HomeMy WebLinkAboutContract 37426 (2)Your Name
Your Location
CITY OF FORT WORTH
1000 Throckmorton St
Fort Worth
TX 76102
ORACLE CONTRACT INFORMATION
Y S F.CRETARY
Jos% MRACT NO. 31q ...
Your Contact
Phone Number
Email Address
Julie Smith
817-392-8579
iulie.smith difortworthgov.org
Agreement: Software License and Services Agreement
Agreement Name: US-PSFT-SLSA-PS2033898-US-25-MAR-2004
This ordering document incorporates by reference the terms of the agreement specified above. The following defined and capitalized
terms in the referenced agreement between you and Oracle USA, Inc. (formerly known as PeopleSoft USA, Inc.) hereinafter "Oracle"
shall have the same meaning as the stated terms in this ordering document: "Agreement" and "agreement"; "Licensee" and
"you"/"your"; "Software" and "program"; "Support Services" and "technical support"; "Documentation" and "program documentation";
"Third Party Software" and "third party programs"; "Schedule" and "ordering document"; and "Supportable Modules" and "supportable
programs".
A. Description and Fees for Ordered Programs and Services
You have ordered the program licenses and 221 days of technical support services described below:
Listed below is a summary of net fees due under the ordering document. These fees are in US Dollars and are exclusive of any
applicable shipping charges or applicable taxes.
Enterprise
Product Description /License Type
PeopleSoft Enterprise Support - Reported Budget Perpetual
License
Software Update License &Support
®FFICIAL RECORD
CITY SECRETARY
FT. WORTH, TX
Discount
Quantity List Fee of
75,000,000
Net Fee
2607372 - 1.Jason.Farrow -' Issued by ORACLE USA, INC. 17-APR-
2008
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PeopleSoft Enterprise Support for Customer Self Service -Reported 75,000,000
Budget Perpetual
License
Software Update License &Support
PeopleSoft Enterprise CTI Integration -Reported Budget Perpetual 75,000,000
License
Software Update License &Support
PeopleSoft Enterprise Multichannel Interactions -Reported Budget 75,000,000
Perpetual
License
Software Update License &Support
List Fee Discount % Net Fee
Oracle
Programs
License
Fees
60,774.00
Oracle
Programs
Support
Fees
8,095.23
Net Fee 68,869.23
Total Fees 68,869.23
2607372 - 1.Jason.Farrow Issued by ORACLE USA, INC. 17-APR-
2008
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B. General Terms
1. Commencemenf Date
All program licenses and the period of performance for all services are effective upon shipment of tangible media or upon the
effective date of this ordering document if shipment of tangible media is not required.
2. Fees, Invoicing, and Payment Obligation
a. All fees due under this ordering document shall be non -cancelable and the sums paid nonrefundable, except as provided in
the agreement.
b. In entering into payment obligations under this ordering document, you agree and acknowledge that you have not relied on
the future availability of any program or updates. However, (a) if you order technical support for programs licensed under this
ordering document, the preceding sentence does not relieve Oracle of its obligation to provide such technical support under this
ordering document, if and when available, in accordance with Oracle's then current technical support policies, and (b) the
preceding sentence does not change the rights granted to you for any program licensed under this ordering document, per the
terms of this ordering document and the agreement.
3. Delivery and Installation
a. You shall be responsible for installation of the software.
4. Source Code
Oracle may deliver source code as part of its standard delivery for particular programs; all source code delivered by Oracle is
subject to the terms of the agreement, ordering document and program documentation.
5. Order of Precedence
In the event of any inconsistencies between the agreement and this ordering document, this ordering document shall take
precedence.
6. Segmentation
The program licenses provided in this ordering document are offered separately from any other proposal for consulting services
you may receive or have received from Oracle and do not require you to purchase Oracle consulting services.
7. General Terms -Invoicing GSA
In accordance with the agreement: (i) license fees are invoiced as of the commencement date; and (ii) service fees are invoiced
after the performance of the service, for technical support, services fees are invoiced quarterly in arrears from the
commencement date.
2607372 - 1.Jason.Farrow Issued by ORACLE USA, INC. 17-APR-
2008
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8. Territory
The program licenses and services described in section A are for use in the U.S.
C. Other
1. Technical Support
For purposes of the ordering document, technical support consists of 221 days of technical support services you may have
ordered for the supportable programs. The term "supportable programs" refers to those programs for which Oracle offers annual
technical support services, including third party programs specifically designated on the order as supportable programs. If
ordered, annual technical support (including first year and all subsequent years) is provided under Oracle's technical support
policies in effect at the time the services are provided. The technical support policies, incorporated in this agreement, are subject
to change at Oracle's discretion; however, Oracle will not materially reduce the level of services provided for supported programs
during the period for which fees for technical support have been paid. You should review the policies prior to entering into the
ordering document for the applicable services. You may access the current version of the technical support policies at
http://oracle. com/contracts.
Technical support is effective upon the effective date of the ordering document, from August 15�', 2008 to March 24`h, 2009;
unless otherwise stated in your order. If your order was placed through the Oracle Store, the effective date is the date your order
was accepted by Oracle.
Software Update License &Support (or any successor technical support offering to Software Update License &Support, "SUES")
acquired with your order may be renewed annually and, if you renew SUES for the same number of licenses for the same
programs, for the first and second renewal years the fee for SULS, will not increase by more than 4% over the prior year's fees.
There is no cap on fee increases for SULS for third party programs; unless otherwise provided in your order, the SULS fee for
third party programs that are identified as supportable programs licensed pursuant to an ordering document will equal the fee in
effect at the time SULS is renewed. If your order is fulfilled by a member of Oracle's partner program, the fee for SULS for the
first renewal year will be the price quoted to you by your partner; the fee for SULS for the second renewal year will not increase
by more than 4% over the prior year's fees. There is no cap on fee increases for SULS for third party programs; unless otherwise
provided in your order, the SULS fee for third party programs that are identified as supportable programs licensed pursuant to an
ordering document will equal the fee in effect at the time SULS is renewed.
If you decide to purchase technical support for any license within a license set, you are required to purchase technical support at
the same level for all licenses within that license set. You may desupport a subset of licenses in a license set only if you agree to
terminate that subset of licenses. The technical support fees for the remaining licenses will be priced in accordance with the
technical support policies in effect at the time of termination. Oracle's license set definition is available in the current technical
support policies. If you decide not to purchase technical support, you may not update any unsupported program licenses with
new versions of the program.
2. Pricing Pursuant to Expansion
The program licenses in section A with the license type Reported Revenues are ordered and subject to the applicable fees and
terms of the ordering document between you and Oracle dated 25-MAR-2004. As of the effective date of this ordering document,
your actual Reported Revenues is greater than or equal to 250,000,000. The Summary lists the program licenses acquired prior
to the effective date, program licenses acquired under this ordering document and the total number of program licenses acquired
to date.
2607372 - 1.Jason.Farrow Issued by ORACLE USA, INC. 17-APR-
2008
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3. Twelve Month Technical Support Fee
For the purposes of paragraph 3 in section C.1, the prior year's fee for the first renewal year is based on 12 months of technical
support and is equal to $13,370,28,
By signing below, the parties agree that the agreement and this ordering document constitute the entire agreement between the parties
with regard to the subject matter herein and as such, no other preprinted, non -negotiated or other terms and conditions, on the
customer's purchase order or elsewhere, shall apply. The offer is valid through 15-AUG-2008 and shall become binding upon execution
by you and acceptance by Oracle.
CITY OF FORT WORTH
Signature
Name
Title
Signature Date
Effective Date
OFFICIAL RECORD
CITY SECRETARY
FT. !NORTH, TX
ORACLE USA, INC.
Signature
O
Fernan _ ,,._���ar�a�@iVame
M515tan Title
—,!/— OS Signature Date
( to be completed by Oracle )
CITY ATTORNEY
ViidirY�'J
Cdii��i��
!►utharizatio>a
r,
W0
2607372 - 1.Jason.Farrow Issued by ORACLE USA, INC. 17-APR-
2008
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SUMMARY EXHIBIT
TOTAL NUMBER OF
PROGRAM
LICENSE
NUMBER OF PROGRAM
NUMBER OF PROGRAM
PROGRAM LICENSES
TYPES
ACQUIRED LICENSES
LICENSES ACQUIRED
ACQUIRED AS OF THE
PRIOR TO EFFECTIVE
UNDER SECTION A
EFFECTIVE DATE
DATE
(UNDER THIS
ORDERING
DOCUMENT
Peoplesoft Enterprise:
Reported
250,0001000
75,000,000
325,000,000
Revenues
• Support
® Support for Customer Self
Service
• CTllntegration
• Multichannel Interactions
2607372 - 1.Jason.Farrow Issued by ORACLE USA, INC. 17-APR-
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COUNCIL ACTION: Approved on 7/22/2008
DATE: Tuesday, July 22, 2008
LOG NAME: 600RACLE LICENS
ELM
REFERENCE NO.: *'"C-22931
SUBJECT:
Authorize Payment to Oracle USA in an Amount Not to Exceed $71,836.26 for Incremental
Licensing and Program Support Fees for the PeopleSoft Customer Relationship Management
System Used by the Water Department
RECOMMENDATION:
It is recommended that the City Council authorize payment to Oracle USA in an amount not to exceed
$71,836.26 for incremental licensing and program support fees for the PeopleSoft Customer Relationship
Management system used by the Water Department.
DISCUSSION:
On August 12, 2003, (M&C C-19708) the City Council authorized the Water Department to implement a
series of strategic information technology systems. The implementation included the migration of paper -
based water and sewer data into the City's Geographic Information System, the implementation of a
Customer Relationship Management (CRM) System to support customer service and billing operations and
the implementation of a Maintenance Management System to help manage the life -cycle costs of the Water
Department's assets. In March of 2004, as a part of implementing the systems, the City entered into an
assignment agreement with MWH Americas and PeopleSoft USA (acquired by Oracle in 2004, predecessor
to Oracle USA) for the license to use and implement the PeopleSoft CRM software.
During a review of Water Department technology contracts undertaken by the Water IT management team,
it was discovered that the original agreement with PeopleSoft, as assigned, contained a clause that
required incremental license fee increases for the use of the software which is triggered at each $25 million
increase of the department's base budget beyond the initial $250 million threshold set at the contract's
inception. For each base budget increase of $25 million, the license fee would contractually increase by
$20,258.00 and, as annual program support fees are based on a percentage of the total license fee, would
be accompanied by a proportional increase in annual program support fees. As of the beginning of Fiscal
Year 2007-2008, the Water Department's base budget had increased to $311 million. Due to the
methodology used in determining the incremental licensing fee, and since no requests were made by
Oracle to disclose the base budget figure for the Water Department annually, City staff continued to renew
the licenses as per the invoicing documents received from Oracle. Upon review of the contract, it was
determined that the Water Department must pay $60,774.00 in additional licensing fees and $11,062.26 in
program support fees.
The Water Department's CRM system currently uses the PeopleSoft software that is proprietary to Oracle.
Upon approval of payment of the fees, staff will work with Oracle to negotiate an amendment to the contract
to utilize a more suitable method for calculating the license fee increases and program support fees based
on an industry standard metric.
FISCAL INFORMATION/CERTIFICATION:
Logname: 600RACLE LICENS Page 1 of 2
The Finance Director certifies that funds are available in the current operating budget, as appropriated, of
the Water and Sewer funds.
TO Fund/AccounuCenters
FROM Fund/AccounuCenters
PE45 539120 0604012
PE45 539120 0704012
Submitted for City Manager°s_ Office by_: Fernando Costa (8476)
Originating Department Head: S. Frank Crumb (8207)
Additional Information Contact: S. Frank Crumb (8207)
$35,918.13
$35,918.13
Logname: 60ORACLE LICENS Page 2 of 2