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Resolution 2017-19 Resolution No. 2017-_a A RESOLUTION OF THE UNITED CITY OF YORKVILLE, KENDALL COUNTY, ILLINOIS,APPROVING AN INTERGOVERNMENTAL AGREEMENT FOR MEMBERSHIP IN A GOVERNMENT INFORMATION TECHNOLOGY CONSORTIUM WHEREAS, the United City of Yorkville, Kendall County, Illinois ("City") is a duly organized and validly existing unit of local government created in accordance with the Constitution of the State of Illinois of 1970 and the laws of this State; and, WHEREAS, the Constitution of the State of Illinois of 1970, Article VII, Section 10, provides that units of local government may contract or otherwise associate among themselves to obtain or share services and to exercise, combine, or transfer any power or function in any manner not prohibited by law or by ordinance and may use their credit, revenues, and other resources to pay costs related to intergovernmental activities; and, WHEREAS, the City and the Village of Oswego, Kendall and Will Counties, Illinois (the "Village") have entered into an intergovernmental agreement(the "City/Village Agreement") for the sharing of information technology services ("IT Services") to keep up with technology best practices and better serve the needs of their residents; and, WHEREAS, the City/Village Agreement contemplates the City and Village each entering into an intergovernmental agreement for involvement in a Government Information Technology Consortium wherein municipalities develop and share IT Services in order to operate more efficiently, reduce risk, and provide for a collaborative environment for innovation and continuous improvement; and, WHEREAS, the City believes it to be in its best interests and the best interests of its citizens and taxpayers to enter into a Government Information Technology Consortium in accordance with the terms and conditions as set forth in an intergovernmental agreement. NOW,THEREFORE,BE IT RESOLVED,by the Mayor and City Council of the United City of Yorkville, Kendall County, Illinois, as follows: Section 1. That the Intergovernmental Agreement for Membership in a Government Information Technology Consortium (GovITC), attached hereto and made a part hereof, is Resolution No.2017-iff Page 1 hereby approved and the Mayor and City Clerk are hereby authorized to execute and deliver said Agreement on behalf of the United City of Yorkville. Section 2. The Mayor, City Clerk, and City Administrator are hereby authorized and directed to undertake any and all actions as may be required to implement the terms of said Agreement. Section 3. This Resolution shall be in full force and effect from and after its passage and approval as provided by law. Passed by the City Council of the United City of Yorkville, Kendall County, Illinois this (7, day of _a r-(- , 2017. CITY CLERK CARLO COLOSIMO KEN KOCH l JACKIE MILSCHEWSKI JOEL FRIEDERS CHRIS FUNKHOUSER DIANE TEELING SEAVER TARULIS Approved by me, as Mayor of the United City of Yorkville, Kendall County, Illinois, this 5 day of APRIL , 2017. - '� /Z� 4 MAYO Attest, City Clerk Resolution No.2017A Page 2 INTERGOVERNMENTAL AGREEMENT FOR MEMBERSHIP IN A GOVERNMENT INFORMATION TECHNOLOGY CONSORTIUM(GovITC) This Intergovernmental Agreement("Agreement") is entered into this OW day of lu"C14 ,20_ff,by and between the municipalities that have executed this Agreement pursuant to its terms(collectively referred to as"Parties"). WITNESSETH: WHEREAS, Section 10 of Article VII of the Illinois Constitution of 1970 and Section 3 of the Illinois Intergovernmental Cooperation Act authorize and encourage the entering into of Intergovernmental Agreements between units of local government; WHEREAS,the Parties desire to enter into an Intergovernmental Agreement setting forth the responsibilities of the Parties with regard to the operation of a consortium to develop and share information technology services, staffing, and equipment; and WHEREAS,the Parties wish to establish a long-term information technology shared service and support consortium to operate more efficiently,reduce risk, and provide for a collaborative environment for innovation and continuous improvement. NOW,THEREFORE, in consideration of the mutual covenants of this Agreement and other good and valuable consideration,the Parties agree as follows: I. General Purpose; Authority Section 1. The general purpose of this Agreement is to establish a long-term shared information technology service and support consortium and to establish its governing Board and Members. Section 2. The Members agree to establish GovITC as an intergovernmental entity to implement the functions, services, and responsibilities described in this Agreement. Section 3. The GovITC consortium shall operate in accordance with the requirements of the Illinois Open Meetings Act, 5 ILCS 120/1, et seq., and the Illinois Freedom of Information Act, 5 ILCS 140/1, et seq. 1 Section 4. GovITC shall comply with all applicable federal and State laws,rules, and regulations. Section 5. The Members agree that no one unit shall be responsible or liable, in whole or in part, for the acts of GovITC, or the agents or contractors of GovITC, or any other Members acting separately or in conjunction with the implementation of the activities of GovITC. II. Construction and Definitions Section 1. The language in the text of this Agreement shall be interpreted in accordance with the following rules of construction: (a) The singular number includes the plural number and the plural the singular, (b) The word"shall" is mandatory;the word"may" is permissive; and (c) The masculine gender includes the feminine and neuter Section 2. When the following words and phrases are used,they shall, for the purposes of this Agreement,have the meanings respectively ascribed to them in this Section, except when the context otherwise indicates. (a) "ACCOUNT" -the account or accounts established and funded by the Members to: (1)pay the joint administrative expenses of GovITC; (2) fund it's pro rata share of certain approved technology initiatives for GovITC; and (3)pay any other expenditure approved by the Board and/or otherwise authorized by the terms of this Agreement. (b) "AGREEMENT" -this Intergovernmental Agreement for Membership in a Government Information Technology Consortium. (c) "ANNUAL CONTRIBUTION"—the annual proportional amount paid by each member for Shared Initiatives plus any agreed upon administration fees such as the annual audit. (d) `BOARD" -the Board of Directors of GovITC, consisting of one(1)Director from each Member. (e) `BY-LAWS"—the by-laws of the GovITC Board, attached as Exhibit B, as the Board may be amend from time to time. 2 (f) "CHARTER MEMBER"—the founding members of the GovITC. (g) "CHIEF ADMINISTRATIVE OFFICER"-the City or Village Manager or Administrator for each Member. (h) "CORPORATE AUTHORITIES" -the governing body of each Member. (i) "FISCAL YEAR" -the twelve month period commencing on January 1 of a particular year. (j) "FORMER MEMBER" - any Unit,which was once a Member,but has either withdrawn from GovITC or whose status as a Member was terminated pursuant to this Agreement. (k) "FUND BALANCE" -the amount of Shared Assets exceeding liabilities at any point in time using generally accepted accounting principles. (1) "GOVERNMENT INFORMATION TECHNOLOGY CONSORTIUM"or "GovITC" -the consortium created pursuant to this Agreement. (m)"INITIAL MEMBERSHIP FEE"-the fee paid upon joining GovITC to gain the advantage of innovations, standardization processes and shared platforms developed within consortium. (n) "INTELLECTUAL PROPERTY"-any and all software,data,maps, or related items generated by or for GovITC. Such intellectual property shall be considered privileged and confidential trade secrets and shall constitute valuable formulae, design and research data or which Members have given substantial consideration. (o) "IT"or"INFORMATION TECHNOLOGY"- information technology systems, equipment, software, equipment, and related services. (p) "MASTER CONTRACT"-the standard contract agreement between GovITC and a Member. (q) "MEMBER"-a Unit which enters into this Agreement and is,at any specific time not in default as set forth in this Agreement. (r) "MEMBERS ATTRITION FORMULA"-the distribution of Shared Assets based on Member original contribution amount and date and its age. 3 (s) "MEMBER GUIDELINES" -the procedures established by the Board to implement operations under this Agreement. (t) "MEMBERS RESERVE ACCOUNT"or"ACCOUNT" -the account for holding Members Annual Contributions. (u) "MINIMUM MEMBERSHIP CRITERIA" -the evaluation criteria used by the Board for consideration of new Members as defined in Exhibit A. (v) "QUORUM" -the required percentage of Directors necessary for the Board to hold a meeting. A quorum is present when a majority(more than 50%)of the Directors is present at a duly called meeting of the Board. (w) "RESERVES"-the amount established through an excess of Annual Contributions over expenses and established to reduce the volatility of IT expenses. (x) "SERVICE CATALOG"—the schedule of IT services and fees provided by the Service Provider to Members and approved by the Board on an annual basis. (y) "SERVICE PROVIDER'-any professional services firm(s)that GovITC designates as the firm(s)to establish,operates, maintain or support Information Technology for the Members. (z) "SECONDARY SERVICE PROVIDER"- a Service Provider not limited to a supplier of software,hardware,or other services. (aa) "SHARED ASSETS" -the collective investments in hardware, software, communications and other information technology equipment made and used by the Members pursuant to this Agreement. (bb) "SHARED INITIATIVES" -the programs or Shared Assets where the cost will be shared by the Members and held by GovITC. (cc) "SOFTWARE"-the computer programs, form designs, user manuals,data specifications and associated documentation employed as part of each Member's IT. 4 (dd)"TRANSFER PLAN" -the plan upon Members suspension,withdrawal, or termination from GovITC for the transfer of the Member's assets, if any, from GovITC including without limitation schedule, tasks,responsibilities and final sign off. (ee) "UNIT OF LOCAL GOVERNMENT"or"UNIT" - includes any political subdivision of the State of Illinois or any department or agency of the state government or any city, village or any taxing body that is not a Member. III. Membership Section 1. The Charter Members of GovITC shall be Buffalo Grove, Glenview, Kenilworth,Lake Bluff and Lincolnshire. Section 2. Units may apply and obtain for membership in GovITC as provided in the By-Laws. Any new Unit joining GovITC must meet Minimum Membership Criteria, as the Board may amend from time to time. Any exceptions to the Minimum Membership Criteria must be approved by two-thirds(2/3) affirmative vote of the entire Board,with the new Unit defining and committing to a plan to meet the full Minimum Membership Criteria within a specified timeframe. IV. Board of Directors Section 1. The governing body of GovITC shall be its Board of Directors, which shall operate pursuant to the By-Laws attached as Exhibit B, as they may be amended by the Board from time to time. Section 2. The Chief Administrative Officer of each Member shall appoint one(1) Director to the Board,who shall have one(1)vote, and shall also appoint one alternate Director who shall be entitled to attend meetings of the Board but may only vote in the absence of the Member's Director. The Chief Administrative Officer shall promptly fill any vacant Director or alternate Director position. 5 Section 3. The officers of the Board shall consist of a President, a Vice-President, a Treasurer, and a Secretary,who shall exercise those powers and duties described in the By- Laws. V. Powers and Duties of the Board Section 1. The powers and duties of the Board shall include the powers to: (a) Take such action, as it deems necessary and appropriate,to accomplish the general purposes of this Agreement, including negotiating with a Service Provider to determine annual rates and service levels for the Members and exercising other ancillary administrative powers. (b) Authorize all GovITC expenditures. (c) Establish and collect the Initial Membership Fee. (d) Establish and collect annual contributions for services to Members and to others. (e) Establish an annual budget and cause an annual fmancial accounting report in writing to its Members as described in this Agreement. (f) Establish reserves for the purposes of operating GovITC. (g) Manage reserves including but not limited to the investment thereof. (h) Establish general policies and procedures necessary to implement GovITC's authority and purpose consistent with this Agreement and the By-Laws, including without limitation the Minimum Membership Criteria,Member Guidelines, Members' Reserve Account policy, and other policies as deemed necessary by the Board. (i) Establish strategic goals for GovITC. (j) Have an independent audit of GovITC prepared and submitted to the Members. (k) Exercise any other power necessary and incidental to the implementation of its powers and duties and the operation of GovITC pursuant to this Agreement. 6 VI. Board Voting Requirements Section 1. The following matters require approval by the affirmative two-thirds(2/3) vote of the entire Board: (a) Merger of GovITC with another consortium; (b) Selection of a Service Provider(s) and other necessary parties(accountants, attorneys, etc.); (c) Approval of annual and three-year budgets of GovITC including the amount of each Member's annual contributions; (d) The acquisition of Shared Assets in the form of capital expenditures; (e) Approval or conditional approval of any proposed new Member(s); (f) Approval of any strategic plan documents; (g) Suspension,termination, expulsion,or reinstatement of a Member; (h) Dissolution and/or Termination of GovITC. (i) Amendments of the By-Laws 6) Any other matters specified in this Agreement as requiring the affirmative two-thirds(2/3)vote of the entire Board. Section 2. Any and all other action consistent with the other terms of this Agreement which the Board deems necessary shall be considered routine in matter and approved by an affirmative majority vote of the entire Board. VII. Master Contract Section 1. The GovITC goal is to have one Master Contract that governs the duties and obligations of the Service Provider to each Member. Section 2. Prior to the completion and execution of the Master Contract, each Member shall be individually responsible for contracting with their Service Provider. Members shall 7 enter into an IT service contract with the Service Provider substantially conforming to the GovITC Service Provider Contract as may be modified by the Board,within one(1)year of signing this Agreement,until such time as there is a Master Contract. Members are expected to enter into any agreements with Secondary Service Providers deemed necessary for the functioning of GovITC within a reasonable time as determined by the Board of Directors. Section 3. Upon completion of the Master Contract and execution by each Member, the Master Contract shall control any existing Service Provider Contract shall be of no effect. VIII. Service Provider Section 1. Each Director shall make a recommendation to their respective Chief Administrative Officer to contract with a Service Provider whose duties for GovITC are listed in Subsection 7 of this Article VIII below. Section 2. The term of any Service Provider shall be as set forth in the Service Provider Agreement and/or Master Contract. Section 3. The Board may at any time by vote to name a new Service Provider by two- third(2/3) affirmative vote of the entire Board,whose term shall begin at such time as the Board may authorize. Section 4. A Service Provider's term shall be renewed upon such terms as the Board may approve. Section 5. The Board may terminate the services of a Service Provider at any time, subject only to the Service Provider Agreement and/or Master Contract. Section 6. The Board may enter into agreements with more than one Service Provider if it deems it appropriate. Section 7. The Service Provider shall be the principal operating manager of GovITC and shall supervise and control day-to-day operations of GovITC and carry out the purpose of GovITC as directed by the Board. Among the duties and authority of the Service Provider shall be the following: 8 (a) To sign on behalf of GovITC any instrument which the Board has authorized to be executed,by a formal vote or written authority, and, in general,to perform all duties pertinent to GovITC and such other duties as may be prescribed by the Board consistent with this Agreement from time to time. (b) To prepare a proposed annual budget indicating staffing and annual contributions and to submit such proposals to the Board. (c) To prepare projections of future anticipated expenses through development of a three-year(3)budget. (d) To make recommendations regarding policy decisions,the creation of other Board offices and the retention of agents, employees and independent contractors. (e) At each regular meeting of the Board and at such other times as requested to do so by the Board,to present a full report of the Service Provider's activities and shared initiatives of GovITC. (f) To report monthly to each Member on performance measures and summary of services performed for each Member pursuant to Service Provider Agreement and/or Master Contract. (g) Within the constraints of the budget approved by the Board,to make or direct distributions from the Reserves account for payment of hardware, software,or other expenses of GovITC and maintain accurate and detailed records and accounts of all transactions and all Shared Assets. (h) Act as liaison officer with the Board and each individual Member's Director. (i) Prepare Board agendas and meeting minutes in conjunction with the Secretary or President. 0) Monitor billings from Secondary Service Providers to ensure that they are received in a timely fashion and in the correct amount. (k) Secure bids and request for proposals for hardware, software, and other IT services and make recommendations for the selection of vendors for adoption by the Board. 9 (1) Expend reasonable funds in an emergency with written notice to the Board. (m)Provide necessary information to the Board's selected certified public accountant in conjunction with the preparation of the annual reports. (n) Solicit new Members with direction from strategic goals adopted by the Board. (o) Draft GovITC and Board goals for each coming year for review and approval by the Board. IX. Obligations of Members Section 1. The obligations of each Member shall be as follows: (a) To execute a contract with the Service Provider until such time as a Master Contract is available; (b) To appropriate or budget for and, where necessary,to levy for, and pay promptly all monthly and supplementary or other payments following the Illinois Prompt Payment Act and in such amounts as are established within the scope of this Agreement; (c) To select promptly a Director to serve on the Board and an alternate; (d) To cooperate fully with the Service Provider, GovITC's attorneys and auditors and any agent, employee, officer or independent contractor of GovITC in any matter relating to the purpose and powers of GovITC; (e) To review all proposed changes to IT strategic plans prior to the Board's final vote on such changes; (f) To act promptly on all matters requiring Board approval and to not withhold such approval unreasonably or arbitrarily; (g) To purchase and maintain hardware, software, and other necessary agreements that are individual Member initiatives which are not Shared Assets or a Shared Initiative; and. (h) To purchase and maintain Comprehensive General Liability(CGL) and Workers Compensation insurance covering liability arising out of the Member's participation in GovITC, including any liability arising from the 10 actions of the Member's Representative acting in his/her scope of authority under this Agreement. Section 2. At the discretion of the Board,non-performance of Member obligations, whether in whole or in part,may be the basis for a recommendation to terminate pursuant to Article XI of this Agreement. 11 X. Financial Matters Section 1. The Fiscal Year of GovITC shall be from January 1 through December 31. Each Member shall be liable for and pay to GovITC a share of the total Annual Contribution required in each GovITC Fiscal Year which shall be calculated by the Board on an allocation basis that is divided by the number of participants and weighted by criteria such as storage volume,bandwidth demand,the number of units to support, etc. or as otherwise determined by the Board. Section 2. The proposed revenue requirements and corresponding Member contribution for GovITC's next ensuing Fiscal Year will be presented to the GovITC Board annually in due course,but in no event later than 90 days before the start of such Fiscal Year. The Annual Contribution for the ensuing Fiscal Year and the amount of each Member's share shall be determined by the affirmative two-thirds(2/3)vote of the entire Board. Section 3. Each Member shall remit at least fifty percent(50%)of its Annual Contribution to GovITC on or before April 1 of the Fiscal Year to which the contribution pertains. The balance of each Member's annual contribution is to be paid by September 1. Each Member shall be liable for the complete payment of its annual contributions. Section 4. Billings for all charges shall be made by the Board and shall be due when rendered. Any Member whose charges have not been paid within 90 days after billing shall be in default and shall not be entitled to further voting privileges or to have its director hold any office on the Board and shall not use any GovITC facilities or programs until such time as such Member is no longer in default. Members in default shall be subject to the provisions within this Agreement. In the event that such charges have not been paid within 90 days of such billing, such defaulting Member shall be deemed to have given, on such 90th day, notice of withdrawal from Membership by the Board. In the event of a bona fide dispute between the Member and the Board as to the amount which is due and payable, the Member shall nevertheless make such payment in order to preserve its status as a Member,but such payment may be made under protest and without prejudice to its right to dispute the amount of the charge and to pursue any legal remedies available to it. Withdrawal shall not relieve any such Member from its financial.obligations as set forth in this Agreement. 12 Section 5. Nothing contained in this Agreement shall prevent the Board from charging non-Members for services rendered by GovITC on such basis as the Board shall deem appropriate. Section 6. It is anticipated that GovITC may be in a position to receive financial assistance in the form of grants. The Board may credit any such grants against charges for any Member, Members, or GovITC in a manner agreed to by the Board. The Board may also enter into an agreement, as a condition to any such grant, that it will credit all or a portion of such grant towards charges,which may be made in the future. Section 7. The amount required for Reserves shall be calculated on an annual basis for presentation and acceptance by the Board as part of the annual budget process. Xl. Termination of Membership Section 1. Failure to enter into an agreement with the Service Provider within one(1) year of GovITC's designation of the Service Provider shall be cause for the termination of Membership. A 30-day written notice will be given to a Member that fails to enter into an agreement with the Service Provider as provided in this Section. Upon the failure to enter into an agreement at the end of the thirty-day(30)notice period, its Membership shall be terminated. Section 2. Failure to enter into an agreement within thirty 30 days of expiration of the previous agreement with Service Provider shall result in Membership termination. Section 3. A Member shall be terminated for cause including not participating as a Board Member,not paying dues,not signing a Master Contract,not maintaining the minimum standards of the organization,violating the security standards of the organization, or other activities determined by the Board and based on an affirmative vote of two-thirds (2/3)of the entire Board.. Section 4. Upon termination of any Member,the Member shall be responsible for: (a) All of its pro-rated share of any obligations; (b) Its share of all charges to the effective date of termination; (c) Restitution for damages or malicious actions outside of insurance; 13 (d) A Transfer Plan prepared by the Service Provider,paid for by the Member, and approved by the Board; and (e) Any contractual obligations it has separately incurred with GovITC or the Service Provider. Section 5. A Member terminated from Membership at a time when such termination does not result in dissolution of GovITC, shall forfeit its claim to any Shared Assets of GovITC. Any terminated Member shall be subject to the provisions described elsewhere in this Agreement. Section 6. If a Member remains in default for a period of more than 90 days on any billing from GovITC, the Membership automatically shall terminate. XII. Withdrawal Section 1. All new Members of GovITC shall be committed as Members for an initial three(3)year Membership. Section 2. After the period of an initial three-year Membership, any Member may withdraw from GovITC at the end of a Fiscal Year of GovITC upon giving of at least eight (8)months prior written notice of such withdrawal. Such notice shall be addressed to the Board of Directors of the GovITC and shall be accompanied by a resolution of the Corporate Authorities of the Member electing to withdraw from GovITC. Section 3. The nonpayment of charges as set forth in this Agreement or the refusal or declination of any Member to be bound by any obligation to GovITC shall constitute written notice of withdrawal,but shall not relieve Member of its obligations. Section 4. Upon effective withdrawal the withdrawing Member shall continue to be responsible for: (a) All of its pro-rated share of any obligations; (b) Its share of all charges to the effective date of termination; (c) A Transfer Plan prepared by the Service Provider,paid for by the Member, and approved by the Board; and 14 (d) Any contractual obligations it has separately incurred with GovITC or the Service Provider(s). Section 5. A Member withdrawing from Membership at a time when such withdrawal does not result in dissolution of GovITC shall forfeit its claim to any Shared Assets of GovITC. Any Member that withdraws shall be subject to the provisions of this Agreement. The Service Provider will act on the behalf of the withdrawing Member to transition Member out during the period specified in the Transfer Plan. If withdrawing Member cannot meet specific period, withdrawing Member must pay Service Provider on a month-to-month basis or as mutually agreed upon. The withdrawing Member shall,within thirty(30)days of withdrawal, file a certification with the Board,verifying compliance with this Section. XIII. Dissolution Section 1. GovITC shall be dissolved whenever: (a) A sufficient number of Members withdraw from GovITC to reduce the total number of Members to less than two (2); or (b) By affirmative two-thirds(2/3)vote of the entire Board. Section 2. In the event of dissolution,the Board shall determine the procedures necessary to affect the dissolution and shall provide for the taking of such measures as promptly as circumstances permit subject to the provisions of this Agreement. Section 3. Upon dissolution, after payment of all obligations,the remaining Shared Assets of GovITC shall be distributed among the then existing Members in accordance with the Members Attrition Formula applied to any surplus value found with the sale of the Shared Assets. Section 4. If,upon dissolution and the sale of the Shared Assets and the application of reserves,there is an organizational deficit, such deficit shall be charged to and paid by the Members and withdrawing Member(s)that caused the dissolution in accordance with obligations as described in Article XI on a pro-rata basis calculated from the Members Attrition Formula. 15 Section 5. In the event of dissolution and once all obligations have been paid,the following provisions shall govern the distribution of Shared Assets owned by GovITC: (a) Each Member shall be required to transition software in the name of GovITC to each own organization as applicable. (b) A Member may continue to use any intellectual property developed on their behalf during the term of its Membership. (c) Each organization is responsible for making their information technology support backbone ready to accept their data volume and transfer of Shared Assets. (d) Reserves will be distributed by applying the initiation fee formula to the remaining Members and the affirmative 2/3 majority vote of the entire Board. XIV. Merger of the Consortium Section 1. GovITC may merge with any other consortium established under the Illinois Intergovernmental Cooperation Act upon the affirmative two-thirds (2/3)majority vote of the entire Board. XV. General Conditions Section 1. Notice. All notices hereunder shall be in writing, and shall be deemed given when delivered in person or by United States certified mail,with return receipt requested, and if mailed, with postage prepaid. All notices shall be addressed as follows: If to GovITC: President of GovITC With a copy to the Service Provider If to Member: 0N iib r( OF Yo,2KlLQ= Village/City Manager 900 G A M L n c 9b Name of Village/City Ybe-ol c.t.E� (L (op 5 by 16 Address f'-I E Lb of - � A SSOCtAfrS Legal Firm Name of Village/City 61-Vb-) i fiL 7 Address C PhCA Gp, IL W(oOq Each party shall have the right to designate other addresses for service of notices,provided notice of change of address is duly given. Section 2. The Parties certify that they are not barred from entering into this Agreement as a result of violations of either Section 33E-3 or Section 33E-4 of the Illinois Criminal Code and that they each have a written sexual harassment policy in place in full compliance with 775 ILCS 5/2-105(A)(4). Section 3. Except as set forth herein,no Member may,by its own actions, obligate GovITC or any other Member. Section 4. This Agreement shall be governed, construed and enforced in accordance with the laws of the State of Illinois. Section 5. This Agreement constitutes the entire agreement between the Parties and supersedes any and all prior agreements and negotiations between the parties,whether written or oral,relating to the subject matter of this Agreement. Section 6. No amendment or modification to this Agreement shall be effective until it is reduced to writing and approved and executed by all parties to this Agreement in accordance with applicable law. XVI. Duration This Agreement shall continue in effect indefinitely,until terminated in accordance with its term or until GovITC is dissolved. XVII. Intellectual Property Section 1. Members agree that no assignments,licenses, sales, authorization of reuse by others, giveaways,transfer or any other grant of Intellectual Property rights will be made to any third party without written permission from the Board. Section 2. It is understood that this Agreement does not grant to any Member or any employees,partners or other business associates thereof, any rights in any Intellectual 17 Property or any inherent protectable interests, except those specifically provided by this Agreement. XVIII.Execution of Agreement This Agreement may be executed in any number of counterparts, each of which shall for all purposes be deemed to be an original; and all such counterparts, or as many of them as GovITC and the Members or additional Members shall preserve undestroyed, shall together constitute but one and the same instrument. THE REST OF THIS PAGE IS INTENTIONALLY LEFT BLANK. SIGNATURE PAGE FOLLOWS 18 IN WITNESS WHEREOF,the undersigned have caused this Agreement for the Creation of a Government Information Technology Consortium to be executed in the Members respective name, and have caused this Agreement for the Creation of a Government Information Technology Consortium to be attested, all by their duly authorized officers and representatives, and have caused the Agreement for the Creation of a Government Information Technology Consortium to be dated this day of, 20 7. By: Its: M iqY R ATTEST: ----&Iiv Village/City Clerk Seal 19 EXHIBIT A Minimum Membership Criteria 1. Participating entities must agree to upgrade or replace hardware, or software that has reached end of support by the manufacturer within a reasonable timeframe unless otherwise waived by the Consortium Board per the voting standards set forth in the agreement. a. Hardware that has reached end of support should be replaced by the end of the first year of consortium participation. b. Software, such as operating systems or desktop applications(i.e. Microsoft Office, Adobe, etc.) should be upgraded by the end of the first year of service. c. Software such as ERP/Line of business that have reached end of support, should have a plan for upgrade by the end of the first year of service, and migrated to a supported platform within 36 months. 2. Entities must agree to transition and operate primarily on a platform that is used and supported by the Consortium(i.e. Windows Server/desktop)or agree to move to a supported platform within 18 months. An example of an exception is a system such as the L3 mobile video system that run on a Linux OS will be supported as long as maintenance with the vendor is maintained. 3. Entities seeking membership must contract for a minimum of 0.2 FTE equivalent staffing. 4. The current state of the network and infrastructure will be assessed to determine environment/condition of potential new member and the appropriate initiation fee and managed services pricing. 5. There must be a technical point of contact to ensure appropriate communication with village/city management. 6. Participation requires a minimum three(3)year membership due to hardware/equipment investment and strategic planning. 20 EXHIBIT B Initial By-Laws of GovITC Board of Directors 21 INITIAL BY-LAWS OF THE GOVERNMENT INFORMATION TECHNOLOGY CONSORTIUM(GovITC) ARTICLE I—GENERAL PROVISIONS Section 1. This document establishes the Initial By-laws of the GovITC consortium pursuant to that certain Intergovernmental Agreement dated Qcj+ laey, ,a7i vJ0145 ("Agreement"),attached hereto as Exhibit A. Section 2. Definitions set forth in the Agreement shall apply herein. Section 3. GovITC shall operate in accordance with the requirements of the Illinois Open Meetings Act, 5 ILCS 120/1, et seq.,and the Illinois Freedom of Information Act, 5 ILCS 140/1, et seq. ARTICLE II-AUTHORITY Section 1. GovITC is formed pursuant to Section 10 of Article VII of the Illinois Constitution of 1970 and Section 3 of the Illinois Intergovernmental Cooperation Act, which authorizes and encourages the entering into of Intergovernmental Agreements between Members of local government. ARTICLE III-MEMBERSHIP Section 1. Any Unit maybe eligible and can apply to the Board to become a Member of GovITC. The Unit should be able to help progress the mission and goals of GovITC as described in the Agreement and to fulfill the growth strategy set by the Board. Section 2. Any Unit joining GovITC must meet the Minimum Membership Criteria,as the Board may amend from time to time. Any exceptions to the Minimum Membership Criteria must be approved by two-thirds(2/3)affirmative vote of the Board, with the new Unit defining and committing to a plan to meet the full Minimum Membership Criteria within a specified timeframe. 8-1 Section 3. A Unit desiring to be a Member must undergo a network and security assessment of their Information Technology environment by the Service Provider on behalf of GovITC. (a) The assessment will be funded by the Unit applying for membership, unless otherwise approved by the Board,and the applying Unit shall be obligated to provide relevant information and access to facilities needed for the assessment; (b) The Service Provider shall conduct the assessment based on certain standards,including,but not limited to,hardware age,network and backup status, and adherence to update protocols with a weighted score for each with poor condition being weighted more heavily; and (c) The assessment scores of the Unit shall be used to help determine the Initial Membership Fee. Section 4. A Unit desiring to be a Member shall execute a counterpart of the Agreement and shall pay the Initial Membership Fee. Payment shall be made to the Treasurer of GovITC who will deposit such payment into the GovITC Account. Thereupon,the clerk or other corresponding officer of the Member shall file a duly executed copy of the Agreement,together with a certified copy the authorizing resolution or other action, with the GovITC President. The resolution authorizing the execution of the Agreement shall also designate the first Director and alternate Director for the Meigbetion 5. Addition of a new Member must be made on a vote of the entire Board by two-thirds(2/3) affirmative vote of the entire Board. Section 6. Approved new Members normally enter the program on January 1 (beginning of Fiscal Year) or July 1. Entry in to the program at other times may be permitted,the terms and conditions of which to be mutually agreed upon by the new Member and GovITC. In its discretion,the Board may allow entry to the program at other times and may impose restrictions,limitations,etc. with respect to such entry.Any Member joining GovITC agrees,upon joining,that if it is to become a Former Member,it will be bound by all of the obligations of a Former Member as set forth in this Agreement. B-2 Section 7. Former Members will require a two-thirds(2/3) affirmative vote of the entire Board in order to rejoin GovITC. ARTICLE IV—BOARD COMPOSITION AND PROCEDURES Section 1. The Board shall consist of the Directors and alternate Directors appointed by the Chief Administrative Officer of each Member. In order for GovITC to be of maximum value,the Members shall appoint, as their Directors and alternates, an administrative officer that is a department head or an employee with significant management responsibility and experience. The Board shall be the governing body of GovITC,with authority to take all appropriate actions and to perform all duties to accomplish the purposes of GovITC. Section 2. The Board shall be responsible for establishing all GovITC policies,the annual budget and the annual contribution rate for the operation of the GovITC,all non- budgeted capital outlays and strategic IT plans of which these By-laws and subsequent policies or procedures are an integral part, to provide a system of communications among its members for enforcement purposes,or as otherwise approved by the Board. Section 3. The Executive Committee of the Board shall consist of the President, Vice-President, Secretary and Treasurer, as elected by the Directors("Executive Committee"),who shall hold office for a term of two (2)years or until a successor has been elected. The Executive Committee will be divided into two classes in order to stagger the terms of said members and achieve continuity of governance of GovITC as follows: The President and Vice-President,whose terms expire at the end of the final meeting of the Board in even-numbered years; and the Treasurer and Secretary, whose initial terms shall be for one year, and for whom subsequent terms shall expire at the end of the final meeting of the Board in odd-numbered years. Section 4. When a vacancy occurs on the Executive Committee, a special meeting of the Board should be called to elect a successor for the remainder of the term of office. Section 5. The Board may under special circumstances allow for electronic voting. All votes must be cast in accordance with the By-laws. B-3 Section 6. Each Director and alternate Director shall be appointed to serve until a successor is appointed. Section 7. When the Chief Administrative Officer of a Member appoints a Director or an alternate Director notice of such appointment shall be given to GovITC in writing. Such notice shall include the mailing address and email address of each person so appointed. The names and addresses shown on such notices may be used as the official names and addresses for the purposes of giving any notices required by this Agreement or by the By-laws of GovITC. Notice to GovITC shall be made to the Secretary of GovITC at the address of the President with copy to the Service Provider. Section 8. Any Director or alternate Director shall be subject to removal by the appointing Chief Administrative Officer of the Member, at any time,with or without cause. Section 9. The Chief Administrative Officer of the Member whose Director position on the Board is vacant shall fill a vacancy on the Board. Section 10.A Director(or alternate) shall not be eligible to vote on behalf of the Member during the time that such Member is in default on any contribution to GovITC or on any contract with GovITC. During the existence of any default, the vote(s) of such Member shall not be counted as eligible vote(s). If a Member remains in default for a period of more than 90 days on any billing from GovITC,the membership of such Member automatically shall terminate. Notwithstanding the foregoing,however,all outstanding financial obligations to GovITC shall remain enforceable. Section 11.The Board shall be authorized to indemnify and protect its members and GovITC employees and contractors against damage claims and suits arising from acts alleged to have been committed within the scope of their employment with or duties to GovITC,to the fullest extent permitted by law. B-4 ARTICLE V-MEETINGS Section 1. Regular meetings of the Board shall be held annually at a time and place determined by the Executive Committee. Special meetings may be called by the President, a majority of the Executive Committee,or by one-third (1/3)of the Directors. Section 2. The Executive Committee shall meet when called by the President or a majority of the Executive Committee members. Section 3. A majority of the members shall constitute a quorum for meetings of the Board and Executive Committee. Section 4. The current edition of Robert's Rules of Order shall govern meetings in all cases in which they are applicable and not inconsistent with these By-laws. In the event of a conflict between these By-laws and Robert's Rules of Order,these By-laws shall confiahtion 5. At the final meeting of the Board in even numbered years,the Board shall elect from its Directors a President and a Vice-President and in odd numbered years,the Board shall elect from its Directors a Secretary and a Treasurer. Section 6. Regular public meetings of the Board shall be held at least annually. Notice of regular meetings of the Board shall be given to the Directors and alternates by the Secretary of the Board at least fifteen (15)days in advance and the agendas for such meetings shall accompany the notice. However,business at regular meetings of the Board need not be limited to matters set forth in the agenda. Section 7. Special meetings of the Board may be called by the President or upon the request of a majority of the Directors. Five(S) days' notice of special meetings shall be given to the Directors and alternates. Such notice shall include the agenda for the special meetings. ARTICLE VI-DUTIES OF OFFICERS Section 1. The President shall preside at all Board meetings including the final meeting prior to the new Board and will appoint members of all committees with the and consent of the Board. New officers shall take office at the adjournment of the annual B-5 meeting of the Board at which they are elected. Upon vacancy occurring in any office, Board shall fill such position at the next meeting of the Board. Section 2. The Vice-President shall serve as an assistant to the President and shall perform the duties of the President and act as President in their absence. Section 3. The Secretary shall keep an accurate record of the proceedings from all official meetings, carry on official correspondence of GovITC as directed by the Board, provide to each Director the official minutes of all meetings and maintain all official GovlTC records. Any persons may be engaged to perform such services under the Secretary's supervision and direction. Section 4. The Treasurer shall be responsible for financial oversight of GovITC. The Treasurer shall ensure GovlTC has the custody of the GovITC funds and shall ensure that GovITC keeps full and accurate accounts of receipts and disbursements of GovITC, and shall ensure that all the deposit of monies and other valuables are in the name and to the credit of GovITC into depositories designated by the Board. The Treasurer shall give financial reports as required by the Board and perform such other duties pertaining to the office including but not limited to member invoicing and receipting,bank reconciliation, account balances, etc. ARTICLE VII-COMMITTEES Section 1. The President or Board may create such committees as are deemed necessary to accomplish the purposes of GovITC. ARTICLE VIII—ANNUAL CONTRIBUTION AND INITIAL MEMBERSHIP FESection 1. The annual contribution and initial membership fee as described in the Intergovernmental Agreement shall be prescribed by the Board and shall be payable to GovITC. All assessments approved by the Board shall be binding upon all members and payment shall be a condition of membership. B-6 Section 2. Any Member who fails to tender the annual dues or assessments as described in the In Agreement may subject to penalties up to and including termination of Membership as provided herein and in the Agreement. ARTICLE IX-COMPENSATION Section 1. Officers and members of the Board shall serve without compensation. Section 2. The Board may approve compensation, as needed,for all other professional services required by GovITC. Section 3. GovITC may accept donations, apply for and use grants or loans of money or other property from state or federal institutions,or any other Members or organizations, and may enter into agreements and may hold,use and dispose of such money or property in accordance with the terms of the donation, grant, loan or agreement. ARTICLE X—FINANCES Section 1. The Fiscal Year of GovITC shall be from January 1 through December 31. Section 2. The proposed revenue requirements and corresponding member contribution for GovITC's next ensuing Fiscal Year will be presented to the GovITC Board annually in due course,but in no event later than 60 days before the start of such Fiscal Year. The annual contribution for the ensuing Fiscal Year and the amount of each member agency's share shall be determined by two-thirds (2/3)vote of the entire Board. Section 3. The Board must approve all disbursements of funds as set forth in the Master Agreement. Section 4. All checks issued by the GovITC must have dual signature for the President and Treasurer. Section 5. The Board shall direct that an annual independent audit of the GovITC shall be prepared and submitted to each Member. ARTICLE XI- PROPERTY Section 1. The equipment,property and supplies purchased by GovITC through assessments or otherwise acquired in its name,shall remain the property of GovITC. B-7 equipment,property and supplies titled to GovITC at the time of the adoption of these By-laws shall remain titled to GovITC. Section 2. GovITC or its designee shall maintain a list concerning the description and location of such equipment,property and supplies. Section 3. GovITC equipment shall not be changed or modified without approval of the Board for reasons other than routine management and maintenance. ARTICLE XII-AMENDMENTS Section 1. These By-laws may be amended at any meeting of the Board by a two- thirds(2/3) affirmative vote of the entire Board,provided the amendment and notice of the meeting shall have been sent to the Directors not less than fifteen(15)days prior to the meeting. ARTICLE XIII–DISSOLUTION Section 1. If at any regular meeting or at a special meeting called for the purpose of dissolution, GovITC shall be dissolved whenever(a) a sufficient number of Members withdraw from GovITC to reduce the total number of Members to less than two(2)or(b) by two-thirds(2/3)vote of entire Board. The Board shall determine and implement procedures governing the dissolution. ARTICLE XV-EFFECTIVE DATE These By-laws shall be in full force and effect from and after their passage and approval. AYES: S NAYS: PASSED this—o day of APPROVED this o`Z.'� day of 8-8 APPROVED: Presid Vice-President ATTEST: Secretary ARTICLE XVI—AYES SIGNATURE B-9