CM-2023-094 - 5/5/2023SUPPLEMENTAL AGREEMENT NO.2
TO "MASTER SERVICES AGREEMENT"
WITH PAYMENTUS CORPORATION
CITY OF ROUND ROCK §
STATE OF TEXAS §
COUNTY OF TRAVIS §
COUNTY OF WILIAMSON §
KNOW ALL BY THESE PRESENTS:
This S a plemental Agreement No. 2 to "Master Services Agreement" (the "Agreement"),
executed this ', 2023, is by and between Paymentus Corporation, a Delaware Corporation,
with a principal lace of business at 11605 North Community House Road, Suite 300, Charlotte,
North Carolina 28277 ("Paymentus") and City of Round Rock, Texas, a home -rule municipality,
with offices located at 221 East Main Street, Round Rock, Texas 78664-5299 (the "City").
WHEREAS, the City and Paymentus previously executed the referenced "Master Services
Agreement" for electronic bill payment services for City utilities with Paymentus, hereinafter
called the "Master Services Agreement," on February 16, 2018; and
WHEREAS, the City and Paymentus previously executed "Supplemental Agreement No.
1 to the Master Services Agreement" setting forth the terms and conditions for Paymentus to
integrate with the City's AMI data to provide Usage Data within the Customer Portal at no
additional cost to the City; and
WHEREAS, Paymentus has made product decisions that remove the ability to integrate
with AMI data or provide Usage Data within the Customer Portal, thereby providing a need for a
different solution; and
WHEREAS, the City has agreed to a third -party application that Paymentus resells; and
WHEREAS, the parties desire to amend the terms and conditions as set forth herein and
add additional fees to the "Master Services Agreement;"
NOW THEREFORE, in consideration of the commitments and obligations in the "Master
Services Agreement," "Supplemental Agreement No. I to the Master Services Agreement," and
this Agreement, the City and Paymentus agree that said "Master Services Agreement" is amended
as follows:
1. APPLICATION LICENSE AND HOSTING.
a. General Application Hosting Services. This Agreement shall set forth the terms and
conditions pursuant to which Paymentus shall provide to the City access and use of
the software application (the "Application") more fully described in Exhibits "A" and
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"B" to this Agreement, said Exhibits attached hereto and incorporated herein by
reference for all purposes. The functional capabilities to be provided by Paymentus, as
more fully described in Exhibit "A," which shall be collectively referred to as the
"Services."
b. License to Use Application. Paymentus via a third -party contractual relationship
allowing them, hereby grants to the City the nonexclusive, nontransferable right and
license during the term of this Agreement to use the Application for the City's internal
business purposes pursuant to the terms of this Agreement. Except for this limited
license, Paymentus shall retain all right, title and interest in and to the Application.
Except for the license granted herein, the City shall not make any other use of the
Application. The City shall not provide, disclose or make available the Application to
any third -party without the prior written consent of Paymentus.
c. Hosting Services.
Backup. Paymentus shall maintain a complete and current copy of the
Application.
Downloads. Paymentus at its expense shall make a complete backup of the
downloaded information supplied by the City.
iii. Security. Paymentus shall use commercially reasonable practices to prevent
unauthorized access to the restricted areas of the Application and any databases
or other sensitive material generated from or used in conjunction with the
Application. Paymentus shall promptly notify the City of any known security
breaches. Use of the Application shall be password protected. It shall be the
City's responsibility to administer the use, distribution and security of such
passwords. The City shall immediately notify Paymentus in the event that such
passwords are compromised or being used by unauthorized users.
2. COMPENSATION.
a. Fees. As compensation for the Application license and the provision of the Services,
the City shall pay PAYMENTUS the fees specified in Exhibit "B" (collectively the
"Services Fees").
b. Late Payment. Late payments shall incur a monthly interest charge as set forth in
the Texas Prompt Payment Act.
3. CITY'S RESPONSIBILITIES.
a. Computer Hardware / Internet Connection. The software requires certain data to
be extracted from the City's systems in order populate the databases. This requires that
the software data loader program be placed on the City's systems computer to pull data.
The City shall be responsible for supplying and maintaining all computer hardware at
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its site. The computer hardware shall meet the following requirements: 1) computer
connected to the internet with at least a 15 MB internet bandwidth capacity; 2) internal
computer storage of 12 GB ram; and 3) 150 GB disc space, and computer must be
accessible by Paymentus through secured internet connection.
b. Transfer File Specifications. The City shall provide the data to Paymentus in
accordance with the file specifications to be provided to the City.
c. Privacy Policy. The City shall be responsible for the content of any use or privacy
policy to be included on the website. Said policy shall be made available to Paymentus
as a hyperlink for inclusion on the website for the portal. Paymentus shall not
responsible for damages resulting from the website privacy or use policy supplied by
the City.
4. MAINTENANCE.
Paymentus agrees to provide maintenance of the Application and shallfrom time to time update
the Application at no cost to the City. Non -current versions of the software shallsunset six (6)
months after a major software release.
5. TERM AND TERMINATION
a. Initial Term. The initial term of this Agreement shall commence upon the execution
of this Agreement by both parties and remain in full force and effect until the expiration
of the initial term as set forth in the "Supplemental Agreement No. I to the Master
Services Agreement," unless terminated by either party for cause, as described in
subsection (c) below.
b. Renewal. Upon the expiration of the initial term as set forth in "Supplemental
Agreement No. I to the Master Services Agreement," the Parties agree to negotiate in
good faith a continuation of services, which shall in no way guarantee or commit either
party to a renewal. Any renewal of the term of this Agreement shall require approval
of a written agreement between the parties.
c. Termination for Cause. A party may terminate this Agreement in the event of the
following:
i. the other party is in default of a material obligation under this Agreement and
such default has not been cured within thirty (30) days from the receipt of
written notice of the default from the non -defaulting party. If the default
specified in the notice is cured within the thirty (30) day period, this Agreement
shall remain in effect; or
ii, the other party enters into liquidation or is dissolved or declared bankrupt or
has a receiver or administrator appointed over all or part of its assets.
d. Survival. The terms, conditions and warranties of this Agreement that by their nature
are intended to survive termination shall survive the termination of this Agreement,
including but not limited to Confidential Information and Limited Warranty.
6. SERVICE LEVEL
Paymentus shall provide support for the software in accordance with generally accepted
professional standards and practices, and shall observe sound management practices, and
employ appropriate technology and safe and effective methods.
i. WARRANTIES.
a. Services Warranties. Paymentus warrants that the software shall perform as intended
and there is no outstanding contract, commitment or agreement to which Paymentus is
a party or legal impediment of any kind known to Paymentus which conflicts with this
Agreement or might limit, restrict or impair the rights granted to City hereunder.
b. City Warranties. The City warrants that it shall not use the Application or the Services
for unlawful purposes (including, without limitation, infringement of copyright or
trademark, misappropriation of trade secrets, wire fraud, invasion of privacy,
pornography, obscenity, defamation, and illegal use, transportation or sale of tobacco,
controlled substances and firearms), or to interfere with, or disrupt, other network users,
network services, or network equipment. Disruptions include, without limitation,
distribution of unsolicited advertising or chain letters, repeated harassment of other
network users, wrongly impersonating another user, falsifying one's network identity
for improper or illegal purposes, sending unsolicited mass e-mailings, propagation of
computer viruses, using the network to make unauthorized entry to any other machine
accessible location, via the network, and distributing of tools designed for
compromising security (i.e. including, but not limited to, password guessing programs,
cracking tools or network probing tools). In addition to those termination rights set
forth in Section 5 above, Paymentus may suspend or terminate the Services
immediately, without prior notice to the City, in the event Paymentus believes, in good
faith, that the City is utilizing the Application or the Services for any such illegal or
disruptive purpose.
c. DISCLAIMER OF WARRANTIES. EXCEPT AS SET FORTH HEREIN, EACH
PARTY EXPRESSLY DISCLAIMS ALL OTHER WARRANTIES OR
CONDITIONS OF ANY KIND, EXPRESS OR IMPLIED, INCLUDING WITHOUT
LIMITATION THE IMPLIED WARRANTIES OF TITLE, NON -INFRINGEMENT,
MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE.
8. DATA OWNERSHIP.
"Identity Content" given to Paymentus by the City under this Agreement shall at all times
remain the property of the City and shall be included as Confidential Information in Section
12 below. Paymentus shall have no rights in the `Identity Content" other than the limited right
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to use such for the purposes of the Application's use or those expressly set forth in this
Agreement. For the purposes of this Agreement, "Identity Content," shall mean any and all
data received from the City that is identifiable as data from that the City or data identifiable to
a specific individual.
9. NON -DISCLOSURE OF SOFTWARE.
The City shall not disclose or reveal any of the Software Application's screens or text to anyone
other than its employees and its members and users as intended by this Agreement.
10. INDEMNITY.
This Section shall defer to language in the "Master Services Agreement" and./or "Supplemental
Agreement No.I to the Master Services Agreement."
11. CONFIDENTIAL INFORMATION.
The City's "Confidential Information" shall include any passwords used in connection with
the Application, content which City designates as confidential, and any other materials of the
City which City designates as confidential and is considered confidential pursuant to the laws
of the State of Texas. Paymentus shall hold the City's Confidential Information in confidence
and shall not disclose such Confidential Information to third -parties nor use the City's
Confidential Information for any purpose other than as necessary to perform the Services under
this Agreement. The foregoing restrictions on disclosure shall not apply to Confidential
Information which is (a) already known by Paymentus, (b) becomes, through no act or fault of
Paymentus, publicly known, (c) received by PAYMENTUS from a third -party without a
restriction on disclosure or use, (d) independently developed by PAYMENTUS without
reference to the City's Confidential Information, or (e) required by law to be disclosed.
12. LIMITATIONS ON LIABILITY.
This section shall defer to language in the "Master Services Agreement" and/or "Supplemental
Agreement No I ."
13. GENERAL PROVISIONS.
a. Governing Law. This section shall defer to language in the "Master Services
Agreement" and/or "Supplemental Agreement No. I to the Master Services
Agreement."
b. Severability; Waiver. If any provision of this Agreement is held to be invalid or
unenforceable for any reason, the remaining provisions shall continue in full force
without being impaired or invalidated in any way. The parties agree to replace any
invalid provision with a valid provision which most closely approximates the intent
and economic effect of the invalid provision. The waiver by either party of a breach of
any provision of this Agreement shall not operate or be interpreted as a waiver of any
other or subsequent breach.
c. Legal Investigations. The City acknowledges that Paymentus may be required by
current or future law or regulation to access, monitor, store, duplicate, or otherwise
process the City data held by Paymentus. Without. limitation, the City expressly
authorizes Paymentus to use personally identifiable information and other account
information in connection with any such investigation, including by disclosing it to any
third -party authority that Paymentus considers has a legitimate interest in any such
investigation or its outcome. Evidence of illegal or prohibited activities may be
disclosed to law enforcement authorities.
d. Force Majeure. Neither party shall be liable for any failure or delay in performing an
obligation under this Agreement that is due to causes beyond its reasonable control,
such as natural catastrophes, governmental acts or omissions, laws or regulations, riots
or civil commotion, labor strikes or difficulties, transportation stoppages or slowdowns,
lack of utility services.
e. Assignment. Paymentus may not assign its rights, delegate its duties or subcontract its
rights without the City's prior written consent, which shall not be unreasonably
withheld, delayed or conditioned. The City may assign, transfer, delegate or grant all
or any part of its rights pursuant to this Agreement to any person or entity with the prior
written consent of Paymentus, which shall not be unreasonably withheld, delayed or
conditioned. Any assignment, delegation or subcontract in violation of this Section
shall be void and of no effect. The parties' rights and obligations shall bind and inure
to the benefit of their respective successors and permitted assigns.
f. Commercial Use. The City agrees that Paymentus may use the City's name and logo
in connection with referencing Paymentus clients in any publication, web site or press
release. Paymentus may not use the name and logo for any non -client related reference.
g. Independent Contractors. The parties to this Agreement are independent contractors,
and no agency, partnership, joint venture or employee -employer relationship is
intended or created by this Agreement. Neither party shall have the power to obligate
or bind the other party.
h. Notice. Any notices required or permitted hereunder shall be given to the appropriate
party at the address specified in the "Master Services Agreement." Such notice shall
be deemed given: upon personal delivery; if sent by telephone facsimile, electronic
mail, upon confirmation of receipt; or if sent by certified or registered mail, postage
prepaid, five (5) days after the date of mailing.
i. Counterparts. This Agreement may be executed in one or more counterparts, each of
which shall be deemed an original and all of which shall be taken together and deemed
to be one instrument.
j. Entire Agreement. This Agreement, including Exhibits "A" and "B" attached hereto,
sets forth the understanding and agreement of the parties of this portion of the
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relationship. It does, however defer to the "Master Services Agreement" and
"Supplemental Agreement No. 1 to the Master Services Agreement" for material terms
and conditions and supersedes any and all oral or written agreements or understandings
between the parties as to the subject matter of this Agreement. It may be changed only
by a writing signed by both parties.
IN WITNESS WHEREOF, each of the parties hereto has executed this Agreement as of the date
set forth above.
PAYMENTUS CORPORATION
i ature:
Name: Chris J Lewis
Title: VP Strategic Growth
Date: April 25, 2023
Y OF ROUND ROCK
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Signatur :
Name: W + y oyxA L.-llllGr "
Title- City Manager
EXHIBIT A — Paymentus Advanced Portal
Expanded Customer Portal Scope of Services
Paymentus will provide, the X3
Notifications
Payment Integration
usage and alerts portal. Functionality
. Leak Alerts
• Integration to
will include:AMI Presentment
• Usage Threshold
Paymentus CP
• Compare previous usage
Alerts
• Security
• Compare usage in my
• High Bill Alerts
• PCI Compliant
neighborhood
. Weekly Usage
• SOC 2 Type 2
• Weather information through
Summary
Encryption
Aeris Weather (extra fee)
including
(Temperature/Precip/Humidity)
• Usage analytics widgets
• Heat Map
• Linking multiple accounts
• 13 months of interval data
AMI Data
X3's Charts and Data views makes it easy for users to access data visualizations providing side -
by -side comparisons across usage periods. Users can easily toggle or drill down between
interval, hourly, weekly, monthly, and billing period views to examine trends and usage
variability.
Interactive charts and heat maps, toggling between interval, hourly, daily, monthly, and, if
available, real-time data helps users diagnose expensive or wasteful usage patterns. Color -coding
identifies higher than average usage patterns while opposite colors present lower than average
usage. Easily identifying "hot spots" or extensive usage issues for a CSR or customer.
The X3 Data tab or "heat map" allows customers and CSRs the ability to view and download
tabular information in both CSV and Green Button format. The Data page reporting includes a
number of selection options for data layout to enable visualization and comparison of usage
across different time scales (e.g., hour by day or day by week).
Notifications
With AMI, customers can sign up for multiple types of alerts. If the system fails to record a 0
usage hour over the 24-hour daily period, customers can receive an email or text to let them
know there could be an issue. The content can guide them to reference sites for videos or
instructions on how to check for leaks. X3 can also work with the AMI headend, taking alerts via
API to share with customers as well.
Payment Integration
Full integration via the Paymentus payment experience is available as Round Rock desires.
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EXHIBIT B
Paymentus Advanced Portal Fee Schedule
The Services will initially consist of implementation and configuration services. The Paymentus Fee will
be as specified below, and will be paid by the CITY, in advance for each of the four (4) remaining years of
the MASTER SERVICES AGREEMENT and SUPPLEMENTAL AGREEMENT NO.1 Initial Term.
Portal Services Number of I Integration Cost I Per Account Cost `
Accounts I
X3 AMI Data Est. 35,000 $15,000.00 $1.201Account/Year
Presentment (To Implementation
Be Verified Total $42,000.001Yr
Notifications by Actuals) $20,000.00 Client
Paymentus CP Configuration
Integration
Discounts
i Implementation
Partner Client Discount:
Discount
-$30,000.00Near
$15,000.00
I Configuration
i Discount
$20, 000.00
Total
Cost discounted
Est. Annual cost
to $0
$12,000.00lyear
lI
ROUND ROCK
TEXAS
City of Round Rock
Agenda Item Summary
Agenda Number:
Title: Consider executing Supplemental Agreement No. 2 to "Master Services
Agreement" with Paymentus Corporation.
Type: City Manager Item
Governing Body: City Manager Approval
Agenda Date: 5/5/2023
Dept Director: Susan Morgan, CFO
Cost: $12,000.00
Indexes: utility Fund
Attachments: Signed_ Supplemental Agreement No. 2 w_Paymentus CLEAN cl signed,
Contract - Paymentus Corp - R-2202-131 4_28_2022
Department: Finance
Text of Legislative File CM-2023-094
Consider executing Supplemental Agreement No. 2 to "Master Services Agreement" with Paymentus
Corporation for Advanced Metering Infrastructure (AMI) data integration for customer usage statistics.
The new AMI data will provide customers with access to current and previous water consumption,
comparison to usage in the neighborhood, annual data and important customer notifications.
This amendment will increase the annualized cost of contracted services by $12,000, which includes an
implementation and client configuration discount.
The term of this agreement is concurrent with the original contract that expires on July 31, 2027.
Staff recommends approval of this item and is available for any questions.
Cost: $12,000 per year
Source of Funds: Utility Fund
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