IBM_City of Dubuque_Smarter City PartnershipFROM: Michael C. Van Milligen, City Manager
SUBJECT: IBM/City of Dubuque Smarter City Partnership
®ATE: September 16, 2009
In 1982, there was a national recession and the State of Iowa had an unemployment
rate of 8.5%. However, armed with a comprehensive plan dated 1936, and an over
dependence on a few employers for jobs, the City of Dubuque had an unemployment
rate in 1982 of 14.2%, or 67% higher than the rest of the State. For the entire decade of
the 1980's, the City's unemployment rate was 35% higher than the State unemployment
rate. Today the City has taken the position to plan, invest and take calculated risks, and
the national unemployment rate is 9.4%, while the City of Dubuque unemployment rate
is 6.3%, 33% lower than the national rate.
In 2007, Dubuque was recognized by the National League of Cities as an All-America
City, and in 2008 by the U.S. Conference of Mayors as The Most Livable City in the
United States for a city under 100,000 population.
The America's River Project and the Port of Dubuque redevelopment have received
many awards, including the 2005 Phoenix Award for Excellence in Brownfield
Redevelopment for U.S. E.P.A. Region 7 and the 2004 Achievement in Economic
Development Award from the International Downtown Association.
Now, a new opportunity is presenting itself. Mayor Roy Buol and the Dubuque City
Council have made sustainability a top priority. A community task force has received
significant community input over atwo-year period, creating the community's definition
of sustainability as a livable, viable and equitable community with environmental/
ecological integrity, economic prosperity and cultural/social vibrancy.
It is my pleasure to present an unparalleled opportunity for cooperation and innovation
between IBM and the City of Dubuque. Dubuque is a community that clearly
understands IBM's vision for a Smarter Planet, and is uniquely positioned for IBM's
needs through a decade of work on sustainability. This is an opportunity to create a
replicable business model for IBM and for future sustainable, smarter cities across the
country. This is the right opportunity to contribute to the creation of a Smarter Planet.
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IBM and Dubuque are bound by a common commitment to aggressive innovation-the
kind of innovation that has transformed the oldest city in Iowa to become one of the
newest and strongest regional economies in the country. This partnership is intended to
demonstrate that sustainability can be sustainable.
January 15, 2009, marked the announcement that IBM planned to establish a Global
Service Center in Dubuque. Following rigorous competition from many other cities
across the country, the decision to locate 1,300 jobs in the historic downtown Roshek
Building was lauded by local leaders as the nation sunk into what has been described
as the most serious recession since the Great Depression. IBM leaders sited three
reasons for the selection 1) strong public-private partnerships 2) strong foundation of
education in the region and 3) Sustainable Dubuque -the Mayor and Council led-citizen
supported initiative.
As work began to restore the Roshek Building, another opportunity arose. IBM Vice-
President Robert Morris of the Watson Research Center arrived in Dubuque. His visit in
early February identified the possibility of partnering with Dubuque in several areas,
including Smart Cities research, instrumentation, intelligence and interconnection.
Over the past six months City staff have met through teleconference, videoconference
and in person with IBM staff. There have been meetings and visits with elected officials
and federal department staff and time spent working with IBM on this project.
Of the areas of focus identified by Mr. Morris and his team, City staff and IBMers agreed
to focus on the Smarter City Initiative. The City and IBM will partner to create a
groundbreaking model for cities with populations of 200,000 or less, where over 40% of
the United State's population lives.
This project seeks to provide information to citizens so that they can make smarter
choices related to energy consumption. The program outlines a pilot project of citizens
and businesses who through advanced technology will be able to actively participate in
managing consumption of energy.
Dubuque's compelling community story and accomplishments in sustainability form a
model for other communities across the nation to learn from in order to effect change.
This model can be replicated in any community, particularly communities under
200,000, where 40% of the United States population resides. It is a model that results
in community engagement and education, more energy-efficient ways of operating
municipal services and buildings, decreased carbon emissions, job creation, financial
savings, and a higher quality of life for the entire community.
Cities are in search of a bold and transformational agenda, a road map that will ignite
community engagement and create real results in relationship to sustainability.
Dubuque has proven its ability to excite and engage citizens through past projects,
including Sustainable Dubuque. Dubuque proposes to build upon its successes in
partnering with businesses, non-profits, and residents to reduce energy use, lower
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costs, create jobs and increase quality of life indicators such as air and water quality.
The project will do so by engaging initially 250 pilot households, eventually expanding to
1,000 and beyond, in a community-wide data collection campaign. Those pilot
participants will track their water consumption, energy consumption, and, in future
phases, vehicle miles traveled. Based on the data collected, citizens can make
educated decisions about their energy use.
Dubuque's sustainability initiative is based on a multi-step process that is undertaken in
every major public and private initiative in the City. That process creates a model for
communities across the country:
1) Engage citizens
2) Develop and define vision and goals
3) Identify strategies and methods to implement goals
4) Collect and disseminate information
5) Targeted community education based on collected data
6) Interface technology in response to data and analysis and optimize outcomes.
New technologies are capable of digitizing and connecting City systems, so they can
sense, analyze and integrate data, and respond intelligently to the needs of citizens.
IBM, the City of Dubuque, and other partners will revitalize the City's systems to
become smarter and more efficient in order to meet the City's vision for sustainability.
Locally, the effort will be led by Smart City Project Manager David Lyons. David served
as Chief Business Development Officer for the Iowa Farm Bureau Federation before
becoming involved with this project. At the Iowa Farm Bureau, David worked to
increase business opportunities and choices for Iowa's producers, with particular focus
on growing value added agriculture and improving rural infrastructure. Prior to joining
the Iowa Farm Bureau in 2000, David was Director of the Iowa Department of Economic
Development, Insurance Commissioner for the State of Iowa and Legal Counsel with
the Iowa Legislature. During his service with the State, David spearheaded numerous
special State projects including the Iowa Trust Receivership, the Iowa Health Care
Reform Council and the Food Capitol of the World Initiative. He received his
undergraduate degree from Loras College in Dubuque and his law degree from the
University of Iowa.
Consistent with the City's emphasis on partnerships, many organizations are making
important contributions to this project, including Alliant Energy, Black Hills Energy, the
Historic Millwork District property owners, Dubuque Initiatives, the Federal and State
governments, ECIA, the Community Foundation of Greater Dubuque, the Dubuque
Area Chamber of Commerce, the Greater Dubuque Development Corporation,
Dubuque Main Street, AY McDonald Manufacturing, the Dubuque Racing Association
and others are helping to make this work.
As you know, the Dubuque Area Chamber of Commerce and the Community
Foundation of Greater Dubuque are partnering on a community dialogue on
3 ~ Page
sustainability titled Dubuque2 that is funded by the Mystique Casino. This project
complements that effort.
Later today, the City of Dubuque will be hosting U.S. Department of Transportation
Secretary Ray LaHood, U.S. Housing and Urban Development Secretary Shaun
Donovan and U.S. Environmental Protection Agency Secretary Lisa P. Jackson. This
IBM/City of Dubuque Smarter City Partnership matches well with the intent of their visit
as they discuss the sustainability partnership they have created amongst those
agencies as they lead the country forward.
I am recommending the City provide $850,000 towards this project from the Water
Fund. Even with this expense, and some additional expenses related to the project,
capacity exists within the Water Fund. The Fiscal Year 2010 adopted budget included
an increase to City water rates of 5%. The City-wide installation of new water meters
and a low flow metering device manufactured by AY McDonald, as well as financing the
meter change-out project with debt over a 20-year term, rather than a 15-year term,
produces the possibility to reduce the water rate increase in Fiscal Year 2010 by 2%.
Through better monitoring of Water Department energy usage, it is hoped that further
reductions in the cost of the City processing and delivering water will be possible.
As the City installs new water meters, I am further recommending that the City budget
$10,000 this fiscal year, and additional amounts in future years, to assist property
owners with matching funds for the repair of water leaks.
I am also recommending approval of the contract with David Lyons to manage this
project. City funds have been identified for this purpose, but Federal and State grants
might support this position and future phases of this Smarter City Project. Should the
City not receive Federal or State grant funds, which it is anticipated the City will receive
some grant funds, the City has sufficient capacity within the Water Department budget
and other sources where savings have been realized, to provide the City funds needed
to support Phase I of the pilot program expenses. The pilot project will not be able to be
as robust as hoped without outside grant dollars, it may take longer to complete, and it
will create a higher hurdle for community-wide implementation.
The City has applied for the following grants:
Grants Submitted To Amount
Showcase Communities US Environmental Protection Agency $ 500,000
Community Renewable Energy US Department of Energy $ 6,000,000
Deployment
Industrial Energy Efficiency US Department of Energy $19,854,150
TIGER US Department of Transportation $49,799,979
These four grants bring the total number of grants submitted by the City of Dubuque to
State or Federal stimulus/funding programs to seventeen, with fourteen grant
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applications still in progress. The City of Dubuque has received $10.6 million in funds to
date, and the City now has $85.7 million pending in grant requests submitted.
Sustainability has a hidden benefit. Sustainability is an opportunity for Dubuque to
continue to diversify the economy and to perform better than the rest of the State and
the nation on job creation. Just look at sustainability as another new market, as the
automobile industry was in the early 1900's, the airline industry in the 1940's, computer
hardware in the 1970's, and computer software in the 1980's. The businesses and
industries in Dubuque have a chance to be on the cutting edge of developing products
and services that will be in demand across the world as there is a move to more
efficiently use energy resources and water.
The City's sustainability effort, and specifically the IBM/City of Dubuque Smart City
Partnership, could be more than we ever dreamed it could be. Not only will the IBM/City
of Dubuque Smart City partnership save businesses and individuals money, create jobs,
contribute to local and national energy independence, help brand the community to help
recruit businesses and workforce, create a major recruitment tool for the three colleges
to entice students, and bolster the convention and tourism business, but it will
accelerate local business growth.
As Vice-President of IBM Research Robert Morris has said, "The goal of this
collaboration is to develop and pilot a systematic mechanism to give consumers and
businesses the information they need to make informed decisions about how they
consume resources like electricity, water, natural gas, and oil. To create such a
mechanism, a partnership is needed between a community with a track record of
successful public-private partnerships, citizens and businesses that believe in
sustainability, and enterprises like IBM that have the information technology and
knowledge to apply to this transformative partnership."
My thanks to David Lyons, Greater Dubuque Development Corporation Executive
Director and Chief Operating Officer Rick Dickinson, City Attorney Barry Lindahl,
Assistant City Manager Cindy Steinhauser, Assistant City Manager Teri Goodmann,
Public Information Officer Randy Gehl and Stimulus Coordinator Cori Burbach for all
they have done to make this partnership a reality.
Specifically, I am respectfully recommending Mayor and City Council approval of four
items:
1. Authority to finalize negotiations on the IBM Services Agreement, as detailed in
the memorandum from Assistant City Manager Cindy Steinhauser.
2. Authorization to commit $850,000 in Water Department funds and approval of a
2% water rate reduction for the current fiscal year.
3. Authorization to execute a contract with David Lyons to serve as the City's
Project Manager for the Smarter City Project.
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4. Approval of several Federal grant applications that will not only support this
partnership, but lead to the construction of the Southwest Arterial and support
redevelopment of the Historic Millwork District.
Michael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Cori Burbach, Stimulus Coordinator
David Lyons, Project Manager
6~Pac~~:
TO: Michael Van Milligen, City Manager
FROIIn: Cindy Steinhauser, Assistant City Manager
SUBJECT: Approval of Smart Sustainable Dubuque Services Agreement
®ATE: September 16, 2009
INTRO®UCTION
The purpose of this memorandum is to bring to your attention that we are ready to
proceed with service agreements to support the Smarter Sustainable Dubuque
project's technical needs.
BACKGROUND
Throughout its history, Dubuque has responded to challenges in a positive and
proactive manner. Since 2006 Dubuque has made sustainability a priority, realizing it
was crucial to remaining competitive. That priority has been reflected broadly across
the community, from City Council action, to Envision 2010 programming, to the
new Dubuque2 outreach effort recently launched with the help of the Dubuque Area
Chamber of Commerce and Community Foundation of Greater Dubuque. The
community wide vision is for a transformative approach to sustainability, one that
results in a more viable, livable and equitable Dubuque. However, it is an old but true
statement that you cannot manage what you do not measure. With the sustainability
effort, it is critical to incorporate new, transformative approaches and technology to
allow us to measure, manage and optimize resources. This will be critical if we are
going to be able to assure citizens that our community sustainability effort is truly
"sustainable". It will also be necessary in order to properly plan for the development
of new industries, expanded opportunities for existing industry, new jobs, new
markets and new community growth.
Over the past several months, many members of City staff, along with many
community partners have been in dialogue with representatives of IBM to discuss
opportunities to share resources and further advance the City Councils' goal of
making Dubuque a model showcase for sustainability. These community partners
include Greater Dubuque Development Corporation, The Community Foundation of
Greater Dubuque, the Dubuque Area Chamber of Commerce, Dubuque Initiatives,
area schools, Black Hills Energy, Alliant, ECIA, Main Street Ltd and others.
ISCIJSSI®N
American cities are in search of a transformational agenda to revitalize their
economies and improve their environments. Dubuque has defined itself as a national
leader in sustainability, with its unique blend of forward-thinking public policy and a
committed grass-roots base. Together with partners and clients, IBM is working to
build a smarter planet. Together, Dubuque and IBM can realize one of the country's
first "Smarter Sustainable Cities," one that is environmentally sustainable,
economically prosperous, and socially vibrant. The citizens of Dubuque have already
collaborated on an unprecedented sustainability agenda. When enabled with smarter
technology and infrastructure, the benefits seem to be without limits.
The City proposes a program that will create a Master Agreement with IBM to partner
and provide advanced technological and analytical services to Dubuque's
sustainability effort, with resulting models to support long term efforts. The models
will include vital data management and analysis and the research and development
needed to make this data useful. The model will also expand opportunities for local
businesses to thrive in new sustainable industries. This services agreement is an
outgrowth of the City's Memorandum of Understanding with IBM which generally
defines particular scopes of work.
Generally, grant funds, with some funds from City sources, would finance the IBM
research and development required to implement an Integrated sustainability
System, which will arm residents and business owners with the data required to make
smarter choices about their energy consumption habits and save money.
The Master Agreement with IBM proposes to work with the City of Dubuque on
several potentially groundbreaking projects. Some of the projects are anticipated to
begin in Fall 2009. Others are anticipated to begin as soon as sources of funding for
those projects are secured through new grants, stimulus funds and other means.
Some tasks, including required studies for projects, can begin immediately or in near
future and continue on parallel tracks if funding for those tasks is secured already.
Projects
1. Integrated sustainability System and Community Engagement
2. Smart Parking
3. Smart Water
4. Smart Transit
5. Smart Energy
IBM proposes to work with the City of Dubuque on research projects with the end
goal of demonstrating an experimental proof of concept for the Integrated
sustainability System ("ISS") based on specifications defined by the City of Dubuque
through an active and ongoing community engagement process. IBM Research will
assist the City of Dubuque to help define the energy, water, and a subset of carbon
footprint sustainability metrics, community engagement, sustainability community
networking and respective parameters in visualization in the dashboards of the ISS.
IBM Research will also assist the City of Dubuque in the community engagement
process to educate the community on the use and potential value of the dashboards
in ISS.
The City of Dubuque intends to work with IBM to define the novel and experimental
metrics of interest and the information to be visualized in the ISS. This will be done
through a "laboratory" mock-up of the ISS to be developed by City of Dubuque staff
and delivered to IBM, which will then design the ISS to customize it to the
requirements specified by the City of Dubuque in the mock-up.
The proposed Master Agreement will be implemented in a series of individually
negotiated "Statements of Work." The first such Statement of Work is for Smart
Water. This project will allow water utility customers to access their current water
usage data, and various statistical data, in real time, from an IBM server, for use to
improve sustainability and cost savings opportunities through water consumption
management ("Prototype Service"). Dubuque will provide IBM with current meter
readings on a schedule and frequency agreed by the parties from 250 customers'
advanced water meters ("Dubuque Data"), and set up a mechanism that will enable
these customers to provide Dubuque with feedback about the IBM service. The
parties will agree on the content, format and frequency for Dubuque to provide the
customer feedback to IBM. IBM will own all the feedback. At the end of the project,
IBM will provide Dubuque with astand-alone application tool, in object code form,
that replicates the front end of the IBM Service, but accesses static and local data for
use by Dubuque to demonstrate the Prototype Service to its citizens and others.
Dubuque will be able to access this service from existing City equipment.
U®GT
The Smart Water segment of this contract is proposed to be $850,000 and can be
funded from water user fees. Jenny Larson, the City's Budget Director, is proposing
$500,000 be committed in Fiscal Year 2010 and $350,000 in Fiscal Year 2011.
REC®IUIMEN®~-TI®N
Staff requests that the City Council authorize the City Manager to complete
negotiations with IBM for this Smarter Sustainable Dubuque Services Agreement and
its first attached Statement of Work for a contract amount not to exceed $850,000
and subject to final City Council approval.
Attachment
cc: Jennifer Larson, Budget Director
Sheila Samuelson, sustainability Coordinator
Teri Goodmann, Assistant City Manager
David Heiar, Economic Development Director
Steve Brown, Project Manager
David Lyons, Project Manager, Smart Sustainable Dubuque
F:\USERS\Econ Dev\Smart City Initiative\20090916_Smart Sustainable City Memo.doc
Ii~eorandu~n of LTnderstandir~~
between CITY ®JE' I)IJBIJ~ITE and IBM RESEAItCII
This is a Memorandum of Understanding (MOU) between IBM RESEARCH and CITY OF
DUBUQUE. The purpose of this MOU is to confirm the discussions between CITY OF
DUBUQUE and IBM RESEARCH with respect to our intention to collaborate in areas of mutual
interest derived from IBM RESEARCH's smarter planet initiatives and CITY OF DUBUQUE'S
sustainability model, subject to negotiation of a mutually acceptable definitive written
agreement(s).
We envision that the first planned agreement (expected to be executed contemporaneously with
this MOU) will encompass a six (6) month joint study effort to identify opportunities for
innovation with IBM Research playing the role as an innovation partner for the City of Dubuque.
IBM Research plans to work with the CITY OF DUBUQUE, the Greater Dubuque Development
Corporation and other partners in Dubuque to create proofs of concept to showcase the
capabilities. The study effort is expected to include a review of business, technical, marketing,
sales, and financial plans and capabilities, among other things.
In order to ensure that the parties understand the nature and the purpose of these discussions so
that no misunderstanding occurs, we wish to document the status of the parties' discussions as of
this date and provide a framework for ongoing discussions. This MOU sets forth the intentions
and understandings of the parties for the purpose of facilitating our subsequent discussions and
evaluations.
The following describes the proposed relationship between CITY OF DUBUQUE and IBM
RESEARCH with the goal of entering into a definitive written agreement(s) regarding such
relationship including the intention to enter into an agreement regarding the study effort
mentioned above.
Objectives
CITY OF DUBUQUE'S business interests in connection with this potential relationship are
initially focused in the following areas in an effort to create jobs and save citizens and businesses
money
The City's sustaiilability model that will cover three core areas including all principles:
1. Economic Prosperity
Regional Economy: Sustainable Dubuque is a community that values a diversified
regional economy with opportunities for new and green markets, jobs, products and
services.
Smart Energy Use: Sustainable Dubuque is a community that values energy
conservation and expanded use of renewable energy as a means to save money and
protect the environment.
® Resource Management: Sustainable Dubuque is a community that values the
benefits of reducing, reusing and recycling resources.
e Community Design: Sustainable Dubuque is a community that values the built
environment of the past, present and future which contributes to its identity,
heritage and sense of place.
2, Social/Cultural Vibrancy
e Green Buildings: Sustainable Dubuque is a community that values a productive
and healthy built environment.
Community Knowledge: Sustainable Dubuque is a community that values
education, empowerment and engagement to achieve economic prosperity,
environmental integrity and social/cultural vibrancy.
Reasonable Mobility: Sustainable Dubuque is a community that values safe,
reasonable and equitable choices to access live, work and play opportunities.
3. EnvironrnentalIntegrity
® Healthy Air: Sustainable Dubuque is a community that values fresh air, reduced
greenhouse gas emissions and minimized health risks.
® Clean Water: Sustainable Dubuque is a community that values water as a source of
life and seeks to preserve and manage it in all forms.
IBM RESEARCH'S business interests in connection with this potential relationship are initially
focused in the following areas:
IBM RESEARCH'S smarter planet initiatives that cover:
Smart Cities Instrumentation, Interconnection and hitelligence including
Integrated sustainability Monitoring & Modeling
Energy efficient buildings
Integrated Smart Parking and Transportation
Smart metering for water usage
Research intiatives that could help city residents reduce their carbon footprint.
Education Services
Healthcare IT
In engaging in such a relationship, CITY OF DTJBUQTJE and IBM RESEARCH anticipate that
they will also be engaging other partners as needed to deploy cutting edge solutions developed at
IBM RESEARCH in the CITY OF DUBUQUE creating and smarter, more sustainable city.
CITY OF DUBUQUE and IBM RESEARCH intend to hold regularly scheduled executive,
marketing and sales, and technical meetings for strategy discussions and to review the status and
progress of this potential relationship with respect to the following areas. The specific agreements
for each of these areas are intended to be covered in individual appendices to the overall definitive
agreement or, as appropriate, in separate agreements.
IBM RESEARCH Resuonsibilities
Under the proposed relationship, IBM RESEARCH intends to:
Provide expertise regarding sustainability innovation to CITY of DUBUQUE
a Study the various city systems in Dubuque including the energy, water; transportation,
parl~ing and economic development and propose innovation projects to help improve the
efficiency of the systems to make them smarter and more sustainable. This is expected to
be conducted over a six (6) month period.
e Based on the study conducted, initiate a portfolio of proof of concepts with the CITY of
DUBUQUE to demonstrate smart city innovation capabilities. This work may begin as
early as September 2009 with a proof of concept in congestion minimization.
® The goal is to showcase the innovation capabilities in Dubuque to be scaled and deployed
within the entire city and to use it is as a model that can be replicated in the state of Iowa
and the nation.
® Create a repository of content and lessons learned in the process of transforming Dubuque
into a more sustainable and smarter city
CITY OF DUBUQUE Responsibilities
Under the proposed relationship, CITY OF DUBUQUE intends to:
o Provide local specifications and requirements in the areas of smart city integration, energy,
water, transportation around which research proposals need to be developed.
Help build partnerships with lcey entities including city businesses, utilities and other
public and private enterprises to enable the collaboration to create deployable prototypes of
the proposals jointly developed with IBM Research.
Lead the facilitation of appropriate funding mechanisms for the proposals developed and be
solely responsible for any funding from government sources except in cases where it maybe
required that industry lead the response to a Request for Proposal (RFP) issued by a
government source.
~ Enlist, where appropriate, voluntary participation in these proposals by interested local
agencies, and individuals.
e Facilitate the implementation of systems that will be needed to perform the identified
activities.
a Facilitate the implementation of programs identified during the study effort.
Joint Responsibilities
Under the prcposed relationship, the panties jointly intend to:
Jointly develop research proposals of interest
o Jointly work on change management as proposals need to be modified or revised based on
changes in the environment over the lifespan of their development
o Jointly develop a governance model for running a project office to measure, monitor,
evaluate and report progress and resolve issues that may hinder the progress of the work
® Jointly ~=ork to ensure city wide deployment of solutions based on the success of the
proofs of concept
General teams covering our discussions in connection with this MOU
A. Confidentiality. Information that is exchanged will not be considered confidential
unless it is disclosed tinder the terms of the IBM RESEARCH Confidential Disclosure Agreement
between the parties dated ~~ ~] ~ %( ~ ~~
B. Term and Termination. This MOU will guide the further discussions of the
parties until the signing of a definitive agreement, if any. After such date, neither party shall have
any further obligations to the other party pursuant to this MOU, except as expressly provided in
this MOU. This MOU and the negotiation of a definitive agreement are terminable at will by
either party. All discussions, proposals, term sheets, draft agreements and other similar materials
will be null and void if discussions are terminated.
~. Nonexclusive 12elationship. This MOU outlines anon-exclusive commercial
relationship between IBM RESEARCH and CITY OF DUBUQUE. Nothing contained in this
MOU shall be deemed to be a restriction of any type on either party's ability to freely compete or .
to enter into "partnering" relationships with other entities. Any decision by either party to forego,
or engage in any other business opportunity or any other activity, to alter any business plan or
direction, or to make any investment in anticipation of the consummation of any transaction
contemplated by the parties, is at the sole discretion of the party electing to do so, and will not
create any actual or potential liability or obligation for the other party, even if that party is aware
of, or has been informed of or has indicated approval of any such action, decision or election
unless agreed to otherwise in an agreement signed by both parties. In the event of termination of
this MOU, neither pai°ty will be restricted as a result of these discussions, and in any event each
party is free to pursue a similar business relationship with others at any time.
D. Preliminary I~tatttre of Discussions. During the parties' discussions, the parties
will likely exchange written or oral proposals, term sheets (including without limitation the
responsibilities' outline contained herein), draft agreements or other similar materials. Neither
party may rely on, be bound by, .or have any obligation under any such discussion, proposal, term
sheet, draft agreement or other preliminary material, even if signed by one or both of the parties,
except for a definitive written agreement signed by an authorized representative of each party that
encompasses the subject matter of any such materials. In addition, the parties agree as follows:
The parties acknowledge and agree that the proposed business relationship between
the parties and the execution of the definitive agreement by CITY OF DUBUQUE
and IBM RESEARCH is subject to all applicable legal and regulatory requirements
and all necessary corporate and other approvals of the parties and their respective
shareholders, members and/or partners.
2. Neither CITY OF DUBUQUE nor IBM RESEARCH nor any of their respective
shareholders, members, partners or affiliates will issue any release or other
publicity concerning this MOU except with the prior written approval of the other
party. The parties agree to cooperate with respect to any news release or other
publicity regarding the foregoing.
3. This MOU shall be read and interpreted with all changes of gender or number
required by the context according to the ordinary and usual meaning of words, but
words with recognized technical or trade meanings shall be interpreted according to
such recognized meanings.
4. The cost intoned by each party with respect to these discussions, and all
subsequent negotiations of the proposed agreement, whether resulting in an
agreement or not, and including without limitation legal and attorney, technical and
research, financial and other advisory fees, will be borne solely by the party which
incui~ed them.
This MOU supersedes all prior proposals and discussions and is the complete and exclusive
statement of the understanding between IBM RESEARCH and CITY OF DUBUQUE as to the
subject matter. This MOU cannot be modified except by a comprehensive writing signed by an
authorized representative of each party that specifically amends this MOU.
If this document adequately sets forth your understanding of our intentions, please indicate your
agreement by signing both copies of this MOU and retlun one original to me (you may do so by
facsimile or by mail).
Acknowledged for;
IBM
By:
Date
~~ ~~ ~~~ ~-er~~~ ~
a ~ ~~~ ~1 Gay/~
CITY OF DUBUQUE
-~
By; _~2.~__,
Date: ~~ ~' j
~~t~~r /?l r' <~:
Prepared/Return to: David Heiar, Economic Development, 50 W 13th Street, Dubuque, IA 52001 (563) 589-4393
RESOLUTION NO. 340-09
Whereas, the City of Dubuque, Iowa, has established sustainability as a top
priority; and
Whereas, many cities are in search of transformational agendas to revitalize
their economies and improve their environments; and
Whereas, Dubuque has defined itself as a national leader in sustainability; and
Whereas, the citizens of Dubuque have already collaborated on an
unprecedented sustainable agenda; and
Whereas, International Business Machines Corporation (IBM) is an
international leader in developing a smarter planet; and
Whereas, the general terms and conditions for a Master Contract with IBM, set
forth in the attached memorandum, have been reviewed and are supported by the
City Council; and
Whereas, the City Council desires that the City Manager negotiate an
agreement with IBM that incorporates those terms and conditions, subject to final
approval by the City Council
NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE
CITY OF DUBUQUE, IOWA:
Section 1. That the general terms and conditions for a Master Contract with
IBM, described in the attached memorandum, have been reviewed and are supported
by the City Council.
Section 2. That the City Manager is hereby authorized to negotiate an
agreement with ABM, subject to final approval by the City Council
Passed, approved and adopted this 17th day of September, 2009.
Roy D. Buol, Mayor
Attest:
~~
/Jeanne F. Schneider, City Clerk
F:\USERS\Econ Dev\Smart City Initiative\20090916_Resolution Execution Sustainability Agreement.doc
MASTER CONSULTING SERVICES AGREEMENT
Client: City of Dubuque
The parties to this Master Consulting Services Agreement ("Agreement") are the consulting services provider, The Iowa
Institute and David Lyons, the Consultant ("Consultant") and the City of Dubuque ("Client"). For identification purposes,
the date of this Agreement is the date it is signed by Client. The purpose of this Agreement is to set forth the terms and
conditions under which Consultant will perform consulting services for Client.
1. Client. "Client" means the City of Dubuque, Iowa
2. Statement of work. For each engagement under
this Agreement, the services to be performed by
Consultant at Client's request will be described in
a statement of work ("Statement of Work") as
shown in Exhibit A. Each Statement of Work and
each amendment thereto must be signed by both
parties and must state that it is made pursuant to
this Agreement. Each Statement of Work shall
constitute a separate agreement which
incorporates the terms and provisions of this
Master Consulting Services Agreement. The
provisions of this Agreement shall control over
any conflicting provisions in a Statement of
Work, except to the extent that a provision of this
Master Consulting Services Agreement specifically
states that a Statement of Work may provide
different terms. A Statement of Work may contain
additional terms, provided that the terms do not
conflict with the provisions of this Agreement.
Deliverables. The term "Deliverables" as used in
this Agreement shall mean any and all written
materials, services and other items which are to be
furnished to Client by Consultant as provided in a
Statement of Work.
3. Term and termination. Each Statement of Work
shall take effect when signed by both parties.
The actual provision of consulting services shall
begin on the "Start Date" specified in the
Statement of Work, which may or may not be the
same as the effective date. Each Statement of
Work will continue in effect until terminated by
Client in accordance with the paragraph of this
Agreement titled "Termination for convenience",
but in the absence of such a termination for
convenience: (a) if a Statement of Work specifies
a term of months or a specific termination date,
that Statement of Work shall automatically
terminate upon expiration of the Initial Term
(defined as the period beginning on the Start
Date and ending on the specified termination
date or at the end of the specified number of
months) unless the Statement of Work is
renewed in accordance with the paragraph below
titled "Renewal"; or (b) if the consulting services
consist of completing specified tasks or
Deliverables and no term of months or
termination date is specified in the Statement of
Work, the Statement of Work shall automatically
terminate upon completion of all tasks and final
acceptance or non-acceptance of all Deliverables
specified in that Statement of Work.
Notwithstanding the foregoing, unless otherwise
agreed in writing by the parties, this Ac,~eement
shall commence on the•` % day of CJ--5"~~~~~~°~~- ,
2009, and shall terminate at midnight on th 3 h
day of June, 2011.
Renewal. A Statement of Work with an Initial
Term may be renewed by Client for an additional
term ("Renewal Term"), and subsequently for
additional Renewal Terms, upon written notice to
Consultant on or before the expiration date of the
then-current term. Each Renewal Term shall
begin upon expiration of the prior term and shall
have the duration specified in Client's notice,
which shall not exceed 12 months without
Consultant's written consent.
5. Fees. Each Statement of Work shall specify all
fees and other charges that Client will pay
Consultant for the consulting services to be
rendered pursuant to that Statement of Work,
and shall specify whether fees will be on a time-
and-materials basis, a fixed price basis, or a
combination of both.
6. Fixed price basis. If any services under a
Statement of Work will be performed on a fixed
price basis, the Statement of Work shall state a
fixed price which shall include all labor and
materials required to complete the entire
Statement of Work (or the entire fixed price portion
of the Statement of Work, as applicable). Invoices
for work performed on a fixed price basis shall be
issued as provided in the Statement of Work.
7. Change orders. A Statement of Work shall
describe the work to be performed and may
contain a list of assumptions on which delivery
dates or fixed or maximum prices are based. If the
scopes of the project or assumptions change
during the course of the engagement, the changes
shall be described in a change order to be signed
by both parties. The change order shall also set
forth any changes to delivery dates and/or fixed or
maximum prices that the parties agree are fair in
light of the changed scope or assumptions.
8. Travel, meals, lodging, communications,
photocopies and other reasonable expenses.
If a Statement of Work specifies that Client is to
pay Consultant's expenses for travel, meals,
lodging, communications, photocopies and other
reasonable expenses. Client shall reimburse
Consultant for actual, necessary and reasonable
expenses
9. Invoices. Client shall not be billed or be liable for
any charges other than those described and
authorized in the Statement of Work, in this
Agreement or in a subsequent writing signed by
Client. Each invoice must clearly indicate the
services, materials and expenses for which Client
is being charged, and must include an invoice
number, the time period covered by the invoice,
the amount of any applicable tax, and sufficient
detail to allow Client to determine the accuracy of
the invoice. Client shall be billed only for
services actually performed and for expenses
actually incurred. Invoices for any allowable
expenses must include itemization of each
expense and documentation of amounts actually
paid for expenses. If the Statement of Work lists
specific additional items or categories of
information that must be included on Consultant's
invoices, that information shall be provided.
Except to the extent Client has the right to
withhold payment pursuant to an express
provision of this Agreement or a Statement of
Work, timely invoices shall be paid within 30 days
after the later of: (a) the invoice date; or (b) the
date Client receives a correct paper invoice or a
correct electronic invoice file in a format that
meets Client's electronic invoicing requirements.
10. Address for invoices. All invoices shall be sent
to City of Dubuque, Iowa, 50 West 13~h Street,
Dubuque IA 52001-4864, attn: City Manager.
Consultant agrees not to send duplicate invoices
to any other persons or departments in Client's
enterprise.
11. Disputed invoices. Consultant shall use
commercially reasonable efforts to ensure the
accuracy of invoices. Client will provide written
notification of any disputed invoice within 30 days
after receipt, and shall have an additional 30
days in which to resolve the dispute with
Consultant and pay the agreed-upon amount.
The parties agree to use commercially
reasonable efforts to resolve the disputed items
within the 30-day additional time period.
12. Client's responsibilities. In connection with each
Statement of Work, Client shall: (a) designate one
employee of Client as coordinator who shall be
Consultant's primary point of contact for all new or
unresolved questions and issues relating to the
engagement (b) provide such Client information
and data as is reasonably necessary to enable
Consultant to perform its obligations; and (c)
perform such other duties and tasks as may be
specifically identified as Client obligations on a
Statement of Work, or as may be otherwise
agreed upon in writing by Client and Consultant.
Client shall have no obligations which it must
perform as a condition of the full and timely
performance by Consultant of its obligations under
a Statement of Work, except for those obligations
specifically identified as Client obligations in a
writing signed by Client.
13. Client-owned items. If Client provides for
Consultant's use in connection with a Statement of
Work any hardware, software or other items which
are owned, leased or licensed by Client, no title to
any such items shall pass to Consultant, and
Consultant shall return all such items to Client
upon conclusion of the engagement. Consultant
agrees to use such items in a manner consistent
with their intended use and to exercise at least the
same degree of care in their use as it does with its
own similar items, but in no event less than
reasonable care.
14. Progress reports. If a Statement of Work
specifies that Consultant is to furnish periodic
progress reports, the provisions of this paragraph
shall apply. The frequency of the required reports
shall be monthly unless the Statement of Work
specifies a different frequency, in which case the
references to "monthly' in this paragraph shall be
changed accordingly. Once every month during
the course of the engagement, Consultant shall
provide Client with a report briefly describing the
progress of the project. The report shall also
specify in detail: (a) any known problem or
circumstance encountered by Consultant during
the preceding month period which may tend to
cause any delay in Consultant's performance or
which may tend to cause any project cost overrun
for time-and-materials charges; (b) Consultant's
best estimate of the length of any such delay
and/or of the amount of any such cost overrun;
and (c) a description of the cause of each such
problem or circumstance and the specific steps
proposed to be taken to remedy such problem.
Any problem or circumstance which Consultant
fails to timely include in such a report to Client
shall not later serve as a basis for Consultant to
claim additional payment from Client or to claim an
excuse for failing to complete any task by the
completion date specified in the Statement of
Work.
15. Acceptance of Deliverables. No Deliverable will
be deemed accepted by Client until Client states
that it is accepted. Client shall have no obligation
to pay any invoice received from Consultant to
the extent any Deliverable furnished or required
to be furnished to Client through the date of
Client's receipt of the invoice has not been
accepted by Client as provided below. If the
Statement of Work specifies a certain number of
business days in which Client is to review
Deliverables, Client shall notify Consultant in
writing of the acceptability or non-acceptability of
2
the Deliverable(s) within the specified number of
business days after Client's receipt of the
Deliverable(s). Otherwise, Client shall provide
such notice within a reasonable time. Any non-
acceptance notice shall state the particulars in
which the Deliverable is deficient. If acceptance
criteria are specified in the Statement of Work,
the notice shall specify which criteria are not
satisfied. Consultant shall be allowed a
reasonable time to correct deficiencies.
16. Warranty for services. Consultant warrants that
it shall perform the services required under each
Statement of Work in a professional manner, by
qualified personnel, in accordance with all
applicable industry standards, and in accordance
with the terms of the Statement of Work. If this
warranty is breached, Consultant at Client's
option shall either: (a) promptly and at
Consultant's own expense re-perform the
applicable services as warranted, or (b) refund to
Client the entire amount paid for the applicable
services and for any other services that become
substantially without value to Client as a result of
the breach.
17. Independent contractor. It is agreed and
understood that Consultant's relationship to
Client is that of an independent contractor.
Neither party shall be deemed to be, or hold itself
out as, a partner, agent, employee or joint
venturer of the other party. All persons
performing Consultant's obligations under this
Agreement shall be considered to be solely the
employees, contractors or agents of Consultant or
its contractors, and Consultant and its contractors
shall be responsible for ensuring there is payment
of any and all salaries, wages, payroll taxes,
insurance and other items payable to or on behalf
of such personnel, and for maintaining worker's
compensation insurance on such personnel.
Consultant shall indemnify and hold Client
harmless against any claims, costs or expenses
that may arise out of any breach of this
paragraph by Consultant or its contractors.
18. Compliance with law. In performing
Consultant's obligations under a Statement of
Work, Consultant and its personnel shall comply
with all applicable city, state and federal laws,
ordinances, rules and regulations.
19. General indemnification. Each party agrees to
indemnify, defend and hold the other harmless
against any third party claim involving personal
injury or damage to tangible property arising from
alleged negligent or willful acts or omissions of
the indemnifying party or its employees, agents
or subcontractors in connection with this
Agreement.
20. ®wnership of work product. Except as
expressly stated in the paragraph of this
Agreement entitled "Consultant's retained rights,"
Consultant agrees that all rights, title and interest
in and to any works and materials created by
Consultant or created jointly by Consultant and
Client pursuant to this Agreement, including but
not limited to copyrights, will at all times belong
exclusively to Client.
21. Consultant's retained rights. Client's ownership
rights shall not extend to or include the ideas,
concepts, know-how or techniques used by
Consultant in furnishing services or providing
Deliverables to Client. Consultant shall retain
sole title to and ownership of all works and
materials created by Consultant other than
pursuant to this Agreement, but for all such works
and materials incorporated into any Deliverable
under this Agreement, Consultant grants to Client
an irrevocable, royalty-free, non-exclusive, non-
transferable perpetual license to use, duplicate,
alter and modify such works and materials in the
normal course of Client's activities.
22. Confidentiality. Each party acknowledges that,
in connection with the performance of this
Agreement or otherwise in the course of its
dealings with the other party, it may receive or
learn confidential, business, trade secret,
proprietary or other like information concerning
the other party or third parties to whom the other
party has an obligation of confidentiality
("Confidential Information"). Each party agrees to
the extent permitted by law that it will not disclose
to any third party, either orally or in writing, any
Confidential Information of the other party without
the prior written consent of the other party, and
that it will not appropriate any Confidential
Information to its own use or to the use of any
third party. Confidential Information that is
provided by one party to the other shall be used
by the recipient only for the purpose for which it
was provided, and access to it shall be restricted
to individuals who require the information (or
access to the information) to further that purpose.
Without limiting any of the foregoing, each party
agrees to take at least such precautions to
protect the other party's Confidential Information
as it takes to protect its own Confidential
Information, and in any event shall take all
precautions that are reasonably necessary to
protect the security of the other party's
Confidential Information. Each party further
agrees that upon request of the other party it will
return to that party all tangible items containing
any of that party's Confidential Information,
including all copies, abstractions and
compilations thereof, without retaining any copies
of the items required to be returned. The
obligations of this paragraph extend to the
employees, agents, affiliates and contractors of
each party, and each party shall inform such
persons of their obligations hereunder.
23. Prohibition on publicity. Consultant may include
the name "City of Dubuque" on a listing of
Consultant's clients, provided that such listing
does not state or imply that Client endorses
Consultant or its services. Otherwise, neither
party may advertise or promote itself using the
name, service mark or description of the other
party without the written consent of the other party
in the case of each such use.
24. Termination for convenience. Client may
terminate a Statement of Work at any time for any
reason with or without cause by giving Consultant
5 days' notice in writing of Client's intention to so
terminate. Following the effective date of such
termination and upon delivery to Client of all items
required by this Agreement and the Statement of
Work to be delivered by Consultant to Client upon
termination, Client shall pay Consultant for
services performed and reimbursable expenses
incurred through the termination date. In the case
of fixed price work, the amount paid for services
performed shall be an equitable portion of the fixed
price based on the amount of the fixed price work
completed prior to termination.
25. Cancellation for material breach. Either party
may terminate any Statement of Work upon 15
days' written notice to the other party if such other
party has committed a material breach of its
obligations under the Statement of Work (including
the incorporated provisions of this Agreement),
and such breach is not cured within the 15-day
notice period.
26. Effect of termination. Termination or cancellation
of a Statement of Work shall not terminate this
master Agreement, and the parties shall remain
free to enter into future Statements of Work
pursuant to this Agreement. In addition,
termination, cancellation or completion of a
Statement of Work shall not relieve either party of
any previously accrued obligations or of any
obligations, which by their nature are intended to
survive termination, cancellation or completion.
Obligations which survive shall include but not be
limited to obligations in connection with payment,
warranties, Confidential Information and
indemnification.
27. Dispute resolution. In the event of any dispute
arising out of or relating to this Agreement, the
parties agree to attempt in good faith to resolve the
dispute first by direct negotiation and then, if that is
not successful, by mediation with a neutral third-
party mediator acceptable to both parties.
Mediation expenses will be shared equally by the
parties.
28. Partial invalidity. If any provision of this
Agreement or any Statement of Work is held to be
unenforceable, the remaining provisions shall
continue in full force and effect. The parties shall
in good faith negotiate a mutually acceptable and
enforceable substitute for the unenforceable
provision, which substitute shall be as consistent
as possible with the original intent of the parties.
29. Remedies not exclusive. Unless this
Agreement expressly states that a remedy is
exclusive, no remedy made available under this
Agreement is intended to be exclusive.
30. Non-waiver. No term or provision of this
Agreement shall be deemed waived and no
breach shall be deemed excused unless such
waiver or consent shall be in writing and signed by
the party claimed to have waived or consented. No
consent by any party to, or waiver of, a breach by
the other shall constitute a consent to, waiver of, or
excuse for any different or subsequent breach.
31. Assignment. Neither party's rights or obligations
under this Agreement (except the right to receive
money) shall be assigned or delegated without
the prior written consent of the other party,
except that either party may without such consent
assign all of its rights and delegate all of its
obligations under this Agreement to an entity: (a)
which such party owns or controls; (b) which is
owned or controlled by such party; or (c) which is
under common ownership or control with such
party. Any consent required by this paragraph
shall not be unreasonably withheld, conditioned
or delayed. In the case of any assignment
permitted hereunder without the other party's
consent, the assignor shall promptly notify the
non-assigning party in writing of the assignment
and shall include in its notice a statement of the
facts that permit assignment without consent.
Nothing in this paragraph shall restrict a party's
right to transfer property to which it has obtained
ownership rights under this Agreement.
32. Successors and assigns. This Agreement and
each Statement of Work hereunder shall inure to
the benefit of and be binding upon the respective
successors and assigns, if any, of the parties.
Nothing in this paragraph shall be construed to
permit any attempted assignment which would be
unauthorized pursuant to any other provision of
this Agreement.
33. Construction. The paragraph headings in this
Agreement are for reference purposes only and
shall not be deemed a part of this Agreement. The
wording used in this Agreement is the wording
chosen by the parties to express their mutual
intent, and no rule of strict construction shall be
applied against either party.
34. Entire agreement; amendment. This
Agreement, including the attached exhibit
referenced herein and the Statement(s) of Work
entered into pursuant to this Agreement, constitute
the entire agreement between the parties with
respect to the consulting services to be provided
by Consultant to Client. This Agreement may be
altered only by a written amendment identified as
such and signed by authorized personnel of both
parties. All such amendments to this Agreement
shall be binding on both parties despite any lack of
consideration.
35. Governing law. This Agreement shall be
governed by the laws of the state of Iowa, without
reference to conflict of law principles.
36. Notices. All notices which are required by this
Agreement to be in writing: (a) shall be delivered
by hand, by overnight courier, by facsimile, or by
certified or registered mail, postage prepaid,
return receipt requested; (b) shall be deemed
given upon receipt by the transmitting party of
machine confirmation of successful transmission
of a facsimile to the correct facsimile number, or
on the date of actual delivery when the written
notice is not sent by facsimile; and (c) shall be
directed to the contact persons listed below at the
respective addresses or facsimile numbers listed
below, or to such other contact person, address
or facsimile number as was last designated in a
written notice by that party for notices to itself.
THE P~~~1~~ F(,~VE F~EAD TF9;`5 at~REEMENT, k1tVCs~RSTAND 1'r, nPtD `! St+~~(tN~ ~Et.ow AGREE ~C C3E
t3CkdND ICY IT. EACH PARTY REPRESE#~TS TF~AT THE t(VDIV(DU.!~t, NtNt~a pN ITS SEHAL~ t-tAS; ~ULt.
~4UT~ICRI'7`Y ~"4J DINIJ ^~i1CFi W';4RTY.
~L(~NT
City of Dulzuque
c(ty Hali
641Nesk 9 Sin 5t.
Dubuque, IA 524b'i-9805 , ,,
P'hane: {583} 5&9.411
By. ,~ ~~~,~ -~
Michael C. V n M(II(gen
CGkd~Ul.l~'AI~T
pav9cl ns
71i
6804 Fit sank Drive
F]a~ M es, taws 51)312
Phatte: T668
By: ~.'
•
De i Lyons
(ks; C(fy Manager J
{~~t~}.......
i#s:
Title}~ ~
~`~~~'~
(Date}
~x~tibit ,~.
THE PARTIES HAVE READ THIS AGREEMENT, UNDERSTAND IT, AND BY SIGNING BELOW AGREE TO BE
BOUND BY IT. EACH PARTY REPRESENTS THAT THE INDIVIDUAL SIGNING ON ITS BEHALF HAS FULL
AUTHORITY TO BIND SUCH PARTY.
CLIENT
City of Dubuque
City Hall
50 West 13th St.
Dubuque, IA 52001-4805
Phone: (563) 589-4110 R
By:
Michael C. Vin Milligen
Its: City Manager
. `
(D~te)
CONSULTANT
David Lyons
TII
5804 Pleasant Drive
Des Moines, Iowa 50312
Phone: (515) 279-7559
By:
David Lyons
Its:
(Title)
(Date)
~X~llbi~ ~
STATEMENT OF W®RK
Client: City of Dubuque
Date Client signed Master Consulting Services Agreement:
This Statement of Work is made pursuant to a Master Consulting Services Agreement ("Agreement") between the
consulting services provider identified above as "Consultant" THE Iowa Institute and David Lyons ,City of Dubuque
and its related entities included in the definition of "Client" in the Agreement (collectively, "Client"). The Agreement was
signed by Client on the date indicated above. This Statement of Work incorporates all terms and provisions of the
Agreement.
Start Date --Consultant is to begin providing the consulting services: (choose only one)
_ immediately after this Statement of Work is signed by both parties
X on the following date: 10/1/09
other (such as occurrence of an event):
This Statement of Work will: (choose only one)
X have an Initial Term of 3 months
_ have an Initial Term ending on the following date:
® terminate on completion of all tasks and final acceptance or non-acceptance of all Deliverables described in this
Statement of Work
Consulting services will be performed at: (indicate ALL that apply)
X_Client's premises in Dubuque
Client's premises in
X Consultant's premises in Des Moines
X Other locations to be determined by client
X Check here if Client will pay travel, meal, lodging, communications, photocopies and other reasonable
expenses. (See Agreement for details.) Indicate invoicing terms: monthly
X Check here if Consultant is to provide progress reports every month.
If this Statement of Work is connected with a specific Client project, state name of project: SMART
SUSTAINABLE DUBUQUE
Project coordinators
Each party designates one of its employees to serve as the other party's primary point of contact for new or unresolved
questions/issues relating to this Statement of Work. Either party may change its designated project coordinator, but
shall promptly inform the other party of the change.
Client designates: Michael Van Milligan
Consultant designate: David Lyons
Names and roles of key Consultant personnel
David Lyons
Brief overview of the enpapement
Consultant is to facilitate and coordinate the relationships, partnerships, funding, regulatory and other issues required to
put the client in the position to successfully launch and implement SMART SUSTAINABLE DUBUQUE - AN IBM AND
CITY OF DUBUQUE PARTNERSHIP.
Tasks and Deliverables
Over the period of this statement of work, deliverables include at a minimum (1) agreements with IBM, Alliant Energy
and such other businesses as sufficient for client to proceed with and successfully implement the project; (2) completion
of short term fund-raising and grant development efforts and planning sufficient to provide client with evidence that there
will be at least minimally required funding for the project; and (3) a recommended outline for, and implementation of, a
public roll-out of the project, including coordination with all primary and secondary partners and outreach and community
engagement within the community, should client choose to proceed with the project.
Fees
Fees for this Statement of Work will be: (choose only one)
X fixed price only (see further information below)
time-and-materials only (see further information below)
combination fixed price and time-and-materials (see further information below about each category) -- state here
which tasks and Deliverables will be in each category:
Fixed price information:
Total fixed price for: (choose only one)
X this Statement of Work: $ 10,000 per month
fixed price portion of this Statement of Work: $
Consultant to invoice Client as follows: (choose only one)
_ entire fixed price upon satisfactory completion of all fixed-price tasks and acceptance of all fixed-price Deliverables
X other (specify): Monthly
Each party represents that the individual signing on its behalf has read this Statement of Work, understands it,
and has full authority to bind such party.
CLIENT
CONSULTANT
City of Dubuque David Lyons
City Hall TII
50 West 13`h St 5804 Pleasant Drive
Dubuque, IA 52001-4805 Des Moines, Iowa 50312
Phone: (563) 589-4110 Phone: (515) 279-7559
By: Michael Ce VanMilligen By:
(Print Name) (Print Name)
k _..
(Signature) (Signature)
Its: City Manager Its:
(Title) (Title)
~`.
l ~ E~ F
(Date) tl (Date)
of Short term fund-raising and grant develapmerit Offorts and planning sui~cien~ i provide clign# with evidence
will be at least minlr»alfy ragrtired funding for the project; and (3) ~ recr5rz7rnenc~ outline for, and trnpternentai
pubiio rolt~out of the project, including coordination with alt primsry and second parfners and outreach and a
engagement wttftln the comntunity,. should client choose to emceed with tl}e p~ ct.
f
Fees far this ~taterrtent of Work will be: (chopS4 pnly pne}
K fixed price only (see further infarma#ton below)
„~ tirne4and-rrtaterials only {se$ further information b~31ow)
cornkaination fixe~f price and time-and-materials (see further intormatior~ bet about eaclt ca#egary) -~ state
which tasks and Detivcrebles Witt b+~ iii Bach category;
Fixed,~rioe infatmatiosti:
Total fried pace for: (aRooss only c~rre}
.C this Statement of Work: $ 9 t).000,~ter month
,_, fixed price portion of this Stat~m~nt of Wank: ~~
Cottsuttant to invoice ~li¢nt as faltaws; (cf7oosa only one}
entire fXed prfGe upon satisfactory corrrptetiun of alt fxed-price tasks rand
X ether (s~ecify)° Mon#hly
Each #aarty represents that the indtviduat signtnr~ an its ttehalf has read
and has full authority t~ bind ~ueh party.
CLtEt3T __.,_
City of Dubuque Pa~td
'Fit
City HatE
60 West 13ef' St SBtlk I
dulauqu®, to 52Ut11.48Q~ t7eh N
t}hone
pitons: (54~)5Q9.441Q
t3y: ~li~ha~~ ~• VartNtii3.i~en
Cairy l~an~c~e~ _ lts;
Its;
(Title)
r' ' .,,~ ~! i.'
r ! , t72te~~~~
cif att fixed-price
St$ternent of ttllork,
rt [)rive
tew2 5034
} 279-'7559
.[~ ~.
lhare
it,
TO: Michael C. Van Milligen, City Manager
FROM: Jennifer Larson, Budget Director
SUBJECT: Funding for the Smart Sustainable Dubuque Project and Project Manager
and Reduction of the Fiscal Year 2010 Water Rate
DATE: September 16, 2009
Information
The purpose of this memorandum is to recommend funding for the Smart Sustainable
Dubuque Project and project manager and a reduction of the Fiscal Year 2010 water
rate.
Discussion
The Fiscal Year 2010 adopted budget included an increase to City water rates by 5%.
The city-wide installation of new water meters and a low flow metering device
manufactured by AY McDonald, as well as financing the meter change-out project with
debt over a 20 year term rather than a 15 year term produces the possibility to reduce
the water rate increase in Fiscal Year 2010 by 2%. Through better monitoring of Water
Department energy usage it is hoped that further reductions in the cost of the City
processing and delivering water will be possible.
In addition, there is enough additional capacity created in the Water Fund with the
installation of new water meters and low flow metering devices to provide funding of the
following:
• $500,000 in Fiscal Year 2010 and $350,000 in Fiscal Year 2011 for payments to
IBM for water conservation efforts
• $23,058 in Fiscal Year 2011 and $51,809 thereafter for a Utility Billing Help Desk
position
• $10,000 in Fiscal year 2010 for the creation of an annual Water Leak Assistance
Program
• $176,680 in Fiscal Year 2010 for an Electrical Usage Integrated Sustainability
Monitoring project to provide the Water Department with the ability to monitor
near real-time electrical usage on all pumps and motors
These additional costs are related to the Smart Sustainable Dubuque Project. The Utility
Billing Help Desk position in Fiscal Year 2011 would only be requested if the scope of
the pilot project increased from 250 to 1,000 participants.
Through the Fiscal Year 2011 budget process, the Water Department will be requesting
an additional Water Meter Repair Worker and a Water Utility Engineer at a cost of
$146,826. These requests are unrelated to the Smart Sustainable Dubuque Project and
are necessary for day to day operations of the Water Department. The additional
expenses for these two positions are covered by the additional capacity created in the
Water Fund from the water meter change-out program.
In order to effectively manage the Smart Sustainable Dubuque project, additional staff
support is needed. It is necessary to contract a project manager for this project for on-
going management.
The cost for this recommendation of a project manager is estimated to be $125,000 in
Fiscal Year 2010 and $150,000 in Fiscal Year 2011 and beyond. This cost includes
$10,000 per month for consulting services as well as $2,500 per month for incidentals,
which includes mileage, per diem, and miscellaneous.
The proposed source of funds for the project manager for Fiscal Year 2010 is as
follows:
Water Usage Fees $ 55,000
Petrakis Field Project $ 30,000
General Liability Insurance Policy Savings 40 000
Total $125,000
The proposed source of funds for the project manager for Fiscal Year 2011 and beyond
is as follows:
Water Usage Fees $112,500
Sewer Usage Fees $ 19,500
Parking Usage Fees 18 000
Total $150,000
Action
I respectfully recommend the approval of funding as outlined above for a project
manager for Smart Sustainable Dubuque and $850,000 in payments to IBM for water
conservation efforts.
In addition, I respectfully recommend the approval of the water rate revisions to City of
Dubuque Code of ®rdinances Section 44-201(a) fixing water rates for residential and
industrial use which reduces the Fiscal Year 2010 water rate increase from 5% to 3%.
JML
TO: Michael C. Van Milligen, City Manager
FROM: Bob Green, Water Department Manager
SUBJECT: Rate Revision to City of Dubuque Code of Ordinances Title 13 Public
Utilities Chapter 1 Article C Section 13-1 C-1 (a)
DATE: September 16, 2009
INTRODUCTION
The purpose of this memorandum is to submit to you a copy of a proposed ordinance
change for your review and approval. This ordinance changes would revise City of
Dubuque Code of Ordinances Title 13 Public Utilities Chapter 1 Article C Section 13-1 C-
1(a) fixing water rates for residential and industrial use.
DISCUSSION
It is being recommended that the FY'10 adopted 5% rate increase be reduced by 2% to
a net increase of 3%. This decrease is possible due to the upcoming installation of low
flow metering devices and the financing term of the water meter change out project
being changed from 15 years to 20 years. The old and new rates are shown on the
following pages.
RECOMMENDATION
Staff and I are recommending that the attached proposed ordinances be submitted to
the City Council for adoption and effective upon publication.
BG:jml
Attachments
cc: Barry Lindahl, Corporation Counsel
Jenny Larson, Budget Director
Ken TeKippe, Finance Director
Jeanne Schneider, City Clerk
File
ORDINANCE NO. 46 -09
AMENDING THE CITY OF DUBUQUE CODE OF ORDINANCES TITLE 13 PUBLIC
UTILITIES CHAPTER 1 ARTICLE C SECTION 13-1C-1(A) FIXING WATER RATES
FOR RESIDENTIAL, COMMERCIAL, INDUSTRIAL, AND ALL OTHER USES
Section 1. Title 13 Public Utilities Chapter 1 Article C Section 13-1 C-1 (a) of the
City of Dubuque Code of Ordinances is hereby amended to read as follows:
Section 13-1 C-1(a). Residential, Commercial, Industrial and All Other Uses.
(a) The rates to be charged for water for residential, commercial, industrial and
all other uses and purposes by any person, firm or corporation within the
City shall be based on units of one-hundred cubic feet (748 gallons) as
follows:
Monthly Consumption (in Hundreds of Cubic Feet) Charae per Hundred
Cubic Feet
First 30 $2.12
Next 120 $1.73
Next 350 $1.61
Next 500 $1.42
Next 1,000 $1.25
Rates shall be subject to the following minimum monthly charge according to the
size of the meter:
Monthly Consumption
Meter Size (In Hundreds of
Inches Cubic Feet) Minimum Charge
5/8 2 $ 4.24
3/4 5 $ 10.61
1 8 $ 16.97
11/2 26 $ 55.17
2 46 $ 91.34
3 106 $ 195.16
4 168 $ 300.22
6 368 $ 621.58
8 625 $1,011.36
A property owner shall pay a $30.00 disconnect fee for water service that is
disconnected by city staff (meter not in service). When a tenant account is subject to
disconnection due to delinquency, the tenant shall pay the $30.00 disconnect fee.
A $5.00 minimum monthly charge will be assessed for meters not in service.
Section 2. This ®rdinance shall take effect upon publication.
Passed, approved and adopted this 17th day of September, 2009.
`~~ /; .
Attest:
.~eanne F. Schneider, CMC
City Clerk
Roy q~l3uol, Mayor
T U U f ~
MNTHLY
CONSUMPTION
(IN HUNDREDS OF
CURR NT NE
CUBIC FEET) TE Fl(10 RATE FY10
First 30 $2.16 $2.12
Next 120 $1.76 $1.73
Next 350 $1.64 $1.61
Next 500 $1.45 $1.42
Next 1,000 $1.27 $1.25
MONTHLY
CONSUMPTION
METER SIZE (IN HUNDREDS CURRENT UNIT CHARGE
(INCHES) OF CUBIC FEET) (CUBIC FEET) (CUBIC FEET)
5/8 I NCH ES 2 $4.32 $4.24
3/4 INCHES 5 $10.80 $10.61
1 INCH 8 $17.28 $16.97
1 1/2 INCHES 26 $56.16 $55.17
2 INCHES 46 $92.96 $91.34
3 INCHES 106 $198.56 $195.16
4 INCHES 168 $305.52 $300.22
6 INCHES 368 $633.52 $621.58
81NCHES 625 $1,031.25 $1,011.36