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Item 06 Approval of New Licensing and Rebate Agreements with Bound Tree Medical for Operative IQ Inventory Management oc V e .. Florida AGENDA ITEM COVER SHEET Meeting Date: January 19, 2021 Item # OLP Reviewed By: Contact Name: Fire Chief John Miller Department Director: John M' Contact Number: 407-905-3140 City Manager: Robert Fran /7/// Subject: Approval of New Licensing and Rebate Agreements with Bound Tree Medical for Operative IQ Inventory Management Background Summary: The Ocoee Fire Department(OFD) utilizes Bound Tree Medical (BTM)to purchase EMS supplies that are stocked on all rescue and engine units, and used by Department personnel on medical calls. In 2018, BTM offered to extend the terms of its contract with Seminole County to the City of Ocoee for OFD to utilize, which the Honorable Mayor and City Commission approved. The established arrangement with BTM has been shown to be an effective and efficient method to procure EMS supplies for OFD. Additionally, in the same year, Commission approved the entrance into licensing and rebate agreements with BTM for the use of the Operative IQ (Op IQ) inventory management system and UCaplt vending machines. Further, in December 2020, Commission approved OFD to continue, to piggyback off of Seminole County's new contract amendment, #IFB-602939-17/TLR, in order to secure the most competitive pricing for the EMS supplies, pharmaceuticals, and narcotics necessary to effectively serve the community's needs. BTM has offered new rebate and licensing agreements for Op IQ software and UCaplt hardware and software for three years. These rebate and licensing agreements provide that OFD agrees to purchase at least $129,000 a year for three years in EMS equipment and supplies from BTM. In return, BTM will coverall fees and expenses to provide OFD with the Op IQ software and UCaplt vending machine hardware and software (savings of $40,206). Based on EMS supply expenditures since beginning fire-based transport, this threshold will not be an issue and has been included in the FY 2021 budget. Operative IQ is a software service provided by BTM, which works in tandem with the fire stations' UCaplt Cap 5 vending machines for advanced electronic inventory management and tracking of EMS supplies, pharmaceuticals, and narcotics. Both the Operative IQ software and the UCaplt software and hardware have assisted OFD in improving inventory and narcotic control and accountability. Issue: Should the Honorable Mayor and City Commission approve entrance into Licensing and Rebate Agreements with Bound Tree Medical, for the use of the Operative IQ inventory management system, UCaplt hardware and software, and to be granted rebates to cover the cost of three years of licensing fees? Recommendations: Staff recommends approval of entrance into the 3-year licensing and rebate agreements. Attachments: - BTM Operative IQ Licensing Agreement (includes rebate information) - BTM UCAPIT Purchase and Rebate Program Agreement Financial Impact: None, as the EMS Supplies budget includes sufficient funding to meet the purchase threshold with BTM. Type of Item: (please mark with an "z') Public Hearing For Clerk's Dept Use: Ordinance First Reading X Consent Agenda Ordinance Second Reading Public Hearing Resolution Regular Agenda X Commission Approval Discussion & Direction X Original Document/Contract Attached for Execution by City Clerk Original Document/Contract Held by Department for Execution Reviewed by City Attorney _ N/A Reviewed by Finance Dept. a� ,� fto N/A Reviewed by N/A 2 BoUnd Tree Operative IQ Licensing Agreement Customer Company Name: City of Ocoee Bound Tree Medical, LLC Address: 563 South Bluford Ave 5000 Tuttle Crossing Blvd. Ocoee, FL 34761 Dublin, OH 43016 Attention: Corey Bowles E-mail: cbowles@ocoee.org This Licensing Agreement(the"Agreement")is hereby entered this_ CONSEQUENTIAL, OR EXEMPLARY DAMAGES. IN NO EVENT day of , 2021 (the "Effective Date") by and WILL COMPANY BE LIABLE FOR ANY DAMAGES OR between Company and Customer (referred to herein as the NONCONFORMITY OF THE SOFTWARE AND SOFTWARE "Parties" or"Party"). ACCESSORIES. 1. Scope. The terms and conditions below represent the 9. Force Majeure. In the event that either Party is prevented terms and conditions under which Company will grant a from performing or is unable to perform any of its license to Customer for the Operative IQ Mobile Inventory obligations under this Agreement (other than payment of Management System for Emergency Medical Services (the amounts due hereunder)due to any Act of God,fire,casualty, "Software"). flood, war, strike, lockout, epidemic, destruction of facilities, 2.. Term. The term of this Agreement shall become effective as riot, insurrection, or any other cause beyond the of the Effective Date and shall remain in full force and reasonable control of the Party invoking this Section, such effective for 3 year(s) after the Effective Date unless party's performance shall be excused and the time for the otherwise terminated in accordance with the provisions set performance shall be extended for the period of the delay forth herein. or inability to perform due to such occurrences. 3. Grant of Non-Exclusive License. Subject to the terms and 10. Confidentiality. Neither Party may disclose the terms and conditions of this Agreement, Company hereby grants to conditions of this Agreement to a third party without the Customer a non-exclusive irrevocable license to the Software prior written consent of the other, except as required by law during the Term(the"License"). or as necessary to perform its obligations under this 4. Licensing Fee. The fee for each License shall be as specified Agreement.Notwithstanding the foregoing,Company may use on Exhibit A, per Contract Year, payable as of the respective certain Customer information as input data in a database Contract Year. For this purpose a "Contract Year" is the where Customer's identity shall be kept anonymous. Neither twelve (12) consecutive month period beginning on the party will make any press release nor other public Effective Date, and each succeeding Twelve (12) month announcement regarding this Agreement without the other consecutive 12 month period during the Term. If this party's prior written consent except as required under Agreement ends prior to the end of a Contract Year, the applicable law or by any governmental agency. annual License fee will be pro-rated to reflect the number of 11. Termination. Each Party reserves the right to terminate the months in the final Contract Year. The number of Licenses Agreement if: (a) the other Party ceases to function as a issued under this Agreement is as specified in Exhibit A. going concern in the normal course of business;(b)the other 5. Software Accessories. Customer may purchase Software Party commits or suffers any act of bankruptcy or insolvency; Accessories needed to operate the software at the prices (c) upon notice of termination after notice of a material breach specified on Exhibit A and shall be payable at the time of has been given and such breach is not cured within thirty(30) purchase. days following the notice of breach. Company may terminate 6. Set Up and Training. Set up of the Software shall be this agreement at any time upon written notice to the performed by the software developer at the price specified on Customer. Exhibit A. 12. Relationship of Parties. Each Party is an independent 7. Warranties. The Software and Software Accessories carry contractor of the other. Neither Party shall be the legal only those warranties made for them by their manufacturers. agent of the other for any purpose whatsoever and therefore The duration of the warranty shall extend for the length of has no right or authority to make or underwrite any promise, time set by the manufacturer. THERE ARE NO OTHER warranty, or representation, to execute any Agreement, or EXPRESSED OR IMPLIED WARRANTIES, INCLUDING ANY otherwise to assume any obligation or responsibility in the WARRANTY OF MERCHANTABILITY OR FITNESS FOR A name of or on behalf of the other party, except to the extent PARTICULAR PURPOSE. specifically authorized in writing by the other Party. 8. Limitation of Liability. COMPANY SHALL NOT BE LIABLE FOR 13. Assignment. This Agreement and the rights and obligations PUNITIVE, SPECIAL, PROXIMATE, INCIDENTAL, hereunder shall be binding upon and inure to the benefit of Page 1 of 2 V20180207 Bound Tree Operative IQ Licensing Agreement the Parties hereto and their respective successors and assigns; another jurisdiction. Each party irrevocably agrees that any provided that no Assignment,sale or other assignment of this legal action, suit or proceeding brought by it in any way Agreement can occur unless either(a)the transfer occurs by arising out of this Agreement must be brought solely and way of merger, reorganization, consolidation, amalgamation, exclusively in,and will be subject to the service of process and or as part of a transfer of all or substantially all of the other applicable procedural rules of, the state or federal assigning party's assets, or (b) then non-transferring Party courts in Delaware. consents to the transfer. In the event of such a transfer,the 17. Severability. If any provision of this Agreement is held to transferring Party agrees to secure consent from the be illegal, invalid or unenforceable under any present or transferee that it will assume and perform all obligations of future law, and if the rights or obligations of either Party the transferring Party under this Agreement. Supplier or under this Agreement will not be materially and adversely Company shall give the other written notice of any anticipated affected thereby such provision shall be fully severable and assignment of the Agreement as soon as administratively the remaining provisions of this Agreement shall remain in practicable after such information may first be made full force and effect to the fullest extent permitted by public. applicable law, each Party hereby waives any provision of 14. Notices. All notices or other communications that are law that would render any provision prohibited or required or permitted hereunder shall be in writing and unenforceable in any respect. delivered personally, sent by facsimile (and such facsimile 18. Waiver of Jury Trial. CUSTOMER AGREES TO WAIVE ANY must be promptly-confirmed by personal delivery, registered RIGHT TO HAVE A JURY PARTICIPATE IN THE RESOLUTION or certified mail or overnight courier as provided herein),sent OF THE DISPUTE OR CLAIM, WHETHER SOUNDING IN by nationally-recognized overnight courier or sent by CONTRACT, TORT OR OTHERWISE, BETWEEN ANY OF THE registered or certified mail, postage prepaid, return receipt PARTIES OR ANY OF THEIR RESPECTIVE AFFILIATES ARISING requested,to the addresses first specified hereinabove, or to OUT OF, CONNECTED WITH, RELATED TO OR INCIDENTAL such other address as the Party to whom notice is to be TO THIS AGREEMENT. given may have furnished to the other Party in writing in 19.Miscellaneous. Both Parties shall comply with all laws, accordance herewith,to the attention of the Chief Executive rules, and regulations applicable to this Agreement. All Officer. In addition, a copy of any notice to Company must purchases under this Agreement are for Customer's be sent to General Counsel, Bound Tree Medical, LLC, 5000 "own use" as such term is defined in judicial or legislative Tuttle Crossing Blvd., Dublin, OH 43016 (such copy shall not interpretation. This Agreement is the entire agreement constitute legal notice). between the parties with regard to the subject matter of this 15. Headings. The headings of this Agreement are for Agreement. No amendment of the terms of this Agreement convenience only and shall not affect the meaning of the will be binding on either party unless reduced to writing and terms of this Agreement. signed by an authorized employee of the party to be bound. 16. Governing Law/Venue. This Agreement shall be governed by 20. Counterparts. This Agreement may be executed in two or and construed in accordance with the laws of the State of more counterparts, each of which shall be deemed an Delaware, excluding any conflicts or choice of law rule or original,but all of which together shall constitute one and the principle that might otherwise refer construction or same instrument. interpretation of this Agreement to the substantive law of IN WITNESS WHEREOF,the parties hereto have executed this Company Agreement as of this day of ,2021 Customer Bound Tree Medical,LLC By: By: Name: Name: Alisha Enrico Title: Title: Director of Product Management *To the extent any item is provided at no charge,it is deemed to be provided at a discount on the full price of such item. These discounts are governed by the terms of a separate rebate agreement between the Parties. The parties acknowledge that the rebate provided under the terms of this Agreement constitutes a "discounts or other reductions in price"under section 1128 B(b)(3)(A)of the Social Security Act 42 U.S.C.1320a-7b(b)(3)(A). Accordingly,Customer shall disclose the discount to any state or federal program that provides cost or charge-based reimbursement to the extent required by law. Page 2 of 2 V20180207 CITY: CITY OF OCOEE,FLORIDA By: Rusty Johnson, Mayor ATTEST: Melanie Sibbitt, City Clerk (SEAL) APPROVED BY THE CITY OF OCOEE COMMISSION IN A MEETING HELD ON , 20 UNDER AGENDA ITEM NO. FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA; APPROVED AS TO FORM AND LEGALITY this day of , 20_. SHUFFIELD, LOWMAN &WILSON, P.A. By: City Attorney iiii,c,, Bound Exhibit A* Customer Name: City of Ocoee BTM Customer Number: 105944 BTM Account Manager: Shawn Murphy Number of Inventory Management Licenses: 15 Rebate Period: 3 Years Bound Tree Pricing Summary Year 1 Year 2 Year 3 TOTAL Inventory Management Licenses $5,400 $5,400 $5,400 $16,200 Narcotics Safe Single $3,000 $3,000 $3,000 $9,000 Total Fees Before Rebate $8,400 $8,400 $8,400 $25,200 Bound Tree Discount Pricing Summary Year 1 Year 2 Year 3 TOTAL Rebate Percentage for Licenses 100% 100% 100% Inventory Management Licenses $0 $0 $0 $0 Narcotics Safe Single $0 $0 $0 $0 Total Fees After Rebate $0 $0 $0 $0 Rebate Calculation Year 1 Year 2 Year 3 TOTAL Rebate Percentage 100% 100% 100% SAVINGS Minimum Purchase Commitment for Rebate $129,000 $129,000 $129,000 Rebate Amount $8,400 $8,400 $8,400 $25,200 *To the extent any item is provided at no charge,it is deemed to be provided at a discount on the full price of such item. These discounts are governed by the terms of a separate rebate agreement between the Parties. The parties acknowledge that the rebate provided under the terms of this Agreement constitutes a "discounts or other reductions in price"under section 1128 B(b)(3)(A)of the Social Security Act 42 U.S.C. 1320a-7b(b)(3)(A). Accordingly,Customer shall disclose the discount to any state or federal program that provides cost or charge- based reimbursement to the extent required by law. BOurild Tree Customer Rebate Agreement Customer Company Name: City of Ocoee Bound Tree Medical, LLC Address: 563 South Bluford Ave 5000 Tuttle Crossing Blvd. Ocoee, FL 34761 Dublin,OH 43016 Attention: Corey Bowles Attention: Alisha Enrico Email: cbowles@ocoee.org E-mail:Alisha.Enrico@sarnova.com This Rebate Agreement(the"Agreement")is hereby entered this day 9. Force Majeure. In the event that either Party is prevented from of _ ,2021(the"Effective Date")by and between Customer performing or is unable to perform any of its obligations under this and Company(referred to herein as the"Parties" or"Party"). Agreement(other than payment of amounts due hereunder)due to 1. Scope. The terms and conditions below represent the terms and any Act of God,fire,casualty,flood,war,strike,lockout,epidemic, conditions under which Company will pay a rebate to Customer.The destruction of facilities, riot, insurrection, or any other cause terms and conditions of any supply or similar contract executed, beyond the reasonable control of the Party invoking this Section, between the Parties shall apply to and govern this Agreement,to such party's performance shall be excused and the time for the the extent the terms of that agreement do not conflict with the performance shall be extended for the period of the delay or terms set forth herein. This Agreement shall include Exhibit A inability to perform due to such occurrences. hereto,which is incorporated herein by reference. 10. Termination. Each Party reserves the right to terminate the 2. Eligibility for Rebate. If the volume of products purchased by Agreementif:(a)theotherPartyceasestofunctionasagoingconcern Customer from Company during the period of time set forth in in the normal course of business; (b) the other Party commits or Exhibit A (the "Rebate Period")satisfies or exceeds the minimum suffers any act of bankruptcy or insolvency; (c) upon notice of purchase targets spedfied in Exhibit A, Customer shall be eligible for termination after notice of a material breach has been given and such a rebate in the amount specified in Exhibit A. breach is not cured within thirty (30) days following the notice of breach. Company may terminate this agreement at any time upon 3. Payment of Rebate. The rebate is payable(as soon as practicable written notice to the Customer. after the close of the Rebate Period)by credit memo upon calculation and approval of the rebate by Company. 11. Assignment. This Agreement and the rights and obligations hereunder shall be binding upon and inure to the benefit of the 4. Compliance with Safe Harbor Requirements.The Parties Parties hereto and their respective successors and assigns; acknowledge that the rebate provided under the terms of this provided that no Assignment, sale or other assignment of this Agreement constitutes a "discounts or other reductions in price" Agreement can occur unless either(a)the transfer occurs by way under section 1128 B(b)(3)(A) of the Soda! Security Act 42 U.S.C. of merger, reorganization, consolidation, amalgamation, or as 1320a-7b(b)(3)(A).Accordingly,Customer shall disclose the discount part of a transfer of all or substantially all of the assigning party's to any state or federal program that provides cost or charge-based assets,or(b)then non-transferring Party consents to the transfer. reimbursement to the extent required by law. In the event of such a transfer,the transferring Party agrees to 5. Term. This Agreement shall commence on the Effective Date and secure consent from the transferee that it will assume and continue for a period of three years unless otherwise terminated perform all obligations of the transferring Party under this in accordance with the provisions set forth herein. Agreement. Supplier or Company shall give the other written 6. Confidentiality. Neither Party may disclose the terms and notice of any anticipated assignment of the Agreement as soon as conditions of this Agreement to a third Party without the prior administratively practicable after such information may first be written consent of the other, except as required by law or as made public. necessary to perform its obligations under this Agreement. 12. Governing Law.This Agreement shall be governed by and Notwithstanding the foregoing,Company may use certain Customer construed in accordance with the laws of the State of Delaware, information as input data in a database where Customer's identity excluding any conflicts or choice of law rule or principle that might shall be kept anonymous. otherwise refer construction or interpretation of this Agreement to 7. Warranties.THERE ARE NO OTHER EXPRESSED OR IMPLIED the substantive law of another jurisdiction.Each party irrevocably WARRANTIES,INCLUDING ANY WARRANTY OF agrees that any legal action,suit or proceeding brought by it in any MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE way arising out of this Agreement must be brought solely and REGARDING PRODUCTS PURCHASED FROM COMPANY AND/OR THE exclusively in,and will be subject to the service of process and other REBATE. applicable procedural rules of, the state or federal courts in Delaware. 8. Limitation of Liability. COMPANY SHALL NOT BE LIABLE FOR 13. Waiver of Jury Trial. CUSTOMER AGREES TO WAIVE ANY RIGHT TO PUNITIVE,SPECIAL,PROXIMATE,INCIDENTAL,CONSEQUENTIAL,OR HAVE A JURY PARTICIPATE IN THE RESOLUTION OF THE DISPUTE OR EXEMPLARY DAMAGES. CLAIM,WHETHER SOUNDING IN CONTRACT,TORT OR OTHERWISE, Page 1of2 V20200327 BETWEEN ANY OF THE PARTIES OR ANY OF THEIR RESPECTIVE AFFILIATES ARISING OUT OF, CONNECTED WITH, RELATED TO OR INCIDENTAL TO THIS AGREEMENT. 14. Miscellaneous. Both Parties shall comply with all laws,rules,and regulations applicable to this Agreement. All purchases under this Agreement are for Customer's"own use"as such term is defined in judicial or legislative interpretation. This Agreement is the • entire agreement between the parties with regard to the subject matter of this Agreement. No amendment of the terms of this Agreement will be binding on either party unless reduced to writing and signed by an authorized employee of the party to be bound. 15. Counterparts. Agreement may be executed in two or more counterparts, each of which shall be deemed an original,but all of which together shall constitute one and the same instrument. IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of this day of ,2021. Customer By: Name: Title: Bound Tree Medical,LLC By: Alisha Enrico,Director of Product Management Page 2 of 2 V20200327 , hi, Bound ree Exhibit A* Customer Name: City of Ocoee BTM Customer Number: 105944 BTM Account Manager: Shawn Murphy Number of Inventory Management Licenses: 15 Rebate Period: 3 Years Bound Tree Pricing Summary Year 1 Year 2 Year 3 TOTAL Inventory Management Licenses $5,400 $5,400 $5,400 $16,200 Narcotics Safe Single $3,000 $3,000 $3,000 $9,000 Total Fees Before Rebate $8,400 $8,400 $8,400 $25,200 Bound Tree Discount Pricing Summary Year 1 Year 2 Year 3 TOTAL Rebate Percentage for Licenses 100% 100% 100% Inventory Management Licenses $0 $0 $0 $0 Narcotics Safe Single $0 $0 $0 $0 Total Fees After Rebate $0 $0 $0 $0 Rebate Calculation Year 1 Year 2 Year 3 TOTAL Rebate Percentage 100% 100% 100% Minimum Purchase Commitment for Rebate $129,000 $129,000 $129,000 SAVINGS Rebate Amount $8,400 $8,400 $8,400 $25,200 *To the extent any item is provided at no charge,it is deemed to be provided at a discount on the full price of such item. These discounts are governed by the terms of a separate rebate agreement between the Parties. The parties acknowledge that the rebate provided under the terms of this Agreement constitutes a "discounts or other reductions in price"under section 1128 B(b)(3)(A)of the Social Security Act 42 U.S.C. 1320a-7b(b)(3)(A). Accordingly,Customer shall disclose the discount to any state or federal program that provides cost or charge- based reimbursement to the extent required by law. 4,4 Bound Tree UCAPIT PURCHASE AND REBATE PROGRAM AGREEMENT Customer Company Name: City of Ocoee Bound Tree Medical, LLC Address:563 South Bluford Ave Address: 5000 Tuttle Crossing Blvd. Ocoee, FL 34761 Dublin, OH 43016 Attention:Corey Bowles Telephone: 614.760.5000 • E-mail: cbowles@ocoee.org This UCAPIT Committed Use Program and Product additional term(s). For purposes of this Agreement, Rebate Agreement(the "Agreement") is hereby entered "Initial Term" and "Renewal Term" shall be referred to this day of , 2021 (the "Effective Date") as "Term". by and between Company and Customer (referred to 3. Product Orders and Quantity. Customer may herein as the "Parties" or"Party"). submit a purchase order to Company for each order of 1. Scope. Subject to the terms and conditions set Products hereunder,specifying the quantity and type of forth herein, Company shall make available for purchase Product it is ordering. Such orders may be submitted certain medical products as it generally makes available online, by contacting Company's customer service to its customers ("Products") hereto to Customer. department, or by submitting a purchase order. Other Company may add or delete Products on Exhibit A upon preprinted terms and conditions on a purchase order written notice to Customer. Company shall not be submitted by Customer shall not be binding unless obligated to sell any quantity of the Product(s) beyond agreed to in writing by Company. Customer represents the amount, if any, which in Company's sole judgment is that all purchases under this Agreement are for available for such purposes at the date proposed Customer's "own use" and will not be sold or shipment of such Product(s). Additionally, subject to the distributed to a third-party. terms and conditions set forth herein, Company shall rent to Customer the UCAPIT inventory management 4. Pricing, Invoices, and Payment Terms for machines set forth in Exhibit B (the "UCAPIT Machines") Products. Company reserves the right to increase the and the related software. pricing on Products once a year upon written notification to Customer. Notwithstanding the 2. Term. The term of this Agreement shall become foregoing, Company may increase prices on Products at effective as of the Effective Date and shall remain in full any time upon written notification to Customer due to force for three (3) years after the Effective Date ("Initial increase in pricing from Company's suppliers and/or Term") unless otherwise terminated in accordance with manufacturers. Customer shall be responsible for the the provisions provided for herein. This Agreement shall cost of all sales taxes that Company is required by law automatically renew for successive terms of one (1) year to collect from Customer. Payments for each order ("Renewal Term") after the Initial Term unless a party, shall be made in U.S. dollars net 30 days from the date no later than ninety (90) days' prior to the expiration of of invoice and shall be made via check, money order, the Initial Term or a Renewal Term, gives notice to the wire transfer or ACH. Credit card payments will not be other party of its intent not renew the Agreement for an permitted or accepted. If Company has reason to Page 1of7 believe that Customer has unsatisfactory financial limitation, packaging, carrier costs, and additional cost responsibility, Company may require cash in advance or for expedited shipments. Customer shall report any other payment terms, suspend shipment, or cancel this nonconforming orders to Company within ten (10) days Agreement. of delivery. If notice of non-conformity is not received, the order will be deemed accepted by Customer on the If Customer is late in making payment, Company may, 10th day following delivery. Company shall have thirty without affecting its other rights: (a) suspend delivery or (30) days to cure any nonconformity reported by cancel the Agreement; (b) reject future orders; and/or Customer. Upon such cure, Products shall be deemed (c) charge a late-payment charge, from the due date to be accepted by Customer. until paid, at the rate of 1.5% per month, or, if less, the maximum amount allowed by law, which Customer must 8. GPO Agreements. In the event Customer is a pay upon Company's demand. member of group purchasing organization ("GPO") to which Company has a contract with relating to the 5. Rebates Program. The terms and conditions of supply of Products listed in Exhibit A, to the extent the any rebate program offered by Company shall be set terms of such GPO contract conflict with the terms of forth in Exhibit A. this Agreement, the terms of the GPO contract shall 6. Incentives. Customer acknowledges that any control. incentive, discount, rebate, or reward offered under this 9 Permissible Use of UCAPIT Machines. The Agreement constitutes a discount or reduction in price UCAPIT Machines and software related to this subject to Section 1128B(b)(3)(A) of the Social Security Agreement are intended only for Customer's own use Act 42 U.S.C. 1320a-7b(b)(3)(a). Customer agrees that it for the storage and dispensing of Products purchased by shall disclose any such discounts or reductions in price Customer herein, and tracking the usage of such under any state or federal program that provides cost or Products. charge-based reimbursement to the Customer for the Products covered by this Agreement. If and to the extent 10. UCAPIT Software. Customer acknowledges and any Product discounts, rebates or other purchasing agrees that UCAPIT relies on software for the usage of incentives are earned by or granted to Customer and UCAPIT Machines. Customer shall enter into such paid by Company (or, to the extent Customer is a agreements and licenses as may be required for the use member of a retail buying group with which Company of such software, and agrees to abide by any applicable has a relationship, as a part of such relationship), then terms and conditions and licenses required by UCAPIT applicable provisions of the Medicare/Medicaid and for such software usage. UCAPIT or other provider of state health care fraud and abuse/anti-kickback Laws such software retains all ownership and intellectual (collectively, "fraud and abuse laws") may require property rights in and to that content, and Customer's disclosure of the applicable price reduction on right to use such software are subject to, and governed Customer's claims or cost reports for reimbursement by, the terms applicable to such content as specified by from governmental or other third party health care UCAPIT or applicable third party owner, author, or programs or provider plans. The parties hereto shall provider. comply with all applicable provisions of the fraud and abuse laws. Company shall provide the value of such 11. UCAPIT Fee Payment. The annual fee payment discounts to Customer. for the use of the UCAPIT Machines shall be as specified on Exhibit B. Such fees shall be invoiced annually by 7. Shipping and Acceptance of Deliveries. All Company. Products shall be shipped FOB Origin (freight prepaid), with Customer being responsible for freight and all other 12. Set Up and Training. The delivery and set shipment and delivery costs, including, without up of the UCAPIT Machines shall be performed by UCAPIT. Customer agrees to work with UCAPIT to Page 2 of 7 coordinate the set up of the UCAPIT Machine(s) and any warranty limitation shall also apply to both Products training. Company shall have no liability for any damages and Equipment, if any, placed under any Rewards/Free incurred during the set up and training of the UCAPIT Use Program offered under this Agreement. Customer Machine, nor for the operation of the machine. understands and acknowledges that Company is only a distributor of the UCAPIT Machines. TheUCAPIT 12. Maintenance. Customer shall be responsible for Machines carry only those warranties provided by the the maintenance, repair and service of the UCAPIT manufacturer of the UCAPIT Machines. COMPANY Machines during the term of this Agreement. MAKES NO EXPRESSED OR IMPLIED WARRANTIES 14. Title of UCAPIT Machines. At all times during REGARDING THE PRODUCTS, UPCAPIT MACHINES, the term of this Agreement, Company is the owner of RELATED SOFTWARE OR SOFTWARE ACCESSORIES, the UCAPIT Machines and shall retain title to such INCLUDING BUT NOT LIMITED TO ANY WARRANTY OF UCAPIT Machines. Customer acknowledges and agrees MERCHANTABILITY OR FITNESS FOR A PARTICULAR that Customer holds the UCAPIT Machines as a bailment PURPOSE. COMPANY'S SOLE OBLIGATION AND and that neither Customer nor any creditor of Customer CUSTOMER'S EXCLUSIVE REMEDY FOR BREACH OF ANY shall have any right,security interest or property interest SUCH WARRANTY SHALL BE, AT COMPANY'S OPTION, in the UCAPIT Machines other than as bailee. Customer TO ASSIST CUSTOMER IN OBTAINING A REPAIR OR shall not (i) use the UCAPIT Machines for any purpose REPLACEMENT OF THE PRODUCT BY THE other than the purpose set forth herein, (ii) represent MANUFACTURER. itself to any third party as the owner of the UCAPIT 17. Limitation of Liability. COMPANY SHALL NOT Machines, (iii) grant any security interest, lien or BE LIABLE FOR LOST PROFITS, INDIRECT, INCIDENTAL, encumbrance in the UCAPIT Machines or (iv) move, CONSEQUENTIAL, EXEMPLARY, PUNITIVE OR SPECIAL remove or transfer the UCAPIT Machines to any location DAMAGES. other than set forth in Exhibit B. Customer will maintain liability insurance, property damage and casualty 18. Force Majeure. In the event that either party is insurance and such other types of insurance on the prevented from performing or is unable to perform any UCAPIT Machines in amounts and against risks in form of its obligations, other than making payments, under and substance acceptable to Company. this Agreement due to any Act of God, fire, casualty, flood, war, strike, lockout, epidemic, destruction of 15. Return of UCAPIT Machines. The UCAPIT facilities, riot, insurrection, or any other cause beyond Machines placed with Customer pursuant to this the reasonable control of the party invoking this Agreement shall immediately be returned to Company in Section, such party's performance shall be excused and the event this Agreement expires or is terminated for the time for the performance shall be extended for the any reason. Customer shall be responsible for all period of the delay or inability to perform due to such shipping costs associated with the return of the UCAPIT occurrences. Machines as well as the risk of loss of such UCAPIT Machine until it has been delivered to the location 19. Confidentiality. Customer may not disclose the designated by Company. In the event the UCAPIT terms and conditions of this Agreement to a third party Machines are not returned in accordance with this without the prior written consent of Company, except Section, Customer shall be required to pay Company the as required by law. Neither party will make any press fair market value of the UCAPIT Machines as will be release nor other public announcement regarding this determined in the sole discretion of Company. Agreement without the other party's prior written consent except as required under applicable law or by 16. Warranties. Products distributed by any governmental agency. Company and the UCAPIT machines carry only those warranties provided by their manufacturers. This Page 3 of 7 20. Compliance with Law. Both parties shall comply change its address, facsimile number or other contact with all laws, rules, and regulations applicable to this information required for notices by sending a change of Agreement, including but not limited to all federal, state address notice or other contact information using this and local laws respecting discrimination in employment notice procedure. and non-segregation of facilities including, but not limited to, requirements set out at 41 CFR 60—1.4. The 23. Headings. The headings of this Agreement are parties shall abide by the requirements of 41 CFR 60- for convenience only and shall not affect the meaning of 300.5(a). This regulation prohibits discrimination against the terms of this Agreement. qualified veterans, and requires affirmative action by 24. Assignment. Customer shall not assign this covered prime contractors and subcontractors to employ Agreement, nor any rights, interests or obligation and advance in employment qualified protected hereunder without the prior written consent of veterans. The parties shall abide by the requirements of Company, which consent will not be unreasonably 41 CFR 60-741.5(a). This regulation prohibits withheld. Company may assign this Agreement, or any discrimination against qualified individuals on the basis of its rights, interests or obligations hereunder, in whole of disability, and requires affirmative action by covered or in part,without Customer's consent (i)to any existing prime contractors and subcontractors to employ and or future affiliate, subsidiary and/or parent company or advance in employment qualified individuals with (ii) in the case of a merger, acquisition, divestiture, disabilities. consolidation or corporate reorganization (whether or 21. Termination. A party may terminate this not Company is the surviving entity). This Agreement Agreement at any time if the other party: (a) ceases to and the rights and obligations hereunder shall be function as a going concern in the normal course of binding upon and inure to the benefit of the parties business; (b) files for bankruptcy; or (c) becomes or is hereto and their respective successors and assigns. declared as insolvent. In the event a party hereto 25. Relationship of Parties. Company and Customer materially defaults in the performance of any of its will at all times be independent contractors. Neither duties or obligations hereunder, which default shall not party will have any right, power or authority to enter be substantially cured within thirty (30) days after notice into any agreement for or on behalf of, or to assume or is given to the defaulting party specifying the default, incur any obligation or liabilities, express or implied, on then the party not in default may, by giving notice behalf of or in the name of, the other party. This thereof to the defaulting party, terminate this Agreement will not be interpreted or construed to Agreement for cause. create an association, joint venture or partnership 22. Notices. All notices required to be provided between the parties or to impose any partnership hereunder must be in writing and will be deemed to obligation or liability upon either party. have been duly given only if delivered personally, by 26. Amendment. No amendment, modification or guaranteed overnight delivery service or facsimile to the change of this Agreement will be valid unless in writing parties at the addresses or facsimile numbers set forth and signed by an authorized representative of the party above. All such notices (i) if delivered personally or by to be bound. overnight delivery service to the address as provided in this Section, shall be deemed given upon delivery, or (ii) 27. Severability. If any provision of this Agreement if delivered by facsimile transmission to the facsimile conflicts with the law under which this Agreement is to number as provided in this Section, shall be deemed be construed or if any provision of this Agreement is given upon receipt providing a copy of such notice is also held invalid or unenforceable by a court of competent immediately delivered personally or by overnight jurisdiction, that provision will be deemed to be delivery service. Any party, from time to time, may restated to reflect as nearly as possible the original intentions of the parties in accordance with applicable Page 4 of 7 law. If any such provision cannot be amended to reflect 32. Counterparts. This Agreement and each Exhibit the intent of the parties, such provision shall thereby be attached hereto, may be executed in two or more deemed severed from the Agreement. The remaining counterparts, each of which shall be deemed an provisions of this Agreement will not be affected original, but all of which together shall constitute one thereby, and each of those provisions will be valid and and the same instrument. enforceable to the full extent permitted by law. IN WITNESS WHEREOF, the parties hereto caused this 28. Waiver. The failure of either party to enforce Agreement to be executed on its behalf by its duly strict performance by the other party of any provision of authorized representative as set forth below. this. Agreement or to exercise any right under this Agreement will not be construed as a waiver to any • extent of that party's right to assert or rely upon any Customer: provision of this Agreement or right in that or any other instance. A delay or omission by Customer or Company By: to exercise any right or power under this Agreement will Name: not be construed to be a waiver of that right or power. Waiving one breach will not be construed to waive any Title: succeeding breach. All waivers must be in writing and Date: signed by the party waiving rights. 29. Governing Law/Venue. This Agreement will be governed by and construed in accordance with the Bound Tree Medical, LLC applicable laws of Delaware, without giving effect to the principles of that State relating to conflicts of laws. Each By. party irrevocably agrees that any legal action, suit or Name: proceeding brought by it in any way arising out of this Agreement must be brought solely and exclusively in, Title: and will be subject to the service of process and other Date: applicable procedural rules of,the state or federal courts in Delaware. 30. Waiver of Jury Trial. CUSTOMER AGREES TO WAIVE ANY RIGHT TO HAVE A JURY PARTICIPATE IN THE RESOLUTION OF THE DISPUTE OR CLAIM, WHETHER SOUNDING IN CONTRACT, TORT OR OTHERWISE, BETWEEN ANY OF THE PARTIES OR ANY OF THEIR RESPECTIVE AFFILIATES ARISING OUT OF, CONNECTED WITH, RELATED TO OR INCIDENTAL TO THIS AGREEMENT. 31. Entire Agreement. This Agreement constitutes the entire agreement of the parties, superseding all prior agreements and understandings as to the subject matter hereof, notwithstanding any oral representations or statements to the contrary heretofore made. Page 5 of 7 CITY: CITY OF OCOEE,FLORIDA By: Rusty Johnson,Mayor ATTEST: Melanie Sibbitt, City Clerk (SEAL) APPROVED BY THE CITY OF OCOEE COMMISSION IN A MEETING HELD ON , 20 UNDER AGENDA ITEM NO. FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA; APPROVED AS TO FORM AND LEGALITY this day of , 20 . SHUFFIELD, LOWMAN&WILSON,P.A. By: City Attorney Exhibit A REBATE PROGRAM 1. Eligibility for Rebate/Cap on Rebate. If Customer's purchases of Products from Company during each contract year (Rebate period) satisfies or exceeds the minimum purchase targets (not including shipping costs, administrative fees, sales tax, discounts, credits, and/or returns) specified in the table below, and Customer timely pays fees, Customer shall be eligible for a rebate in the amount specified below in accordance with the terms of this Agreement. Notwithstanding the foregoing, the maximum amount of rebate Customer is entitled to receive per year is$2,900. 2. Payment of Rebates. The rebate is payable within 45 days after the close of each contract term by credit memo. The credit memo must be used by the Customer within sixty (60) days of issue date. Prior to payment of any rebate, Company may use such rebate amount to set off any amounts owed to Company by Customer. 3. Amount of Rebates. Year 1 Year 2 Year 3 Total Available BTM Purchases $129,000 $129,000 $129,000 Rebate Percentages 3% 3% 3% $2,900* $2,900* $2,900* * $2,900 is the maximum amount of rebate Customer is entitled to each year. 4. Additional Terms and Conditions. a. Applicable tax, if any, on rebated amounts is the sole responsibility of Customer. b. Void where prohibited or restricted by law, and Customer assumes the responsibility for assuring the legality in their location and organization. c. All rebate claims are subject to review and approval by Company in its discretion. d. No rebates will be paid on Products for which Customer is not the actual end-user or with respect to any Product(s)for which there has been a payment default. e. Invoice dates must be during the Term in order to claim the rebate. f. By participating in this rebate program,Customer agrees to abide by and be bound by these Terms and Conditions. g. Company reserves the right to reject orders with no liability to Customer under the rebate program. Page 6of7 Exhibit B UCAPIT FEE PAYMENTS Leased Items Annual Item Description BTM Item Quantity Fee CAP 12DL,12 Door Locker Extension for Connection to CAP 5 or CAP 3, BLACK 4310-12412 1 Software Service per CAP 5 or CAP 3 for 12 mos., PAID IN FULL covers Service,Training,Support(One license per year for three years) 4310-12121 3 $2,900 Fee Payment At the start of each contract year, Bound Tree Medical will issue the customer an invoice for the annual fee defined above. Payment terms for the invoice will be Net 365. Page 7 of 7