SCC Item 3. GovWell Permitting Software License and Support Agreement
Request for
City Council Action
DEPARTMENT INFORMATION
ORIGINATING DEPARTMENT REQUESTOR: MEETING DATE:
Administration Assistant City Administrator/Human Resources Hille July 14, 2025
PRESENTER(s) REVIEWED BY: ITEM #:
Administration City Administrator/Finance Director Flaherty Special Meeting – Item 3
STRATEGIC VISION
MEETS: THE CITY OF OTSEGO:
X Is a strong organization that is committed to leading the community through innovative communication.
X Has proactively expanded infrastructure to responsibly provide core services.
Is committed to delivery of quality emergency service responsive to community needs and expectations in a
cost-effective manner.
X Is a social community with diverse housing, service options, and employment opportunities.
Is a distinctive, connected community known for its beauty and natural surroundings.
AGENDA ITEM DETAILS
RECOMMENDATION:
City staff recommend the City Council approve an order form for software license and support.
ARE YOU SEEKING APPROVAL OF A CONTRACT? IS A PUBLIC HEARING REQUIRED?
No No
BACKGROUND/JUSTIFICATION:
At the June 11 Administrative Subcommittee meeting, staff presented information on new software that would
replace the existing platform for building permits, licensing, and code enforcement, Permit Works. Permit Works has
been used by the City for over 20 years, but this software no longer provides the functionality and flexibility needed
for the City. Building Permit software is our most utilized outward-facing software and is used by residents and
contractors. The vendor also is slow to provide support for the software, which is frustrating to the public and City
staff alike.
City staff have been evaluating alternative software programs for these functions and have reached a
recommendation to proceed with GovWell. Staff had planned to present the software as part of the 2026 budget
process, but due to the lengthy implementation timeline, staff needed to bring forward the software to ensure no
service disruptions in 2026.
Some of the key functionalities of GovWell’s software are online permit applications, unlimited data storage,
unlimited user licenses, same-day chat support for internal and external users, and a cloud-based system.
The Administrative Subcommittee recommended the software to be presented to the City Council for review, with the
modules for Building Permits, Licensing, and Code Enforcement. The signing of the agreement would begin the
implementation of the software, with a go-live date in January 2026. The payment for this software will be broken
into half in 2025, and the second half in 2026. The 2025 cost would be $18,750; and $18,750 in 2026; then $25,000 in
2027 and 2028. The cost includes the implementation and the first year of software fees. The agreement has an initial
term of 3 years, which fixes the cost for the three years as proposed.
SUPPORTING DOCUMENTS ATTACHED:
• GovWell Order Form
• GovWell Pricing Proposal
POSSIBLE MOTION
PLEASE WORD MOTION AS YOU WOULD LIKE IT TO APPEAR IN THE MINUTES:
Motion to accept the proposal and to approve the Order Form between the City of Otsego and GovWell Technologies,
Inc.
BUDGET INFORMATION
FUNDING: BUDGETED:
Fund 101 – General (Building Safety – 42410)
2025 – No
2026 – Yes, Pending Approval
GOVWELL ORDER FORM
This Order Form, dated as of the Effective Date, is entered into by and between GovWell Technologies Inc.
(“GovWell”) and the customer identified below (“Customer”), and is subject to the Terms of Service (as defined
below), which are incorporated by reference herein.
Customer: CITY OF OTSEGO, MN Effective Date:
Customer Contact: ADAM FLAHERTY Contact Email: aflaherty@otsegomn.gov
Contact Phone: (763) 235-3161 Billing Contact:
Billing Email: Billing Phone:
1. SOFTWARE MODULES, LICENSES, AND SUPPORT.
Beginning on the Effective Date, GovWell will make available to Customer the
following software modules:
Licenses: GovWell will provide unlimited user licenses to Customer.
Support: GovWell will provide email, phone, and chat-based support to Customer Monday through Friday,
9am to 5pm EST. GovWell will provide responses to all Customer inquiries within 1 business day.
2. IMPLEMENTATION & DATA MIGRATION SERVICES
Beginning on the Effective Date, GovWell will provide implementation
services to Customer to ensure the successful launch and adoption of the software. These implementation
services may include, but are not limited to: GIS integration, integration with payment processing
software, data migration, system configuration, system modifications, and staff training.
Software Module Description Price
(Annual)
Building Permits &
Inspections
Manage building permits, inspections, and plan review. Includes online
portal for improving access and transparency to the public.
$15,000
Code Enforcement Online citizen complaints + code enforcement case management. $5,000
Licenses Manage rental, occupational, fowl, mobile food unit, and peddler license
applications and renewals.
$5,000
TOTAL: $25,000
Service Description Price (one-time)
3. SUMMARY OF FEES AND TERMS
4.
INITIAL TERM
Initial Term: Three (3) years, beginning on the Effective Date.
5. TERMS OF SERVICE. The parties expressly acknowledge and agree that this Order Form, any
appendices attached, and any amendments hereto signed by the parties, is subject to and conditioned upon
Customer’s agreement to the Terms of Service located at http://www.govwelltech.com/terms (as
amended from time to time, the “Terms of Service”). By signing below, Customer expressly acknowledges
Implementation -
Standard
Full-service configuration of system, including:
● Online forms / applications
● Workflows for each record type
● Document templates (Permit cards, COs, notices of violation)
● Inspection templates
● Reports
● Staff training
$8,500
Data Migration
(Raw Data + Files)
- Standard
Migration of historical data to GovWell including data in CSV, Excel, PDF
and JPG format. Customer is responsible for exporting the data in the
aforementioned format(s) and providing it to GovWell, and GovWell is
responsible for importing it.
To ensure a successful migration of files, Customer is additionally responsible
for providing GovWell data in a CSV or Excel format that details an explicit
connection between files and other records - e.g. a CSV file specifying that file
“ABC.pdf” is connected to Building Permit #24-0001.
Modules included:
● Building Permits
● Code Enforcement
● Licenses
$4,000
TOTAL: $12,500
Item Description
Year 1 cost $37,500
Annual Recurring Services - Year 2 $25,000
Annual Uplift 5% (not applicable during initial term)
Initial Term Invoice Schedule - $18,750 invoiced on signing
- $18,750 invoiced on January 1, 2026
- $25,000 invoiced on January 1, 2027
- $25,000 invoiced on January 1, 2028
Renewal Procedure Automatic 1 year renewal term, unless 60 days notice provided prior to renewal date
and agrees that it has reviewed the Terms of Service and agrees to be bound thereby. In the event of any
inconsistency or conflict between the terms of this Order Form and the Terms of Service, the terms of this
Order Form shall take precedence and govern solely with respect to the specific services, fees, and terms
outlined herein, unless otherwise stated in the Terms of Service. All other provisions of the Terms of
Service shall remain in full force and effect. Customer further acknowledges and agrees that by signing
below, the person signing this Order Form has the authority to execute this Order Form on behalf of
Customer. This Order Form may not be amended or modified, except in a writing signed by both Customer
and GovWell.
AGREED AND ACCEPTED on behalf of the parties by their duly authorized representatives as of the Order Form
Effective Date.
CUSTOMER: CITY OF OTSEGO, MN GOVWELL TECHNOLOGIES INC.:
By (Signature): By (Signature):
Name (Printed): Name (Printed):
Title: Title:
Date signed: Date signed: