CITY OF FULLERTON
PROFESSIONAL SERVICES AGREEMENT
WITH
ALARM PROGRAM SYSTEMS, LLC
THIS AGREEMENT is made and entered into this 1st day of October, 2026 (“Effective Date”), by and between the CITY OF FULLERTON, a California municipal corporation (“City”), and Alarm Program Systems, LLC, a California limited liability corporation (“Consultant”).
W I T N E S S E T H :
A. Pursuant to Capter 3.51 of the City’s Municipal Code (“Alarm Systems Regulations”), the City has enacted laws governing the installation and use of private alarm systems and City deisres to retain Consultant to administer and manage City’s functions under the Alarm Ordinance (“City’s Alarm Management Program”), including issuance and management of alarm permits and billings and related collections, in accordance with the terms set forth below.
B. Consultant represents that it has that degree of specialized expertise contemplated within California Government Code section 37103, and holds all necessary licenses to practice and perform the services herein contemplated.
C. City and Consultant desire to contract for the specific services described herein, and desire to set forth their rights, duties and liabilities in connection with the services to be performed.
D. No official or employee of City has a financial interest, within the provisions of Sections 1090-1092 of the California Government Code, in the subject matter of this Agreement.
NOW, THEREFORE, for and in consideration of the mutual covenants and conditions contained herein, the parties hereby agree as follows:
1.0. SERVICES PROVIDED BY CONSULTANT
1.1. Scope of Services. Consultant shall provide the professional services described in the Proposal attached hereto as Exhibit “A” and incorporated herein by this reference.
1.2. Professional Practices. All professional services to be provided by Consultant pursuant to this Agreement shall be provided by personnel experienced in their respective fields and in a manner consistent with the standards of care, diligence and skill ordinarily exercised by professional Consultants in similar fields and circumstances in accordance with sound professional practices. Consultant also warrants that it is familiar with all laws that may affect its performance of this Agreement and shall advise City of any changes in any laws that may affect Consultant’s performance of this Agreement.
1.3. Performance to Satisfaction of City. Consultant agrees to perform all the work to the reasonable satisfaction of the City, in accordance with the applicable professional standard of care and City specifications and within the hereinafter specified. Evaluations of the work will be done by the City Manager or his designee. If the quality of work is not satisfactory, City in its discretion has the right to:
(a) Meet with Consultant to review the quality of the work and resolve the matters of concern;
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(b) Require Consultant to repeat the work at no additional fee until it is satisfactory; and/or
(c) Terminate the Agreement as hereinafter set forth.
1.4. Warranty. Consultant warrants that it shall perform the services required by this Agreement in compliance with all applicable and non conflicting Federal and California employment laws, including, but not limited to, those laws related to minimum hours and wages; occupational health and safety; fair employment and employment practices; workers’ compensation insurance and safety in employment; and all other Federal, State and local laws and ordinances applicable to the services required under this Agreement. Consultant shall indemnify and hold harmless City from and against all claims, demands, payments, suits, actions, proceedings, and judgments of every nature and description including attorneys’ fees and costs, presented, brought, or recovered against City for, or on account of any liability under any of the above-mentioned laws, which may be incurred by reason of Consultant’s performance under this Agreement.
1.5. Non-discrimination. In performing this Agreement, Consultant shall not engage in, nor permit its agents to engage in, discrimination in employment of persons because of their race, religion, color, national origin, ancestry, age, physical handicap, medical condition, marital status, sexual gender or sexual orientation, except as permitted pursuant to Section 12940 of the Government Code.
1.6. Non-Exclusive Agreement. Consultant acknowledges that City may enter into agreements with other Consultants for services similar to the services that are subject to this Agreement or may have its own employees perform services similar to those services contemplated by this Agreement.
1.7. Delegation and Assignment. This is a personal service contract, and the duties set forth herein shall not be delegated or assigned to any person or entity without the prior written consent of City. Consultant may engage a subcontractor(s) as permitted by law and may employ other personnel to perform services contemplated by this Agreement at Consultant’s sole cost and expense.
1.8. Confidentiality. Employees of Consultant in the course of their duties may have access to financial, accounting, statistical, and personnel data of private individuals and employees of City. Consultant covenants that all data, documents, discussion, or other information developed or received by Consultant or provided for performance of this Agreement are deemed confidential and shall not be disclosed by Consultant without written authorization by City. City shall grant such authorization if disclosure is required by law. All City data shall be returned to City upon the termination of this Agreement. Consultant's covenant under this Section shall survive the termination of this Agreement.
2.0. COMPENSATION AND BILLING
2.1. Compensation. Consultant shall be paid in accordance with the fee schedule set forth in Exhibit A.
2.2. Additional Services. Consultant shall not receive compensation for any services provided outside the scope of services specified in Exhibit A unless the City or the Project Manager for this Project, prior to Consultant performing the additional services, approves such Alarm Program Systems PSA 2026
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additional services in writing. It is specifically understood that oral requests and/or approvals of such additional services or additional compensation shall be barred and are unenforceable.
2.3. Method of Billing. Consultant may submit invoices to the City for approval on a progress basis, but no more often than two times a month. Said invoice shall be based on the total of all Consultant’s services which have been completed to City’s sole satisfaction. City shall pay Consultant’s invoice within fourty-five (45) days from the date City receives said invoice. Each invoice shall describe in detail, the services performed, the date of performance, and the associated time for completion. Any additional services approved and performed pursuant to this Agreement shall be designated as “Additional Services” and shall identify the number of the authorized change order, where applicable, on all invoices.
2.4. Records and Audits. Records of Consultant’s services relating to this Agreement shall be maintained in accordance with generally recognized accounting principles and shall be made available to City or its Project Manager for inspection and/or audit at mutually convenient times from the Effective Date of this Agreement until three (3) years after the termination date.
2.5. W-9. Consultant must provide City with a current W-9 form prior to the commencement of work under this Agreement. It is the Consultant’s responsibility to provide to the City any revised or updated W-9 form during the term of this Agreement.
3.0. TIME OF PERFORMANCE
3.1. Commencement and Completion of Work. The professional services to be performed pursuant to this Agreement shall commence within five (5) days from the Effective Date of this Agreement. Failure to commence work in a timely manner and/or diligently pursue work to completion may be grounds for termination of this Agreement.
3.2. Excusable Delays. Neither party shall be responsible for delays or lack of performance resulting from acts beyond the reasonable control of the party or parties. Such acts shall include, but not be limited to, acts of God, fire, strikes, material shortages, compliance with laws or regulations, riots, acts of war, or any other conditions beyond the reasonable control of a party.
4.0. TERM AND TERMINATION
4.1. Term. This Agreement shall commence on the Effective Date for a term of three (3) years, with two (2) one year optional renewals upon both parties’ agreement.
4.2. Notice of Termination. The City reserves and has the right and privilege of canceling, suspending or abandoning the execution of all or any part of the work contemplated by this Agreement, with or without cause, at any time, by providing written notice to Consultant.
The termination of this Agreement shall be deemed effective upon receipt of the notice of termination. In the event of such termination, Consultant shall immediately stop rendering services under this Agreement unless directed otherwise by the City.
4.3. Compensation. In the event of termination, City shall pay Consultant for reasonable costs incurred and professional services satisfactorily performed up to and including the date of City’s written notice of termination. Compensation for work in progress shall be prorated based on the percentage of work completed as of the effective date of termination in accordance with the fees set forth herein. In ascertaining the professional services actually Alarm Program Systems PSA 2026
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rendered hereunder up to the effective date of termination of this Agreement, consideration shall be given to both completed work and work in progress, to complete and incomplete drawings, and to other documents pertaining to the services contemplated herein whether delivered to the City or in the possession of the Consultant.
4.4. Documents. In the event of termination of this Agreement, all documents prepared by Consultant in its performance of this Agreement including, but not limited to, finished or unfinished design, development and construction documents, data studies, drawings, maps and reports, shall be delivered to the City within ten (10) days of delivery of termination notice to Consultant, at no cost to City. Any use of uncompleted documents without specific written authorization from Consultant shall be at City's sole risk and without liability or legal expense to Consultant.
5.0. INSURANCE
5.1. Insurance Required. Consultant shall procure and maintain throughout the duration of this Agreement, insurance against claims for injuries to persons or damages to property which may arise from or in connection with the performance of the work hereunder by Consultant, its agents, representatives, employees or subcontractors. Consultant shall provide current evidence of the required insurance in a form acceptable to City and shall provide replacement evidence for any required insurance which expires prior to the completion, expiration, or termination of this Agreement.
Nothing in this section shall be construed as limiting in any way, the Indemnification and Hold Harmless clause contained herein in Section 6.8 or the extent to which Consultant may be held responsible for payments of damages to persons or property.
5.2. Minimum Scope and Limits of Insurance.
A. Commercial General Liability Insurance. Consultant shall maintain commercial general liability insurance coverage in a form at least as broad as ISO Form #CG 00 01, with a limit of not less than $1,000,000 each occurrence. If such insurance contains a general aggregate limit, it shall apply separately to the Agreement or shall be twice the required occurrence limit.
B. Business Automobile Liability Insurance. Consultant shall maintain business automobile liability insurance coverage in a form at least as broad as ISO Form # CA 00 01, with a limit of not less than $1,000,000 each accident. Such insurance shall include coverage for owned, hired and non-owned automobiles.
C. Workers’ Compensation and Employers’ Liability Insurance. Consultant shall maintain workers’ compensation insurance as required by the State of California and employers’ liability insurance with limits of not less than $1,000,000 each accident.
D. Professional Liability Insurance. Consultant shall maintain professional liability insurance appropriate to Consultant’s profession with a limit of not less than $2,000,000.
Architects’ and engineers’ coverage shall be endorsed to include contractual liability. If policy is written as a “claims made” policy, the retro date of the policy shall be prior to the start of the contract work.
E. Cyber Liability Insurance. Consultant shall maintain cyber liability insurance coverage with a limit of not less than $2,000,000 per claim and $2,000,000 aggregate. Coverage Alarm Program Systems PSA 2026
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shall be sufficiently broad to respond to the duties and obligations as is undertaken by Consultant in this Agreement and shall include but not be limited to claims involving infringement of intellectual property, including but not limited to infringement of copyright, trademark, trade dress, invasion of privacy violations, information theft, damage to or destruction of electronic information, release of private information, alteration of electronic information, extortion, and network security.
The policy shall provide coverage for breach response costs as well as regulatory fines, penalties and credit monitoring expenses with limits sufficient to respond to these obligations.
Consultant shall ensure that its payment processing provider is and remains Payment Card Industry compliant and shall provide current verification of compliance annually.
5.3. Deductibles and Self-Insured Retentions. Any deductible or self-insured retention must be declared to and approved by City.
5.4. Other Insurance Provisions. The required insurance policies shall contain or be endorsed to contain the following provisions:
A. Commercial General Liability. City, its elected or appointed officials, officers, employees and volunteers are to be covered as additional insureds with respect to liability arising out of work or operations performed by or on behalf of Consultant, including materials, parts or equipment furnished in connection with such work or operations. Such coverage as an additional insured shall not be limited to the period of time during which Consultant is conducting ongoing operations for City but rather, shall continue after the completion of such operations. The coverage shall contain no special limitations on the scope of its protection afforded to City, its officers, employees and volunteers.
B. Commercial General Liability. This insurance shall be primary insurance as respects City, its officers, employees and volunteers and shall apply separately to each insured against whom a suit is brought or a claim is made. Any insurance or self-insurance maintained by City, its officers, employees and volunteers shall be excess of this insurance and shall not contribute with it.
C. Professional Liability. If the Professional Liability policy is written on a “claims made” form, the Retroactive Date must be shown and must be before the date of the contract or beginning of contract work. The insurance must be maintained and evidence of insurance must be provided for at least (5) years after completion of the contract work. If the coverage is canceled or non-renewed and not replaced with another claims-made policy form with a Retroactive Date prior to the contract effective date, the Consultant must purchase “extended reporting coverage” for a minimum of five (5) years after completion of work.
D. Workers’ Compensation and Employers’ Liability Insurance. Insurer shall waive their right of subrogation against City, its officers, employees and volunteers for work done on behalf of City.
E. All Coverages. Each insurance policy required by this clause shall be endorsed to state that coverage shall not be canceled, except after thirty (30) days’ prior written notice by certified mail, return receipt requested, has been given to City.
If Consultant maintains higher limits or has broader coverage than the minimums shown above, City requires and shall be entitled to all coverage, and to the higher limits maintained by Consultant. Any available insurance proceeds in excess of the specified minimum limits of Alarm Program Systems PSA 2026
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insurance and coverage shall be available to City.
F. Subcontractors. Consultant shall require and verify that all subcontractors maintain insurance meeting all the requirements stated herein and Consultant shall ensure that City is an additional insured on insurance required from subConsultants.
G. Special Risks or Circumstances. City reserves the right to modify these requirements, including limits, based on the nature of the risk, prior experience, insurer, coverage or other special circumstances.
5.5 Acceptability of Insurers. All required insurance shall be placed with insurers acceptable to City with current BEST’S ratings of no less than A, Class VII. Workers’ compensation insurance may be placed with the California State Compensation Insurance Fund.
All insurers shall be licensed by or hold admitted status in the State of California. At the sole discretion of City, insurance provided by non-admitted or surplus carriers with a minimum BEST’S rating of no less than A- Class X may be accepted if Consultant evidences the requisite need to the sole satisfaction of City.
5.6 Verification of Coverage. Consultant shall furnish City with certificates of insurance which bear original signatures of authorized agents and which reflect insurers names and addresses, policy numbers, coverage, limits, deductibles and self-insured retentions.
Additionally, Consultant shall furnish copies of all policy endorsements required herein. All certificates and endorsements must be received and approved by City before work commences.
City reserves the right to require at any time complete, certified copies of any or all required insurance policies and endorsements.
6.0. GENERAL PROVISIONS
6.1. Entire Agreement. This Agreement constitutes the entire agreement between the parties with respect to any matter referenced herein and supersedes any and all other prior writings and oral negotiations. This Agreement may be modified only in writing, and signed by the parties in interest at the time of such modification. The terms of this Agreement shall prevail over any inconsistent provision in any other contract document appurtenant hereto, including exhibits to this Agreement.
6.2. Representatives. The City Manager or his designee shall be the representative of City for purposes of this Agreement and may issue all consents, approvals, directives and agreements on behalf of the City, called for by this Agreement, except as otherwise expressly provided in this Agreement.
Consultant shall designate a representative for purposes of this Agreement who shall be authorized to issue all consents, approvals, directives and agreements on behalf of Consultant called for by this Agreement, except as otherwise expressly provided in this Agreement.
6.3. Project Managers. City shall designate a Project Manager to work directly with Consultant in the performance of this Agreement.
Consultant shall designate a Project Manager who shall represent it and be its agent in all consultations with City during the term of this Agreement. Consultant or its Project Manager shall attend and assist in all coordination meetings called by City.
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6.4. Notices. Any notices, documents, correspondence or other communications concerning this Agreement or the work hereunder may be provided by personal delivery, facsimile or mail and shall be addressed as set forth below. Such communication shall be deemed served or delivered: a) at the time of delivery if such communication is sent by personal delivery; b) at the time of transmission if such communication is sent by facsimile; and c) 48 hours after deposit in the U.S. Mail as reflected by the official U.S. postmark if such communication is sent through regular United States mail.
IF TO CONSULTANT: IF TO CITY:
Alarm Program Systems, LLC
360 Civic Drive, Suite C
Pleasant Hill, CA 94523
Attn: Jim Hutchingson, President
City of Fullerton Police Department
237 W. Commonwealth Ave.
Fullerton, CA 92832
Attn: Communications Supervisor
6.5. Attorneys’ Fees. In the event that litigation is brought by any party in connection with this Agreement, the prevailing party shall be entitled to recover from the opposing party all costs and expenses, including reasonable attorneys’ fees, incurred by the prevailing party in the exercise of any of its rights or remedies hereunder or the enforcement of any of the terms, conditions, or provisions hereof.
6.6. Governing Law. This Agreement shall be governed by and construed under the laws of the State of California without giving effect to that body of laws pertaining to conflict of laws. In the event of any legal action to enforce or interpret this Agreement, the parties hereto agree that the sole and exclusive venue shall be a court of competent jurisdiction located in Orange County, California.
6.7. Assignment. Consultant shall not voluntarily or by operation of law assign, transfer, sublet or encumber all or any part of Consultant's interest in this Agreement without City's prior written consent. Any attempted assignment, transfer, subletting or encumbrance shall be void and shall constitute a breach of this Agreement and cause for termination of this Agreement.
Regardless of City's consent, no subletting or assignment shall release Consultant of Consultant's obligation to perform all other obligations to be performed by Consultant hereunder for the term of this Agreement.
6.8. Indemnification and Hold Harmless. To the fullest extent of the law, Consultant agrees to defend, indemnify, hold free and harmless the City, its elected officials, officers, agents, and employees, at Consultant’s sole expense, from and against claims, actions, suits or other legal proceedings brought against the City, its elected officials, officers, agents, and employees arising out of the performance of the Consultant, its employees, and/or authorized subcontractors, of the professional services undertaken pursuant to this Agreement. The defense obligation provided for hereunder shall apply without any advance showing of negligence or wrongdoing by the Consultant, its employees, and/or authorized subcontractors, but shall be required whenever any claim, action, complaint, or suit asserts as its basis the negligence, errors, omissions or misconduct of Consultant, its employees, and/or authorized subcontractors, and/or whenever any claim, action, complaint or suit asserts liability against the City, its elected officials, officers, agents, and employees based upon the work performed by Consultant, its employees, and/or authorized subcontractors under this Agreement, whether or not Consultant, its employees, Alarm Program Systems PSA 2026
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and/or authorized subcontractors are specifically named or otherwise asserted to be liable.
Notwithstanding the foregoing, the Consultant shall not be liable for the defense or indemnification of the City for claims, actions, complaints, or suits arising out of the sole negligence or willful misconduct of the City. This provision shall supersede and replace all other indemnity provisions contained either in the City’s specifications or Consultant’s Proposal, which shall be of no force and effect.
6.9. Independent Contractor. Consultant is and shall be acting at all times as an independent contractor and not as an employee of City. Consultant shall have no power to incur any debt, obligation, or liability on behalf of City or otherwise act on behalf of City as an agent.
Neither City nor any of its agents shall have control over the conduct of Consultant or any of Consultant’s employees, except as set forth in this Agreement. Consultant shall not, at any time, or in any manner, represent that it or any of its or employees are in any manner agents or employees of City. Consultant shall secure, at its sole expense, and be responsible for any and all payment of Income Tax, Social Security, State Disability Insurance Compensation, Unemployment Compensation, and other payroll deductions for Consultant and its officers, agents, and employees, and all business licenses, if any are required, in connection with the services to be performed hereunder. Consultant shall indemnify and hold City harmless from any and all taxes, assessments, penalties, and interest asserted against City by reason of the independent contractor relationship created by this Agreement. Consultant further agrees to indemnify and hold City harmless from any failure of Consultant to comply with the applicable worker’s compensation laws. City shall have the right to offset against the amount of any fees due to Consultant under this Agreement any amount due to City from Consultant as a result of Consultant’s failure to promptly pay to City any reimbursement or indemnification arising under this paragraph.
6.10. PERS Eligibility Indemnification. In the event that Consultant or any employee, agent, or subcontractor of Consultant providing services under this Agreement claims or is determined by a court of competent jurisdiction or the California Public Employees Retirement System (PERS) to be eligible for enrollment in PERS as an employee of the City, Consultant shall indemnify, defend, and hold harmless City for the payment of any employee and/or employer contributions for PERS benefits on behalf of Consultant or its employees, agents, or subcontractors, as well as for the payment of any penalties and interest on such contributions, which would otherwise be the responsibility of City.
Notwithstanding any other agency, state or federal policy, rule, regulation, law or ordinance to the contrary, Consultant and any of its employees, agents, and subcontractors providing service under this Agreement shall not qualify for or become entitled to, and hereby agree to waive any claims to, any compensation, benefit, or any incident of employment by City, including but not limited to eligibility to enroll in PERS as an employee of City and entitlement to any contribution to be paid by City for employer contribution and/or employee contributions for PERS benefits.
6.11. Cooperation. In the event any claim or action is brought against City relating to Consultant’s performance or services rendered under this Agreement, Consultant shall render any reasonable assistance and cooperation which City might require.
6.12. Ownership of Documents. All findings, reports, CAD drawings, documents, information and data, including, but not limited to, computer tapes or discs, files and tapes furnished or prepared by Consultant or any of its subcontractors in the course of performance of this Agreement, shall be and remain the sole property of City. Consultant agrees that any such Alarm Program Systems PSA 2026
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documents or information shall not be made available to any individual or organization without the prior consent of City. Any use of such documents for other projects not contemplated by this Agreement, and any use of incomplete documents, shall be at the sole risk of City and without liability or legal exposure to Consultant. City shall indemnify and hold harmless Consultant from all claims, damages, losses, and expenses, including attorneys’ fees, arising out of or resulting from City’s use of such documents for other projects not contemplated by this Agreement or use of incomplete documents furnished by Consultant. Consultant shall deliver to City any findings, reports, documents, information, data, in any form, including but not limited to, computer tapes, discs, files, audio tapes or any other Project related items as requested by City or its authorized representative, at no additional cost to the City.
6.13. Public Records Act Disclosure. Consultant has been advised and is aware that this Agreement and all reports, documents, information and data, including, but not limited to, computer tapes, discs or files furnished or prepared by Consultant, or any of its subcontractors, pursuant to this Agreement and provided to City may be subject to public disclosure as required by the California Public Records Act (California Government Code Section 6250 et seq.).
Exceptions to public disclosure may be those documents or information that qualify as trade secrets, as that term is defined in the California Government Code Section 6254.7, and of which Consultant informs City of such trade secret. The City will endeavor to maintain as confidential all information obtained by it that is designated as a trade secret. The City shall not, in any way, be liable or responsible for the disclosure of any trade secret including, without limitation, those records so marked if disclosure is deemed to be required by law or by order of the Court.
6.14. Conflict of Interest. Consultant and its officers, employees, associates and subConsultants, if any, will comply with all conflict of interest statutes of the State of California applicable to Consultant's services under this agreement, including, but not limited to, the Political Reform Act (Government Code Sections 81000, et seq.) and Government Code Section 1090.
During the term of this Agreement, Consultant and its officers, employees, associates and subConsultants shall not, without the prior written approval of the City Representative, perform work for another person or entity for whom Consultant is not currently performing work that would require Consultant or one of its officers, employees, associates or subConsultants to abstain from a decision under this Agreement pursuant to a conflict of interest statute.
6.15. Responsibility for Errors. Consultant shall be responsible for its work under this Agreement. Consultant, when requested, shall furnish clarification and/or explanation as may be required by the City’s representative, regarding any services rendered under this Agreement at no additional cost to City. In the event that an error or omission attributable to Consultant occurs, without prejudice to any other remedy to which City may be entitled to at law or equity, Consultant shall, at no cost to City, provide all necessary design drawings, estimates and other Consultant professional services necessary to rectify and correct the matter to the sole satisfaction of City and to participate in any meeting required with regard to the correction. In addition, Consultant shall reimburse City for any and all costs, expenses and/or damages, if any, that the City has incurred due to the aforementioned error or omission.
6.16. Prohibited Employment. Consultant will not employ any regular employee of City while this Agreement is in effect.
6.17. Order of Precedence. In the event of an inconsistency in this Agreement and any of the attached Exhibits, the terms set forth in this Agreement shall prevail. If, and to the extent this Agreement incorporates by reference any provision of any document, such provision shall be deemed a part of this Agreement. Nevertheless, if there is any conflict among the terms and Alarm Program Systems PSA 2026
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conditions of this Agreement and those of any such provision or provisions so incorporated by reference, this Agreement shall govern over the document referenced.
6.18. Costs. Each party shall bear its own costs and fees incurred in the preparation and negotiation of this Agreement and in the performance of its obligations hereunder except as expressly provided herein.
6.19. No Third Party Beneficiary Rights. This Agreement is entered into for the sole benefit of City and Consultant and no other parties are intended to be direct or incidental beneficiaries of this Agreement and no third party shall have any right in, under or to this Agreement.
6.20. Headings. Paragraphs and subparagraph headings contained in this Agreement are included solely for convenience and are not intended to modify, explain or to be a full or accurate description of the content thereof and shall not in any way affect the meaning or interpretation of this Agreement.
6.21. Construction. The parties have participated jointly in the negotiation and drafting of this Agreement. In the event an ambiguity or question of intent or interpretation arises with respect to this Agreement, this Agreement shall be construed as if drafted jointly by the parties and in accordance with its fair meaning. There shall be no presumption or burden of proof favoring or disfavoring any party by virtue of the authorship of any of the provisions of this Agreement.
6.22. Amendments. Only a writing executed by the parties hereto or their respective successors and assigns may amend this Agreement.
6.23. Waiver. The delay or failure of either party at any time to require performance or compliance by the other of any of its obligations or agreements shall in no way be deemed a waiver of those rights to require such performance or compliance. No waiver of any provision of this Agreement shall be effective unless in writing and signed by a duly authorized representative of the party against whom enforcement of a waiver is sought. The waiver of any right or remedy in respect to any occurrence or event shall not be deemed a waiver of any right or remedy in respect to any other occurrence or event, nor shall any waiver constitute a continuing waiver.
6.24. Severability. If any provision of this Agreement is determined by a court of competent jurisdiction to be unenforceable in any circumstance, such determination shall not affect the validity or enforceability of the remaining terms and provisions hereof or of the offending provision in any other circumstance. Notwithstanding the foregoing, if the value of this Agreement, based upon the substantial benefit of the bargain for any party, is materially impaired, which determination made by the presiding court or arbitrator of competent jurisdiction shall be binding, then both parties agree to substitute such provision(s) through good faith negotiations.
6.25. Counterparts. This Agreement may be executed in one or more counterparts, each of which shall be deemed an original. All counterparts shall be construed together and shall constitute one agreement.
6.26. Corporate Authority. The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by doing so the parties hereto are formally bound to the provisions of this Agreement.
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6.27 Executive Order N-6-22. On March 4, 2022, Governor Gavin Newsom issued Executive Order N-6-22 (the EO) regarding Economic Sanctions against Russia and Russian entities and individuals. “Economic Sanctions” refers to sanctions imposed by the U.S. government in response to Russia’s actions in Ukraine, as well as any sanctions imposed under state law. The EO directs state agencies to terminate contracts with, and to refrain from entering any new contracts with, individuals or entities that are determined to be a target of Economic Sanctions. Accordingly, should the City determine Consultant is a target of Economic Sanctions or is conducting prohibited transactions with sanctioned individuals or entities, that shall be grounds for termination of this agreement. The City shall provide Consultant advance written notice of such termination, allowing Consultant at least 30 calendar days to provide a written response. Termination shall be at the sole discretion of the City.
Consultant shall immediately notify City in writing upon being subjected to Economic Sanctions or upon being charged by a government agency of conducting prohibited transactions within the meaning of Executive Order N-6-22.
IN WITNESS WHEREOF, the parties hereto have caused this Agreement to be executed by and through their respective authorized officers, as of the date first above written.
CITY OF FULLERTON
__________________________________ Date: __________________________ City Manager
CONSULTANT
__________________________________ Date: __________________________ Jim Hutchingson, President
APPROVED AS TO FORM:
__________________________________
Richard D. Jones, City Attorney
Alarm Program Systems PSA 2026
EXHIBIT A
SERVICES & FEES
CITY OF FULLERTON, CA
ALARM PROGRAM ADMINISTRATION
Contract Renewal & Updated Fee Structure Proposal
Submitted by:
Alarm Program Systems LLC
380 Civic Drive, Suite 200B
Pleasant Hill, CA 94523
510-267-0414 ꞏ www.alarmprogramsystems.com
Submittal Date: August 2026
Cover Letter
City of Fullerton
Fullerton Police Department / Alarm Program
Fullerton, California
Dear Program Administrator:
Alarm Program Systems LLC (APS) has served as the City of Fullerton’s outsourced alarm program administrator since October 2021 under a five-year agreement that expires on September 30, 2026. This proposal covers the renewal of that agreement and proposes an updated compensation structure to take effect on October 1, 2026.
Over the past five years, APS has delivered continuous, uninterrupted administration of Fullerton’s alarm program — including permit registration, false alarm billing and collections, alarm company outreach, live customer service to Fullerton alarm owners, and monthly financial reconciliation to the City.
What is not changing: Scope of service. APS will continue to perform every function it has performed for Fullerton since program inception.
What is changing: Two updates are proposed, both aimed at bringing Fullerton’s agreement into alignment with the standard APS partnership structure:
● 1. Program operating costs move to gross recovery. Under the current legacy structure, APS absorbs all program operating costs — postage, printed materials, banking / lockbox fees, and credit card processing fees — out of its share. Under the proposed structure, these costs are itemized and recovered from gross program revenue prior to calculation of the revenue split. This is the standard model APS has used with new and renewing partners for the past several years. ● 2. Revenue split moves from 18% / 82% to 21% / 79%. A modest three-point adjustment to reflect five years of underlying cost pressure on APS’s operations — principally labor — with no corresponding fee adjustment on the revenue side of the program during that period.
We value the partnership we have built with the Fullerton Police Department and are committed to the same responsive, high-touch service standard that Fullerton’s residents and business owners have come to expect.
We welcome the opportunity to walk through the details of this proposal and answer any questions.
Sincerely,
Jim Huchingson
President, Alarm Program Systems LLC
380 Civic Drive, Suite 200B
Pleasant Hill, CA 94523
510-267-0414
Executive Summary
This proposal covers the renewal of the alarm program administration agreement between the City of Fullerton and Alarm Program Systems LLC (APS), and proposes an updated compensation structure effective October 1, 2026, upon expiration of the current five-year agreement on September 30, 2026.
Summary of Proposed Terms
Term Proposed
Effective Date October 1, 2026 (upon expiration of the current agreement on September 30, 2026)
Contract Term Three (3) years, with two (2) one-year renewal options upon both parties agreement
Revenue Split 79% City of Fullerton / 21% APS (currently 82% / 18%) Program Operating Costs
New structure. Postage, printed materials, banking / lockbox fees, and credit card processing fees deducted from gross program revenue before the revenue split; itemized on each monthly reconciliation. Currently absorbed by APS.
Setup / Transition Fees None. Scope of service, platform, and staff are all unchanged.
What Stays the Same
APS will continue delivering the full scope of service Fullerton has received since the beginning of our partnership:
● Permit issuance, renewal notices, and permit suspension workflows ● False alarm tracking, billing, and collections
● Alarm company roster management and outreach
● Live customer service for Fullerton alarm owners (phone, email) ● Monthly financial reconciliation and reporting to the City ● Appeals administration and City collaboration
● Program platform, hosting, security, and ongoing technology maintenance
Proposed Cost Structure
Revenue Split
All permit fees, false alarm fees, and any late or reinstatement fees billed and collected by APS on behalf of the City of Fullerton will be subject to the following split, after direct program operating costs are recovered from gross revenue:
City of Fullerton APS
79% 21%
(currently 82%) (currently 18%)
Program Operating Costs — New Recovery Structure
Under the current legacy agreement, APS absorbs all program operating costs out of its share. Under the proposed structure, direct program operating costs will be deducted from gross program revenue prior to calculation of the revenue split. Each item will be itemized on the monthly reconciliation statement provided to Fullerton:
● Postage: First-class postage on all mailed permit, renewal, and false alarm notices. ● Printed materials: Envelopes, forms, notices, inserts, and related billing production materials. ● Banking / lockbox fees: Bank service charges and lockbox processing fees associated with receiving Fullerton program payments.
● Credit card processing fees: Stripe processing fees on online payments (2.9% + $0.30 per transaction), passed through at actual cost with no APS markup.
Monthly Settlement Process
APS will reconcile the previous month’s deposits and online transactions within 10 days of month-end. The monthly reconciliation will show:
● Gross program revenue collected
● Itemized program operating costs deducted (postage, materials, banking, CC processing) ● Resulting net program revenue subject to the split
● City of Fullerton’s 79% share
● APS’s 21% share
Following approval, APS will remit Fullerton’s share via ACH to the City’s designated account. The monthly reconciliation report is available in real time via the APS Salesforce dashboard and can be exported to Excel at any time.
Credit Card Processing — Optional Pass-Through Election
OPTIONAL ELECTION AVAILABLE TO FULLERTON
Under the proposed structure above, credit card processing fees are covered by the program as a program operating cost (deducted from gross revenue before the split). This is the default.
As an alternative, Fullerton may elect to pass credit card processing fees through to alarm owners at the point of online payment. In this model, the Stripe fee is transparently displayed to the alarm owner as a convenience fee before payment is submitted; alarm owners retain the option to pay by mail with no processing fee.
Practical impact of electing pass-through:
● Reduces Fullerton’s program cost-share expense by removing CC processing fees from the grossrevenue deduction line entirely. ● Alarm owners paying online see a transparent convenience fee before submitting payment. ● Illustrative recovery to Fullerton: Credit card processing fees incurred in FY2025 totaled approximately $3,075. Under the proposed 79/21 structure, Fullerton’s 79% share of that expense would be approximately $2,430 annually. Electing this pass-through returns that ~$2,430 to Fullerton’s annual net share.
Fullerton may elect this option at signing or at any point during the renewal term by written notice to APS.
Continuing Scope of Service
The following functions describe the scope of service APS has been providing to the City of Fullerton and will continue to provide under the renewed agreement. No changes to service scope are proposed.
Program Administration
● Operate and maintain Fullerton’s Alarm Management Program consistent with the City’s current alarm ordinance and any future amendments.
● Maintain the APS Salesforce-based platform hosting all Fullerton program records, permits, false alarm history, billing activity, and account notes.
● Provide City administrators with real-time, unlimited, secure online access to all program data via dashboards, reports, and account-level records.
Permitting, Renewals & Suspensions
● Automated generation of permits, renewal notices, false alarm notices, and permit suspension notices. ● Online alarm user portal at the existing Fullerton alarm program URL for permit registration, renewal, payment, and account management.
● Workflow automation for permit lifecycle events, including renewal invoicing generated 45 days before expiration.
False Alarm Tracking, Billing & Collections
● Regular import of CAD false alarm data from the Fullerton Police Department, with secure encrypted transmission.
● Automatic assignment of false alarm counts and billing at Fullerton’s established fee schedule thresholds.
● Delinquency tracking, collection letters, demand calls, and payment plans consistent with Fullerton’s ordinance (including the $28 late fee applied after 60 days past due). ● Appeals administration — online, collaborative appeals list accessible to Fullerton staff in real time.
Alarm Company Roster Management
● Ongoing outreach and roster imports from alarm and monitoring companies operating in Fullerton. ● Alarm company self-service portal for roster updates, invoice management, and permit lookup. ● Cross-check between alarm company rosters and permitted locations to surface unpermitted alarm sites for outreach.
Customer Service
● Live phone support for Fullerton alarm owners, 8am–5pm PT, Monday–Friday, via a toll-free number. ● Email and web-form support with responses generally within 60 minutes during business hours. ● 24-hour emergency contact number available to the Fullerton Police Department.
Financial Reconciliation & Reporting
● Monthly reconciliation of all program deposits and online transactions. ● Monthly financial statement delivered within 10 business days of month-end, itemizing revenue, program costs, and the revenue split.
● ACH remittance of Fullerton’s share via Bill.com upon City approval. ● Ad hoc reporting on request — no incremental cost.
Platform, Security & Continuity
● 100% cloud-based platform — no hardware or software installation required by the City. ● Salesforce infrastructure with two-factor authentication, encrypted data transmission, event logging, and role-based access control.
● CJIS-Ready operational protocols: personnel background screening, security awareness training, and rigid administrative and technical safeguards.
● Redundant data backups, disaster recovery replication, and enterprise-grade physical security at Salesforce data centers.
Project Team & Contacts
Fullerton will continue to be supported by the same APS team members who have administered the program since 2021:
Name Role Contact
Jim Huchingson President; overall account owner [email protected] Brett Glass
VP Operations; primary account
manager and contract point of
contact
[email protected] ꞏ
(925) 718-1090
Lisa Baxter Customer Support Manager Ongoing training and support workflow oversight
Darlene White Program Support Manager Alarm company coordinator, roster management
Next Steps
● Review of proposed terms by City of Fullerton as appropriate. ● APS to provide a draft renewal agreement reflecting the terms above for City review and signature. ● Target effective date: October 1, 2026, upon expiration of the current five-year agreement. ● Optional CC pass-through election: Fullerton may elect this at signing or at any point during the renewal term.
Thank you for the opportunity to continue serving the City of Fullerton and its residents. We look forward to your feedback.
Alarm Program Systems PSA 2026
EXHIBIT B
CERTIFICATES OF INSURANCE