HomeMy WebLinkAboutMINUTES - 01252003 - U.1 TO: BOARD OF SUPERVISORS ,_...._.___ ontra
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FROM: Steve Weir, Clerk-Recd er ���� Costa
GATE: August 12, 2003 Countv
SUBJECT: Approval of Contract with Elections Systems and Software, Inc. for the
October 7, 2003 Recall Election
SPECIFIC REQUEST(S)OR RECOMMENDATION(S)&BACKGROUND AND JUSTIFICATION
RECOMMENDATION:
APPROVE and AUTHORIZE the Clerk-Recorder to execute a contract with Elections
Systems and Software, Inc. in the amount not to exceed $825,000 for election services for
the October 7, 2003 Gubernatorial Recall Election; including hardware, software and ballot
paper.
FISCAL IMPACT:
The cost of this contract is not included in the Elections 2003-04 budget because the
Elections Office was not aware there would be a recall election when the current budget was
developed. The Clerk-Recorder has identified several sources that may help to offset part of
the additional cost of conducting this election, but there will be an increase in General Fund
expense.
REASONS FOR RECOMMENDATION/BACKGROUND:
Counties are mandated to conduct State and Federal Elections at the Counties' expense, by
the Federal and State Constitutions, California Government Code (28802) and California
Elections Code (13001, 14100 through 14113). Because of the unprecedented number of
candidates that have filed State-wide to run for Governor, the Elections Department feels
that the existing ballot system will be so complicated to use that it could be prone to error. It
is necessary to rent an alternate system that can accommodate this large race.
CONSEQUENCES OF NEGATIVE ACTON:
The Elections Office cannot conduct a race with this many candidates with its current ballot
system and guarantee the accuracy of the election. If the Elections Office attempted to use
a system that was not designed for this large number of candidates, there is a high
possibility of failure. If there was a problem with the election and Contra Costa was forced to
conduct it again, the costs would be prohibitive.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S):'2ka,�,
ACTION OF B AR ON AiJRSr 12, 2003 APPROVED AS RECOMMENDED X OTHER
VOTE OF SUPERVISORS I HEREBY CERTIFY THAT THIS IS A TRUE AND CORRECT
COPY OF AN ACTION TAKEN AND ENTERED ON MINUTES OF
THE BOARD OF SUPERVISORS ON THE DATE SHOWN.
Y UNANIMOUS(ABSENT }
AYES: NOES:
ABSENT: ABSTAIN:
Contact: Barbara Chambers,Assistant County Recorder
6-2363
cc: ATTESTED
JOHN2001
S EETEN,CLERK OF THE BOARD OF SUPERVISORS
AND COUNTY ADMINISTRATOR
' A ✓ yF /
BY: i" b C %{ - _w„. DEPUTY
ELECTION SYSTEMS& SOFTWARE,INC,
RENTAL OF EQUIPMENT,SALE OF SERVICES AND LICENSE OF SOFTWARE
This Agreement is made as of the date it is executed by the last of the parties named below on the signature page(the
"Effective bate"),
BETWEEN: Election Systems&Software, Inc.,a Delaware corporation("ES&S")
AND: Contra Costa County,California ("Customer").
RECITALS:
A. Customer has agreed to rent,license and purchase,as applicable,voter tabulation equipment and related software and
services from ES&S for use in Contra Costa County (the"Jurisdiction"). The terms and conditions under which the
equipment,software and services shall be provided are set forth in the GENERAL TERMS attached hereto and
incorporated herein by reference.
NOW,THEREFORE, for good and valuable consideration,the receipt and sufficiency of which is hereby acknowledged,
each of the parties hereto:
•Agrees to the GENERAL TERMS and the terms and conditions set forth in the Agreement and Amendments.
•Agrees that at all times,this Agreement shall be governed by and construed in accordance with the laws of the State of California,
U.S.A.
•Represents and warrants to the other party that as of its signature date indicated below it has full power and authority to enter into
and perform this Agreement,and that the person signing below on its behalf has been properly authorized to execute this
Agreement.
•Acknowledges that it has read this Agreement,understands it and intends to be bound by it.
ELECTION SYSTEMS&SOFTWARE,INC. CONTRA COSTA COUNTY
11208 John Galt Boulevard 525 Main Street
Omaha,NE 68137 Martinez,CA 94553-1140
Fax No.:(402)970-1276 Fax No.:
Signature Signature
Thomas F.O'Brien
Name(Printed or Typed) Name(Printed or Typed)
Chief Financial Officer
Title Title
Late Date
1
RENTAL OF EQUIPMENT,SALE OF SERVICES AND LICENSE OF SOFTWARE
GENERAL TERMS
i.Description of Rental Equipment and Software. The following constitutes all Rental Equipment and Software provided by
ES&S to Customer under this Agreement:
(1}
QUANTITY
MODEL RENTAL EQUIPMENT TOTAL
DESCRIPTION RENTAL
PAYMENT
ES&S Rental quipment
12 Model 650 High Speed Scanning Equipment
12 Carts
12 Start-up hits
12 Gust covers
12 ballot joggers
Non-ES&S Rental Equipment
1 I PC with printer
Consumables&Supplies:
As Needed Precinct ballot boxes
As Needed Secrecy sleeves
As Needed Marking devices
2 Stubbed ballots(pads of 50 English and Spanish)
ES&S Software:
1 ES&S Software License-Election Reporting Manager—See
Terms and Conditions Relating to Software
Ballots&Services
500,000 Optical scan ballots
500,000 "How to Vote","Fill in the Oval"voting instructions
5000 Test ballots
Professional Services Support—Project Management
Training,including Poli Worker"Train the Trainer"training
Election Support—includes Logic&Accuracy Support
Installation and Networking
Covered Elections&Rental l=ees:
(October 7, 2003 Total Equipment Rental Payments, Software License Fees, $825,000
Gubernatorial Recall and Services Fees
Ballot Assumptions
2
October 7,2003 Gubernatorial Recall
Election
• One(1)ballot per
voter
Two(21-sided ballots
2. Description of Services.
a. Installation. Section 1 specifies the items of Rental Equipment or Software,if any,which ES&S'employees,agents
or authorized representatives("Representatives")will install at Customer's designated site. Customer shall pay ES&S
a fee for such installation services,as set forth on Page 3 of this Agreement. Customer will provide,at its own
expense,a site adequate in space and design for installation and operation of the Rental Equipment and Software.
Customer shall be responsible for providing a site that is temperature and humidity controlled,has all necessary
electric current outlets,circuits,and wiring for the Rental Equipment and Software,and has electric current of
sufficient quality and quantity to operate the Rental Equipment and Software, all as specified in the Rental Equipment
Documentation or the Software Documentation(as each is defined below)(collectively the"Documentation"). ES&S
may, but shall not be required to,inspect the site and advise on its acceptability before any Rental Equipment or
Software is installed. Customer shall be responsible for installing all items of Rental Equipment or Software not
installed by ES&S, in accordance with the instructions furnished in the Documentation.ES&S shall have no liability for
actual site preparation or for any costs,damages or claims arising out of the installation of any Rental Equipment or
Software by Customer.
b. Training. ES&S shall provide training on Optical Scanners,iVotronic Terminals and ES&S Software as defined in the
project plan mutually developed and agreed to by ES&S and Customer. Customer shall pay ES&S a fee for such
training,as set forth on Page 1 of this Agreement.
c. Additional Professional Services . If requested in writing by Customer, ES&S will provide additional Professional
Services support to Customer at ES&S's then-applicable rates for such services.
TERMS AND CONDITIONS RELATING TO RENTAL EQUIPMENT
3. items Included in Rental Equipment. In addition to the Rental Equipment, ES&S will also provide Customer with copies of
operating instructions, user manuals and training materials for the Rental Equipment("Rental Equipment Documentation").
Certain items included in the Rental Equipment may have been manufactured by parties other than ES&S; any such items are
separately identified in Section'l and are collectively known as"Non-ES&S Rental Equipment". Customer acknowledges and
agrees that,except for the payment to ES&S of the amount dues under Section 1 which is attributable to the Non-ES&S Rental
Equipment,all of its rights and obligations with respect to the Non-ES&S Rental Equipment flow from and to the
manufacturers, lessors or other vendors of the Non-ES&S Rental Equipment(collectively the"Third Party Rental Equipment
Vendors"). Customer further acknowledges that it has received copies of all applicable Third Party Rental Equipment Vendor
Documentation,warranties and other applicable information regarding its rights and obligations with respect to the Non-ES&S
Rental Equipment.
4. items Not Included in Rental Equipment. Customer is not entitled under this Agreement to receive ballots,ballot preparation
services or any election supplies which are not specifically referenced herein.
5. Warranty. ES&S warrants that any ES&S-manufactured scanning equipment included in the Rental Equipment
CScanning Equipment")will perform in accordance with the specifications set forth in the Rental Equipment Documentation
and will be free from defects in material and workmanship under normal use and service for the Rental Terra(the"Warranty
Period"). ES&S'sole obligation under this Section 5 shall be to repair or replace the Scanning Equipment or the applicable
parts thereof, at its sole expense,at Customer's location or at ES& 's fadlities, as determined by ES&S in its sole discretion.
Any repaired or replaced Scanning Equipment or parts thereof shall be warranted only for the unexpired term of the original
Warranty Period. All replaced Scanning Equipment or parts thereof will become the property of ES&S on an exchange basis.
The warranty provided by ES&S under this Section 5 does not apply to and shall not require ES&S to repair or replace any
item(i)which requires repair or replacement due to normal wear and tear, (ii)which has been repaired,altered or transported
by persons other than ES&S authorized Representatives, (III)from which any serial number has been removed,defaced or
changed, (iv)which is damaged due to accident,disaster,theft,vandalism, neglect,abuse,use for a purpose other than the
purpose for which such item is designed or use which is not In accordance with instructions furnished by ES&S,(v)which has
been subjected to physical,mechanical or electrical design alterations or any conversion by persons other than ES&S
authorized Representatives,(vi)which has been used by any person other than Customer's employees or persons under
Customer's direct supervision;(vil)which has been used In a site not meeting the specifications set forth in Section 2(a)above;
(viii)has been used with ballots other than ES&S copyrighted ballots;or(ix)have been used with ballot code stock other than
ballot code stock supplied or approved by ES&S.
3
6. Rental €payments. The rental payment for each item included in the Rental Equipment for the Rental Term(defined below)is
set forth in Section 1 above,and the total amount thereof shall be paid in accordance with the terms of Section 1. Customer
shall notify ES&S if it desires to rent additional items of Rental Equipment. If ES&S agrees to rent such items to Customer,the
parties shall amend Section 1 of this Agreement to include such items within the definition of"Rental Equipment"and
Customer shall pay to ES&S rental payments for each such item at ES&S's then-current rental rates.
7. Rental Term, The period during which Customer shall rent the Rental Equipment from ES&S shall be in effect from September
10, 2003 until January 15, 2004,unless earlier terminated pursuant to this Agreement(the"Rental Term"), In addition to the
termination events described below,the Rental Term may also be terminated if Customer's Board of Supervisors fails to
appropriate funds to make the payments due hereunder for any fiscal year of the Customer,if such failure occurs as a result of
or in connection with a determination to replace the Rental Equipment or the services provided by ES&S hereunder with other
equipment or services. The Rental Term shall terminate upon the first to occur of(I)a breach of any provision herein
applicable to the Rental Equipment which has not been cured by the breaching party within thirty(30)days after it receives
written notice of the breach from the nonbreaching party(except a breach as provided in(iii)below which will require no
notice);(!I)either party's providing thirty(30)days' prior written notice to the other party hereto of its desire to terminate the
Rental Term, or(ill)Customer's failure to make any rental payment due hereunder within sixty(60)days after it is due. In the
event of early termination by ES&S due to(a)a breach of this Agreement by Customer,(b)Customer's failure to pay any
amounts owed under this Agreement or(c)the failure of Customer's Board of Supervisors to appropriate funds to make the
payments due under this Agreement,Customer shall pay ES&S liquidated damages equal to the present value of the
remaining monthly amounts owing hereunder,discounted at the rate of 8%per annum. No later than ten(10)calendar days
following the termination of the Rental Term,Customer shall return the Rental Equipment to ES&S at its own expense and in
the same operation,order, repair,condition and appearance as when received,subject to normal wear and tear. In the event
Customer falls to return the Rental Equipment to ES&S no later than ten(10)calendar days following the termination of the
Rental Term, Customer shall pay to ES&S a late return charge in the amount of$500.00 per calendar day until the Rental
Equipment is returned to ES&S in accordance herewith.
TERMS AND CONDITIONS RELATING TO SOFTWARE
8. Grant of License.
a. In General. ES&S hereby grants to Customer a nonexclusive and nontransferable license during the Rental Term to
Use(defined below)the Software designated in Section 1.
b. Third Party Software. Customer acknowledges that ES&S does not own the Software designated in Section 1 as
"Third Party Software"or the accompanying operating instructions, user manuals and training materials relating
thereto(the"Third Parry Software Documentation")(the ES&S Software Documentation and the Third Party Software
Documentation sometimes collectively the"Software Documentation"). Customer further acknowledges that,except
for the payment of license fees attributable to the Third Party Software and the Third Party Software Documentation
(collectively the"Non-ES&S Software Items"),which shall be paid directly to ES&S pursuant to Section 1 above,all of
its rights and obligations with respect to the Non-ES&S Software Items flow from and to the vendors of the Nan-ES&
Software Items(the"Third Party Vendors"). Customer further acknowledges that it has received copies of all
applicable license agreements for the Non-ES&S Software items from the Third Party Vendors.-None of the -
Non-ES&S Software Items has been independently authenticated in whole or in part by ES&S,and none of ES&S'
representations,warranties,covenants or agreements set forth herein apply with respect to the Non-ES&S Software
Items unless otherwise specifically stated herein.
c. Definition of Use. For purposes of this Agreement,the term"Use"shall mean the right to copy or utilize all or any
portion of the ins#ructions or data of the ES&S Software from tangible media supplied by ES&S ("Tangible Media")
The ES&S Software may be Used only for internal purposes and shall not be used by,for,or on behalf of,third
parties. The ES&S Software may only be used at the facility or facilities specified on Addendum 1 to this Agreement
as the"Designated Site". "Use"shall also mean the right to retain and consult the ES&S Software Documentation.
Customer's right to Use the ES&S Software and the ES&S Software Documentation shall not include the right to do
any of the following:
py,in whole or in part,any ES&S Software(except for backup and archive purposes and provided that no more than one copy may be in
existence at any one time for such purposes), any Tangible Media or any ES&S Software Documentation;
ii Reverse engineer,decompile,disassemble,re-engineer or otherwise create or attempt to create or permit,
allow or assist others to create the source code of the ES&S Software or the structural framework of the
ES&S Software;
III Cause or permit any use,display,loan,publication,transfer of possession, sublicensing or other
dissemination of the ES&S Software or the ES&S Software Documentation, in whole or in part,to or by any
4
third party without Licensor's prior written consent;
iv Modify, enhance or otherwise change the ES&S Software;
v Use the ES&S Software except as specified in the ES&S Software Documentation or as otherwise
authorized by ES&S in writing;or
vi Use the ES&S Software on more items of Designated Equipment than are specified on Addendum 1, unless
authorized in writing by ES&S.
g. Fees. The license fees for the ES&S Software,the ES&S Software Documentation,the Third Party Software and the Third
Party Documentation (collectively the"Licensed Items")for the Rental Term are set forth in Section 1 above and shall be paid
in accordance with the terms of Section 1.
10. Term;Termination. The license granted herein shall become effective on the date the ES&S Software is installed by Customer
(the"Start Date") and shall remain in force during the Rental Term. Upon termination of the license, Customer shall
immediately return the ES&S Software and any other Confidential Information in its possession or under its control(including
any and all copies)to ES&S. Termination of the license pursuant to this provision is in addition to any other remedies
available to ES&S at law or in equity.
11. Title; Copyright Notice. Customer acknowledges and agrees that: (a)all right,title and interest in and to the ES&S Software,
the ES&S Software Documentation and the Tangible Media is owned by ES&S, and Customer has only a limited license to
Use such items during the Software License Term. Customer agrees not to challenge ES&S's right,title and interest in and to
the ES&S Software,the ES&S Software Documentation or the Tangible Media and to notify ES&S immediately if it becomes
aware of any such challenge, Customer shall include the copyright and proprietary rights notices which are set forth on each
item of Tangible Media on any copies of the Software which are made from such item of Tangible Media. Likewise, Customer
shall include the copyright and proprietary rights notices which are set forth on each item of Documentation on any copies
thereof.
12. Export. Customer acknowledges that the laws and regulations of the United States may restrict the export of certain
commodities and technical data of United States origin,including the Software, in any medium. Customer agrees that it shall
not export the Software or the Documentation in any form without the appropriate United States and foreign government
licenses. Licensee further agrees that its obligations pursuant to this Section 14 shall survive and continue after the
termination of this Agreement.
TERMS AND CONDITIONS RELATING TO RENTAL EQUIPMENT AND SOFTWARE
13. Limitation on Liability. ES&S'total liability to Customer for any losses,damages, costs or expenses of any nature,whether
direct or indirect, arising from or relating to ES&S'performance of this Agreement or the products or services provided by
ES&S hereunder, shall be limited to the aggregate amount paid by Customer to ES&S for the product(s)or services(s)that
caused the losses or damages or are the subject matter of the claim or cause of action. By entering into this Agreement,
-Customer agrees-to accept responsibility for(1)the selection of the Rental Equipment and Software to achieve Customer's
intended results; (ii)the use(Use)of the Rental Equipment and Software;(c)the results obtained from the use of the Rental
Equipment and Software; and(d)the selection of, use of and results obtained from any equipment, software or services not
provided by ES&S and used with the Rental Equipment or Software.
14, Shipment;Title and Risk of Loss . ES&S will ship the Rental Equipment and Software by,common carrier to Customer on a
date mutually agreed upon by ES&S and Customer,and risk of loss with respect to the Rental Equipment and Software shall
pass to Customer when such items are delivered to Customer's place of business. Title to the Rental Equipment shall remain
in ES&S. ES&S shall also bear the risk of loss with respect to the Rental Equipment(except that Customer shall bear the risk
of loss with respect to,or damage to,the Rental Equipment which is caused by fire,the elements,theft,vandalism, negligent
or intentional acts of Customer's employees or other events which are within the control of Customer). During the period in
which this Agreement is in effect,Customer shall, at its sole expense, maintain the Rental Equipment in good operating
condition and repair and protect the Rental Equipment from deterioration other than normal wear and tear and shall procure
and maintain insurance on the Rental Equipment to adequately insure the risks of loss for which Customer is responsible
hereunder. Upon request,Customer shall provide ES&S with copies of any and all policies procured and maintained by
Customer insuring Customer's risks of loss hereunder. Customer shall not use the Rental Equipment for any purpose other
than those for which it was designed and shall not,without the prior written consent of ES&S, alter the Rental Equipment or
affix to or install on the Rental Equipment any accessory,equipment or device which was not supplied to it by ES&S.
Customer shall not move the Rental Equipment from the place where it was originally installed without ES&S'prior written
consent and shall make the Rental Equipment and any records pertaining thereto available to ES&S during regular business
hours for inspection. Customer will not,without the prior written consent of ES&S and subject to such conditions as ES&S may
impose for its protection, affix any item of Rental Equipment to any real property if,as a result thereof, such item of Rental
Equipment will become a fixture under applicable state law.
S
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VOTE Bf,<?H`'3Ot ? 1S''"' BAL€..; T
ELECTION COST
SPECIAL ELECTION
OCTOBER 7, 2003
One-card ballot, consolidated precincts: $1,450,000
(Consolidating precincts saves $200,000)
Each additional ballot card adds $100,000
A four-card ballot adds: 300,000
Total for current voting system: $1 .750.000
ES & SOPTION
Elections cost without DFM ballot: $1 ,350,000
E S & S contract: 830,000
Total for proposed system 180000