R-1421 - 11/25/2014 - CONTRACTS - Resolutions RESOLUTION 2014-IT-ALARMBD-AG-R-1421
A RESOLUTION APPROVING AND AUTHORIZING AN ALARM MONITORING AGREEMENT BY AND
BETWEEN THE VILLAGE OF OAK BROOK AND TYCO INTEGRATED SECURITY, LLC
WHEREAS, Chapter 3 of Title 6 of the Village Code of the Village of Oak Brook, Illinois, as
amended ("Village Code"), sets forth rules and regulations for the installation, operation, and use of
alarm systems in the Village; and
WHEREAS, Village residents may subscribe for direct connect alarm services that connect
directly to the Village's emergency monitoring equipment provided that a resident's alarm service provider
enters into an agreement with the Village to connect the provider's alarm board monitoring equipment to
the Village's equipment("Alarm Monitoring Agreement"); and
WHEREAS, Tyco Integrated Security, LLC of Oak Brook, Illinois ("Tyco") entered into a five-year
Alarm Monitoring Agreement with the Village in 2009, which Alarm Monitoring Agreement is expiring; and
WHEREAS, the Village and Tyco desire to enter into a new five-year Alarm Monitoring
Agreement, which Alarm Monitoring Agreement is attached hereto as Exhibit A; and
WHEREAS, the President and Board of Trustees have determined that it is in the best interest of
the Village to enter into the Alarm Monitoring Agreement with Tyco;
NOW THEREFORE, BE IT RESOLVED BY THE PRESIDENT AND BOARD OF TRUSTEES OF
THE VILLAGE OF OAK BROOK, DU PAGE AND COOK COUNTIES, ILLINOIS as follows:
Section 1: Recitals. The foregoing recitals are hereby incorporated into, and made a part
of, this Resolution as the findings of the President and Board of Trustees of the Village of Oak Brook.
Section 2: Approval of the Agreement. The President and Board of Trustees hereby
approve the Alarm Monitoring Agreement by and between the Village and Tyco in substantially the same
form attached hereto as Exhibit A.
Section 3: Execution of Agreement. The Village President and the Village Clerk shall be,
and are hereby, authorized to execute the approved final Alarm Monitoring Agreement on behalf of the
Village after receipt of the final Alarm Monitoring Agreement fully executed by Tyco.
Section 4: Effective Date. This Resolution shall be in full force and effect upon passage and
approval in the manner provided by law.
[SIGNATURE PAGE FOLLOWS]
Resolution 2014--IT-ALARMBD-AG-R-1421
Approving Alarm Monitoring Agreement
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APPROVED THIS 25th day of November, 2014
Gopal G. Lalmalani
Village President
PASSED THIS 25th day of November, 2014
Ayes: Trustees Adler, Baar, Manzo, Moy
Nays: Trustee Yusuf
Absent: Trustee Wolin
ATTEST.
AtO
Charlotte K. Pruss
Village Clerk
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Resolution 2014--IT-ALARMBD-AG-R-1421
Approving Alarm Monitoring Agreement
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EXHIBIT A
Agreement
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AGREEMENT
The Village of Oak Brook (hereinafter known as the "Village") and Tyco Integrated
Security, LLC, (hereinafter known as "Tyco"), agree as follows:
1. The Village hereby grants to TYCO, the right to install, maintain, replace,
upgrade and operate, at TYCO's cost, for a period of five (5) years beginning on November 1,
2014 an alarm monitoring and receiving system (the "System") in the Village's Communications
Center. The Village and TYCO do hereby agree and acknowledge that the privileges, rights,
duties and obligations granted to TYCO under this Agreement shall be held personally in trust by
TYCO and shall not be transferred without the prior consent of the Village.
2. The Village and TYCO acknowledge that there is now installed in the
Communications Center equipment owned by TYCO required to operate the System and provide
monitoring services (the "Equipment") to residents of the Village's service area, including
businesses operating in the Village, who are now monitored at the Communication Center
(hereinafter called "a Customer" or "Customers"), TYCO shall monitor existing Customers and
any new Customers who in the future desire to be monitored at the Communications Center,
provided that such existing and new Customers meet reasonable application criteria and enter
into a direct agreement with TYCO, TYCO will provide sufficient additional Equipment to
upgrade the existing system to monitor all existing Customers by Keltron radio and as the need
arises, any future Customers, TYCO upon reasonable request of the Village shall, at TYCO's
cost, relocate the Equipment, and shall do so in a manner and at a time intended to minimize any
disruption or disturbance of the operations of the Communications Center.
3. TYCO will maintain the Equipment with all attendant cable and labor, and further
maintain it on a 24-hour basis, all at no expense to the Village. If the Equipment shall cease to
be operable, TYCO shall immediately, after notification by the Village, endeavor to make any
repairs necessary for the Equipment to be fully operable, TYCO shall replace the Equipment as
necessary.
4. The Village understands that TYCO will charge other alarm companies an initial
connection fee of$200 for each of their customers for whom monitoring is provided hereunder.
The monthly monitoring fee charged Customers by TYCO shall be $25 per position, for phone
line based systems and $25 for radio systems. These fees are exclusive of any fees of the
Village, including the fee set forth in Paragraph 5, which may be passed to the Customers by
TYCO, TYCO shall not charge the Village a connection fee or a monitoring fee for any
monitoring services, which TYCO provides, to the Village through the System, TYCO may
increase the monthly monitoring fees charged Customers effective as of any yearly anniversary
of the date specified in Section I of this Agreement. Unless otherwise agreed by the Village in
writing, the percentage increases in the monthly monitoring fees shall be no more than the
percentage of increase in the wholesale price index for the Chicago Metropolitan Area as
published for the U.S. Department of Commerce since the date specified in Section 1, or the
effective date of the last increase in the monitoring fees, whichever date is later.
5. In addition to any other fees, TYCO shall collect from each customer a $22 per
month service charge for phone line based systems. And $22 per month for radio systems for
each site that is provided monitoring services through the System. TYCO shall account for and
remit to the Village all funds collected as a result of the imposition of the service charge within
sixty (60) days after the end of each calendar quarter.
In addition, TYCO will pay the village for all accounts being monitored on the alarm
board excluding village accounts regardless of the payment status. The Village of Oak Brook
agrees that TYCO will be allowed to disconnect any nonpaying accounts, with ten (10) day
written notice to the Village of Oak Brook. Any account so disconnected and seeking to be
reconnected, will be subject to all charges or fees as well as moneys owed to TYCO and/or the
Village.
6. TYCO's right to provide monitoring hereunder shall extend to all burglar, hold-up
alarms, and fire alarms monitored by the Communications Center and other types of alarm
monitoring requested by the Village, for a period of five (5) years from the date specified in
Section 1 of this Agreement.
7. TYCO will continue to provide positions on the System for use of the Village, in
a sufficient number to allow the supervision of existing Village, connections and shall provide a
reasonable number of additional positions to the Village, as the need arises.
8. The Village acknowledges that the Equipment is owned by TYCO, and in the
event this Agreement expires or is terminated for any reason, TYCO shall have the right to
remove the Equipment upon a sixty (60) day written notice to the Village. In the event this
Agreement expires or is terminated for any reason, TYCO shall remove the Equipment within
ten (10) days after receiving a notice from the Village to remove the Equipment. In the event
TYCO fails to remove the Equipment within this ten (10) day period, the Village shall have the
right to remove and store the Equipment at TYCO's risk, cost and expense.
9. Prior to sixty (60) days before the end of this Agreement, as set forth in Section 6
either party may cancel this Agreement by giving the other party notice of cancellation by
certified mail, return receipt requested. In the event that neither party gives the other party such
notice of cancellation, then this Agreement shall be extended for successive three (3) month
periods, provided that either party may terminate this Agreement at the end of any such three (3)
month extension period by giving the other party notice of cancellation not less than sixty (60)
days before the expiration of the three (3) Month period. If at any point this Agreement is
terminated or expires, every reasonable effort will be made by TYCO so that there is no
interruption of service to the Customers connected to the System at the time of termination of
expiration.
10. Village shall, upon request, furnish to TYCO an opinion of legal counsel for the
Village that this Agreement was properly authorized and is binding on the Village.
11. Indemnification: The TYCO shall protect, indemnify, save, defend and hold
forever harmless the Village and/or its officers, officials, employees, volunteers and agents from
and against all liabilities, obligations, claims, damages, penalties, causes of action, costs and
expenses, including without limitation court costs, insurance deductibles and attorney's fees and
expenses, which the Village and/or its officers, officials, employees, volunteers and agents may
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incur, suffer or sustain, or for which the Village and/or its officers, employees and agents may
become obligated by reason for any accident, injury to or death of persons or loss of or damage
to property, or civil and/or constitutional infringement of rights (specifically including violations
of any federal civil rights law), arising indirectly or directly in connection with or under, or as a
result of, tins or any Agreement by virtue of any act or omission of any of the TYCO's officers,
employees, subcontractors, and/or agents, provided that the TYCO shall not be liable for claims,
obligations, damages, penalties, causes of action, costs and expenses arising in part or in whole
by any act or omission of the Village's officers, officials, employees, volunteers and/or agents.
The TYCO shall hold the Village harmless for any and all claims for labor, material,
apparatus, equipment, fixtures or machinery furnished to TYCO for the purpose of performing
the work under the contract; and the payment of all direct and indirect damages to any person,
firm, company or corporation suffered or sustained on account of the performance of such work
during the time the contract is in force.
In addition, to the fullest extent permitted by law, TYCO shall indemnify and hold
harmless the Village, its officers, employees and agents, from any and all claims, costs liabilities,
losses, damages, injuries, demands, actions, causes of actions, suits, proceedings,judgments and
expenses, including without limitation, attorney's fees, court costs and other legal expenses
arising out of or in connection with:
A) TYCO's operation of the system.
B) Any act or omission to act by TYCO, its employees, servants and agents,
except to the extent a claim is based on the acts or omissions of the
Village and/or its employees, officers or agents, when acting within the
scope of their employment, office or agency.
12. It is understood and agreed that the Village shall have no liability to any third
party as a result of the failure of the System to operate as intended. However, the Village shall
notify TYCO of any system failures that it is or becomes aware of. TYCO agrees that it shall
include in all contracts for services provided through the System, a provision which states that
the customer agrees that the Village shall have no liability in the event that the System fails to
operate as intended.
13. TYCO hereby assumes and shall bear the entire risk of loss and damage to any
Equipment whether or not insured against, once such equipment is placed or installed in the
Communication Center, without any recourse against the Village, its officers, employees and
agents whatsoever. It is understood and agreed that the Village shall have no obligation to insure
any part of the System or other property owned by TYCO located on premises owned or
controlled by the Village against loss or damage.
14. It is understood and agreed that the Village shall endeavor to monitor the System,
provided however, that the Village shall incur no liability of any kind, in the event it fails to
monitor the System. TYCO's agreement with its customers shall include a provision that will
exonerate or relieve the Village from liability to a customer and other third parties in the event
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the Village fails to monitor the System or fails to promptly respond to an alarm transmitted
through the System.
15. General Comprehensive Liability Insurance: Certificates of Insurance shall be
presented to the Village within fifteen (15) days following approval of this Agreement by the
Village.
During the term of this Agreement TYCO shall maintain insurance with limits no less
than:
A) General Liability - $2,000,000 combined single limit per occurrence for
bodily injury, personal injury and property damage, provided that when
the estimated cost of the work in question does not exceed $25,000, the
required limit shall be $1,000,000;
B) Automobile Liability (if applicable) - $1,000,000 combined single limit
per accident for bodily injury and property damage;
C) Worker's Compensation and Employer's Liability - Worker's
Compensation limits as required by the State of Illinois and Employer's
Liability limits of$1,000,000 per accident.
Any deductibles or self-insured retention must be declared to and approved by the
Village. At the option of the Village, either the insurer shall reduce or eliminate such deductible
or self-insured retention as respects the Village, its officers, officials, employees and volunteers;
or TYCO shall procure a bond guaranteeing payment of losses and related investigations, claim
administration and defense expenses to the extent of such deductible or self-insured retention.
The policies shall contain, or be endorsed to contain,the following provisions:
A) General Liability and Automobile Liability Coverage:
(1) The Village, its officers, officials, employees and volunteers are to
be covered as additional insureds with respect to: liability arising
out of activities performed by or on behalf of TYCO; as well as
premises owned, occupied or used by TYCO. The coverage shall
contain no special limitations on the scope of protection afforded
to the Village, its officers, officials, employees, volunteers, or
agents.
(2) TYCO's insurance coverage shall be primary insurance as respects
the Village, its officers, officials, employees, volunteers and
agents. Any insurance or self-insurance maintained by the Village,
its officers, officials, employees, volunteers or agents shall be in
excess of TYCO's insurance and shall not contribute with it.
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(3) Any failure to comply with reporting provisions of the policies
shall not affect coverage provided to the Village, its officers,
officials, employees, volunteers or agents.
(4) TYCO's insurance shall apply separately to each covered party
against whom claim is made or suit is brought except with respect
to the limits of the insurer's liability.
(5) Notwithstanding anything to the contrary contained in the
foregoing, TYCO's insurance policies will not provide coverage
for the negligence or other wrongful conduct of any additional
insured.
B) Worker's Compensation and Employer's Liability Coverage:
(1) The policy shall waive all rights of subrogation against the Village,
its officers, officials, employees, volunteers and agents for losses
arising from work performed by TYCO for the Village.
Each insurance policy shall be endorsed to state that coverage shall not be suspended,
voided, canceled by either party, reduced in coverage or in limits except after thirty (30) days
prior written notice by certified mail has been given to the Village. Each insurance policy shall
name the Village, its officers, officials and employees, volunteers and agents as additional
Insureds. All insurance shall be placed with insurers with a Best's rating of no less than A-: VII.
TYCO shall furnish the Village with certificates of insurance and with original
endorsements effecting coverage required by this provision. The certificate and endorsements for
each insurance policy are to be signed by a person authorized by that insurer to bind coverage on
its behalf. The certificates and endorsements are to be on forms shall subject to approval by the
Village before work commences. The Village reserves the right to require complete, certified
copies of all required insurance policies, at any time.
In addition, TYCO shall provide proof of such insurance at any time during this
Agreement, when requested by the Village.
16. In the event of any action at law or suit in equity in relation to this Agreement, the
prevailing party shall be entitled to a reasonable sum for its attorney's fees. Venue for any action
arising in connection with this Agreement shall be in the 18th Judicial Circuit (DuPage County)
Illinois.
17. This Agreement does not confer any duties or benefits and any rights on any
entities other than TYCO and the Village.
18. This Agreement incorporates the entire agreement and understanding between the
parties and there are no oral agreements, understandings, or representations between the parties
which are not reduced to writing herein, including attachments. This Agreement may not be
changed, modified or discharged, except in writing executed by all parties hereto.
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19. This Agreement shall not be assigned by any party without the express written
consent of the parties, which consent may be withheld, in the sole discretion of the other parties.
Notwithstanding the foregoing, TYCO shall have the right, without the Village's consent, to
assign or otherwise transfer this Agreement to any of its affiliate, subsidiary or parent companies,
or to an entity other than an affiliate, subsidiary or parent company that (i) acquires substantially
all of the assets or stock of, merges or consolidates with or into, or acquires a controlling interest
in it, and (ii) expressly assumes in writing TYCO' s obligations and responsibilities hereunder.
20. This Agreement may not be amended except pursuant to a written instrument
signed by both parties.
21. If any one or more of the provisions of this Agreement shall be held by a court of
competent jurisdiction in a final judicial action to be void, voidable or unenforceable, then this
entire Agreement shall be null and void.
22. This Agreement is binding upon the successors and assigns of the parties.
23. The waiver by either party of any breach or violation of any provision of this
Agreement shall not be deemed to be a waiver or a continuing waiver of any subsequent breach
or violation of the same or any other provision of this Agreement.
24. Under no circumstances shall this Agreement be construed as one of agency,
partnership, joint venture or employment between the parties. The parties shall each be solely
responsible for the conduct or their respective officers, employees and agents in connection with
the performance of their obligations under this Agreement.
25. This Agreement may be executed in counterparts, facsimile signatures shall be
sufficient.
26. Any notice or demand required or permitted hereunder shall be in writing and
shall be deemed duly served if mailed by prepaid registered or certified mail, return receipt
requested or personally delivered with evidence of receipt, addressed as follows:
To the Village: Village of Oak Brook
1200 Oak Brook Road
Oak Brook, Illinois 60523
Attn: Village Manager
To TYCO: Tyco Integrated Security, LLC
2010 Swift Drive
Oak Brook, IL 60523
Attn: Randy Justin
Notices shall be deemed effectively given as of the date, which is two (2) business days
following the date of postmarking, by the U. S. Postal Service or as of the date of delivery if
hand or personally delivered.
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This A e ent suer �P agreements dated 11/1/2009 and shall become effective as of the
25thdayfovembe�1 provided that the term of the Agreement shall not start until the date
specified in Section 1. This Agreement incorporates the terms set forth in the Letter of
Understanding dated November 1, 2014, which is attached hereto as Exhibit A.
Tyco Integrated Security, LLC Village of Oak B •ok
By: .. .� By:
Title: 4&-/-4--- Title:
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EXHIBIT A
LETTER OF UNDERSTANDING
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Letter of Understanding --Village of Oak Brook and Tyco Integrated Security
November 1, 2014
Village of Oak Brook
1200 Oak Brook Rd
Oak Brook, IL 60523
Attn: Purchasing Department
Gentlemen:
Thank you for the opportunity to provide Wireless Alarm Services at the Village of Oak
Brook.
Outlined below,you will find the services Tyco Integrated Security will provide and the
manner of the rollout/switchover to wireless:
1. Tyco Integrated Security agrees to supply all equipment and services necessary to
receive wireless alarm signals and transmit them to the Village of Oak Brook.
2. The monthly wireless monitoring fee charged to subscribers shall be$45.00 per
transceiver,with an on-site Radio rental and service plan of$46.00. The total is ninety-
one dollars ($91.00)per month.
3. Tyco Integrated Security agrees to supply:
A. All subscriber radios and all site installations in accordance with manufacturer
recommendations.
B. Provide 15 village accounts listed in the RFP and up to 5 additional Village
accounts with a transceiver to be installed for($0.00)and a monthly monitoring
fee $0.00+$0.00 QSP (quality service plan). Total is $0.00.
4. Tyco Integrated Security shall program the units to transmit only a standardized set of
signals agreed upon by the Village of Oak Brook. This will apply to any and all
transceivers throughout the Oak Brook system.
5. All subscriber transceivers will be installed by and owned by Tyco Integrated
Security. The village may,with written request, authorize the direct sale of a radio on a
limited basis.
6. Tyco Integrated Security will maintain an adequate inventory of spare parts for the
base station receivers so as to be in a position to affect any necessary repairs as quickly as
possible.
7. The Village administrative and monitoring fee will decrease on January 1,2015 from
$22.51 to $22.00 per month. The automatic annual 3%increase will be removed. The
$22.00 per month rate will remain in effect for the term of this agreement.
8.In addition to Village of Oak Brook buildings,monitoring fees will be waived for
School District 35, and the Oak Brook Park District alarms.