HomeMy WebLinkAboutFIN 2025-04-28 COMPLETE AGENDA PACKETCity of Tukwila
Finance and Governance
Committee
O Armen Papyan, Chair
o Dennis Martinez
O Verna Seal
AGENDA
MONDAY, APRIL 28, 2025 — 5:30 PM
Distribution:
A. Papyan
D. Martinez
V. Seal
T. Sharp
J. McConnell
Mayor McLeod
M. Wine
A. Youn
L. Humphrey
• N-SITE PRESENCE:
TUKWILA CITY HALL
HAZELNUT CONFERENCE Room
6200 SOUTHCENTER BOULEVARD
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Item
Recommended Action
Page
1.
BUSINESS AGENDA
a. Contract for insurance archaeology, forensic
accounting, and claims management with Restorical
a.
Forward to 5/5 Regular
Meeting Consent Agenda
Pg.1
Research.
Brandon Miles, Director of Strategic Initiatives &
Government Relations
b. Permitting, Tax, Budget, & Transparency Technology
b.
Forward to 5/5 Regular
Pg.9
Solutions:
Meeting Consent Agenda
(1) Contract with SmartGov for a permitting system.
(2) Contract with OpenGov for Enterprise Resource
Planning (ERP) software.
Aaron BeMiller, Finance Director
c. 2025 Q1 General Fund Report.
c.
Discussion Only
Pg.79
Aaron BeMiller, Finance Director
d. Overview of Budget Sustainability Project.
d.
Discussion Only
Pg.99
Marty Wine, City Administrator
2.
MISCELLANEOUS
Next Scheduled Meeting: June 23, 2025
15. The City of Tukwila strives to accommodate individuals with disabilities.
Please contact the City Clerk's Office at 206-433-1800(TukwilaCityClerk@TukwilaWA.gov) for assistance.
City of Tukwila
Thomas McLeod, Mayor
INFORMATIONAL MEMORANDUM
TO: Finance and Governance Committee
FROM: Brandon J. Miles, Strategic Initiatives Director
CC: Thomas McLeod
DATE: April 18, 2025
SUBJECT: Restorical Research, LLC Contract
ISSUE
Authorize the Mayor to execute a professional services agreement in an amount not to exceed
$300,000 for insurance archaeology, forensic accounting, and claims management with
Restorical Research, LLC.
BACKGROUND
Prior to the late 1980s/early 1990s, commercial general liability insurance policies covered
environmental cleanup for insured properties and parties. Once the cost of these clean ups
became known, insurance companies limited their coverage to exclude environmental cleanup
costs. However, if environmental contamination occurred while the property was covered by the
insurance policy, a claimant, such as new property owner, could pursue reimbursement against
the past insurance policy. These policies can be old and with mergers between insurance
companies, it can be difficult to determine which company still holds the policy.
Restorical Research provides insurance investigation, forensic accounting, and claims
management services to investigate old insurance policies. Restorical receives a small amount
of compensation for expenses and receives a ten percent contingency in the event the City can
collect against an old policy.
DISCUSSION
The City has incurred cleanup costs associated with the construction of the Justice Center. The
City would like to have Restorical research past insurance policies to determine if the City might
be able to pursue a claim against an old insurance policy. Additionally, the City would like to
have the consultant under contract in the event similar work needs to be done on other city
owned property or rights of way.
FINANCIAL IMPACT
The City will provide up to $600 per site/project to cover the consultant's costs. Additionally, the
consultant will also receive a ten percent contingency fee in the event the City is able to
successfully receive funds from a claim. For example, if the City were to receive an insurance
settlement of $500,000, the consultant would get $50,000.
RECOMMENDATION
Forward to the May 5, 2025 consent agenda.
ATTACHMENTS
• Draft Agreement.
1
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Contract Number:
PROFESSIONAL SERVICES AGREEMENT
0nok/doo consultants, architects, engineers, accountants, andobhorpnofesoi/no/
THIS AGREEMENT is entered into between the City of Tukvv|a. VVuahingLun, hereinafter
referred k)oo "the City", and RewstoricmU Research, LLC' hereinafter referred toos"the Consultant",
in consideration of the mutual benefits, terms, and conditions hereinafter specified.
1. Project Demi0matiom. The Consultant is retained by the City to perform Insurance
archaeology, forensic accounting and Claims management services inconnection with
projects involving contamination, environmental investigation andmmmnediatiom.
2. Scope of Services. The Consultant agrees Loperform the services, identified unExhibit ^A^
attached hereto, including the provision of all labor, materials, equipment and supplies.
3. Duration ofAqm*emmemt;Time for Performance. This Agreement shall beinfull force and
effect for a period oornnnenoinA upon execution and ending October 1, 2027, unless sooner
terminated under the provisions hereinafter specified. Work under this /\onaennunt shall
commence upon written notice bythe City iOthe Consultant tOproceed. The Consultant shall
perform all services and provide all work product required pursuant to this Agreement no later
than October 1, 2027 unless an extension of such time is granted in writing by the City. The
parties may extend the duration of this /\on*ennent consistent with the turrna of Section 18
below.
4. PaVnmemt. The Consultant shall be paid by the City for completed work and for services
rendered under this Agreement oefollows:
A. Payment for the work provided bvthe Consultant shall bepaid 0n8contingency fee basis,
as detailed on Exhibit ''B" attached h8r8t0, provided that the total amount Ofpayment tO
the Consultant shall not exceed $300'080-00 per project without express written
modification of the Agreement SiQD9d by the City. In addition, City 8gF88S to pay for all
9xp8nS9S related to title document production not to exceed $OOO per site and $10f0r
every preliminary investigation and determination if 8 viable insurance policy and/or
coverage exists.
B. The Consultant shall submit monthly invoices tOthe City after such services have been
performed and @"A|8COV8ry"(as defined iOExhibit B\has been received bythe City, and
8final bill upon completion Ofall the services described inthis Agreement. Such invoices
will be checked bythe City and, UpOD Gpp[OV8| thereof, payment shall be made tOthe
Consultant iOthe amount approved, within 30days.
C.
D. Payment as provided in this section Sh8U be full COnlpeOS81OO for vvOMk perfOrDOd,
services rendered, and for all materials, supplies, equipment and incidentals necessary to
complete the work.
E. The Consultant's records and accounts pertaining to this Agreement are to be kept
available for inspection by representatives of the Qb/ and the state of Washington for a
period of three (3) years after final payments. Copies aho|| be made available upon
request.
5. Ownership and Use of Documents. All documents, drawings, specifications and other
materials produced by the Consultant in connection with the services rendered under this
Agreement shall be the property of the City whether the project for which they are made is
executed or not. The Consultant shall be permitted to retain copies, including reproducible
copies, of drawings and specifications for information, reference and use in connection with
the Consultant's endeavors. The Consultant shall not be responsible for any use of the said
documents, drawings, specifications or other materials by the City on any project other than
the project specified in this Agreement.
6. Compliance with Laws. The Consultant shall, in performing the services contemplated by
this Agreement, faithfully observe and comply with all federal, state, and local laws, ordinances
and regulations, applicable to the services rendered under this Agreement.
7 Indemnification. The Consultant shall defend, indemnify and hold the City, its officers,
officials, employees and volunteers harmless from any and all claims, injuries, damages,
losses or suits including attorney fees, arising out of or resulting from the acts, errors or
omissions of the Consultant in performance of this Agreement, except for injuries and damages
caused by the sole negligence of the City.
Should a court of competent jurisdiction determine that this Agreement is subject to RCW
4.24.115, then, in the event of liability for damages arising out of bodily injury to persons or
damages to property caused by or resulting from the concurrent negligence of the Consultant
and the City, its officers, officials, employees, and volunteers, the Consultant's liability
hereunder shall be only to the extent of the Consultant's negligence. It is further specifically
and expressly understood that the indemnification provided herein constitutes the Consultant's
waiver of immunity under Industrial Insurance, Title 51 RCW, solely for the purposes of this
indemnification. This waiver has been mutually negotiated by the parties. The provisions of
this section shall survive the expiration or termination of this Agreement.
This hold harmless/indemnity does not apply to any declaratory judgement between the City
and Insurers.
8. Insurance. The Consultant shall procure and maintain for the duration of the Agreement,
insurance against claims for injuries to persons or damage to property which may arise from
or in connection with the performance of the work hereunder by the Consultant, its agents,
representatives, or employees. Consultant's maintenance of insurance as required by the
agreement shall not be construed to limit the liability of the Consultant to the coverage provided
by such insurance, or otherwise limit the City's recourse to any remedy available at law or in
equity.
A. Minimum Amounts and Scope of Insurance. Consultant shall obtain insurance of the
types and with the limits described below:
1. Automobile Liability insurance with a minimum combined single limit for bodily injury
and property damage of $1,000,000 per accident. Automobile Liability insurance
shall cover all owned, non -owned, hired and leased vehicles. Coverage shall be
written on Insurance Services Office (ISO) form CA 00 01 or a substitute form
providing equivalent liability coverage. If necessary, the policy shall be endorsed to
provide contractual liability coverage.
2. Commercial General Liability insurance with limits no less than $2,000,000 each
occurrence, $2,000,000 general aggregate. Commercial General Liability
insurance shall be at least as broad as ISO occurrence form CG 00 01 and shall
cover liability arising from premises, operations, stop -gap independent contractors
and personal injury and advertising injury. The City shall be named as an
additional insured under the Consultant's Commercial General Liability insurance
policy with respect to the work performed for the City using an additional insured
endorsement at least as broad as ISO endorsement form CG 20 26.
CA revised May 2020
Page 2
3
3. Workers' Compensation coverage as required by the Industrial Insurance laws of
the State of Washington.
4. Professional Liability with limits no less than $2,000,000 per claim and $2,000,000
policy aggregate limit. Professional Liability insurance shall be appropriate to the
Consultant's profession.
B. Public Entity Full Availability of Contractor Limits. If the Contractor maintains higher
insurance limits than the minimums shown above, the Public Entity shall be insured for the
full available limits of Commercial General and Excess or Umbrella liability maintained by
the Contractor, irrespective of whether such limits maintained by the Contractor are greater
than those required by this Contract or whether any certificate of insurance furnished to
the Public Entity evidences limits of liability lower than those maintained by the Contractor.
C. Other Insurance Provision. The Consultant's Automobile Liability and Commercial
General Liability insurance policies are to contain, or be endorsed to contain that they shall
be primary insurance with respect to the City. Any Insurance, self-insurance, or insurance
pool coverage maintained by the City shall be excess of the Consultant's insurance and
shall not be contributed or combined with it.
D. Acceptability of Insurers. Insurance is to be placed with insurers with a current A.M.
Best rating of not less than A:VII.
E. Verification of Coverage. Consultant shall furnish the City with original certificates and a
copy of the amendatory endorsements, including but not necessarily limited to the
additional insured endorsement, evidencing the insurance requirements of the Contractor
before commencement of the work. Upon request by the City, the Consultant shall furnish
certified copies of all required insurance policies, including endorsements, required in this
Agreement and evidence of all subcontractors' coverage.
F. Notice of Cancellation. The Consultant shall provide the City with written notice of any
policy cancellation, within two business days of their receipt of such notice.
G. Failure to Maintain Insurance. Failure on the part of the Consultant to maintain the
insurance as required shall constitute a material breach of contract, upon which the City
may, after giving five business days notice to the Consultant to correct the breach,
immediately terminate the contract or, at its discretion, procure or renew such insurance
and pay any and all premiums in connection therewith, with any sums so expended to be
repaid to the City on demand, or at the sole discretion of the City, offset against funds due
the Consultant from the City.
9. Independent Contractor. The Consultant and the City agree that the Consultant is an
independent contractor with respect to the services provided pursuant to this Agreement.
Nothing in this Agreement shall be considered to create the relationship of employer and
employee between the parties hereto. Neither the Consultant nor any employee of the
Consultant shall be entitled to any benefits accorded City employees by virtue of the services
provided under this Agreement. The City shall not be responsible for withholding or otherwise
deducting federal income tax or social security or for contributing to the state industrial
insurance program, otherwise assuming the duties of an employer with respect to the
Consultant, or any employee of the Consultant.
10. Covenant Against Contingent Fees. The Consultant warrants that he has not employed or
retained any company or person, other than a bonafide employee working solely for the
Consultant, to solicit or secure this contract, and that he has not paid or agreed to pay any
company or person, other than a bonafide employee working solely for the Consultant, any
fee, commission, percentage, brokerage fee, gifts, or any other consideration contingent upon
or resulting from the award or making of this contract. For breach or violation of this warrant,
the City shall have the right to annul this contract without liability, or in its discretion to deduct
CA revised May 2020
4
Page 3
from the COOtR3{t price or consideration, or otherwise [eCOve[' the full amount Ofsuch f88.
commission, percentage, brokerage fee, gift, orcontingent fee.
11. Discrimination Prohibited. Contractor, with regard to the work performed by it under this
A8rearnen[, will not discriminate on the grounds ofrace, religion, creed, color, national origin,
age, veteran aLatua, aex, agxuu| oriantadon, gender idenbLy, marital atuLua, political affi|iabon,
the presence of any diaabi|itv, or any other protected o|aaa status under state or federal |avv,
in the selection and retention of employees or procurement of materials or supplies.
12. Assigimmmemt. The Consultant oho|| not sublet or assign any of the services covered by this
Agreement without the express written consent ofthe City.
13. Non -Waiver. Waiver by the City of any provision of this Agreement or any time limitation
provided for in this Agreement shall not constitute @ waiver Ofany other provision.
14. Termination.
A. The City reserves the right tuterminate this Agreement for convenience, at any time by
giving ten (1O) days written notice tOthe Consultant.
B. In the event that this Agreement is terminated by the City for convenience, the Consultant
Sh8|| continue to receive payment, for all Recovery received by the City, as outlined in
Exhibit B. But, if this Agreement is terminated by the City due to material breach of this
Agreement, the Consultant shall not be entitled to receive payment, for all Recovery
received by the City, as outlined in Exhibit B.
C. In the even[ of the death of member, partner Or officer Ofthe Consultant, or any Of its
supervisory personnel assigned tOthe project, theSUrvivingrnennberSOftheCOnSUU@nt
hereby agree to complete the work under the terms ofthis Agreement, ifrequested todo
aubythe City. This section shall not beabar torenegotiations ufthis Agreement between
surviving members Ofthe Consultant and the City, ifthe City SOchooses.
15. Applicable Law; Venue; AttormeV,s Fees- This Agreement shall basubject to, and the
COOSU|t8DL Sh8|| at all ti[O8S C000p|y with, all Gpp|iC8b|8 f8d8r8|' SL8t8 and |OC8| |@VVS,
reAu|8UOnG. and ru|eS, including the provisions of the City of Tukwila Municipal Code and
OrdiO8DC8S of the City of Tukwila. In the event any SUit, 8rbit[8UOD, or other proceeding is
instituted tOenforce any term Ofthis Agreement, the parties specifically understand and agree
that venue shall b8properly laid inKing County, Washington. The prevailing party inany such
action Sh8|| be entitled UJ its Gtt0rney'S fees and COSt8 of suit. Venue for any action arising
from Orrelated tOthis Agreement shall be exclusively in King County Superior Court.
18. SewerabiDitv and Survival. |fany term, condition or provision of this Agreement is declared
void O[unenforceable Orlimited iDits application Oreffect, such event shall not affect any other
provisions hereof and all other provisions shall remain fully enforceable. The provisions of this
A8re808Ot' which by their S8OS8 and COOtSXt are rH@SOO8b|y intended to SUrViVH the
CO0p|8bOO. 8xpi[8UOD Or C8OC8||@tiOD of this AOr88O08Dt, Sh8|| SUn/iV8 tH[0iD8tiOD of this
Agreement.
17. Notices. Notices to the City ofTukwila shall besent to the following address:
City Clerk
City OfTukwila
620OGouthcenLerBoulevard
Tukwila, WA 98188
Notices toConsultant shall besent tOthe following address:
Reotorioa|Research, LLC
CA revised May 2020
8015 SE 28th Street, Suite 315
Mercer Island, WA 98040
18. Entire Agreement; Modification. This Agreement, together with attachments or addenda,
represents the entire and integrated Agreement between the City and the Consultant and
supersedes all prior negotiations, representations, or agreements written or oral. No
amendment or modification of this Agreement shall be of any force or effect unless it is in
writing and signed by the parties.
DATED this day of , 20
CITY OF TUKWILA
Thomas McLeod, Mayor
ATTEST/AUTHENTICATED:
Andy Youn-Barnett, City Clerk
APPROVED AS TO FORM:
Office of the City Attorney
CONSULTANT:
By:
Printed Name:
Title:
CA revised May 2020
6
Page 5
EXHIBIT A
SCOPE OF WORK
1. SCOPE OF SERVICES: The scope of services to be provided by Restorical Research (hereinafter
"Consultant") under this agreement will be referred to as the " Cost Recovery Assistance," and will
encompass two tasks: (Task 1) consulting services to assist City in preparing and undertaking an
insurance recovery action against insurers who owe City duties of defense and indemnification for the
costs of environmental investigation and remediation of contamination on, beneath or potentially
migrating to or from the property pursuant to insurance policies; and (Task 2), a cost
recovery/contribution action against third parties who (i) have caused, contributed to, or exacerbated
contamination on, beneath or potentially migrating to or from the property, (ii), who may have insurance
policies which address such contamination, and (iii) who are liable to City for some or all of the costs
of environmental investigation and remediation. These actions collectively, or alone, are deemed the
"Cost Recovery Assistance". Cost Recovery Assistance shall consist of:
a. Performing such historical investigation of property records, transactional records, aerial
photographs, sanborn maps, and other similar historical documents to identify potentially
responsible persons.
b. Assist in managing the flow of information between the City, attorneys, and consultants. City
authorizes Consultant to be copied (including blind copy) on all correspondence between City,
attorneys and consultants. City authorizes Consultant to receive copies of all invoices.
c. Perforrrring such historical investigation of insurance records and related documents to identify
insurance carriers and policies that may provide insurance coverage for contamination on, beneath
or potentially migrating to or from the property that is the subject of claims or demands by the City,
by any governmental agency, or a third party.
Cost Recovery Assistance does not include:
a. Environmental investigation needed to fully delineate the nature and extent of contamination.
b. Environmental remediation needed to address such contamination.
c. Expert witness services in any cost recovery, contribution, or insurance coverage litigation that
City may hire counsel to initiate; and
d. Legal Services as City understands that Consultant does not perform legal services or provide
legal advice.
2. Consultant's scope of work for Task 2 includes providing all investigative results and materials from
Task 1 to the selected attorney and consultant will provide consultancy, research and coverage support
to the chosen attorney during the pendency of the claim. Once coverage has been secured for the City,
Consultant will manage the claim (under the direction of the selected attorney) including but not limited
to forensic accounting and tracking of invoices and payments. Such support is a requisite part of Task 2
and the related compensation.
CA revised May 2020
Page 6
7
EXHIBIT B
SCHEDULE OF RATES AND EXPENSES
1. TASK 1: As compensation for services to conduct a preliminary investigation and determine if a viable
insurance policy and/or insurance coverage exists, Consultant shall receive $10.00. Consultant shall
present to City an invoice once this investigation is complete.
2. TASK 2: After review of the deliverables from TASK 1, City, in its sole discretion, may elect to proceed
to TASK 2. Task 2 involves the City hiring an attorney to pursue Cost Recovery Contribution against
any of the insurance identified by Consultant in Task 1. Restorical will provide all investigative results
and materials from Task 1 to the selected attorney and will provide consultancy, research and coverage
support to the chosen attorney during the pendency of the claim. Such support is a requisite part of Task
2 and the related compensation.
a. If City elects to proceed to TASK 2, as compensation for services to perform Cost Recovery
Assistance for City, Consultant shall receive a contingency fee of Ten percent (10%) of
"Recovery". Upon receipt of the Recovery, Consultant shall present to City an invoice. City
shall pay the full amount of invoice, net 30, after receipt of the invoice.
b. The parties understand and agree that a material inducement for Consultant to enter into this
Agreement and perform the Task 1 services is the opportunity to pursue the Task 2 services. If
the City elects not to pursue the Task 2 services the City agrees (i) it will not on its own, directly
or indirectly, at anytime pursue any cost recovery contribution against any of the insurance
identified by Consultant in providing the Task 1 services and (ii) that if the City pursues and
Recovers any funds from the insurance identified by Consultant in providing the Task 1 services
the City will be obligated to pay Consultant the Task 2 fee.
3. DEFINITION OF RECOVERY: The term "Recovery" as used herein are all payments, flowing to the City
directly or indirectly, monetary or otherwise, from any one or more of the insurers of the City or of any
potentially responsible party, whether by collection, settlement, judgment or litigation, before
consideration of any income tax matters. Recovery includes but is not limited to payments for
investigation and remediation work, sums attributable to interest, punitive damages and attorney's fees.
4. EXPENSES: City agrees to pay for all expenses related to title document production not to exceed
$600 per site/project. Consultant will not charge for any additional expenses, including but not limited
to scanning, copying, travel and/or lodging.
CA revised May 2020
8
Page 7
City of Tukwila
Thomas McLeod, Mayor
INFORMATIONAL MEMORANDUM
TO: Finance & Governance Committee
FROM: Nora Gierloff, Community Development Director, Aaron BeMiller, Finance
Director, Joel Bush, Chief Technology Officer
CC: Mayor Thomas McLeod
DATE: April 22, 2025
SUBJECT: Contracts for Permitting, Tax, Budget & Transparency Technology
Solutions
ISSUE
The Department of Community Development (DCD), Finance Department (FN), and Technology
& Innovation Services (TIS) have partnered in researching and evaluating technology solutions
to resolve issues and/or improve processes aimed at enhanced efficiency, transparency, and
public access to information.
BACKGROUND
In 2022 the City implemented Central Square Finance Enterprise (FE) as its Enterprise
Resource Planning (ERP) software to manage day-to-day operations. The ERP provides a
centralized system that serves as the City's accounting system of record and allows all city
departments and cross -functional teams to access the system for their individual needs.
Earlier this year, the City began a "gap analysis" of our current ERP comprised by a cross-
section of city employees. The gap analysis provides a comparison of the current performance
of the ERP with desired or expected performance and looks for reasons preventing meeting the
desired system performance. As part of the City's on -going evaluation of FE and its long-term
viability as the City's ERP solution, three technology solutions are being requested as an
improvement to the current system or to fill a need not offered in the current ERP.
Staff has explored options for transitioning from our current permit tracking platform,
Community Development by Central Square (formerly called TRAKiT), due to poor
performance, tack of support, and excessive staff time spent on workarounds and
maintenance. SmartGovbyGranicus, a modern and comprehensive cloud -based system
has been selected as a replacement. SmartGov is currently in use by 51 jurisdictions
across Washington State and has a strong track record of improving permitting workflows,
enhancing transparency, and expanding public self-service capabilities. This upgrade will
improve service delivery and support our broader goals of operational efficiency,
accountability, and accessibility.
DISCUSSION
New technology solutions:
SmartGov: Replaces the City's current permitting system with a modern and comprehensive
cloud -based system which will improve the user experience for customers, automate many
routine tasks, and improve the ability of inspectors to access and update the system in the field.
It will also give Tukwila the tools to easily track our compliance with SB 5290, the state
mandated permit review process and timeline changes.
OpenGov: Provides solutions not available in the current ERP.
9
INFORMATIONAL MEMO
Page 2
• Tax & Revenue: Transitions B&O tax collection from paper to a fully automated online
system with compliance tracking. This automation will help build capacity by significantly
reducing manual processing and allow our B&O analysts to spend more time in the field
performing audits. Additionally, it will provide businesses with a seamless, transparent
portal for online tax filing and payments.
• Budget and Planning: Provides the City with a modern budget system to replace the
current practice of manually keying budget information into excel spreadsheets. An
automated budget system will free up capacity and allow for redeployment of staff to
more strategic and value-added work. This solution provides public transparency and
community engagement improvements, tracking performance and key performance
indicators, as well as dashboards and reports to drive informed policy and business
decisions.
FINANCIAL IMPACT
SmartGov: The proposed transition to SmartGov includes an annual software cost of $38,571
starting in 2025. A one-time data migration fee of $64,767 will be covered using existing funds
from the Technology Fund. For comparison, our current system required an upfront investment
of $312,750 in 2012 and has an ongoing annual operating cost of $62,805
OpenGov: Annual software costs in 2025 are $143,500. There is a one-time deployment fee of
$116,860. Funding for the tax and revenue component will be paid by B&O collections.
Funding for budget, planning, reporting, and transparency component will be paid in 2025 from
available fund balance. On -going subscription costs will be allocated as part of the Indirect Cost
Allocation Plan. The subscription costs above represent a 25% discount as part of the bundle
and will remain in place as part of the on -going subscription costs. However, the discount
expires June 2025 if not contracted by then.
RECOMMENDATION
Staff recommends the Committee approve these contracts and forward them to the Consent
Agenda for the May 5th, 2025 City Council meeting.
Alternatively, the Committee can forward these contacts to the May 12th, 2025 Committee of the
Whole meeting as new business and the May 19" Regular Meeting for adoption.
ATTACHMENTS
A. Draft SmartGov Contract
B. Draft OpenGov Contract - to be provided separately
C. OpenGov Executive Summary
10
https://tukwilawa.sharepoint.com/sites/mayorsoffice/cc/CC Docs/2025 AGENDAS/2025 Agenda Packets/2025 FIN - Agenda Packets/04-28-25 FIN/1 b -
Contracts/April 28 F&G Software Contracts_Info Memo.docx
�^�n^ �
~~"�� ~," Tukwila
Contract Number:
CONTRACT FOR SERVICES
This /\oF8enneOt is entered into by and between the City of Tukwila, Washington, G non -charter
optional municipal code city hereinafter referred toas"the Qtv."and G[@OiCUS hereinafter
referred tooa"the [}nntractor."whose principal office is located at \8/8ShiOgk}D. DC The City
and the Contractor are each individually @ ''P@rtv" and collectively the "Parties."
WHEREAS, the City has determined the need to have certain services performed for its citizens
but does not have the manpower or expertise to perform such services; and
WHEREAS, the City desires to have the Contractor perform such services pursuant to certain terms
and conditions; now, therefore,
IN CONSIDERATION OF the mutual benefits and conditions hereinafter oontoined. the parties
hereto agree as follows:
1. Scope and Schedule of Services tmbe Performed by Contractor. The Contractor shall perform
those services described on Exhibit attached hengkz and incorporated herein by this reference
as if fully Set forth. In performing such services, the COntn8[tO[ shall at all tirD8S COnlp|y with all
Federal, State, and |nco| stotutnn, rules and ordinances applicable to the performance of such
services and the handling ofany funds used inconnection therewith. The Contractor shall request
and obtain prior written approval from the City if the scope or schedule is to be modified in any way.
2- Compensation and Method of Payment. The City shall pay the Contractor for services rendered
according to the rote and method set forth on Exhibit B attached henak> and incorporated herein
bythis reference. The total amount Lobepaid shall not exceed at o rate
of
a Contractor Budget. The Contractor shall apply the funds received under this Agreement within
the nnaxirnurn limits set forth in this Aor8BnnenL The Contractor shall request prior approval from
the City whenever the Contractor desires to amend its budget in any way.
4 Duration mfAgreement. This Agreement shall beinfull force and effect for aperiod commencing
.20 ,ondending .20__.unless sooner terminated under the
provisions hereinafter specified.
5. Independent Contractor. The Contractor and the City agree that the Contractor iaonindependent
contractor with respect to the services provided pursuant to this Agreement. Nothing in this
Agreement shall be considered to create the relationship of employer and employee between the
parties hereto. Neither the COOt[8CtO[ nor any employee OfContractor shall be entitled to any
benefits accorded City employees by virtue of the services provided under this Agreement. The
City shall not be responsible for withholding or otherwise deducting federal income tax orsocial
security or contributing to the State Industrial Insurance Program, or otherwise assuming the duties
of anemployer with respect tothe Contractor, orany employee ofthe Contractor.
T|SContract for Svcs Template 02'2021 Page 1ofS
11
ti Indemnification.
A. Contractor Indemnification. The Contractor shall indemnify, defend and hold harmless the City
its officers, officia|e, ernp|oyeee, volunteers and permitted successors and assigns harmless
from any and all claims, injuries, damages, losses or suits including attorney fees (collectively,
"Losses"), in connection with any claims, demands, suits or proceedings (collectively, "Claims")
made Oralleged against the City bv8third party arising out OfO[resulting from the acts, errors
or ornissions, or the intentional or negligent performance of the Contractor in performance of
this Agreement, except for injuries anddannagesnausedbytheso|eneg|igan000ftheQtv.
B. RCVV 4.24.115. However, should 8 court of competent jurisdiction d8tg[nlin8 that this
Agreement iasubject to RCVV424.115. then, inthe event ofliability for damages arising out of
bodily injury to persons ordamages tn property caused by or resulting from the concurrent
negligence of the Contractor and the [ib/, its officers, nffinio|s, emp|oyees, and vo|unteers.
Contractor's liability, including the duty and cost to defend, hereunder shall be only to the extent
of Contractor's negligence. It in further specifically and expressly understood that the
indemnification provided herein constitutes Contractor's waiver ofimmunity under Industrial
Insurance, Title 51 FlCVV,solely for the purposes Ofthis indemnification. This waiver has been
mutually negotiated by the parties. The provisions of this section oho|| survive the expiration
ortermination ofthis Agreement.
C. Infringement Indemnification. In addition to Contractor's obligations under Section O.A., the
Contractor Sh8|| indemnify, defend, and hold h8rnn|8SS the City and its directors, 0ffiCSrS,
ennp|oyees, agents and other representatives against any Losses in connection with Claims
made or alleged against the City by third party that the services, software or deliverables
infringes 8 U.G. patent, copyright or other intellectual property rights Of any third party. The
foregoing indemnification obligation dO9S not apply tO any C|8inn3 Or LOSSeS arising out of or
relating toany: (a) access to or use of the software in combination with any hardware, system,
software, network or other materials or service not provided or authorized by this Agreement or
otherwise in writing by the Contractor; Or (b) modification of the SUftw8r8 other than: (i) by Or
nnbehalf ofthe Contractor; or/ii\with the Contractor's written approval orinaccordance with
Contractor's written specifications.
D. K8itiqaUon. If any of the aervioeo, software or deliverables are, or in Contractor's opinion are
likely to be, C|8irned to infringe, misappropriate orotherwise violate any third -party intellectual
property right. or if the City's or any Authorized User's use of the servioem, software or
deliverables is enjoined or threatened to be enjoined, the Contractor may, at its option and sole
cost and expense:
i. obtain the right for the City to continue to use the Services, Software and Deliverables
materially as contemplated bythis Agreement;
ii. modify or replace the aen/icea, software and de|iverob|en, in whole or in port, to seek to
make the services, software and deliverables (as so modified or replaced) non -infringing,
while providing materially equivalent features and functionality; or
iii. by vv[itt8D OOtiC8 to the City' t8[nliO8t8 this Ag[88nl9Oi with respect to all or part Of the
8mrvioes. Gnftvvore and Oe|iverob|ee, and require the City to immediately cease any use of
the Services, Software and Deliverables or any specified port or feature thereof, provided
that if such termination occurs, the Contractor shall refund any prepaid fees to the City and
provide transition services free ofcharge.
T|SContract for Svcs Template 02-2O21 Page 2ofU
12
E. Linnh8dOn of Liability. In no event will either party be liable under or in connection with this
agreement or its subject matter under any |ago| or equitable theory, including breach of
contract, tort (including negligence), strict liability and otherwise, for any: (i) loss Ofrevenue Or
profit; or (ii) consequential, incidental, indirect, exemplary, special, or punitive damages,
regardless of whether such persons were advised of the possibility of such losses or damages
or such losses or damages were otherwise foreseeable, and notwithstanding the failure of any
agreed Vrother remedy ofits essential purpose. In no event shall the aggregate liability of
either party arising out of or related to this agreement exceed the greater of two times the fees
paid under the agreement Or$1'UOU.000;provided however, the limitation Ofliability set forth in
this section shall not apply to: /i> Contractor's indemnification obligations for infringement
claims made or brought against the City by third party as described herein, or (ii) damages
related to c|oinne brought against the City due to Contractor's breach of Citv'a data, including
but not |irni&*d to dannoges, penalties or other liabilities arising from government enforcement
actions or breach notification requirements. The provisions of this section shall survive the
expiration O[termination 0fthis agreement.
7 Insurance. Prior to commencing the Services, the Contractor shall procure and maintain at its sole
cost and expense at least the following insurance, covering its obligations under this Agreement.
A Insurance Policies.
i. Commercial General LWith coverage of not |eaa than $2.000.000 per
occurrence, $2.000.000 general aggregate, and $2.000.000 prod ucta-connp|etod
operations aggregate |irnit, which shall cover liability arising from pnarnisos, openadons,
independent contractors, prod uCtS-COrDp|9t8d Op8[8tioOS. stop gap liability, p8rSOD8| injury
and advertising injury, and liability 8SSUnn9d under an insured contract. COnnrnerCi8|
General Liability insurance shall boas least atbroad as ISO occurrence form CG 0001
and shall cover liability arising from prenniaga, opgradona, independent contractora,
prod uote-oornp|eted openaUona, stop gap |iabi|ih/, personal injury and advertising injury,
and liability oSSunned under on insured contract. The Commercial General Liability
insurance shall be endorsed to provide per project genera| aggregate limit using |8[)
form CG 25 03 05 OS or an equivalent endorsement. There shall be no exclusion for
liability arising from exp|neion, collapse orunderground property damage. The City shall
be named as an additional insured under the Contractor's Commercial General Liability
insurance policy with respect to the work performed for the City using |SC) Additional
Insured endorsement CG 20 10 10 01 and Additional Insured -Completed Operations
endorsement CG 30 37 10 01 or substitute endorsements providing at least as broad
coverage.
ii. C»ber Liability Insurance: With coverage of not less than $1.000.000 per occurrence
and $5.000.000 in the annual aggregate which Sho|| inC|ud8, but not be limited to,
coveraQe, including defense, for the following losses or services:
(1) B[88Ch Of City'S Data, including but not limited to liability arising from theft,
dieeennination, and/or use ofCitv'a confidential and Personal Information as defined
by R{}VV 42.50.590, including but not limited to, any information about an individual
nn@iOt@iOgd by City, including: /@\ any information that can be used tOdistinguish or
trace an individuo|'n idmnUty, such as nanne, social security number, date and place
of birth, mother's maiden name, orbi0metrin records; and (b) any other information
that islinked orlinkable toonindividual, such esmedical, educational, financial, and
ennp|0ynn8nt information r8g8nd|SSS Of h0vv or vvh6rS the information is stored or
transmitted.
T|SContract for Svcs Template 02-2O21 Page 3ofU
13
(2) Network security liability arising from: (a)the unauthorized access to. use of, Or
tampering with computer systems, by an outside portv, including hacker attacks or
virus introduced by a third party; Or /b\ the inability of an authorized third p8Mx to gain
access to supplier systems and/or Qh/ C)mta, including denial of service, unless
C8uS8d by nl8ChGOiC8| or electrical failure; /C\ introduction of any unauthorized
software computer code or virus causing damage to City Data or any other third party
data.
C}\ Event management services and first -party loss expenses for a data breach response
including ChSiS nn8n8gennSnt ServiC8S. credit monitoring for individu8|3, public
relations, legal service advice, notification of affected parties, independent information
security forensics firm, and costs to re -secure, re-create and restore data or systems.
iii Workers' Compensation coverage as required by the Industrial Insurance laws of the State
of Washington.
|v. Automobile Liability Insurance of rninirnurn combined single limit for per occurrence for
bodily injury and property damage Of$1,0OO,OOO per accident, covering all OvvO9d, DOO-
nvvned.hired and leased vehicles. Coverage shall bewritten onInsurance Services Office
(|8{]) form CA 00 01 Or o substitute form providing equivalent liability coverage. If
necessary, the policy shall be endorsed Loprovide contractual liability coverage.
V. PnOf8SSiOn8| Li8bi|ity/ErrOrS8nd C)rniSSiODS Insurance (including Technology Errors and
Omissions) 0fatleast $1.00O.U0Oper occurrence and $2.0OO.O00inthe annual aggregate.
B. Additional Insurance Requirements.
i. If the CODtn8Ct0[ nl8iDt8iOS higher iOSu[8DQ8 limits than the nliDinlunlS ShOvvO above, the
City shall be insured for the full available limits of Commercial General and Excess or
Umbrella liability maintained by the Contractor, irrespective of whether such limits
maintained bythe Contractor are greater than those required bythis Agreement Orwhether
any certificate Of insurance furnished to the City evidences limits Of liability |ovv9r than
those maintained by the Contractor.
ii. The insurance required in Section 7 shall be in a form and on terms and written by insurers
with 8 Curr8ntA.K8. Best rating of not |eSS than A: V||. The C0rnnn8rCi8| General Liability,
CyberLiabi|ih/ Insurance and Automobile Liability Insurance shall name the City as on
additional insured, and shall contain, 0rbe endorsed tocontain, that they shall beprimary
insurance as respect to the City. Any inaurance, oe|Anounance, or self -insured pool
coverage maintained by the City shall be excess of the Contractor's insurance and aho||
not contribute with it.
iii The Contractor shall provide the City with vvrbt8O n0do8 of any policy c@OogU8don within
two business days of the receipt of such notice. Contractor ahoU obtain nop|ocennant
insurance policies meeting the requirements of this Section 7.
iv. Failure of the Contractor to maintain the insurance as required shall constitute a material
breach Ofthis Agreement, upon which the City may, after giving five business days' notice
to the Contractor to correct such breach, immediately terminate this Agreement.
v� The Contractor's maintenance of insurance, its scope of coverage and limits as required
herein shall not b8construed tOlimit the liability Vfthe Contractor to the coverage provided
bysuch insurance, Orotherwise limit the {}ity'Srecourse t0any remedy available 8tlaw Vr
in equity.
T|SContract for Svcs Template 02-2O21 Page 4ofU
14
vi. Subcontractor's Insurance. The Contractor shall cause each and every subcontractor
utilized by the Contractor in connection with the provision of Services ("Subcontractors"),
to provide insurance coverage that complies with all applicable requirements of the
Contractor -provided insurance as set forth herein, except the Contractor shall have sole
responsibility for determining the limits of coverage required to be obtained by
Subcontractors. The Contractor shall ensure the City is an additional insured on each and
every Subcontractor's Commercial General liability insurance policy, using an
endorsement as least as broad as ISO CG 20 10 10 01 for ongoing operations and CG 20
37 10 01 for completed operations.
vii. The Contractor shall furnish the City with original certificates and a copy of the amendatory
endorsements, including but not necessarily limited to the additional insured
endorsements, evidencing the insurance requirements of the Contractor before
commencement of the work. Upon request by the City, the Contractor shall furnish
certified copies of all required insurance policies, including endorsements, required in this
Agreement and evidence of all subcontractors' coverage.
8. Record Keeping and Reporting.
A. Records Maintenance. The Contractor shall maintain accounts and records, including
personnel, property, financial and programmatic records which sufficiently and properly reflect
all direct and indirect costs of any nature expended and services performed in the performance
of this Agreement and other such records as may be deemed necessary by the City to ensure
the performance of this Agreement.
B. Retention Period. These records shall be maintained for a period of seven years after
termination hereof unless permission to destroy them is granted by the office of the archivist
in accordance with RCW Chapter 40.14 and by the City.
C. Public Records Requests. The Contractor acknowledges that the City is a public entity and is
subject to the Public Records Act under Chapter 42.56 RCW. To the extent permitted by law,
the City shall treat as exempt from treatment as a public record, and shall not disclose in
response to a request made pursuant to any applicable public records law, any of the
Contractor's Confidential Information. If a request is received for records the Contractor has
submitted to the City and has identified as Confidential Information, the City will use its best
efforts to provide the Contractor with notice of the request in accordance with RCW 42.56.540
and a reasonable time within which the Contractor may seek an injunction to prohibit the City's
disclosure of the requested record. The City shall comply with any injunction or court order
requested by the Contractor which prohibits the disclosure of any such Confidential
Information; however, in the event a higher court overturns such injunction or court order, the
Contractor shall reimburse the City for any fines or penalties imposed for failure to disclose
such records. Nothing in this section prohibits the City from complying with RCW 42.56, or
any other applicable law or court order requiring the release of public records, and the City
shall not be liable to the Contractor for compliance with any law or court order requiring the
release of public records.
D. Compelled Disclosures. If either the Party or any of its Representatives is compelled by
applicable law to disclose any Confidential Information then, to the extent permitted by law,
that Party shall: (a) promptly, and prior to such disclosure, notify the other Party in writing of
such requirement so that they can seek a protective order or other remedy or waive its rights
under Section 3; and (b) provide reasonable assistance, at the Disclosing Party's cost, to the
Disclosing Party in opposing such disclosure or seeking a protective order or other limitations
on disclosure. If the Disclosing Party waives compliance or, after providing the notice and
assistance required under this section, the Receiving Party remains required by law to disclose
TIS Contract for Svcs Template 02-2021 Page 5 of 9
15
any CODfid8OU@| |OfO[0@dOD' the Receiving Party ShGU diSdOS8 only that portion Of the
Confidential |DfOnn@UOn that the Receiving P@dx is |Sg@Uy required to disclose. This S8CUOn
8.2 shall not apply to Subscriber's response to a request made under the Public Records Act,
Chapter 42.50RCVV.
9. Breach Notification.
A. The Contractor shall maintain a data breach plan and shall implement the procedures required
under such data breach plan on the onournanon of data bnaaoh, in compliance with the
requirements of Washington's data breach notification |ovv codified at RCVV 42.56.590. The
Contractor shall report, in writing, to the City any data breach involving data maintained by the
Contractor On behalf Of the City ("City O@b]") including any r8@30n8b|8 belief that an
unauthorized individual has onnesamd City Data. The report shall identify the nature of the
event. a list of the affected individuals and the types of data, and the mitigation and
investigation efforts of the Contractor. The Contractor eho|| make the report to the Qh/
immediately upon discovery of the data bonaoh, but in no event more than five business days
after discovery of the data breach. The Contractor shall provide investigation updates to the
City.
B. The Contractor shall pn0nnoUy r8irnbUrS8 the City in hJU for all CO3tS incurred by the City in any
investigation, n*madiadOn or litigation resulting from any data breach. The Contractor's duty
to reimburse the City includes but is not limited to, reimbursing to the City its COSt incurred in
doing the following:
i. Notification to third parties whose information may have been or were compromised and
to regulatory bodies. law enforcement agencies orother entities as may be required by
law OrcOntn8Ct�
.
|i. Establishing and monitoring call center(s) and credit monitoring and/or identity
restoration services to assist each person impacted by data breach of nature that, in
the Qtv'S sole discretion, could |8@d to identity theft; and
iii. Payment of legal fees and expensen, audit costs, fines and peno|Umo, and other fees
imposed upon the City by regulatory agency, court oflaw, or contracting partner as a
result ofthe data breach.
C. Upon 8 data breach, the Contractor is not permitted to notify affected individuals without the
express written consent of the City. Unless the Contractor is required by |ovv to provide
notification to third parties or the affected individuals in o particular manner, the City shall
control the time, place, and manner Ofsuch notification.
10. City Data. The Contractor does not claim ownership of, and assumes no responsibility with respect
to any City Data defined as infonnadon, data, and oun&snt, in any form or nnediurn, oo||eoted,
dovvn|oaded, or otherwise noceived, directly or indirectly from the City, on Authorized Personnel or
end -users byorthrough the Contractor's Services.
11. Audits and Inspections. The records and documents with respect to all matters covered by this
Agreement shall be subject at all times to inspection, review or audit by law during the performance
of this Agreement.
%I Termination. This Agreement may stany time be terminated by the City giving tothe Contractor
5Odays written notice ofthe Cih/ointention tnterminate the same. Failure toprovide products on
schedule may result incontract termination. If the Contractor's insurance coverage iscanceled for
any reason, the City shall have the right to terminate this Agreement immediately.
T|SContract for Svcs Template U2-2O21 Page 6ofU
16
13. Effect of Termination or Expiration. On the expiration or earlier termination of this Agreement:
A. Each Party shall continue to hold such Confidential Information in confidence pursuant to Section
8; and
B. Each Party shall pay to the other all undisputed amounts accrued prior to and through the date
of termination of this Agreement; and
C. The provisions set forth in the following sections, and any other right or obligation of the parties
in this Agreement that, by its nature should survive termination or expiration of this Agreement,
will survive any expiration or termination of this Agreement.
D. Within 60 days following such expiration or termination, the Contractor shall deliver to the City,
in a format as requested by the City, the then most recent version of City Data maintained by
the Contractor, provided that the City has at that time paid all undisputed fees then outstanding
and any amounts payable after or as a result of such expiration or termination.
E. In the event of (i) expiration or earlier termination of this Agreement, or (ii) the City no longer
purchasing certain Services from the Contractor, if the City requests assistance in the transfer
of City Data to a different vendor's applications ("Deconversion"), the Contractor will provide
reasonable assistance. The Parties will negotiate in good faith to establish the relative roles and
responsibilities of the Parties in effecting Deconversion, as well as the appropriate date for
completion.
14. Taxes. The Contractor shall be solely responsible for the payment of any and all applicable taxes
related to the Services provided under this Agreement; if such taxes are required to be passed
through to the City by law, the same shall be duly itemized on timely billings submitted to the City
by the Contractor.
15. Waiver. A waiver of any breach by either Party shall not constitute a waiver of any subsequent
breach.
16. Third Party Beneficiaries. This Agreement is solely for the conveniences of the Parties and there
are no third party beneficiaries to this Agreement.
17. Compliance with Laws. The Consultant shall comply with all applicable federal, state, and local
laws and regulations in performing this Agreement.
18. Discrimination Prohibited. The Consultant, with regard to the work performed by it under this
Agreement, will not discriminate on the grounds of race, religion, creed, color, national origin, age,
veteran status, sex, sexual orientation, gender identity, marital status, political affiliation, the
presence of any disability, or any other protected class status under state or federal law, in the
selection and retention of employees or procurement of materials or supplies.
19. Assignment and Subcontract. The Contractor shall not assign or subcontract any portion of the
services contemplated by this Agreement without the written consent of the City.
al Entire Agreement; Modification. This Agreement, together with attachments or addenda,
represents the entire and integrated Agreement between the City and the Contractor and
supersedes all prior negotiations, representations, or agreements written or oral. No amendment
or modification of this Agreement shall be of any force or effect unless it is in writing and signed by
the parties.
TIS Contract for Svcs Template 02-2021 Page 7 of 9
17
21. Severability and Survival. If any term, condition or provision of this Agreement is declared void
or unenforceable or limited in its application or effect, such event shall not affect any other
provisions hereof and all other provisions shall remain fully enforceable. The provisions of this
Agreement, which by their sense and context are reasonably intended to survive the completion,
expiration or cancellation of this Agreement, shall survive termination of this Agreement.
22 Notices. Notices to the City of Tukwila shall be sent to the following address:
City Clerk
City of Tukwila
6200 Southcenter Blvd.
Tukwila, Washington 98188
Notices to the Contractor shall be sent to the address provided by the Contractor upon the
signature line below.
23. Applicable Law: Venue: Attorney's Fees. This Agreement shall be governed by and construed
in accordance with the laws of the State of Washington. In the event any suit, arbitration, or other
proceeding is instituted to enforce any term of this Agreement, the parties specifically understand
and agree that venue shall be properly laid in King County, Washington. The prevailing party in
any such action shall be entitled to its attorney's fees and costs of suit.
24. Force Majeure. Neither Party shall be responsible for failure to fulfill its obligations hereunder or
liable for damages resulting from delay in performance as a result of war, fire, strike, pandemic, riot
or insurrection, natural disaster, delay of carriers, governmental order or regulation, complete or
partial shutdown of plant, unavailability of equipment, software, or services from suppliers, default
of a subcontractor or vendor to the Party if such default arises out of causes beyond the reasonable
control of such subcontractor or vendor, the acts or omissions of the other Party, or its officers,
directors, employees, agents, contractors, or elected officials, and/or other occurrences beyond the
Party's reasonable control ("Excusable Delay" hereunder). In the event of such Excusable Delay,
performance shall be extended on a day for day basis or as otherwise reasonably necessary to
compensate for such delay.
25. Counterparts. This Agreement may be executed in several counterparts, each of which when so
executed shall be deemed to be an original, and such counterparts shall constitute one and the
same instrument. This Amendment shall be considered properly executed by a Party if executed
by that Party and transmitted by facsimile or other electronic means including, without limitation,
SeamlessDocs or other City -approved program, Tagged Image Format Files (TIFF), or Portable
Document Format (PDF).
26. Conflict in Terms. In the event of a conflict between the terms of this Agreement and the terms
in any other document, including but not limited to all Exhibits hereto, the terms of this Agreement
shall prevail.
Exhibit A: Scope of Services
Exhibit B: Compensation Schedule
Exhibit C: Service Level Agreement (SLA)
Exhibit D: City of Tukwila Security Requirements
Exhibit E: Data Protection and Information Security Exhibit
TIS Contract for Svcs Template 02-2021 Page 8 of 9
18
CITY OF TUKWILA
Thomas McLeod, Mayor
Date
ATTEST/AUTHENTICATED:
Andy Youn, City Clerk
APPROVED AS TO FORM:
Office of the City Attorney
CONTRACTOR:
By:
we obtained y
Printed Name:
Title:
Address:
Date:
TIS Contract for Svcs Template 02-2021 Page 9 of 9
19
IT
Scope of Services
20
GRAN ICUS
THIS IS NOT AN INVOICE
Granicus Proposal for Tukwila, WA
Prepared By: Taylor Brodersen
Phone: (814) 720-4368
Email: taylor.brodersen@granicus.com
Order #: Q-384417
Prepared On: 18 Mar 2025
Expires On: 31 Dec 2024
Currency:
Payment Terms:
Order Form
Prepared for
Tukwila, WA
USD
Net 30 (Payments for subscriptions are due at the beginning of the period of
performance.)
Period of Performance: The term of the Agreement will commence on the date this document is
signed and will continue for 12 months.
Order #: Q-384417
Prepared: 18 Mar 2025
Page 1 of
GRAN|CDS
Order Form
Tukwila, WA
PRICING SUMMARY
The pricing and terms within this Proposal are specific |othe products and volumes contained within this
S0ortGovTnairing
Upon Delivery
lEOoh
$2,896.00
SnOmrtGovCustom Implementation
Upon Delivery
lEaoh
$0.00
8|ueB*amConnector Configuration
Upon Delivery
|Eooh
$1'500.80
Project Management - SmartGov
Upon Delivery
lEoch
$8'44785
Map Connector Configuration
Upon Delivery
lEOch
$1.250.00
Parcel Connector Configuration
Upon Delivery
lEoCh
$3.125.00
Portal Configuration
Upon Delivery
lEoCh
$1,250.00
Fees Configuration (Poges)
Upon Delivery
8Eaoh
$4'248.00
Genena|CnnfiA
Upon Delivery
lEaoh
$2'500.00
Workflow template customization
Upon Delivery
l Each
$10.050D0
Stondord|zedOatoMigrohOn-Permits
Upon Delivery
lEOCh
$5.000.00
Base Standardized Migration Cost
Upon Delivery
l Each
$1.875.00
Data Migration - Documents &
Attachments`
Upon Delivery
lEoch
�3O0DOD
' �
Dtandandbed[)otoMigrotion-Code
Enforcement'
Upon Delivery
l Each
�
$3l25OO
Standardized Data Migrahon-LicSnsing
Upon Delivery
lEmch
$6.250D0
Contractor Connector Configuration
Upon Delivery
lEach
$1'250.00
Financial Export Connector Configuration
Upon Delivery
lEach
$2.500.00
Existing Merchant Connector Configuration
Upon Delivery
lEooh
$1'500.00
LoserfioheConnector Configuration
Upon Delivery
lEaoh
$3'125.00
Upon Delivery
|Eoch
$1'875.00
Active Directory Connector Configuration
Order #:Q-3844l7
Prepared: l8Mar 2025
Page 2 of 21
(.7;-•''' GRAN ICUS
Order Form
Tukwila, WA
0110 I 01
111111111°°°r 'M1°1°
Solution
SmartGov - Enterprise
Biiling „„,vgpft„, jyirm:requency
4,
Annual 1 Each
Annual Fee
$27,424.00
SmartGov Code Enforcement
Annual 1 Each
$0.00
SmartGov Licensing
Annual
1 Each
$0.00
SmartGov Permitting
Annual
1 Each $0.00
SmartGov Connector BlueBeam
Annual
1 Each $1,372.00
SmartGov Connector Contractor
Annual
1 Each $1,372.00
SmartGov Connector Financial
Annual
1 Each $1,372.00
SmartGov Connector Merchant
Annual
1 Each $1,372.00
SmartGov API
Annual
1 Each
$2,915.00
SmartGov Connector ECM-Laserfiche
Annual
1 Each
$1,372.00
SmartGov Connector Active Directory
Annual
1 Each
$1,372.00
te;
SUBTQTAL.,e$
Order #: Q-384417
Prepared: 18 Mar 2025
Page 3 of ,3
GRAN|CDS
PRODUCT DESCRIPTIONS
Ordo,Form
Tukwila, WA
Annual subscription tOSrnOrtGovsoftware for: Permitting, Licensing, and
Code Enforcement. Subscription includes the Public Portal.
SrnOrtGov
3modGovCode Enforcement
Annual subscription for SmOdGovCode Enforcement Module for
managing service requests and complaints.
SmmrtGovUCensing
Annual subscription for SmortGovLicensing Module for contractor
registration, rental registration, business licensing.
SmodGovPenniKing
Annual subscription for 5modGovPermitting Module for building and
planning permits, inspections, and contacts.
SmortGovCnnn8ctor
B|ueB8om
The 3modGovB|uebeomconnector provides the ability tocheck out
documents for plan review and markup using the subscriber's 0uebeom
subscription. 0uebeunnStudio isthe repository for 8|uebeQ0Projects and
Sessions. Only one license/subscription is required for each jurisdiction.
SmortGovhoining
Includes uptutwo (2)hours ufUser Acceptance Training toprepare
primary users for Validation, focused nnnavigation and testing best
practices.
Go -Live training will span o one /l> week pehod' provided in three (3) hour
sessions focused on Permit/Application Intake, Review, Inspections and
Code Enforcement processes /O3 needed).
SmOrtGov Custom
Implementation
3mOrtGQv Configuration based On implementation options selected.
Order #:Q-3844l7
Prepared: l8Mar 2025
Page 4 of 21
GRAN ICUS
Order Form
Tukwila, WA
Sotution„Despri, tie .
BlueBeam Connector
Configuration
Assist Subscriber in configuring Bluebeam connection.
Testing connection with Subscriber.
Training provided on SmartGov check-out and check -in process only.
The service and subscription for this connector does NOT include a
subscription to Bluebeam or training on how to install or use the Bluebeam
software.
Subscriber is responsible for providing an active subscription to Bluebeam
Studio Prime with REVU 21 to use the SmartGov Bluebeam Connector.
Each user that will be checking permits out to Bluebeam from SmartGov or
accessing the submittal documents from SmartGov for review in Bluebeam
will need to be a member of the Studio Prime account.
Bluebeam Software is comprised of a document
management component, known as Studio, and a client -side application,
Revu. Each component has three (3) editions with various features.
Bluebeam Studio is the repository for Bluebeam Projects and Sessions. Only
one license/subscription is required for each jurisdiction. It is available in the
following editions:
Bluebeam Studio Prime (Compatible with SmartGov) - Cloud -based
(allows third party integrations with the Bluebeam Studio API), additional
Bluebeam cost
Bluebeam Studio (Not Compatible with SmartGov) - Cloud -based,
included with the Bluebeam Revu user license at no additional Bluebeam
cost
Bluebeam Studio Enterprise (Not Compatible with SmartGov) - On -
Premises
Bluebeam Revu is the client -side software that provides the tools necessary
to review and mark up documents. This software must be installed on each
client computer that will be used to perform review and mark up
tasks. Revu is available in the following editions:
Revu Standard (Compatible with SmartGov) - Standard tool set
Revu CAD (Compatible with SmartGov) - Includes all of the standard tools,
along with plugins for 2D and 3D PDF creation
Revu eXtreme (Compatible with SmartGov) - Includes all of the standard
tools and CAD plugins, with additional features like Optical Character
Recognition (OCR) and batch processes.
The Revu user license includes access to Bluebeam Studio, but Bluebeam
Studio is not sufficient for integration with SmartGov. Each SmartGov user
that will be checking projects in and out of Bluebeam or performing review
and mark up tasks must also be a member of the Bluebeam Studio Prime
Order #: Q-384417
Prepared: 18 Mar 2025
Page 5 of ,5
GRANICUS
Order Form
Tukwila, WA
Sotution
Description
account.
Project Management -
Project Management: Company Project Manager will act as an extension
SmartGov
of the Subscribers team and manage the implementation from start to
finish. The Subscriber will have access to a personalized timeline which will
be reviewed on a regular cadence. The Project Manager will partner with
the Subscriber to coordinate all services, management of the project
timeline, and help identify risks and/or issues.
Project Management Services include:
• Project planning and kickoff meetings.
• Project schedule developed and maintained according to the
SOW tasks, deliverables, dependencies, and resource assignments.
• Status reporting and coordination of status meetings, bi-weekly, or
as required.
• Schedule monitoring and scope management.
• Risk Management planning to identify, analyze, and mitigate risks.
• Action Item and decision tracking, as well as resolving and
escalating issues.
• Change control management and issue tracking.
• Company project resource management.
• Verify product and deliverable acceptance with Subscriber.
• Facilitating transition to Support.
• Company's Project Manager will serve as the single point of
contact for the project related to this SOW.
Order #: Q-384417
Prepared: 18 Mar 2025
26
Page 6 of 21
GRAN ICUS
Order Form
Tukwila, WA
Sotution tio
Map Connector Configuration
Configure subscribers ESRI GIS layers into SmartGov
Troubleshooting the incoming data
Train client on how to maintain the service in SmartGov.
MAP/GIS Connector:
Company will connect to ESRI Map Service provided by Subscriber and
secured by a publicly trusted certificate issued by a Certificate Authority.
Subscriber is responsible for contracting separately with ESRI map service
provider and ESRI configuration.
SmartGov Requirements for Map Connector Integration:
ArcGIS for Server 10.4 or ArcGIS for server Enterprise Standard 10.7.1 (OR)
ArcGIS Online.
Subscriber Map Service must be publicly accessible and require no user
authentication of any kind.
The Map Service must include a parcel layer with a designated field
having parcel numbers that exactly match those provided in the Parcel
Connector source data (this layer may be the same as that provided for
the Parcel Connector if no authentication is required for access).
Support for Feature, Tiled, and Web Map Services is not included.
Custom base maps are not supported. Base maps from the ESRI base map
library will be available for use.
The following base maps are currently included (subject to change):
Imagery
Imagery Hybrid
Streets
Topographic
Navigation
Streets (Night)
Terrain with Labels
Light Gray Canvas
Dark Gray Canvas
Oceans
National Geographic Style Map
Open Street Map
Charted Territory Map
Community Map
Navigation (Dark Mode)
Newspaper Map
Human Geography Map
Human Geography Dark Map
Modern Antique Map
Mid -Century Map
Nova Map
Colored Pencil Map
Firefly Imagery Hybrid
Order #: Q-384417
Prepared: 18 Mar 2025
Page 7 of ,7
GRANICUS
Order Form
Tukwila, WA
Sotution
USA Topo Maps
11....Descriptionsoissolossoississommossommossolossoli
all11111111121IIIIIIMIMUSIIIMIRIIIIIIIII111111111111111111anaggfigainagfigainfigagglial
Order #: Q-384417
Prepared: 18 Mar 2025
28
Page 8 of 21
GRAN ICUS
Order Form
Tukwila, WA
Sotution
17.0espri tie.
Parcel Connector
Configuration
Company will configure EITHER a Delimited Parcel Job OR ARCGIS Parcel
Job on behalf of the Subscriber.
Configure Subscribers parcel fields into SmartGov.
Troubleshooting the incoming data and providing recommendations for
Subscriber to resolve data gaps.
Train Subscriber on how to maintain the service in SmartGov.
Delimited File - A delimited file may be uploaded to the job at runtime. The
delimited file option supports a single address for each individual parcel.
Subscriber must use the template provided by Company.
Parcel Layer - A parcel layer must be accessible by URL through an ESRI
REST service. A secondary address -only layer may also be provided for
parcels that have more than one address. The layer(s) must be publicly
accessible and may be secured with a username and password.
Subscriber is responsible for obtaining, cleaning, and maintaining all parcel
data within the delimited file and/or ESRI Rest service.
The configured parcel job will be available for Subscriber to run on -
demand after go -live. The Parcel Layer Job can be set to run daily,
weekly, monthly, or annually defined by how often Subscriber intends to
update the Rest Service.
Parcel source data (delimited file or parcel layer) must include the
following fields, at a minimum:
Parcel Number
Primary Situs Address
Primary Situs City
Primary Situs State
Primary Situs Zip Code
Owner Name
Owner Street Address
Owner City populated for USA addresses only
Owner State populated for USA addresses only
Owner Zip Code populated for USA addresses only
International Indicator with a value of "Y" for any owner address outside of
the USA
International line including the full regional equivalent of the city, state and
zip code for any owner address outside of the USA
Inclusion of the following additional fields is recommended:
Parcel center point latitude in decimal degrees
Parcel center point longitude in decimal degrees
If using a secondary address layer with the ARCGIS Parcel job, the address
layer must contain the following fields:
Parcel Number
Order #: Q-384417
Prepared: 18 Mar 2025
Page 9 of ,9
GRAN|CDS
Ordo,Form
Tukwila, WA
Des
Secondary 3itU5Address
Secondary 5ituSCity
Secondary SituoZip Code
Inclusion ofthe following additional fields isrecommended for the
secondary address layer:
Address point latitude in decimal degrees
Address point longitude in decimal degrees
Portal Configuration
Company will customize Subscriber's Portal by:
° Loading Subscriber logo.
* Exposing all pennifs/busine8licenses identified inConfiguration
workbook inwhich citizens will have access.
* Advising onbest practices for public release timeline and access
code configuration.
* Load Subscriber custom verbiage into limited fields.
p Provide the access URL (Uniform Resource Locator) for Subscriber
toadd link tojuhsdichonweb pages.
Includes consultant -led end-tn-endwo|kthnnughand demonstration of
UAT/Vo|ida1ionprocess toSubscriber 1Oconfirm functionality meets
configuration requirements.
Fees Configuration (PogeS)
Subscriber Fees configured based Onprovided Fee schedule and
according tOConfiguration Workbook. Based onSubscriber fee schedule,
defined inthe Order Form, Company will:
* Setup Subscriber fee code calculations.
• Load Subscriber PMS(Financial Management System) /GL
(General Ledger Code) (according toConfiguration YVorkbook).
* Load Subscriber Valuation table (according toConfiguration
Workbook nr|CC (international Chamber ofCommerce) table).
Setup Subscriber fixture costs (according toConfiguration
Workbook).
° Load other Subscriber custom attributes / details o5required for
Subscriber fee Co|Cu|atiOno (according to Configuration
Workbook).
Order #:Q-3844l7
Prepared: l8Mar 2025
30
Page 10of2l
GRAN ICUS
Order Form
Tukwila, WA
Sotution
Description
General Config
General Configuration: As part of the General Configuration, Company
will:
• Create Subscriber database with best practice defaults.
• Provide Validation environment access to Subscriber.
• Load Subscriber users with Company standard permissions
(according to Configuration Workbook).
• Configure system values (locality, time zone, header and footer
detail, standard report settings).
• Load Client Code References/Violation types (according to
Configuration Workbook).
• Set up General Ledger accounts.
• Load Subscriber logo.
• Provide access to over 100 reports and output document
templates. Subscriber receives credentials for environment when
initial configuration items under General Configuration deliverable
are completed.
Workflow template
Workflow Template Configuration: Company will configure process
customization
templates as defined in the Business Process Analysis phase for each
department in scope: Building/Permits, Code Enforcement, Licensing
and/or Recurring Inspections. Company will:
Load Subscriber Code References/Violation types (according to
Configuration Workbook).
Load custom attributes/details within the limited fields available (not
associated with fees, according to Configuration Workbook).
Configure workflow to meet business requirements defined in
Configuration Workbook.
Consultant -led end -to -end walkthrough and demonstration of
UAT/Validation process to Subscriber to confirm functionality meets
configuration requirements.
Completed upon configuration according to documentation in the
Configuration Workbook
Percentage: 100%
Order #: Q-384417
Prepared: 18 Mar 2025
Page 11 of 231
GRANICUS
Order Form
Tukwila, WA
DescriptionSotution,
Standardized Data Migration -
Permits
Company will import permit data from a single client database source,
approved by Company as standard source data. Multiple databases or
unapproved source data will be subject to a change order for a custom
data migration.
The fields below are considered in -scope of a standard Permit data
migration. The final output has many factors, including the fields available
from the source data. Fields: Basic Permit Info, Parcel Contacts
(Contractors will be listed on Contacts), Inspections, Fees as Notes, Notes
The data migration process assumptions: Subscriber will provide an initial
data set from source database. Company will provide a mapping
workbook to Subscriber where Subscriber is responsible for mapping data
fields to the preconfigured database fields. Subscriber will have two (2)
weeks ten (10) business days to validate the initial data load and provide
feedback. There is a maximum of two (2) rounds of feedback within that
10-day period.
Thorough validation is necessary for any successful SmartGov data
migration as there is no additional data cleansing possible after the final
migration. No more system changes will be permitted after successful
Validation. Subscriber to provide a final data set three (3) business days
before Go -Live. Final data load will occur the day before Go -Live.
Order #: Q-384417
Prepared: 18 Mar 2025
32
Page 12 of 21
GRAN|CDS
Ordo,Form
Tukwila, WA
Des
Base Standardized Migration
Cost
Base Data Migration includes non -module data such as contacts and b
included inall standard data migration packages with one Ormore
module data migrations.
Company will import permit data from usingle client database source,
approved bvCompany msstandard source data. Multiple databases or
unapproved source data will besubject toochange order for ocustom
data migration.
The Standard Data Migration includes the Base fields and one ormore of
the additional dotosebper the Sales Order Form. The fields below are
considered in -scope Ofostandard data migration. The final output has
many factors, including the fields available from the source data. Parcels:
Ownership Addresses Contacts: Phone Address Email
The data migration process assumptions: Subscriber will provide Oninitial
data sot from source database. Company will provide o mopping
workbook toSubscriber where Subscriber isresponsible for mapping data
fields tothe preconfigureddatabase fields. Subscriber will have two /2>
weeks ten (lO) business days tovalidate the initial data load and provide
feedback. There isotwo (2)feedback that
maximum ofrounds ofwithin
lO-dOyperiod. Thorough validation iSnecessary for any successful
SmortGovdata migration asthere isnOadditional data cleansing possible
after the final migration. Nomore system changes will bmpermitted after
successful Validation. Subscriber to provide o DnQ| data set three (3)
business days before GQLk/e. Final data load will occur the day before
Go -Live.
SmOrtGovConnector
Contractor
Contractor Connector links tostate database foverify licenses and
update contractor license information automatically. Alternatively,
3mortGovContractor Connector provides oone-time CSVupload that
may include data out ofscope ofthe standard contact -contractor
upload.
SmadGovConnector Financial
The SmartGov Financial Connector outputs a financial extract with a pre-
determined format which may be written to the customer's FTP site, if
desired, |ofacilitate automated external processing ofthe file. The
customer may request the use ofanalternate delimiter ifOcomma isnot
acceptable. The financial extract job may berun ondemand or
scheduled torun unoconsistent basis (e.g.'daily, weekly, monthly, etc.).
Companion reports designed for reconciliation and extract verification are
also available.
5mortGovConnector Merchant
Connection toone merchant |nthe back office and/or portal from olist of
available options. Subscriber remains responsible for the relationship with
the provider.
Order #:Q-3844l7
Prepared: l8Mar 2025
GRANICUS
Order Form
Tukwila, WA
Sotution
Description
Data Migration - Documents &
Includes migration of clients documents/images as attachments to
Attachments
notes on permits, parcels, code enforcement cases or licenses.
Client must provide easy mapping from documents to the object
(permit, parcel, case etc...) it will be attached to
Standardized Data Migration -
Company will import Code Enforcement data from a single client
Code Enforcement
database source, approved by Company as standard source data.
Multiple databases or unapproved source data will be subject to a
change order for a custom data migration.
The fields below are considered in -scope of a standard Code Enforcement
data migration. The final output has many factors, including the fields
available from the source data. Migration includes only current
occurrence, no history. Fields: Case Request, Basic Case, Info
Complainant, Contacts, Inspections, Fees as Notes, Notes
The data migration process assumptions: Subscriber will provide an initial
data set from source database. Company will provide a mapping
workbook to Subscriber where Subscriber is responsible for mapping data
fields to the preconfigured database fields. Subscriber will have two (2)
weeks ten (10) business days to validate the initial data load and provide
feedback. There is a maximum of two (2) rounds of feedback within that
10-day period.
Thorough validation is necessary for any successful SmartGov data
migration as there is no additional data cleansing possible after the final
migration. No more system changes will be permitted after successful
Validation. Subscriber to provide a final data set three (3) business days
before Go -Live. Final data load will occur the day before Go -Live.
Order #: Q-384417
Prepared: 18 Mar 2025
34
Page 14 of 21
GRAN ICUS
Order Form
Tukwila, WA
Sotution„,,Despri, tie .
Standardized Data Migration -
Licensing
Company will import Licensing data from a single client database source,
approved by Company as standard source data. Multiple databases or
unapproved source data will be subject to a change order for a custom
data migration.
The fields below are considered in -scope of a standard Licensing data
migration. The final output has many factors, including the fields available
from the source data. Migration includes only current occurrence, no
history. Fields: License Info, Contacts, Parcels, Inspections, Fees as Notes,
Notes
The data migration process assumptions: Subscriber will provide an initial
data set from source database. Company will provide a mapping
workbook to Subscriber where Subscriber is responsible for mapping data
fields to the preconfigured database fields. Subscriber will have two (2)
weeks ten (10) business days to validate the initial data load and provide
feedback. There is a maximum of two (2) rounds of feedback within that
10-day period.
Thorough validation is necessary for any successful SmartGov data
migration as there is no additional data cleansing possible after the final
migration. No more system changes will be permitted after successful
Validation. Subscriber to provide a final data set three (3) business days
before Go -Live. Final data load will occur the day before Go -Live.
Order #: Q-384417
Prepared: 18 Mar 2025
Page 15 of 135
GRANICUS
Order Form
Tukwila, WA
Sotution,Description„.
Contractor Connector
Import of contractors from a delimited file or a SODA query (Washington
Configuration and Arizona clients only).
SODA Imports. Includes completed configuration of field mapping and
credential link. The states of Washington and Arizona have access to a
SODA load which will be configured according to existing keys. This runs on
a scheduled recurrence.
Delimited File Imports. The contractor data load is a one-time delimited file
import. Future additions and changes to contractor information will be
managed through manual updates in SmartGov.
The Subscriber is responsible for any data cleansing and parsing.
Includes:
.csv data load (one-time data load)
Provide Subscriber a .csv file to be completed by Subscriber.
Configure to Subscriber's provided fields.
Troubleshoot errors and provide Subscriber guidance on resolutions that
Subscriber will need to resolve within the file.
Delimited File Import Required fields below:
Contractor Display Name
Contractor Address
Contractor City
Contractor State
Contractor Zip
Contractor License Number
License Type
License Exp. D
Order #: Q-384417
Prepared: 18 Mar 2025
36
Page 16 of 21
GRAN ICUS
Order Form
Tukwila, WA
Sotution tio
Financial Export Connector Configure financial export according to subscribers FMS (financial
Configuration
management system) as provided by Subscriber.
Train Subscriber on how to export and set scheduler.
Company will customize the configuration of the export to match
Subscriber financial system input needs as documented. Available
customizations include:
Additional data fields
Altered order of column information
Alternate delimiter or fixed width formatting
A header line is not part of the export.
Financial Connector does not connect directly with any Financial
Management System.
If Subscriber provides a local (FTP) File Transfer Protocol, the Financial
Connector can automatically upload to the defined FTP destination.
By default, financial extract jobs are pre -configured and the included
configuration of the Receipt Extract job will produce a comma -delimited
file with the following data points:
Receipt Number
Receipt Date
FMS/GL Code
Fund
GL Account
Fee Amount Paid
Fee Code Name
Permit/License/Case Number
Payer Name
The included configuration of the Receipt Extract - FMS/GL Summary job
will produce a comma -delimited file with the following data points:
FMS/GL Code
Fund
GL Account
Fee Amount Paid
The file output of the financial extract may be written to the customer's FTP
site, if desired, to facilitate automated external processing of the file. The
customer may request the use of an alternate delimiter if a comma is not
acceptable.
The financial extract job may be run on demand or scheduled to run on a
consistent basis (e.g., daily, weekly, monthly, etc.). Companion reports
designed for reconciliation and extract verification are also available.
Order #: Q-384417
Prepared: 18 Mar 2025
Page 17 of 137
GRAN|CDS
Ordo,Form
Tukwila, WA
Des
Existing Merchant Connector
Configuration
Configuremerchant connection.
Test and troubleshoot connection during test process.
Subscriber toprovide the required linking information for Company |o
complete the setup. These will often include connection URLs'Login |Ds'
and Transaction Keys. Requirements vary slightly depending onthe
selected Merchant.
SmartGovwill not test inProduction environments.
SmOdGovAP|
SmmrtGovAPI includes standard REST API Endpoints with documentation.
The following information can berequested from 8madGov:Case
assignments: All inspections and code enforcement cases assigned 1oO
person Contact, Parcel and Custom Details, Inspections, Associations,
attached photos, documents, and plans onPermits, Licenses, Recurring
Inspections and Code Enforcement Cases with additional information
uvoi|Ob|efor-Permits Contractor license status, conditions Licenses -
Activities, conditions - Code enforcement Cases - Workflow, Items,
Violations, Citations Parcel information including Lot/Long.situsaddress
and parcel number Contact information such asname, phone number,
email, address The following information can b*updated: All inspection
information including assignment, requesting, scheduling, inspection status
/pOss/fOi|>and results and adding photos and notes Code enforcement
case information including workflow, details, notes and attachments
contact names, addresses, emOi|s'phone numbers, points ofcontact The
following information can becreated: Contacts Inspections, including
creation Dfinspection actions, corrections and code references, notes
Code enforcement case requests Code enforcement cases including
violations, citations, details, workflow steps and inspections on the case
Financial specific endpoints:Obtain fees due on licenses, permits, code
enforcement cases and recurring inspections Apply payments tnpending
receipts
SmodGovConnector ECM-
LO5erfiChe
LosediCheconnector allows file attachments inSmodGov|obestored
within LQSerfiChe'OnECM (Enterprise Content Management) system. The
Los8rficheintegration was built incompliance with Ck»|8(Content
Management |n|enop8robiNyServices) standards. Subscriber must have
the LaxerficheCM|SGateway, version lOorhigher, installed and
configured for the desired repository and beable toprovide obrowser
binding URLthat 30urtGovcan reach from the cloud. The service and
subscription for this connector does NOT include a subscription to
Losediohe or training on how to indo|| or use the Loserfich* software.
Order #:Q-3844l7
Prepared: l8Mar 2025
38
Page 18of2l
GRAN ICUS
Order Form
Tukwila, WA
Sotution
Description
Laserfiche Connector
Configuration
This connector allows file attachments in SmartGov to be stored within an
ECM (Enterprise Content Management) system. The Laserfiche integration
was built in compliance with CMIS (Content Management Interoperability
Services) standards.
Subscriber must have the Laserfiche CMIS Gateway, version 10 or higher,
installed and configured for the desired repository and be able to provide
a browser binding URL that SmartGov can reach from the cloud.
The service and subscription for this connector does NOT include a
subscription to Laserfiche or training on how to install or use the Laserfiche
software.
There are three Secured Functions that control access to the Laserfiche
configuration options:
Admin.JurisdictionBlobProvider - Allow user to all ECM settings and
mappings
AdminiurisdictionBlobProvider.ConfigureCMISConnection - Allow user to
configure CMIS connection settings
Admin.JurisdictionBlobProvider.ConfigureECMTemplates - Allow user to
configure metadata template mappings
Configure Subscriber's credentials and mapping in SmartGov.
Meet with Subscriber and guide them through SmartGov to test the
connection.
SmartGov Connector Active
Directory
Connector for integration with Active Directory. SmartGov Requirements
for integration with Active Directory: ADFS (Active Directory Federation
Services) version 5.0 or higher (Windows server 2019 or higher). Mobile ADFS
in Azure to support PKCE (Proof Key for Code Exchange) for OAuth 2.0
Azure AD expires every 24-months and the Subscriber has to maintain their
secret keys in Production. For SSO (Single Sign On) SAML v2
Active Directory Connector
Configuration
Configure Subscribers credentials in SmartGov.
Meet with Subscribers and guide through the connection in SmartGov for
testing and maintaining.
Subscriber is responsible for the installation and configuration of active
directory technology.
Order #: Q-384417
Prepared: 18 Mar 2025
Page 19 of 139
G-R Am|CuS
Ordo,Form
Tukwila, WA
MS C N*UTU#NS ° This quote, and all products and services delivered hereunder are governed by the terms located at
httrDs://granicus.com/legal/licensing, including any prod u ct-specific terms included therein (the "License
Agreement"). If your organization and Granicus has entered into a separate agreement or is utilizing a contract
vehicle for this transaction, the terms of the License Agreement are incorporated into such separate agreement
or contract vehicle by reference, with any directly conflicting terms and conditions being resolved in favor of the
separate agreement orcontract vehicle to the extent applicable.
° If submitting a Purchase Order, please include the following language: The pricing, terms and conditions of quote
Q-384417doted 18 Mar 2025 are incorporated into this Purchase Order by reference and shall take precedence
over any terms and conditions included inthis Purchase Order.
° This quote is exclusive ofapplicable state, |ocm|' and federal taxes, which' ifany, will be included in the invoice. It
is the responsibility of Tukwila, WA to provide applicable exemption certificate(s).
° Any lapse in payment may result in suspension of service and will require the payment ofo setup fee to reinstate
the subscription.
Order #:Q-3844l7
Prepared: l8Mar 2025
40
Page 20of2l
GRAN ICUS
BILLING INFORMATION
Billing Contact: Purchase Order ] - No
Required? - Yes
Order Form
Tukwila, WA
Billing Address: ' PO Number:
. t If PO required
Billing Email: I
Billing Phone:
If submitting a Purchase Order, please include the following language:
The pricing, terms, and conditions of quote Q-384417 dated 18 Mar 2025 are incorporated into this Purchase
Order by reference and shall take precedence over any terms and conditions included in this Purchase Order.
AGREEMENT AND ACCEPTANCE
By signing this document, the undersigned certifies they have authority to enter the agreement. The
undersigned also understands the services and terms.
Signature:
Name:
Title:
Date:
Order #: Q-384417
Prepared: 18 Mar 2025
Page 21 of Al
IT
Compensation Schedule
42
GRAN ICUS
THIS IS NOT AN INVOICE
Granicus Proposal for Tukwila, WA
Prepared By: Taylor Brodersen
Phone: (814) 720-4368
Email: taylor.brodersen@granicus.com
Order #: Q-384417
Prepared On: 18 Mar 2025
Expires On: 31 Dec 2024
Currency:
Payment Terms:
Order Form
Prepared for
Tukwila, WA
USD
Net 30 (Payments for subscriptions are due at the beginning of the period of
performance.)
Period of Performance: The term of the Agreement will commence on the date this document is
signed and will continue for 12 months.
Order #: Q-384417
Prepared: 18 Mar 2025
Page 1 of 243
GRAN|CDS
Order Form
Tukwila, WA
PRICING SUMMARY
The pricing and terms within this Proposal are specific |othe products and volumes contained within this
S0ortGovTnairing
Upon Delivery
lEOoh
$2,896.00
SnOmrtGovCustom Implementation
Upon Delivery
lEaoh
$0.00
8|ueB*amConnector Configuration
Upon Delivery
|Eooh
$1'500.80
Project Management - SmartGov
Upon Delivery
lEoch
$8'44785
Map Connector Configuration
Upon Delivery
lEOch
$1.250.00
Parcel Connector Configuration
Upon Delivery
lEoCh
$3.125.00
Portal Configuration
Upon Delivery
lEoCh
$1,250.00
Fees Configuration (Poges)
Upon Delivery
8Eaoh
$4'248.00
Genena|CnnfiA
Upon Delivery
lEaoh
$2'500.00
Workflow template customization
Upon Delivery
l Each
$10.050D0
Stondord|zedOatoMigrohOn-Permits
Upon Delivery
lEOCh
$5.000.00
Base Standardized Migration Cost
Upon Delivery
l Each
$1.875.00
Data Migration - Documents &
Attachments`
Upon Delivery
lEoch
�3O0DOD
' �
Dtandandbed[)otoMigrotion-Code
Enforcement'
Upon Delivery
l Each
�
$3l25OO
Standardized Data Migrahon-LicSnsing
Upon Delivery
lEmch
$6.250D0
Contractor Connector Configuration
Upon Delivery
lEach
$1'250.00
Financial Export Connector Configuration
Upon Delivery
lEach
$2.500.00
Existing Merchant Connector Configuration
Upon Delivery
lEooh
$1'500.00
LoserfioheConnector Configuration
Upon Delivery
lEaoh
$3'125.00
Upon Delivery
|Eoch
$1'875.00
Active Directory Connector Configuration
Order #:Q-3844l7
Prepared: l8Mar 2025
Page 2 of 21
(.7;-•''' GRAN ICUS
Order Form
Tukwila, WA
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Solution
SmartGov - Enterprise
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4,
Annual 1 Each
Annual Fee
$27,424.00
SmartGov Code Enforcement
Annual 1 Each
$0.00
SmartGov Licensing
Annual
1 Each
$0.00
SmartGov Permitting
Annual
1 Each $0.00
SmartGov Connector BlueBeam
Annual
1 Each $1,372.00
SmartGov Connector Contractor
Annual
1 Each $1,372.00
SmartGov Connector Financial
Annual
1 Each $1,372.00
SmartGov Connector Merchant
Annual
1 Each $1,372.00
SmartGov API
Annual
1 Each
$2,915.00
SmartGov Connector ECM-Laserfiche
Annual
1 Each
$1,372.00
SmartGov Connector Active Directory
Annual
1 Each
$1,372.00
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Order #: Q-384417
Prepared: 18 Mar 2025
Page 3 of 245
EXHIBIT C
SERVICE LEVEL AGREEMENT (SLA)
Service Level Agreement: The Services, in a production environment, are provided with the
service levels described in this Exhibit C . SLAs are only applicable to production environments.
SLAs will be available upon Customer's signature of Contractor's Go Live Acceptance Form for
Customer's production environment.
"Contractor" means [Granicus
99.9% Application Availability
Actual Application Availability % = (Monthly Minutes (MM) minus Total Minutes Not Available
(TM)) multiplied by 100) and divided by Monthly Minutes (MM), but not including Excluded Events
Service Credit Calculation: An Outage will be deemed to commence when the Applications are
unavailable to Customer in Customer's production environment hosted by Contractor and end
when Contractor has restored availability of the Applications. Failure to meet the 99.9%
Application Availability SLA, other than for reasons due to an Excluded Event, will entitle
Customer to a credit as follows:
Actual Application Availability %
(as measured in a calendar
month)
Service Credit to be applied
to Customer's monthly invoice
for the affected month
<99.9% to 99.75%
10%
<99.75% to 98.25%
15%
<98.25% to 97.75%
25%
<97.75% to 96.75%
35%
<96.75%
50%
"Outage" means the accumulated time, measured in minutes, during which Customer is unable
to access the Applications for reasons other than an Excluded Event.
"Excluded Event" means any event that results in an Outage and is caused by: (a) the acts or
omissions of Customer, its employees, customers, contractors or agents; (b) the failure or
malfunction of equipment, applications or systems not owned or controlled by Contractor,
including without limitation Customer Content, failures or malfunctions resulting from circuits
provided by Customer, any inconsistencies or changes in Customer's source environment,
including either intentional or accidental connections or disconnections to the environment; (c)
Force Majeure events; (d) expected downtime during the Maintenance Periods described below;
(e) any suspension of the Services in accordance with the terms of the Agreement to which this
Exhibit C is attached; (f) the unavailability of required Customer personnel, including as a result of
failure to provide Contractor with accurate, current contact information; or (g) using an Application
in a manner inconsistent with the Documentation for such Application.
"Maintenance Period" means scheduled maintenance periods established by Contractor to
maintain and update the Services, when downtime may be necessary, as further described below.
The Maintenance Period is used for purposes of the Service Credit Calculation; Contractor
continuously maintains the production environment on a 24x7 basis to reduce disruptions.
TIS EXH—Service Level Agreement 02-2021 Page 1 of 3
46
Customer Specific Maintenance Period
1. Customer will choose one of the following time zones for their Maintenance Period:
a. United States Eastern Standard Time,
b. GMT/UTC,
c. Central European Time (CET) or
d. Australian Eastern Standard Time (AEST).
2. Customer will choose one of the following days of the week for their Maintenance Period:
Saturday, Sunday, Wednesday or Thursday.
3. Contractor will use up to 6 hours in any two consecutive rolling months (specifically:
January and February; March and April; May and June; July and August; September and
October; November and December) to perform Customer Specific Maintenance,
excluding any customer requested Application updates. Downtime in excess of these six
hours will be deemed to be an Outage.
4. Customer Specific Maintenance will occur between 12 am - 6 am during Customer's
selected time zone.
5. Excluding any customer requested Application updates, Contractor will provide notice for
planned downtime via an email notice to the primary Customer contact at least seven days
in advance of any known downtime so planning can be facilitated by Customer.
6. Customer Specific Maintenance Windows also include additional maintenance windows
mutually agreed upon by Customer and Contractor.
7. In absence of instruction from Customer, Contractor will by default perform Maintenance
in the time zone where the Data Center is located.
Non -Customer Specific Maintenance Period
Contractor anticipates non -Customer Specific Maintenance to be performed with no or little (less
than three hours per month) Customer downtime. If for any reason non -Customer Specific
Maintenance requires downtime, Contractor will provide as much notice as reasonably possible
of the expected window in which this will occur. Downtime in excess of three hours per month for
Non -Customer Specific Maintenance will be deemed to be an Outage.
"Monthly Minutes (MM)" means the total time, measured in minutes, of a calendar month
commencing at 12:00 am of the first day of such calendar month and ending at 11:59 pm of the
last day of such calendar month.
"Total Minutes Not Available (TM)" means the total number of minutes during the calendar
month that the Services are unavailable as the result of an Outage.
Reporting and Claims Process: Service Credits will not be provided if: (a) Customer is in breach
or default under the Agreement at the time the Outage occurred; or (b) the Outage results from
an Excluded Event.
TIS EXH—Service Level Agreement 02-2021 Page 2 of 3
47
Contractor will provide Customer with an Application Availability report on a monthly basis for
each prior calendar month. Within 60 days of receipt of such report, Customer must request the
applicable Service Credit by written notice to Contractor. Customer waives any right to Service
Credits not requested within this time period. All performance calculations and applicable Service
Credits are based on Contractor records and data unless Customer can provide Contractor with
clear and convincing evidence to the contrary.
The Service Level Agreements in this Exhibit, and the related Service Credits, apply on a per
production environment basis. For the avoidance of doubt, Outages in one production
environment may not be added to Outages in any other production environment for purposes of
calculating Service Credits.
Customer acknowledges that Contractor manages its network traffic in part on the basis of
Customer's utilization of the Services and that changes in such utilization may impact Contractor's
ability to manage network traffic. Therefore, notwithstanding anything else to the contrary, if
Customer significantly changes its utilization of the Services from what is contracted with
Contractor and such change creates a material and adverse impact on the traffic balance of the
Contractor network, as reasonably determined by Contractor, the parties agree to cooperate, in
good faith, to resolve the issue.
TIS EXH—Service Level Agreement 02-2021 Page 3 of 3
48
Exhibit D
City of Tukwila Security Requirements
Introduction
During the term of this agreement, Contractor shall operate an information security program
designed to meet the confidentiality, integrity, and availability requirements of the service or
product being supplied. The program shall include at a minimum the following security measures.
Governance
1. Information Security Policy: Contractor shall develop, implement, and maintain an
information security policy and shall communicate the policy to all staff and contractors.
2. Information Security Accountability: Contractor shall appoint an employee of at least
manager level who shall be accountable for the overall information security program.
3. Risk Management: Contractor shall employ a formal risk assessment process to identify
security risks which may impact the products or services being supplied, and mitigate risks
in a timely manner commensurate with the risk.
Asset Management
4. Asset Inventory: Contractor shall maintain an inventory of all hardware and software
assets, including asset ownership.
5. Data Classification: Contractor shall develop, implement, and maintain a data
classification scheme and process designed to ensure that data is protected according to
its confidentiality requirements.
Supply Chain Risk Management
6. Supplier Security Assessments: Contractor shall engage in appropriate due diligence
assessments of potential suppliers which may impact the security of the services or
products being supplied.
7. Security in Supplier Agreements: Contractor shall ensure that agreements with
suppliers who may impact the security of the services or products being supplied contain
appropriate security requirements.
Human Resource Security
8. Information Security Awareness: Contractor shall develop and implement an
information security awareness program designed to ensure that all employees and
contractors receive security education as relevant to their job function.
9. Background Checks: Contractor shall conduct appropriate background checks on all
new employees based on the sensitivity of the role that they are being hired for.
Identity Management, Authentication and Access Control
10. Authentication: Contractor shall ensure that all access, by employees or contractors, to
its information systems used to provide services or products being supplied shall require
appropriate authentication controls that at a minimum will include:
TIS EXH—Security Requirements 02-2021 Page 1 of 3
49
a. Strong passwords or multi -factor authentication for users
b. Multi -factor authentication for all remote access
11. Authorization: Contractor shall ensure that all access to its information systems used to
provide services or products being supplied shall be approved by management.
12. Privileged Account Management: Contractor shall appropriately manage and control
privileged accounts on its information systems that at a minimum will include:
a. Use of dedicated accounts for privileged activity
b. Maintaining an inventory of privileged accounts
13. Access Termination: Contractor shall develop and maintain a process designed to
ensure that user access is revoked upon termination of employment, or contract for
contractors.
Data Security
14. Encryption: Contractor shall ensure that all laptops, mobile devices, and removable
media, including those that are owned by Contractor employees or contractors, which may
be used to store, process, or transport organizational data are encrypted at all times.
[Soaping guideline: This requirement may be removed if Contractor is not expected to
possess any confidential or sensitive organizational data
15. Secure Disposal: Contractor shall ensure that all media which may be used to store,
process, or transport organizational data is disposed of in a secure manner. [Soaping
gui°ideVine: This requirement may be removed if Contractor is not expected to possess any
confidential or sensitive organizational data}
System Acquisition, Development and Maintenance
16. Security Requirements: Contractor shall ensure that information security requirements
are defined for all new information systems, whether acquired or developed.
17. Separation of Environments: Contractor shall ensure that development and testing
environments are separate from their production environment.
18. Data Anonymization: Contractor shall ensure that the City of Tukwila's data will not be
used in the development or testing of new systems unless the data is appropriately
anonymized.
19. Secure Coding: Contractor shall ensure that ail applications are developed with secure
coding practices, including OWASP Top 10 Most Critical Web Application Security Risks.
Physical and Environmental Security
20. Risk Assessment: Contractor shall use a formal risk assessment methodology to identify
physical and environmental threats and shall implement controls to minimize the risks.
TIS EXH—Security Requirements 02-2021 Page 2 of 3
50
Information Protection Processes and Procedure
21. Hardening: Contractor shall develop and implement security configuration baselines for
all endpoint and network devices types.
22. Network Segregation: Contractor shall segregate its network into zones based on trust
levels, and control the flow of traffic between zones.
23. Anti-Malware: Contractor shall ensure that all information systems that are susceptible
to malware are protected by up-to-date anti-malware software.
24. Wireless Access Control: Contractor shall ensure that wireless network access is
protected, including at a minimum:
a. All wireless network access should be encrypted
b. All wireless network access to the production network should be authenticated using
multi -factor authentication such as machine certificates
c. Wireless network access for personal devices and guest access should be segregated
from the production network
25. Patching: Contractor shall evaluate, test, and apply information system patches in a
timely fashion according to their risk.
26. Backup and Recovery: Contractor shall implement a backup and recovery process
designed to ensure that data can be recovered in the event of unexpected loss.
Protective Technology
27. Logging: Contractor shall ensure that security event logging requirements have been
defined, and that all information systems are configured to meet logging requirements.
28. Intrusion Detection: Contractor shall deploy intrusion detection or prevention systems
at the network perimeter.
29. URL Filtering: Contractor shall deploy tools to limit web browsing activity based on URL
categories.
30. Denial of Service Protection: Contractor shall deploy controls to detect and mitigate
denial of service attacks.
Security Continuous Monitoring
31. Security Monitoring: Contractor shall deploy automated tools to collect, correlate, and
analyze security event logs from multiple sources, and monitor them for suspected
security incidents.
32. Vulnerability Assessments: Contractor shall conduct vulnerability assessments against
all Internet -facing information systems on a regular basis, no less often than quarterly.
33. Penetration Testing: Contractor shall perform penetration tests on all web applications
and services, in accordance with standard penetration testing methodologies, on a regular
basis, no less often than annually.
Information Security Incident Management
34. Incident Response: Contractor shall develop, implement, and maintain an information
security incident response process, and will test the process on a regular basis, no less
often than annually.
TIS EXH—Security Requirements 02-2021 Page 3 of 3
51
Exhibit E
Data Protection and Information Security
This Data Protection and Information Security Exhibit ("Exhibit") is an attachment to the
Agreement and sets forth the data protection and information security requirements of City of
Tukwila. This Exhibit includes by reference the terms and conditions of the Agreement. In the
event of any inconsistencies between this Exhibit and the Agreement, the parties agree that the
terms and conditions of the Exhibit will prevail. Throughout the term of the Agreement and for as
long as Contractor controls, possesses, stores, transmits, or processes Confidential Information
as part of the Services provided to City of Tukwila, Contractor will comply with the requirements
set forth in this Exhibit. Any breach of this Exhibit will be deemed a material breach under the
Agreement.
1. Definitions
"Authorized Personnel" for the purposes of this Exhibit, means Contractor's employees or
subcontractors who: (i) have a need to receive or access Confidential Information or Personal
Information to enable Contractor to perform its obligations under the Agreement; and (ii) are
bound in writing with Contractor by confidentiality obligations sufficient for the protection of
Confidential Information and Personal Information in accordance with the terms and conditions
set forth in the Agreement and this Exhibit.
"Common Software Vulnerabilities" (CSV) are application defects and errors that are commonly
exploited in software. This includes but is not limited to:
(i) The CWE/SANS Top 25 Programming Errors — see http://cwe.mitre.org/top25/ and
http://www.sans.org/top25-software-errors/
(ii) The Open Web Application Security Project's (OWASP) "Top Ten Project" — see
http://www.owasp.orq
"Confidential Information" means certain non-public proprietary information that has economic
value and is protected with reasonable safeguards to maintain its secrecy. Confidential
Information may include, but is not limited to any financial data, business and other plans,
specifications, equipment designs, electronic configurations, design information, product
architecture algorithms, quality assurance plans, inventions (whether or not the subject of pending
patent applications), ideas, discoveries, formulae, models, requirements, standards, trade and
manufacturing secrets, drawings, samples, devices, demonstrations, technical information, all
Personal Information as defined in RCW 42.56.590 that come within the Contractor's possession
in the course of performance under this Agreement, as well as any and all intellectual and
industrial property rights contained therein or in relation thereto; provided that, Personal
Information shall remain Confidential Information even if at the time of disclosure or collection, or
later, it is or becomes known to the public.
"Industry Standards" mean generally recognized industry standards, best practices, and
benchmarks including but not limited to:
(i)
Payment Card Industry Data Security Standards ("PCI DSS") — see
http://www.pcisecuritystandards.orq/
(ii) National Institute for Standards and Technology — see http://csrc.nist.gov/
(iii) ISO / IEC 27000-series — see http://www.iso27001security.com/
TIS EXH—Data Protection and Info Security 02-2021 Page 1 of 10
52
(iv) COBIT 5 — http://www.isaca.org/cobit/
(v) Cyber Security Framework — see http://www.nist.gov/cyberframework/
(vi) Cloud Security Alliance — see https://cloudsecurityalliance.org/
(vii) Other standards applicable to the services provided by Contractor to City of Tukwila
"Information Protection Laws" mean all local, state, federal and international laws, standards,
guidelines, policies, regulations and procedures applicable to Contractor or City of Tukwila
pertaining to data security, confidentiality, privacy, and breach notification.
"Personal Information" also known as Personally Identifiable Information (PII), is defined in RCW
42.56.590 and includes information of City of Tukwila customers, employees and subcontractors
or their devices gathered or used by Contractor that can be used on its own or combined with
other information to identify, contact, or locate a person, or to identify an individual or his or her
device in context. Examples of Personal Information include name, social security number or
national identifier, biometric records, driver's license number, device identifier, IP address, MAC
address, either alone or when combined with other personal or identifying information which is
linked or linkable to a specific individual or device, such as date and place of birth, mother's
maiden name, etc.
"Security Incident" is any actual or suspected occurrence of:
(i)
Unauthorized access, use, alteration, disclosure, loss, theft of, or destruction of
Confidential Information or the systems / storage media containing Confidential
Information
(ii) Illicit or malicious code, phishing, spamming, spoofing
(iii) Unauthorized use of, or unauthorized access to, Contractor's systems
(iv) Inability to access Confidential Information or Contractor systems as a result of a
Denial of Service (DOS) or Distributed Denial of Service (DDOS) attack
(v) Loss of Confidential Information due to a breach of security
"Security Vulnerability" is an application, operating system, or system flaw (including but not
limited to associated process, computer, device, network, or software weakness) that can be
exploited resulting in a Security Incident.
2. Roles of the Parties and Compliance with Information Protection Laws
As between City of Tukwila and Contractor, City of Tukwila shall be the principal and Contractor
shall be its agent with respect to the collection, use, processing and disclosure of all Confidential
Information. The Parties shall comply with their respective obligations as the principal (e.g., data
owner/controller/covered entity) and agent (e.g., data processor/business associate/trading
partner) under all Information Protection Laws. The Parties acknowledge that, with respect to all
Confidential Information processed by Contractor for the purpose of providing the Services under
this Agreement:
a. City of Tukwila shall determine the scope, purpose, and manner in which such
Confidential Information may be accessed or processed by Contractor, and Contractor
shall limit its access to or use of Confidential Information to that which is necessary to
TIS EXH—Data Protection and Info Security 02-2021 Page 2 of 10
53
provide the Services, comply with applicable laws, or as otherwise directed by City of
Tukwila;
b. Each party shall be responsible for compliance with Information Protection Laws in
accordance with their respective roles; and
c. Contractor and City of Tukwila shall implement the technical and organizational
measures specified in this Exhibit and any additional procedures agreed upon pursuant
to a Statement of Work ("SOW") to protect Confidential Information against unauthorized
use, destruction or loss, alteration, disclosure or access.
3. General Security Requirements
Contractor will have an information security program that has been developed, implemented and
maintained in accordance with Industry Standards. At a minimum, Contractor's information
security program will include, but not be limited to, the following elements:
3.1 Information Security Program Management. Contractor will have or assign a qualified
member of its workforce or commission a reputable third -party service provider to be
responsible for the development, implementation and maintenance of Contractor's
enterprise information security program.
3.2 Policies and Standards. To protect City of Tukwila Confidential Information, Contractor
will implement and maintain reasonable security that complies with Information Protection
Laws and meets data security Industry Standards.
a. Security Policies and Standards. Contractor will maintain formal written information
security policies and standards that:
(i) Define the administrative, physical, and technological controls to protect the
confidentiality, integrity, and availability of Confidential Information, City of Tukwila
systems, and Contractor systems (including mobile devices) used in providing
Services to City of Tukwila
(ii) Encompasses secure access, retention, and transport of Confidential Information
(iii) Provide for disciplinary or legal action in the event of violation of policy by
employees or Contractor subcontractors and vendors
(iv) Prevent unauthorized access to City of Tukwila data, City of Tukwila systems, and
Contractor systems, including access by Contractor's terminated employees and
subcontractors
(v) Employ the requirements for assessment, monitoring and auditing procedures to
ensure Contractor is compliant with the policies
(vi) Conduct an annual assessment of the policies, and upon City of Tukwila written
request, provide attestation of compliance.
b. In the SOW or other document, Contractor will identify to City of Tukwila all third -party
vendors (including those providing subcontractors to Contractor) involved in the
provision of the Services to City of Tukwila, and will specify those third -party vendors
that will have access to Confidential Information.
TIS EXH—Data Protection and Info Security 02-2021 Page 3 of 10
54
3.3 Security and Privacy Training. Contractor, at its expense, will train new and existing
employees and subcontractors to comply with the data security and data privacy obligations
under this Agreement and this Exhibit. Ongoing training is to be provided at least annually
and more frequently as appropriate or requested by City of Tukwila. City of Tukwila may
provide specific training material to Contractor to include in its employee/subcontractor
training.
3.4 Access Control. Contractor will ensure that City of Tukwila Confidential Information will be
accessible only by Authorized Personnel after appropriate user authentication and access
controls (including but not limited to two -factor authentication) that satisfy the requirements
of this Exhibit. Each Authorized Personnel shall have unique access credentials and shall
receive training which includes a prohibition on sharing access credentials with any other
person. Contractor should maintain access logs relevant to City of Tukwila Confidential
Information for a minimum of six years or other mutually agreed upon duration.
3.5 Data Backup. The parties shall agree in an SOW or other document upon the categories
of City of Tukwila Confidential Information that are required to be backed up by Contractor.
Unless otherwise agreed to in writing by City of Tukwila, backups of City of Tukwila
Confidential Information shall reside solely in the United States. For the orderly and timely
recovery of Confidential Information in the event of a service interruption:
a. Contractor will store a backup of Confidential Information at a secure offsite facility and
maintain a contemporaneous backup of Confidential Information on -site to meet needed
data recovery time objectives.
b. Contractor will encrypt and isolate all City of Tukwila backup data on portable media
from any backup data of Contractor's other customers.
3.6 Business Continuity Planning (BCP) and Disaster Recovery (DR). Contractor will
maintain an appropriate business continuity and disaster recovery plan to enable Contractor
to adequately respond to, and recover from, business interruptions involving City of Tukwila
Confidential Information or services provided by Contractor to City of Tukwila.
a. At a minimum, Contractor will test the BCP and DR plan annually, in accordance with
Industry Standards, to ensure that the business interruption and disaster objectives set
forth in this Exhibit have been met and will promptly remedy any failures. Upon City of
Tukwila's request, Contractor will provide City of Tukwila with a written summary of the
annual test results.
b. In the event of a business interruption that activates the BCP and DR plan affecting the
Services or Confidential Information of City of Tukwila, Contractor will notify City of
Tukwila's designated Security Contact as soon as possible.
c. Contractor will allow City of Tukwila or its authorized third party, upon a minimum of 30
days' notice to Contractor's designated Security Contact, to perform an assessment of
Contractor's BCP and DR plan once annually, or more frequently if agreed to in an SOW
or other document. Following notice provided by City of Tukwila, the parties will meet
to determine the scope and timing of the assessment.
TIS EXH—Data Protection and Info Security 02-2021 Page 4 of 10
55
3.7 Network Security. Contractor agrees to implement and maintain network security controls
that conform to Industry Standards including but not limited to the following:
a. Firewalls. Contractor will utilize firewalls to manage and restrict inbound, outbound and
internal network traffic to only the necessary hosts and network resources.
b. Network Architecture. Contractor will appropriately segment its network to only allow
authorized hosts and users to traverse areas of the network and access resources that
are required for their job responsibilities.
c. Demilitarized Zone (DMZ). Contractor will ensure that publicly accessible servers are
placed on a separate, isolated network segment typically referred to as the DMZ.
d. Wireless Security. Contractor will ensure that its wireless network(s) only utilize strong
encryption, such as WPA2.
e. Intrusion Detection/Intrusion Prevention (IDS/IPS) System. Contractor will have an IDS
and/or IPS in place to detect inappropriate, incorrect, or anomalous activity and
determine whether Contractor's computer network and/or server(s) have experienced
an unauthorized intrusion.
3.8 Application and Software Security. Contractor, should it provide software applications or
Software as a Service (SaaS) to City of Tukwila, agrees that its product(s) will remain secure
from Software Vulnerabilities and, at a minimum, incorporate the following:
a. Malicious Code Protection. Contractor's software development processes and
environment must protect against malicious code being introduced into its product(s)
future releases and/or updates.
b. Application Level Security. Contractor must use a reputable third party to conduct
static/manual application vulnerability scans on the application(s) software provided to
City of Tukwila for each major code release or at the time of contract renewal. An
internally produced static/manual test from the Contractor will not be accepted. Results
of the application testing will be provided to City of Tukwila in a summary report and
vulnerabilities categorized as Very High, High or that have been identified as part of the
OWASP Top 10 and SANS Top 25 within 10 weeks of identification.
c. Vulnerability Management. Contractor agrees at all times to provide, maintain and
support its software and subsequent updates, upgrades, and bug fixes such that the
software is and remains secure from Common Software Vulnerabilities.
d. Logging. Contractor software that controls access to Confidential Information must log
and track all access to the information.
e. Updates and Patches. Contractor agrees to promptly provide updates and patches to
remediate Security Vulnerabilities that are exploitable. Upon City of Tukwila's request,
Contractor shall provide information on remediation efforts of known Security
Vulnerabilities.
3.9 Data Security. Contractor agrees to preserve the confidentiality, integrity and accessibility
of City of Tukwila Confidential Information with administrative, technical and physical
measures that conform to Industry Standards that Contractor then applies to its own
systems and processing environment. Unless otherwise agreed to in writing by City of
Tukwila, Contractor agrees that any and all City of Tukwila Confidential Information will be
stored, processed, and maintained solely on designated systems located in the continental
United States. Additionally:
TIS EXH—Data Protection and Info Security 02-2021 Page 5 of 10
56
a. Encryption. Contractor agrees that all City of Tukwila Confidential Information and
Personal Information will be encrypted with a Federal Information Processing Standard
(FIPS) compliant encryption product, also referred to as 140-2 compliant. Symmetric
keys will be encrypted with a minimum of 128-bit key and asymmetric encryption
requires a minimum of 1024 bit key length. Encryption will be utilized in the following
instances:
• City of Tukwila Confidential Information and Personal Information will be stored on
any portable computing device or any portable storage medium.
• City of Tukwila Confidential Information and Personal Information will be
transmitted or exchanged over a public network.
b. Data Segregation. Contractor will segregate City of Tukwila Confidential Information
and Personal Information from Contractor's data and from the data of Contractor's other
customers or third parties.
3.10 Data Re -Use. Contractor agrees that any and all data exchanged shall be used expressly
and solely for the purposes enumerated in the Agreement. Data shall not be distributed,
repurposed or shared across other applications, environments, or business units of
Contractor. Contractor further agrees that no Confidential Information of any kind shall be
transmitted, exchanged or otherwise passed to other parties except on a case -by -case basis
as specifically agreed to in writing by City of Tukwila.
3.11 Data Destruction and Data Retention. Upon expiration or termination of this Agreement
or upon City of Tukwila's written request, Contractor and its Authorized Personnel will
promptly return to City of Tukwila all City of Tukwila Confidential Information and/or securely
destroy City of Tukwila Confidential Information. At a minimum, destruction of data activity
is to be performed according to the standards enumerated by the National Institute of
Standards, Guidelines for Media Sanitization — see http://csrc.nist.gov/. If destroyed, an
officer of Contractor must certify to City of Tukwila in writing within 10 business days all
destruction of City of Tukwila Confidential Information. If Contractor is required to retain any
City of Tukwila Confidential Information or metadata to comply with a legal requirement,
Contractor shall provide notice to both the general notice contact in the Agreement as well
as City of Tukwila's designated Security Contact.
3.12 Right to Audit. Upon a minimum of 30 days' written notice to Contractor, Contractor agrees
to allow City of Tukwila or a mutually agreed upon independent third party under a Non -
Disclosure Agreement to perform an audit of Contractor's policies, procedures, software,
system(s), and data processing environment at City of Tukwila's expense to confirm
compliance with this Exhibit. Prior to commencement of the audit, the parties will discuss
the scope of the audit and the schedule. Contractor shall provide reasonable support to the
audit team. Upon request Contractor will provide any relevant third party assessment
reports such as SOC 2, PCI DSS Report on Compliance, or ISO 27001 certification. Unless
critical issues are identified during the audit, such audits will be restricted to once in any 12
month period. If issues are identified, Contractor shall provide a remediation plan to City of
Tukwila to remedy such issues at Contractor's expense.
TIS EXH—Data Protection and Info Security 02-2021 Page 6 of 10
57
3.13 Security Testing. Contractor, at its expense, will allow City of Tukwila to conduct static,
dynamic, automated, and/or manual security testing on its software products and/or
services, hardware, devices, and systems to identify Security Vulnerabilities on an ongoing
basis. Should any vulnerabilities be discovered, Contractor agrees to notify City of Tukwila
and create a mutually agreed upon remediation plan to resolve all vulnerabilities identified.
City of Tukwila has the right to request or conduct additional reasonable security testing
throughout the Term of the Agreement.
4. Security Incident / Data Breach
4.1 Security Contact. The individuals identified below shall serve as each party's designated
Security Contact for security issues under this Agreement.
City of Tukwila Security Contact:
Name
Address
Phone
Email
Contractor Security Contact:
Name
Address
Phone
Email
TIS EXH—Data Protection and Info Security 02-2021 Page 7 of 10
58
4.2 Requirements. Contractor will take commercially reasonable actions to ensure that City of
Tukwila is protected against any and all reasonably anticipated Security Incidents, including
but not limited to:
(i)
Contractor's systems are continually monitored to detect evidence of a Security
Incident
(ii) Contractor has a Security Incident response process to manage and to take corrective
action for any suspected or realized Security Incident
(iii) Upon request Contractor will provide City of Tukwila with a copy of its Security Incident
policies and procedures. If a Security Incident affecting City of Tukwila occurs,
Contractor, at its expense and in accordance with applicable Information Protection
Laws, will immediately take action to prevent the continuation of the Security Incident.
4.3 Notification. Within eight hours of Contractor's initial awareness of a Security Incident or
other mutually agreed upon time period, Contractor will notify City of Tukwila of the incident
by calling by phone the City of Tukwila Security Contact(s) listed above.
4.4 Investigation and Remediation. Upon Contractor's notification to City of Tukwila of a
Security Incident, the parties will coordinate to investigate the Security Incident. Contractor
shall be responsible for leading the investigation of the Security Incident, but shall cooperate
with City of Tukwila to the extent City of Tukwila requires involvement in the investigation.
Contractor shall involve law enforcement in the investigation if requested by City of Tukwila.
Depending upon the type and scope of the Security Incident, City of Tukwila personnel may
participate in: (i) interviews with Contractor's employees and subcontractors involved in the
incident; and (ii) review of all relevant records, logs, files, reporting data, systems, Contractor
devices, and other materials as otherwise required by City of Tukwila.
Contractor will cooperate, at its expense, with City of Tukwila in any litigation or investigation
deemed reasonably necessary by City of Tukwila to protect its rights relating to the use,
disclosure, protection and maintenance of Confidential Information. Contractor will
reimburse City of Tukwila for actual costs incurred by City of Tukwila in responding to, and
mitigating damages caused by any Security Incident, including all costs of notice and
remediation which City of Tukwila, in its sole discretion, deems necessary to protect such
affected individuals in light of the risks posed by the Security Incident. Contractor will, at
Contractor's own expense, provide City of Tukwila with all information necessary for City of
Tukwila to comply with data breach recordkeeping, reporting and notification requirements
pursuant to Information Protection Laws. Contractor will use reasonable efforts to prevent
a recurrence of any such Security Incident. Additionally, Contractor will provide (or
reimburse City of Tukwila) for at least one year of complimentary access for one credit
monitoring service, credit protection service, credit fraud alert and/or similar services, which
City of Tukwila deems necessary to protect affected individuals in light of risks posed by a
Security Incident.
4.5 Reporting. Contractor will provide City of Tukwila with a final written incident report within
five business days after resolution of a Security Incident or upon determination that the
Security Incident cannot be sufficiently resolved.
TIS EXH—Data Protection and Info Security 02-2021 Page 8 of 10
59
5. Confidential Information or Personal Information
5.1 Authorized Personnel. Contractor will require all Authorized Personnel to meet
Contractor's obligations under the Agreement with respect to Confidential Information or
Personal Information. Contractor will screen and evaluate all Authorized Personnel and will
provide appropriate privacy and security training, as set forth above, in order to meet
Contractor's obligations under the Agreement. Upon City of Tukwila's written request,
Contractor will provide City of Tukwila with a list of Authorized Personnel. Contractor will
remain fully responsible for any act, error, or omission of its Authorized Personnel.
5.2 Handling of Confidential Information or Personal Information. Contractor will:
a. Keep and maintain all Confidential Information and Personal Information in strict
confidence in accordance with the terms of the Agreement
b. Use and disclose Confidential Information and/or Personal Information solely and
exclusively for the purpose for which the Confidential Information or Personal
Information is provided pursuant to the terms and conditions of the Agreement.
Contractor will not disclose Confidential Information or Personal Information to any
person other than to Authorized Personnel without City of Tukwila's prior written
consent, unless and to the extent required by applicable law, in which case, Contractor
will use best efforts to notify City of Tukwila before any such disclosure or as soon
thereafter as reasonably possible. In addition, Contractor will not produce any
Confidential Information or Personal Information in response to a non -legally binding
request for disclosure of such Personal Information.
5.3 Data and Privacy Protection Laws. Contractor represents and warrants that its collection,
access, use, storage, disposal, and disclosure of Personal Information complies with all
applicable federal, state, local and foreign data and privacy protection laws, as well as all
other applicable regulations and directives.
6. Third Party Security
6.1 Contractor will conduct thorough background checks and due diligence on any third and
fourth parties which materially impact Contractor's ability to provide the products and/or
Services to City of Tukwila as described in the Agreement.
6.2 Contractor will not outsource any work related to its products or the Services provided to
City of Tukwila in countries outside the United States of America, which have not been
disclosed in the Agreement or without prior written approval from City of Tukwila Legal and
Information Security. If Contractor desires to outsource certain work during the Term of the
Agreement, Contractor shall first notify City of Tukwila so that the parties can ensure
adequate security protections are in place with respect to the Services provided to City of
Tukwila.
TIS EXH—Data Protection and Info Security 02-2021 Page 9 of 10
60
7. Payment Cardholder Data
7.1 If Contractor accesses, collects, processes, uses, stores, transmits, discloses, or disposes
of City of Tukwila and/or City of Tukwila customer credit, debit, or other payment cardholder
information, Contractor agrees to the following additional requirements:
a. Contractor, at its sole expense, will comply with the Payment Card Industry Data
Security Standard ("PCI DSS"), as may be amended or changed from time to time,
including without limitation, any and all payment card industry validation actions (e.g.,
third party assessments, self -assessments, security vulnerability scans, or any other
actions identified by payment card companies for the purpose of validating Contractor's
compliance with the PCI DSS).
b. Contractor will maintain a continuous PCI DSS compliance program. Annually,
Contractor agrees to provide evidence of PCI DSS compliance in the form of a Qualified
Security Assessor ("QSA") Assessment Certificate, a PCI Report on Compliance
("ROC"), or evidence that Contractor is included on the Visa or MasterCard list of PCI
DSS Validated Service Providers.
c. Contractor will ensure that subcontractors approved by City of Tukwila, in accordance
with Section 6.2, comply with and maintain a continuous PCI DSS compliance program
if the subcontractor provides any service on behalf of Contractor that falls within PCI
DSS scope. The Subcontractor must provide evidence of PCI DSS compliance in the
form of a Qualified Security Assessor ("QSA") Assessment Certificate, a PCI Report on
Compliance ("ROC"), or evidence that Subcontractor is included on the Visa or
MasterCard list of PCI DSS Validated Service Providers.
d. Contractor will immediately notify City of Tukwila if Contractor is found to be non-
compliant with a PCI DSS requirement or if there is any breach of cardholder data
impacting City of Tukwila or its customers.
8. Changes
In the event of any change in City of Tukwila's data protection or privacy obligations due to
legislative or regulatory actions, industry standards, technology advances, or contractual
obligations, Contractor will work in good faith with City of Tukwila to promptly amend this
Exhibit accordingly.
TIS EXH—Data Protection and Info Security 02-2021 Page 10 of 10
61
OpenGov Contract
Contract to be distributed separately at
the April 28, 2025 Meeting
Attachment
62
City of Tukwila, WA
OpenGov Budgeting & Planning
Executive Summary
Tukwila Team,
On behalf of the entire OpenGov team, thank you for the opportunity to collaborate with Tukwila as you
chart a course toward a more modern, transparent, and fiscally resilient future. It has been a privilege to
work alongside your leadership team —including Aaron, Tony, Joel, Adam, and Tami—who have
demonstrated clear vision, pragmatism, and a deep commitment to public service.
After several months of collaboration, demos, workshops, and discussions, it's clear that Tukwila is not
simply purchasing new software. You are undertaking a long -overdue modernization of your most
foundational citywide functions: budgeting and revenue management. And in doing so, you are positioning
Tukwila to meet the demands of a growing community, rising public expectations, and evolving internal
capacity challenges.
A Pivotal Moment
Tukwila's legacy systems—CentralSquare Finance Enterprise, Eden Payroll, and spreadsheet -based
processes —are no longer sustainable. They may have been sufficient in a simpler era, but today they are
creating real operational drag, reducing visibility, and draining valuable staff capacity. Manual
reconciliation of tax payments, disconnected Excel files, labor-intensive budget roll -ups, and reactive
compliance tracking are not just inefficient —they are barriers to strategic planning, revenue optimization,
and transparent governance.
The most recent budget cycle made this clear. Finance staff were consumed by repetitive, manual tasks
that delayed reporting, caused rework, and ultimately prevented the team from engaging more
meaningfully in strategic decision -making. The City's ability to respond to Council and public inquiries
was limited by the structure of its data, not its people. Staff capacity, already stretched thin, could not be
augmented due to a lack of systems that enable automation and self-service. The burden was clear —and
it took a toll.
Moreover, as Tukwila faces inevitable staffing transitions in the years ahead, succession planning has
become a top concern. Much of the City's budget and revenue knowledge lives in the heads of a small
group of staff or inside fragile Excel files. The risk of institutional knowledge loss is high. OpenGov's
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centralized, auditable, and easy -to -train platform helps mitigate this risk by capturing knowledge in
systems —not spreadsheets —and giving new staff a platform that is intuitive, reliable, and fully supported.
Addressing the City's Strategic Priorities
OpenGov was built for this exact moment —and this exact mission. Our integrated cloud platform is
purpose-built for local government, and is designed to solve the challenges cities like Tukwila face in
budgeting, workforce planning, performance tracking, tax collection, and community engagement.
Build Long -Term Financial Sustainability
• Replace disconnected Excel files with a modern, secure platform that scales with the city's needs.
• Automate budget workflows, approvals, and revisions —freeing staff time for strategic initiatives.
• Integrate daily with CentralSquare Finance Enterprise and support dual -code alignment (FE +
BARS).
• Forecast revenues and expenditures with accuracy and speed, enabling long-range planning.
• Fully cost workforce planning scenarios (COLAs, step increases, vacancies, union proposals).
• Future -proof labor planning even as the City prepares to replace its Payroll and ERP Systems in the
future.
Unlock $1M+ in Immediate Revenue and ROI
• Transition B&O tax collection from paper to online, with full automation and compliance tracking.
• Quantify, track, and collect more than $1M in missed revenue annually —without adding staff.
• Automate delinquency notices, reconciliation, and audit trails.
• Reduce time spent on reconciliation, error correction, and manual processing.
• Provide businesses with a seamless, transparent portal —improving compliance and satisfaction.
Strengthen Transparency and Community Engagement
• Launch an interactive, web -based budget book with real-time data, embedded narratives, and
visual reporting.
• Align budget allocations with community priorities through Priority -Based Budgeting and
performance metrics.
• Equip Council with dashboards and reports that drive informed policymaking.
• Provide the public with easy access to meaningful, digestible data on how funds are used and what
outcomes are delivered.
• Rebuild trust and engagement around budget decisions and city performance.
Create Capacity and Prepare for the Future
• Eliminate the need for manual data collection and Excel -based roll -ups.
• Free up 100-150 hours per budget cycle, redeploying staff toward strategic and value-added tasks.
• Ensure continuity of knowledge with centralized systems, documentation, and support.
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• Reduce burnout and enhance retention by removing administrative burdens from critical staff.
w Provide a clear, scalable path for orooa-Lraining,onboarding, and auooaaaiVn planning.
Op9nGov was selected bvmany of the leading jurisdictions throughout the state and country, including
Duvall, WA; Mount Vernon, WA; Amacmrtem,\&A; Puyallup, WA; Federal Way, WA; Stevens County,
WA; Chelan County, WA; and Lewis County, WA.
PROVIDED SOLUTIONS
Temr-Rmund'Full-Featured Public Sector Budgeting
Maximize end -to -end effectiveness for your entire year-round budget and planning cycle, from near -term
forecast adjustments to long-range capital initiatives to continuous budget management and
strategic initiative engagement.
• Collaborative, Automated Operating Budgets: Liberate your budgeting from disparate spreadsheets
with a unified process that seamlessly ties spending to desired outcomes
w Workforce Planning: Simplify planning for your most complex and important asset -- your people —
with scenario analysis, advanced calculations, and integrated budget requests
• Capital Planning: Forecast long-term capital expenditures, manage proposals and evaluations, track
performance, and easily keep stakeholders from various audiences informed of progress
• Online Budget Book: Publish efully interactive, (3FOA award -winning online budget book that makes
future publications vastly more repeatable
• Workflow Management: Modernize your internal workflows to reduce your administrative burden
w Reporting & Transparency: Empower decision makers and the public with the right data in the right
format to make data driven decisions and increase public trust.
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Easy -to -navigate and easy -to -create reports give you insights and drill -downs on your
long-term plans
Simplify online budget publications.
66
HOME DASHBOARD MVP PURPOSE PRIORITIES FEEDBACK SUBSCRIBE
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w Duvall, WA increased their efficiency and streamlined their financial processes - Video
w Santa Cruz County, CAsaved over 5O0hours during the budgeting process and won oGFOA
Distinguished Budget Award -Video
w Vestavia Hills, AL produced their Budget Book 3x faster and had more accurate workforce planning
-Case Study
w Alameda, CA cut budget development by 50% and received a GFOA Distinguished Budget Award -
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w Dallas County has modernized its internal budget processes to deliver outcomes for the county -
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w City ofTorrington, CT
w City ofPrescott, AZ
w Township ofCheltenham, Montgomery County, R4
� City ofRancho Cordova, CA
� County OfTuolumne, CA
w City ofFoster City, CA
w City nfBeaumont, TX
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Key Consi4erations for Selecting TukVVUm's Long -Term Itud eting,�,,Fina0cial
Solution
M
anagemnent
As the City of Tukwila approaches a critical modernization of its budgeting and financial infrastructure, the
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importance of selecting a solution that delivers long-term value, operational sustainability, and
measurable outcomes cannot be overstated. This decision is not simply about replacing legacy tools —it's
about setting the City up for future success, resilience, and transparency. The following considerations are
essential as the Council evaluates this strategic investment:
Avoi o _Cost, Low -Value Software Soluti ns
Budgeting and financial management require more than surface -level functionality. Solutions marketed as
"lightweight" or "cost-effective" often leave cities dependent on external spreadsheets, offer shallow
reporting features, and struggle to scale with complexity.
By contrast, OpenGov's Budgeting & Planning Suite was built for the public sector and delivers:
• A centralized environment that replaces brittle Excel files and manual processes
• Automated digital publishing of budget books and capital plans
• No reliance on third -party plug -ins or hidden support fees
The result: organizations that prioritize short-term savings often find themselves re-entering the market
within a few years. Tukwila deserves a partner that delivers enduring value.
Real-Ti e ata Sync with CentralSquare & Eden
Budgeting and reporting must be grounded in data integrity. OpenGov offers automated nightly
synchronization with CentralSquare Finance Enterprise and Tyler Eden payroll, ensuring:
- Live updates to budget-to-actuals and transaction records
Real-time data modeling during internal meetings and budget presentations
Confidence in reporting accuracy for both internal stakeholders and Council.
Other vendors may require manual exports or impose update lags —costing time, accuracy, and trust.
Strengthen Capacity and Ensure Continuity of Service
Tukwila's reliance on spreadsheet -driven processes creates serious risks —especially in the event of staff
turnover. One of the clearest takeaways from the City's last budget cycle was the fragility of the current
approach.
OpenGov directly addresses succession planning and institutional knowledge transfer by
providing:
• Centralized, cloud -based data access
• Configurable approval workflows and reporting templates
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• Department -facing tools to reduce Finance's manual workload
This ensures continuity and builds operational resilience regardless of staffing changes.
Fully Integrate. Capital Planning, Perfo m ance Strategic oal lign ent
The City's next financial system must support more than just budget development. OpenGov
natively supports:
• Six -year Capital Improvement Plans with phase tracking and funding source transparency
• Department -level strategic initiatives tied to budget proposals
• Performance dashboards aligned to program outcomes
• Narrative -based justifications integrated into the public budget book
All of this functionality is built into the OpenGov platform —no separate software, no extra modules.
Trans arency,
unity Enka a ent, an Pu lic Trust
Today's residents expect modern digital access to public information. Static PDFs no longer suffice.
OpenGov enables:
ADA-compliant, web -based interactive budget books
Real-time budget visualizations, outcomes tracking, and fund -level insights
Open Town Hall functionality for public surveys, simulations, and input gathering
This is more than just good government —it is critical to sustaining civic trust.
Rob. st, Forward -Looking Functionality fi r Long -Teri Financial Sustains illity
Tukwila's investment must support both the current biennial budget structure and future scenario
planning. OpenGov delivers:
• Ten-year forecasting for workforce planning.
• Side -by -side scenario modeling for COLAs, new hires, and union negotiations.
• Visualization of historicals, non -financial data, and GIS-based capital tracking.
• A native report builder that auto -generates reports for Council and the public.
• Built-in publishing tools that meet GFOA standards and ADA compliance.
These capabilities are not theoretical—OpenGov has implemented them in hundreds of
jurisdictions.
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Built for Washington Municipalities
OpenGov is the selected partner for Duvall, Mount Vernon, Anacortes, Puyallup, Federal Way, Stevens
County, Chelan County, and others. Our team understands Washington's requirements, the nuances of
C8ntra|8qU@re,and the State'Sbudgeting and compliance environment.
Our staff includes former City Managers, Finance Directors, and Budget Officers who have been Onyour
side of the table. We don't just understand the technology —we understand the mission.
WhyThis Matters Now
Tukwila is at a strategic crossroads. The City's current systems lack the depth, resilience, and
transparency needed tosupport modern governance. This isabout:
w Expanding staff capacity through automation
w Delivering better, faster data to Council and residents
w Recovering $lK4+inuncollected taxes with improved enforcement
w Supporting program -based budgeting and performance
w Ensuring financial eustainabi|ityand data integrity
OperGovis the only solution onthe market that delivers this complete package —with fixed pricing,
proven implementation timelines, and a commitment to long-term partnership.
Let's equip Tukwila for the decade ahead.
Competitive Analysis: City of Watsonville, CA RFP
OponGnvvvoS recently evaluated by the City of Watsonville, CA, through a competitive RFP
process. The City sought a new solution to replace their manual, Excel -based budget
process and address core user needs that were not supported by their Tyler Munis budget
module. Despite OpenG0vhaving mhigher priced proposal than two other software vendors,
the City ultimately decided on moving forward with OpenGovdue tothe following reasons
(vvo are happy to provide you with a copy of the Council Resolution for more details, if
interested):
TOponGov is liked by their customers who appreciate their customer service and the
continuous improvements totheir pr0duot."
OpenGov will "allow the Finance Department to move the Capital Improvement Plan (CIP)
into the budget systenn."
"OpenGov will automate the creation of the budget book and move the budget book
from apublished document toononline easily navigable doournent."
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* "OpenGov will save significant finance and communications staff time along with giving
departments much more control and transparency around their budget submissions."
* "In addition to improving our existing internal processes OpenGov offers a number of
features that will enhance our current process particularly around external
communication with the public."
Competitive Analysis: City of Oxnard, CA RFP
OpenGov was recently evaluated by the City of Oxnard, CA, through a competitive RFP
process. The City also sought a new solution to replace their manual, Excel -based budget
process and address core user needs that were not supported by their Tyler Munis budget
module. Despite OpenGov having a higher priced proposal than two other software vendors,
the City ultimately decided on moving forward with OpenGov due to the following reasons
(we are happy to provide you with a copy of the Council Resolution for more details, if
interested):
* City staff received exceptional references from other California cities that use the
combination of Tyler Munis and OpenGov, who have leveraged OpenGov's ability to
interface with Tyler Munis. Other cities using OpenGov, integrated with Tyler Munis
include Hayward, Santa Barbara, Pasadena, Yorba Linda and Victorville.
* OpenGov offers full -featured, cloud -based, budgeting software designed for public
agencies. As an integrated budgeting and planning solution, it will allow staff to develop
their department budgets in a more streamlined, systematic, and repeatable way.
OpenGov's pricing model consists of both a fixed fee annual subscription for the software and a one-time
cost for the professional services component. Our Professional Services cost includes all phases of
implementation: Initiation, Best Practices, Configuration, Validation, Deployment, and Project Completion.
OpenGov offers an unlimited user, unlimited usage pricing model, meaning customers are not limi
ted to the number of users, logins, dashboards, reports or usage of data.
Proposal: OpenGov Budgeting & Performance and Tax
Collection & Revenue Management (Full Suite)
72
Budgeting &P1amnimg Smite
Unlimited Users
Business Tax and Revenue
Management Suite
Unlimited Users
Reporting & Transparency
Unlimited Users
OpenGov University
(Unlimited Users)
Operating Budget
Workforce Budget
Capital Budgeting
Capital Project P8Qes
Operating Budget Book
Capital Budget Book
Nightly Integration - Tyler K4unin
Business S/Operational Tax
Miscellaneous Revenue
Management Reporting
Department Reporting
Strategic Plan
Dashboards, Performance, KP|'s
Stories
Community Feedback Surveys
Transparency Portal
Strategic Initiatives
Initiation, Best Practices,
Configuration, Validation,
Deployment, and Project
Completion Ofthe above
SO|UtiOnS (this inC|Ud8S a review
and functional build ofyour Chart
of Accounts into OpenGov).
Aooeaa to phone and chat
support, designated Customer
Su000uu Manager, and increased
response times for support cases.
OGU On -Demand: Video -based
online learning courses
OGULive: o combination of virtual
training sessions and in -person
73
~
Customer Success Manager
training events*
Resource Center: a written
article knowledgebase
Dedicated human resource to
support your journey as an
OpenGov user with training,
adoption, best practices, and
general assistance throughout the
OpenGov partnership
Year 2
Year 3
Included
$150,675
$158,208
*Estimate - Final Proposal Requires Scoping w/ OpenGov Professional Services Team
**Additional 7.5% Discount Available if Multiple Years Paid Up -Front
As Tukwila takes the next step toward modernizing its financial operations, OpenGov stands uniquely
positioned to deliver on the City's most pressing strategic priorities —including fiscal sustainability,
transparency, and long-term operational resilience. After months of collaboration with the City's Finance,
IT, and executive leadership teams, the following key differentiators explain why OpenGov is the right
long-term partner.
Comprehensive, End -to --End Budgeting--Purpose-Built for Government
OpenGov is the only vendor offering a truly unified public sector budgeting solution that covers every
stage of Tukwila's annual and biennial planning process in one system:
• Operating Budgeting: Collaborative, department -led budget development with controlled
workflows and real-time tracking.
74
• Workforce Budgeting: Powerful salary and benefit modeling with union/step increases, COLA
scenarios, and 10-year projections.
• Capital Planning: Project evaluation, proposal scoring, funding source tracking, and auto -generated
6-Year CIP Books.
• Strategic Budgeting: Department requests can be directly tied to citywide initiatives, enabling
alignment with Priority -Based Budgeting.
• Public Transparency: Fully interactive, GFOA-compliant online budget books —no third -party
publishing tools needed.
• Real -Time Data Sync: Automated nightly integration with CentralSquare FE and structured imports
from Eden payroll ensure financial data stays up to date.
Unlike alternatives that rely on third -party plug -ins, external report writers, or disconnected systems,
OpenGov eliminates manual uploads and offers seamless, real-time insight —all within a single platform.
by penGov for Tax & evenue: Intelligent, Auto ate &
an
ent
Tukwila has an estimated $1M/year in uncollected B&O revenue due to limited visibility, lack of automation,
and a paper -based returns process. OpenGov's Tax & Revenue platform changes that immediately:
• Modern Taxpayer Portal: Online filings, payments, historical lookup, and multi-user access for
third -party preparers.
• Automated Reconciliation: Daily payment and return tracking mapped to the GL with no need for
manual line -by-line Excel reconciliation.
• Custom Tax Logic: Supports Tukwila's tiered 9-10-10 penalties, proposed square footage tax, and
multiple filing frequencies per account.
• Integrated Case Management: Track audits, assign investigators, and manage compliance
workflows with full visibility.
• Proactive Enforcement Auto -generated missing/delinquent notices, account indicators, and
configurable templates ensure timely collections.
With OpenGov, Tukwila can replace outdated processes with a professional -grade system that improves
compliance, increases revenue, and restores taxpayer confidence.
So ving for Capacity Challenges n Succession isk
OpenGov reduces reliance on institutional knowledge and eliminates fragile Excel -based workflows. With
structured templates, role -based access, and full audit trails, the City can:
• Build capacity across departments by decentralizing input and empowering users.
75
� Protect against knowledge loss when key staff depart Urretire.
Reduce the volume of one-off support requests into Finance by 30-50%.
This ayatonn aUovva the City to aoo|e effectively and build operational resilience regardless of future
staffing changes.
Transparency an* Co
LA
nityEOgagernent--� odeyOize
OpenGov goes far beyond static PDFs. The platform includes:
w ADA-compliant digital budget books that integrate with performance data and charts.
w Resident engagement tools including survey modules and participatory budgeting (]pen llxmn
H@U).
w Council and executive dashboards with on -demand filters, snapshots, and multi -year projections.
Tuhvv|m's Council, executive team, and residents will all benefit from the ability to aoo vvharo dollars
go —and what outcomes they generate.
Lessons fro
Mn
he Las
�
W
QdgetCycle
The City's most recent budget process highlighted the inefficiencies of Excel -based budgeting:
w K4onue| version control and formula errors dn|evnd mnak/aia and collaboration.
w Limited ability tomodel workforce costs bvprogram ordepartment.
w Budget updates during Council presentations could not bemodeled live.
OpenGov eliminates these limitations by providing structured, real-time, cloud -based collaboration from
the first draft to final adoption.
uiget|ng Revenue
The financial impact of adopting OpenGov is both immediate and ongoing:
w $HM+ in Recaptured Revenue**: Improved tax administration will generate new General Fund
revenue.
w 100-150+ Hours Saved Per Budget Cycle**: Staff can focus on strategic planning, not version
tracking.
w Increased Compliance": Automated reminders and digital filing reduce delinquency rates.
w Council 8'Resident Conhdence**:Public-facing transparency strengthens trust and accountability.
76
Over a 3-year window, these returns significantly outweigh system costs and reduce pressure on city
staffing.
Co itted to Tukwila's Long -Ter Fisc Sustainalbiliity
OpenGov supports multi -year forecasting, 6-year CIP development, and strategic initiative tracking —all
key elements of a sustainable financial future. With automated reporting, scenario modeling, and
personnel cost forecasting, the City can:
• Align budget decisions with long-term priorities.
• Prepare for labor negotiations and new program needs.
• Surface risks and opportunities early —before budget adoption.
Truste y Govern ents Across shington
OpenGov is already the budgeting and transparency partner of choice for:
Duvall, WA
Mount Vernon, WA
Anacortes, WA
Puyallup, WA
Federal Way, WA
Chelan County, WA
Stevens County, WA
These agencies trust OpenGov for our product expertise, regional knowledge, and local government DNA.
Conclusion
Tukwila deserves a system built for the work of local government —not just another software vendor.
OpenGov offers an integrated platform to unify budgeting and revenue management, elevate public trust,
and ensure the City's financial sustainability for years to come.
Our team of former public finance leaders, technologists, and customer success experts is ready to
support Tukwila through every step of implementation, adoption, and continuous improvement.
Let's build the next chapter of Tukwila's future —together.
77
78
Thomas McLeod, Mayor
Finance Department — Aaron BeMiller, Director
TO: Finance & Governance Committee
CC: Mayor McLeod
FROM: Aaron Be Miller, Finance Director
By: Tony Cullerton, Deputy Finance Director
DATE: April 28, 2025
SUBJECT: 2025 First Quarter General Fund Financial Report
SUMMARY
The City of Tukwila's 2025 First Quarter (Q1) General Fund Financial Report provides a
comprehensive overview of the city's fiscal performance, detailing key revenue drivers, expenditure
patterns, and budget variances. This report highlights the factors influencing financial outcomes, such
as rising sales tax revenue and shifts in departmental spending, while offering insights into strategic
adjustments made to balance growth and sustainability. By examining these financial dynamics, the
report aims to inform stakeholders about the city's financial health and guide future budgeting decisions.
Discussion
In Q1 2025, General Fund revenues came in under budget by $1.1 million (5.6%) due to the timing
of Property Tax collections, which are primarily received in April, while expenditures remained well -
managed, trending 0.2% under budget. Taxes made up 69% of total revenues, with Sales Tax showing
slight growth of 6.4% over the prior year, and Utility Tax up 7.4%. Property Tax reported early payments
resulting in an increase of $323,029, although the majority of collections will be reflected in April and May.
Other revenue highlights include large gains in Building Permits, which exceeded budget by $273,850,
and Admission Tax, which increased 56% year -over -year. Declines in Grant and Intergovernmental
Revenues were attributed to the expiration of Federal ARPA funding and the absence of Basic Life
Services training income. On the expenditure side, all departments stayed within budget, with
variations linked to timing issues, annual payments, and changes in contractual obligations, such as
the termination of the Fire contract with the RFA. Total Q1 expenditures concluded at 24.9% of the
annual budget.
Recommendations:
• Discussion only
Attachments
• 2025 First Quarter GF Financial Report
79
City of Tukwila
Quarter 1 Financial Report
January — March
2025
General Fund Overview
General Fund
Revenues
Expenditures
Net
2025 Beginning Fund Balance
2025 Projected Ending Fund Balance
2025 Budget
76,087,350
74,931,244
1,156,106
2025 Actual % of Budget $ Diff
17,955,453 23.6% ($1,066,384)
18,691,567 24.9% (412)
(736,113)
24,121,326
23,385,213
General Fund - Required Ending Fund Balance Calculation
2025 Ongoing Revenues
18% of Ongoing Revenues
2025 GF Budgeted Unassigned FB
Amount Over/(Under)
15,561,646
2,801,096
23,385,213
$20,584,116
Contingency Fund - Required Ending Fund Balance Calculation
10% of 2025 Ongonig Revenues
Budgeted Contingency Fund
Amount Over/(Under)
1,556,165
7,154,961
$5,598,796
2
81
2025 Quarter 1 (Q1) Financial Overview
For Q1 2025, General Fund revenues are trailing the 2025 expectations by $1A million (5.6%), due to the
timing of Property Tax collections, which are received in April. Q1 expenditures are on track, trending at
0.2% under budget.
ThOUS@OdS
80,000
70,000
60,000
50,000
40,000
30,000
20,000
10,000
0
2025 01
76,087
General Fund
Revenues & Expenditures
Budget vs Actual
17,955
Revenues
74,931
• 2025 Budget • 2025 Actual
18,692
Expenditures
3
82
Revenue Analysis
Taxes remain the primary revenue classification, comprising 69% of Q1 revenue. The remaining 31%
consists of other revenue classifications, which are relatively evenly distributed.
7A%
2025O1 ReV2OUeS
n Licenses and Permits
a Charges for Services m Non -Operating Income
a|mcrgvvcmment°|
Revenue Classification
Tax
Licenses and Permits
Intergovernmental
Charges for Services
Non'OperatinQ|nconne
Total
Amount %
121386,918 69.0%
1,746,581 9.7%
1,279,584 7.196
1,038'393 5.8%
1,504,058 8.496
171955,453 100'0%
4
83
Taking acloser look oLtaxes, Sales Tax leads the category.Property Tax issubstantially collected twice a
year in April and October, We will see an increase in the Property Tax received in May, after the April
payments are recorded.
Taxes Amount %
Sa|esTaxes'Retai| $6,078625 54%
Property Tax $1,075,573 996
Utility Taxes $1,340344 12Y6
Gambling & Excise Taxes $421,492 4%
|nterfundUtility Taxes $1,313,835 12%
Business & Occupation Tax $591,219 596
Admission Taxes $273,903 296
Use Taxes $246,712 2%
Tota|Taues $11,341,701 188%
84
General Fund Overview - Revenues by Category
Below are General Fund revenues by category. Variances from the prior quarter that are greater than
10% AND $250k are further explained in the report.
Year -to -Date as of March 31, 2025
BUDGET
ACTUAL
COMPARISON OF RESULTS
SUMMARY BY REVENUE TYPE
2023
2024
2025
YTD Budget
vs Actuals
OVERAUNDER)
%
Change
2025
Budget
Received
$
2024/2025
%
2024/2025
Property Tax
11,999,227
677,329
752,544
1,075,573
(1,924,234)
9%
323,029
42.9%
Sales Taxes -Retail
23,447,886
5,642,125
5,700,244
6,078,625
216,653
26%
378,381
6.6%
Use Taxes
999,100
278,367
242,205
246,712
(3,063)
25%
4,507
1.9%
Admission Taxes
859,235
213,217
176,122
273,902
59,094
32%
97,781
55.5%
Utility Taxes
4,493,702
1,208,533
1,267,384
1,361,361
237,935
30%
93,976
7.4%
Interfund Utility Taxes
3,167,729
1,178,350
1,221,373
1,313,835
521,902
41%
92,462
7.6%
Gambling & Excise Taxes
4,609,500
1,306,159
1,060,091
1,317,791
165,416
29%
257,700
24.3%
Business & Occupation Tax
2,400,000
0
0
719,121
119,121
30%
719,121
0.0%
Total Tax Revenue
51,976,379
10,504,081
10,419,962
12,386,918
(607,177)
24%
$1,966,956
18.9%
Business Licenses
3,445,500
768,245
674,595
593,444
(267,931)
17%
(81,151)
-12.0%
Rental Housing permits
44,700
36,012
37,110
47,329
36,154
106%
10,219
27.5%
Building Permits
1,940,500
540,508
405,062
758,975
273,850
39%
353,913
87.4%
Franchise Fees
651,372
123,683
131,962
346,752
183,909
53%
214,790
162.8%
Total Licenses and Permits
6,082,072
1,468,448
1,248,729
1,746,501
225,983
29%
$497,771
39.9%
Sales Tax Mitigation Pyments
406,700
176,519
141,216
112,972
11,297
28%
(28,243)
-20.0%
SCL Agreement
2,687,700
737,591
805,135
885,416
213,491
33%
80,282
10.0%
Grant Revenues
877,372
212,243
1,275,786
157,667
(61,676)
18%
(1,118,119)
-87.6%
State Entitlements
690,330
106,053
154,524
142,161
(30,422)
21%
(12,363)
-8.0%
Intergovernmental Revenue
0
6,378
737,381
(18,633)
(18,633)
0%
(756,014)
-102.5%
Total Intergovernmental Revenue
4,662,102
1,238,784
3,114,041
1,279,584
114,058
27%
($1,834,458)
-58.9%
General Government Revenue
9,620
6,797
2,981
7,562
5,157
79%
4,582
153.7%
Security revenue
1,139,456
163,730
279,271
317,223
32,359
28%
37,952
13.6%
Transportation Revenue
20,000
288
0
0
(5,000)
0%
0
0.0%
Plan Check and Review Fees
662,000
249,756
158,748
326,535
161,035
49%
167,787
105.7%
Culture and Recreation Fees
781,045
37,184
65,958
79,845
(115,416)
10%
13,888
21.1%
Fines and Penalties
404,505
87,967
78,791
250,985
149,859
62%
172,194
218.5%
OTHER INCOME
190,075
137,246
193,165
56,242
8,723
30%
(136,923)
-70.9%
Total Charges for Services
3,206,701
682,969
778,913
1,038,393
78,135
32%
$259,480
33.3%
TOTAL OPERATING REVENUE
65,927,254
13,894,281
15,561,646
16,451,395
(49,475,859)
25%
$889,750
5.7%
Indirect Cost Allocation
3,111,694
705,603
740,886
777,922
(2)
25%
37,036
5.0%
Investment Earnings
470,000
67,107
66,806
97,706
(19,794)
21%
30,900
46.3%
Rent & Concessions
383,783
35,493
293,816
298,724
202,778
78%
4,909
1.7%
Transfers In
1,494,619
0
176,392
329,706
(43,949)
22%
153,314
86.9%
Sale of Capital Assets
4,700,000
0
0
0
(1,175,000)
0%
0%
0.0%
Total Non Operating Revenue
10,160,096
808,203
1,277,899
1,504,058
(1,035,966)
15%
$226,159
17.7%
TOTAL REVENUE
76,087,350
14,702,484
16,839,545
17,955,453
(1,066,384)
24%
$1,115,908
6.6%
% of Year
25%
6
85
Significant Changes
Property Tax — First half payment is made in April. The increase of $323,029 is a representation of early
first % payments.
Gambling Tax — The Increase is due to the collection of past due gambling tax revenue.
Business & Occupation Tax — Business & Occupation Tax: The City implemented the B&O Tax on
January 1, 2024. Q1 2025 revenues, remitted in April, are not reflected in this report.
Building Permits are a volatile revenue stream that is difficult to predict. At 25% of the year, the City has
received 39% of the anticipated budget amount.
Grant Revenues are down compared to the prior year is primarily due to the expiration of Federal ARPA
grant funding as of December 31, 2024.
Intergovernmental Revenue reported A notable decline is due to the absence of Basic Life Services
(BLS) training funding in 2025, which contributed over $700,000 in revenue in 2024. Additionally,
approximately $22,000 in invoiced revenue was reversed.
86
General Fund Revenue Charts
Property Tax
2023
Actual
2024
Actual
2025
Actual
2025 vs
2024 $ Diff
% Diff
677,329
752,544
1,075,573
323,029
42.9%
Property Tax is primarily collected twice a year. This revenue will increase in April & May once payments
are recorded. 01 reflects early payments totaling $323,029. The 42% year -over -year increase is due to
these early remittances.
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
677,329
2023 Actual
Property Tax
Jan - ar
2023 - 2025
1,075,573
752,544
2024 Actual 2025 Actual
8
87
Sales Tax
2023
Actual
2024 Actual
2025 Actual
2025 vs
2024 $ Diff
% Diff
5,920,492
5,942,449
6,325,337
382,888
6.4%
Sales Tax leads all tax categories and has increased 6.4% compared to the same period in 2024. The
growth is attributed to heightened economic activity.
6,400,000
6,300,000
6,200,000
6,100,000
6,000,000
5,900,000
5,800,000
5,700,000
5,920,492
2023 Actual
Sales Tax
Jan - Mar
2023 - 2025
5,942,449
2024 Actual
6,325,337
2025 Actual
9
88
Utility Tax
2023
Actual
2024
Actual
2025
Actual
2025 vs
2024 $ Diff
% Diff
1,208,533
1,267,384
1,361,361
93,976
7.4%
Utility Tax revenue rose by 7.4% over the prior year. Notable increases were observed in Gas, while Solid
Waste reported a decrease due to an unprocessed March payment at the time of reporting.
Utility
2023
2024
2025
$
Change
%
Change
Cable
$58,211.04
$67,885.92
$62,544.56
(5,341)
-7.9%
Electric
$480,434.58
$518,081.02
$552,524.24
34,443
6.6%
Gas
$288,501.03
$256,465.15
$328,508.68
72,044
28.1%
Telecommunications
$193,172.03
$167,184.57
$184,202.41
17,018
10.2%
Solid Waste General
$188,214.51
$257,767.53
$233,580.76
(24,187)
-9.4%
Total
1,208,533
1,267,384
1,361,361
93,976
7.41%
1,400,000
1,350,000
1,300,000
1,250,000
1,200,000
1,150,000
1,100,000
1,208,533
2023 Actual
1,267 384
2024 Actual
61,361
2025 Actual
10
89
Interfund Utility Tax
2023
Actual
2024
Actual
2025
Actual
2025 vs 2024
$ Diff
% Diff
1,178,350
1,221,373
1,313,835
92,462
7.6%
lnterfund Utility Tax revenue increased by 7.6% year -over -year, reflecting a $92,462 year -over -year rise.
This tax represents the City's utility usage.
1,350,000
1,300,000
1,250,000
1,200,000
1,150,000
1,100, 000
1,178,350
2023 Actual
un
Jan- a
-2
y
T
2024 Actual
1,313, 35
2025 Actual
11
90
Gambling Tax
2023 Actual
2024
Actual
2025 Actual
2025 vs 2024
$ Diff
% Diff
1,306,159
1,060,091
1,317,791
257,700
24.3%
Gambling Tax increase is attributed to the collection of past due revenues.
1,400,000
1,200,000
1,000,000
800,000
600,000
400,000
200,000
0
1,306,159
2023 Actual
Gambling Tax
Jan - Mar
2023 - 2025
1,060,091
2024 Actual
2025 Actual
12
91
Admission Tax
2023
Actual
2024
Actual
2025
Actual
2025 vs 2024
$ Diff
% Diff
213,217
176,122
273,902
97,781
55.5%
Admission Tax revenue saw a significant 56% increase compared to the prior year, exceeding budget by
$59,094, largely due to heightened economic activity.
300,000
250,000
200,000
150,000
100,000
50,000
0
213,217
2023 Actual
Admission Tax
Jan - Mar
2023 - 2025
176,122
2024 Actual
273,902
2025 Actual
13
92
Business Licenses
2023
Actual
2024
Actual
2025
Actual
2025 vs
2024 $ Diff
% Diff
768,245
674,595
593,444
(81,151)
-12.0%
Business Licenses reported a decline in revenue and is linked to reduced employee counts reported by
businesses.
900,000
800,000
700,000
600,000
500,000
400,000
300,000
200,000
100,000
0
768,245
2023 Actual
siri ss Liceps,s
674,595
2024 Actual
593,444
2025 Actual
14
93
Building Permits
2023
Actual
2024
Actual
2025
Actual
2025 vs 2024
$ Diff
% Diff
540,508
405,062
758,975
353,913
87.4%
Building Permits, a volatile revenue source, are challenging to forecast. At 25% into the year, the City has
received 39% of the anticipated budget, representing an 87.4% increase year -over -year.
800,000
700,000
600,000
500,000
400,000
300,000
200,000
100,000
0
2023 Actual
IS
J
r
2024 Actual
2025 Actual
15
94
General Fund Overview—Espemditures by Department
General Fund expenditures ended the quarter0.2% under budget. All General Fund departments are in
good shape at the end of Q1.
DEPARTMENT
auooET
ACTUAL
Actual Year -Over -Year
2025
Budget
2025
vro
2023 2024 2025
Budget
vs Actual
<ovEnyumosx
m
Expended
$ Change mChange
anz«/aoas
City Council
4000e3
100,023
96,072
97'3e1
93'12*
6,897
23.3%
(4,264) '4.4m
Mayor's Office
9,748218
2,437,054
1'774,748
1'942'520
2'186,489
250,565
22.4%
243'970 12.e%
Finance Department
4,343'230
1'085'808
1'067'540
1,605'401
1'630'839
(545,031)
37.5%
25,438 1.6%
necDept/ parkoMai nt
6'/68'451
1'6e2'113
1'207'525
1'399^744
1'445'419
246'6e3
21.4m
45'675 aam
cnmmunitvory
5'732.921
1'433'230
1'022'598
1'141^/e0
1'261'46/
171'7*4
22om
120'277 10.5%
Municipal Court
2'32e'525
582'3e1
401'31e
488'704
saa'zoz
4e199
zzym
44,478 9.1m
Police Department
28'411'330
7'102'833
5'485'673
6'377'623
7'453's80
(350,747)
26.2%
1,175,957 18J%
Fire Department
z'ago'zsz
349'548
4'003'96e
4'364'426
214'788
134,760
zsx%
'95.1%
pvvDept/ Street xxaint
9'738'964
2'434'741
2'666'068
s'naz'yss
2'111'807
322'934
21./%
(920,131) 'so.s%
Subtotal
68.870'925
17'217'731
17,725'510
20,348,937
16.930,697
287'034
a«.a%
'z*.u%
Non Departmental
6'060'319
1'515'080
1'508'158
1'207^487
1'760'870
245,790
29.1%
553,383� 45.8%
Total Expenditures
74,e31,244
18,732,811
19,233,668
21,556,424
18,691,567
532,824
24.9m
(2,864,857) -13.3m
mofYear asom
* No departments reported exceeding their budgets inQ12O25.The increase over budget for
Finance and Police reflects annual insurance payments. |fthe insurance payment was annualized,
both departments would be reflected as under budget.
* Police: Additional costs are associated with Fleet Dispatch Services and SCORE Jail.
� Fire: A significant decline is due to the termination of the City's contract with the RFA as of
* Street Maintenance: Reduced expendituresinanticipation nfanannual payment toKing County for
Storm Water payment.
* Non —Departmental: Increased costs are attributed to temporary housing for asylum seekers.
16
95
General Fund Overview - Expenditures by Category
Year -to -Date as of March 31, 2025
BUDGET
ACTUAL
COMPARISON OF RESULTS
%
$ Change
% Change
2025
2023
2024
Expended
2025
Annual
2024/2025
2024/2025
Salaries
30,318,363
5,768,477
6,472,190
7,308,638
24.1%
836,449
12.9%
Extra Labor
1,176,493
85,173
117,528
142,978
12.2%
25,450
21.7%
Overtime
1,648,520
395,104
427,596
433,416
26.3%
5,820
1.4%
Holiday Pay
323,000
1,935
11,658
7,350
2.3%
(4,308)
(37.0%)
FICA
2,570,059
471,530
530,681
589,658
22.9%
58,976
11.1%
Pension-LEOFF
690,278
128,764
148,751
165,326
24.0%
16,575
11.1%
Pension-PERS/PSERS
1,778,634
381,460
384,165
414,604
23.3%
30,439
7.9%
Industrial Insurance
583,512
98,829
108,726
155,311
26.6%
46,584
42.8%
Medical & Dental
7,184,514
1,342,590
1,480,011
1,611,353
22.4%
131,342
8.9%
Uniform/Clothing
44,721
470
1,090
795
1.8%
(295)
(27.1%)
Total Salaries & Benefits
46,318,094
8,674,331
9,682,397
10,829,429
23.4%
1,147,032
1.1.8%
Supplies
697,785
67,836
100,592
137,268
19.7%
36,676
36.5%
Repairs & Maint Supplies
506,030
57,508
197,591
77,317
15.3%
(120,274)
(60.9%)
Small Tools
340,445
21,421
34,337
57,662
16.9%
23,324
67.9%
Technology Supplies
86,454
2,764
18,874
3,973
4.6%
(14,900)
(78.9%)
Fleet Supplies
9,500
1,004
3,113
632
6.7%
(2,481)
(79.7%)
Total Supplies
1,640,214
150,533
354,507
276,853
16.9%
(77,655)
(21.9%)
Professional Services
9,810,795
6,531,930
7,503,563
3,860,056
39.3%
(3,643,508)
(48.6%)
Communications
584,227
71,665
115,665
142,622
24.4%
26,957
23.3%
Professional Development
884,823
175,169
207,374
196,302
22.2%
(11,072)
(5.3%)
Advertising
45,416
1,750
9,754
2,174
4.8%
(7,581)
(77.7%)
Rentals
3,468,463
261,690
28,614
805,118
23.2%
776,503
2,713.7%
Technology Services
1,320,046
355,823
400,141
568,893
43.1%
168,752
42.2%
Utilities
2,571,089
1,351,216
1,424,436
245,592
9.6%
(1,178,844)
(82.8%)
Repairs & Maint Services
2,597,922
300,744
455,140
573,070
22.1%
117,930
25.9%
Miscellaneous
826,676
96,361
64,836
82,940
10.0%
18,105
27.9%
Total Services
22,109,457
9,146,347
10,209,524
6,476,766
29.3%
(3,732,758)
(36.6%)
Machinery & Equipment
200,000
0
176,392
920
0.5%
(175,472)
(99.5%)
Total Capital Outlay
200,000
0
176,392
920
0.5%
(175,472)
(99.5%)
Transfers Out
4,663,479
1,262,457
1,133,603
1,107,599
23.8%
(26,004)
(2.3%)
Total Non Operating Expens
4,663,479
1,262,457
1,133,603
1,107,599
23.8%
(26,004)
(2.3%)
Total Expenditures
74,931,244
19,233,668
21,556,424
18,691,567
24.9%
(2,864,857)
(13.3%)
25.0%
17
96
Salaries: Higher salary expenditurescompared tothe prior year are due toretroactive labor negotiation
payments made inAugust 2024.
Professional Services: Lower expenditures correspond to the termination of the Fine contract as of
December 31'2O24.
Rentals: Increased costs are related tufleet expenses.
Utilities donot reflect annual Surface Water payment to KC.
Q1 expenditures concluded at 24.9% of the annual budget, aligning with expectations.
General Fund Category Table and Chart
as%
Expenditures by Category
c
nm%
rm
w Salaries & Benefits u Supplies a- Services w Capital Outlay q Transfers Out
Salaries & Benefits
Salaries /&Benefits 10829/429 58%
Supplies 376,853 1%
Services 6,476,766 35%
Capital Outlay 920 U%
Transfers Out 1,107599 6%
Total Expenses 18,691,567 100.0%
Services
Professional Services 3,860,056 59.6%
Communications 142,622 2.296
Professional Development 196,302 3.0%
Advertising 2,174 0.0%
Rentals 805,118 12.4%
Technology Services 568893 8.8Y6
Utilities I45,592 3.896
Repairs& Manit Services 573,070 8.896
Miscellaneous 82,940 1.3%
18
97
Total Services
6,476,766 100.0%
Professional Services
Insurance -Liability 1,432,354 37.1%
Dispatch 495,449 12.8%
Insurance -Property 492,575 12.8%
Contracted Services 423,326 11.0%
Miscellaneous Prof Services 200,559 5.2%
Jail Services 187,389 4.9%
Consulting Services 154,224 4.0%
Public Defense 101,100 2.6%
Attorney Services 86,815 2.2%
Security/Safety Svcs 53,628 1.4%
Prosecution Services 43,350 1.1%
V SWAT 40,000 1.0%
Government Affairs 30,000 0.8%
Revenue Backed Services 21,813 0.6%
Translation & Interpretation 21,131 0.5%
Human Services Contracts 20,761 0.5%
Instructors 13,299 0.3%
Special Matters (legal) 11,914 0.3%
Inspection Services & Permits 11,255 0.3%
Contracted Towing Services 10,379 0.3%
ProTem Judges 4,160 0.1%
Hearing Examiners 1,275 0.0%
Employee screening/testing 1,130 0.0%
Employee Assistance Prg EAP 1,104 0.0%
Recruitment 615 0.0%
Performers/Entertainment Svcs 450 0.0%
Grand Total 3,860,056 100%
98
City of Tukwila
Thomas McLeod, Mayor
INFORMATIONAL MEMORANDUM
TO: Finance & Governance Committee
FROM: Marty Wine, City Administrator
CC: Thomas McLeod
DATE: April 22, 2025
SUBJECT: Budget Sustainability Project - Scope
ISSUE
Briefing only. The Administration is conducting a comprehensive review of city programs,
revenues and costs in preparation for the 2027/2028 budget development called the Budget
Sustainability Project.
BACKGROUND
The purpose of this presentation is to remind the Council of the steps taken to develop and
balance the 2025/2026 budget, which included the use of one-time funds and measures that
would last for one two-year budget cycle.
In an effort to build a future General Fund biennial budget that is more sustainable over a longer
term (6 years), and to acknowledge that fundamentally the city's costs grow at a rate that
exceeds revenue growth, the Budget Sustainability Project is underway to achieve longer -term
financial sustainability (in which regularly occurring expenditures exceed regularly occurring
revenues).
Five work groups are reviewing all the dimensions of the city budget to make recommendations
to the Mayor (and ultimately, the City Council with the 27/28 budget) for changes to revenues
and expenditures. Some of the recommendations will be included in a report to Council about
the revenue changes requested in the 2025-26 budget proviso. Other changes could include
immediate and efficiency changes that can be implemented now; potential changes to salary
and benefits policies; ways to manage operating expenses that may achieve savings; and what
is needed from the City's General Fund to maintain and improve capital facilities and utilities.
DISCUSSION
The Committee will receive a briefing and status report about the scope of the project, and
committee members will be asked to provide ideas and contributions to what should be
considered
FINANCIAL IMPACT
The results of this review and the Budget Sustainability Project will shape how the General Fund
2027/2028 Proposed Budget will be developed.
RECOMMENDATION
Information and discussion only.
ATTACHMENTS
PowerPoint
99
BUDGET SUSTAINABILITY PROJECT
FINANCE AND GOVERNANCE COMMITTEE
April 28, 2025
The City of opportunity, the community of choice.
How We Built the 2025-26 Budget
• Return some property tax
capacity from RFA annexation
• Meet established financial and
reserve policies
• Avoid major staffing changes or
layoffs
• Budget enhancements limited to
available resources
• Maintain '23-24 cuts to positions,
services & supplies
• No planned debt issuance
22
• No tax rate increases
• Return Fleet fund management to
replacement cost model
• Defer GF transfers to capital for
2025/26
• Use one-time funds as needed to
balance budget
• Aim for sustainable budget
model; review issues in 2025
• Trade-offs: service levels and new
investment
-
N Recap of
Commitments
To Review in 2025
• Explore revenue opportunities/options (B&O, REET, other)
• Update compensation policy (Res 1951)
• Continued evaluation of Finance Enterprise system
• Implement Financial Sustainability Committee
recommendations: operational audits, continuous
improvement, lean process
• Consider operational changes and impacts of service
changes
• Revisit capital repair/replacement needs
• Refresh Financial policies, Indirect Cost Allocation model
• Other
The Challenge
• Like most local governments, Tukwila has a budget sustainability challenge: our
normally occurring expenses outpace our normally occurring revenues.
• Past actual annual revenues increase by an average of 2.7%, while expenses are
forecast to increase by 3.6%.
• Without using one-time revenues to cover operational expenses in 25/26, the
City's General Fund would be out of balance by $3.6 & $5.4M respectively, and the
forecasted gap in the General Fund continues to increase by roughly $1.0M
annually
• We balanced the 25/26 Budget by using one-time revenue to support on -going
operations, a budget model that is not sustainable over more than just a few years.
• While the City is legally required to adopt a balanced budget, we need either
increased revenue, reduced expenses, or a combination of the two, or the financial
standing of the City will continue to erode.
cD
Tukwila's 2025-2030 Forecast
Expenditures in Excess of Revenues, Excluding Property Sales
Total Revenue Expenditures in Excess of Revenues
$90
0 • The first two years is the proposed budget
0
• Forward -looking to evaluate long-term
sustainability
$85
• Built on status quo oerations
• Expenses or revenue changes in line with
previous years' actuals and known chan
$80
$75
$70
2026
2027
2029
2030
Tukwila's 2025-2023 Forecast
Expenditures in Excess of Revenues — Includes Property Sales
. Total Revenue m Expenditures in Excess of Revenues
Financial Policies (Res. 2096)
• One-time revenue for one-time •
expenditures
• 6-year expenditure & revenue forecasts; •
revenues estimated conservatively
• Revenues diversified and stable
• General Fund unassigned balance to equal
or exceed 18%
• Contingency Fund reserve balance to
equal or exceed 1O% of previous year GF
revenue
Surplus = One -Time annual Revenue
Reserve of 10% of prior year one-time
revenue
Unrestricted Enterprise Fund balances
equal or exceed 20% of prior year revenue
GF support should not be relied upon for
funding capital projects
Utility fund expenditures fully supported
by their own rates/fees
Utility rates structured for adequate
infrastructure development & replacement
Rate increases: small, applied frequently,
staggered to avoid burdensome increase
Budget
Sustainability
Project
Purpose
Draft Mayor's proposed 2027-28 budget so that the City's
General Fund regularly -occurring revenues annually exceed
general fund expenditures for operations and capital
maintenance for 2027 through 2032. Target range of cost
savings or net new revenues is about $6M per year.
• Identify key goals and principles
• Include Council, community, and employee input
• identified by the Mayor as the City's highest priority for
2025-26
OD
Budget Sustainability Review- 5 Areas
•
Immediate Changes
Efficiency
Improvements
Out of the Box
•
Revenue Options
(Budget Proviso Work Group)
0 0
•
Salary and Benefit
Policies
•
Budget Sustainability Review- 5 Areas
•
Operating Expenses Capital & Utilities
Maintenance & Improvement
Expenditures
Timeline
• Most areas: recommendations to Mayor by end of 2025 to
include in 2027-28 budget development
o Immediate Changes/Efficiencies/Out of the Box Work Group -
explore for 2025-26 and beyond
• Revenues: Budget proviso work group will report in July
• Include Council (work sessions), community, and employee input
Next Steps
• Council engagement
• Community engagement
• Revenue Proviso Presentation
• Update on progress of Work Groups
12