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HomeMy WebLinkAboutC20-169 RealAuction1
AMENDED AND RESTATED AGREEMENT FOR SERVICES
BETWEEN EAGLE COUNTY, COLORADO AND REALAUCTION.COM
FOR INTERNET TAX LIEN SALE AUCTION
This Agreement made on ____________ (the “Effective Date”), is between the Eagle County
Treasurer (“Treasurer”) for Eagle County, Colorado ("County"), and Realauction.com, L.L.C., a
Florida limited liability company ("Contractor"), for Internet-based electronic processing of bid
information related to the auction sale of County's tax liens (each a “Tax Certificate”). The
Treasurer and County may collectively be referred to herein as the County. County and
Contractor are collectively referred to herein as the “Parties.” The Parties hereby agree to the
following terms and conditions:
1.Amendment and Restatement of Agreement; Term; Termination.
A.The Parties intend to amend the terms of their agreement for the same services
dated September 9, 2019 (the “September 2019 Agreement”) by deletion of all terms set
forth therein and replacement with the terms set forth herein. As of the Effective Date set
forth herein, the September 2019 Agreement shall be deemed terminated, and replaced
and superseded in its entirety by the terms of this Agreement.
B.The term of this Agreement shall terminate one year from the above date, with the
option to renew at the same terms for two (2) additional one-year periods upon written
agreement of the parties. Any amendments or modifications shall be in writing signed by
both parties.
C.Termination: This Agreement may be terminated by either party for any reason.
Any such termination shall be effected by delivery of a written notice of termination
specifying the reason and date upon which termination becomes effective, which date
shall not be less than ninety (90) days from the date of the written notice.
Notwithstanding the foregoing, this Agreement may be sooner terminated by any party
for default or breach upon the failure of the other to comply with any provision or
requirement of this Agreement, provided that written notice of such failure is given to the
defaulting party and is not cured within thirty (30) days of the date of receipt of written
notice. A party's decision not to take action upon failure of the other party to perform
shall not be construed as a waiver of the ability of non-breaching party to take additional
action at a later date and time.
2.Services to be Provided by Contractor.
A.The Contractor shall furnish Internet Auction Services for the Treasurer to
conduct the public tax lien sale(s) in accordance with C.R.S. § 39-11-108 (2).
B.The Contractor shall provide a host server for the Web Site. As used herein, the
term "Web Site" shall mean the “Eagle County Tax Certificate Web Site” that Contractor
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C20-169
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will make available to and provide access to their web based program for the County
under this Agreement. The Web Site will utilize Contractor's proprietary software, which
is capable of accepting and processing competitive bids for Tax Certificates to be issued
by the Treasurer to conduct a sale of Eagle County tax liens each year in accordance with
Colorado law (each an “Eagle County Auction”). The County acknowledges that the
Contractor's Server may not be dedicated exclusively to the Web Site. The Contractor
shall use its best efforts to make the Web Site available during all Eagle County business
hours and shall not schedule planned maintenance downtime to occur during Eagle
County business hours (8 a.m.to 5 p.m. MST).
C. During each Eagle County Auction, the Contractor shall facilitate the conduct of
online auction sales of tax lien certificates, including providing technical support to users
of the Real Auction site.
D. Contractor will:
i. Eagle County Auction set-up. Contractor will set up the Eagle County
Auction format in the manner selected by the Treasurer e.g., sealed, proxy,
etc., and will implement the auction start date, end date and batch size as
well as the auction’s administration and execution, including but not
limited to management or retrieval of user registration information and
auction results all in accordance with the requirements of the Treasurer.
ii. Provide various degrees of access privileges to users and County’s
employees to the Web Site. Before any County representative is given
privileges to access the Web Site and its information, County must provide
Contractor with written authorization directing Contractor to give such
employees such authority.
iii. Monitor network performance while Eagle County Auctions are in
progress.
iv. Provide technical support to resolve questions related to hardware,
software or network problems encountered by the County or third party
users. Such support will be made in a timely manner, in accordance with
the provisions of Section 5 of this Agreement.
v. At no additional cost to the County, provide telephone and on-site training
sessions for County personnel designated by the County as having a
thorough knowledge of the transactions to be consummated through the
use of the Web Site at times to be mutually determined.
vi. At no additional cost to the County, providing personal and telephonic
support during Eagle County’s business hours for the handling of bidder
and County questions relating to the general operation of the Web Site.
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vii. At no additional cost to the County, provide web-based training sessions
to county staff and end-users. The training sessions will be designed to
instruct and inform users about how to efficiently and properly use the
Web Site.
E. Contractor and the County will agree upon the Website terms and
conditions, with appropriate disclaimers, (See attached Exhibit “A”). Contractor
and the County will agree upon bidders rules to be posted on the Website (See
attached Exhibit “B”). Each party will have the right to reasonably approve a
change to the terms and conditions or disclaimers that are included within the
Web Site, but the ultimate decision with respect to the auction and bidding rules
lies with the Treasurer.
F. The Contractor may, in its sole discretion, provide additional ancillary
services through the Web Site to third-party users that are intended to assist such
third party users in evaluating any or all of the Tax Certificates to be sold. Such
services may include:
i. Hyperlinks on the Web Site to third party sites that contain
additional information about the delinquent accounts or properties
that are the subject tax sale.
ii. Analytical tools, such as search, sort, upload, download and other
report customization features.
iii. If such services and/or tools are offered by Contractor thru Web
Site, these services shall be provided at no charge to the bidders
and auction participants.
G. Contractor shall record and maintain records of all activity occurring on
the Web Site, and shall retain these records for a period of 5 years from the date
of each auction. Storage of such data shall be in accordance with Paragraphs 14
and 15 of this Agreement. County shall have access, upon request, to all records
pertaining to activities occurring on the website with respect to Eagle County
Auction. The provisions of this Paragraph 2G and Paragraphs 14 through 18 shall
survive expiration or early termination of this Agreement.
H. Contractor shall ensure that the Web Site will provide the following
functions:
i. Accepting, processing and displaying bid information and other
data related to the Eagle County Auctions of Tax Certificates.
ii. Accepting, processing and maintaining an ID number and
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password from users before users enter any auction, which they
may obtain free of charge by simply registering on the Site.
iii. Providing users with the means for reviewing the list of all Eagle
County Tax Certificates being offered for sale, along with, to the
extent available, tax roll data and assessor information with respect
to the applicable properties.
iv. Providing users with the means to bid and to withdraw bids on tax
certificates.
v. Permitting the use, at the County’s election, a proxy bidding
system, whereby a user will submit the minimum rate that he/she
would be willing to receive for the applicable tax certificate. The
Contractor’s software will act on the bidder's behalf, submitting
only the maximum rate necessary to win the bidding for any given
Certificate, but in no event less than the minimum rate specified by
the bidder. When the auction is over, third party users will see only
the higher of the minimum rate submitted by each bidder or their
winning bid.
vi. Allowing users to view auction results after they are approved for
release by County.
vii. Allowing Contractor's Auction Administrators and County's
internal auction administrators (the "County Auctioneers") to
observe auctions in progress and retrieve information immediately
upon completion of each auction, and to release the final results of
auctions so that they can be viewed by all users with authorized
access to the Web Site.
viii. Enabling the County’s Auctioneers, or the Contractor Auction
Administrator at County's direction, to establish and modify
auction parameters; to modify registration information pertaining
to a particular third party user or County user; and to limit or
prohibit a user's access privileges to the site. County will provide
Contractor with the names of County personnel who are permitted
to access and/or authorize modifications. In the event County
directs Contractor to effect such modifications, County will be
required to give Contractor reasonable advance notice before such
modifications are to go into effect.
ix. County may elect to allow bidders to initiate security deposits and
payments for certificates purchased on the auction website through
Automatic Clearing House (ACH) debiting of the bidder’s bank
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account. Contractor will contract directly with an ACH transaction
process servicer (the “ACH Servicer”) to cover any fees that may
be associated with services provided by the ACH Servicer.
Contractor shall ensure that the ACH Servicer agrees to comply
with all applicable federal and state regulations relating to privacy
and security of non-public consumer financial information,
including requirements under Gramm Leach Bliley Act, the
NACHA Rules and PCI Data Security Standards. Contractor’s
agreement with the ACH Servicer will ensure that bidders will be
able to transfer funds to County by entering their bank account and
routing information on the website. The account information will
be transmitted directly to the financial institution the County has
chosen. County acknowledges that County will be required to
accept the terms and conditions of the ACH Servicer in order for
funds to be directly deposited into the County account.
3. Cooperation by County. Notwithstanding any other provision herein, the
County shall:
A. The County will schedule the Eagle County Auction and notify contractor
of the actual date scheduled for each tax lien certificate sale on the Website at
least 45 days prior to such date, and provide Contractor with all information
concerning the properties for which tax certificates are being offered at auction at
least 30 days prior to the date of each auction. Unless otherwise instructed by the
Treasurer, the Eagle County Auction will remain open until all accounts are
struck off to the County or sold, all tax lien sale proceeds are collected, and all
reconciliation is completed by the County.
B. Providing Contractor with the names, titles and contact information for all
County employees who will have decision-making authority of any kind in the
auction process or access to the Contractor’s Web Site, as well as the names and
contact information of all County employees who are responsible for processing
Contractor’s requests for payment and supporting documentation.
C. The Web Site shall bear County's name and such other trade dress (e.g.,
logos, introductory statement from the County etc.) as reasonably directed by the
County. The County acknowledges and agrees that every page of the Web Site
may also display the Contractor’s name and company logo.
D. County will reasonably cooperate with Contractor to ensure that
Contractor has access to and is provided with all the information it needs to
effectuate the tax certificate auctions described in this Agreement and for
preparation and delivery of the Contractor’s requests for payment. The
information provided will include the initial data load and timely updates of
certificates that have been redeemed, purchased or transferred.
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4. Payment for Services.
A. The Contractor will be paid within thirty days of a properly submitted
invoice to the County by the Contractor.
B. In consideration of the Services set forth in this Agreement, County shall
pay (or cause to be paid) the following fees to Contractor in the manner described:
i. For each individual Tax Lien Certificate issued upon payment in
full by the winning bidder through the Web Site, County shall pay
to Contractor twelve dollars ($12.00). Contractor agrees that the
twelve dollar fee is to be charged to the winning bidder of each
Tax Certificate, and collected in addition to the purchase price of
each Tax Certificate.
ii. Payment for each Tax Certificate purchased by the winning bidder
will be made directly to the County by winning bidder pursuant to
County’s bidding policy (see attached Exhibit “B”). Such payment
shall include the twelve dollar fee described in Paragraph 4B(i)
herein.
iii. For each individual Tax Certificate that is sold or cancelled by
Contractor in error, Contractor will receive no fee. Contractor will
be responsible for the cost of correcting such error (including staff
time).
C. The Contractor's request for payment shall be made one time per year
within thirty days of the close of the Eagle County Auction for that year. Invoices
must be supported by reports or other documents reasonably required by the
County, and shall show the Contractor's County Contract number, and the
Contractor's federal identification number, in addition to any other information
that may be required by the County. Additionally, all requests for payment shall
have attached a copy of the original bill, containing an original signature of an
authorized representative of the Contractor. Requests for payment (and all other
written notice required under this Agreement) shall be addressed as follows:
Eagle County Treasurer
P.O. Box 479
Eagle, CO 81631
D. Unless otherwise provided on Contractor's invoice or other Instructions
that Contractor provides subsequent to the execution of this Agreement, payments
shall be made to:
Realauction.com, LLC
Attn: Lloyd McClendon
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861 SW 78th Ave., Suite 102
Plantation FL, 33324
E. Contractor shall not be obligated to provide any Services hereunder in the
event County is more than 60 days delinquent in paying any invoices, provided,
however, that Contractor has advised the County Treasurer in writing that it will
cease performing services unless delinquent invoices are paid in full.
5. Limited Warranty; Disclaimer of Implied Warranties; Limitation of
Liability; Consequential Damages or Incidental Damages.
A. Contractor warrants that the Web Site, when provided with accurate and
properly formatted data by County and third party bidders, and when accessed by
properly functioning software and equipment of third party bidders, will perform
substantially as required in order to facilitate County’s online auction sales of tax
certificates. Contractor will, at no charge to County, make corrections to the Web
Site so that the Web Site performs substantially as required, and will use its best
efforts to make such corrections available within 24 hours, provided that County
reports to Contractor any failures or defects in the Web Site. In the event
Contractor is not able to make such corrections available within 24 hours, the
Contractor's chief executive officer and/or chief operating officer will confer with
County to advise County with respect to the status of problem resolution and
anticipated time of correction. In addition, Contractor will make all reasonable
efforts to correct any payment processing errors that may occur under this
Agreement as a result of faulty programming or other issue with the Website.
B. Except for the express limited warranty set forth in the preceding section
of this Contract, Contractor makes no warranty, representation, promise or
guarantee, either express or implied, statutory or otherwise, with respect to the
Web Site provided hereunder, including their quality, performance,
merchantability or fitness for a particular purpose, or whether any of the
transactions to be conducted using the Web Site comply with any applicable
federal, state, county or other law or regulations. Contractor will have no
responsibility for any actual or purported loss resulting from damages associated
with the auction format (e.g., Proxy Bidding) selected by County for any
particular auction conducted on the Web Site. In no event will Contractor be
liable for indirect, special, incidental, economic, consequential, (including
damages or costs relating to the loss of profits, business, goodwill, or computer
programs, even if advised of the possibility of such damages), without regard to
the legal theory of such damages, arising out of the use of or inability to use the
Web Site. Except as provided in this paragraph, in no event will Contractor's
liability to County arising out of or related to this Contract exceed the limits of
Contractor’s insurance as required by this Agreement.
6. Confidentiality; Proprietary Information.
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A. The format in which Contractor stores data provided by County will be
proprietary to Contractor. County's retrieval and use of the data compiled by
Contractor on the Web Site shall be limited to County's internal use only, and
County agrees that it will not, unless otherwise required by law, transmit to third
parties, or permit other third parties to access the data in the format and
compilation created by Contractor.
B. Except upon prior written approval by the County, the Contractor, or its
subcontractors, shall not furnish or disclose to any person and/or organization,
any non-public information that the County designates as confidential.
C. It is expressly understood and agreed that the software used to develop and
operate the Web Site; any related materials and documentation provided by
Contractor, including without limitation information related to security or other
technical aspects of the Web Site; and the non-public pages of the Web Site
constitute a valuable proprietary product and trade secret of Contractor
embodying substantial creative efforts and confidential information, ideas, and
expressions (collectively for the purposes of this section "Contractor's
Confidential Information"). County agrees to hold all such Contractor's
Confidential Information in strictest confidence and take such steps as are
reasonably necessary to protect the confidentiality of the Contractor's Confidential
Information and other materials designated by Contractor as confidential. Such
steps shall include, without limitation, refraining from taking any action in
derogation of Contractor's ownership rights and taking actions similar to those
taken by County with respect to protecting other third party confidential
information in its possession. County shall not disclose or otherwise make
available the Contractor's Confidential Information in any form to any person
except to those employees of County or Contractor who need access to the
information to facilitate County's authorized use of the Web Site. Nothing herein
shall be construed, however, to prohibit County from making any disclosures
required of County pursuant to any legal process or request from any
governmental authority having jurisdiction over County, or from making
disclosure required by Colorado law, provided however that prior to disclosure to
any such governmental authority, County shall provide notice to Contractor in
order to enable Contractor to seek relief.
D. Each party agrees to treat any information they receive that is submitted to
the Web Site by third party users, including without limitation, deposit amounts,
social security numbers, federal tax identification numbers, etc., in accordance
with applicable law and the "privacy policy" set forth in the attached Exhibit C,
incorporated herein by this reference. Contractor will not change the "privacy
policy" without County's consent, which will not be unreasonably withheld.
7. Independent Contractor; No Third Party Beneficiaries Intended.
For the purpose of providing auction services for the delinquent tax auction and other
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services specifically described herein, Contractor shall be an independent contractor
providing services to the County and shall be required to take direction from the County
as to the mechanism and effectuation of the Eagle County Auction. Other than with the
respect to the handling of the Eagle County Auction and other services described herein,
Contractor acknowledges that it does not have the authority to act on behalf of the
County or its agencies. Contractor's personnel shall not be employees of the County.
There are no intended third party beneficiaries, including without limitation any users of
the Web Site described herein.
8. Force Majeure. Delay in performance or non-performance of any
obligation contained herein shall be excused to the extent such failure or non-
performance is caused by force majeure. For purposes of this Contract, "force majeure"
shall mean any cause or agency preventing performance of an obligation which is beyond
the reasonable control of either party hereto, including without limitation, fire, flood,
sabotage, embargo, strike, explosion, labor trouble, accident, riot, acts of governmental
authority (including, without limitation, acts based on laws or regulations now in
existence as well as those enacted in the future ), and delays or failure in obtaining raw
materials or transportation, acts of God, telephone line outages, Internet traffic
slowdowns (including any Internet transmission problems incurred by either County's or
Contractor's Internet service provider), down computer networks, down hardware, (head
crashes, operating system hang-ups and the like), software or operating systems failure
caused by a virus or other denial of service attack, and electricity outages. A party
affected by a force majeure shall, upon notice to it of the force majeure, promptly notify
the other party by the quickest means available, explaining the nature and expected
duration thereof, and shall act diligently to remedy the interruption or delay if it is
reasonably capable of being remedied.
9. Entire Understanding; Amendments. This Agreement constitutes the entire
understanding and agreement between the parties hereto with respect to its subject matter
and supersedes all prior or contemporaneous agreements, representations, warranties and
understandings of such parties, whether oral or written. This Agreement may only be
amended by a separate document, signed by both parties.
10. Place of Execution; Governing Law; Venue. This Agreement shall be deemed
to be executed in Eagle County, State of Colorado, regardless of the Contractor's
domicile, and shall be interpreted and construed in accordance with the laws of the State
of Colorado. The Contractor agrees that the venue for any and all claims between the
parties arising from this Agreement shall be in the state courts in and for Eagle County,
Colorado.
11. Severability. If this Contract contains any provision found to be unlawful, the
same shall be deemed to be of no effect and shall be deemed stricken from this Contract
without affecting the binding force of this Contract as it shall remain after omitting such
provision.
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12. Insurance Requirements. Contractor agrees to provide and maintain at
Contractor’s sole cost and expense, the following insurance coverage with limits of
liability not less than those stated below:
A. Types of Insurance.
i. Workers’ Compensation insurance as required by law.
ii. Commercial General Liability coverage to include premises and
operations, personal/advertising injury, products/completed operations, broad form
property damage with limits of liability not less than $1,000,000 per occurrence and
$1,000,000 aggregate limits.
iii. Professional Liability (Errors and Omissions) including Cyber
Liability with prior acts coverage for all deliverables, Services and additional services
required hereunder, in a form and with insurer or insurers satisfactory to County, with
limits of liability of not less than $2,000,000 per claim and $4,000,000 in the aggregate.
The insurance shall provide coverage for (i) liability arising from theft, dissemination
and/or use of confidential information stored or transmitted in electronic form; (ii)
Network Security Liability arising from unauthorized access to, use of or tampering with
computer systems including hacker attacks, inability of an authorized third party to gain
access to your Software or Services including denial of access or Services unless caused
by a mechanical or electrical failure; (iii) liability arising from the introduction of a
computer virus into, or otherwise causing damage to, County or a third person’s
computer, computer system, network or similar computer related property and the data,
software and programs thereon.
B. Other Requirements.
i. The professional liability coverage shall be endorsed to include
Eagle County, its associated or affiliated entities, its successors and assigns, elected
officials, employees, agents and volunteers as additional insureds. A certificate of
insurance consistent with the foregoing requirements is attached hereto as Exhibit B.
ii. Contractor’s certificates of insurance shall include subcontractors,
if any as additional insureds under its policies or Contractor shall furnish to County
separate certificates and endorsements for each subcontractor.
iii. The insurance provisions of this Agreement shall survive
expiration or termination hereof.
iv. The parties hereto understand and agree that the County is relying
on, and does not waive or intend to waive by any provision of this Agreement, the
monetary limitations or rights, immunities and protections provided by the Colorado
Governmental Immunity Act, as from time to time amended, or otherwise available to
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County, its affiliated entities, successors or assigns, its elected officials, employees,
agents and volunteers.
v. Contractor is not entitled to workers’ compensation benefits except
as provided by the Contractor, nor to unemployment insurance benefits unless
unemployment compensation coverage is provided by Contractor or some other entity.
The Contractor is obligated to pay all federal and state income tax on any moneys paid
pursuant to this Agreement.
13. Data Ownership: Contractor acknowledges and agrees that County owns all
rights, title and interest in the County Data, which shall be defined for purposes here as
all data created in or originating with the county and all data that is entered by third-party
users of the Web Site. The Contractor shall not access County user accounts or County
Data, except (1) in the course of data center operations; (2) in response to service or
technical issues; (3) for proactive service and problem resolution; (4) as required by the
express terms of this contract; or (5) at the County’s written request.
14. Data Protection: Protection of County Data shall be an integral part of the
business activities of Contractor to ensure there is no inappropriate or unauthorized use of
County Data or user information at any time. To this end, Contractor shall safeguard the
confidentiality, integrity and availability of County Data and comply with the following
conditions:
A. Contractor shall implement and maintain commercially reasonable and
appropriate administrative, technical and organizational security measures to safeguard
against unauthorized access, disclosure or theft of County Data. Such security measures
shall be in accordance with recognized industry practice.
B. All data obtained by Contractor in the performance of this contract shall become
and remain the property of the County.
C. All County Data shall be encrypted at rest and in transit with controlled access,
with the level of protection and encryption identified for County upon request. Unless
otherwise stipulated, Contractor is responsible for encryption of the County data.
D. At no time shall any data or processes — that either belong to or are intended for
the use of a County or its officers, agents or employees — be copied, disclosed or
retained by the Contractor or any party related to Contractor for subsequent use in any
transaction that does not include the County.
E. Contractor shall not use any information collected in connection with the service
issued from this proposal for any purpose other than fulfilling this agreement.
15. Encryption of Data at Rest: Contractor shall ensure hard drive encryption
consistent with validated cryptography standards as referenced in FIPS 140-2, Security
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Requirements for Cryptographic Modules for all personal data, unless the County
approves in writing the storage of personal data on a service provider portable device in
order to accomplish work as defined in the statement of work.
16. Data Location: Contractor shall provide its services to the County and its end
users solely from data centers in the U.S. Storage of County data at rest shall be located
solely in data centers in the U.S. Contractor shall not allow its personnel or contractors to
store County Data on portable devices, including personal computers, except for devices
that are used and kept only at its U.S. data centers. Contractor shall permit its personnel
and contractors to access County Data remotely only as required to fulfill this agreement.
If Contractor contracts with a third party for data-center or server storage, Contractor
must promptly provide written notice to County regarding identity of said third party.
Contractor acknowledges and agrees that Contractor will maintain all responsibilities for
County Data and all Contractor agrees to ensure that all obligations, restrictions and
conditions contained in this Agreement with respect to County Data also apply to said
third party.
17. Security Incident or Data Breach Notification: Contractor shall inform the
County of any security incident or data breach.
A. As used herein, “Data Breach” means the unauthorized access by a non-
authorized person(s) that results in the use, disclosure or theft of an End User’s
personally identifiable data (PII) or County Data.
B. “Security Incident” means the potentially unauthorized access by non-authorized
persons to PII or non-public data the Contractor believes could reasonably result in the
use, disclosure or theft of PII or County Data within the control or stored by or through
Contractor. A security incident may or may not turn into a data breach.
C. Incident Response: Contractor may need to communicate with outside parties
regarding a security incident, which may include contacting law enforcement, fielding
media inquiries and seeking external expertise as mutually agreed upon, defined by law
or contained in the contract. Discussing security incidents with the County should be
handled on an urgent as-needed basis, as part of Contractor communication and
mitigation processes as mutually agreed upon, defined by law or contained in the
contract.
D. Security Incident Reporting Requirements: Contractor shall report a security
incident to the appropriate County identified contact immediately.
E. Breach Reporting Requirements: If Contractor has actual knowledge of a
confirmed data breach that affects the security of any County Data or PII that is subject to
applicable data breach notification provisions herein, Contractor shall (1) promptly notify
the appropriate County identified contact within 24 hours or sooner, unless shorter time is
required by applicable law, and (2) take commercially reasonable measures to address the
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data breach in a timely manner.
18. Breach Responsibilities:
A. Contractor, unless stipulated otherwise, shall immediately notify County by
telephone and email in accordance with the agreed upon security plan or security
procedures if it reasonably believes there has been a security incident.
B. Contractor, unless stipulated otherwise, shall promptly notify the County
identified contact within 24 hours or sooner by telephone and email, unless shorter time
is required by applicable law, if it confirms that there is, or reasonably believes that there
has been a Data Breach. Contractor shall (1) cooperate with the County as reasonably
requested by the County to investigate and resolve the data breach, (2) promptly
implement necessary remedial measures, if necessary, and (3) document responsive
actions taken related to the data breach, including any post-incident review of events and
actions taken to make changes in business practices in providing the services, if
necessary.
C. Unless otherwise stipulated, if a data breach is a direct result of the Contractor’s
breach of its contract obligation to encrypt personal data or otherwise prevent its release,
the Contractor shall bear the costs associated with (1) the investigation and resolution of
the data breach; (2) notifications to individuals, regulators or others required by state law;
(3) a credit monitoring service required by state (or federal) law; (4) a website or a toll-
free number and call center for affected individuals required by state law — all not to
exceed the average per record per person cost calculated for data breaches in the United
States (currently $201 per record/person) in the most recent Cost of Data Breach Study:
Global Analysis published by the Ponemon Institute at the time of the data breach; and
(5) complete all corrective actions as reasonably determined by Contractor based on root
cause; all [(1) through (5)] subject to this contract’s limitation of liability.
D. Notification of Legal Requests: Contractor shall contact the County upon receipt
of any electronic discovery, litigation holds, discovery searches and expert testimonies
related to the County Data under this contract, or which in any way might reasonably
require access to the data of County. Contractor shall not respond to subpoenas, service
of process and other legal requests related to the County without first notifying the
County, unless prohibited by law from providing such notice.
E. Termination and Suspension of Service: In the event of a termination of the
contract, Contractor shall implement an orderly return of County data in a CSV or
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another mutually agreeable format at a time agreed to by the parties and the subsequent
secure disposal of County Data.
F. During any period of service suspension, the Contractor shall not take any action
to intentionally erase any County Data.
G. In the event of termination of any services or agreement in entirety, Contractor
shall not take any action to intentionally erase any County Data for a period of 60 days
after the effective date of termination. After such period, the Contractor shall have no
obligation to maintain or provide any County Data and shall thereafter, unless legally
prohibited, delete all County Data in its systems or otherwise in its possession or under its
control.
H. The County shall be entitled to any post-termination technical assistance generally
made available with respect to the services.
I. Contractor shall securely dispose of all requested data in all of its forms, such as
disk, CD/ DVD, backup tape and paper, when requested by the County. Data shall be
permanently deleted and shall not be recoverable, according to National Institute of
Standards and Technology (NIST)-approved methods. Certificates of destruction shall be
provided to the County.
19. Contract Audit: The Contractor shall allow the County to audit conformance to
the contract terms. The County may perform this audit or contract with a third party at its
discretion and at the County’s expense.
20. Data Center Audit and Vulnerability Scanning: The Contractor shall perform
an independent audit of its data centers at least annually at its expense, and provide a
redacted version of the audit report upon request. The Contractor may remove its
proprietary information from the redacted version. A Service Organization Control
(SOC) 2 audit report or approved equivalent sets the minimum level of a third-party
audit. This audit shall include at minimum a scan of the organizations Internet
perimeter, web application firewall, physical access to data center, crawling and testing
web applications to identify vulnerabilities including for cross-site scripting and SQL
injection.
21. Indemnification. Contractor shall indemnify and hold harmless County, and any
of its officers, agents and employees against any losses, claims, damages or liabilities for
which County may become subject to insofar as any such losses, claims, damages or
liabilities arise out of, directly or indirectly, this Agreement, or are based upon any
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15
performance or nonperformance by Contractor or any of its subcontractors hereunder;
and Contractor shall reimburse County for reasonable attorney fees and costs, legal and
other expenses incurred by County in connection with investigating or defending any
such loss, claim, damage, liability or action. This indemnification shall not apply: 1) to
claims by third parties against the County to the extent that County is liable to such third
party for such claims without regard to the involvement of the Contractor or 2) to the
extent that such damages result from the negligence or actions of the County’s officers,
agents and employees. This paragraph shall survive expiration or termination hereof.
IN WITNESS WHEREOF, the parties hereto have executed this Agreement the day and
year first above written.
CONTRACTOR:
For Realauction.com, L.L.C.: __________________________
Printed Name:__________________________________
Title:__________________________________________
EAGLE COUNTY
Eagle County:_________________________________
Jeff Shroll, Eagle County Manager
________________________________
Teak Simonton, Eagle County Treasurer
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C.E.O
Lloyd McClendon
“Exhibit A”
Before using this web site (the "Web Site"), you must agree to the terms and
conditions of this Basic Service User Agreement ("Agreement") User Agreement
This User Agreement governs the relationships between the User (hereinafter "User,"
"You" or "Your"), Realauction.com, L.L.C. (hereinafter "Realauction") and the
Treasurer of Eagle County, COLORADO, conducting sales of tax certificates or tax lien
certificate (hereinafter "County" or "Seller"). Before using this site to bid on tax
certificates or tax liens, you must agree to the terms and conditions of this User
Agreement by clicking on the "I Agree" button below.
1. License for Use of Information.
By completing the registration process and agreeing to the terms and conditions of
this User Agreement, the User will be granted a non-exclusive license to access and
use the information that appears on this website for the sole purpose of bidding on
tax certificates or tax lien certificates offered by the Seller. This license is granted to
the User personally and to the User's employees and agents, and may not be
transferred to any third party other than the Seller and Realauction. The software
used to create and maintain the information is the sole and exclusive property of
Realauction, and neither the software nor the information presented by Realauction
may be altered, sold or distributed by the User in any way.
2. User Representations and Warranties.
(A) User shall be solely responsible for the protection and use of the User IDs and
passwords obtained from Realauction, and will notify Realauction immediately in the
event of theft or unauthorized use of IDs and passwords.
(B) User will follow all instructions for use posted on the Web Site, as well as all state
and federal laws and county ordinances pertaining to the purchase of tax certificates
at auction.
(C) User agrees to be bound and obligated to the Seller for the amount of delinquent
taxes associated with each tax certificate for which User is the successful bidder.
(D) User warrants that he/she is of legal age to enter into binding contracts, and/or
that he/she is legally authorized to act as agent on behalf of any employer or
principal to whom a license for use of the information presented by Realauction has
been granted.
(E) User represents and warrants that all information provided by User to the Seller
and to Realauction for the purpose of bidding on tax certificates is truthful and
accurate to the best of his/her knowledge.
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(F) User warrants that he/she has read all information provided by the Seller and
Realauction pertaining to the bidding process and that he/she understands and
accepts the obligations incurred by bidders, before User participates in the bidding
process.
(G) User warrants that he/she is not an elected or appointed county official, a county
employee, or a member of the immediate family of any such person, or the agent of
any such county official or employee. County officials and employees may not
acquire a tax lien or property by sale of a tax lien. Any county official, county
employee, or member of the immediate family of any such person, or the agent of
any such county official or employee, who knowingly PURCHASES ANY TAX LIEN OR
receives a conveyance of property in violation of the provisions of this section
commits a class 1 misdemeanor and shall be punished as provided in section 18-1-
106, C.R.S.
3. Seller's and Realauction's Disclaimer and Limitation of Liability and Disclaimer of
Warranties.
(A) All information provided by the Seller and Realauction is believed to be correct
when posted. Seller and Realauction disclaim any warranty of merchantability or
fitness for a particular purpose, subject to the Seller's and Realauction's maximum
liability for errors and omissions provided for herein.
(B) User agrees that (1) neither Seller nor Realauction shall be liable for damages in
the event the User is unable to make a successful bid for any reason; (2) the
maximum liability of Seller and/or Realauction shall be limited to the amount of
delinquent taxes actually paid to the Seller by User following a successful bid; and
(3) Seller and Realauction shall not be liable for consequential damages of any kind,
including, but not limited to, any anticipated return of/on investment in the form of
interest that may have been realized by a successful bidder.
(C) Seller and Realauction disclaim any warranty that the website and information
presented on it are free of viruses or other forms of malicious code. Neither
Realauction nor Seller will be liable for any loss or damage resulting from voluntary
shutdown of the Web Site by Realauction to address computer viruses, denial-of-
service attacks, or other similar problems. Neither Realauction nor Seller shall not be
liable for any damage to User's property alleged to have resulted from User's use of
the website.
(D) Seller nor Realauction shall not be liable for any loss resulting from a cause over
which Seller and/or Realauction do not have direct and exclusive control, including
but not limited to problems concerning the Internet; unauthorized interception of
email; computer and communications equipment and software; malicious and/or
criminal acts of unauthorized users and other third parties; acts of war, terrorism,
insurrection or revolution; acts of God; or any similar event.
(E) Seller and Realauction shall not be liable for interruptions to access of
information or for suspensions in the bidding process caused by website maintenance
or the need to alter and update information provided by the Seller.
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Such interruptions and suspensions will occur at the sole discretion of Seller and
Realauction.
4. Termination/Exclusion of Use.
(A) The Seller maintains the right to terminate this User Agreement and to revoke
the license granted to User in the event User breaches this User Agreement or fails
to meet his/her obligations as a successful bidder.
(B) Seller may exclude User from any auction and from access to the website if
User fails to furnish any deposits and/or information required by Seller, including,
but not limited to, tax identification information and email addresses.
5. Indemnity.
User agrees to defend, indemnify and hold Seller harmless against all claims by third
parties based on User's acts, for damages arising from the use of the license and
information and the process of bidding on tax certificates, including all claims
alleging that the Seller was solely negligent for those damages.
6. Governing Law/Venue/Jurisdiction.
This Agreement shall be governed by and interpreted in accordance with the laws of
the State of COLORADO without regard to its choice of law provisions. Exclusive
venue for any litigation arising under this User Agreement shall be in the state
and/or federal courts of Eagle County, COLORADO. User agrees to submit to the
personal jurisdiction of the state and/or federal courts of Eagle County, COLORADO.
7. Assignment.
This Agreement may not be assigned by User without the prior written consent of
Seller, but may be assigned freely by Seller without consent of the User. This
Agreement shall be binding upon and inure to the benefit of the parties hereto and
their respective successors and assigns.
8. Disclaimer of Suitability of Investment.
Neither Realauction nor Seller makes any representation with respect to the
suitability of tax certificates as an investment vehicle. User is solely responsible for
determining the suitability of an investment in tax certificates offered for sale by the
Seller.
9. Entire Agreement/Severability.
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This Agreement contains the entire agreement between the parties. In the event any
one or more of the provisions of this Agreement shall be deemed to be invalid, illegal
or unenforceable, the remaining provisions shall remain valid and enforceable.
10. Amendments.
This User Agreement may be amended at any time by the Seller, through a written
or electronic notice to users. User will be required to agree to any such
amendment(s) to this User Agreement as a condition of future access and use when
such amendments are posted on the website, and failure to agree to such
amendments will terminate this User Agreement and will exclude User from
participating in future tax certificate auctions.
By using this web site, you agree to be bound by this User Agreement and you also
agree to receive communications from Realauction and Eagle County concerning your
account and auction status.
I have read and agree to abide by this User Agreement.
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Eagle County Colorado
Bidding Rules for Annual Public Auction of Delinquent Real Estate Taxes
2020 Tax Lien Sale (For Tax Year 2019)
SALE
• The Eagle County Tax Lien Sale will be held via the Internet on November 19, 2020
• The web site will open for registration, research and deposits beginning November 2, 2020. Deposits must
be completed by November 18, 2020 at 4:00 PM MT. Formal Bidding and modification of bids begins
November 16, 2020 and can be done up till the closing hour of each batch on the day of the tax lien sale
(November 19, 2020). More detailed instructions can be found on the FAQ (Frequently Asked Questions)
page of this web site.
• A 10% deposit of your total intended winnings will be required via ACH transfer. Deposits must be
completed by November 18, 2020 at 4:00 PM MT.
• Each Buyer will be required to register online to participate. Buyers are responsible to assure that their
information is correct as IRS W-9 forms, tax lien certificates, refunds and redemptions are prepared from
this information.
• The sequence of the published list in the local newspaper will be followed as closely as possible.
BIDDING
• Employees and officials of Eagle County, members of their immediate families, or their agents may not
acquire a tax lien at the Eagle County Tax Lien Sale per C.R.S. 39-11-151.
• The minimum starting bid for each tax lien certificate is equal to the amount of the unpaid taxes, interest,
penalties and fees. This includes an auction fee of $12 per certificate.
• Bid increments shall be one dollar ($1).
• Premiums on winning bids are a cost of securing the tax lien and are not returned nor do they draw
interest.
TERMS
• It is the Buyers’ responsibility to know the quality of the property on which they are paying the taxes and
receiving a lien.
• At the close of the auction, all successful bids are final. No changes in, or cancellation of, liens purchased
can be made after the lien is sold.
INTEREST
• Premiums do not draw interest.
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• When redeemed, your certificate will pay nine points over the Federal Reserve Discount Rate as of
September 1st. Certificates will earn X% for the current year’s sale, except for erroneous sales which will
receive two points above the Discount Rate but no lower than 8%.
PAYMENT
• Each winning bidder shall make a payment of funds sufficient to cover the total amount of the bidder’s
winning bids by ACH on the Auction Website no later than November 20, 2020, at 4:30 p.m. (MDT).
• If a winning bidder fails to make such a payment by this time, the Treasurer may, in the Treasurer’s sole
discretion, award the tax certificates to another bidder or may offer the tax lien for sale in accordance with
C.R.S. 39-11-116.
• The Treasurer may prohibit a person, who fails to pay the amount due from bidding, from participating in
any tax lien sales for up to five years in accordance with C.R.S 39-11-116.
TAX LIEN
• You do not have ownership rights to the property, simply a property tax lien.
SUBSEQUENT TAXES
• If the owner does not pay future taxes before August 1st each year, you will be notified of the amount due
and you may pay them if you wish. Your payment will be endorsed onto your lien and will accrue interest
at the same rate as your certificate.
• If the property is in bankruptcy, subsequent taxes cannot be endorsed.
TREASURER’S DEED
• The majority of properties are redeemed.
• A Treasurer’s Deed may be applied for three years after the date of the sale if the property remains
unredeemed. A deposit shall be required to cover expenses.
CERTIFICATE OF OWNERSHIP
• If a mobile home is located on leased land, the tax lien holder is eligible to apply for a Certificate of
Ownership one year after the date of sale.
• If a mobile home is located on land owned by the same owner as the mobile home, the tax lien holder is
• eligible to apply for a Certificate of Ownership three years after the date of sale.
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PLEASE NOTE!
• Those investing in tax liens do so at their own risk and are advised to exercise due diligence in carefully
analyzing which tax liens to bid on. There are no guarantees express or implied regarding whether a tax
lien will prove to be a profitable investment.
• The property information accessible on the bid pages was obtained from the Assessor’s office prior to the
start of the current auction and is for reference only (please note that this property information, provided
by the Assessor’s office, represents the most current assessment year, not the year associated with this
tax lien sale, as taxes are paid one year in arrears). It is the buyer’s responsibility to research auction
items thoroughly prior to placing bids.
SUMMARY OF IMPORTANT DATES AND INFORMATION
Auction Type Premium Bid
Bidding Type Proxy
Bid Increments $1.00
Deposit Required / Minimum Deposit Amount 10% of estimated winnings / No Minimum
Deposit Types Accepted ACH Only
Payment Types Accepted ACH
Electronic Redemption Available No
Website Training Class Weekly Online Webinars
Site Opens for Registration and Deposits November 2, 2020
Bidding Officially Begins November 16, 2020, 8:00 AM MT
Deposits Due November 18, 2020, 4:00 PM MT
Auction Starts (First batch closes) November 19, 2020, 9:00 AM MT
Batches Closing Interval Every 60 minutes(at the top of the hour)
Auction Ends (Last batch closes) November 19, 2020, 12:00 PM MT
Payments Due November 20, 2020, 4:30 PM MT
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