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RedZone itemMN Shorewood talking points for issues arising at May 29, 2012 Council Meeting SOLO Video Quality. Information was requested clarifying the Solo video quality. As per the RedZone technical specifications on the SOLO camera, contributing factors to the high quality images are as follows: - Both cameras on board SOLO capture at 3.0 M Pixel @ 9 frames /second each - 100% digital collection, storage and processing - Optical quality domes Option 1 progress payments The council inquired about aligned incentive performance payments if Shorewood was to select Option 1. RedZone agrees that properly aligned performance payments are reasonable and proposes the following: ® 10% of the total contract value due prior to commencement. Subsequent to Notice to Proceed, RedZone will issue this initial invoice 70% of the total contract value due based on monthly invoicing during data collection phase. RedZone will bill a prorated portion of 70% of the total contract value monthly based on the % completion of the field data collection efforts. ® 20% of the total contract value due based upon final data delivery into the ICOM3 software Explain why their literature indicates such low per linear foot inspection costs with Solo? This is an example provided by the company of how low the cost per foot can be doing inspections with SOLO under optimum conditions, getting the maximum daily footage based on a fixed rental fee. This example does not include provisions for any software hosting, license or support, manhole inspections, GPS data collection, GIS reconciliation services, or any additional value added services that might be part of a more comprehensive inspection or asset management program such as YES. What happens to the software if something happens to RedZone or support is discontinued? The RedZone software model is a subscription fee license model based on the notion of annual payments for annual use and support. Both pricing options allow for three (3) years of licensing, maintenance and support. In the event that anything happens to RedZone, Shorewood will most likely at that time have paid for the right to use the software up to that point in time. It should be noted that all data tables are exportable to excel and most data is characterized according to industry standards. As long as Shorewood performs regular export/backups there should be no concern of data loss. In the event that Shorewood has completed the initial proposed three year term and for any reason whatsoever, chooses to not continue license, maintenance and support payments then Shorewood shall have a perpetual, fully -paid, non - exclusive, non - transferable, non - assignable, non - sub - licensable license of the then most current version only to continue to use the ICOM3 Software solely for Shorewood's internal purposes. The ICOM3 software used under this license shall not have any connectivity with the hosted Software Services and RedZone shall have no obligation to otherwise provide Support or Technical Support to Subscriber or its Authorized Users using the Client Software under this license.