HomeMy WebLinkAboutResolution - 6259 - Contract - Megatronics International Corp. - Fuel Dispensing Hardware & Software - 04_08_1999Resolution No. 6259
Item No. 35
April 8, 1999
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to
execute for and on behalf of the City of Lubbock a Contract between the City of Lubbock and
Megatronics International Corporation of San Antonio, Texas, to provide fuel dispensing
hardware and software, and related documents. Said Contract is attached hereto and incorporated
in this Resolution as if fully set forth herein and shall be included in the minutes of the Council.
Passed by the City Council this 8th day of Aril _ 1999UA
4DOSItTTON, MAYOR
ATTEST:
Ka a arnell, City Secretary
APPROVED AS TO CONTENT:
%
' , i!z"
Victor Kilman
Purchasing Manager
APPROVED AS TO FORM:
William de Haas
Competition and Contracts Manager/Attorney
cp Ccdocs/Megatronics.Res
March 30,1999
Resolution No. 6259
Item No. 35
April 8, 1999
EXTENDED SOFTWARE LICENSE/CUSTOMER SUPPORT AGREEMENT
AND
EXTENDED HARDWARE MAINTENANCE AGREEMENT
BETWEEN
MEGATRONICS INTERNATIONAL CORP. (MTh
-nail
CITY OF LUBBOCK
THIS SOFTWARE LICENSE/CUSTOMER SUPPORT AGREEMENT AND EXTENDED
HARDWARE MAINTENANCE AGREEMENT is entered into on this the 8th day of
April , 1999, by and between MEGATRONICS INTERNATIONAL
CORP. (MTI), a duly chartered Texas Corporation, with principal offices located at 8833
Tradeway, in the City of San Antonio, County of Bexar, State of Texas, (hereinafter referred to as
"MTI"), and the CITY OF LUBBOCK, with principal offices located at, 324 Municipal Drive, in
the CITY OF LUBBOCK, State of Texas, 79457, (hereinafter referred to as "CUSTOMER").
WITNESSETH:
WHEREAS, MTI is in the business of providing automated fuel control and accounting
systems and related products;
AND WHEREAS, MTI offers maintenance on both the Software and the Hardware for
Systems which it installs and/or services;
AND WHEREAS, CUSTOMER has a MegaTrak Fuel Management System (the
"System") currently installed to improve the control and efficiency of its operations which was
installed either by MTI, the manufacturer, or another authorized and approved Distributor;
AND WHEREAS, such System requires continuing maintenance for improved efficiency
and to extend it usage;
AND WHEREAS, the parties here to agree that it is in their mutual best interests to enter in
this Agreement for the Software and Hardware Maintenance;
NOW, THEREFORE, in consideration of and for the mutual promises and covenants
hereinafter stated, the parties agree as follows:
I.
SUMMARY OF MAINTENANCE SERVICES
1.1. Maintenance Costs. Based upon a detailed schedule and other information
included hereinbelow in this contract, the following are the agreed costs for a one (1) year Extended
Hardware Maintenance Agreement and Extended Software License/Customer Support Agreement:
One Year Extended Software Maintenance - $ 600.00*
One Year Extended Hardware Maintenance - $3.255.00*
TOTAL ONE YEAR MAINTENANCE - $3.855.00*
1.2. Term of Agreement. Both the Hardware and Software Maintenance Agreements
covered under this Contract shall become effective following the expiration of the one year
MegaTrak Limited Warranty and shall continue in full force and effect until one year thereafter.
II.
EXTENDED SOFTWARE LICENSE AND CUSTOMER SUPPORT AGREEMENT
2.1 Ratification of Software License. MTI hereby ratifies and acknowledges that
CUSTOMER is the holder of a non -transferable, non-exclusive license to use the Software
Programs(s) as described hereinbelow subject to the terms and conditions of this Agreement.
Although Customer's license shall remain valid and in full force and effect so long as the System
remains installed at Customer's site(s), the parties acknowledge and agree that all industrial rights,
title, and ownership of the program(s) which are the subject of this Agreement shall remain the sole
and exclusive property of MTI, or such other licenser who has granted licensing rights to MTI.
MTI has the licensing rights to the Software Programs known as "Te1Key"; "MTI Series 1000";
"MegaTrak 2000 and 3000"; "Tank Manager" and/or "MegaTrak ATG."
2.1.1. CUSTOMER assumes full responsibility of this selection of the program(s)
to achieve the intended results as determined and described by CUSTOMER and for the use and
daily operation of its System.
2.1.2. A description of the products covered by this "Software License/Customer
Support Agreement" are attached hereto as Schedule "A".
2.1.3. The locations which are covered by the Agreement are those listed in
Schedule "B" which is attached here to and incorporated by reference herein.
2.2. Terms of Agreement. This Software Support Agreement shall be effective following
the expiration of the one year MegaTrak Limited Warranty and shall continue in full force and
effect until one (1) year thereafter, or until terminated by either party as provided hereinbelow.
2.2.1 The rights granted by this Agreement shall be subject to termination for
noncompliance or breach of the terms and/or conditions of this Agreement.
2.2.2. The software portion of this Agreement may be terminated if the
CUSTOMER, at any time, is in default in the payment of any amount due in accordance with the
terms of this Agreement and such default is not expressly excused hereunder. In such an event, MTI
shall give "written notice" of any such default to the CUSTOMER. After receipt of such notice, if
any default is not cured by the CUSTOMER within thirty (30) days after the giving of such notice,
then MTI shall have the right to terminate this Agreement by the giving of "Written Notice of
Termination" to become effective within ten (10) days after such Notice is placed in the United
State Mail, postage pre -paid, certified mail, return receipt requested, (see 4.2). Any such termination
of this Agreement shall be without prejudice to all accrued rights and remedies and shall not affect
the continued rights and obligation of the parties under any relevant section of this Agreement.
2.2.3. Renewal of Agreement. Upon the expiration date of this Agreement, the
parties agree that this Software Agreement shall be eligible for renewal, subject, however, to an
adjustment based upon increases which shall be in effect at the time of such renewal. The parties,
however, agree that such renewal rates shall no exceed 10% of the total rates currently in force and
effect as of the date of this Agreement. Unless terminated by CUSTOMER with thirty (30) days
written notice or unless necessary funds are not appropriated by CUSTOMER's governing body to
fully fund said renewal, this Agreement shall be automatically renewed following the expiration of
the one year period provided for in this agreement, for an additional 12-month period, and
CUSTOMER shall be invoiced annually by MTI for such renewal and subsequent renewals as may
be applicable.
2.3 Licensing? Fees. MTI hereby ratifies and acknowledge that CUSTOMER is the
holder of the described License covered in the Agreement in consideration of and for the payment
of the licensing fees originally paid by CUSTOMER for the Software included as part of the
original System purchased by CUSTOMER.
2.4 ONE YEAR SOFTWARE SUPPORT AND MAINTENANCE.
2.4.1 In addition to the original License Fees described in Section 2.3. hereinabove,
CUSTOMER hereby agrees to pay a support fee for the maintaining of such License and for
support of the "Software" covered by said License in consideration of and for the payment by
CUSTOMER of a fee of SIX HUNDRED AND N0/100 DOLLARS ($600.00).
2.4.2. The above NET amount is due and payable in one single payment, unless
otherwise agreed in writing, and shall be due and payable within ten (10) days from the execution of
this Agreement.
2.4.3. Any default in the payment of the above stated Support Fee may result in the
termination of the Agreement and the withdrawal of any future support of the CUSTOMER's
Software by MTI. Notices regarding default shall be provided to CUSTOMER as described in
Section 4.2 hereinbelow.
2.4.4. In the event of cancellation by either Party, MTI shall be required to refund
any previously paid and unused portion of the annual fee as set forth in Section 2.4.2. hereinabove,
rounded to the nearest full month.
2.4.5. MTI shall provide the CUSTOMER with "Software Support" for its System
as installed by MTI, or such other MTI approved installer, as follows:
2.4.5.1. Correcting Software abnormalities found in the covered program(s)
which adversely affect the operation of System, and have not been caused by
CUSTOMER's own personnel, negligence, electrical irregularities or hardware
failure. Any programs(s) of different size or date, which has been modified by the
CUSTOMER, or does not contain the appropriate copyright notice(s), is expressly
excluded from this coverage.
2.4.5.2. Providing telephone support and consultation to current and future
employees of CUSTOMER, when requested, for Software included in this
Agreement during normal business hours (8:00 A.M. to 5:00 P.M., Monday through
Friday.) Service requested before or after normal business hours and on holidays will
be invoiced at the hourly fee then in effect.
2.4.5.3. Providing future enhancements or modifications to program(s)
covered by this Agreement and listed above.
2.4.5.4. Providing future updates to the "Operator's Manual" and other
Software documentation as may be published by MTI and/or the Equipment
Manufacturer relating to the program(s) covered in this Agreement.
2.4.6. CUSTOMER acknowledges and agrees that all "First Echelon"
maintenance, as that term is customarily used, shall be performed by CUSTOMER to include, but
not limited to, backing up of Software on a regular basis so as to have proper restore capabilities, if
needed, dusting and cleaning of exterior components, and assuring that all electrical connections to
external outlets and telephone jacks are properly connected and functioning.
2.4.7. The term "Software Abnormalities" may be defined and are limited
exclusively to the following terns and conditions:
2.4.7.1. The licensed program(s) are not usable for the intended purpose as
stated in the published program(s) product specifications and performance of
CUSTOMER's System is unreasonable degraded.
2.4.7.2. The licensed programs(s) are usable for the intended purpose as
stated in the published program(s) product specifications; however, some functions
do not perform specifically as intended.
4
2.4.7.3. The licensed program(s) are usable for the intended purpose as
stated in the published program(s) product specifications; however, some functions
do not perform in a convenient manner.
2.5. Service Requests — Software Maintenance and Customer Support. Customer Support
and Maintenance Priority Assignments shall be as follows:
2.5.1. Priority One: Requires immediate attention. Performance of the System
program(s) is unreasonable degraded. The System program(s) does not perform most of the
documented functions with most of the supported I/O devices or fail catastrophically in response to
internal program(s)or file errors. Every effort shall be made to provide an immediate resolution
upon receipt of the request, and under worse case conditions, a resolution shall be provided no more
than twenty-four (24) hours after the receipt of the request.
2.5.2. Priority Two: Requires urgent action. The system program(s) are usable and
perform most but not all of the documented functions with the supported I/O devices and exhibit
intermittent failures. Every effort shall be made to provide a resolution within five (5) work days of
the receipt of the request.
2.5.3 Priority Three: Requires routine action. The System program(s) are usable
and perform all of the documented functions with the supported I/O devices; however, the System
program(s) operate in an inconvenient manner. Every effort shall be made to provide a resolution
within fourteen (14) calendar days of the receipt of the request.
2.5.4. CUSTOMER agrees that all requests for maintenance under this Agreement
shall be made through the "Technical Support Department" of MTI regardless of whether or not a
local representative or service company has been appointed by MTI to provide such service to
CUSTOMER. After a request has been made, all authorized and approved requests for service will
be handled by MT personnel or dispatched to the appropriate technician in CUSTOMER's area,
as may be determined by MTI.
2.6 FORCE MAJEURE — (SOFTWARE AGREEMENT)
2.6.1. Except for the failure of CUSTOMER to pay sums when due, as provided in
Section 2.4, neither party shall be liable, in damages or otherwise, for any failure to perform or for
any delay in performing any of its obligations hereunder caused by circumstances beyond its
reasonable control or which make performance commercially impracticable, to include, but not
limited to, fire, explosion, storms, floods, earthquakes, hurricanes, tornadoes, action of the elements,
wind, acts of God, lightning damage, accidents, acts of public enemies, wars, insurrection riot,
public disturbances, sabotage, epidemics, quarantine restrictions, strikes, labor disputes, labor
shortages, transportation embargoes or delays, breakdown or interruptions of service by utility,
communication, transportation, or other facilities, restrictions, restraints, or acts of any government.
2.6.2. In the event of the determination that there was an existence of Force
Majeure circumstances, as described in Section 2.6.1. hereinabove, that prevented the performance
by either party, neither party shall be liable for any damages resulting therefrom.
2.7. Software Indemnity. MTI shall, to the full extent of the law, indemnify and hold
CUSTOMER harmless against all damages, costs, changes, expenses, actions, claims and demands
which may be sustained, suffered or made against CUSTOMER by any third parry arising out of,
from, or in any way connected with a breach of any term of this Agreement by either parry. The
duties under this provision shall survive the termination of this Agreement under any provision
thereof.
2.8. Warranty and Limitation of Warranty — Software. MTI warrants that the licensed
program(s) shall conform to the published programs(s) product specifications. This warranty is in
lieu of all other warranties, whether express or implied, including, without limitations, implied
warranties of MERCHANTABILITY and fitness for a particular purpose. In the event of any
breach of the warranty contained in the paragraph, MTI shall use MTI's best efforts to correct the
licensed program(s) so that the program(s) will conform with the published program(s) product
specifications in such a manner as will attempt to minimize any delays or inconvenience resulting
from any errors in the licensed program(s).
EXTENDED HARWARE MAINTENANCE AGREEMENT
3.1. Equipment covered by Agreement. The equipment to be covered by this Extended
Hardware Maintenance Agreement is that equipment listed specifically and set forth on Schedule
11C," THE EQUIPMENT SCHEDULE, which is attached hereto and incorporated herein by
reference.
3.1.1. The parties agree that all equipment covered by this Extended Hardware
Maintenance Agreement must be functioning properly prior to the execution of this Agreement.
The CUSTOMER agrees to allow MTI's dully authorized representative to conduct an on -site
inspection in order to certify that such equipment is functioning properly and meets the standards of
MTI. Any equipment, failing to meet such standards must be brought up to MTI's standards at
CUSTOMER's expense prior to the effective date of this Agreement, unless this was MTI's
responsibility under a previous agreement, or unless this was the manufacturer's responsibility.
3.1.2. Once the equipment has been certified as provided for in Section 3.1.1.,
hereinabove, MTI agrees that it will repair or replace all defective parts or complete components
which are integral to the System(s) and equipment listed in the attached Equipment Schedule. MTI
will provide material and/or replacement equipment as may be necessary to insure the proper
operation of the said listed equipment. Such replacement equipment will be furnished on an
exchange basis and will be repaired or new at the option of MTI.
3.1.3. Upon notification of a defective Part(s) or the non-functioning of the System,
which is covered under this Agreement, MTI shall arrange for the repair or replacement of the
defective Part(s), excluding labor. If a defective part(s) or product(s) is required to be returned to
MTI, the CUSTOMER agrees to obtain a Return Merchandise Authorization (RMA) number
and to return such item(s), insured, or CUSTOMER assumes risk of loss or damage in transit,
freight pre -paid, and securely packaged to MTI's Corporate Headquarters located at 8833
Tradeway, San Antonio, Texas, 78217.
3.1.4. In the event that MTI is required to provide on -site service, CUSTOMER
agrees to reimburse MTI, or its agent/representative, in accordance with the current established
rates, plus mileage (not to exceed travel from a 100 mile radius) and expenses at the rate of SIXTY-
FIVE AND NO/100 ($65.00) DOLLARS per hour and an overtime rate of NINETY-SEVEN
AND 50/100 (97.50) DOLLARS with a one (1) hour minimum, plus mileage computed at
FIFTY CENTS ($.50) per mile.
3.1.5. CUSTOMER acknowledges and agrees that all "First Echelon'
maintenance, as that term is customarily used, shall be performed by CUSTOMER to include, but
not limited to, cleaning of readers and Key receptacles, dusting and cleaning of exterior
components, and assuring that all electrical connections to external outlets and telephone jacks are
properly connected and functioning.
3.2. Service Hours. The parties agree that services are to be provided under this
Agreement during normal work hours, (i.e., 8:00 A.M. through 5:00 P.M., Monday through Friday
of each week, excluding holiday.) Emergency services shall be made available on a twenty-four
(24) hour per day basis, seven (7) days per week, subject, however, to increased rates as provided
herein.
3.2.1. MTI agrees to make every effort to provide service for calls received before
12:00 Noon on the same day and to complete all service calls within not more than twenty-four (24)
hours. While every effort will be made by MTI to preclude overtime charges, service technicians
will notify the appropriate Customer Representative for any authorization to proceed under
overtime rates in the event that repairs cannot be completed during normal work hours.
3.2.2. CUSTOMER agrees that all requests for maintenance under this Agreement
shall be made through the "Technical Support Department" of MTI, regardless of whether or not a
local representative or service company has been appointed by MTI to provide such service to
CUSTOMER. After a request for on -site service has been made, all authorized and approved
requests for service will be dispatched to the appropriate technician in CUSTOMER's area.
3.3. Rates and Effective Date. The charges covered by this Agreement shall become
effective on the date of this Agreement and shall continue for a period of ONE (1) YEAR, during
which time CUSTOMER agrees to pay the flat rate for the items listed in Equipment — Schedule
"C' attached hereto, for a total hardware maintenance fee of THREE THOUSAND TWO
HUNDRED FIFTY-FIVE AND NO/100 DOLLARS ($3,255.00).
3.3.1. THE ABOVE NET AMOUNT shall be payable in one single payment,
unless otherwise agreed in writings and shall be due and payable within ten (10) days from the date
this Agreement is executed. The parties agree that the service be provided under this Agreement
shall become effective following the expiration of the one year MegaTrak Limited Warranty, and
shall continue in full force and effect until one (1) year thereafter. In the event that payment is not
received within thirty (30 calendar days after the date that this Agreement is to become effective,
service will be subject to discontinuance until such time as payment is received.
7
3.3.2. In the event thiit MTI makes on -site repairs and/or replacements which are
occasioned by improper operations, negligence, or misuse of the equipment, CUSTOMER agrees
to reimburse MTI in accordance with the current established rates, plus mileage and expenses as
provided in 3.1.4. hereinabove.
3.4. Limitations of Maintenance and Liability. Unless specifically included under the
equipment list which is attached hereto as Schedule "C", this Hardware Maintenance
Agreement does not include maintenance coverage for CUSTOMER's Computer(s), Video
Monitor(s), Memory Expansion, Central Modem, Printer(s), Telephone lines, or Pump Interfacing
Hardware.
3.4.1. MTI shall not be liable for any loss, delay, injury or damage, whether direct
or consequential, caused by conditions beyond its direct control to include, but not limited to, fire,
explosion, storms, lightning, floods, earthquakes, hurricanes, tornadoes, action of the elements,
accidents, vandalism, acts of public enemies, wars, insurrection, riot, public disturbances, sabotage,
epidemics, quarantine restrictions, strikes, labor disputes, labor shortages, transportation embargoes
or delays, breakdown or interruptions of service by utility, communication, transportation, or other
facilities, and acts of God and/or nature. In no event will MTI be liable for damages, consequential
damages, lost revenue, or lost wages arising from the purchase, use, or inability to use the
product(s) covered by this Agreement.
3.4.2. The addition or deletion of fuel control units and/or other equipment covered
by this Agreement shall affect the base price proportionately and, likewise, in the event of the
installation of additional equipment, this Agreement shall be amended and an effective date for such
Amendment shall be coordinated in advance with MTI.
3.5. Termination Cancellation. Either party may cancel this Agreement by the giving
of the other party thirty (30 days written notice of "INTENT TO CANCEL," as provided for in
Section 4.2.
3.5.1. In the event of cancellation by either party, MTI shall be required to refund
any previously paid and unused portion of the annual fee as set forth in Section 3.3.1. hereinabove,
rounded to the nearest full month. However, in the event that cancellation is initiated by
CUSTOMER, then, in such event, MTI shall deduct an amount equal to TWENTY-FIVE (25%)
PERCENT of the unused balance of said annual fee as liquidated damages. In the event that MTI
shall terminate this agreement, MTI agrees to provide a minimum of ninety (90) days written notice
to customer.
3.5.2. This Agreement may be terminated by MTI in the event of non-payment as
provided for in Sections 3.3. and 3.3.1. hereinabove.
3.6. Renewal of Agreement. Upon the expiration date of this Agreement, the parties
agree that this Hardware Agreement shall be eligible for renewal, subject, however, to an
adjustment based upon increases in MTI's labor and/or materials which shall be in effect at the time
of such renewal. The parties, however, agree that such renewal rates shall not exceed 10% of the
total rates currently in force and effect as of the date of this Agreement. Unless terminated by
CUSTOMER within thirty (30) days written notice or unless necessary funds are not appropriated
by CUSTOMER's governing body to fully fund an additional 12-month period, and
CUSTOMER shall be invoice annually by MTI for such renewal and subsequent renewals as may
be applicable.
3.7 LOCATIONS COVERED BY THIS AGREEMENT
3.7.1. The locations which are covered by this Agreement are those listed in
Schedule "B" which is attached hereto and incorporated by reference herein.
3.7.2. Those locations covered by this Agreement shall be limited exclusively to
those as set forth in Schedule "B" unless other -wise amended or modified.
IV.
MISCELLANEOUS PROVISIONS FOR BOTH SOFTWARE AND HARDWARE
AGREEMENTS
4.1. The Agreement shall be binding upon and inure to the benefit of the parties hereto in
their respective heirs, representatives, administrators, successors, and/or assigns, subject, however,
to the provisions of Section 4.8. hereinbelow.
4.2. All necessary notices, demands and requests required or permitted to be given hereof
shall be deemed duly given when delivered or within five (5) days after being mailed to each party
by United States mail, postage pre -paid, certified mail, return receipt requested, to the following
addresses or to such other address as either party shall hereinafter request in writing:
4.2.1. IF TO MTI:
MegaTronics International Corp.
P. O. Box 464584
San Antonio, Texas 78246-4584
Attention: Kay Turner
4.2.2. IF TO CUSTOMER:
City Of Lubbock
324 Municipal Drive
Lubbock, Texas 79457
Attention: Woody Wilson
4.3 The paragraph headings contained in this Agreement are for the convenience of
reference only and do not form a part hereof and in no way modify, interpret, or construe the
meaning of the parties.
4.4. Any Reference in the Agreement to the masculine gender shall also apply to the
feminine gender as well. Likewise, any reference to the singular or plural, should be applicable to
either and shall not restrict or limit the applicability of this Agreement.
4.5. This Agreement may be executed in one or more counterparts, all of which will be
considered one and the same Agreement, and shall become effective when one or more counterparts
have been signed by each of the parties hereto and delivered to the other parties' hereto.
4.6. In the event that any provision of this Agreement is determined invalid or otherwise
unenforceable, such invalidity or enforceability shall not affect the remaining provisions of this
Agreement.
4.7. The parties hereto agree that it is their intent that this Agreement and the
performance hereunder and all suits and special proceedings hereunder shall be construed in
accordance with, under, and pursuant to the laws of the State of Texas and that in any action, special
proceeding, or any other proceeding which may be brought, arising out of, or in connection with, or
by reason of this Agreement, the laws of the State of Texas, shall be applicable and shall govern to
the exclusion of the law of any other forum, without regard to jurisdiction in which any action or
special proceeding may be instituted, and venue shall be in Bexar County, Texas.
4.8. The parties acknowledge and agree that this Agreement is not assignable and
CUSTOMER may NOT assign, sub -license, transfer any of its rights or duties, under this
Agreement without the prior express written consent of MTI.
4.9. CUSTOMER, OR CUSTOMER'S AUTHORIZED REPRESENTATIVE,
ACKNOWLEDGES THAT HE/SHE HAS READ THIS AGREEMENT, UNDERSTANDS
SAID AGREEMENT, AND AGREES TO THE TERMS AND CONDITIONS HEREOF.
CUSTOMER FURTHER AGREES THAT THIS AGREEMENT IS THE COMPLETE AND
EXCLUSIVE STATEMENT OF THE AGREEMENT BY AND BETWEEN MTI AND
CUSTOMER AND SUPERSEDES ANY PROPOSAL, OR PRIOR AGREEENT, EITHER
ORAL OR WRITTEN, BETWEEN THE PARTIES REGARDING THE WITHIN SUBJECT
MATTER.
10
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by their
duly authorized officers or representative on the date first above written.
CITY OF LUBBOCK MEGATRONICS INTERNATIONAL
CORPORATION
J, ) I "—OA\��
AV
Windy Sit6611 Kay H. Turner
Mayor Chief Executive Officer
ATTEST:
Kay0ij Darnell
CityVeretary
APPROVED AS TO CONTENT:
arlett Chowmng
Information Technology Manager
APPROVED AS TO FORM:
ohn M. Knight
Assistant City Attorney
ATTEST:
Title: 6fil40�7—
* Please note that the prices provided in this sample agreement were calculated using the
prices currently in force for extended maintenance agreements. MTI reserves the right to
increase the cost of extended maintenance agreements at any time up until the time of
purchase of the agreement.
11
SCHEDULE "A"
DESCRIPTION OF SOFTWARE PRODUCTS OR SERVICES COVERED BY THIS
AGREEMENT:
PRODUCT/SERVICE IDENTIFICATION
FMS MegaTrak Fuel
Management System
(MegaTrak Site Controller
Communications Module
And associated programs)
MAIN HOST
REPORTING
PROGRAMS
Operating Software
Appropriate Software
MAINTENANCE COVERAGE
YES
YES
YES
12
SCHEDULE"B"
LOCATIONS OF HARDWARE AND SOFTWARE COVEREDUNDER THIS AGREEMENT
FOR
FUELING SITE 1:
FUELING SITE 2:
FUELING SITE 3:
324 Municipal Drive
Lubbock, Texas 79457
8400 Ave P
Lubbock, Texas 79423
Bluefield Road
Lubbock, Texas 79457
13
SCHEDULE "C"
HARDWARE EQUIPMENT SCHEDULE
1. (22) Micro Control Units [MCUs]
2. (2)
AC Communications Modules
3. (1)
Host Controller
4. (2)
Remote Controller
5. (2)
Spare Parts
TOTAL HARDWARE:
TOTAL SOFTWARE:
$95.00/annum = $2,090.00
75.00/annum = 150.00
275.00/annum = 275.00
275.00/annum = 550.00
95.00/annum = 190.00
$3,255.00
600.00
TOTAL $3,855.00
14
Resolution No. 6259
Item No. 35
April 8, 1999
CONTRACT FOR THE SALE AND PURCHASE OF FUEL SYSTEM
THIS CONTRACT FOR THE SALE AND PURCHASE OF A FUEL SYSTEM is
entered into on this the 8th day of April , 1999, by and between
MEGATRONICS INTERNATIONAL CORP., a duly chartered Texas corporation with
principal offices in the City of San Antonio, State of Texas, hereinafter referred to as
"SELLER", and the CITY OF LUBBOCK, TEXAS, hereinafter refereed to as
"PURCHASER"
WHEREAS MegaTronics in the business of manufacturing and distributing its
MegaTrak Automated Fuel Control System, ("the SYSTEM") and whereas the City of Lubbock
had expressed its intent to purchase a fuel control system for three sites at the city;
AND WHEREAS, PURCHASER has determined that the MegaTrak System meets the
specifications required by PURCHASER;
THEREFORE, in consideration of and for the mutual promises and covenants hereinfter
stated, the parties hereto agree as follows:
I.
EQUIPMENT AND SERVICES TO BE PURCHASED
SELLER agrees to sell, and PURCHASER here by agrees to purchase the equipment
and services listed on Exhibit "A" which is attached here to, in consideration of and for the total
sum of SIXTY TWO THOUSAND TWO HUNDRED EIGHTY-NINE AND 35/DOLLARS
($62,289.35)
H.
TERMS OF SALE
A. SELLER agrees to deliver to PURCHASER upon receipt on PURCHASER's
Purchase Order and/or this duly executed agreement, the equipment and services listed in Exhibit
"A", is not more than THIRTY (30) days from the receipt of a duly signed copy of this contract
and/or the issuance of an official Purchase Order issued by PURCHASER
B. All installation and training will be provided by SELLER as stated in Exhibit
"A" as attached hereto and is to be completed within 90 days.
TERMS OF PAYMENT
SELLER and PURCHASER agree that the terms of payment shall be as follows:
A. A sum equal to 30% of the total purchase price to be tendered by
PURCHASER upon delivery of hardware by SELLER;
B. A sum equal to 50% of the total purchase price which shall be due
and payable by PURCHASER upon completion of software
installation and testing.
C. A sum equal to 20% of the total purchase price, as retainage,
which shall be due and payable by PURCHASER no later than
thirty (30) days following acceptance of the entire system by
PURCHASER
IV
WARRANTIES AND SOFTWARE INTERFACING
A. The SELLER hereby covenants and agrees that all software provided to
PURCHASER shall be Y2K Compliant and SELLER hereby attaches as Exhibit "B" its
certification as to "Year 2000 Compliance."
B. SELLER further covenants and agrees that the software provided with the
System shall be capable of interfacing with Control Software, Inc. M/4 Fleet Management
Software System and that such interfacing shall be made available to PURCHASER and
included at no charge to the city.
C. SELLER shall provide to PURCHASER its standard Limited Warranty with the
terms and conditions as set forth in Exhibit "C", which is attached hereto and incorporated herein
by reference.
D. SELLER shall make available to PURCHASER an extended maintenance
agreement which shall become effective upon the expiration of SELLER'S Limited Warranty.
such extended maintenance shall be made available to PURCHASER at an annual cost of
$3.855.00 which shall cover both hardware and software. The terms of such extended
maintenance have been made available to PURCHASER in a separate writing and, if accepted
by SELLER, shall be incorporated herein by reference.
V.
MISCELLANEOUS PROVISIONS
A. The Agreement shall be binding upon and inure to the benefit of the parties hereto
in their respective heirs, representatives, administrators, successors, and/or assigns, subject,
however to the limitation in Subparagraph "H" hereinbelow.
B. All necessary notices, demands and requests required or permitted to be given
hereof shall be deemed duly given when delivered or within five (5) days after being mailed to
each party by United State mail, postage pre -paid, certified mail, return receipt requested, to the
following address or to such other address as either party shall hereinafter request in writing:
1. IF TO SELLER:
MegaTronics International Corp.
P. O. Box 460584
San Antonio. Texas 78246-0584
Attention: Kay Turner
2. IF TO PURCHASER:
Woody Wilson
City Of Lubbock
324 Municipal Drive
Lubbock, Texas 79457
Attention: Woody Wilson
C. The paragraph headings contained in this Agreement are for the convenience of
reference only and do not form a part hereof and in no way modify, interpret, or construe the
meaning of the parties.
D. Any reference in this Agreement to the masculine gender shall also apply to the
feminine gender as well. Likewise, any reference to the singular or plural, should be applicable
to either and shall not restrict or limit the applicability of this Agreement.
E. In the event that any provision of this Agreement is determined invalid or
otherwise unenforceable, such invalidity or enforceability shall not affect the remaining
provisions of this Agreement.
F. The parties agree the Software shall be held in confidence by the PURCHASER
and shall not be disclosed to others, except as required by the Texas Public Information Act.
F. The parties hereto agree that it is their intent that this Agreement and the
performance hereunder and all suits and special proceedings hereunder shall be construed in
accordance with under, and pursuant to the laws of the State of Texas and that in any action,
special proceeding, or any other proceeding which may be brought, arising out of, or in
connection with, or by reason of this Agreement, the laws of the State of Texas, shall be
applicable and shall govern to the exclusion of the law of any other forum, without regard to
jurisdiction in which any action or special proceeding may be instituted, and venue shall be in
Lubbock County, Texas.
G. The parties acknowledge and agree that this Agreement is not assignable and
PURCHASER may not assign, sub -license, transfer any of its rights or duties, under this
Agreement without the prior express written consent of SELLER.
H. PURCHASER OR PURCHASER'S AUTHORIZED REPRESENTTIVE,
ACKNOWLEDGES THAT HE/SHE HAS READ THIS AGREEMENT, UNDERSTANDS
SAID AGREEMENT, AND AGREES TO THE TERMS AND CONDITIONS HEREOF.
PURCHASER FURTHER AGREES THAT THIS AGREEMENT IS THE COMPLETE
AND EXCLUSIVE STATEMENT OF THE AGREEMENT BY AND BETWEEN
SELLER AND PURCHASER AND SUPERSEDES ANY PROPOSAL, OR PRIOR
AGREEMENT, EITHER ORAL OR WRITTEN, BETWEEN THE PARTIES
REGARDING THE WITHIN SUBJECT MATTER.
IN WITNESS WHEREOF, the parties have caused this Agreement to be executed by
their duly authorized officers or representative on the date first above written.
CITY OF LUBBOCK
FLIP � � W F-- -=.. M WMM
00�
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'Wa,v�"?WWjj
NO 0.0-1
ATTEST:
Kaytbft Parnell
City Se&etary
APPROVED AS TO CONTENT:
Sharlett Chowning
Information Technology Manager
APPROVED AS TO FORM:
R
n M. Knight
Assistant City Attorney
MEGATRONICS INTERNATIONAL
CORPORATION
11�'�
Kay H. Turner
Chief Executive Officer
ATTEST:
Name: 4 Xerynee !/%GE �i.Co tio�.•T
Title: f3+'D e! .d7 5&d t
EXHIBIT "A"
BUDGETARY QUOTATION
DATE:
30-Mar-99
MegaTrak
Host/Remote Key Access Control System
PROP. #
1379
Expiration
90 Days
Purchase Order #
Cust. Name
City of Lubbock
Exp Close
Add 1:
P. O. Box 2000
PHONE #
806/775-2175
Add 2:
324 Municipal Drive
FAX #
806/775-3085
City, St, Zip
Lubbock, TX 79457
E-MAIL
Contact
Mr. Woody Wilson
Title
Fleet Services Manager
Mfr.
MegaTronics International Corp.
PHONE #
800-684-4316
Contact
I Keith Davis or Suzette Vaughan
FAX #
210-804-1020
E-Mail
megatrak@sanantonio.net
PART #
HARDWARE
QTY
PRICE
TOTAL
3000
Micro Control Unit 120 Volt AC Powered
22
$ 1,495.00
$ 32,890.00
3001
Micro Control Unit 12 Volt DC Powered
0-
3010
Micro Control Unit Multi Product Dispenser Interface
0
$ -
$ -
2010
AC COMM Module
2
$ 695.00
$ 1,390.00
2020.Key
Drive & Key Drive Card
0
$ -
$ -
2100
Key(s) (1 Transaction Type)
1,800
$ 7.00
$ 12,600.00
2101
Key(s) 4K - 10 Transaction Type)
0
$ -
$ -
2102
Key(s) (16K - 44 Transaction Type)
3
$ 29.95
$ 89.85
2040
IGC Host Controller w/Key Drive, Modem & Software
1
$ 2,195.00
$ 2,195.00
2041
IGC Remote Controller w/Key Drive, Modem & Software
2
$ 1,795.00
$ 3,590.00
2060
MTI External Modem V.32/42 bis. See Note 1
0
$ -
$ -
2210
Me aTrak Data Guard Sure Suppression System
1
$ 665.00
$ 665.00
8002
Me aTrak ATG System with 2 Ultrasonic Liquid Level Probes
0
$ -
$ -
800L
ATG Liquid Sensor
0
$ -
$ -
8200
ATG Modem Switch, 2 Line
0
$ -
$ -
8210
ATG Modem Switch, 3 Line
0
$ -
$ -
8100
Me aTrak LPG Tank Monitor System
0
$ -
$ -
2200
Me aTrak LLD Line Leak Detection
0
$ -
$ -
2220
Electronic Pulser Kit
3
$ 165.00
$ 495.00
2230
Fluid Solenoid Valve
0
$ -
$ -
2240
MPD Switch Mount
0
$ -
$ -
2900
Fuel Truck Cabinet Mounting Package
0
$ -
$ -
2070
S are Part MCU Module
2
$ 1,095.00
$ 2,190.00
2080
Printer
0
$ -
$ -
2417
Serial Port
0
$ -
$ -
2418
Parallel Port
0
$ -
$ -
2419
External Tape Drive Back-up w/Parallel Port Card
0
$ -
$ -
3982
Bus Mouse w/Card
0
$ -
$ -
8255
Belden #8255 ATG Liquid Sensor Cable
0
$ -
$ -
8102
Belden #8102 ATG Cable
0
$ -
$ -
3982
Belden #88102 Direct Burial ATG Cable
0
$ -
$ -
3982
Belden #9740 MCU Communication Cable
1000
$ 0.25
$ 250.00
Sub Total
$ 56,354.85
7.1
tation No.
1379.0
PART #
SOFTWARE:
2001
Me aTrak Version 2.4 Host Software
0
$ -
-
2002
Me aTrak Version 2.4 Site Controller Software
0
$ -
$ -
2003
Me aTrak Preventive Maintenance Module
0
$ -
$ -
2004
Me aTrak Parts Inventory Module
0
$ -
$ -
2005
Me aTrak ATG Module
0
$ -
$ -
2006
Me aTrak LPG Module
0
$ -
$ -
Customer to Provide PC per MegaTrak Specifications
Yes/No
Sub Total
$ -
PART #
INSTALLATION AND TRAINING:
Note 2 & 3
MTI Factory Start -Up & On -Site Training Services
1
$ 5,000.00
$ 5,000.00
Note 3
Additional MTI Factory Start-up & On -Site Training Services Per Day
0
$ -
$ -
Note 4
Sub -Contracted Labor, Parts, & Materials
0
$ -
$ -
Note 5 & 6
Site Engineering or Corrective Work
0
$ -
$ -
Note 9
MTI Advanced Service or End User Training Classes
0
$ -
$ -
2500
Me aTrak Introducto Video
0
$ -
$ -
2501
MegaTrak Basic Installation and Training Video Set
0
$ -
$ -
Note 7
Shipping & Handling
1
$ 934.50
$ 934.50
Sub Total
$ 5,934.50
SUB -TOTALS
Hardware
$ 56,354.85
Software
$ -
Install & Shipping
$ 5,934.50
Grand Total
$ 62,289.35
Note 1: Dedicated phone line is required for modem connections.
Note 2: MTI Factory Start -Up is a minimum requirement for all initial installations.
Note 3: Expenses including airfare and hotel are invoiced separately from this Quote, upon project completion.
Note 4: Electrical and/or Mechanical work on dispensers, electrical panels, tanks, gates, etc.
Note 5: Unless so stated, Quotation does not include preliminary site inspection work.
Note 6: Additional corrective engineering not within scope of Proposal is subject to Change Order.
Note 7: Average shipping cost $44.50 per system component.
Note 8: MTI recommends surge protection equipment on all system Installations.
Note 9: Classes are two full days in San Antonio, Texas. Contact MTI for the latest schedule and details.
Note 10: This Quotation does not include any electrical or sub -contracted labor.
Terms: 50/40/10
All of the above prices contingent upon the limits and conditions attached.
APPROVAL AND DATE
MTI Pricing
PART #
HARDWARE
QTY
PRICE
3000
Micro Control Unit 120 volt AC Powered
0
$ 1,495.00
3001
Micro Control Unit 12 volt DC Powered
0
$ 1,495.00
3010
Micro Control Unit Multi Product Dispenser Interface
0
$ 2,495.00
2010
AC COMM Module
2
$ 695.00
2020
Key Drive
0
$ 495.00
2100
Key(s) (1 Transaction Type)
1800
$ 7.00
2101
Key(s) (10 Transaction Type)
0
$ 19.95
2102
Key(s) (16K 44 Transaction Type)
3
$ 29.95
2040
IGC Host Controller w/Key Drive and Modem
1
$ 2,195.00
2041
Industrial Grade Controller w/Key Drive and Modem
2
$ 1,795.00
2060
MTI Modem V.32/42 bis. See Note 1.
0
$ 179.00
2210
Me aTrak Data Guard Sure Suppression System
1
$ 665.00
8001
Me aTrak ATG System with 2 Ultra Sonic Liquid Level Probes
0
$ 4,995.00
800E
ATG Liquid Sensor
0
$ 195.00
8200
ATG Modem Switch, 2 Line
0
$ 149.00
8210
ATG Modem Switch, 3 Line
0
$ 249.00
8100
Me aTrak LPG Tank Monitor System
0
$ 5,295.00
2200
Me aTrak LLD Line Leak Detection
0
$ 995.00
2220
Electronic Pulser Kit
3
$ 165.00
2230
Fluid Solenoid Valve
0
$ 126.00
2240
MPD Switch Mount
0
$ 149.00
2900
Fuel Truck Cabinet Mounting Package
0
$ 3,150.00
2070
S are Parts Module
2
$ 1,295.00
2080
Printer, (define model # and type here) - Panasonic Model
0
$ 349.00
2417
Serial Port
0
$ 35.00
2418
Parallel Port
0
$ 25.00
2419
External Tape Drive Backup w/Parallel Port Card
0
$ 300.00
3982
Bus Mouse w/Card
0
$ 52.00
8255
Belden #8255 ATG Liquid Sensor Cable
0
$ 0.65
8102
Beldon #8102 ATG Cable
0
$ 0.70
3982
BeIdon #88102 direct burial ATG Cable
0
$ 1.70
3982
Beldon #9740 MCU Communication Cable
1000
$ 0.25
Sub Total
Page 1
MTI Pricing
PART #
SOFTWARE:
2001
Me aTrak 2.4 Host Software
0
$ 1,895.00
2002
Me aTrak Site Controller Communications Package
0
$ 495.00
2003
Me aTrak Preventive Maintenance Module
0
S 1,995.00
2004
Me aTrak Parts Inventory Module
0
$ 495.00
2005
Me aTrak ATG Module
0
$ 395.00
2006
Me aTrak LPG Module
0
$ 600.00
Customer to Provide PC per MegaTrak Specifications
Yes/No
No
Sub Total
PART #
INSTALLATION:
Note 2 & 3
MTI Factory Start -Up & Training Services 2 days)
0
$ 1,450.00
Note 3
Additional MTI Factory Start -Up & Training Services per day
0
$ 500.00
Note 4
Sub -Contract Labor, Parts, & Materials
0
S 750.00
Note 5 & 6
Site Engineering or Corrective Work
0
$ 500.00
Note 9
MTI Advanced Service or End User Training Classes
0
$ 300.00
2500
Me aTrak Introducto Video
0
$ 5.95
2501
MegaTrak Basic Installation and Training Video Set
0
$ 14.95
Note 7
Shipping & Handling
0
$ 44.50
Sub Total
SUB -TOTALS
Hardware
Software
Installation
GRAND TOTAL
Page 2
MITI Pricing
TOTAL
WEIGHTS LBS.
Tot. W ht LBS
$ -
11
0
$ -
11
0
$ -
0
$ 1,390.00
3
6
$ -
0.005
0
$ 12,600.00
0.0125
22.5
$ -
0.0125
0
$ 89.85
0.0125
0.0375
$ 2,195.00
28
28
$ 3,590.00
22
44
$ -
0.74375
0
$ 665.00
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ 495.00
0
$ -
0
$ -
0
$ -
0
$ 2,590.00
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ -
0
$ 250.00
0
S 23,864.85
100.5375
Page 3
MTI Pricing
$ -
Tot. Wght (Ibs)
$ 23,864.85
100,5375
$ -
0
$ -
0
$ 23,864.85
Page 4
EXHIBIT "B"
Year 2000 Compliance
This is to certify that the MegaTrak Series 3000 Automated Fuel Control System and its internal
computer systems are year 2000 compliant as defined by the Petroleum Equipment Institute (PEI).
MegaTronics International Corp., the manufacturer, certifies that its MegaTrak products will not
experience difficulties or changes in service levels related to the change in century as the result of such
products and internal computer systems not being able to process the date change. Accordingly, it is
hereby certified and warranted that such products will (i) have no lesser functionality with a respect to
records containing dates before or after January 1, 2000, than previously with respect to dates prior to
January 1, 2000; (ii) correctly interface with other software used which may deliver records to, receive
records from, or otherwise interact with software in the regular course of data processing, assuming that
the compatibility for such software has been previously predetermined.
The MegaTrak fueling system exceeds the standards of the Petroleum Equipment
Institute (PEI) which defines Y2K compliance as the "ability of a computer system and/or related
hardware, including all components provided by vendors to:
1. Handle date information before, during, and after January 1, 2000,
including, but not limited to, accepting date input, providing date input,
and performing calculations on dates or portions of dates.
2. Function accurately and without interruption before, during, and after
January 1, 2000, without any change in operation associated with the
event of the year 2000 and the new century.
3. Respond to two -digit year input in a way that resolves the ambiguity as to
century in a disclosed, defined, and predetermined manner.
4. Process two -digit year information in ways that are similarly unambiguous
as to century.
5. Store and provide output of date information in ways that are similarly
unambiguous as to century.
6. Recognize and respond to the fact that the year 2000 is a leap year.
In addition, MegaTrak will operate "accurately" in the manner it was intended in
regard to date -related operations when given a valid date containing century (as defined by a
four -digit year), year, month, and day. For purposes of this certification, the term "accurately"
shall be defined to include.
Calculations using date must execute using a four -digit year;
2. Functionality on-line batch, including but not limited to entry, inquiry,
maintenance and update, must support four -digit year processing.
3. Interfaces and reports must support four -digit year processing;
4. Successful translation into year 2000 with the correct system date (e.g.
1/1/2000) without human intervention;
5. Processing with a four (4) digit year after transition to any beyond the year
2000 without human intervention;
6. Providing correct results in forward and backward date calculation
spanning century boundaries;
This affirms MegaTronics International Corp.'s state of the art technology and
provides maximum assurance that you are receiving a product that is compliant with the changing
needs of tomorrow.
Kay H. Turner
Chief Executive Officer
MegaTronics International Corp.
8833 Tradeway
San Antonio, TX 78217
(210) 804-1007
EXHIBIT "C"
LIMITED WARRANTY
MEGATRONICS INTERNATIONAL CORP. (MTI) warrants the MegaTrak Fuel
Control System (hereinafter referred to as "MegaTrak") to be in good working order for a period
of one (1) year from date of installation to the original End User. Such Warranty shall apply
only to those MegaTrak products installed by MTI, or by an authorized MTI DISTRIBUTOR.
Such Limited Warranty shall apply in the event of failure of any part(s) proved to be defective in
workmanship or material occurring within that one (1) year period. MTI, at its option, will repair
or replace the Product(s) at NO CHARGE FOR PARTS for the aforesaid period of one (1) year
under the terms and conditions as set forth in this Limited Warranty.
All Warranties for defective part(s) in the MegaTrak System, expressed or implied,
including merchantability and fitness for purpose, are limited to one (1) year from the date of the
original installation to an original User and no Limited Warranty, either expressed or implied,
will apply after that date.
The Limited Warranty provided by MTI on Software shall be for a period of one (1) year
following the installation of the MegaTrak System at the site of the End User. Software support
shall be made available telephonically, with a response of time (24) hours, and End Users are
encouraged to purchase the installation of diagnostic programs, for an additional cost, on the
installed Software for optimum telephone support.
If the MegaTrak System does not perform as warranted herein, the owners of such
System, as their sole remedy, shall look to MTI, to repair or replace the System as provided
below. In no event, however, will MTI be liable for damages, consequential damages, lost
revenue, lost wages arising from the purchase, use, or inability to use this product, even if MTI
has been advised of the possibility of such damages.
Upon notification of a defective Part(s) or the non-functioning of the System, MTI shall
arrange for the repair or replacement of the defective part(s), if within the Warranty period. If a
defective part(s) or product is required to be returned to MTI, the Customer agrees to obtain a
Return Merchandise Authorization (RMA) number and to return such item(s) , insured, freight
prepaid, and securely packaged to either the local Distributor from which the part(s) or product
was purchased or to MTI's Corporate Headquarters located at 8833 Tradeway, San Antonio,
Texas 78217. No expressed or implied Warranty is made for any MegaTrak part(s) and/or
Products which are not installed, used, or operated in accordance with MegaTrak instructions
and specifications, or which may be damaged by accidents, abuse, misuse, vandalism, natural or
personal disaster, including, but not limited to lightning, fire, flood, riot, and/or any unauthorized
modifications.
(Hardware and Software Maintenance Agreements shall be made available for purchase by all
MegaTrak Customers, covering the period following the expiration of this Limited Warranty).
This Limited Warranty shall apply only to those MegaTrak Products sold to and installed
at the original End User by MTI or its authorized agent(s), dealer(s), and/or Distributor(s).