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HomeMy WebLinkAboutItem 06.gAugust 28, 2013 Item No. COST SHARE AGREEMENT FOR ELECTION HARDWARE, SOFTWARE AND RELATED SERVICES Proposed Action Staff recommends adoption of the following motion: Move to approve Cost Share Agreement between City of Lakeville and Count of Dakota for election hardware software and related services. Passage of this motion authorizes Dakota County to purchase election equipment for the City of Lakeville and estab lishes obligations with respect to equipment use and maintenance. Overview The City Council approved a resolution on June 6, 2011 in support of the cooperative purchase of election equipment with Dakota County. The cost share agreement provides that the City shall pay Dakota County 50% of the hardware and software packages purchased by the County for the City. Dakota County has prepared a Request for Proposals that meets the requirements of Minn. Statute 206.57, and is currently reviewing the proposals that were submitted. The contract will be awarded by the Board of Commissioners to the vendor whose proposal meets all of the standards for voting systems required by Minnesota law. Approval of this Cost Share Agreement is recommended so that equipment can be purchased this year for use during the 2014 elections. Primary Issues to Consider • What is the financial impact to the City of Lakeville? (see attached) Supporting Information • Council report dated May 24, 2011 and Resolution No. 11 -52 r . • Letter from Dakota County dated September 14, 2010 t trC /?f l Charlene Friedges City Clerk Financial Impact: $100,000 over 3 years Budgeted: YES Source: Elections - Capital Outlay Related Documents (CIP, ERP, etc.): Notes: Analysis of Primary Issues Dakota County will first apply all of its Help America Vote Act (HAVA) funds on hand (currently estimated to be $535,000) and any trade -in credit. The total estimated cost per machine is $5,000. Lakeville would purchase 20 machines (17 polling places, two machines for the absentee ballot board and one back -up machine). Payment by the City to the County will be made in three equal annual installments, without interest, beginning the first day of the month immediately following delivery of equipment to the City. Delivery is anticipated in February or March of next year. As stated in the proposed agreement, the cost of any additional machines required to meet the City's future needs will be split equally between the City and the County. COST SHARE AGREEMENT BETWEEN CITY OF LAKEVILLE AND COUNTY OF DAKOTA FOR ELECTION HARDWARE, SOFTWARE AND RELATED SERVICES This Agreement is entered into by and between the City of Lakeville (City), 20195 Holyoke Avenue, Lakeville, MN 55044, and County of Dakota (County), 1590 Highway 55, Hastings, MN 55033, collectively referred to as the Parties. WHEREAS, pursuant to Minn. Stat. § 471.59, two or more governmental units, by agreement through action of their governing bodies, may jointly exercise powers common to the governmental units; and WHEREAS, under Minnesota law the parties are empowered to purchase, use and maintain Plartinn hnrrlwnra snftuvare and related services. NOW, THEREFORE, in consideration of the premises and covenants contained herein and subject to the provisions of Minn. Stat. § 471.59, the Parties agree as follows: I. Purpose The purpose of this Agreement is to authorize the County to purchase election hardware, software and related services for the Parties and to establish the obligations of the Parties with respect to their use and maintenance. II. Term. This Agreement shall be effective upon execution by both of the Parties and shall continue in effect until terminated as provided in Paragraph V. III. Duties of the County A. Solicitation In conformance with the provisions of Minnesota law, the County will prepare a Request for Proposals (RFP) for an electronic voting system that meets the requirements of Minn. Stat. § 206.57, to be used by all local government units in Dakota County, including the Parties. The County will consult with all such local governmental units in preparation of the RFP. The solicitation will consist of a competitive process consistent with state law applicable to such solicitation. The RFP will include vendor - supplied technical maintenance and regular maintenance and upgrades of the election hardware and software, wherever stored, for at least five years from the date of purchase, including assurances of sufficient parts, supplies and accessories, warranty service, and trade -in allowance for all electronic voting systems owned by the Parties. B. Award of Contract The final decision on the vendor to whom the contract shall be awarded will be made by the Dakota County Board of Commissioners. The contract will be awarded to a vendor whose proposal meets all of the standards for voting systems required by Minnesota law. The County will defend and indemnify the City, its elected officials, employees and /or agents and hold them harmless from all claims and damages arising out of the solicitation process and the award of contract for the election hardware, software and related services. C. Repairs and Maintenance The County will arrange for all necessary repairs, maintenance and upgrades to the election hardware and software between election seasons. D. Purchase and Delivery The County will arrange for the purchase and delivery of sufficient election hardware and software packages to the City. E. Licenses The County will obtain all licenses and other rights necessary for the City to use the election hardware and software for its intended use. The County will defend and indemnify the City, its elected officials, employees and/or agents and hold them harmless from all claims and damages arising out of any license, copyright or other intellectual property right. F. Insurance The County will include the election hardware and software on its commercial property casualty insurance coverage. G. Ownership The County will own the election hardware and software purchased pursuant to this Agreement, regardless of where the election hardware and software may be stored or used. H. Storage and Handling The County will be primarily responsible for storing and handling the election hardware and software between City -held elections. TV. Duties of the Citv A. Existing Election Hardware and Software The County will use all existing ballot tabulation equipment and ballot boxes as a trade -in for credit, if possible, in connection with the purchase of election hardware and software. To the extent the City has ballot tabulation equipment or ballot 'boxes in its possession, it will turn such equipment over to the County. B. Storage, Handling and Service The City will provide safe storage and handling of the election hardware and software when such equipment is in the City's possession. The City will report any needed hardware and software maintenance, in writing, to the County. Any election hardware or software problems on election days may be reported to the County orally. C. Payment Upon award of the contract, the County will first equally apply all of its Help America Vote Act (HAVA) funds on hand (estimated to be $538,000) and trade -in credit received, if any, to each of the election hardware and software packages purchased. The City will pay the County fifty percent (50 %) of the remaining cost for the election hardware and software packages purchased by the County for the City. Payment by the City to the County will be made in three equal annual installments, without interest, beginning the first day of the month immediately following delivery of the election hardware and software packages to the City. The City may prepay installments at any time without penalty. The City will pay to the County its pro rata share of the annual maintenance costs for the election equipment. Pro rata share is determined by dividing the total number of election hardware and software packages purchased by the County by the number of packages purchased for the City. The City will pay the County within 45 days receipt of an invoice from the County. D. Additional Election Hardware and Software The County will purchase additional election hardware and software to meet the City's needs in connection with the addition of voting precincts to the City. The cost of such election hardware and software will be split equally between the City and the County. The City will pay the County in a lump sum within 45 days of receipt of an invoice from the County. V. Termination This Agreement shall remain in effect until the occurrence of any one of the following events: A. Termination is necessitated by operation of law or as a result of a decision by a court of competent jurisdiction. B. The Agreement entered into pursuant to Paragraph III. B. above has expired or has otherwise been terminated. C. Parties mutually agree to terminate Agreement. IN WITNESS WHEREOF, the City and the County have caused this Agreement to be executed on their behalf. County of Dakota .0 City of Lakeville By: Kathleen Gaylord Matt Little County Board Chair Mayor Attest: Kelly Olson Sr. Admin. Coordinator to the Board Approved as to form: Assistant County Attorney /Date KS13 -111 Cost Share Agreement for Election Equip (K AS 8 -6-13) Lakeville (EF) By: Charlene Friedges Clerk i May 24, 2011 Item No. COOPERATIVE PURCHASE OF ELECTION EQUIPMENT Proposed Action Staff recommends adoption of the following motion: Approve resolution for the cooperative purchase of election equipment This resolution represents a commitment by the City of Lakeville for the cooperative purchase of election equipment with Dakota County. Overview Dakota County, its cities and townships, have been using the Accu -Vote tabulators since 2000. The equipment is becoming obsolete and experiencing high failure rates and increased maintenance costs. The County has Help America Vote Act (HAVA) funds remaining from previous grants and also has applied for and received additional grant funds for the purchase of new election equipment. The County anticipates going out for bids for replacement equipment in fiscal year 2013. The new equipment would be in place for the 2014 elections. Dakota County is asking cities to participate 50/50 in the cost of the new equipment. The net per precinct cost is estimated at $4,000. This estimate is based on the current precinct structure in Dakota County and will likely change after redistricting. County officials have indicated that they will honor the 50/50 cost share arrangement for any new precincts added in 2012. However, the cost of any additional equipment acquired after 2013 will be the sole responsibility of the City. Primary Issues to Consider ➢ What happens if the City chooses to not participate in this cooperative purchase? ➢ What is the financial impact to the City of Lakeville? Supporting Information ➢ Letter from Dakota County ➢ 1X (esolution for cooperative purchase A AM Financial Impact: $44,000 Budgeted: Y/N Source: 2013 Elections Budget Related Documents (CIP, ERP, etc.): Notes: P e1.. � Council Report - Election Equipment Page 2 Analysis of Primary Issues What happens if the City chooses to not participate in this cooperative purchase? Existing equipment will become obsolete and will no longer be programmed or covered for maintenance by Dakota County; Increased cost to the City if we purchase new equipment at a later date, as we will no longer be able to utilize grant funds. What is the financial impact to the City of Lakeville? The City of Lakeville currently has 14 polling sites. Based on current population, City staff is recommending the City Council establish three additional polling sites. Large cities are required to have an absentee ballot precinct, utilizing one additional tabulator. 18 u;,its @ approx. $2,000 = $36,000 It is recommended that cities have back -up units on hand in the event a tabulator malfunctions during an election. Dakota County has indicated that back -up units are not included in this cost share arrangement. 2 units @ approx. $4,000 = $8,000 Total Financial Impact $44,000 a s r i } n as a rr; ce wT F � 't+ + y 1��2 La �w ,2�.5�i1 � L � 0. a P i 1 �..} �y�� 1 x.12 �i 0 ��" �, S C O U N T Y Jcel T. Berkmen, Direde, Property Taxation and Records Dalmta Caunry Administration Center 1596 High eay 55 Hastings, MN 55633 Phone 651.438.9596 Fax 651.436.4399 wMnc.ra ,(1,woL a tan tut September 14, 2010 City of Lakeville Attn: Char Friedges, City Clerk 20195 Holyoke Ave Lakeville, MN 55044 -8339 Dear Ms. Friedges: At tacit August 24, 2010 meeting, the Dakota County Board of Commissioners approved the concept of cost sharing to replace the current equipment utilized to tabulate election results (the AccuVotes). We anticipate going out for bids for replacement equipment in Fiscal Year 2013, for use during the 2014 elections. We are giving you advance notice so that your jurisdiction can consider participating in this cost sharing arrangement and have adequate time to plan for your applicable costs. Dakota County currently has $2.15,000 in unspent Relp America Vote Act (HAVA) funds, and will be applying to receive the approximately $400,000 in funds from the State of Minnesota that are the remainder of the unspent HAVA" funds. We anticipate this funding will reduce the overall cost to all jurisdictions within Dakota County by approximately 50 1 /o. We estimate the current cost of each machine (including ballot box, hardware and software) to be $8,000 per precinct. With a current total of 141 precincts in Dakota County, the estimated total cost is $1.128 million. Reducing that total by $615,000 with HAVA money brings the estimated total cost to $513,000, or $3,640 per precinct. If we cost share this on a 50 -50 basis, this means Dakota County will pay $256.500 of the total cost, and each local jurisdiction will be responsible for approximately $1,820 per machine /precinct. 1 would also caution the total does not include sales tax, so to be safe, I would actually estimate the cost closer to $2,000 per machine. Also, it should be noted, Dakota County doesn't anticipate utilizing the cost share to purchase any extra machines for local jurisdictions (and we would anticipate local jurisdictions would wish to purchase additional machines as backups.) Attached, please find a spreadsheet with the estimated costs based on the current precinct structure within Dakota County. 'I realize this will be changing with redistricting coming up, but this gives us a rough idea of the cost estimates. We also anticipate sending out a proposed resolution that your city council or town board can adopt to join in this cooperative venture. We will need 100% participation to make this a success. We are hoping that all jurisdictions will participate, so we can ensure we have consistent election programming and machines throughout our entire county. Should you have any questions regarding this matter, please feel free to contact Joel Beckman at (651) 438 -4329. t I, s a � � t r W ° 3 of 5,.a�"o-.�',Y'u - 4...2�s'5..,'��E�.ao-a�'' ?„T�..3'1,.ucnY,.'nvt • a OF . EQUIPMENT WHEREAS, it is necessary for all precincts within Dakota County to use the some election equipment; and WHEREAS, the election equipment is becoming obsolete and experiencing high failure rates and increased maintenance costs; and WHEREAS, Dakota County has Help America Vote Act (HAVA) funds remaining from previous grants; and WHEREAS, Dakota County has applied for and received additional HAVA funds from the Minnesota Secretary of State. NOW, THEREFORE, BE IT RESOLVED that the City of Lakeville hereby supports the purchase of new election equipment for fiscal year 2013 for implementation in election year 2014; and BE IT FURTHER RESOLVED that the City of Lakeville hereby agrees to participate in the purchase of said election equipment by paying 50% of the net cost of the equipment after reducing the gross cost of said equipment by utilizing HAVA funds received by Dakota County, provided Dakota County pays the remaining 500 of the net cost of equipment. APPROVED this 6fh day of June, 2011. CITY OF L AKEVILLE BY: i._ Mark Bellows, Mayor ATTEST: Charlene Friedges, Cii y Clerk