70-M0012-26-CP305_UpCodes Sole Source 26.pdf.PDF

2015 Sole Source Form

CITY OF CARLSBAD

SOLE SOURCE AND EMERGENCY PROCUREMENT REQUEST AND

DETERMINATION FORM

A sole source determination is not effective until the sole source request for determination has been posted for thirty (30) calendar days without challenge, and subsequently approved in writing by the Purchasing Manager. A purchase order will not be issued and orders may not be placed until the sole source determination as been posted for a minimum o(15 davs.

I. Name of Company: UpCodes Date: 7/22/2026

Please Check One: New Sole Source x Renewal of Existing Sole Source _

Please Check One: Product Services ~ Product and Services

Type of Sole Source Requested: (Please check the one that best describes the type of Sole Source you are requesting)

Company Sole Source (Only one company can provide the goods or services)

_ Brand Name Sole Source (Only this brand will serve the intended purpose or function with existing equipment or systems, including software)

_ Unique Professional Services (Only one company or individual can provide this service due to the creative nature of the service or custom delivery of goods or services that are unique and subject to custom design and/or fabrication.

**Please note- True Professional Services under $60,000 in value are considered a small purchase and does not require a sole source determination.

i Proprietary Sole Source (Only this company provides this product or service and only this company can provide after sale maintenance, repairs or service agreements)

_ Local Sole Source (Only one company exists to provide this product or service locally and due to the nature of the purchase, it is not feasible or reasonable to obtain the product or service from non-local sources. Only one local vendor is able to respond to the need in a timely manner due to local proximity)

Amount of Purchase$ $35,000

II. _ Emergency Procurement Request

DEFINITION OF EMERGENCY CONDITIONS:

An emergency condition is a situation which creates a threat to public health, welfare, safety or property such as may arise by reason of floods, epidemics, riots, equipment failures or similar events. The existence of the emergency condition creates an immediate and serious need for services, construction or items of tangible personal property that cannot be met through normal procurement methods and the lack of which would seriously threaten:

A. the functioning of government;

B. the preservation or protection of property; or C. the health or safety of any person.

Please provide a detailed explanation for why the purchase required meets the above definition of an Emergency Condition.

N/A

**The Emergency Determination will only be in effect as long as needed to alleviate the emergency conditions. Once the emergency condition has passed, regular procurement methods and procedures must be followed.

Amount of purchase: $ ________ _

Sole Source Determination

III. Provide a detailed, sufficient explanation of the reasons, qualifications, proprietary rights or unique capabilities of the prospective contractor that makes the prospective contractor the one source capable of providing the required professional service, service, construction or item( s) of tangible personal property. (Please do not state the source is the "best" source or the "least costly" source. Those factors do not justify a "sole source.")

UpCodes is a proprietary software provider that specializes in providing an online resource for building codes regulations and other building related features. This product is not available through any reseller making it a sole source purchase.

IV. Provide a detailed, sufficient explanation ofhow the professional service, service, construction or item(s) of tangible personal property is/are unique and how this uniqueness is substantially related to the intended purpose of the contract.

• This software provides the following features:

• Project Management, allows ability to bookmark, comment and collaborate across the organization.

• Domain-specific search engine

• Code Diagrams

• Code Calculators- automatic generation differences between historical editions or across jurisdictions from codes including the building code, fire codes, plumbing codes etc.

• Assemblies library

• Copilot - AI powered code research assistant

• AI plan-review

V. Explain why other similar professional services, services, construction or item(s) of tangible personal property cannot meet the intended purpose of the contract.

The software is only available from UpCodes and is not available through any other resellers.

VI. Provide a narrative of the due diligence used in determining the basis for the procurement, including a review of available sources and include Include a ·list of businesses contacted (do not state that no other businesses were contactetl), date of contact, method of contact (telephone, mail, e-mail, other), and documentation demonstrating an explanation of why those businesses could not or would not, under any circumstances, provide the goods or services; or an explanation of why the department has determined that no businesses other than the prospective contractor can provide the goods or services requested.

The City looked at software options that provide all of the features that Up Codes offers and there were not any comparable sources that had all the desired features .

Certified by: Date:

~partment Director

APPROVED: Date:

Wl~- Chief Procurementofficer

Authority to Proceed

1) the signature of the CPO on this form certifies the sole source has been posted for thirty (30) calendar days and has received no challenges;

2) the sole source is granted as of the date of signature by the State Purchasing Agent; and

3) the signature of the CPO on this form is the final signature required for this sole source procurement.

QUpCodes

UpCodes. Inc

1606 Headway Circie #9083 Austin, TX 78754

(646) 727-0564 contact@up codes https·flup.codes

July 17th, 2026 City of Carlsbad, New Mexico

Dear Customer, UpCodes offers an online resource for building regulations, providing a new workflow for professionals, agencies, and homeowners to navigate jurisdictional codes.

Several features and workflows set aside UpCodes from existing solutions and products. We have no resellers and are the only solution to provide the full range of the following features:

• Projects (allowing the ability to bookmark, comment, and collaborate across the organization)

• Domain-specific search engine

• Code Diagrams

• Code Calculators- automatic generation of code requirements including heights and areas, egress, and plumbing fixture counts

• Code Compare - ability to generate differences between historical editions or across jurisdictions from codes including the building code, fire codes, plumbing codes etc.

• Assemblies library

• Building product library

• Copilot - Al-powered code research assistant

• AI plan-review

As such, we are a sole source and provider of the service, and it is not available via reseller available to the City of Carlsbab, New Mexico

Respectfully, Ben Walker Head of Operations and Finance

Service Order Form

Customer City of Carlsbad, NM Billing Schedule Annual •

Contact Name Kenneth Cass Billing Contact Contact email

Contact Email kccass@cityofcarlsbadn Contract Term 12 months m.com

Business 101 N Halagueno Payment Method ACH/Wire transfer • Address Street, Carlsbad, NM, 88220

Services Page Limit Term Total Price

AI Plan Review

Enterprise access for team

Terms and Conditions

10,000 12 months Included

12 months $35,000

Total: $35,000

This service order form (11Service Order") is subject to the Terms of Service on our site (collectively, the "Agreement"). All capitalized terms not defined in the Service Order have the respective meanings set forth in the Agreement.

On the Contract Term end date listed above, this Service Order will automatically renew for successive one-year terms unless modified or terminated per the Agreement.

Proposal

UpCodes Professional Use

Access to UpCodes premium functionality, including all core functionality, Copilot, specs and a dedicated CSM.

AI Plan Review

Access to UpCodes AI plan review, with a maximum of 10,000 pages reviewed annually.

Exceeding Usage Cap

Access to AI plan review can be restricted if usage exceeds cap and no agreement on excess usage has been established.

Marketing Study

Participation in a marketing engagement if requested, such as a case study, webinar, testimonial, or similar activation demonstrating the value generated from UpCodes.

Product Development

Participation in feedback sessions with the product team to improve development.

Training Sessions

Participation in training sessions for all UpCodes functionality, including new releases, with all end-users (to ensure adoption across the team).

I