement, Vendor and the City shall have the respective additional rights and obligations set forth on Exhibit F attached hereto. 3.6 Change Orders. The City may from time to time request changes to the work required to be performed or the addition of products or services to those required pursuant to the terms of this Agreement by providing written notice thereof to Vendor, setting forth in reasonable detail the proposed changes (a "Change Order Notice"). Upon Vendor's receipt of a Change Order Notice, Vendor shall deliver a written statement describing the effect, if any, the proposed changes would have on the terms set forth in Exhibit F (the "Change Order Proposal"), which Change Order Proposal shall include (i) a detailed breakdown of the charge and schedule effects; (ii) a description of any resulting changes to the specifications and obligations of the parties; (iii) a schedule for the delivery and other performance obligations; and (iv) any other information relating to the proposed changes reasonably requested by the City. Following the City's receipt of the Change Order Proposal, the parties shall negotiate in good faith and agree to a plan and schedule for implementation of the proposed changes, the time, manner and amount of payment or price increases or decreases, as the case may be, and any other matters relating to the proposed changes. Any failure of the parties to reach agreement with respect to any of the foregoing as a result of any proposed changes shall not be deemed to be a breach of this Agreement, and any disagreement shall be resolved in accordance with Section 16. 7 4. License: Reservation of Rights. 4.1 License. Subject to the terms and conditions of this Agreement, Vendor hereby grants the City, and the City hereby accepts from Vendor upon the terms and conditions herein specified, anon-exclusive, non-transferable license during the Term of this Agreement to: (a) solely within the City, access and use the Vendor System for the sole purpose of reviewing Potential Infractions and authorizing the issuance of Notices of Infraction pursuant to the terms of this Agreement, and to print copies of any content posted on the Vendor System in connection therewith; and (b) disclose to the public (including outside of the City) that Vendor is providing services to the City in connection with the Red Light Photo Enforcement Program pursuant to the terms of this Agreement, and use and display the Vendor Marks on or in marketing, public awareness or education, or other publications or materials relating to the Red Light Photo Enforcement Program. 4.2 Reservation of Rights. The City hereby acknowledges and agrees that: (a) Vendor is the sole and exclusive owner of the Vendor System, the Vendor Marks, all Intellectual Property arising from or relating to the Vendor System, and any and all related Equipment provided under this Agreement; (b) the City neither has nor makes any claim to any right, title or interest in any of the foregoing, except as specifically granted or authorized under this Agreement; and (c) by reason of the exercise of any such rights or interests of City pursuant to this Agreement, the City shall gain no additional right, title or interest therein. 4.3 Restricted Use. The City hereby acknowledges and agrees that it shall not (a) make any modifications to the Vendor System, including but not limited to any Equipment; (b) alter, remove or tamper with any Vendor Marks; (c) use any of the Vendor Marks in any way which might prejudice their distinctiveness, validity or the goodwill of Vendor therein; (d) use any trademarks or other marks other than the Vendor Marks or City Marks, in connection with the City's use of the Vendor System pursuant to the terms of this Agreement without first obtaining the prior consent of Vendor; or (e) disassemble, de-compile or otherwise perform any type of reverse engineering to the Vendor System including, but not limited to, any Equipment, or to any Intellectual Property or Proprietary Property of Vendor. 4.4 Protection of Rights. Vendor shall have the right to take whatever action it deems necessary or desirable to remedy or prevent the infringement of any Intellectual Property of Vendor including, without limitation, the filing of applications to register as trademarks in any jurisdiction any of the Vendor Marks, the filing of patent application for any of the Intellectual Property of Vendor, and making any other applications or filings with appropriate Governmental Authorities. The City shall not take any action to remedy or prevent such infringing activities, and shall not in its own name make any registrations or 8 filings with respect to any of the Vendor Marks or the Intellectual Property of Vendor without the prior written consent of Vendor. 4.5 Infrin ement. The City shall use reasonable efforts to give Vendor prompt notice of any activities or threatened activities of any Person of which it reasonably becomes aware that infringes the Vendor Marks or any of Vendor's Intellectual Property. Vendor shall have the exclusive right, but not the obligation, to take action to enforce such rights and to make settlements with respect thereto. 4.6 Infringin Use. The City shall give Vendor prompt written notice of any action or claim action or claim, whether threatened or pending, against the City alleging that the Vendor Marks, or any other Intellectual Property of Vendor, infringes or violates any patent, trademark, copyright, trade secret or other Intellectual Property of any other Person, and the City shall render to Vendor such reasonable cooperation and assistance as is reasonably requested by Vendor in the defense thereof; provided, however, that as a condition thereof, Vendor shall reimburse the City for any reasonable costs including, without limitation, attorneys fees and court costs, as well as City staff costs, incurred in providing such cooperation and assistance. If such a claim is made and Vendor determines in the exercise of its sole discretion, or a court or administrative proceeding of competent jurisdiction determines, that an infringement may exist, Vendor shall have the right, but not the obligation, to procure for the City the right to keep using the allegedly infringing items, modify them to avoid the alleged infringement, or replace them with non-infringing items, all at no cost and/or liability to the City. In addition, in such event, Either Party has the right, but not the obligation, to terminate this Agreement pursuant to Section 6.1. 5. Representations and Warranties. 5.1 Vendor Representations and Warranties. 5.1.1 Authority. Vendor hereby warrants and represents that: 5.1.1.1 it has all right, power and authority to execute and deliver this Agreement and perform its obligations hereunder; and 5.1.1.2 it has all ownership rights, licenses, or other required authority to use the software and hardware it installs to perform the services under this Agreement. 5.1.2. Professional Services. Vendor hereby warrants and represents that any and all services provided by Vendor pursuant to this Agreement shall be performed in a professional and workmanlike manner and, with respect to the installation of the Vendor System, subject to applicable law, and in compliance with all specifications provided to Vendor by the City. 9 5.2 City Representations and Warranties. 5.2.1. Authori .The City hereby warrants and represents that it has all right, power and authority to execute and deliver this Agreement and perform its obligations hereunder; provided that Vendor acknowledges that the initial program is premised on being consistent with the requirements and authority of State law, applicable attorney general opinions, and the City's Ordinance, and City cannot warrant the outcome of any judicial or legislative action that may be taken affecting these authorities subsequent to the execution of this Agreement. 5.3 Professional Services. The City hereby warrants and represents that any and all services provided by the City pursuant to this Agreement shall be performed in a professional and workmanlike manner. 6. Termination. 6.1 Termination for Cause: Either party shall have the right to terminate this Agreement at any time during the Term herein, upon written notice to the other, if: (i) State or federal statutes are amended, or regulations adopted by agencies with jurisdiction, to prohibit or materially change the operation of red light photo enforcement systems so as to make it reasonably impractical to operate the program contemplated by the parties under this Agreement including, without limitation, changes that would prohibit such program, or which would impose restrictions on revenues and uses that are contrary to the terms of this Agreement; (ii) any court having jurisdiction over City rules, or declares, that the City's red light enforcement program is invalid or results from the Vendor System of red light photo enforcement are inadmissible in evidence, or otherwise renders a decision that makes it reasonably impractical to operate the red light enforcement program; (iii) a determination by a court of competent jurisdiction or other applicable dispute resolution forum that Vendor has infringed upon a third party's patent, trademark, copyright, trade secret or other intellectual property; (iv) the other party commits any material breach of any of the provisions of this Agreement; (v) Vendor's non- payment of revenues to City as required by this Agreement. Notwithstanding, the preceding paragraph, either party shall first have the right to remedy the default(s) within forty-five (45) calendar days (or within such other time period as the City and Vendor shall mutually agree, which agreement shall not be unreasonably withheld or delayed) after written notice from the non-defaulting party setting forth in reasonable detail the events of the cause for termination. In the event of a termination under this Section, City shall be relieved of any further obligations to Vendor other than as specified herein. 10 The rights to terminate the Agreement given in Section 6.1 shall be without prejudice to any other right or remedy of either party in respect of the breach concerned (if any) or any other breach of this Agreement. 6.2 Warning Period/City's Right to Terminate for Convenience/Vendor's Right to Terminate for Convenience. This Agreement provides for a thirty (30) day Warning Period, during which time courtesy notices of Infractions, with no civil fees, are used. The parties hereto acknowledge that this Warning Period will be used to verify the reliability of the program and the detection of Infractions, as well as to monitor anticipated changes in State law on the subject of camera enforcement of red light infractions. The Warning Period shall commence as outlined in Exhibit B, 1.15 with the exact date to be confirmed in writing by the parties' Project Managers. At any time up to the conclusion of the Warning Period, the City, through a Resolution adopted by a majority of the City Commission, may terminate the red light enforcement program, for any or no cause, upon thirty (30) days written notice to Vendor. The City shall not be liable for any costs or expenses incurred by Vendor during the Warning Period. In addition to the City's right to terminate during the Warning Period, the City, through a Resolution adopted by a majority of the City Commission, may also terminate the red light enforcement program at any time during the Term after the expiration of the Warning Period, for any or no cause, upon thirty (30) written days notice to Vendor. If the City Commission determines to terminate the program pursuant to this subsection 6.2, the Agreement shall be deemed terminated and the parties shall proceed pursuant to Section 6.3 hereof. The City shall not be liable for any costs or expenses incurred by Vendor up to the date of termination. In addition to the City's right to terminate, as set forth herein, for a period of ninety (90) calendar days after the expiration of the Warning Period, Vendor shall have the right to terminate the Agreement, for any or no cause, upon thirty (30) days written notice to City, and the parties shall proceed pursuant to Section 6.3; provided, however, that the City shall not be liable to Vendor for any costs or expenses incurred by Vendor as a result of the termination. 6.3 Procedures Upon Termination. Except as set forth in this Section 6.3, and except for any provisions of this Agreement which are expressly intended to survive termination (or expiration) of the Agreement, upon the termination of this Agreement, all of the provisions of this Agreement shall terminate and: 6.3.1 Vendor shall (i) immediately cease to provide services including, but not limited to work in connection with the construction or installation activities and services in connection with the Red Light Photo 11 Enforcement Program; (ii) promptly deliver to the City any and all Proprietary Property of the City provided to Vendor pursuant to this Agreement; (iii) promptly deliver to the City a final report to the City regarding the collection of data and the issuance of Notices of Infraction in such format and for such periods as the City may reasonably request, and which final report Vendor shall update or supplement from time to time when and if additional data or information becomes available; (iv) provide City all data pertaining to outstanding Civil Fee payments due and owing to City and potential payments due to Vendor; (v) provide City with its proposed schedule for the removal of the Equipment, at no cost to the City and, once such schedule is approved by City Vendor shall remove such pursuant to the schedule; and (vi) provide such assistance as the City may reasonably request from time to time in connection with prosecuting and enforcing Notices of Infraction issued prior to the termination of this Agreement. 6.3.2 The City shall, except for pending enforcement cases,(i) immediately cease using the Photo Red Light Enforcement Program, accessing the Vendor System and using any other Intellectual Property of Vendor; and (ii) promptly deliver to Vendor any and all Proprietary Property of Vendor provided to the City pursuant to this Agreement, other than such equipment installed by Vendor along the roadways for the enforcement program. 6.3.3 Unless the City and Vendor have agreed to enter into a new agreement relating to the Red Light Photo Enforcement Program or have agreed to extend the Term of this Agreement, Vendor shall remove any and all Equipment or other materials of Vendor installed in connection with Vendor's performance of its obligations under this Agreement, at no cost to City including, but not limited to, housings, poles and camera systems, and Vendor shall restore the Designated Intersections to the same condition such Designated Intersections were in immediately prior to this Agreement, reasonable wear and tear excepted, at no cost to City, pursuant to the schedule agreed upon by the parties in section 6.3.1. 6.3.4 The Vendor shall be paid only for those actual direct costs, including actual construction costs (if any), for completed work incurred by the Vendor up to the date of termination set forth in the written notice of termination. In no event shall the City be liable to Vendor for any indirect, incidental, special, lost profits or consequential damages. 7. Fees to be Paid to Vendor and Payment Processing. 7.1 Vendor shall have the right to receive the compensation set forth in Exhibit E attached hereto. 12 7.2 Vendor shall be responsible for processing payments of the Civil Fees. The Vendor shall provide payment means through mail, telephone and on-line processes. Vendor shall track all payments and handle all applied payments, unapplied payments, overpayments, refunds, adjustments, dismissals and reversals. 7.3 Vendor shall collect and deposit payments issued pursuant to the City Ordinance directly into a Miami Beach account (as determined and approved by the City's Chief Financial Officer), on a daily basis. 7.4 Vendor shall invoice the City for all applicable fees according to the fee schedule delineated in Exhibit E. Along with the invoice, Vendor shall provide information to the City, in a format acceptable to the City, supporting the invoice amounts forwarded by Vendor to the City. In addition, City shall have access to the financial reporting functions of Vendor's system upon City's request. 7.5 For the first six (6) months following the installation date of an individual camera, the Cost Neutral Requirement, as set forth in Section 27 hereof, shall not apply to that camera. Vendor will be required to do a monthly "true-up" reconciliation of all fees and payments due under the Agreement for each camera during this six (6) month period. The revenue generated from the individual camera during this six (6) month period will pay for the monthly fees for that camera and any unpaid monthly fees from revenue shortages for that camera will be carried over, but only until the six (6) months have expired at which time any unpaid shortage will be absorbed by Vendor (i.e. If revenue does not exceed the Vendor monthly rate for that specific camera, the amount due to Vendor from the revenue shortage will be carried over to the next month for that camera, but not to exceed the six (6) period following installation date of that camera). At the end of the six (6) month period (i.e. six months after the installation date of the camera), the camera shall be placed into the "general camera system" group. All cameras in the general camera system group: a) Shall be subject to a monthly "true-up" accounting. Vendor will be required to provide the "true-up" monthly reconciliation at the end of each month for all fees and payments (as due under this Agreement) for each camera in the general camera system. b) All camera revenue in the general camera system shall be accounted for via the monthly "true-up" report and Vendor shall submit a bill for the total monthly fees of the cameras in the general camera system. c) The general camera system shall be subject to cost neutral accounting and any shortfall in revenue received in paying the monthly fee for the general camera group will be absorbed by Vendor (and not carried over to the next month). 13 d) All cameras in the general camera system shall be subject to the cost neutral requirements of Section 27 hereof. 8. INTENTIONALLY OMITTED. 9. Confidentiality. During the term of this Agreement and for a period of three (3) years thereafter, neither party shall disclose to any third person, or use for itself in any way for pecuniary gain, any Confidential Information learned from the other party during the course of the negotiations for this Agreement or during the Term of this Agreement, subject to the obligations and requirements of Florida's public records laws and public meetings law, as same may be amended from time to time. Upon termination of this Agreement, each party shall return to the other all tangible Confidential Information of such party. Each party shall retain in confidence and not disclose to any third party any Confidential Information without the other party's express written consent, except (a) to its employees who are reasonably required to have the Confidential Information; (b) to its agents, representatives, attorneys and other professional advisors that have a need to know such Confidential Information, provided that such parties undertake in writing (or are otherwise bound by rules of professional conduct) to keep such information strictly confidential; and (c) pursuant to, and to the extent of, a request or order by any Governmental Authority, including laws relating to public records. 10. Indemnification and Liability. 10.1 The parties recognize that various provisions of this Agreement including, without limitation, this Section 10, provide for indemnification by the Vendor and requires a specific consideration be given therefore. The parties therefore agree that the sum of Ten Dollars and 00/100 ($10.00), receipt of which is hereby acknowledged, is the specific consideration for such indemnities, and the providing of such indemnities is deemed to be part of the specifications with respect to the services to be provided by Vendor. Furthermore, the parties understand and agree that the covenants and representations relating to these indemnification provisions shall survive the Term and or other termination or expiration of this Agreement and continue in full force and effect. 10.2 Indemnification -Negligence. The Vendor shall indemnify and hold harmless the City, its elected and appointed officials, officers, employees, agents, and servants, from and against any and all claims, demands, or causes of action (for purposes of this Section 10, hereinafter "Claims"), of whatsoever kind or nature, and the resulting losses, costs, expenses, reasonable attorneys' fees, liabilities, damages, orders, judgments, or decrees (for purposes of this Section 10, hereinafter "Losses"), sustained by the City or any third party arising out of, or by reason of, or resulting from the Vendor's negligent acts, errors, or omissions, except to the extent such Losses arise from the gross negligence or willful misconduct of the City or its employees or agents. 14 10.3 Indemnification - Infringements. Vendor certifies that Vendor is unaware that the products and services to be furnished to the City pursuant to this Agreement infringe on any valid patent, trademark, copyright, trade secret or other proprietary right. Notwithstanding the preceding sentence, Vendor shall indemnify and hold harmless the City, its elected and appointed officials, officers, employees, agents, and servants, from and against any and all Claims, of whatsoever kind or nature, and the resulting Losses, sustained by the City by reason of any infringement or claim of infringement of any patent, trademark, copyright, trade secret or other proprietary right relating to products or services furnished pursuant to this Agreement. The Vendor will defend, at its sole cost and expense, with legal counsel reasonably acceptable to the City, any Claim brought against the City, to the extent that it is based on a claim that all or any products or services furnished to City by the Vendor pursuant to this Agreement, become unusable as a result of any such infringement or claim. Any infringement or claim that renders all or any products or services furnished pursuant to this Agreement to be unusable, or materially affects the Vendor System, shall be grounds for termination of this Agreement. 10.4 Legal Challenges. The parties recognize and acknowledge that the red light camera enforcement program contemplated herein may be subject to legal challenge and/or judicial review. It is understood and acknowledged that various aspects of the Program may be challenged. In the event of a legal challenge to the program, City and Vendor shall jointly defend any Claim brought against the City. In the defense of any such Claim, City and Vendor shall use reasonable efforts to first utilize City and Vendor's respective in-house legal counsel. In the event that the defense of a Claim requires the parties to retain outside legal counsel, City and Vendor shall mutually select and agree upon said counsel and shall share in the cost of the defense (including appeals) on a pro-rata basis; provided, however, that ACS's respective financial contribution for such outside legal counsel shall not exceed $150,000. Within thirty (30) days of execution of this Agreement by the parties hereto, Vendor shall post a bond (or other alternate form of security as may be approved by the City Manager, in his sole discretion) to secure Vendor's contribution for its outside legal fees, as set forth in the preceding sentence. Such bond shall be maintained throughout the Term of the Agreement, and the City shall have the right, at any time, to file a Claim on such bond in the event, of Vendor's breach of its legal fee payment obligations (in this Section 10.4) Notwithstanding the preceding paragraph, the City shall control the defense of any Claims including, without limitation, any negotiations to settle a Claim; provided, however, that in the event that the City determines not to oppose or defend a particular Claim, the City shall so notify Vendor in writing, and Vendor may take over and assume control of the defense or settlement of such Claim, at its sole cost and expense (and, in which case, the cap on ACS's contribution for outside legal counsel fees shall not apply). 15 10.5 In the event that, pursuant to a legal challenge to the program (of the kind contemplated in Section 10.4), a court of competent jurisdiction or the State of Florida (including any of its agencies) orders or requires the City to return any fee payments, Vendor shall assist City to perform all relevant portions of any such order, decree, judgment, etc., required to be performed by the City including, but not limited to, assisting the City to locate each violator so ordered reimbursement can be made. Additionally, Vendor and City shall share in the cost of any court (or State of Florida) ordered reimbursements on a pro-rata basis. For purposes of determining the City and Vendor's respective pro-rata share in the event of a court (or State of Florida) ordered reimbursement, Vendor's share will be determined from the percentage of the monthly fee payment received by Vendor (as set forth in Exhibit E hereto) to the total amount of Civil Fees actually collected (and not including any deductions or set-offs by Vendor for any costs incurred in operating the Vendor System including, without limitation, for processing payment of Civil Fees, tracking or handling or payments, etc.). Further, for purposes of determining the parties' pro-rata share in the event of an ordered reimbursement, the parties shall calculate their respective shares based upon the monthly "true-up" of fees and payments, as required in Section 7.3 hereof. Vendor and City shall split the cost of any court ordered or court awarded attorney's fees and court costs incurred by the plaintiff (or plaintiffs) in connection with its/their defense of a Claim(s), on a fifty/fifty (50/50) basis. 10.6 Change in State Law. If during the Term of the Agreement, the Florida Legislature enacts any law modifying Uniform Traffic Laws so as to expressly permit red light violation and enforcement systems, similar to the one contemplated by the program in this Agreement, then the City and Vendor shall use mutual good faith efforts to negotiate an amendment to the Agreement, which amendment may include, without limitation, a modification to, or deletion of, the requirements of subsection 10.5 hereto; provided, however, that any proposed amendment shall be subject to final approval by the Mayor and City Commission. If during the Term of the Agreement, the Florida Legislature enacts any law which, while permitting red light camera violation and enforcement systems similar to the one contemplated by the program in this Agreement, materially changes the fee and/or compensation structure for such programs (including imposing restrictions on revenues that are not currently contemplated in the Agreement); and/or otherwise materially changes and/or imposes restrictions on uses that are contrary to the terms of the Agreement; and/or otherwise materially changes and/or imposes restrictions that makes it reasonably impractical for the City to operate a red light camera enforcement program, then the City, through a Resolution adopted by a majority of the City Commission, or the Vendor may terminate this Agreement, with or without cause, upon thirty (30) days written notice to other party, and the parties shall proceed pursuant to Section 6.3 hereof. 16 10.7 Defense of Other Claims. In addition to Claims based on legal challenges to the program, as contemplated in Section 10.4 hereof, the City shall control the defense of any other Claims brought against the City including, without limitation, any negotiations to settle the Claim. The parties shall use legal counsel that may be mutually selected by the parties but which shall be subject to the ultimate approval of the City, which approval shall not be unreasonably withheld, conditioned, or delayed. In the event the City determines not to defend or oppose such other Claim as contemplated in this Section 10.7, the City shall provide Vendor with written notice and Vendor may assume defense of the Claim, at its sole cost and expense. Vendor shall then control the defense and any negotiations to settle the claim. If Vendor elects to defend a Claim, the City may retain (at its sole cost and expense) separate legal counsel to participate in (but not control) the defense and to participate in (but not control) any settlement negotiations. 10.8 Settlement of Claims. City and Vendor shall cooperate in the settlement of any Claim. The City shall have the right to settle any Claim, without the prior consent or agreement of Vendor, unless it (i) would materially affect Vendor's material rights or material interests under the terms of this Agreement; and (ii) would not result in Vendor's full and complete release from all liability to the plaintiffs or claimants who are parties to or otherwise bound by the settlement. The City's right to settle a Claim without the consent or agreement of Vendor shall also not apply in the event the City determines not to defend or oppose a Claim, as contemplated in Section 10.7 hereof. The Vendor shall not have the right to settle any Claim without the prior written consent of the City, which consent shall not be unreasonably withheld, conditioned, or delayed. The City's failure to consent to any settlement to which its consent is required shall have no affect on Vendor's indemnification and defense obligations under the Agreement. 10.9 Notice of Claims. If the City or Vendor receives notice of any Claim or other circumstances which could give rise to Losses under this Section 10, the receiving party shall give written notice to the other party within ten (10) days of receipt. The notice must include the following: (a) a description of the Claim in reasonable detail; (b) the basis on which indemnification may be due; and (c) the anticipated amount of the Loss(es). This notice shall not stop or prevent the City from later asserting a different basis for indemnification or a different amount of Loss(es) than that indicated in the initial notice. If the City does not provide this notice within the ten (10) day period, it does not waive any right to indemnification except to the extent that 17 Vendor is materially (i) prejudiced; (ii) suffers loss; or (iii) incurs expense because of the delay. Within thirty (30) days after receiving the City's notice, Vendor must advise the City as to whether or not it will defend the Claim. If Vendor does not assume the defense, the City shall assume and control its defense, without further notice to Vendor required, and all City defense expenses shall constitute an indemnified Loss for which Vendor will be obligated for under this Section 10. 11. Independent Contractor. This Agreement does not create anemployee/employer relationship between the parties. It is the intent of the parties that the Vendor is an independent contractor under this Agreement and not the City's employee for all purposes, including but not limited to, the application of the Fair Labor Standards Act minimum wage and overtime payments, Federal Insurance Contribution Act, the Social Security Act, the Federal Unemployment Tax Act, the provisions of the Internal Revenue Code, the State Workers Compensation Act, and the State unemployment insurance law. The Vendor shall retain sole and absolute discretion in the judgment of the manner and means of carrying out Vendor's activities and responsibilities hereunder provided, further that administrative procedures applicable to services rendered under this Agreement shall be those of Vendor, which policies of Vendor shall not conflict with City, or United States policies, rules or regulations relating to the use of Vendor's funds provided for herein. The Vendor agrees that it is a separate and independent enterprise from the City, that it has full opportunity to find other business, that it has made its own investment in its business, and that it will utilize a high level of skill necessary to perform the work. This Agreement shall not be construed as creating any joint employment relationship between the Vendor and the City and the City will not be liable for any obligation incurred by Vendor, including but not limited to unpaid minimum wages and/or overtime premiums. 12. Assignments; Amendments. This Agreement, or any interest herein, shall not be assigned, transferred or otherwise encumbered, under any circumstances, by either party, including without limitations purchases of controlling interest in Vendor or merger, without the prior written consent of the other party. It is further agreed that no modification, amendment or alteration in the terms or conditions contained herein shall be effective unless contained in a written document executed with the same formality and of equal dignity herewith. 13. No Contingent Fees. Vendor warrants that it has not employed or retained any company or person, other than a bona fide employee working solely for the Vendor to solicit or secure this Agreement, and that it has not paid or agreed to pay any person, company, corporation, individual or firm, other than a bona fide employee working solely for Vendor any fee, commission, percentage, gift, or other consideration contingent upon or resulting from the award or making of this Agreement. For the breach or Infraction of this provision, the City shall have the right to terminate the Agreement without liability at its discretion, to deduct from the contract price, or otherwise recover the full amount of such fee, commission, percentage, gift or consideration. 18 14. Notices. Whenever any party desires to give notice unto any other party, it must be given by written notice, sent by registered United States mail, with return receipt requested, addressed to the party for whom it is intended and the remaining party, at the places last specified, and the places for giving of notice shall remain such until they shall have been changed by written notice in compliance with the provisions of this section. For the present, the Vendor and the City designate the following as the respective places for giving of notice: City: City of Miami Beach Attn: Jorge M. Gonzalez City Manager 1700 Convention Center Drive Miami Beach, Florida 33139 Phone: 305-673-7000 Ext. 7010 Copies To: City of Miami Beach Police Department Attn: Michael Gruen Planning and Research Manager 1100 Washington Avenue Miami Beach, Florida 33139 Phone: 305-673-7000 Ext. 5772 And Vendor: ACS State & Local Solutions, Inc. (ACS) Attn: Allen Shutt Vice President of Operations 12410 Milestone Center Drive, Fourth Floor Germantown, MD 20876 Phone: 301 820 4275 15. Audit Rights. Each of parties hereto shall have the right to audit to audit the books and records of the other party hereto (the "Audited Party") solely for the purpose of verifying the payments, if any, payable pursuant to this Agreement. Any such audit shall be conducted upon not less than forty-eight (48) hours' prior notice to the Audited Party, at mutually convenient times and during the Audited Party's normal business hours. Except as otherwise provided in this Agreement, the cost of any such audit shall be borne by the non-Audited Party. In the event any such audit establishes any underpayment of any payment payable by the Audited Party to the non-Audited Party pursuant to this Agreement, the Audited Party shall promptly pay the amount of the shortfall, and in the event that any such audit establishes that the Audited Party has underpaid any payment by more than ten percent (10%) of the amount of actually owing, the cost of such audit shall be borne by the Audited Party. In the event any such audit establishes any overpayment by the Audited Party of any payment made pursuant to this Agreement, non-Audited Party shall promptly refund to the Audited Party the amount of the excess. 19 16. Dispute Resolution. Upon the occurrence of any dispute or disagreement between the parties hereto arising out of or in connection with any term or provision of this Agreement, the subject matter hereof, or the interpretation or enforcement hereof (the "Dispute"), the parties shall engage in informal, good faith discussions and attempt to resolve the Dispute. In connection therewith, upon written notice of either party, each of the parties will appoint a designated officer whose task it shall be to meet for the purpose of attempting to resolve such Dispute. The designated officers shall meet as often as the parties shall deem to be reasonably necessary. Such officers will discuss the Dispute. If the parties are unable to resolve the Dispute in accordance with this Section 16, and in the event that either of the parties concludes in good faith that amicable resolution through continued negotiation with respect to the Dispute is not reasonably likely, then the parties may mutually agree to submit to nonbinding mediation. 17. Binding Authority. Each person signing this Agreement on behalf of either party individually warrants that he or she has full legal power to execute this Agreement on behalf of the party for whom he or she is signing, and to bind and obligate such party with respect to all provisions contained in this Agreement. 18. Headings. Headings herein are for the convenience of reference only and shall not be considered on any interpretation of this Agreement. 19. Exhibits. Each Exhibit referred to in this Agreement forms an essential part of this Agreement. The exhibits if not physically attached should be treated as part of this Agreement and are incorporated herein by reference. 20. Waiver. Failure of either party to insist upon strict performance of any covenant or condition of this Agreement, or to execute any right herein contained, shall not be construed as a waiver or relinquishment for the future of any such covenant, condition or right, but the same shall remain in full force and effect. 21. Legal Representation. It is acknowledged that each party to this Agreement had the opportunity to be represented by counsel in the preparation of this Agreement and, accordingly, the rule that a contract shall be interpreted strictly against the party preparing same shall not apply herein due to the joint contributions of both parties. 22. Severability. If any provision of this Agreement or application thereof to any person or situation shall to any extent, be held invalid or unenforceable, the remainder of this Agreement, and the application of such provisions to persons or situations other than those as to which it shall have been held invalid or unenforceable shall not be affected thereby, and shall continue in full force and effect, and be enforced to the fullest extent permitted by law, except that this provision shall not be deemed to deprive any party of any legal remedy, including termination. 20 23. Insurance. 23.1 Throughout the Term of this Agreement, the Vendor agrees to maintain in force at their own expense insurance as follows: 23.1.1 Commercial General Liability insurance to cover liability bodily injury and property damage. Exposures to be covered are premises, operations, products\completed operations, and contractual liability. Coverage must be written on an occurrence basis, with the following limits of liability. A. Bodily Injury/Property Damage $1,000,000 1. Each Occurrence 2. Annual Aggregate $1,000,000 B. Personal Injury $1,000,000 1. Annual Aggregate 23.1.2 Worker's Compensation Insurance shall be maintained during the life of this contract to comply with Florida statutory limits for all employees. The following limits must be maintained: A. Worker's Compensation Statutory B. Employer's Liability $100,000 each accident $500,000 Disease-policy limit $100,000 Disease-employee If Vendor claims to be exempt from this requirement, Vendor shall provide City proof of such exemption along with a written request for City to exempt Vendor, written on Vendor letterhead. 23.1.3 Business Auto Liability -coverage shall include owned, hired and non-owned vehicles. A. Bodily Injury and Property Damage combined single limit 1. Each Occurrence $1,000,000 23.1.4 Professional Liability - $1,000,000 per claims made basis 23.1.5 Vendor shall name the City as an additional insured on each of the policies required herein, with the exception of the Vendor's Worker's Compensation policy and Professional Liability, and shall hold the City harmless on account of claims for damages to persons, property or premises arising out of the services provided hereunder, except to the extent such damages are incurred as a result of City's gross negligence or willful misconduct. 21 23.1.6 Certificates of Insurance, reflecting evidence of the required insurance, shall be filed with the City's Risk Manager prior to the commencement of this Agreement. These Certificates shall contain a provision that coverage's afforded under these policies will not be canceled until at least thirty (30) days prior written notice has been given to the City. Policies shall be issued by companies authorized to do business under the laws of the State of Florida. Financial Ratings must not be less than "B+ - VI" or better, per Best's rating guide, latest edition. Insurance shall be in force until the obligations required to be fulfilled under the terms of the Contract are satisfied. In the event the insurance certificate provided indicates that the insurance shall terminate and lapse during the period of this contract, then in that event, the Vendor shall furnish, at least thirty (30) days prior to the expiration of the date of such insurance, a renewed certificate of insurance as proof that equal and like coverage for the balance of the period of the contract and extension there under is in effect. The Vendor shall not utilize the facility pursuant to this contract unless all required insurance remains in full force and effect. 23.1.7 Any insurance required of Vendor pursuant to this Agreement must also be required by any sub-contractor of Vendor in the same limits and with all requirements as provided herein, including naming the City and Vendor as an additional insured, in any work is subcontracted. The Vendor and any sub-contractor of Vendor shall maintain such policies during the term of this Agreement. 24. Governing Law and Exclusive Venue. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Florida, both substantive and remedial, without regard to principles of conflict of laws. The exclusive venue for any litigation arising out of this Agreement shall be Miami-Dade County, Florida, if in state court, and the U.S. District Court, Southern District of Florida, if in federal court. BY ENTERING INTO THIS AGREEMENT, CITY AND VENDOR EXPRESSLY WAIVE ANY RIGHTS EITHER PARTY MAY HAVE TO A TRIAL BY JURY OF ANY CIVIL LITIGATION RELATED TO, OR ARISING OUT OF, THIS AGREEMENT. 25. Extent of Agreement. This Agreement represents the entire and integrated agreement between the City and the Vendor and supersedes all prior negotiations, representations or agreements, either written or oral. 26. Attorne 's Fees. In the event that either party brings suit for enforcement of this Agreement, the prevailing party shall be entitled to attorney's fees and court costs in addition to any other remedy afforded by law. 27. COST NEUTRAL REQUIREMENT. THE PARTIES AGREE AND HEREBY ACKNOWLEDGE THAT THIS AGREEMENT IS EXPECTED TO BE COST NEUTRAL. ACCORDINGLY, THE ACTUAL REVENUE COLLECTED FROM THE CIVIL FEES WILL AT LEAST MATCH THE COST OF VENDOR'S FEES. SHOULD THE REVENUE COLLECTED FROM THE CIVIL FEES FALL SHORT OF THE COST OF THE VENDOR'S FEES AT ANY TIME OVER THE TERM OF THE 22 AGREEMENT, VENDOR WILL ABSORB THE DIFFERENCE IN COST. THE CITY WILL NOT PAY ANY ADDITIONAL FEES NOT COVERED BY ACTUAL REVENUE RECEIVED. THE COST NEUTRAL DETERMINATION OF THIS SECTION 27 SHALL BE ACCOMPLISHED DURING THE MONTHLY "TRUE-UP" OF FEES AND PAYMENTS FOR ALL CAMERAS INSTALLED MORE THAN SIX (6) MONTHS, AS REQUIRED IN SECTION 7.5 HEREOF. THIS SECTION DOES NOT APPLY TO THE REVENUE COLLECTED DURING THE INITIAL SIX (6) MONTH PERIOD OF TIME FOLLOWING THE INSTALLATION DATE FOR EACH INDIVIDUAL CAMERA, AS STATED 1N SECTION 7.5. 28. Most Favored Customer. The Vendor represents that the fees, charges, and/or costs paid to Vendor under this Agreement do not exceed the current fees, charges or costs paid to Vendor by other Florida cities, counties and/or municipalities for the same (or substantially similar) services described in this Agreement. In the event the stated fees, charges and/or costs charged to the City under this Agreement are determined to be higher, then said fees, charges and/or costs shall be reduced accordingly. In such an event, the Vendor agrees to offer the same (or lower) fees, charges and/or costs to the City as those charged to other Florida cities, counties and/or municipalities for the same (or substantially similar) services described in this Agreement. 29. Proposal Documents Incorporated. "Proposal Documents" shall mean Request For Proposals No. 02-08/09 for a Red Light Violation Camera Enforcement System and Related Support Services, issued by the City in contemplation of this Agreement, together with all amendments thereto, if any, and the Vendor's proposal in response thereto (Proposal), which is incorporated by reference in this Agreement and made a part hereof; provided, however, that in the event of an express conflict between the Proposal Documents and this Agreement, this Agreement shall prevail. 30. Force Majeure. Neither party will be liable to the other or be deemed to be in breach of this Agreement for any failure or delay in rendering performance arising out of causes beyond its reasonable control and without its fault or negligence. Such causes may include but are not limited to, acts of God or the public enemy, terrorism, hurricanes, folds, earthquakes, epidemics, quarantine restrictions, strikes, freight embargoes, orGovernmental Authorities approval delays which are not caused by any act or omission by Vendor. The party whose performance is affected agrees to notify the other promptly of the existence and nature of any delay. [REMAINDER OF PAGE LEFT INTENTIONALLY BLANK] F:\atto\AGUR\AGREEMENT\Red Light Camera Agreement (Final 9-21-09).doc 23 IN WITNESS OF THE FOREGOING, the parties have set their hands and seals the day and year first written above. ATTEST: City Clerk ATTEST: ~ ,1 ~~~ Print Name ~2.. ~ 1`~it' ~ ~c~r~c.~ STATE OF FLORIDA COUNTY OF MIAMI-DARE CITY OF MIAMI BEACH, FLORIDA M or VENDOR/ACS STATE AND LOCAL SOLUTIONS, INC. ®n ~~s ~~`~ C~Cx O\ SE~~.~,~-~ 200`1 t~~ore me.. -+-~ :~~d.~`rs'~ ~.ecA o-~-~~y ~ub~i c 1 ~~c~t'k- ~a~ ~- ~ P2~;~lly nocA.r~ -~,o n-~e. Gr~d~ - S~ e,r'.s~ c~~o SubSZr~bedl 1-~ SS `~~-- ~~ `~ f r, ~~i.,seoat ~C~ I Pir69c Q CtY\Y~2. SCo°~~` saw ~ I ON THIS day of , 200, before me, the ~ ~,~.~~ notary public, personally appeared personally known to me, or who has produced as identification, and is the person who subscribed to the foregoing instrument and who acknowledged that he executed the same on behalf of said Corporation and that he was duly authorized to do so. IN WITNESS WHEREOF, I hereunto set my hand and official seal. NOTARY PUBLIC Print or Type Name My commission Expires: 24 & FO CUTION ,~ ~~ f' ~ ~ ai o°~ APPROVED AS TO FORM & LANGUAGE EXHIBIT "A" * DESIGNATED INTERSECTIONS Miami Beach Police Department Recommended Intersection Locations First Priority Intersections Sd' Street and Alton Road Sd' Street and Washington Avenue 17`" Street and Alton Road 17~` Street and Collins Avenue Alton Road and Dade Boulevard 41 S` Street and Pinetree Drive 41S` Street and Alton Road 63rd Street and Indian Creek Drive 69~' Street and Abbott Avenue 71 S` Street and Collins Avenue 4151 Street and Prairie Avenue Second Priority Intersections Abbott Avenue and Indian Creek 17d' Street and Washington Avenue Dade Boulevard and Washington Avenue Dade Boulevard and 23rd Street Lagorce Drive and Pinetree Drive Lagorce Drive and 63rd Street McArthur Causeway and Fountain Street 67"' Street and Collins Avenue 10~' Street and Ocean Drive Chase Avenue and Alton Road * Initial installation shall be 15 cameras from the Exhibit "A" list as presented or subsequently amended. 25 EXHIBIT "B" Construction and Installation Obligations 1. ACS will have each Designated Intersection installed and activated in phases in accordance with and no later than a mutually agreed upon implementation plan to be mutually agreed to by ACS and the City. The initial installation shall be fifteen (15) cameras from the Intersections list in Exhibit "A". ACS OBLIGATIONS -ACS shall do or cause to be done each of the following (in each case, unless otherwise stated below, at ACS' sole expense): 1.1. ACS will use reasonable efforts to install the System in accordance with the schedule set forth in the implementation plan that will be formalized upon project commencement. 1.2. ACS will use reasonable efforts to install and activate the first Designated Intersection within forty-five (45) days from receipt of all Right of Ways (ROW) and permits required by Section 1.4 of this Exhibit B. 1.3. [INTENTIONALLY OMITTED] 1.4. Appoint the ACS Project Manager and a project implementation team consisting of the appropriate number of staff members to assist the ACS Project Manager; 1.5. Request current "as-built" electronic engineering drawings for the Designated Intersections (the "Drawings") from the County Traffic Engineer; 1.6. Develop and submit to the City for approval construction and installation specifications in reasonable detail for the Designated Intersection including, but not limited to, specifications for all laser traffic detection, pavement loops (if applicable), electrical connections and traffic controller connections, as required. 1.7. Seek approval from the applicable Governmental Authorities having authority or jurisdiction over the construction and installation specifications for the Designated Intersection (collectively, the "Approvals"), which will include compliance with City permit applications. 1.8. Seek rights from private property owners, with assistance from City, as necessary for the placement of System Equipment at designated intersections where Governmental Authorities do not have jurisdiction over the Designated Intersection and adjacent rights of way, and such Governmental Authorities cannot provide authority to ACS for the installation of its Equipment. 1.9. Provide reasonable public relations and media template materials to the City in the event the City elects to conduct a public launch of the Red Light Photo Enforcement Program. 1.10. Provide 2500 printed City developed and designed brochures. 26 1.11. Develop the Red Light Infraction Criteria and Enforcement Documentation (Business Rules) for approval by the City, consistent with the requirements of the City Ordinance. 1.12. Complete the installation and testing of all necessary Equipment, including hardware and software, at the Designated Intersections (under the supervision of the City). 1.13. Subcontract with an electrical sub-contractor to complete all reasonably necessary electrical work at the Designated Intersections, including but not limited to the installation of all related equipment and other detection sensors, poles, cabling, telecommunications equipment and wiring, which shall be performed in compliance with all applicable local, state and federal laws and regulations. 1.14. Install and test the functionality of the Designated Intersections with the ACS Solutions and establish fully operational infraction processing capability with CitewebTM violation processing. 1.15. Generate warning notices the first thirty (30) days after the Installation Date of the first two (2) cameras. Warning notices will be designed according to the City's criteria. 1.16. Issue Notices of Infraction to include "Failure to Comply" notices and if the alleged violator requests hearing, issue Notices of Hearing, pursuant to City Ordinance. 1.17. Obtain access to the records data of the Department of Motor Vehicles and the National Law Enforcement Telecommunications System INLETS) as needed for the program. 1.18. Provide training for personnel of the City, including, but not limited to, the persons who City shall appoint as Authorized Employees and other persons involved in the administration of the Red Light Photo Enforcement Program. This shall include training with respect to the ACS Solution and its operations, strategies for presenting Infraction Data in court and judicial proceedings and a review of the Enforcement Documentation. 1.19. Interact with court and judicial personnel, including the City's hearing officer to address issues regarding the implementation of the ACS Solution, the development of hearing notification processes that will permit the offering of Infractions Data in hearings and judicial proceedings, and coordination between ACS, the City and the City's Hearing officer 1.20. Provide reports and statistical data on a predetermined schedule, as outlined in the Proposal, Section 2.b.III thereof. 1.21. Provide delinquent citation collections for all citations where an appeal has not been filed. Components of the collection program will be approved by the City. 1.22. Shall mail Notices of Infractions by first class mail. 27 1.23. Shall mail hearing notices certified mail via electronic return receipt. 2. CITY OBLIGATIONS. The City shall do or cause to be done each of the following (in each case, unless otherwise stated below, at City's sole expense): 2.1. Appoint the Project Manager. 2.2. Assist ACS in obtaining the Drawings from the applicable Governmental Authorities. 2.3. Notify ACS of any specific requirements relating to the construction and installation of any Intersection or the implementation of the Red Light Photo Enforcement Program. 2.4. Assist ACS in seeking the Approvals. 2.5. Provide reasonable access to the City's properties and facilities in order to permit ACS to install and test the functionality of the Designated Intersections and the Red Light Photo Enforcement Program; 2.6. Provide reasonable access to the personnel of the City and reasonable information about the specific operational requirements of such personnel for the purposes of performing training. 2.7. Develop and implement Public Awareness Strategy during the period commencing on the date on which ACS begins the installation of the first Designated Intersection and ending six (6) months after the Installation Date. 2.8. Assist ACS in developing the Red Light Infraction Criteria and Enforcement Documentation (Business Rules) for approval by the City, consistent with the requirements of the City Ordinance. 2.9. The City shall, on a form provided by ACS, provide verification to the State Department of Motor Vehicles, National Law Enforcement Telecommunications System, or appropriate authority indicating that ACS is acting as an agent of the City for the purposes of accessing vehicle ownership data pursuant to the list of permissible uses delineated in the Drivers Privacy Protection Act 18 U.S.C.§ 2721, Section (b) (1), and as may otherwise be provided or required by any provision of applicable State law. 2.10. If feasible, and/or applicable, and only after all necessary approvals have been obtained from utilities and other governmental entities with jurisdiction, City shall allow ACS to access power from existing power sources, at no cost to City. 2.11. The Miami Beach Police Department shall process each Infraction in accordance with State Laws and or City Ordinances within seven (7) business days of its appearance in the Police Review Queue, using CitewebTM to determine which violations will be issued as Infractions or Notices of Infraction or as soon as reasonably practical in the event of technical difficulties, power outages, or other 28 circumstances beyond the City's control, or with the consent or approval of ACS for extension. 2.12. City shall provide authorized personnel access to the internet for the purpose of approving violations and reviewing adjudications. 2.13. ACS shall provide the City with two (2) workstations for use in support of this contract to be used in any city department designated by the City. In the event the Agreement is terminated, workstations will be returned to ACS. 2.14. For optimal data throughput workstations should be connected to a high-speed internet connection with bandwidth of T-1 or greater. ACS will coordinate directly with the City's Information Technology (IT) Department on installation and implementation of the computerized aspects of the program. 2.15. Approve Infractions on forms provided by ACS. 2.16. In the event that remote access to the ACS Solution is blocked by City's network security infrastructure, the City's IT Department and the counterparts at ACS shall coordinate to facilitate appropriate communications access while maintaining required security measures. 2.17. City shall provide adequate space in a City facility for on-site training. 2.18. City shall provide a URL link on the City website to direct violators to ACS public portal for payment options and to view images and videos of violations. 29 EXHIBIT "C" Maintenance 1. All repair and maintenance of Vendor System and related Equipment will be the sole responsibility of ACS, including but not limited to maintaining the casings of the cameras included in ACS Solution and all other Equipment in reasonably clean and graffiti-free condition. 2. ACS shall repair or replace inoperable Equipment within 72 hours of detection or notification by City. 3. ACS shall not open the Traffic Signal Controller Boxes without a representative present of the City of Miami Beach or Miami Dade County Traffic Engineering. 4. The provision of all necessary communication, broadband and telephone services to the Designated Intersections will be the sole responsibility of ACS. 5. The provision of all necessary electrical services to the Designated Intersections will be the sole responsibility of ACS. 6. In the event that images of a quality suitable for the Authorized Employee to identify Infractions cannot be reasonably obtained without the use of flash units, ACS shall provide and install such flash units. 7. ACS Project Manager (or a reasonable alternate) shall be available to the City's Project Manager each day. 30 EXHIBIT "D" Infraction Processing 1. All Infraction Data shall be stored on ACS Solution; 2. The ACS Solution shall process Infractions Data gathered from the Designated Intersections into a format capable of review by the Authorized Employee from the internet. 3. ACS shall make the initial determination that the image meets the requirements of the Ordinance, Business Rules, and this Agreement, and is otherwise sufficient to enable the City to meets its burden of demonstrating a violation under the Ordinance. If ACS determines that the standards are not met, the image shall not be processed any further. 4. ACS Solution shall be accessible by the Authorized Employee through a virtual private network in encrypted format by use of a confidential password on any computer equipped with ahigh-speed internet connection and a web browser. 5. ACS shall provide storage capabilities for the City to store Infractions identified for prosecution for five (5) years after final disposition of a case. 6. ACS shall provide the Authorized Employee with access to the ACS Solution for the purposes of reviewing the pre-processed Infractions Data within seven (7) days of the gathering of the Infraction Data from the applicable Designated Intersections. 7. The City shall cause the Authorized Employee to review the Infractions Data and to determine whether a Notice of Infraction shall be issued with respect to each Potential Infraction captured within such Infraction Data, and transmits each such determination to ACS using the software or other applications or procedures provided by ACS on the ACS Solution for such purpose. ACS HEREBY ACKNOWLEDGES AND AGREES THAT THE DECISION TO ISSUE A NOTICE OF INFRACTION SHALL BE THE SOLE, UNILATERAL AND EXCLUSNE DECISION OF THE AUTHORIZED EMPLOYEE AND SHALL BE MADE IN SUCH AUTHORIZED EMPLOYEE'S SOLE DISCRETION (A "NOTICE OF INFRACTION DECISION"), AND IN NO EVENT SHALL ACS HAVE THE ABILITY OR AUTHORIZATION TO MAKE A NOTICE OF INFRACTION DECISION. 8. ACS shall print and mail a Notice of Infraction including Warning Notices during the Warning Period within seven (7) days after approval and authorization by the City. 9. ACS shall provide atoll-free telephone number, at its sole expense, for the purposes of answering citizen inquiries. 10. ACS shall permit the Authorized Employee to generate monthly reports using the ACS Standard Report System. 11. Upon ACS receipt of a written request from the City and in addition to the Standard Reports, ACS shall provide, without cost to the City, issue reports regarding the processing and issuance of Notices of Infraction, the maintenance and downtime records of the Designated Intersections and the functionality of the ACS Solution with respect thereto to the City in such format and for such periods as the City may reasonably request, without cost to the City. 31 12. Upon ACS receipt of a written request from the City, at least fourteen (14) calendar days in advance of a hearing, ACS shall provide expert witnesses for use by the City in prosecuting Infractions, at no cost to the City. 13. ACS shall provide such training to City personnel as shall be reasonably necessary in order to allow such personnel to act as expert witnesses on behalf of the City with respect to the Red Light Enforcement Program. However, if a specific case requires testimony on the technical aspects of the Equipment, upon City's request ACS shall provide the City with an expert in the hearing in that case, at no cost to the City. 14. During the Warning Period, ACS shall assist the City in the development of a public relations program, in coordination with the City and upon City's approval, at no cost to the City in accordance with the elements included in Proposal. 15. ACS will provide video monitoring at monitored Intersections and will provide City data upon request. 16. Notice of Infraction. ACS shall prepare and provide to City a Notice of Infraction Form that provides, at a minimum, the following information: a) name and address of the owner of the vehicle involved in the Infraction; b) the registration number of the vehicle involved in the Infraction; c) a citation to the City's Ordinance violated; d) the location of the Intersection where the Infraction occurred; e) the date and time of the Infraction; with a unique Infraction control number that contains the Infraction date and time; fj a copy of the recorded image of the Infraction; g) the amount of fee and charges imposed and the date by which the fee and charges must be paid or appealed; h) instructions on all methods of payment for the fee; i) a clear statement of the time limit to file an appeal and describing the procedure for appealing the Infraction; 17. The Notices of Infraction will include a statement that the City's traffic control infraction officer has reviewed and observed the recorded images evidencing the violation of the Ordinance and has found reasonable and probable grounds to believe that an Infraction has occurred and can identify the license tag number of the violating vehicle; and a conspicuous statement, printed on larger font and bold, stating that if the owner of the vehicle fails to pay the civil fee within the time allotted, or fails to file an appeal, collection activities will commence. 32 18. ACS agrees that the City shall have the right to review and approve the Notice of Infraction form prior to its use, and that in the event City determines additional information should be included in the Notice of Infraction, ACS shall modify the Notice of Infraction form, at its sole expense, to comply with those requirements, subject only to space limitations on the Notice paper. 19. ACS shall collect and deposit payments issued pursuant to the City Ordinance directly into a Miami Beach account as determined by the City Finance Department on a daily basis. All payments must be mailed to ACS Post Office Box or dropped off at the City of Miami Beach Customer Service Center located at: Miami Beach City Hall, 1700 Convention Center Drive, Miami Beach, Florida. 20. Provisions will be made for payments to be received by Pay-by-Web, and Pay-by Phone. Acceptable payment will include cash, personal checks, money orders, MasterCard, and Visa. ACS will charge a convenience fee of $4.95 for all payments made by web or phone. ACS will be responsible to pay all credit card service fees. 21. Unpaid citations will be considered delinquent and referred to the ACS collections. Collections will be in accordance with the City directed procedures. 33 EXHIBIT "E" Fee 1. Fixed fee, per month, per approach $3,555 2. Late Fee on 31St day if citation is not paid or appeal filed. Imposed by $16.50 ACS and paid to ACS. 3. Late Fee on 31St day of citation is not paid or appeal filed. Imposed $8.50 by ACS, paid to City. 4. Delinquent Collection Fee -additional 20% after 45 days. Imposed 20% by ACS and paid to ACS. 5. Delinquent Collection Fee -additional fee after 45 days. Imposed by $10.00 ACS and paid to City. 34 Exhibit "F" Additional Rights and Obligations ACS and the City shall respectively have the additional rights and obligations set forth below: 1. ACS shall assist the City in public information and education efforts including but not limited to the development of artwork for utility bill inserts, press releases and schedules for any public launch of the Red-Light Photo Enforcement Program, as outlined in the ACS Proposal, Section 2.b.VI 6.5 thereof. 2. ACS will be responsible for fabrication and posting of signs at Designated Intersections, under the direction of the City. ACS' engineering team will work with City transportation officials to ensure all "signage" is designed and installed according to the Manual of Uniform Traffic Control Devices (MUTCD) regulations including, but not limited to, Florida Department of Transportation (FDOT) and City engineering standards. All work will be coordinated with the City for locations, signage size and design. ACS will include company identification on the back of the sign. 3. ACS Project Manager and the City Project Manager shall meet at least on a weekly basis during the period commencing as of the date of execution of the Agreement and ending on the termination of the Warning Period, and at least on a monthly basis for the remainder of the Term, at such times and places as ACS Project Manager and the City Project Manager shall mutually agree. 4. The City shall not access or use the Vendor System in any manner other than prescribed by law. 5. The City shall maintain the confidentiality of any user name, password or other process or device for accessing the ACS Solution or using the Red-Light Photo Enforcement Program. 6. ACS and the City shall advise each other, in writing, with respect to any applicable rules or regulations governing the conduct of the other on or with respect to the property of such other party including, but not limited to, rules and regulations relating to the safeguarding of Confidential Information and, when so advised, ACS and the City shall obey any and all such rules and regulations. 7. The City shall promptly reimburse ACS for the cost of repairing or replacing any portion of ACS Solution, or any property or equipment related thereto, damaged solely and directly by the gross negligence or willful misconduct of the City, or any of its employees, contractors, or agents. In all other instances, such costs shall be solely ACS costs. 35