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IBM Joint Development Agreement with City_Iowa Power Fund_Amendment 2Masterpiece on the Mississippi TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Joint Development Agreement between the City of Dubuque and International Business Machines Corporation DATE: June 1, 2010 Dubuque Itittil All- AmedcaCity 1 I l if 2007 City Attorney Barry Lindahl recommends City Council approval of Amendment 2 to the Joint Development Agreement between the City of Dubuque and International Business Machines Corporation in order to conform the Joint Development Agreement to language in the final contract between the City of Dubuque and the Iowa Power Fund Board. I concur with the recommendation and respectfully request Mayor and City Council approval. MCVM:jh Attachment cc: Barry Lindahl, City Attorney Cindy Steinhauser, Assistant City Manager Michael C. Van Milligen THE CITY OF DUB'UE MEMORANDUM Masterpiece on the Mississippi BARRY LIND CITY ATTORNEY To: Michael C. Van Milligen City Manager DATE: May 21, 2010 RE: Joint Development Agreement between the City of Dubuque and International Business Machines Corporation The attached Amendment 2 to the Joint Development Agreement between the City of Dubuque and International Business Machines Corporation is necessary to conform the Joint Development Agreement to language in the final contract between the City of Dubuque and the Iowa Power Fund Board. I would recommend that Amendment 2 be submitted to the City Council for consideration and approval. BAL:tls Attachment cc: Dave Lyons, Smarter Sustainable Dubuque Project Coordinator F: \USERS \tsteckle \Lindahl \IBM Power Fund -AMI Pilot Project\ MVM_ JointDevAgreementAmend2 _052110.doc OFFICE OF THE CITY ATTORNEY DUBUQUE, IOWA SUITE 330, HARBOR VIEW PLACE, 300 MAIN STREET DUBUQUE, IA 52001 -6944 TELEPHONE (563) 583 -4113 / FAx (563) 583 -1040 / EMAIL balesq @cityofdubuque.org AMENDMENT 2 TO JOINT DEVELOPMENT AGREEMENT W1055610 / L105986 The parties agree that Joint Development Agreement W1055610 / L105986, entered into by the City of Dubuque, Iowa and Internation Business Machines Corporation on April 13, 2010 ( "Agreement "), be further amended effective as of the date this Amendment No. 2 is signed by the last signatory ( "Amendment No. 2 Effective Date "), as follows: 1. Article 1.3 — Article 1.3 of the Agreement is deleted in its entirety, and replaced with the following: "For a period of three (3) years after the expiration of this Agreement, IBM agrees that IBM Research will make available to any Iowa governmental entity (State, county or local), the Prototype Service developed under this Agreement in accordance with terms and conditions to be agreed upon by the governmental entity and IBM, for the sole purpose of monitoring electric energy consumption during the term of such entity's contract with IBM. "In the event the Iowa governmental entity is not referred to IBM by City, or by the Iowa Power Fund or Iowa Office of Energy Independence acting on behalf of City, IBM will charge the governmental entity requesting the Prototype Service IBM Research's then current rates for the Prototype Service. "If the Iowa governmental entity is referred to IBM by City, or by the Iowa Power Fund or the Iowa Office of Energy Independence acting on behalf of City, IBM will not charge the referred governmental entity for the Prototype Service; however each such referred governmental entity will be required to pay IBM Research for: (i) any customizations that need to be made to the Prototype Service, and (ii) use of the IBM Cloud Service, IBM Smarter City Sustainability Model Software, and any other Software necessary to run the Prototype Service (including, without limitation, IBM's Infosphere Information Server, DB2, Cognos and Websphere Application Server), in each case, at the then current rates for IBM Research. "If IBM has received a referral from City, the Iowa Power Fund or the Office of Energy Independence prior to the expiration of the three (3) year referral period described above, IBM agrees that it will treat such referrals as referred by City for purposes of this Article 1.3 if an agreement between IBM and the other Iowa government entity is signed by both parties during the three (3) year referral period, or within six (6) months after the end of the three (3) year referral period. In the event an agreement is not executed between IBM and the referred Iowa government entity during this three (3) year and six (6) month period, IBM 1 will charge the governmental entity IBM Research's then current rates for the Prototype Service. IBM agrees to negotiate the agreements with the referred government entities in good faith." 2. All other terms and conditions of the Agreement remain unchanged and in full force and effect. By signing below, the parties agree to the terms of this Amendment No. 2. INTERNATIONAL BUSINESS CITY OF DUBUQUE, IOWA MACHINES CORPORATION Date: May 22, 2010 „I/ 5 Ka ./6„. Kenneth J. Keating, Jr. Director, Business Development 2 Name: 'loy D. Buol Title: Mayor AMENDMENT 2 TO THE JOINT DEVELOPMENT AGREEMENT W1055610 The parties agree that Joint Development Agreement W1055610 entered into by the City of Dubuque, Iowa and Internation Business Machines Corporation on April 13, 2010 ( "Agreement "), be further amended effective as of the date this Amendment No. 2 is signed by the last signatory ( "Amendment No. 2 Effective Date "), as follows: 1. Article 1.3 — Article 1.3 of the Agreement is deleted in its entirety, and replaced with the following: "For a period of three (3) years after the expiration of this Agreement, IBM agrees that IBM Research will make available to any Iowa governmental entity (State, county or local), the Prototype Service developed under this Agreement in accordance with terms and conditions to be agreed upon by the governmental entity and IBM, for the sole purpose of monitoring electric energy consumption during the term of such entity's contract with IBM. In the event the Iowa governmental entity is not referred to IBM by City. or by the Iowa Power Fund or Iowa Office of Energy Independence, acting on behalf of City, IBM will charge the governmental entity requesting the Prototype Service IBM Research's then current rates for the Prototype Service. If the Iowa governmental entity is referred to IBM by City, or by the Iowa Power Fund or the Iowa Office of Energy Independence. acting on behalf of City, IBM will not charge the governmental entity for the Prototype Service; however each such governmental entity will be required to pay IBM Research for: (i) any customizations that need to be made to the Prototype Service, and (ii) use of the IBM Cloud Service, IBM Smarter City Sustainability Model Software, and any other Software necessary to run the Prototype Service (including, without limitation, IBM's Infosphere Information Server, DB2, Cognos and Websphere Application Server), in each case, at the tehn current rates for IBM Research. "If IBM has received such a referrals from City. the Iowa Power Fund or the Office of Energy Independence prior to the expiration of the three (3) year time referral period described above, IBM agrees that it will treat such referrals as referred by City for purposes of this Article 1.3 if an agreement between IBM and the other Iowa government entity is signed by both parties during the referral period, or within six (6) months after the end of the three (3) year referral period. In the event an agreement is not executed between IBM and the referred Iowa government entity during this three (3) year and six (6) month period. IBM will charge the governmental entity IBM Research's then current rates for the Prototype 1 Service. IBM agrees to negotiate the agreements with the referred government entities in uood faith." 2. All other terms and conditions of the Agreement remain unchanged and in full force and effect. By signing below, the parties agree to the terms of this Amendment No. 1. INTERNATIONAL BUSINESS CITY OF DUBUQUE, IOWA MACHINES CORPORATION Name: Name: Title: Title: Date: Date: 2