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CC SR 20200901 04 - Flock Safety Camera Update CITY COUNCIL MEETING DATE: 09/01/2020 AGENDA REPORT AGENDA HEADING: Regular Business AGENDA TITLE: Consideration and possible action to receive a status report on the City’s pilot Homeowners Association (HOA) Security Camera Grant Program with Flock Safety. RECOMMENDED COUNCIL ACTION: (1) Receive and file a status report on the City’s pilot HOA Security Camera Grant Program with Flock Safety at Oceanfront Estates; (2) Direct Staff to continue monitoring, for one year, the Oceanfront Estates Flock Safety Camera program; and, (3) If desired, direct Staff to expand the HOA Security Camera Grant Program with Flock Safety throughout the City. FISCAL IMPACT: The City’s cost for the one-year lease of the Flock Safety cameras at Oceanfront Estates is $3,500 for FY 2020-21 which is half the cost of four cameras. If the Flock Safety camera program is expanded Citywide, at this time, there is approximately $10,000 available in Special Programs for FY 2020-21. Amount Budgeted: $39,400 Additional Appropriation: N/A Account Number(s): 101-400-6120-5101 (General Fund – Special Programs/Professional/Technical Services) ORIGINATED BY: Shane Lee, Administrative Analyst REVIEWED BY: Karina Bañales, Deputy City Manager APPROVED BY: Ara Mihranian, AICP, City Manager ATTACHED SUPPORTING DOCUMENTS: A. October 15, 2019, staff report and attachments (page A-1) B. August 13, 2020, Regional Law Enforcement Committee staff report and attachments (page B-1) C. Flock Safety MOU between Oceanfront Estates HOA, the City, and the Lomita Sheriff’s Station (page C-1) BACKGROUND: 1 On August 20, 2019, the City Council approved a City grant program to assist HOAs with funding security cameras for their neighborhoods. The City’s grant pays half the cost of the security camera system equipment, in addition to streamlining the process, waiving permit fees, and working with camera vendors. As part of the program, the HOAs are responsible for the infrastructure and upkeep of the poles and electrical connections. To further assist the HOAs, the City set up communication lines for the cameras and charges the HOAs a pass-through annual cost, at a discounted rate, for connectivity with wireless carriers. The first camera vendor to participate with the City’s grant program was Obsidian Integration, which was a vendor selected through the City’s Request for Information process. Obsidian Integration provides ALPR cameras that neighborhoods would have to purchase. HOAs are responsible for paying the vendor directly for the security camera system and installation costs. They are then reimbursed the matching funds of $3,750 or approximately 50% of the base cost of the security camera syste m and equipment. Included in these costs are three years of monitoring and support. Additionally, the installation fees were approximated at $3,000 and included the installation of a mounting pole, a security camera, a cellular connection, and connecting the system to a nearby power source. Ongoing operation fees, which include the necessary operating cellular connection, were approximately $480 per camera per year. To date, five HOAs installed cameras provided by Obsidian. On October 15, 2019, the City Council expanded this grant program and authorized funding for a new pilot program with the Oceanfront Estates HOA utilizing Flock Safety. This report is intended to provide a status report on the installation of the Oceanfront Estates Flock Safety cameras and to determine whether to expand the HOA Security Camera Grant Program to include Flock Safety Citywide. DISCUSSION: Flock Safety General Information Flock Safety provides leased cameras that have high-quality resolution with day and night functionality, motion-detection imaging, and license plate-reading technology that can be utilized by both local administrators and local law enforcement for investigations and alerts. The cameras are generally solar-powered; however, they can be hardwired if desired. The camera vendor has a cloud-based system in which a neighborhood representative can have administrative rights and access the system remotely and where footage can be uploaded and stored. This differs from the existing ALPR camera vendor, Obsidian Integration. With Obsidian Integration, the cameras are purchased outright, are DC-powered (not solar), require additional cellular connectivity to operate, and require a considerable upfront cost investment. With the Flock Safety cameras, there are no additional cellular connectivity costs because it is a cloud-based system, and there are no additional fees as they are annually leased cameras. Additionally, since Flock Safety cameras are solar-powered, utility connection is not necessary. 2 Flock Safety offers two camera products: Falcon and Sparrow. The Falcon camera is designed for public agency use and is $2,500 per camera per year, which is part of a package cost that includes the greater camera capability, upgrades, and ongoing maintenance, community liaison support, built-in costs of any fees or permits, and the extra time and processes that go into collaborating with public agencies. The Falcon has bigger data capacity, a faster data upload speed with a better SIM card and processor, and has real-time uploading capability (whereas the Sparrow uploads data in batches over time). Also, Flock Safety assists with community questions, community engagement tools, and other involvement opportunities. There is an opportunity to save on bulk installation fees with a Flock Safety partnership. The Sparrow camera, which is the neighborhood camera, is offered at $2,000 per camera per year. This incorporates any infrastructure costs, which include installation costs, cloud data storage, upgrades, and ongoing maintenance with a community support team. There are no added installation fees for these cameras. Each neighborhood that would like to purchase a Flock Safety camera may purchase any number of cameras, as there is no camera limit. Additionally, as of the writing of this report, Flock Safety is offering package deals in which the term of the lease can start at one year. Flock Safety does not offer a discount on cameras as they are priced far below other vendor products, as Flock Safety’s lease business model provides ongoing support and can be terminated after one year. The cost and type of camera are delineated by who signs the contract. As long as the neighborhoods sign the agreement, the cities can be involved in the process and assist the neighborhoods with the procurement and costs. For example, the Oceanfront Estates HOA signed the agreement with Flock Safety and therefore received the Sparrow cameras, even though the City was involved in the procurement and process, including subsidizing some of the costs. Oceanfront Estates Flock Safety Status Report The costs for the Flock Safety cameras were estimated at $2,000 per camera per year, with an initial intent of acquiring five cameras at Oceanfront Estates. The City agreed to pay for half the cost of each camera, which for five cameras was estimated at $5,000 for the City. When the partnership was established, the Oceanfront Estates HOA purchased to lease four instead of the five Flock Safety cameras for $1,750 each per year instead of $2000 each per year, resulting in an annual cost savings of $3,000. On July 23, 2020, all four cameras were installed and operational at the entry/exit points of the Oceanfront Estates tract. The lease of the four cameras cost the Oceanfront Estates HOA $7,000, and therefore the City reimbursed the HOA $3,500 for its share of the program after the cameras were installed. Since the installation occurred on July 23, 2020, the reimbursement is funded in the FY2020-21 budget. The expected cost of the program will remain at $3,500 because it is a one-year pilot lease. At this time, because the Flock Safety cameras at Oceanfront Estates were recently installed, Staff recommends continuing to monitor the operation of the camera at this 3 location for one year (July 2021). Based on staff’s monitoring, the City Council may determine at that time whether the annual cost of the leased cameras should end with the one-year pilot program or expand to a Citywide program. Expanding the Flock Safety HOA Security Camera Grant Program Over the past several months, the Flock Safety Camera Program has been discussed at various HOA meetings, including a presentation at the Rancho Palos Verdes Council of Homeowners Associations (CHOA) by the City Manager. As a result, several HOAs have expressed interest in learning more about Flock Safety and the potential for the City to add them to the Neighborhood Security Camera Grant program. The current pilot program is set up so that the City subsidizes half the cost of each Sparrow camera that a neighborhood purchases. If 10 cameras are purchased, for however many neighborhoods, the City would spend $5,000 (half of the full $10,000 cost). If the City continues to partner with Flock Safety, included in the cost would be community engagement tools and assistance from a representative. If the City Council decides to expand the pilot program to include other neighborhoods that would like to partner with the City and Flock Safety, there is approximately $10,000 currently available in the Special Programs Fund for FY 2020-21. Since each Sparrow camera costs $2,000 per year and the current City subsidy is to reimburse half the cost of each camera, there is the potential to lease up to 10 cameras. Staff expects that one or two Sparrow cameras may be sufficient for most neighborhoods depending on their specific locations, needs, and financial capabilities. The purchase of these leased cameras may need to be set at a first-come, first-served basis for FY2020-21, unless the City Council appropriates additional funds if and when it becomes necessary. Whether this program is expanded to include other neighborhoods or if the program were to be expanded past one-year for Oceanfront Estates, the budget amount would need to continue to pay for the annual leases of the cameras. In an effort to inform the community, a web page titled “Neighborhood Security Cameras” is available on the on the City’s website under the Public Safety section. It can be viewed at https://www.rpvca.gov/1318/Neighborhood-Security-Cameras. ALTERNATIVES: In addition to the Staff recommendation, the following alternative actions are available for City Council’s consideration: 1. Direct staff to identify different subsidy percentages for the consideration of an expanded HOA Security Camera Grant Program. 2. Appropriate more money into the budgeted account to expand the HOA Security Camera Grant Program. 3. Take other action, as deemed appropriate. 4 RANCHO PALOS VERDES CITY COUNCIL MEETING DATE: 10/15/2019 AGENDA REPORT AGENDA HEADING: Consent Calendar AGENDA DESCRIPTION: Consideration and possible action to authorize funding for the Homeowners Association (HOA) Security Camera Grant Program to be used to test Flock cameras for a proof of concept RECOMMENDED COUNCIL ACTION: (1) Authorize Staff to use funding from the HOA Security Camera Grant Program to test Flock cameras for a proof of concept. FISCAL IMPACT: The funding for HOA Security Camera grants has already been budgeted, and the recommended action would only slightly alter the use of these funds. Amount Budgeted: $ Additional Appropriation: $ 0 Account Number(s): 101-400-6120-5101 ORIGINATED BY: Gabriella Yap, Deputy City Manager REVIEWED BY: Same as above APPROVED BY: Doug Willmore, City Manager ATTACHED SUPPORTING DOCUMENTS: A. Flock proposal for Oceanfront Estates (page A-1) BACKGROUND AND ANALYSIS As discussed at the August 20, 2019 City Council meeting, the Council previously approved grants through a City program to assist HOAs with funding for security cameras for their neighborhoods. The City grant pays half the security camera system equipment cost, and, in addition to streamlining the process, waives the permit fees. Each HOA is responsible for the infrastructure, such as poles and electrical connections, its placement and approval of the contractor’s work, as well as communication line costs. The City has been assisting HOAs by setting up communication lines through the City and charging HOAs the pass-through cost so that they can take advantage of the City’s discounted rate. There has been significant interest in the program, but many HOAs were concerned about the infrastructure costs, which vary widely by location depending on how far away an electrical power source is located. Staff met with Flock Safety, a startup that offers solar options for cameras and has recently acquired automated license plate recognition A-1 (ALPR) capability. This camera costs $2,000 per year, so there is a significant ongoing cost, but it may be an option for HOAs that are concerned about infrastructure costs. Oceanfront Estates HOA participated in the grant program and made a significant investment in the infrastructure and cameras. However, it would like to test the new features provided by the Flock system side-by-side with its current system and has requested the City partner with it on this. Staff recommends splitting the cost of five Flock cameras for one year with Oceanfront Estates HOA, meaning the City’s share would be $5,000. Similar to the existing camera grant program, the contract would b e between the HOA and Flock, with the City helping to provide funding for a proof of concept. ALTERNATIVES In addition to the Staff recommendations, the following alternate actions are available for the City Council’s consideration: 1. Do not authorize using funding from the HOA Security Camera Grant Program for this purpose. A-2 Today's Date - 9/23/19 This proposal expires in 30 days. Flock Safety - Oceanfront Estates, Rancho Palos Verdes, CA Flock Safety’s mission is to eliminate non-violent crime. This is possible with crime-ghting technology that provides coverage for the entire neighborhood. When a crime occurs, Flock Safety license plate reading cameras deliver the actionable evidence police need to make an arrest.  Who We Are Flock Safety is headquartered in Atlanta, Georgia with camera systems live in 300 cities in 32 states. With formal police relationships across the nation, our team is helping local police solve 3- 4 crimes a day.  Why We Exist  87% of crime goes unsolved. Why is that? Police departments need actionable evidence to help solve and deter crime. Today, facial recognition with traditional surveillance cameras don’t provide reliable information to make an arrest.  The Flock Safety camera not only captures the footage police need, but it is easily searchable by car type, color, timeframe, or plate details.  Product & Services Most surveillance cameras watch crime happen. Flock Safety cameras help prevent and solve crime. Our crime-ghting technology uses license plate reading functionality to capture vehicle images. Then, machine learning software pulls characteristics into a searchable format to easily pull footage when you need it, in a matter of seconds.  Where facial recognition helps police solve crimes on TV, if the person is not a "known" suspect, the case often goes cold. The most actionable evidence that police need to track a suspect is a license plate.     A-3 Today's Date - 9/23/19 This proposal expires in 30 days. Camera Hardware  Camera - Motion detection and infrared technology  Capture - Vehicles up to 75 MPH and 75 ft from camera Power - Solar Panel with back-up battery Internet - Cellular LTE Connection Production - Designed and manufactured in the United States Footage Software Access - Use any internet-based device Footage - Stored for 30 days in the cloud Encrypted - Secured with AES256 encryption  Search - Filter results by color, vehicle type and more Privacy & Access Handling Your neighborhood 100% owns the data. Flock will not share, sell, or access your data. Your community decides who can access footage from the web portal, an HOA board member, trusted neighbor, or every neighbor - it’s your call.  The Flock Safety Safelist marks footage as "resident" for any participating member in the neighborhood. Anyone concerned due to privacy concerns can opt-out, so their vehicle information is completely removed from footage capture.     Day Footage                                                                     Night Footage A-4 Today's Date - 9/23/19 This proposal expires in 30 days. Customer Support Flock Safety is not just a camera you buy and we walk away from your community. We provide Safety-as-a-Service, meaning, every community has a dedicated Customer Success Manager for ongoing support.  Need help nding footage? Don't know what to do when a crime occurs?  Something happen to your camera?  Want to provide someone with temporary access?  Our team is here to help, just call 404.202.5783 or email hello@ocksafety.com.  Crime Assistance  In the event of a crime, there are several options for how to handle your Flock Safety footage: 1. Download footage and email the images directly to the investigating ofcer. 2. Print out the footage and share the images physically with law enforcement. 3. Contact Flock Safety to request temporary access be provided to police. Our team is here to help your community, so law enforcement has the actionable evidence needed to investigate the crime. Every day, we work with customers to help stop crime in their community. See how these customers have used Flock Safety to help.  A-5 Today's Date - 9/23/19 This proposal expires in 30 days. Take Proactive Steps Before There's Crime Just like home insurance, preventative safety steps help secure every home in your community. Hopefully, crime never comes to your neighborhood, but if it does, make sure you have sufcient coverage to cover the cost of crime. Did you know Flock Safety, cameras cost less than the average household loses to crime a year? FBI reports property crimes cost about $15.6 Billion per year US has over 118 Million households Meaning the average homeowner loses $132 to crime yearly The typical cost of a Flock Safety camera per household is between $20-40 each year. Make the investment today for a protected community! Installation & Signage Flock Safety installs and maintains the camera system for your community. Technicians leverage solar and battery for power, then cellular (LTE) for data communications, removing additional upfront costs. Our team works with your neighborhood to determine the best location for the cameras. At a minimum, we recommend them near the entrance(s), but encourage placing them strategically throughout the community for maximum effectiveness. All installations include an 8 foot pole to mount the camera. A 14 foot pole is available for a one-time charge of $250.00. In addition to your camera setup, your technician will install a metal "Flock Safety Protected" sign. These will go on existing poles at the entrance of the community for added safety.  A-6 Today's Date - 9/23/19 This proposal expires in 30 days. Oceanfront Estates, Rancho Palos Verdes, CA - Suggested Camera Locations When deciding on camera placement, it is best practice to have 2 cameras per entrance. One to capturing incoming trafc and another for outgoing trafc. Having this information provides a timestamp of a vehicle's time within your community. This is especially important if an incident occurs and you need to provide evidence to local authorities.  A-7 Today's Date - 9/23/19 This proposal expires in 30 days.A-8 Today's Date - 9/23/19 This proposal expires in 30 days. Next Steps & Contract Details Flock Safety cameras quickly and easily gather the evidence the police need to solve crime, and we're helping solve 3-4 crimes a day with neighborhoods just like yours.  This fully infrastructure-free setup with solar power, allows us to offer exible and affordable pricing. Helping your community prevent and solve crime in a matter of weeks. Once your community has shared this proposal with leadership for review, you can expect these next steps: 1. Sign the Flock Safety Purchase Order (PO) 2. Complete the billing setup steps 3. Meet your Customer Success Manager 4. Get your cameras and signs installed (4-6 weeks) If you have any questions, please feel free to contact me at renzo@ocksafety.com or 404-800-0369.  A-9 Today's Date - 9/23/19 This proposal expires in 30 days. Subtotal $10,000.00 Total Per Year $10,000.00 Price QTY Subtotal Contract Details Annual System Price (Recurring Subscription) per year 2 year term $2,000.00 5 $10,000.00 Automatic License Plate Reader (ALPR) Solar Power Maintenance Warranty  $0.00 5 $0.00 Hosting & Analytics Cloud Footage Hosting  Ongoing Software Enhancements  Cellular $0.00 5 $0.00 Installation (One Time Fee) Camera Setup Shipping & Handling Mounting Equipment  "Flock Safety Protected" Sign $0.00 5 $0.00 8 Foot Pole $0.00 5 $0.00 A-10 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 1 MEMORANDUM TO: REGIONAL LAW ENFORCEMENT COMMITTEE FROM: CITY MANAGERS DATE: AUGUST 13, 2020 SUBJECT: FLOCK SAFETY CAMERA UPDATE Prepared By: Shane Lee, Rancho Palos Verdes Administrative Analyst ______________________________________________________________________ The cities of Rolling Hills Estates and Rancho Palos Verdes, in coordination with its respective Neighborhood Watch groups and Homeowners Associations (HOAs), have been identifying tools and resources to enhance public safety and property protection. One of the tools utilized are neighborhood cameras, such as the Flock Safety Camera System (Flock Safety). The Flock Safety system has recently been the preferred neighborhood camera system because of the high-quality resolution with day and night functionality, motion detection imaging, and license plate reading technology that can be utilized by the local sheriff’s station for police investigations and alerts. Although the Flock Safety system is in the early stages of alerting the local Lomita Sheriff’s Station for wanted vehicles, it is not currently integrated into the greater Los Angeles County Sheriff’s Department daily operations for county-wide data sharing. The camera is generally solar-powered; however, it can be hardwired if desired. The camera vendor has a cloud-based system in which a neighborhood representative can have administrative rights and access the system remotely. REGIONAL LAW Agenda Item No. 5B Meeting Date: 08-13-20 B-1 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 2 The City of Rolling Hills Estates staff has collaborated with the camera vendor Flock Safety and the Los Angeles County Sheriff’s Department’s Technology and Support Division, including the Lomita Station this past year to implement a neighborhood camera pilot program. The staff has received positive feedback from the Sheriff’s Department personnel and participating neighborhood residents of overall system accessibility and functionality. As such, the Rolling Hills Estates City Council has added this camera vendor to the City’s camera grant vendor’s preferred list. The City of Rancho Palos Verdes launched its pilot program of the Flock Safety system with the Oceanfront Estates HOA. In July, a total of five cameras were installed at the two tract entrances located off Palos Verdes Drive West. These cameras are in operation and will be monitored by staff to assess its effectiveness. Additionally, the City is increasing its outreach on the availability of the Flock Camera to its various HOAs. Flock Safety Camera Products Flock Safety offers two types of camera products: Falcon Camera Sparrow Camera The Falcon camera is designed for public agency use and the Sparrow camera is for private neighborhood use. The differences between these two cameras relate to the amount of information the cameras are expected to process. The Sparrow is less comprehensive because it is meant to be in neighborhood areas where there are expectedly less traffic and objects for the camera to process. The Falcon has bigger data capacity, faster data upload speed with a better sim card and processor, and has real-time uploading capability (whereas the Sparrow uploads data in batches over time). Flock Safety Camera Costs The Flock Safety Camera is a leased camera that is priced based on an annual package cost. The Falcon camera is $2,500 per camera per year, which is part of a package cost that includes the greater camera capability, upgrades and ongoing maintenance, community liaison support, built-in for costs of any fees or permits, and the extra time and processes that goes into partnering with public agencies. In addition, Flock Safety provides assistance with community questions, community engagement tools, and other involvement opportunities. The Sparrow camera is $2,000 per camera per year, which includes the full-time community liaison support, upgrades, and ongoing maintenance. The camera itself operates with lower comprehensive capacity due to the less traffic and objects it will process. B-2 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 3 There are no installation fees for neighborhoods using the Sparrow camera. For public agencies, which uses the Falcon camera, the one-time installation fee is $250. There is an opportunity to save on bulk installation fees with a Flock Safety partnership agreement (see next section for more information). For example, if a city purchases 10 cameras for $25,000, the normal installation fee would be $2,500. Depending on the terms of the agreement, there may be savings of 30%-50% on the installation fee, which saves from $750 to $1,250. Flock Safety does not offer a discount on cameras as they are priced far below other vendor products, as their lease business model provides ongoing support and can be terminated after a year. Therefore, there are no other opportunities for savings besides the installation fees. The cost and type of camera are delineated by who signs the contract. As long as the neighborhoods sign the agreement, the cities can be involved in the process and assist the neighborhoods with the procurement and costs. For example, the Oceanfront Estates HOA signed the agreement with Flock Safety and therefore receives the $2,000 Sparrow cameras, even though the City of Rancho Palos Verdes was involved in the procurement and process, including subsidizing some of the costs. For public agencies, there is a minimum purchase of five cameras; however, individual neighborhoods can purchase any amount of cameras as they wish. Flock Safety Enterprise Agreement At the May 14, 2020 meeting, Committee Member Schmitz requested Staff explore whether an enterprise agreement could be developed to reduce costs and encourage more neighborhoods to install the flock cameras. In response, Staff approached Flock Safety for the possibility of an enterprise agreement with the Peninsula cities. Staff spoke to Bailey Quintrell, Vice President of Strategy and Partnerships, and Jesse Mund, Territory Account Manager of Southern California, who provided information on agreement packages (similar to an enterprise agreement) and potential opportunities for cost savings, as summarized below. Agreement Details The lease agreements offered by Flock Safety are in the form of one-year terms, and most agreements are executed in multi-year agreement. According to Flock Safety, presently, no agency has cancelled after one year using Flock cameras. The advantages of longer, multi-year, lease agreements are that the costs are locked-in based on the set terms. Thus, if the cost of the cameras and support increase the next year, with multi-year contracts, the costs will remain at the agreed amount while one- year leases will be increased at the annual renewal. Billing would occur annually at the start of the contract year. In regards to a regional partnership (or enterprise agreement), Flock Safety has indicated a preference to bill to one city. B-3 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 4 Benefits and Disadvantages of an Enterprise Agreement Benefits of an Enterprise Agreement An Enterprise Agreement would essentially allow participating Peninsula cities to acquire and operate flock cameras under one agreement, and may provide for increased camera installation. Although each neighborhood and city would have their own network of cameras and administrators, the cameras all function on a unified network and database. With one regional Sheriff’s station that oversees the Peninsula’s law enforcement, more cameras across the Peninsula allows for greater accessibility of footage and security. In addition, if the Flock Safety cameras are well-received by the community, establishing an enterprise agreement on the Peninsula would provide foundation for future Flock Safety camera purchases. In other words, it will be easier to purchase additional cameras for more neighborhoods. A unified approach could also demonstrate confidence for neighborhoods to have longer contract terms, which could ultimately result in greater cost savings. Disadvantages of an Enterprise Agreement Based on staff’s assessment, there is minimal financial benefit to an enterprise agreement. The individual cities may not necessarily save money in using the enterprise approach compared to if each city signed their own agreements. The greatest cost savings occur when the public Falcon cameras are purchased, which require installation fees but would be discounted based on the number of cameras installed despite the type of agreement between Flock Safety and a city. Additional Information Examples of Agency Agreements Flock Safety does not have any enterprise agreements in place. Examples of individual agreements with other cities and law enforcement agencies in Los Angeles County include the City of San Marino, City of La Cañada Flintridge, City of La Habra Police Department, and the San Dimas Sheriff’s Station. The City of La Cañada Flintridge purchased 37 Flock Safety cameras for $78,000. The cost of the cameras totaled $74,000, and the installation was $4,800. The discounted installation cost breakdown is approximately $130 for each installation, instead of the usual $250. As a part of their partnership, Flock Safety is providing the City with a 60 day trial period where if there are any issues or dissatisfaction, then there would be a no-cost refund. Installation Contractor B-4 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 5 The City of Rancho Palos Verdes recently experienced delays with installing its pilot camera because of insurance and other processing obstacles due to Flock Safety’s use of sub-contractors. In response, Flock Safety indicated they would be hiring a Los Angeles area technician instead of their previous approach of hiring sub-contractors to install their cameras to avoid any potential issues. Flock Camera Representative If desired by the Committee, Mr. Mund offered to attend a future meeting to provide additional information on their mission, usefulness, examples of partnerships with other law enforcement agencies and cities, and other relevant information. Additionally, he is available to meet with city staff, either in-person or virtually, to respond to any inquiries. B-5 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 6 Exhibit A Side View of Sparrow Camera at Montecito SPARROW CAMERA B-6 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 7 Exhibit A (continued) Front View of Solar Panel Solar Panel B-7 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 8 Exhibit B Image Capture from RHE Pilot Camera B-8 Flock Safety Camera Update Regional Law Enforcement Committee August 13, 2020 5B - 9 Exhibit C Front view of RPV Pilot Sparrow Camera at Oceanfront Estates B-9 MEMORANDUM OF UNDERSTANDING This Data Sharing Memorandum of Understanding (this “MOU”) is entered into by and between Flock Group, Inc. with a place of business at 2588 Winslow Drive, Atlanta, GA 30305 (“Flock”) and the police department or agency identified in the signature block below (“Agency”) (each a “Party, and together, the “Parties”). Whereas, Agency desires to access Flock’s technology platform (the “Flock Service”) for investigative purposes, in order to view and search videos recorded by Flock (“Recordings”) which are stored for no longer than 30 days, utilizing its software for automatic license plate detection (“Software”); Whereas, Flock desires to share such videos with Agency pursuant to the following terms and conditions. 1.Purpose. To allow the Agency to utilize the Flock Services for the following purpose: to gain awareness with respect to the communities for which they serve to protect. (the “Purpose”). 2.Access Rights to Flock Services. Subject to the terms and conditions contained in this MOU, Flock hereby grants to Agency a non-exclusive, non-transferable right to access the features and functions of the Flock Service during the Term, solely for use by Authorized Users in accordance with the terms and conditions herein. “Authorized Users” will mean employees, agents, or officers of Agency accessing or using the Flock Services for the Purpose. Agency acknowledges and agrees that, as between Agency and Flock, Agency shall be responsible for all acts and omissions of Authorized Users, and any act or omission by an Authorized User which, if undertaken by Agency, would constitute a breach of this MOU, shall be deemed a breach of this MOU by Agency. Agency shall undertake reasonable efforts to make all Authorized Users aware of the provisions of this MOU as applicable to such Authorized User’s use of the Flock Service, and shall cause Authorized Users to comply with such provisions. 1. 3.Restrictions on Use. Agency will not, and will not permit any Authorized Users or any third party, to: (i) copy or duplicate any of the Flock Service; (ii) decompile, disassemble, reverse engineer or otherwise attempt to obtain or perceive the source code from which any Software component of any of the Flock Service is compiled or interpreted; (iii) modify, alter, or tamper with any of the Flock Service, or create any derivative product from any of the foregoing; (iv) interfere or attempt to interfere in any manner with the functionality or proper working of any of the Flock Service; (v) remove, obscure, or alter any notice of any intellectual property or proprietary right appearing on or contained within any of the Flock Service; or (vi) assign, sublicense, sell, resell, lease, rent or otherwise transfer or convey, or pledge as security or otherwise encumber, Agency’s rights under Sections 2. Data that the agency does not own may only be accessed for investigative purposes. 2. 4.Ownership. As between the Parties, subject to the rights granted in this MOU, Flock and its licensors retain all right, title, and interest in and to the Flock Service, and its components and any Recordings or data provided by Flock through the Flock Service, and Agency acknowledges that it neither owns nor acquires any additional rights in and to the foregoing not expressly granted by this MOU. Agency further acknowledges that Flock retains the right to use the foregoing for any purpose in Flock’s sole discretion. There are no implied rights. 5.Financial Implications to Agency. No financial commitment by Agency is required to access the Flock Services or Recordings. 3. C-1 11.Term; Termination. A.Term . This MOU will commence once executed by both parties and shall continue for a period of 5 years. 4. B.Termination. Flock may terminate this MOU for its convenience, and in its sole discretion, by providing Agency thirty (30) days prior written notice of termination. Agency may terminate this MOU for its convenience, and in its sole discretion, by providing Flock ninety (90) days prior written notice of termination. Either party may terminate this MOU upon written notice if the other party has breached a material term of this MOU and has not cured such breach within thirty (30) days of receipt of notice from the non-breaching party specifying the breach. Upon termination of this MOU, Agency will immediately cease all use of Flock Services. 12.Indemnification. Each Party to this MOU shall assume the responsibility and liability for the acts and omissions of its own employees, deputies, officers, or agents, in connection with the performance of their official duties under this MOU. For tort liability purposes, no participating Party shall be considered the agent of the other participating Party. Each Party to this MOU shall be liable (if at all) only for the torts of its own officers, agents, or employees that occur within the scope of their official duties. Under no circumstances shall this MOU be interpreted to create a partnership or agency relationship between the Parties. 13.Limitation of Liability. A.Limitation on Direct Damages. IN NO EVENT SHALL FLOCK’S AGGREGATE LIABILITY, IF ANY, ARISING OUT OF OR IN ANY WAY RELATED TO THIS MOU EXCEED $100, WITHOUT REGARD TO WHETHER SUCH CLAIM IS BASED IN CONTRACT, TORT (INCLUDING NEGLIGENCE), PRODUCT LIABILITY OR OTHERWISE. B.Waiver of Consequential Damages. IN NO EVENT SHALL FLOCK OR ITS LICENSORS OR SUPPLIERS BE LIABLE FOR ANY INDIRECT, SPECIAL, PUNITIVE OR CONSEQUENTIAL DAMAGES, INCLUDING, WITHOUT LIMITATION, LOSS OF DATA OR LOSS OF PROFITS, WITHOUT REGARD TO WHETHER SUCH CLAIM IS BASED IN CONTRACT, TORT (INCLUDING NEGLIGENCE), PRODUCT LIABILITY OR OTHERWISE, EVEN IF FLOCK HAS BEEN ADVISED OF THE POSSIBILITY OF SUCH DAMAGES. 14.Confidentiality. A.Obligations. During the performance of services and Agency's use of the Software under this Agreement it may be necessary for a Party to provide the other with certain information considered to be proprietary or confidential by the disclosing Party. The disclosure of such confidential information shall be subject to the following terms and conditions. i.The term "Agency Confidential Information" shall mean any material, data, Systems, procedures and other information of or with respect to Agency that is not be accessible or known to the general public, including information concerning its hardware, software, business plans or opportunities, business strategies, finances, employees, and third-party proprietary or other information that Agency treats as confidential. Flock shall not use, publish or divulge any Agency Confidential Information except (i) in connection with Flock's provision of Software and services pursuant to this Agreement, (ii) to Flock's officers, directors, employees, agents and contractors who need to know such information to enable Flock to provide Software and services pursuant to this Agreement, or C-2 (iii) with the prior written consent of Agency, which consent Agency may withhold in its sole discretion. ii.The term "Flock Confidential Information" means any proprietary material, data, Systems, procedures and other information of or with respect to Flock that is not accessible to or known to the general public, including, without limitation, the Software, object code, source code, formulae, algorithms, financial data, clients, employees, software development plans and software support. Agency shall not use, publish or divulge any Flock Confidential Information except (i) to its employees, agents and contractors who need to know such information to enable Agency to use the Software, or (ii) with the prior written consent of Flock, which consent Flock may withhold in its sole discretion. iii.Each party shall protect the other's confidential information with the same degree of care normally used to protect its own similar confidential information, but in no event less than that degree of care that a reasonably prudent business person would use to protect such information. The obligations of each party to protect confidential information received from the other party shall not apply to information that is publicly known or becomes publicly known through no act or failure to act on the part of the recipient. B.Exclusions. Confidential Information shall not include any information that is (i) already known to the receiving Party at the time of the disclosure; (ii) publicly known at the time of the disclosure or becomes publicly known through no wrongful act or failure of the receiving Party; (iii) subsequently disclosed to the receiving Party on a non-confidential basis by a third party not having a confidential relationship with the other Party hereto that rightfully acquired such information; or (iv) communicated to a third party by the receiving Party with the express written consent of the other Party hereto. A disclosure of Confidential Information that is legally compelled to be disclosed pursuant to a subpoena, summons, order or other judicial or governmental process, the California Public Records Act, or the Freedom of Information Act shall not be considered a breach of this MOU; provided the receiving Party provides prompt notice of any such subpoena, order, or the like to the other Party so that such Party will have the opportunity to obtain a protective order or otherwise oppose the disclosure. 2.Miscellaneous. All notices, requests, demands, or other communications required or permitted to be given hereunder must be in writing and must be addressed to the Parties at their respective addresses set forth below and shall be deemed to have been duly given when (a) delivered in person; (b) sent by facsimile transmission to the facsimile number below and indicating receipt at the facsimile number where sent; (c) one (1) business day after being deposited with a reputable overnight air courier service; or (d) five (5) business days after being deposited with the United States Postal Service, for delivery by certified or registered mail, postage pre-paid and return receipt requested. This MOU shall be governed by the laws of the state in which the Agency is located, excluding its conflict of laws rules. The parties agree that the United Nations Convention for the International Sale of Goods is excluded in its entirety from this MOU. [CONTINUED ON NEXT PAGE] C-3 IN WITNESS WHEREOF, Flock and the Agency have caused this MOU to be signed on the date set forth below and be effective on the last date specified below. Flock Group, Inc.: Agency: By: By: Name: Name: Title: Title: Date: Date: C-4