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6.A. - Page 13 of 24 <br />This Amendment No. 2 (the "Amendment No. 2") is entered into and effective as of April <br />12, 2021, by and between the City of Redwood City, a charter city and municipal corporation of <br />the State of California ("City"), and CherryRoad Technologies, Inc., a Florida corporation <br />registered to do business in the State of California ("CherryRoad") (collectively, the "Parties"). <br />RECITALS <br />A. This Amendment No. 2, with an effective date of April 12, 2021, will serve as a change in <br />terms to the Services Agreement and Statement of Work ("SOW") entered into on May 31, 2019 <br />by and between the City and CherryRoad, (the "Agreement"), as amended by "Change Request <br />#1" ("Amendment No. 1") entered into on June 11, 2020 and ratified by execution of this <br />Amendment No. 2. Except as expressly amended herein, all other terms and conditions of the <br />Agreement, as amended, shall remain in full force and effect. <br />B. Under the Agreement, changes that significantly impact the deliverables, schedule, or cost <br />require an amendment (a.k.a. a Change Order or Change Request). The purpose of this <br />Amendment No. 2 is to change the delivery schedules for Phase 1 (financials) and Phase 2 <br />(Human Capital Management and Payroll), and the associated costs with doing so which are <br />outlined below. <br />C. The ERP project was severely impacted by the events related to COVID-19. The primary <br />events include San Mateo County issuing a Shelter in Place Order on March 16, 2020, which was <br />followed by the State of California issuance of a statewide stay home order on March 19, 2020. <br />D. These events impacted the ability of City employees to work on the project as workload <br />was shifted to other critical emergency related tasks to support City residents. These events also <br />impacted CherryRoad staff by eliminating travel; thus, negatively impacting how System <br />Integration Testing and design sessions were delivered. The travel ban has also impacted how <br />CherryRoad will be able to deliver training and ultimately go -live on-site support. This was also <br />logged and recognized as a separate Risk ID #14 Pandemic in the Project Risk Register on March <br />16, 2020 with a high-risk impact (level 5, event poses very high cost, schedule, or other failure). <br />E. This Amendment No. 2 details the impact the pandemic has on the cost, staffing, and <br />schedule of the ERP project as it relates to delaying the go -live for Phase I (Financials and <br />Procurement) from July 1, 2020 to July 1, 2021, and for Phase II (HCM) from January 1, 2021 to <br />January 1, 2022. Redwood City (City) staffing has been forced to adjust to approximately 50% of <br />the original staffing plan to accommodate the impact the pandemic has on City staff workloads <br />and priorities. CherryRoad Technologies is requesting an additional $344,880.00 to <br />accommodate the delay in Phase I, and $452,550.00 for the delay in Phase I I based on the details <br />provided below. The total request for additional funds for both phases is $797,430.00. <br />REV: 03-25-2021 PR <br />ATTY/AGR.2021/Amend No. 2/CherryRoad (Page 2 of 13) <br />18 <br />