Item 4GCity of Southlake, Texas
M E M O R A N D U M
June 5, 2012
To: Shana Yelverton, City Manager
From: Sharen Jackson, Finance Director
Tim Slifka, Purchasing Manager
Item 4G Approve agreement with SecureBid LLC to allow acceptance of
Subject:
electronic bids and proposals.
_____________________________________________________________________
Action Requested:
Approve agreement with SecureBid LLC to accept electronic bids and
proposals on behalf of the City of Southlake.
Background
Information:
The Finance Department continually researches ways to lower costs and
streamline processes for purchasing City required goods and services. A
typical electronic bid service charges the vendor a subscription fee as
well as a percentage of contract value per transaction to use their service.
This cost is in addition to the amount charged to the City for setting up the
service. Our partnership with SecureBid LLC not only offers the service at
no cost to Southlake but our vendors will receive a value added option
and pay a one-time nominal fee to respond to a bid. This is a great
partnership that is a win-win for all involved and optimizes the use of
internet technology to accomplish this goal. An added benefit is the
efficiency gained by staff with the automation of vendor notifications.
We believe the notification enhancements offered by this service may
increase vendor participation translating to increased opportunity to
obtain best value when bidding for goods or services. Although the cost of
this service is incurred by participating vendors, it is significantly less than
the cost of a courier, priority mail services or lost opportunities resulting
from late submissions.
Financial
Considerations:
There is no cost to the City to enter this agreement with SecureBid LLC.
Strategic Link
: Providing electronic bid and proposal submissions archive multiple areas
of the City’s Strategy Map including:
B2 – Collaborate with select partners to implement service solutions.
B5 – Improve performance of delivery and operational processes
B6 – Optimize use of technology
Citizen Input/
Board Review:
None
Legal Review:
Review completed by TOASE the City’s Attorney.
Alternatives:
Deny approval of agreement with SecureBid LLC.
Supporting
Documents:
SecureBid LLC agreement documents.
Staff
Recommendation:
City Council approval of agreement with SecureBid LLC.
SECUEBID AENCYSE AGREEMET
RRGGUURNN
This Agreeement, dated and enttered into tthis _____ dday of ____________________ 2012, is by
and bettween SecuureBid, LLC, a TexasLimitedLLiability Coompany (heereinafter ccalled
“SecureBBid") and thee City of Southlake, Texas, (hereinnafter calledd “Client”). (SecureBidd and
Client arre sometimees hereinafteer collectiveely referredd to as the ““Parties” annd individually as
a “Party..”)
WITTNESSETH:
WWHEREAS, SeecureBid heereby enterss into an aagreement((the "Agreement") withh the
Client reegarding thee provisionof online pprocuremennt support sservices to perform ceertain
professioonal servicees requiredof SecureBBid subjectto the terms and coonditions off the
Agreemeent;
NOW, THEREEFORE, SecuureBid and CClient in coonsiderationn of the forregoing, andd the
terms annd conditionss herein conntained, do hhereby agreee as followss:
1.
Requuirements annd Extent oof Agreemennt
A.SecureeBid covenaants to furnish its bestskill and juudgment asan indepenndent
contracctor and too comply wwith Client'ss other proocurement policies andd procedurees in
furtherring the intterests of CClient and SSecureBid. SecureBidshall endeaavor to proomote
furtherrance of thee Client’s prrocurement objectives iin the mostexpeditiouss and econommical
manner consistent with the interests of Client and the requiremeents of the AAgreement.
B.SecureeBid agreess to work under the general ddirection off Client and, if
applicaable, work with emplloyees, eleccted officiaals and ageents of Clieeded.
ent as ne
SecureBid is solelyy responsiblle for the pprofessionalquality, tecchnical accuuracy and tiimely
deliverry of reliablee and securee online servvices as desccribed hereiin.
C.SecureeBid shall provide suufficient quualified perrsonnel neccessary to fully
compleete all serviices requireed under thiis Agreemennt in a proffessional maanner consistent
with thhe requiremeents of the AAgreementaand applicabble professioonal standarrds.
D.Securiity and encrryption parameters of thhe System aare detailedin Exhibit AA.
2.
Scopee of Servicees
The proffessional serrvices providded by SecuureBid to Cliient under tthe terms off this Agreeement
includetthe followingg:
A.Reliabble access too the Systemm through thhe primary aauthorized uuser account and
associaated user accounts estabblished by this Agreemeent and Clieent. Accessto user accoounts
and funnctionalityoof the Systeem is providded for a miinimum of 998.9% of up--time each year.
Interruptions in System acceess or functtionality willl be commmunicated thhrough emaail to
Clientin as much advance nottice as possible, and wiill be restriccted to Systtem maintennance
as needded.
B.Electrronic posting of procurrement soliccitations inccluding, but not limiteed to
Requessts for Propoosals, Requeests for Quaalifications,and Requessts for Inforrmation. Poosting
of soliccitations will include fieelds in the Syystem that aallow at a mminimum:
Solicitatioon title
1.
Solicitatioon identification numberr
2.
Solicitatioon descriptioon
3.
Applicablee NAICS andNIGP commmodity and seervice codess
4.
Solicitatioon posting daate and timee
5.
Solicitatioon closing daate and timee
6.
C.Electrronic uploadding of multtiple documments related to solicitaation postinngs in
diversee digital foormats including Microosoft Wordd, Microsoftt Excel, MMicrosoft Acccess,
Microsooft PowerPooint, AdobePDF, Adobee Photoshopp, various image file ttypes (i.e. JJPEG,
BMP, etc.), and AuutoCAD files..
D.Securee message ssystem for eeach solicitaation that allows third-party vendoors to
submitquestionstto Client andd for Clientto respond so that all interested vendors mayview
questioons and responses. Thhe messagesystem alloows for Clieent to initiaate messagees to
vendorrs for announncements annd updates tto solicitatioons.
E.Electrronic uploadding of multtiple documents by thirrd-party venndors responnding
to soliccitation posttings in diveerse digital formats including Microosoft Word,Microsoft EExcel,
Microsooft Access, MicrosoftPPowerPoint,Adobe PDFF, Adobe Phhotoshop, vaarious imagee file
types (i.e. JPEG, BBMP, etc.), aand AutoCADD files.
F.Access to all acctive and aauthorizedpprocuremennt solicitatioon postingss and
documeents for thirrd-party venndors seekingg opportunitties to do buusiness with Client.
G.Prohibbited accesss of Client to submitteed responsees and docuuments of tthird-
partyvvendors, inccluding venddor identificcation, untill such timeas the possted closingdate
and timme has passsed. Additionally, venndors have no access tto submitted responsess and
documeents once thhe posted closing date aand time hass passed.
H.Custoee assistanceby email tthrough theSystem 24--hours eachday,
mer servic
and byy telephoneduring the hours of 7:000 am – 7:00 pm Centrral Standard Time, Monday –
Friday.
I.A onee-time fee wwill be chargged to thirdd-party venddors solely ffor the submmittal
pponses and documentsto Client soolicitationppostings. Thhis fee will be $35 foreach
of res
solicitaation postingg that eachthird-partyvendor responds to. SSecureBid reeserves theright
to incrrease or deccrease this bid/proposaal submittall fee by upto 25% annnually with prior
noticeprovided to Client.
3.
Connfidentialityy
A.Fromtime to timme during the term of thhis Agreemeent, it may be necessarry for
performmance of thhis Agreement for a parrty (the "Dissclosing Party") to discllose Confideential
Informaation (as deefined beloww) to the otther party ((the "Receivving Party").. In such event,
and tothe extent allowed byy the appliccable law gooverning this Agreemennt, the Receeiving
Partyaagrees to (i)) maintain inn strict conffidence all CConfidential Informatioon disclosedto it
by thee DisclosingParty; (ii)limit access to the CConfidentiall Informatioon solely too the
Receiviing Party's oofficers, direectors, emplloyees and aagents who have the neeed to revieww the
informaation in connnection witth the underrtakings of tthis Agreemeent; (iii) inssure that peersons
with prroper accesss to the Connfidential Innformationwwill abide bby the termss of this secction;
and (ivv) use the Coonfidential Information solely in furrtherance off this Agreemment.
B.For thhe purposesof this section, "Confidential Infoormation" shhall mean (i) any
informaation or maaterial whicch is propriietary, senssitive or connfidentialtto the Discllosing
Party,to any relatted entity off the Disclossing Party, oor to any enntity doing bbusiness with the
Disclosing Party, and (ii) any materialdesignated as "Confiddential Information" byy the
Disclosing Party, of which theReceivingPParty may obbtain knowleedge or acceess as a resuult of
this Agreement.
C.TheRReceiving Party shall conntinue to obbserve the requirements of this secction,
notwithhstanding tthe terminaation of this Agreemeent, for soo long as tthe Confideential
Informaation remainns proprietaary and sensiitive.
D.In thee event of aa breach of this sectionn by the Recceiving Partty, the Discllosing
Partysshall be entiitled to injunctive relieff in additionn to any othher remedy,including claims
for dammages that it might otheerwise have.
E.Clientt is responnsible for protectingthe confiddentialityoof any userr IDs
associaated with thhis agreemeent. In adddition, Cliennt is responsible for paasswords annd all
activityy with SecureBid accouunts includinng that of ussers authoriized by theClient thattake
placetthrough theprimary acccount or asssociated acccounts. Clieent must keeep accountss and
passwoords confidential. Cliennt must tellSecureBidrright away aabout any poossible misuuse of
accounnts or any seecurity incideent relatedto the SecureBid Systemm.
iithstandingtthe above, CClient may ddisclose Connfidential Information to the
F.Notw
extentrequired by law or inresponse too a written Public Infoormation Acct Request uunder
Texasllaw. In the eevent that ddisclosure ismandated,the Custommer agrees too provide wrritten
noticeto SecureBid.
4.
Storagge of ClientData
Confidenntial Clientdata including, but nnot limited to activeand pendiing procurement
solicitations, solicitation-relateed messagess and respoonses, bid tabulations,, and submmitted
vendorbbids and propposals shallbe stored oon the SecurreBid Systemm for a periood of three yyears
at no cosst to the Cliient, a periood that takees effect witth date of eexecution ofthis Agreemment.
Client shhall retain full accessto this data during tthis time thhrough the authorizeduser
accountss establishedd and mainttained undeer the termss of this Agrreement. AAfter three yyears
has passeed from thee date of exxecution of tthis Agreemment, SecureeBid requirees executionn of a
separate Data Archiival Agreemment with CClient that sspecifies teerms and coonditions for the
long-termm storage off Client dataa, which hass an annual ccost associated with theese services.
5.
Statuss of SecureBBid
A.SecureeBid shall not be considdered an emmployee of Client, but shall occupyy the
statusof indepenndent contrractor as a professional service provider. SecureBidshall
performm its tasks aand duties cconsistent wwith such staatus, and will make no cclaim or demmand
for anyy right or prrivilege applicable to an agent, servant or emmployee of CClient, incluuding,
but nott limited to, worker’s ccompensatioon, disabilityy benefits, ttax withholdding, accideent or
healthinsurance, uunemploymeent insurancce, social security or rettirement meembership.
6.
Indeemnificationn
SECUREBBID AGREESS TO INDEEMNIFY, DEEFEND ANDD SAVE HAARMLESS CLIENT ANDD ITS
RESPECTTIVE OFFICEERS, OFFICIALS, CONSSULTANTS, AGENTS ANND EMPLOYYEES FROMANY
AND ALLL CLAIMS AAND LOSSES ACCRUINGG OR RESULLTING FROMM ANY ACTOF SECUREEBID,
INCLUDINNG ITS OFFFICERS, CONNTRACTORSS, AGENTS AAND EMPLOOYEES, CONNTRACTORSAND
SUBCONTTRACTORS IN CONNECCTION WITHH THE PERFFORMANCEOOF THIS AGGREEMENT,AND
FROM ANNY AND ALLL CLAIMS ANND LOSSES AACCRUINGOOR RESULTIING TO ANYY PERSON, FFIRM,
CORPORAATION, ORLEGAL ENTTITY THATMAY BE INNJURED ORR DAMAGEDBY SECUREEBID,
INCLUDINNG ITS OFFFICERS, COONTRACTORRS, AGENTTS, EMPLOYYEES, CONTTRACTORSAND
SUBCONTTRACTORS IIN THE PERFFORMANCEOF THIS AGGREEMENT.
6.
Teermination
A.ThisAAgreement mmay be termminated by Client at anny time, for any reason, by
giving SeecureBid at lleast five (5) days priorwritten nottice. SecureeBid may alsso terminatee this
Agreemeent, upon giving Clientt at least thirty (30) ddays prior wwritten nottice, for Cliient’s
failuretto substantially performm in accorddance with the terms of this Agreement. Onn the
effectivee date of such terminattion, SecureBid shall ceease all servvice deliveryy. Within 30 days
after terrmination,SSecureBid shhall submit tto Client alll files, calcuulations, exhhibits, and oother
relateddocuments. SecureBBid shall nnot be entiitled to any damagesas a resuult of
terminattion, includiing, but nott limited too loss of annticipatedpprofits or reevenues or oother
economicc loss arisingg out of or rresulting from terminatiion.
B.Termiination is noot Client's ssole remedyy. In no evvent shall CClient’s actioon of
terminatting this Agreeement, whhether for caause or otheerwise, be deeemed an exclusive eleection
of Clientt’s remedies, nor shall ssuch terminaation limit, iin any way,at law or att equity, Cliient’s
right toseek damaages from or otherwise pursue SecureBidffor any deefault or brreach
hereundeer or other aaction.
C. This AAgreement iss effective uupon the datte signed byy the partiess and shall
continuee until terminated subjeect to the terms of this ssection of thhe Agreement.
7.
General Provisions
A.Assignmennt. This Aggreement shhall be bindding on thee Parties heereto,
their succcessors, asssigns and rrepresentatiives. SecurreBid shall not transfeer or assignn this
Agreemeent or interrest in or tto this Agreeement or any part hereof, withhout havingfirst
obtainedd Client’s prior writtenn consent, wwhich may be withhelld in the soole discretioon of
Client.
B.Governingg Law and VVenue. Thiss Agreemennt shall be ggoverned byy and
construed solely in aaccordance wwith the lawws of the Staate of Texass, except with respect to its
conflictsof law provision. EXCCLUSIVE VENNUE FOR ANNY LEGAL ACCTION SHALLL LIE IN Taarrant
County,TTexas.
C.Notiices.All wrritten noticees to Client bby SecureBidd shall be adddressed to:
Tim Slifka
PurchasingManager
City of Soutthlake
1400 Main Street, Suitte 440
Southlake,Texas 760992
All wrritten noticees to SecureBBid by Client shall be adddressed to::
Brian Trustty
SecureBidLLLC
6716 Summmer Meadoww Lane
Dallas, Texas 75252
D.No Financial Interesst. SecureeBid covennants and representsthat
SecureBid, its officcers, employees, agentts, and subb-contractorrs will havee no substaantial
financial interest, direct or inddirect, in services, prodducts, materials or equuipment thatt will
be speciffied for thedelivery of services as ddefined hereein.
E.Survival.Any and allrepresentattions and coonditions maade by SecureBid
under this Agreemennt shall surviive the execcution, delivvery and terrmination off it.
F.Cumulativve Remediess. In the eevent of deefault by SeecureBid heerein,
hhall have allrights and rremedies affforded to it at law or inn equity to rrecover dammages
Client s
and inteerpret or ennforce the tterms of thhe Agreemennt. The exxercise of aany one right or
remedysshall be witthout prejuddice to the eenforcement of any othher right orremedy alloowed
at law orr in equity.
G.Incorporattion of Addditional Proovisions. Each provission and clause
requiredby law or tthe Agreemeent to be innserted intothis Agreemment shall bbe deemed tto be
includedherein and this Agreeement shaall be read and enforrced as thoough each were
physically included hherein.
H.Waiver.TThe failure oon the partof Client heerein at anyy time to require
the perfoormance bySecureBid oof any portioon of this Aggreement shhall not be ddeemed a wwaiver
of, or inany way afffect Client’ss rights to eenforce suchh provision oor any otherr provisions. Any
waiverbby Client herrein of any provision heereof shall nnot be takeen or held too be a waivver of
any otheer provisionshereof or any other breeach hereoff.
I.Entire Agrreement. TThis Agreemeent and thee Exhibits reeferenced herein
are incorrporated herein for allpurposes annd, together, constitutee the entiree Agreementt and
supersedde all prioragreementts and understandingsbetween tthe Partiesconcerningg the
subjectmmatter of thhis Agreemennt.
J.Severabilitty. The invalidity, illegality oor unenforcceability off any
provisionn of this Agreeement shalll not affectt the validityy, legality or enforceability of any oother
provisionn of this Agreeement.
K.Authority. SecureBidrepresentsto Client thhat SecureBiid has full ppower
hhority to exeecute, delivver and perfform this Aggreement, aand the execution, delivery,
and aut
and perfformance heereof has beeen duly auuthorized byy its manageement and governingbboard
and no oother actionn is or wasrequired too be taken to permit tthe executioon, deliveryy and
performaance of thisAgreement..
L.Professionnal Credit. SecureBid shall havee no right to publicizze its
involvemment in the Project or iits work pursuant to thhis Agreemeent, or any portion theereof,
includingg without limitation iin ay prommotional maaterials, prrofessional publicationss, or
competittion submisssions, except upon the pprior writtenn approval oof Client.
IN WITNESSS WHEREOFF, the Partiees have execcuted this AAgreement, tto be effective
as of thee date first sstated abovee.
SecureBid,LLC
An Texas Liimited Liability Companny
As SecureBiid
By:
Printed Namme: BBrian Trusty
Title: PPresident
City of Soutthlake, Texaas
As Client
By:
John Teerrell, Mayorr
ATTEST:
By: ____________________________________________
Alicia RRichardson, TTRMC, City SSecretary
Approved aas to Form annd Legality:
By:__________________________________________
City Atttorney
EXHIBIT A
SecureeBid Security and EEncryptioon Parameters
All loginss and registeered use of tthe SecureBid System are performeed via a Secuure Socket LLayer
(SSL) whiich ensuresup to 256-boom individuaal user’s commputers. Thhe
it encryption to and fr
SSL is a ccryptographiic protocol tthat providees communiccation securrity over thee Internet,
encryptinng the segments of netwwork connecctions abovee the Transpport Layer, uusing asymmmetric
cryptograaphy for keyy exchange,symmetric encryptionffor privacy,and messagge
authenticcation codess for messagge integrity. This protoocol allows cclient-serverr applicationns to
communiicate across a network iin a way dessigned to preevent eavessdropping annd tamperin
g.
At its moost basic, thee SSL Certifiicate of theSecureBid SSystem is a ppiece of software that
encryptsall information moving to and fromm the websitte. This meaans no exchaange betweeen
SecureBid and its vissitors can bee intentionally or accideentally “oveerheard” or ttampered wwith
by a thirdd party, reggardless of wwhether thevisitor is upploading, subbmitting, ordownloadinng
documennts, including the viewinng of submittted bids andd proposals.. The SSL CCertificatennot
only conffirms the ideentity of SeccureBid to the visitor’sbrowser, buut also encryypts informaation
sent andreceived byy SecureBid..
The SecuureBid System utilizes ahigh-grade256-bit SSLencryptionto protect oonline
transactiions and usee of the systeem. The cooding and enncryption ofthe SecureBBid System
prevents the openingg and accesss of bids andd proposals by any userother thanthe vendor who
submitteed these doccuments throough the SeccureBid webbsite. A “seccurity curtaain” has been
encodedinto the sysstem that prrevents agenncy staff froom viewing tthe source oof submittedd bids
and propposals (vendoors) and thee actual submmitted docuuments untilthe designaated bid clossing
date andd time has paassed. Withh the releasee of the acceess and infoormation resstriction to tthe
agencyaat the bid cloosing time, tthe securityy curtain insttantly falls iin place forvendors so they
can no loonger accesss the documents they haave submitteed. This code has beenn written and
passwordd protectedwithin the aadministratoor panel of tthe system sso is not acccessible to either
agencyoor vendor useers at any tiime.