HomeMy WebLinkAboutContract 46643 GrantThornton CITY SECRETAW
CONTRACT NO..
April 17, 201
Kevin Gunn Audit•Tax•Advisory
Grant Thornton LLP
Chief Technology Officer 1701 Main Street,Suite 1500
IT Solutions Director Dallas,Texas 75201
City of Fort Worth,Texas
Dear Mr. Gunn:
We are pleased to confirm our engagement to assist you in assessing your PeopleSoft HCM
v9.1 structure,configuration and processes—for the purpose of developing a roadmap and
estimate upgrading to PeopleSoft HCM v9.2. This letter and Attachment A (collectively the
"Agreement") document the understanding of the services and related deliverables defined
below(the"Services") that Grant Thornton LLP ("Grant Thornton", "we"or"us")will
provide to The City of Fort Worth (the"Company"or"you" or"City").
Our Understanding of the Situation
The City of Fort Worth utilizes PeopleSoft v9.1 HR,Base Benefits, Payroll,Time and Labor,
eRecruiting and Employee Self Service modules across its departments and locations. The City
wants assistance assessing their current infrastructure, configuration and processes to determine
M the scope,estimated timeline and budget for upgrading the existing HCM modules. Included
M as part of this assessment would be evaluating the possibility of implementing additional
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modules,such as ePerformance and/or other modules available within the 9.2 HCM release.
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OFFICIAL RECORD
CITY SECRETARY
Grant Thornton LLP �/ (� �/
U.S.member firm of Grant Thornton International Ltd FT. WORTHS TX
C GrantThornton city of Fort worth
Engagement Letter
Page 2 of 17
Project Objectives and Scope
The Services under this Agreement include the following:
Assess the current HCM business processes and PeopleSoft application,understand future state
vision of the organization,and develop an estimate of benefits,scope timeline and costs to
upgrade existing HCM modules to version 9.2. Specifically this would include:
• Understand the current HCM business processes and application configuration.
• Evaluate current pain points and opportunities for improvement within the HCM
currently deployed modules.
• Identify areas where gaps exist between the current application /processes and the
future strategic direction.
• Develop a roadmap of steps required to prepare for an upgrade to HCM v9.2.
Consider impacts to process design,configuration,interfaces/enhancements,reporting,
and security. This would include recommendations and a path forward for
infrastructure,configuration,and process related items that impact the City of Fort
Worth.
• Identify timeline and effort estimates to accomplish the HCM upgrade.
We estimate this work will be performed over a four week period,starting April,2015.
Interviews,workshops and deliverable reviews will be performed at the City of Fort 1\'orth,
with documentation prepared remotely. The proposed timeline is depicted below:
E:: Project Management
Project Prep
Project Kickoff
Current Statement Interviews
Follow-ups/Data Requests
Prepare Interview Summaries
Workshop Preparation
Future State Workshops
Create Gap Analysis
Document Conceputal Design Mw6mr
Create Roadmap
Determine Estimate/iming
Present Roadmap
Grant Thornton LLP
tj GrantThornton City of Fort Worth
Engagement Letter
Page 3 of 17
Grant Thornton's Responsibilities and Deliverables
We will perform the Services in accordance with American Institute of Certified Public
Accountants (AICPA) Statements on Standard'for Consulting Semiiej-. Grant Thornton is not being
engaged to perform audit or attest services under AICPA auditing or attestation standards or to
provide any form of attest report or opinion under such standards in conjunction with this
engagement.
Grant Thornton shall be entitled to rely on the accuracy, completeness and reliability of all
information provided bv, and on all decisions and approvals of, the City and its retained
advisors,consultants or legal counsel. Grant Thornton's work does not guarantee that errors
and irregularities will not occur and it may not detect errors or irregularities if they arise.
Grant Thornton's Responsibilities and Deliverables (both as defined herein) include the
following:
Grant Thornton will be responsible for working with the City of Fort\Forth project team and
management to achieve the project objectives and prepare the project deliverables. In an effort
to minimize any potential conflicts between the parties,Grant Thornton will specifically
provide the following:
• Resources with expertise in PeopleSoft HCM;
• Resources with expertise in engagement management of PeopleSoft assessments,
upgrades and implementations;
• Performing overall engagement management of activities and key tasks defined herein;
• Leading and directing team in project activities;
• Assisting with the completion of deliverables as outlined herein;
Additional Grant Thornton responsibilities for each project phase are outlined in the Project
Activities and Deliverables section below. Grant Thornton resources will also work with the
City of Fort Worth project team and other project resources to complete the activities and
deliverables as specified below.
Grant Thornton LLP
U.S.member firm of Grant Thornton International Ltd
Q GrantThornton City of Fort Worth
Engagement Letter
Page 4 of 17
Project Activities and Deliverables
ProjectAssessment
Current State Review To-Be Vssion Buture tate Roadmap
Key Activities
•Conduct interviews to review •Define future state vision •Develop recommended project
current processes,systems,and •Identify future state improvement approach and key activities /
infrastructure areas Phases
•Summarize business processes, •Perform impact/gap analysis •Define estimated level of effort
application design,and pain (Including internal and external
points •appliIdencation
system,process and resources,timeline,and costs)
application chan$eS
•Develop roadmap to achieve
vision
Deliverables
•Interview Summaries •To-Be Conceptual Design •Future State Roadmap
•Impact(Gap)Analysts
Company Responsibilities and Assumptions
1. Company Responsibilities
The Company's management acknowledges that it will undertake the following responsibilities
(the"Company Responsibilities':
• Make all management decisions and perform all management functions, including
maintaining all internal books and records.
• Designate the following individual, preferably within senior management,who possess
the suitable skills, knowledge and/or experience as project coordinator to oversee the
project Mr. Kevin Gunn,Chief Technology Officer.
• Evaluate the adequacy and results of the Services, and accept responsibility for such
results.
• Provide,on a timely basis,such information, decisions,approvals and assistance that
are necessary to Grant Thornton's work or that Grant Thornton reasonably requests
(including third-party permissions and licenses related to software or data).
• Provide suitable workspace,including furniture,and access to electronic and written
information necessary to perform the Services.
• Provide access to City of Fort Worth's systems (e.g.PeopleSoft) needed to perform
the assessment.
• Ensure to the best of its ability that all information provided to Grant Thornton is
complete,accurate and current in all material respects,contains no material omissions
and updated promptly and continuously.
• Assume responsibility for any delays,additional costs,or other liabilities caused by or
associated with any deficiencies in (a) discharging the Company Responsibilities,and
Grant ThomtDn LLP
U.S.menter firm of Grant Thombn Inlemational Ltd
GrantThornton city of Fort worth
Engagement Letter
Page 5 of 17
(b) the Assumptions. Moreover, the Company will satisfy its obligations and
responsibilities under the lay.
• Define and communicate business requirements to support completion of activities
according to the project timeline.
• Provide key City of Fort Worth personnel as needed by the project team,including all
module areas currently deployed within PeopleSoft, IT and other required parties (e.g.,
Business Analysts).
• Assist with finalization and approval of deliverables requiring specific City-of Fort
Worth input,knowledge, or decision-making.
• Provide feedback and sign-offs for project deliverables in a timely manner.
• Provide executive sponsorship and overall project strategy, direction, and issue
resolution.
2. Project assumptions
The Services and fees for this Agreement are based upon the following assumptions,
representations or information supplied by the Company ("assumptions").
• Project resources will be available as planned to enable the assessment to be
completed according to the project plan timeline and will have the appropriate skills to
complete the tasks.
• Appropriate Client personnel will be available as required to provide necessary-
information and materials.
• The majority of the work will be completed on-site, however, off-site work will also be
utilized for project activities and deliverables creation.
Grant Thornton Engagement Team
Grant Thornton will assign the roles listed below to the engagement. 'While we will attempt to
fulfill requests for specific individuals,we may need to add or re-assign personnel. We will
inform you of such changes within a reasonable amount of time.
• Engagement Executive
• Engagement Manager and Subject Matter Expert
• PeopleSoft Functional Lead and Subject Matter Expert
Fees
Standard billings
This engagement will be undertaken on a fixed fee of$42,000.00,which includes all fees, out-
of-pocket and travel expenses, for the Services set forth in this Agreement. Our billings,which
are payable within 30 days of receipt,will be rendered at the end of the engagement.
If it appears that the estimated fee will be exceeded,we will bring this to your attention and will
not exceed this amount without your prior knowledge and approval.
If our work is delayed because the Company is unable to adequately prepare information on a
timely basis or because of any unforeseen event,we will inform you of the additional costs we
incur due to rescheduling our work.
Grant Thornton LLP
U.S.member firm of Grant Thornton International Ltd
O GrantThornton city of Fort worth
Engagement Letter
Page 6 of 17
If the Company breaches any payment obligation under this Agreement, and such breach is not
cured within fifteen (15) days of its receipt of written notice of such breach,we may
immediately (i) suspend performance of the services, (ii) change the payment conditions under
this agreement or(iii) terminate this agreement. If we elect to suspend our performance due to
nonpayment, the services will not be resumed until jour account is paid as agreed. Alternatively,
if we elect to terminate the services for any reason,jou shall compensate us for all time
expended and reimburse us for all expenses through the date of termination.
Unless otherwise provided herein, either party may terminate this Agreement for any reason by
providing ten (10) days prior written notice to the other party. In the event of such
termination,you shall pay us for all services provided and all expenses incurred through the
date of termination.
As we have discussed, the fees quoted above represent a discount from our standard rates for
this type of work. This discount takes into consideration our anticipation of a long-term
relationship.
Payment of our fees is not contingent on the completion of our Services. Furthermore,in the
event we stop work for any reason (including, but not limited to, nonpayment or your request),
you agree to pay our fees and expenses for all Services performed through the date work is
stopped,whether or not we have produced any Deliverables.
At Grant Thornton,we pride ourselves on our ability to provide outstanding service and
meeting our clients' deadlines. To help accomplish this goal,we work hard to have the right
professionals available. This involves complex scheduling models to balance the needs of our
clients and the utilization of our people,particularly during peak periods of the year. Last
minute client requested scheduling changes result in costly downtime due to our inability to
make alternate arrangements for our staff.
%Ve will contact you shortly to coordinate a convenient time for Grant Thornton to begin work.
You must provide proper notice,which we consider to be one week,of anj inability to meet
these dates for any reason,and provide us with sufficient information required to complete the
work in a timely manner.
Grant Thornton LLP
U.S.member firm of Grant Thornton Internabonal Ltd
GrantThornton City of Fort worth
Engagement Letter
Page 7 of 17
Change Order Process
During the project either party may request additions, deletions or modifications to the scope
or nature of the Services (a "Change"). Grant Thornton will not be obligated to start work on
any Change until the fee and/or impact on the schedule is agreed on in a written change order.
The change order should be signed by an authorized representative of Grant Thornton and the
Company
Authorization
Please confirm your acceptance of this Agreement by signing below. We appreciate the
opportunity to work with the Company and assure you that this engagement will be given our
closest attention.
Very truly yours,
GRANT THORNTON LLP
Y'f1/Za/�
Greg S. Davis
Managing Director
enc. Attachment A
_greed and Accepted b\:
CITY OF FORT WORTH
Date:
4-074015—
Susa Alanis,Assistant City Manager
APPtbOVED TO FCW WID LEGAUM:
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Seniorstant City Attosmy
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Grant Thornton LLP
U.S.member firm of Grant Thornton Internabonal Ltd
AiA
GrantThornton city of Fort worth
Engagement Letter
Page 8 of 17
Attachment A — Additional Terms
The terms in this Attachment.A apply to the letter describing the Services to be provided by Grant'Thornton to The
Cit"•of bort Worth dated.April 1,2015,and are part of this.Agreement. In the event that there is a conflict between
the letter (or any other attachments to the letter) and this Attachment A, the terms of this Attachment .A shall
control. Any capitalized terms herein that arc undefined shall have the meaning assigned to them elsewhere in the
Agreement.
1. Business Risk Allocations. This Section 1 shall property infringement. Notwithstanding the
apply regardless of the nature of any claim asserted foregoing, Grant Thornton and its present and
(including but not limited to contract, statute, tort, former partners, principals and employees shall not
strict liability,or any form of negligence,whether by be liable for any special, consequential, incidental,
you, Grant Thornton, or others, except for Grant exemplary damages or loss (or any lost profits,taxes,
Thornton's gross negligence or willful misconduct) interest, tax penalties, savings or business
but such terms shall not apply to the extent finally opportunity) or ant, loss,damage, or liability arising
determined to be contrary to any applicable law. from the negligence or willful misconduct of the
Terms set forth in this section shall also continue to Company. .
apply after any termination of this Agreement and
during any dispute between the parties.
(c) General
(a) Limitation of Liability
If any portion of this Agreement is held invalid,it is
With respect to the Services and this Agreement agreed that such invalidity shall not affect any of the
generally, in no event shall the liability of Grant remaining portions.
Thornton and its present and former partners,
principals, directors, employees, agents and 2. Scope of Work. Grant Thornton shall be
contractors for any claim, including but not limited obligated only for the Services described in this
to Grant Thornton's own negligence,exceed the fees Agreement,and only for changes in such scope that
it receives for the portion of the work giving rise to arc set forth in writing and duly executed by the
such liability. This limitation shall not apply to the parties hereto. To the extent the scope of the
extent that it is finally determined that any claims, engagement is not appropriately documented, the
losses,or damages are the result of Grant Thornton's parties shall work diligently and in good faith to
gross negligence or willful misconduct or fraud. document the necessary, details at the request of
either party.
Neither Company nor Grant Thornton and its
present, future and former partners, principals and 3. Ability to Perform. Neither party shall be liable
employees shall under any circumstances be liable for any delay or failure in performance due to
for any special, consequential, incidental or circumstances beyond its reasonable control. Grant
exemplary damages or loss (nor any lost profits, 'Thornton shall have the right to terminate this
taxes, interest, tax penalties, savings or business Agreement or decline to perform Services if it
opportunity). discovers practices by the Company that Grant
Thornton deems dishonest, fraudulent or illegal; or
(b) Indemnity Grant Thornton determines that the American
Institute of Accountants, Public Company
Grant Thornton shall, upon the receipt of written Accounting Oversight Board, Securities and
notice, indemnify, defend and hold harmless Fxchange Commission, other applicable laws, rule:
Company and its directors, employees, agents and or professional standards restrict Grant Thornton's
contractors (collectively the "Indemnified Party'') ability to complete the work. In addition, Grant
from and against any liability, damages, fees, 'Thornton reserves the right to in whole or in part
expenses, losses, demands and costs (including decline to perform Services if information comes to
defense costs) associated with any claim arising from our attention indicating that performing any Services
or relating to: (i) bodily injury (including death) could cause us to be in violation of applicable law,
caused by Grant Thornton in performance of this regulations or standards or in a conflict of interest,
Agreement; (ii) tangible property damage caused by or to suffer damage to our reputation.
Grant Thornton in performance of this Agreement;
or (iii) a third parry's claim that the Services or 4. Standards of Performance. We will perform our
Deliverables, in their unmodified form, infringe the Services in conformity with the terms expressly set
intellectual property rights of such third party. This forth in this Agreement, including all applicable
indemnification obligation shall be Company's sole professional standards. Accordingly, our Services
and exclusive remedy, and Grant Thornton's sole shall be evaluated sold' on our substantial
and exclusive liability for a claim of intellectual conformance with such terms and standards. Any
Grant Thornton LLP
U.S.member firm of Grant Thornton Internafional Ltd
® GrantThornton City of Fort Worth
Engagement Letter
Page 9 of 17
claim of nonconformance (and applicability of such the Services due to nonpayment, you will be
standards) must be clearly and convincingly shown. obligated to compensate us for all time expended
The Company acknowledges that the Services will and to reimburse us for all expenses through the date
involve the participation and cooperation of of termination.
management and others of the Company. Unless
required by professional standards or the Company 9. Warranty of Performance. Grant Thornton
and Grant Thornton agree otherwise, in writing, warrants that it will perform its services on a
Grant "Thornton shall have no responsibility to reasonable professional efforts basis.This warranty is
update any of its work after its completion. in lieu of, and we expressly disclaim, all other
warranties, express, implied or otherwise, including
5. Successors and Affiliates. without limitation any implied warranties of
merchantability or fitness for a particular purpose.
(a) Except to the extent expressly provided hereto We cannot and do not warrant computer hardware,
to the contrary, no third-party beneficiaries arc software or services provided by other parties.
intended under this Agreement.
10. Use of Deliverables. (a) AN "Deliverables" (as
(b) This.Agreement is binding on each party hereto defined in the attached letter) are prepared solely for
and on each of its successor;, assigns, heirs, the internal use of Company's management,
legatees and legal representatives. employees and board of directors. Except as
(c) Neither party shall assign any rights, provided below, upon full payment of our billings,
obligations or claims relating to this.Agreement.
Company shall acquire a perpetual,non-transferable,
royalty-free license to use the llehverablcs for
6. Electronic Communications. During the course Company's internal business purposes.
of our engagement, we may need to cleetroniealIv
transmit confidential information to each other and (b) Notwithstanding section 10(a) above, Grant
to third-party service providers or other entities Thornton shall retain sole and exclusive ownership
engaged by either Grant Thornton or the Company. of and all right, title and interest in and to the
Electronic methods include telephones, cell phones, llehverablcs and related intellectual property,
e-mail, and fax. These technologies provide a fast including, without limitation, the know-how,
and convenient way to communicate. However, all concepts, techniques, methodologies, ideas,
forms of electronic communication have inherent processes,models, templates,tools,utilities, routines
security weaknesses, and the risk of compromised and trade secrets that existed prior to this
confidentiality cannot be eliminated. The Compare° engagement or that,to the extent they are of general
agrees to the use of electronic methods to transmit application, may have been discovered, created or
and receive information, including confidential developed by Grant Thornton as a result of its own
information. efforts during this engagement (collectively, the
"Grant Thornton property''). Company shall
7. Privacy Grant Thornton is committed to acquire no right or interest in the Grant Thornton
protecting personal information. We will maintain property, except for a non-exclusive, non-
such information in confidence in accordance with transferable, royalty-free right to use such Grant
professional standards and governing laws. Thornton property solely in connection with
Therefore, any personal information provided to us Company's permitted use of the Dchverables.
by the Company will be kept confidential and not Company will not sublicense or otherwise grant any
disclosed to any third party unless expressly other party any rights to use, copy or otherwise
permitted by the Company or required by law, exploit or create derivative works from the Grant
regulation, legal process, or professional standards. Thornton property.
The Company is responsible for obtaining,pursuant
to law or regulation, consents from parties that
provided the Company with their personal (e) Grant Thornton understands and acknowledges
information, which will be obtained, used, and that Company is a government entity organized
disclosed by Grant Thornton for its required under the laws of the state of Texas and all
purposes. documents or Records held by Company are subject
to disclosure under the Texas public Information
Act, Chapter 552 of the Texas Government Code.
S. Payment Obligations. if the Company breaches The Company agrees to protect the Deliverables to
any payment obligation under this .Agreement, and the extent allowed by law. The parties agree that the
such breach is not cured within fifteen (15) days of information contained in the Deliverables prepared
its receipt of written notice of such breach, we may by Grant Thornton in the course of providing
immediately (a) suspend performance of the services under the terms of this Agreement is for the
Services,or(b)terminate this Agreement. If we elect sole use of the Company in accordance with the
to suspend our performance due to nonpayment,the purpose of the Agreement hereunder. The
Services will not be resumed until your account is Deliverables are not for a third party's benefit or
paid as agreed. Alternatively,if we elect to terminate reliance, and Grant Thornton disclaims any
Grant Thornton LLP
U.S.member firm of Grant Thornton International Ltd
Allialk
MW GrantThornton City of Fort Worth
Engagement Letter
Page 10 of 17
contractual or other responsibility or duty of care to any internal and third-parte permissions, licenses or
others based upon the services or Deliverable,,. Any approvals that are required for Grant Thornton to
Deliverables delivered by Grant Thornton shall be perform the Services (including use of any necessary
released only as redacted in accordance with law.The software or data). The Company shall also provide
Company agrees to protect the Deliverables from Grant Thornton, on a timely basis, with such
unauthorized use and to prevent disclosure of the information, approvals and assistance as may be
Deliverables to unauthorized third parties who may necessary to Grant Thornton',, work or as Grant
rely on them. Except to the extent expressly Thornton may reasonably request, and Grant
provided hereto to the contrary, no third party Thornton's personnel assigned to an work
beneficiaries arc intended under this Agreement. hereunder shall not be assumed or deemed to have
Company reserves the right to release any knowledge of information provided to others,
Deliverable to an internal or external auditor who is whether external to or within Grant"Thornton.
providing services to Company Company's external
auditor signs an engagement letter with the Company
that covers confidential information. 12. General.
11. Other Responsibilities. (a) The Company may not use Grant Thornton's
name or trademarks for promotional materials
(a) The administrative documentation for this without our prior written consent.
engagement (including the working papers) is not
part of the Deliverables, is the property of Grant (b) Mach party is an independent contractor with
"Thornton and constitutes confidential information. respect to the other and shall not be construed as
We have a responsibility to retain the documentation having a trustee, joint venture, agency or fiduciary
for a period of time sufficient to satisfy art relationship.
applicable legal or regulatory requirements for
records retention. I lowever,we may be requested to (e) An controversy or claim arising out of or
make certain documentation available to Regulators relating to the Seryiec,, or related fees shall first be
pursuant to law or regulations. If requested, access submitted to voluntan, mediation. A mediator will
to the documentation will be provided to the be selected by agreement of the parties, or if the
Regulator(s) under the supervision of Grant
parties cannot agree a mediator acceptable to all
Thornton personnel and at a location dcsifmatcd by parties will be appointed by the American
us. Furthermore, upon request, xvc may provide arbitration Association. The mediation will proceed
photocopies of selected documentation to thein accordance with the customary practice of
Regulator(s). The Regulator(,,) may intend, or mediation.
decide, to distribute the photocopies or information
contained therein to others, including other If the parties' difference cannot be resolved by
governmental agencies. The Company hereby mediation, then the parties agree that the dispute or
authorizes us to allow the Regulator(s)access to,and claim may be settled by binding arbitration upon
photocopies of, the documentation in the manner mutual written consent of the parties. The
discussed above. arbitration proceeding shall take place in a mutually
agreed upon location. The proceeding shall be
(b) The Company will remain responsible for the governed by the provisions of the Fedcral
care and control of its premises, for all internal Arbitration .let ("FAA") and will proceed in
book,, and record keeping, for establishing and accordance with the then current Arbitration Rules
maintaining effective internal control systems and for for Professional Accounting and Related Disputes of
all management functions, responsibilities and the American .-arbitration association ("AAA"),
decisions. except that no pre-hearing discovery shall be
permitted unless specifically authorized by the
(e) Grant Thornton shall not be responsible or arbitrator. The arbitrator will be selected from AAA,
liable for any (i) service interruptions of or (ii) CANIS,the Center for Public Resources or any other
corruption or damages (whether direct, indirect, internationally or nationally-recognized organization
consequential or otherwise) to the Company's or mutually agreed upon by the parties. Potential
third party's information systems and the arbitrator names will be exchanged within 15 days of
information and data contained therein, including the parties' agreement to terminate or waive
but not limited to denial of access, automatic shut- mediation, and arbitration will thereafter proceed
down of information systems caused by or resulting expeditiously. The arbitration will be conducted
from Grant Thornton's performance of the Services, before a single arbitrator, experienced in accounting
unless caused by the gross negligence or willful and auditing matters. The arbitrator shall have no
misconduct of Grant Thornton. authority-to award non-monetary,equitable relief and
will not have the right to award punitive damages.
(d) Unless otherwise specified herein,the Company The award of the arbitration shall be in writing and
shall obtain for Grant Thornton on a timely basis shall be accompanied by a well-reasoned opinion.
Grant Thornton LLP
U.S.member firm of Grant Thornton Internafional Ltd
® GrantThornton City of Fort Worth
Engagement Letter
Page 11 of 17
The award issued by the arbitrator may be confirmed term of this engagement and for a period of one (1)
in a judgment by any federal or state court of year after the Services are completed, the Company
competent jurisdiction. Each party shall be agrees not to solicit,directly or indireetIv,or hire any
responsible for their own costs associated with the of our personnel who participate in this engagement
arbitration, except that the costs of the arbitrator without our express written consent.
shall be equally divided by the parties. The
arbitration proceeding and all information disclosed 15. Use of Automated Data Gathering Tools
during the arbitration shall be maintained as Grant 'Thornton may use automated data gathering
confidential, except as may be required by law, for tools developed by us, our affiliates, or third-party
disclosure to professional or regulatory bodies or in a service providers,such as SLI,scripts to extract data
related confidential mediation or arbitration. for further analysis for purposes of our engagement.
Notwithstanding any of the foregoing, if the These tools are designed to be executed by the
differences between the parties cannot be resolved Company',, information technology professionals
by mediation,either part-shall have the right to seek within the Company's information systems
any remedy available to it under law or equity. environment. You hereby consent and authorize us
to use these tools only for the purpose of performing
(d) This .\grcement, including its formation and our engagement.
the parties' respective rights and duties, and all
disputes that might arise from or in connection with 16. Network Access. Grant Thornton agrees to
this .Agreement or its subject matter shall be the terms of the Network .Access .Agreement,which
governed by and construed in accordance with the is attached hereto as .\ppendix .\ and incorporated
laws of Texas, without giving effect to conflicts of into and made a part of this.\greement.
laws rules.
17. Insurance. Grant Thornton agrees to the
(e) This .Agreement, including any other insurance provisions attached hereto as_Appendix B,
incorporated attachments, sets forth the entire which is incorporated into and made a part of this
understanding between and among the parties Agreement.
regarding the Services and supersedes all prior and
contemporaneous agreements, arrangements and 18. Right to Review. Grant Thornton agrees that
communications and may not be modified or Company shall,until the expiration of three (3)years
amended except by the mutual written agreement of after final payment under this .Agreement, or the
both parties. If any portion of this .Agrecment is final conclusion of any review commenced during
held invalid,it is agreed that such invalidity shall not the said three years, have access to and the right to
affect any of the remaining portions. examine at reasonable time,, any directly pertinent
books,documents,papers and records (electronic or
13. Use of Third-party Service Providers and hardcopy) of Grant Thornton involving the fee and
Affiliates. Grant 'Thornton LIT is the U.S. member expense records and work product documentation
firm of Grant Thornton International Ltd ("GTII"), ("Records") to this .Agreement at no additional cost
a global organization of member firms in 110 to the Company, except that Company shall pay its
countries.Member firms are neither members of one own expenses for conducting any review and agrees
international partnership nor otherwise legal partners to pay reasonable costs for any copies of Records
with one other. There is no common ownership, requested by Company. Grant Thornton agrees that
control, governance, or agency relationship among Company shall have access during normal working
member firms. Grant Thornton may use third-party hours to all neeessar, Records. Company shall give
service providers, such as independent contractors, Grant Thornton at least ten (10) days'written notice
specialists, or vendors, to assist in providing our of any intended reviews, and audit may not be
professional services. We may also use GTII, conducted more than once in any rolling twelve (12)
member firms,other affiliates of Grant Thornton,or month period. Notwithstanding the foregoing or
other accounting firms. Such entities may be located anything in this .Agreement, nothing in this Section
within or outside the United States. or any audit or inspections hereunder,shall violate or
cause Grant Thornton to violate any of Grant
Thornton's professional standards, privacy,
14. Hiring of Personnel. When we lose a valued confidentially or legal obligations and provided
member of our engagement team, we incur further, that Grant Thornton's work papers and
significant expenses in hiring and training other proprietary materials arc excluded from such
replacements. .Also, in some situations, a client's audit.
employment of an engagement team member may
raise independence issues. .\eeordingly, during the
Grant Thornton LLP
U.S.member firm of Grant Thornton International Ltd
City of Fort worth
GrantThoranton Engagement Letter
Page 12 of 17
Appendix A
Attachment A—Section 16
NETWORK ACCESS AGREEMENT
1. The Network. The City owns and operates a computing environment and network
(collectively the "Network"). Contractor wishes to access the City's network in
order to provide professional consulting services to assess the current Human
Capital Management (HCM)business processes and PeopleSoft application. In
order to provide the necessary support, Contractor needs access to PeopleSoft v9.1
Human Resources, Base Benefits, Payroll, Time and Labor, eRecruiting and
Employee Self Service modules and servers.
2. Grant of Limited Access. Contractor is hereby granted a limited right of access
to the City's Network for the sole purpose of providing professional consulting
services to assess the PeopleSoft HCM v9.1 structure, configuration and processes.
Such access is granted subject to the terms and conditions forth in this Agreement
and applicable provisions of the City's Administrative Regulation D-7 (Electronic
Communications Resource Use Policy), of which such applicable provisions are
hereby incorporated by reference and made a part of this Agreement for all purposes
herein and are available upon request.
3. Network Credentials. The City will provide Contractor with Network Credentials
consisting of user IDs and passwords unique to each individual requiring Network
access on behalf of the Contractor. Access rights will automatically expire one (1)
year from the date of this Agreement. If this access is being granted for purposes of
completing services for the City pursuant to a separate contract, then this Agreement
will expire at the completion of the contracted services, or upon termination of the
contracted services, whichever occurs first. This Agreement will be associated with
the Services designated below.
— Services are being provided in accordance with City Secretary Contract No.
Services are being provided in accordance with City of Fort Worth Purchase
Order No.
X Services are being provided in accordance with the Agreement to which this
Access Agreement is attached.
No services are being provided pursuant to this Agreement.
Grant Thornton LLP
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Engagement Letter
Page 13 of 17
4. Renewal. At the end of the first year and each year thereafter, this Agreement
may be renewed annually if the following conditions are met:
4.1 Contracted services have not been completed.
4.2 Contracted services have not been terminated.
4.3 Within the thirty(30) days prior to the scheduled annual expiration of this
Agreement, the Contractor has provided the City with a current list of its officers,
agents, servants, employees or representatives requiring Network credentials.
Notwithstanding the scheduled contract expiration or the status of completion of
services, Contractor shall provide the City with a current list of officers, agents,
servants, employees or representatives that require Network credentials on an annual
basis. Failure to adhere to this requirement may result in denial of access to the
Network and/or termination of this Agreement.
5. Network Restrictions. Contractor officers, agents, servants, employees or
representatives may not share the City-assigned user IDs and passwords. Contractor
acknowledges, agrees and hereby gives its authorization to the City to monitor
Contractor's use of the City's Network in order to ensure Contractor's compliance
with this Agreement. A breach by Contractor, its officers, agents, servants,
employees or representatives, of this Agreement and any other written instructions
or guidelines that the City provides to Contractor pursuant to this Agreement shall
be grounds for the City immediately to deny Contractor access to the Network and
Contractor's Data, terminate the Agreement, and pursue any other remedies that the
City may have under this Agreement or at law or in equity.
5.1 Notice to Contractor Personnel —For purposes of this section, Contractor
Personnel shall include all officers, agents, servants, employees, or representatives
of Contractor. Contractor shall be responsible for specifically notifying all
Contractor Personnel who will provide services to the City under this agreement of
the following City requirements and restrictions regarding access to the City's
Network:
(a)Contractor shall be responsible for any City-owned equipment assigned to
Contractor Personnel, and will immediately report the loss or theft of such
equipment to the City
(b)Contractor, and/or Contractor Personnel, shall be prohibited from connecting
personally-owned computer equipment to the City's Network
(c)Contractor Personnel shall protect City-issued passwords and shall not allow any
third party to utilize their password and/or user ID to gain access to the City's
Network
(d)Contractor Personnel shall not engage in prohibited or inappropriate use of
Electronic Communications Resources as described in the City's Administrative
Regulation D7
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Engagement Letter
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(e)Any document created by Contractor Personnel in accordance with this
Agreement is considered the property of the City and is subject to applicable state
regulations regarding public information
(f) Contractor Personnel shall not copy or duplicate electronic information for use on
any non-City computer except as necessary to provide services pursuant to this
Agreement
(g)AII network activity may be monitored for any reason deemed necessary by the
City
(h)A Network user ID may be deactivated when the responsibilities of the
Contractor Personnel no longer require Network access
6. Termination. In addition to the other rights of termination set forth herein, the
City may terminate this Agreement at any time and for any reason with or without
notice, and without penalty to the City. Upon termination of this Agreement,
Contractor agrees to remove entirely any client or communications software
provided by the City from all computing equipment used and owned by the
Contractor, its officers, agents, servants, employees and/or representatives to access
the City's Network.
7. Information Security. Contractor agrees to make every reasonable effort in
accordance with accepted security practices to protect the Network credentials and
access methods provided by the City from unauthorized disclosure and use.
Contractor agrees to notify the City immediately upon discovery of a breach or
threat of breach which could compromise the integrity of the City's Network,
including but not limited to, theft of Contractor-owned equipment that contains City-
provided access software, termination or resignation of officers, agents, servants,
employees or representatives with access to City-provided Network credentials, and
unauthorized use or sharing of Network credentials.
ACCEPTED AND AGREED
CITY OF FORT WORTH GRANT THORNTON LP
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U.S.member firm of Grant Thornton International Ltd
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Engagement Letter
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Grant Thornton LLP
U.S.member firm of Grant Thornton International Ltd
-1', Grant Thornton City of Fort Worth
Engagement Letter
Page 16 of 17
Attachment B — Insurance
Grant Thornton shall carry the following insurance coverage with a company that is
licensed to do business in Texas or otherwise approved by the City.
1. Commercial General Liability
a. Combined limit of $1,000,000 per occurrence; $2,000,000 aggregate and
Umbrella Coverage in the amount of $4,000,000. Umbrella policy shall
contain a follow-form provision and shall include coverage for personal and
advertising injury.
b. Defense costs shall be outside the limits of liability.
2. Automobile Liability Insurance with a combined limit of $1,000,000 per
occurrence.
3. Professional Liability (Errors & Omissions) in the amount of$1,000,000 per
claim and $1,000,000 aggregate limit.
4. Statutory Workers' Compensation and Employers' Liability Insurance
requirements per the amount required by statute.
5. Technology Liability(Errors & Omissions)
a. Combined limit of$2,000,000 per occurrence; $4million aggregate
(a) Coverage shall include, but not be limited to, the following:
(i) Failure to prevent unauthorized access
(ii) Unauthorized disclosure of information
(iii) Implantation of malicious code or computer virus
(iv) Fraud, Dishonest or Intentional Acts with final adjudication
language
Technology coverage may be provided through a separate policy specific to
Technology E&O. Coverage shall be claims-made, with a retroactive or prior acts
date that is on or before the effective date of this Agreement. Coverage shall be
maintained for the duration of the contractual agreement and for one (1) year
following completion of services provided. An annual certificate of insurance shall
be submitted to the City to evidence coverage, upon City's request.
General Insurance Requirements:
1. All applicable policies (except for professional liability) shall name the City as an
additional insured thereon, as its interests may appear. The term City shall include
its employees, officers, officials, agents, and volunteers in respect to the contracted
services.
2. The workers' compensation policy shall include a Waiver of Subrogation (Right
of Recovery) in favor of the City of Fort Worth.
3. A minimum of Thirty (30) days' notice of cancellation shall be provided to the
City (except for professional liability). Notice shall be sent to the Risk Manager,
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City of Fort Worth, 1000 Throckmorton, Fort Worth, Texas 76102, with copies to
the City Attorney at the same address.
4. The insurers for all policies must be licensed and/or approved to do business in
the State of Texas. All insurers must have a minimum rating of A- VII in the current
A.M. Best Key Rating Guide, or have reasonably equivalent financial strength and
solvency to the satisfaction of Risk Management. If the rating is below that
required, written approval of Risk Management is required.
5. Any failure on the part of the City to request required insurance documentation
shall not constitute a waiver of the insurance requirement.
6. Certificates of Insurance evidencing that the Consultant has obtained all required
insurance shall be delivered to and approved by the City's Risk Management
Division within three(3)business days following execution of this Agreement.
Grant Thornton LLP
U.S.member firm of Grant Thornton Internabonal Ltd