ORDINANCE No. 177187

*Authorize settlement with Severn Trent Systems (Ordinance)

The City of Portland ordains:

Section 1.  The Council finds:

1.  The City of Portland entered into Contract No. 31592 with Severn Trent Systems (“STS”) to develop and implement a customer information system to support the Bureau of Water Works and the Bureau of Environmental Services.

2.  The City of Portland and STS each have claims against the other as a result of that contract.

3.  The parties have reached a settlement of their differences, as reflected in the Settlement Agreement and its Exhibit A, a Software License and Maintenance Agreement, which are attached as Exhibit 1.

4.  The Settlement Agreement provides that STS will pay the City $7,000,000. In addition, the agreement provides for the City to pay STS to support and maintain the City’s current customer information system for the next several years.

NOW, THEREFORE, the Council directs:

a.  That the Commissioner in Charge of the Water Bureau and the City Attorney are hereby authorized to execute a settlement agreement with Severn Trent Systems in a form substantially similar to the one attached as Exhibit 1.

b.  That the Commissioner in Charge of the Water Bureau is hereby authorized to accept on behalf of the City the payment by Severn Trent Systems of the amount referenced in the Settlement Agreement.

Section 2.  The Council declares an emergency exists in order to avoid undue delay in settling these claims; therefore, this Ordinance shall be in full force and effect from and after its passage by the Council.

Commissioner Dan Saltzman

Jeffrey L. Rogers:cj

January 2, 2003

Passed by the Council: JAN 08, 2003            Gary Blackmer

Auditor of the City of Portland

                 By: /s/Susan Parsons

Deputy

BACKING SHEET INFORMATION

AGENDA NO. 20-2003

ORDINANCE/RESOLUTION/COUNCIL DOCUMENT NO. 177187