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Resolution No. 100592 3 4 5 6 7 8 9 10 low 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 00M 0:0 RESOLUTION NO. 10,059 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND RATIFYING THE CITY'S PARTICIPATION IN THE 2008 STATE HOMELAND SECURITY GRANT PROGRAM BY THE VERNON POLICE AND FIRE DEPARTMENTS, APPROVING AND AUTHORIZING THE EXECUTION OF A SUBRECIPIENT AGREEMENT BY AND BETWEEN THE CITY OF VERNON AND THE COUNTY OF LOS ANGELES AND AUTHORIZING THE EXECUTION OF DOCUMENTS NECESSARY TO OBTAIN THE GRANT WHEREAS, the Department`of Homeland Security, through the Office for Domestic Preparedness, provides grant funding through a State Homeland Security Grant Program to California to enhance the ability of the state, urban areas, local jurisdictions, and certain non-profit organizations, to prevent, deter, respond to and recover from threats and incidents of terrorism (the "SHSGP Grant"); and WHEREAS, the County of Los Angeles Office of Emergency Management is the sub -grantee for the 2008 SHSGP Grant and the City of Vernon has been awarded a 2008 SHSGP Grant as a sub -recipient; and WHEREAS, the County of Los Angeles will coordinate all related activities with the sub -recipients; and WHEREAS, during the application and review process for the 2008 SHSGP Grant, the Vernon Fire Department requested funding to be used for training in the Los Angeles Area Fire Chiefs Association IEC/Hazmat Training Project in the sum of $90,333 and the Vernon Police Department requested funding for the purchase of an Automatic License Plate Reader Server in the sum of $7,979, subject to approval by the City Council; and WHEREAS, the City of Vernon has been awarded the total sum of $98,312.00 and the County of Los Angeles is requiring a formal 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 Subrecipient Agreement between the City of Vernon and the County of Los Angeles outlining the requirements of the 2008 SHSGP Grant and is also requiring the completion and electronic submittal of a Project Spending Plan for each line item within each of the approved projects; II and WHEREAS, the 2008 SHSGP Grant is a reimbursable grant for all authorized equipment purchases with no cost -share or match requirements; and WHEREAS, participation in the 2008 SHSGP Grant would enhance the capability of the Vernon Fire and Police Departments to respond to threats, thereby enhancing the services provided to citizens, residents, businesses and employees in the City of Vernon and neighboring communities; and WHEREAS, by memo dated August 19, 2009, the Chief of Police has recommended that the City participate in the 2008 SHSGP Grant and approve and authorize the execution of the necessary documents to receive funding under the 2008 SHSGP Grant in the total sum of $98,312.00; and WHEREAS, the City Council of the City of Vernon desires to participate in the 2008 SHSGP Grant and approve and authorize the execution of the necessary documents to receive funding under the 2008 SHSGP Grant in the total sum of $98,312.00. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE: CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon hereby finds and determines that the recitals contained hereinabove are true and correct. - 2 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECTION 2: The City Council of the City of Vernon hereby approves the City's participation in the 2008 SHSGP Grant. SECTION 3: The City Council of the City of Vernon hereby approves the Subrecipient Agreement with the County of Los Angeles, a copy of which is attached hereto as Exhibit,A and incorporated by reference. SECTION 4: The City Council of the City of Vernon hereby authorizes the Mayor or Mayor Pro-Tem to execute the Agreement for, and on behalf of, the City of Vernon and the City Clerk, or Deputy City Clerk, is hereby authorized to attest thereto. SECTION 5: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to take whatever action is deemed necessary or desirable for the purpose of implementing and carrying out the purposes specified in the Agreement, including without limitation, the execution of any and all documents necessary for the purpose of securing grant funds for, and on behalf of, the City of Vernon. SECTION 6: The City Council of the City of Vernon hereby directs the. City Clerk, or her designee, to submit the Agreement, executed by the City, and related documents to the County of Los Angeles. - 3 - 1 2 3 4 5 •6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 SECTION 7: The City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk of the City of Vernon shall cause this resolution and her certification to be entered in the Book of Resolutions of the Council of this City. APPROVED AND ADOPTED this 315t day of August, 2009. Name• Hilario Gonzales HERE UELA GIRON, Cit(y Clerk k Title: Mayor / - 4 - 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16' 17 18 19 20 21 22 23 24 25 26 27 28 STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, MANUELA GIRON, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 10,059, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, August 31, 2009, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed thO-/'S day of August, 2009, at Vernon,. California. (SEAL) C AMAN=ELA�GIRONJ City Clerk - 5 - EXHIBIT A Subrecipient Agreement Between the County of Los Angeles and The Citv of Vernon Grant Year 2008 State Homeland Security Grant Program HOA.604306.1 1 SUBRECIPIENT AGREEMENT BETWEEN THE COUNTY OF LOS ANGELES AND THE CITY OF VERNON THIS AGREEMENT is made and entered into by and between the County of Los Angeles, a political subdivision of the State of California (the "County of Los Angeles" ), and the City of Vernon, a public agency,(the "Subrecipient") WITNESSETH WHEREAS, the U.S. Department of Homeland Security Title 28 C.F.R. through the Office of Grants and Training (G&T), has provided financial assistance from the Homeland Security Grant Program, Catalog of Federal Domestic Assistance (CFD.A) 97.067 directly to The California Emergency Management Agency (CaIEMA) for the 2008 Homeland Security Grant Program (HSGP); and WHEREAS, the CaIEMA, provides said funds to the Los Angeles .County Chief Executive Officer (CEO) as its Subgrantee, and CEO is responsible for managing the Grant and overseeing the funds which are distributed, by CEO, to other specified jurisdictions within Los Angeles County. WHEREAS, this financial assistance is being provided to the Subrecipient in order to address the unique equipment, training, exercise and planning management needs of the Subrecipient, and to assist Subrecipient in building effective prevention and protection capabilities to prevent, respond to, and recover from threats or acts of terrorism; and WHEREAS, the CEO as Subgrantee has obtained approval of an, HSGP 2008 Grant from CaIEMA for the Subrecipient in the amount of $98,312; and WHEREAS, the CEO now wishes to distribute HSGP Grant Funds to the Subrecipient, as further detailed in this Agreement; WHEREAS, the CEO is authorized to enter into subrecipient agreements with cities providing for re -allocation and use of these funds; and to execute all future amendments, modifications, extensions, and augmentations relative to the sub -recipient agreements, as necessary; WHEREAS, the County of Los Angeles and Subrecipient are desirous of executing this Agreement, and the County Board of Supervisors on June 30, 2009 authorized the CEO to prepare and execute this Agreement. NOW, THEREFORE, the County of Los Angeles and Subrecipient agree as follows: HOA.604306.1 2 SECTION I INTRODUCTION §101. Parties to this Agreement The parties to this Agreement are: A. County of Los Angeles, a political subdivision of the State of California, having its principal office at Kenneth Hahn Hall of Administration, 500 West Temple St., Los Angeles, CA 90012.; and B. City of Vernon, a public agency, having its principal office at 4305 Santa Fe Avenue, Vernon, CA 90058. §102. Representatives of the Parties and Service of Notices A. The representatives of the respective parties who are authorized to administer this Agreement and to whom formal notices, demands and communications shall be given are as follows: 1. The representative of the County of Los Angeles shall be, unless otherwise stated in this Agreement: Carol Kindler, Manager Chief Executive Office, Los Angeles County (LAC) 500 W Temple Street, Room 754 Los Angeles, CA 90012 Phone: (213) 974-1154 Fax: (213) 687-3765 With a copy to: Norman Braverman, Grants Manager Chief Executive Office, LAC 500 W Temple Street, Room 754 Los Angeles, CA 90012 Phone: (213) 893-7955 Fax: (213) 687-3765 Nbraverman@ceo.lacounty.gov HOA.604306.1 3 2. The representative of Subrecipient shall be: Name and Title: Organization Address: City/State/Zip: Phone: Fax: Email With a copy to: Name and Title: Organization Address: City/State/Zip: Phone: Fax: Email B. Formal notices,' demands and communications to be given hereunder by either party shall be made in writing and may be effected by personal delivery or by registered or certified mail, postage prepaid, return receipt requested and shall be deemed communicated as of the date of mailing. C. If the name and/or title of the person designated to receive the notices, demands or communications or the address of such person is changed, written notice shall be given, in accord with this section, within five (5) business days of said change. HOA.604306.1 4 §103. Independent Party Subrecipient is acting hereunder as an independent party, and not as an agent or employee of the County of Los Angeles. No employee of Subrecipient is, or shall be an employee of the County of Los Angeles by virtue of this Agreement, and Subrecipient shall so inform each employee organization and each employee who is hired or retained under this Agreement. Subrecipient shall not represent or otherwise hold out itself or any of its directors, officers, partners, employees, or agents to be an agent or employee of the County of Los Angeles by virtue of this Agreement. §104. Conditions Precedent to Execution of This Agreement Subrecipient shall provide the following signed documents to the County of Los Angeles, unless otherwise exempted: A. Certifications and Disclosures Regarding Lobbying, attached hereto as Exhibit A and made a part hereof, in accordance with §411.A.14 of this Agreement.. Subrecipient shall also file a Disclosure Form at the end of each calendar quarter in which there occurs any event requiring disclosure or which materially affects the accuracy of the information contained in any Disclosure Form previously filed by Subrecipient. B. Certifications Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion, attached hereto as Exhibit B and made a part hereof, as required by Executive Order 12549 in accordance with §411.A.12 of this Agreement. C. Certification Regarding Drug -Free Workplace, attached hereto as Exhibit C and made a part hereof, in accordance with §411.A.13 of this Agreement. SECTION II TERM AND SERVICES TO BE PROVIDED §201. Time of Performance The term of this Agreement shall commence upon execution by all parties and shall expire on the later of March 31, 2011, or if as of such date, not all activities required by this Agreement have been completed, then the Agreement shall expire on such later date that all such required activities, including close-out activities, are completed. Said term is subject to the provisions herein. §202. Use of Grant Funds A. Subrecipient and the County of Los Angeles have previously completed a mutually approved budgettexpenditure plan, hereinafter "Budget," for the HSGP FY 2008 Grant, which has been approved by the California Emergency Management Agency (formerly HOA.604306.1 known as the Office of Homeland Security), hereafter CalEMA. This information is contained in a copy of the final grant award letter and worksheets from CaIEMA, attached hereto as Exhibit D. Any request by Subrecipient to modify the Budget must be made in writing with the appropriate justification and submitted to CEO for approval. If during the County's review process, additional information or documentation is required, the Subrecipient will have ten (10) business days to comply with the request. If the Subrecipient does not respond, CEO will issue a letter indicating that the requested modification will be denied. Modifications must be approved in writing by the County of Los Angeles and CalEMA during the term of this Agreement. Upon approval, all other terms of this Agreement will remain in effect. Subrecipient shall utilize grant funds in accordance with all Federal regulations and State Guidelines. B. Subrecipient agrees that grant funds awarded will be used to supplement existing funds for program activities, and will not.supplant (replace) non -Federal funds. C. Subrecipient shall review the Federal Debarment Listing at http:www.epis.gov/epis/search prior to the purchase of equipment or services to ensure the intended vendor is not listed and also maintain documentation that the list was verified. D. Prior to the purchase of equipment or services utilizing a sole source contract, justification must be presented to CEO, who upon review, will request approval from CalEMA. Such approval in writing must be obtained prior to the commitment of funds. E. Subrecipient shall interface with CEO's Grant Management System as it may exist at the time of contract execution or during the term of the Agreement. F. Subrecipient shall provide monthly status reports to CEO indicating their progress on meeting program goals and the submission of claims for reimbursement along with any reports requested by the County of Los Angeles regarding performance of this Agreement. Reports shall be in the form requested by the County of Los Angeles, and shall be provided by the 15th of the following month. G Subrecipient shall provide a copy of their Annual Single Audit Report, as required by Office of Management and Budget circular A-133, to CEO no later than March 31st of the year following the reporting period. H Subrecipient shall provide a Corrective Action Plan to CEO within 30 days of any audit finding. I. Subrecipient will be monitored by the County of Los Angeles on an annual basis to ensure compliance with CalEMA grant program requirements. Said monitoring will include, at a minimum, one on -site visit during the term of this Agreement. HOA.604306.1 6 J. Any equipment acquired pursuant to this Agreement shall be authorized in FY 2007 G&T Authorized Equipment List (AEL) available online at http://www.rkb.mipt.org and the Allowable Cost Matrix to the 2008 Homeland Security Grant Program, Guidance and Application Kit, incorporated by reference, and attached hereto as Exhibit E. Subrecipient shall provide the County of Los Angeles a copy of its most current procurement guidelines and follow its own procurement requirements as long as they meet or exceed the minimum Federal requirements. Federal procurement requirements for the HSGP 2008 Grant can be found at OMB Circular A-102, Title 28 C.F.R. Part 66.36, and Office of G&T Financial Guide. Any equipment acquired or obtained with Grant Funds: Will be made available under the California Disaster and Civil Defense Master Mutual Aid Agreement in consultation with representatives of the various fire, emergency medical, hazardous materials response services, and law enforcement agencies within the jurisdiction of the applicant; 2. Will be consistent with needs as identified in the State Homeland Security Strategy and will be deployed in conformance with that plan; 3. Will be made available pursuant to applicable terms of the California Disaster and Civil Defense Master Mutual Aid Agreement and deployed with personnel trained in the use of such equipment in a manner consistent with the California Law Enforcement Mutual Aid Plan or the California Fire Services and Rescue Mutual Aid Plan. K. Equipment acquired pursuant to this Agreement shall be subject to the requirements of Title 28, C.F.R. 66.32, 66.33 and Office of G&T Financial Guide. For the purposes of this subsection, "Equipment" is defined as tangible nonexpendable property, having a useful life of more than one year which costs $5,000 or more per unit. Items costing less than $5,000, but acquired under the "Equipment" category of the Grant shall also be listed on any required Equipment Ledger. 1. Equipment shall be used by Subrecipient in the program or project for which it was acquired as long as needed, whether or not the project or program continues to be supported by Federal funds. When no longer needed for the original program or project, the Equipment may be used in other activities currently or previously supported by a Federal agency. 2. Subrecipient shall make Equipment available for use on other like projects or programs currently or previously supported by the Federal Government, providing such use will not interfere with the work on the projects or program for which it was originally acquired. First preference for other use shall be given to other programs or projects supported by the awarding agency. 3. An Equipment Ledger shall be maintained listing each item of Equipment acquired with HSGP funds. The Equipment Ledger must be kept up to date at all times. Any changes shall be recorded in the Ledger within ten (10) business HOA.604306.1 7 days and the updated Ledger is to be forwarded to the County's Auditor - Controller. The Equipment Ledger shall include: (a) description of the item of Equipment, (b) manufacturer's model and serial' number, (c) Federal Stock number, national stock number, or other identification number; (d) the fund source/grant year of acquisition of the Equipment, including the award number, (e) date of acquisition; (f) the per .unit acquisition cost of the Equipment, (g) location and condition of Equipment and (h) disposition data, including date and sale price , if applicable. Records must be retained pursuant to Title 28 C.F.R. Part 66.42. 4. All Equipment obtained under this Agreement shall have an appropriate identification decal affixed to it, and, when practical, shall be affixed where it is readily visible. 5. A physical inventory of the Equipment shall be taken by the Subrecipient and the results reconciled with the Equipment Ledger at least once every year or prior to any site visit by State or Federal auditors/monitors. The Subrecipient is required to submit a letter certifying as to the accuracy of the Equipment Ledger to the County of Los Angeles, in the frequency as above. L. Any planning paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit or subsequent grant year programs. M. Any training paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit, and must be first submitted to CEO and then pre -authorized by CalEMA at htt;://www.calguard.ca.gov/cajs-hs/nonslgcpForm.htmm. A catalog of Federally approved and sponsored training courses is available at http://www.omi).usdoi.gov/odp/trainina.htm. N. Any exercise paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit. Detailed Homeland Security Exercise and Evaluation Program Guidance is available at http://hseep.dhs.gov. O. Subrecipient shall provide to County a spending plan detailing the required steps and timeframes required to complete the approved projects within the grant timeframe. Subrecipient shall submit the spending plan to County prior to final execution of the Agreement. P. Any organization activities paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Program Guidance and Application Kit. HOA.604306.1 8 SECTION III PAYMENT §301. Payment of Grant Funds and Method of Payment A. The County of Los Angeles shall reimburse Subrecipient the grant amount of $98,312 as expenditures are incurred and paid by Subrecipient and all documentation is reviewed and approved by County. All expenditures shall be for the purchase of equipment, exercises, training and planning as described in Section II of this Agreement. The grant amount represents the amount allocated to Subrecipient in the FY 2008 HSGP Grant Award Letter from CalEMA. B. Subrecipient shall submit invoices to the County of Los Angeles Auditor -Controller Shared Services Division requesting payment as soon as expenses are incurred and paid, and the required supporting documentation is available. Said timeframe should be within ten (10) business days of Subrecipients' payment to vendors and/or prescribed due dates by CEO and/or CalEMA. Each reimbursement request shall be accompanied by the Reimbursement Request Checklist and Form (attached hereto as Exhibit F). All appropriate back-up documentation must be attached to the reimbursement form, including invoices, proof of payment and packing slips. For training reimbursements; Subrecipient must include a copy of the class roster verifying training attendees, proof that prior approval was obtained from CalEMA and a CalEMA tracking number has been assigned to the course, and timesheets and payroll registers for all training attendees. For exercise reimbursements, Subrecipient must enter the After Action Report and Improvement Plan on the State Office of Domestic Preparedness secure portal within 60 days following completion of the exercise. For planning reimbursements; Subrecipient must include a description of the final tangible product as a result of the planning project. C. County may, at its discretion, and with CalEMA approval, reallocate unexpended grant funds to another Subrecipient. Said reallocation may occur upon completion of an approved project, or by notification to County by Subrecipient that a portion of the grant funds identified in §301 A., above, will not be utilized. Notwithstanding the provisions of §502, below, any increase of decrease in the grant amount specified in §301 A., above, shall not require a written amendment to this Agreement. D. Payment of final invoice shall be withheld by the County of Los Angeles until the County has determined that Subrecipient has turned in all supporting documentation and completed the requirements of this Agreement. E. It is understood that the County of Los Angeles makes no commitment to fund this Agreement beyond the terms set forth herein. HOA.604306.1 9 F. 1. County's obligation is payable only from funds appropriated for the purpose of this Agreement. All funds for payments after the end of the current fiscal year are subject to Federal, State or County's legislative appropriation for this purpose. In the event this Agreement extends into succeeding fiscal year periods and the Board of Supervisors or the State or Federal Legislature does not allocate sufficient funds for the next succeeding fiscal year payments, services shall automatically be terminated as of the end of the then current fiscal year. 2. County shall make a good -faith effort to notify Subrecipient, in writing, of such non - appropriation at the earliest time. SECTION IV STANDARD PROVISIONS §401. Construction of Provisions and Titles Herein All titles or subtitles appearing herein have been inserted for convenience and shall not be deemed to affect the meaning or construction of any of the terms or provisions hereof. The language of this Agreement shall be construed according to its fair meaning and not strictly for or against either party. §402. Applicable Law. Interpretation and Enforcement Each party's performance hereunder shall comply with all applicable. laws of the United States of America, the State of California, and the County of Los Angeles. This Agreement shall be enforced and interpreted under the laws of the State of California and the County of Los Angeles. If any part, term or provision of this Agreement shall be held void, illegal, unenforceable, or in conflict with any law of a Federal, State or Local Government having jurisdiction over this Agreement, the validity of the remainder of the Agreement shall not be affected thereby. Applicable Federal or State requirements that are more restrictive shall be followed. §403. Integrated Agreement This Agreement sets forth all of the rights and duties of the parties with respect to the subject matter hereof, and replaces any and all previous agreements or understandings, whether written or oral, relating thereto. This Agreement may be amended only as provided for herein. HOA.604306.1 10 §404. Breach If any party fails to perform, in whole or in part, any promise, covenant, or agreement set forth herein, or should any representation made by it be untrue, any aggrieved party may avail itself of all rights and remedies, at law or equity, in the courts of law. Said rights and remedies are cumulative of those provided for herein except that in no event shall any party recover more than once, suffer a penalty or forfeiture, or be unjustly compensated. §405. Prohibition Against Assignment or Delegation Subrecipient may not, unless it has first obtained the written permission of the County of Los Angeles: A. Assign or otherwise alienate any of its rights hereunder, including the right to payment; or B. Delegate, subcontract, or otherwise transfer any of its duties hereunder. §406. Permits Subrecipient and its officers, agents and employees shall obtain and maintain all permits and licenses necessary for Subrecipient's performance hereunder and shall pay any fees required therefor. Subrecipient further certifies that it will immediately notify the County of Los Angeles of any suspension, termination, lapses, non renewals or restrictions of licenses, certificates, or other documents. §407. Nondiscrimination and Affirmative Action Subrecipient shall comply with the applicable nondiscrimination and affirmative action provisions of the laws of the United States of America, the State of California, and the County of Los Angeles. In performing this Agreement, Subrecipient shall not discriminate in its employment practices against any employee or applicant for employment because of such person's race, religion, national origin, ancestry, sex, sexual orientation, age, physical handicap, mental disability, marital status, domestic partner status or medical condition. Subrecipient shall comply with Executive Order 11246, entitled "Equal Employment Opportunity," as amended by Executive Order 11375, and as supplemented in Department of Labor regulations (41 CRF Part 60). If required, Subrecipient shall submit an Equal Employment Opportunity Plan (" EEOP") to the DOJ Office of Civil Rights ("OCR") in accordance with guidelines listed at hftp://www.ojp.usdoj.gov/ocr/eeop.htm. Any subcontract entered into by the Subrecipient relating to this Agreement, to the extent allowed hereunder, shall be subject to the provisions of this § 407 of this Agreement. HOA.604306.1 I I §408. Indemnification Each of the parties to this Agreement is a public entity. This indemnity provision is written in contemplation of, but irrespective of the applicability of, the provisions of Section 895.2 of the Government Code of the State of California imposing certain tort liability jointly upon public entities, solely by reason of such entities being parties to an agreement as defined by Section 895 of said Code. Hence, this indemnity applies regardless of whether or not Section 895 et seq. is deemed to apply to this Agreement. The parties hereto, as between themselves, consistent with the authorization contained in Section 895.4 and 895.6 of said Code, irrespective of its applicability, agree to each assume the full liability imposed upon it or upon any of its officers, agents, or employees by law, for injury caused by a negligent or wrongful act or omission occurring in the performance of this Agreement, to the same extent that such liability would be imposed in the absence of Section 895.2 of said Code. To achieve the above -stated purpose, each party agrees to indemnify and hold harmless the other party for any liability arising out of its own negligent acts or omissions (i.e„ the Subrecipient agrees to indemnify and hold harmless the County of Los Angeles for liability arising out of the Subrecipient's negligent or wrongful acts or omissions, and the County of Los Angeles agrees to indemnify and hold harmless the Subrecipient for liability arising out of the County of 'Los, Angeles' negligent acts or omissions. In the same vein, each party agrees to indemnify and hold harmless the other party for liability that is imposed on the other party solely by virtue of said Section 895.2, if applicable. The provision of Section 2778 of the California Civil Code is made a part hereto as if fully set forth herein. Subrecipient certifies that it has adequate self insured retention of funds to meet any obligation arising from this Agreement.. §409. Conflict of Interest A. The Subrecipient covenants that none of its directors, officers, employees, or agents shall participate in selecting, or administrating any subcontract supported (in whole or in part) by Federal funds where such person is a director, officer, employee or agent of the subcontractor; or where the selection of subcontractors is or has the appearance of being motivated by a desire for personal gain for themselves or others such as family business, etc.; or where such person knows or should have known that: 1. A member of such person's immediate family, or domestic partner or organization has a financial interest in the subcontract; 2. The subcontractor is someone with whom such person has or is negotiating any prospective employment; or 3. The participation of such person would be prohibited by the California Political Reform Act, California Government Code §87100 et sea. if such person were a public officer, because such person would have a "financial or other interest" in the subcontract. HOA.604306.1 12 B. Definitions: The term "immediate family" includes but is not limited to domestic partner and/or those persons related by blood or marriage, such as husband, wife, father, mother, brother, sister, son, daughter, father in law, mother in law, brother in law, sister in law, son in law, daughter in law. 2. The term "financial or other interest" includes but is not limited to: a. Any direct or indirect financial interest in the specific contract, including a commission or fee, a share of the proceeds, prospect of a promotion or of future employment, a profit, or any other form of financial reward. b. Any of the following interests in the subcontractor ownership: partnership interest or other beneficial interest of five percent or more; ownership of five percent or more of the stock; employment in a managerial capacity; or membership on the board of directors or governing body. C. The Subrecipient further covenants that no officer, director, employee, or agent shall solicit or accept gratuities, favors, anything of monetary value from any actual or potential subcontractor, supplier, a party to a sub agreement, (or persons who are otherwise in a position to benefit from the actions of any officer, employee, or agent). D. The Subrecipient shall not subcontract with a former director, officer, or employee within a one year period following the termination of the relationship between said person and the Subrecipient. E. Prior to obtaining the County of Los Angeles' approval of any subcontract, the Subrecipient shall disclose to the County of Los Angeles any relationship, financial or otherwise, direct or indirect, of the Subrecipient or any of its officers, directors or employees or their immediate family with the proposed subcontractor and its officers, directors or employees. F. For further clarification of the meaning of any of the terms used herein, the parties agree that references shall be made to the guidelines, rules, and laws of the County of Los Angeles, State of California, and Federal regulations regarding conflict of interest. G. The Subrecipient warrants that it has not paid or given and will not pay or give to any third person any money or other consideration for obtaining this Agreement. H. The Subrecipient covenants that no member, officer or employee of Subrecipient shall have interest, direct or indirect, in any contract or subcontract or the proceeds thereof for work to be performed in connection with this project during his/her tenure as such employee, member or officer or for one year thereafter. HOA.604306.1 13 I. The Subrecipient shall incorporate the foregoing subsections of this Section into every agreement that it enters into in connection with this grant and shall substitute the term "subcontractor" for the term "Subrecipient" and "sub subcontractor" for "Subcontractor". §410. Restriction on. Disclosures Any reports, analysis, studies, drawings, information, or data generated as a result of this Agreement are to be governed by the California Public Records Act (California Government Code Sec. 6250 et seq.). §411. Statutes and Regulations Applicable To All Grant Contracts A. Subrecipient shall comply with all applicable requirements of State, Federal, and County of Los Angeles laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this Agreement. Subrecipient shall comply with applicable State and Federal laws and regulations pertaining to labor, wages, hours, and other conditions of employment. Subrecipient shall comply with new, amended, or revised laws, regulations, and/or procedures that apply to the performance of this Agreement. These requirements include, but are not limited to: 1. Office of Management and Budget (OMB) Circulars Subrecipient shall comply with OMB Circulars, as applicable: OMB Circular A 21 (Cost Principles for Educational Institutions); OMB Circular A-87 (Cost Principles for State, Local, and Indian Tribal Governments); OMB Circular A- 102 (Grants and Cooperative Agreements with State and Local Governments); Common Rule, Subpart C for public agencies or OMB Circular A-110 (Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Non -Profit Organizations); OMB Circular A-122 (Cost Principles for Non -Profit Organizations); OMB Circular A- 133 (Audits of States, Local Governments, and Non -Profit Organizations. 2. Single Audit Act Since Federal funds are used in the performance of this Agreement, Subrecipient shall, as applicable, adhere to the rules and regulations of the Single Audit Act, 31 USC Sec. 7501 et seq.;); OMB Circular A-133 and any administrative regulation or field memos implementing the Act. 3. Americans with Disabilities Act Subrecipient hereby certifies that, as applicable, it will comply with the Americans with Disabilities Act 42, USC §§ 12101 et seq., and its implementing regulations. Subrecipient will provide reasonable accommodations to allow qualified individuals with disabilities to have access to and to participate in its programs, services and activities in accordance with the provisions of the HOA.604306.1 14 Americans with Disabilities Act. Subrecipient will not discriminate against persons with disabilities nor against persons due to their relationship to or association with a person with a disability. Any subcontract entered into by Subrecipient, relating to this Contract, to the extent allowed hereunder, shall be ,subject to the provisions of this paragraph. 4. Political and Sectarian Activity Prohibited None of the funds, materials, property or services provided directly or indirectly under this Agreement shall be used for any partisan political activity, or to further the election or defeat of any candidate for public office. Neither shall any funds provided under this Agreement be used for any purpose designed to support or defeat any pending legislation or administrative regulation. None of the funds provided pursuant to this Agreement shall be used for any sectarian purpose or to support or benefit any sectarian activity. Subrecipient shall file a Disclosure Form at the end of each calendar quarter in which there occurs any event requiring disclosure or which materially affects the accuracy of any of the information contained in any Disclosure Form previously filed by Subrecipient. Subrecipient shall require that the language of this Certification be included in the award documents for all sub -awards at all tiers and that all subcontractors shall certify and disclose accordingly. 5. Records Inspection At any time during normal business hours and as often as either the County of Los Angeles, the U.S. Comptroller General or the Auditor General of the State of California may deem necessary, Subrecipient shall make available for examination all of its records with respect to all matters covered by this Agreement. The County of Los Angeles, the U.S. Comptroller General and the Auditor General of the State of California shall have the authority to audit, examine and make excerpts ortranscripts from records, including all Subrecipient's invoices, materials, payrolls, records. of personnel, conditions of employment and other data relating to all matters covered by this Agreement. Subrecipient agrees to provide any reports requested by the County regarding performance of this Agreement. 6. Records Maintenance Records, in their original form, shall be maintained in accordance with requirements prescribed by the County of Los Angeles with respect to all matters specified in this Agreement. Original forms are to be maintained on file for all documents specified in this Agreement. Such records shall be retained for a period five (5) years after termination of this Agreement and after final disposition of all pending matters. "Pending matters" include, but are not limited to, an audit, litigation or other actions involving records. The County of Los Angeles may, at its discretion, take possession of, retain and audit said records. HOA.604306.1 15 Records, in their original form pertaining to matters covered by this Agreement, shall at all times be retained within the County of Los Angeles unless authorization to remove them is granted in writing by the County of Los Angeles. 7. Subcontracts and Procurement Subrecipient shall, as applicable, comply with the Federal, State and County of Los Angeles standards in the award of any subcontracts. For purposes of this Agreement, subcontracts shall include but not be limited to purchase agreements, rental or lease agreements, third party agreements, consultant service contracts and construction subcontracts. Subrecipient shall, as applicable, ensure that the terms of this Agreement with the County of Los Angeles are incorporated into all Subcontractor Agreements. The Subrecipient shall submit all Subcontractor Agreements to the County of Los Angeles for review prior to the release of any funds to the subcontractor. The Subrecipient shall withhold funds to any subcontractor agency that fails to comply with the terms and conditions of this Agreement and their respective Subcontractor Agreement. 8. Labor Subrecipient shall, as applicable, comply with the Intergovernmental Personnel Act of 1970 (42 U.S.C. §§4728-4763) relating to prescribed requirements for merit systems for programs funded under one of the 19 statutes or regulations specified in Appendix A of OPM's Standards for a Merit System Personnel Administration (5 C.F.R. 900, Subpart F). Subrecipient shall comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. §§276a to 276a-7), the Copeland Act (40 U.S.C. §276c and 18 U.S.C. §874), the Contract Work Hours and Safety Standards Act (40 U.S.C. §§327-333), regarding labor standards for federally -assisted construction subagreements, and the Hatch Act (5 USC §§1501-1508 and 7324-7328). Subrecipient shall, as applicable, comply with the Federal Fair Labor Standards Act (29 USC § 201) regarding wages and hours of employment. None of the funds shall be used to promote or deter Union/labor organizing activities. CA Gov't Code Sec. 16645 et sea. 9. Civil Rights Subrecipient shall, as applicable, comply with all Federal statutes relating to nondiscrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§1681- 1683, and 1685-1686), which prohibits HOA.604306.1 16 discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. §794), which prohibits discrimination on the basis of handicaps; (d) The Age Discrimination act of 1975, as amended (42 U.S.C. §§6101-6107), which prohibits discrimination on the basis of age; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (f) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation act of 1970 (P.L. 91-616) as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. §§290 dd-3 and 290 ee 3), as amended, relating to confidentiality of alcohol and drug abuse patient records; (h)'Title Vill of the Civil Rights Act of 1968 (42 U.S.C. §§3601 et seq.), as amended, relating to non-discrimination in the sale, rental or financing of housing; (i) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made; 0) the requirements of any other nondiscrimination statute(s) which may apply to the application; and (k) P.L. 93- 348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance. 10. Environmental Subrecipient shall, as applicable, comply, or has already complied, with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P.L. 91-646) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases. Subrecipient shall comply, as applicable, with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Executive Order (EO) 11514; (b) notification of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation offlood hazards in floodplains in accordance with EO 11988; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone'Management Act of 1972 (16 U.S.C. §§1451 et seq.); (f) conformity of Federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§7401 et seq.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended (P.L. 93-523); (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L. 93205); and (i) Flood Disaster Protection Act of 1973 §102(a): (P.L. 93-234). HOA.604306.1 17 Subrecipient shall, as applicable, comply with the Wild and Scenic Rivers Act of 1968 (16 U.S.C. §§1271 et seq.) related to protecting components or potential components of the national wild and scenic rivers system. Subrecipient shall, as applicable, comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§4801 et seq.) which prohibits the use of lead based paint in construction or rehabilitation of residence structures. Subrecipient shall, as applicable, comply with the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.) which restores and maintains the chemical, physical and biological integrity of the Nation's waters. Subrecipient shall, as applicable, ensure that the facilities under its ownership, lease or supervision which shall be utilized in the accomplishment of this project are not listed in the Environmental Protection Agency's (EPA) list of Violating Facilities and that it will notify the Federal Grantor agency of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA. By signing this Agreement, Subrecipient ensures that it is in compliance with the California Environmental Quality Act (CEQA), Public Resources Code §21000 et seq. Subrecipient shall, as applicable, comply with the Energy Policy and Conservation Act (P.L. 94-163, 89 Stat. 871). Subrecipient shall comply, as applicable, with the provision of the Coastal Barrier Resources Act (P.L. 97-348) dated October 19, 1982 (16 USC 3501 et. seq.) which prohibits the expenditure of most new Federal funds within the units of the Coastal Barrier Resources System. 11. Preservation Subrecipient shall, as applicable, comply with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. §470), EO 11593 (identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. §§469a-1 et seq.). 12. Suspension and Debarment Subrecipient shall, as applicable, comply with Title 28 C.F.R. Volume 67, Number 228, regarding Suspension and Debarment, and Subrecipient shall submit a Certification Regarding Debarment, attached here to as Exhibit B, required by Executive Order 12549 and any amendment thereto.. Said Certification shall be submitted to the County of Los Angeles concurrent with the execution of this Agreement and shall certify that neither Subrecipient nor its principals are presently debarred, suspended, proposed for debarment, HOA.604306.1 18 declared ineligible or voluntarily excluded from participation in this transaction by any Federal department head or agency. Subrecipient shall require that the language of this Certification be included in the award documents for all sub - award at all tiers and that all subcontractors shall certify accordingly. 13. Drug -Free Workplace Subrecipient shall, as applicable, comply with the federal Drug -Free Workplace Act of 1988, 41 USC §701, Title 28 Code of Federal Regulations (CFR) Part 67; the California Drug -Free Workplace Act of 1990, CA Gov't Code §§ 8350-8357, and Subrecipient shall complete the Certification Regarding Drug -Free Workplace Requirements, attached hereto,as Exhibit C, and incorporated herein by reference. Subrecipient shall require that the language of this Certification be included in the award documents for all sub -award at all tiers and that all subcontractors shall certify accordingly. 14. Lobbying Activities Subrecipient shall, as applicable, comply with 31 U.S.C.1352 and complete the Disclosure of Lobbying Activities, (OMB 0038-0046), attached hereto as Exhibit A, and incorporated herein by reference. 15. Miscellaneous Subrecipient shall, as applicable, comply with the Laboratory Animal Welfare Act of 1966, as amended (P.L. 89-544, 7 USC §§2131 et seq.). B. Statutes and Regulations Applicable To This Particular Grant Subrecipient shall comply with all applicable requirements of State and Federal laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this particular grant program. Subrecipient shall, as applicable, comply with new, amended, or revised laws, regulations, and/or procedures that apply to the performance of this Agreement. These requirements include, but are not limited to: Title 28 CFR Part 66; EO 12372; (Financial Management Guide US Department of Homeland Security Directorates Preparedness January 2006, Financial Guide; U.S. Department of Homeland Security, Office of State and Local Government Coordination and Preparedness, Office for Domestic Preparedness, ODP WMD Training Course Catalogue; and DOJ Office for Civil Rights. Standardized Emergency Management System (SEMS) requirements as stated in the California Emergency Services Act, Government Code Chapter 7 of Division 1 of Title 2, § 8607.1(e) and CCR Title 19, §§ 2445-2448. HOA.604306.1 19 Provisions of Title 2, 6, 28,44 CFR applicable to grants and cooperative agreements, including Part 18, Administrative Review Procedures; Part 20, Criminal Justice Information Systems; Part 22, Confidentiality of Identifiable Research and Statistical Information; Part 23, Criminal Intelligence Systems Operating Policies; Part 30, Intergovernmental Review of Department of Justice Programs and Activities; Part 35, Nondiscrimination on the Basis of Disability in State and Local Government Services; Part 38, Equal Treatment of Faith -based Organizations; Part 42, Nondiscrimination/Equal Employment Opportunities Policies and Procedures; Part 61, Procedures for Implementing the National Environmental Policy Act;, Part 63, Floodplain Management and Wetland Protection Procedures; Part 64, Floodplain Management and Wetland Protection Procedures; Federal laws or regulations applicable to Federal Assistance Programs; Part 69, New Restrictions on Lobbying; Part 70, Uniform Administrative Requirements for Grants and Cooperative Agreements (including sub -awards) with Institutions of Higher Learning, Hospitals and other Non -Profit Organizations; and Part 83, Government -Wide Requirements for a Drug Free Workplace (grants). Nondiscrimination requirements of the Omnibus Crime Control and Safe Streets Act of 1968, as amended, 42 USC 3789(d), or the Juvenile Justice and Delinquency Prevention Act, or the Victims of Crime Act, as appropriate; the provisions of the current edition of the Office of Justice Programs Financial and Administrative Guide for Grants, M7100.1, and all other applicable Federal laws, orders, circulars, 'or regulations. 2. Travel Expenses Subrecipient, as provided herein, shall be compensated for Subrecipient's reasonable travel expenses incurred in the performance of this Agreement, to include travel and per diem, unless otherwise expressed. Subrecipient's total travel for in -State and/or out -of -State and per diem costs shall be included in the contract budget(s). All travel including out -of -State travel not included in the budget(s) shall not be reimbursed without prior written authorization from the County of Los Angeles. Subrecipient's administrative -related travel and per diem reimbursement costs shall be reimbursed based on the Subrecipient's policies and procedures. For programmatic -related travel costs, Subrecipient's reimbursement rates shall not exceed the amounts established by the County of Los Angeles. 3. Noncompliance Subrecipient understands that failure to comply with any of the above assurances may result in suspension, termination or reduction of grant funds, and repayment by the Subrecipient to the County of Los Angeles of any unauthorized expenditures. HOA.604306.1 20 C. Compliance With Grant Requirements To obtain the grant funds, the State required an authorized representative of the County of Los Angeles to sign certain promises regarding the way the grant funds would be spent. These requirements are included in the 2008 Program Guidance and Application Kit and in the "Grant Assurances", attached hereto as Exhibit G. By signing these Grant Assurances and accepting the Program Guidances, the County of Los Angeles became liable to the State for any funds that are used in violation of the grant requirements. Subrecipient shall be liable to the Grantor for any funds the State determines that Subrecipient used in violation of these Grant Assurances. Subrecipient shall indemnify and hold harmless the County of Los Angeles for any sums the State or Federal government determines Subrecipient used in violation of the Grant Assurances. §412. Federal, State and Local Taxes Federal, State and local taxes shall be the responsibility of the Subrecipient as an independent party and not of the County of Los Angeles and shall be paid prior to requesting reimbursement. However, these taxes are an. allowable expense under the grant program. §413. Inventions, Patents and Copyrights A. Reporting Procedure for Inventions If any project produces any invention or discovery (Invention) patentable or otherwise under Title 35 of the U.S. Code, including, without limitation, processes and business methods made in the course of work under this Agreement, the Subrecipient shall report the fact and disclose the Invention promptly and fully to the County of Los Angeles. The County of Los Angeles shall report the fact and disclose the Invention to the State. Unless there is a prior agreement between the County of Los Angeles and the State, the State shall determine whether to seek protection on the Invention. The State shall determine how the rights in the Invention, including rights under any patent issued thereon, will be allocated and administered in order to protect the public interest consistent with the policy ("Policy") embodied in the Federal Acquisition Regulations System, which is based on Ch. 18 of title 35 U.S.C. Sections 200 et seq. (Pub. L. 95- 517, Pub. L. 98-620, Title 37 CFR Part 401); Presidential Memorandum on Government Patent Policy to the Heads of the Executive Departments and Agencies, dated 2/18/1983); and Executive Order 12591, 4/10/87, 52 FR 13414, Title 3 CFR, 1987 Comp., p. 220 (as amended by Executive Order 12618, 12/22/87, 52 FR 48661, Title 3 CFR, 1987 Comp., p. 262). Subrecipient hereby agrees to be bound by the Policy, and will contractually require its personnel to be bound by the Policy. B. Rights to Use Inventions County of Los Angeles shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon; and allow others to do so for all government purposes, any Invention developed under this Agreement. HOA.604306.1 21 C. Copyright Policy 1. Unless otherwise provided by the terms of the State or of this Agreement, when copyrightable material (Material) is developed under this Agreement, the County of Los Angeles, at the County's discretion, may copyright the Material. If the County of Los Angeles declines to copyright the Material, the County of Los Angeles shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon, and allow others to do so for all government purposes, any Material developed under this Agreement.. 2. The State shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon, and allow others to do so for all government purposes, any Material developed under this Agreement or any Copyright purchased under this Agreement. 3. Subrecipient shall comply with Title 24 CFR 85.34. D. Rights to Data The State and the County of Los Angeles shall have unlimited rights or copyright license to any data first produced or delivered under this Agreement. "Unlimited rights" means the right to use, disclose, reproduce, prepare derivative works, distribute copies to the public, and perform and display publicly, or permit others to do so; as required by Title 48 CFR 27.401. Where the data are not first produced under this Agreement or are published copyrighted data with the notice of 17 U.S.C. Section 401 or 402, the State acquires the data under a copyright license as set forth in Title 48 CFR 27.404(f)(2) instead of unlimited rights. (Title 48 CFR 27.404(a)). E. Obligations Binding on Subcontractors Subrecipient shall require all subcontractors to comply with the obligations of this section by incorporating the terms of this section into all subcontracts. §414. Child Support Assignment Orders Under the terms of this Agreement, Subrecipient shall comply with California Family Code Section 5230 et seq. as applicable. §415. Minority, Women, And Other Business Enterprise Outreach Program It is the policy of the County of Los Angeles to provide Minority Business Enterprises, Women Business Enterprises and all other business enterprises an equal opportunity to participate in the performance of all. Subrecipient's contracts, including procurement, construction and personal services. This policy applies to all the Subrecipient's contractors and sub -contractors.. HOA.604306.1 22 SECTION V DEFAULTS, SUSPENSION, TERMINATION AND AMENDMENTS §501. Defaults Should either party fail for any reason to comply with the contractual obligations of this Agreement within the time specified by this Agreement, the non -breaching party reserves the right to terminate the Agreement, reserving all rights under State and Federal law. §502. Amendments Any change in the terms of this Agreement, including changes in the services to be performed by Subrecipient, which are agreed to by the Subrecipient and County of Los Angeles must be incorporated into this Agreement by a written amendment properly executed and signed by the person authorized to bind. the parties thereto. Any increase or decrease in the grant amount specified in §301 A., above, shall not require a written amendment to this Agreement. SECTION VI ENTIRE AGREEMENT §601. Complete Agreement This Agreement contains the full and complete Agreement between the two parties. Neither verbal agreement nor conversation with any officer or employee of either party shall affect or modify any of the terms and conditions of this Agreement. §602. Number of Pages and Attachments This Agreement may be executed in two (2) duplicate originals, each of which is deemed to be an original. This Agreement includes (22) pages and (7) Exhibits which constitute the entire understanding and agreement of the parties. HOA.604306.1 23 IN WITNESS WHEREOF, the Subrecipient and County of Los Angeles have caused this Agreement to be executed by their duly authorized representatives. COUNTY OF LOS ANGELES By WILLIAM T FUJIOKA Chief Executive Officer By SACHI A. HAMAI Executive Officer, Board of Supervisors APPROVED AS TO FORM ROBERT E. KALUNIAN Acting County Counsel BY Principal Deputy County Counsel BY City Representative/Title APPROVED AS TO FORM BY City Attorney ATTEST BY City Clerk Date By WENDY L. WATANABE Auditor -Controller Date Date Date HOA.604306.1 24 EXHIBITS Exhibit A Certification and Disclosures Regarding Lobbying Exhibit B Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion. Lower Tier Covered Transactions and Exhibit C Certification Regarding Drug -Free Workplace Exhibit D Final Grant Award Letter and Worksheets Exhibit E Allowable Cost Matrix Exhibit F Reimbursement Request Checklist and Form Exhibit G Grant Assurances HOA,604306.1 1 DISCLOSURE OF LOBBYING ACTIVITIES Complete this form to disclose lobbying activities pursuant to 31 U.S.C. 1352 (See reverse Mr ntihlic hi irrlan rlicr•lnem irn Exhibit A Approved by OMB 0348-0046 1. Type of Federal Action: 2. Status of Federal Action: 3. Report Type: aa. contract g]a. bid/offer/application KI a. initial filing b. grant - b. initial award b. material change c. cooperative agreement c. post -award For Material Change Only: d. loan year quarter e. loan guarantee date of last report f. loan insurance 4. Name and Address of Reporting Entity: 5. If Reporting Entity in No. 4--is a Subawardee,-Enter- Name Prime 0 subawardee and Address of Prime: Tier if known: County of Los Angeles City of Vernon 500 W. Temple 4305 Santa Fe Avenue Room 754' Vernon, CA 90058 Los Angeles, CA 90012 Congressional District, if known: 4c 34 Congressional District, if known: 6. Federal Department/Agency: 7. Federal Program Name/Description: Homeland Security State Homeland Security Grant Program CFDA Number, if applicable: 97.067 8. Federal Action Number, if known: 9. Award Amount, if known: 10. a. Name and Address of Lobbying Registrant b. Individuals Performing Services (including address if (if individual, last name, first name, Ml): different from No. 10a)' N/A (last name, firstname, Ml): 11, Information requested through this form Is authorized by titre 31 U.S.C. section 1352. This disclosure of lobbying activities is a material representation of fact Signature: g upon which reliance was placed by the tier above when this transaction was made or entered Into. This disclosure Is required pursuant to 31 U.S.C. 1352.. This Print Name: information will be available for public inspection. Any person who fails to file the required disclosure shall be subject to a dvil penalty of not less than $10,600 and Title: ' not more than $100,000 for each such failure. J Telephone No.: Date: MOMMEMMEMEMMEMEME EAulhrizedforLocalReard Form LLL (Rev: Z-97) INSTRUCTIONS FOR COMPLETION OF SF-LLL, DISCLOSURE OF LOBBYING ACTIVITIES This disclosure form shall be completed by the reporting entity, whether subawardee or prime Federal recipient, at the initiation or receipt of a covered Federal action, or a material change to a previous filing, pursuant to title 31 U.S.C, section 1352. The filing of a form is required for each payment or agreementto make payment to any lobbying entity for influencing or attempting to influence an officer or employeeof any agency, a Member of Congress, an officer or employeeof Congress, or an employeeof a Memberof Congress in connectionwith a covered Federal action. Completeall items that applyfor both the initial filing and material change report. Refer to the implementing guidance published by the Office of Management and Budget for additional information. 1. Identify the type of covered Federal action for which lobbying activity is and/or has been secured to influence the outcome of a covered Federal action 2. Identify the status of the covered Federal action. 3. Identify the appropriate classification of this report. If this is a followup report caused by a material change to the information previously reported, enter the year and quarter in which the change occurred. Enter the date of the last previously submitted report by this reporting entity for this covered Federal action. 4. Enter the full name, address, city, State and zip code of the reporting entity. Include Congressional District, If known. Check the appropriate classification of the reporting entity that designates if It is, or expects to be, a prime or subaward recipient. Identifythe tier of the subawardee, e.g., the first subawardee of the prime is the 1st tier. Subawards include but are not limited to subcontracts, subgrants and contract awards under grants. 5. If the organization filing the report in item 4 checks "Subawardee," then enter the full name, address, city, State and zip code of the prime Federal recipient. Include Congressional District, if known. 6. Enter the name of the Federal agency making the award or loan commitment. include at least one organizationallevel below agency name, if known. For example, Department of Transportation, United States Coast Guard. 7. Enter the Federal program name or description for the covered Federal action (item 1). if known, enter the full Catalog of Federal Domestic Assistance (CFDA) number for grants, cooperative agreements, loans, and loan commitments. 8. Enter the most appropriate Federal identifying number available for the Federal action identified in item 1 (e.g., Request for Proposal (RFP) number; Invitation for Bid (IFB) number; grant announcement number; the contract, grant, or loan award number; the application/proposal control number assigned by the Federal agency). include prefixes, e.g., "RFP-DE-90-001 " 9. For a covered Federal action where there has been an award or loan commitment by the Federal agency, enter the Federal amount of the award/loan commitment for the prime entity identified in item 4 or 5. 10. (a) Enter the full name, address, city, State and zip code of the lobbying registrant under the Lobbying Disclosure Act of 1995 engaged by the reporting entity identified in item 4 to Influence the covered Federal action. (b) Enter the full names of the individual(s) performing services, and include full address if different from 10 (a). Enter Last Name, First Name, and . Middle Initial (MI). 11. The certifying official shall sign and date the form, print his/her name, title, and telephone number. According to the Paperwork Reduction Act, as amended, no persons are required to respond to a collection of information unless it displays a valid OMB Control Number. The valid OMB control number for this information collection is OMB No. 0348-0046. Public reporting burden for this collection of information is estimated to average 10 minutes per response, including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Office of Managementand Budget, Paperwork Reduction Project (0348-0046). Washington, DC 20503. EXHIBIT B CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND VOLUNTARY EXCLUSION LOWER TIER COVERED TRANSACTIONS This certification is required by the regulations implementing Executive Order 12549, Debarment and Suspension, 24 CFR Par t 24 Section 24.510, Participants' responsibilities. (READ ATTACHED INSTRUCTIONS FOR CERTIFICATION BEFORE COMPLETING) 1. The prospective recipient of Federal assistance funds certifies that neither it nor its principals are presently debarred, suspended,. proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department or agency. 2. Where the prospective recipient of Federal assistance funds is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal. 'AGREEMENT NUMBER CONTRACTOR/BORROWER/AGENCY NAME AND TITLE OF AUTHORIZED REPRESENTATIVE SIGNATURE DATE INSTRUCTIONS FOR CERTIFICATION 1. By signing and submitting this document, the prospective recipient of Federal assistance is providing the certification as set out below. 2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If tit is later determined that he prospective recipient of Federal assistance funds knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. 3. The prospective recipient of Federal assistance funds .shall provide immediate written notice to the person to which this agreement is entered, if at any time the prospective recipient of Federal assistance funds learns that its certification was erroneous, when submitted or has become erroneous by reason of changed circumstances. 4. The terms "covered transaction," "debarred," "suspended," "ineligible," "lower tier covered transaction," "participant," "person," primary covered transaction," 'principal," "proposal," and "voluntarily excluded," as used in this clause, have the meanings set out in the Definitions and Coverage sections of rules implementing Executive Order 12549. 5. The prospective recipient of Federal assistance funds agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is -debarred, suspended, declared ineligible, or voluntarily excluded from participation on this covered transaction, unless authorized by the department or agency with which this transaction originated. 6. The prospective recipient of Federal assistance funds further agrees by submitting this proposal that it will include the clause titled "Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion Lower Tier Covered Transactions," without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions. 7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction, unless it knows that the certification is erroneous. A participant may decide the method and frequency by which it determines the eligibility of its principals. Each participant may, but is not required to, check the List of Parties Excluded from Procurement or Non Procurement Programs. 8. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings. 9. Except for transactions authorized under Paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is suspended, debarred, ineligible, or voluntary excluded form participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. EXHIBIT C CERTIFICATION REGARDING DRUG -FREE WORKPLACE ACT REQUIREMENTS The Contractor certifies that it will provide a drug -free workplace, in accordance_ with State law and State Employment Development Department (EDD) Directive No. D907 by: 1. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the Contractor's workplace and specifying the actions that will be taken against employees for violation of such prohibition. 2. Establishing a drug -free awareness program to inform employees about: a. The dangers of drug abuse in the workplace; b. The Contractor's policy of maintaining a drug -free workplace; c. Any available drug counseling, rehabilitation and employee assistance programs; and d. The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace. 3. Making it a requirement that each employee to be engaged in the performance of this program be given a copy of the statement required by paragraph 1.above. 4. Notifying the employee in the statement required by paragraph 1. that, as a condition of employment under this program, the employee will: a. Abide by the terms of the statement, and b. Notify the Contractor of any criminal drug statute convictions for a violation occurring in the workplace no later than five days after such';conviction. 5. Notifying the County within ten days after receiving notice under subparagraph 4.b. from an :employee or otherwise receiving actual notice of such conviction. - 6. Taking one of the following actions, within 30 days of receiving notice under subparagraph 4.b. with respect to any employee who is so convicted by taking appropriate personnel action against such an employee, up to and including termination. 7. Making a good faith effort to continue to maintain a drug -free workplace through implementation of the provision of this certification. CONTRACTOR/AGENCY NAME AND TITLE OF AUTHORIZED REPRESENTATIVE SIGNATURE OF AUTHORIZED REPRESENTATIVE MAR 13 2009 CALIFORNIA EMERGENCY MANAGEMENT AGENCY March.3, 2009 Mr. Michael Brooks Los Angeles County 1275 North Eastern Ave. Los Angeles, CA 90063 Subject: NOTIFICATION OF CONDITIONAL HOLD REMOVAL. FY2008 Homeland Security Grant Program (HSGP) Grant #2008-0006, OES ID# 037-00000 Subgrantee Performance Period: October 23, 2008 to May 31, 2011 Dear Mr. Brooks: The California Emergency Management Agency (CaIEMA) has removed the "Conditional Hold" placed on your FY2008 Homeland Security Grant Program (HSGP) award. Thank you'for submitting the necessary documentation to remove this restriction from your grant award. Please begin submitting requests for reimbursements :effective the date of this letter. As stated in your FY08 award letter, performance milestones will be used by CalEMA to both determine the appropriate date to disencumber funds awarded under this grant and re -direct them to other needs across the State, and as indicators of perfoiYnance and grant management capacity in future competitive grant applications. The performance milestones for the above -mentioned grant are listed here: Performance Milestones: Amount Comaletion Date A PREPAREDNESS PLANNING $ 135,000 03/31/10 B • LA RICS $2,000,000 03/31/10 C IEDTRAINING $1,185,000 03/31/10 C LED EQUIPMENT $2,420,000 03/31/10 E INFO GATHERING EQUIP $ 760,000 03/31/10 D IN oP Comm $1,900,000 03/31/10 F MMRS EQUIP & LEASE $ 183,000 03/31/10 F MMRS PLANNING $ 37,000 03/31/10 G RTTAC EQUIP $ 125,000 03/31/10 We look forward to working with you throughout the upcoming.grant year. For further assistance, please contact your CalEMA Program Representative or the Grant Management Division at (916) 324-8908. Sincerely, MATTHEW BETTENHAUSEN Secretary GOVERNOR ARNOLD SCHWARZENEGGER • SECRETARY -MATT BETTENHAUSEN SACRAMENTO, CALIFORNIA 95814 (916) 324-8908 • FAX (916) 323-9633 Allocation by Sub -Recipient 2008 SHSGP Cities Amount Arcadia $202,520 Avalon 140,725 Azusa 25,012 Bell 23,112 Bell Gardens 23,112 Burbank 90,333 Claremont 42,802 Covina 23,112 Culver City 516,044 Downey 179,881 El Monte 317,700 Glendale 401,917 Glendora 23,112 Hawthorne 826,350 Hermosa Beach 33,774 Irwindale 23,112 La Verne 95,693 Long Beach 401,917 Los Angeles 210,390 Manhattan Beach 117,530 Monrovia 146,826 Montebello 283,699 Monterey Park 22,628 Pasadena 782,950 Pomona 265,000 Redondo Beach 126,334 San Gabriel 118,681 San Marino 56,290 Santa Fe Springs 275,843 Santa Monica 90,333 Sierra Madre 45,032 South Pasadena 270,790 Torrance 113,445 Vernon 98,312 West Covina 171,348 Whittier 25,012 Sub -Total Cities $6,610,671 Countv Departments Coroner $75,000 Fire Department 1,864,023 Health Services 461,584 OEM 2,039,487 Safety Police 894,374 Sheriffs Department 11,371,068 Sub -Total County $16,705,536 Grant Total $23,316,207 Exhibit E U.S. DEPARTMENT OF HOMELAND SECURITY I HOMELAND SECURITY GRANT PROGRAM APPENDIX B. AUTHORIZED ALLOWABLE COSTS FY 20013 Allnwahlp Cncf Matrix Ilow U.S. DEPARTMENT OF HOMELAND SECURITY I HOMELAND SECURITY GRANT PROGRAM U.S. DEPARTMENT OF HOMELAND SECURITY I HOMELAND SECURITY GRANT PROGRAM Exhibit F REQUIRED SUPPORTING DOCUMENTS FOR CLAIM REIMBURSEMENT FOR EQUIPMENT: ❑ Grant Reimbursement Form with authorized signature. and date ❑ Invoice: Must be stamped or write "PAID", signed with authorized signature for payment, and dated. Circle, or designate on the invoice/receipt the items requesting reimbursement. Each item circled must have a project #, a funding SOURCE, and TOTAL. Purchase orders and. price quotes will not be acceptedas proof of purchase. for. reimbursement. ❑ Purchase Method ❑ Competitive bid ❑ Sole Source (Prior State approval. attached) Invoice. NO.: ❑ Reviewed Federal Debarment Liitinu:..htto:/Avww.epls.gov/epis/Search.do ❑ No.. _ Q'es, screen listing is attached. Equipment Inventory Listing, completed the listing with all requested information, including: Project # & alpha, Equipment Description, ❑ AEL #, AEL Title, Invoice #, Vendor, Total Cost Fisher Prime Vendor, Total Cost, Cash Request #, Invoice Date, Acquired Date, Serial #/ ID Tag #t, Condition and Disposition, Deployed Location and Grant Year. FOR TRAINING/EXERCISE: ❑ Grant Reimbursement Form with Authorized Signature and date Trainina/Exercise Summary Sheet completed listing including: employee name, assignment (backfill for name of employee attending ❑ training/exercise), Job Title, Training Request It, Training date, Salary, total Hours, Overtime hours, regular rate, Overtime rate, employee benefits, rate, total claim amount. •. For Training -TR#. is. required •. For Exercise —. submit AAR into. the ODP Portal. within 60. days of event ❑ Timecards:. indicating the.#of hours charged, per. day, employee signature& supervisor signature ❑ Payroll reuister. indicating the. salary, hourly rate, employee. benefits, Overtime. rate. Si n•In sheets or attendance sheets or Certificate of Completion (if claiming for Backfill and/or Overtime); if sign -in sheets or certificates ❑ are not available, trainees should provide their your own proof of attendance by completing their own sign -in sheet and have the Trainer sign the. sheet indicating proof of. attendance_ Additional items: Travel —Receipts are required for itemized costs such as plane ticket/invoice, hotel invoices and training receipts with the dates of invoices agreeing with the. training period.. Workshop —Invoices. for instructor, facilities, contractor and consulting services. ,K=00Z G_AN .. Under. Penalty, of. Perjury I cerlify. that -I am the dulyauthortzed officer otthe claimant herein. . ,Thisclaim Is. in. all respect true, correct, and all expenditures were made, ..In accordance with applicable laws, rules, regulations. and grant conditions and assurances. 07HSGP Reimburnepkt 1120.x1s process. your reimbursement request, you. must submit the. checklist and. attach. the. required, supporting documents. for all. items requesting mbursement.. invoices. must be submitted. to. Shared. Services Division as. soon .as, expenses. are incurred. and. therequired. invoice/supporting :umentation is available Do NOT I accumu ate and. submit all. claims and. Invoices. on. the final. due date.. Failure to submit your claim in. a. timely manner the required. supporting documents. could. result in unreimburseable. expenses and. reallocated. awards. DATE MAKE CHECKS PAYABLE TO: MAIL TO: CITY, ZIP PHONE# CITY, ZIP Under Penalty. of. Perjury. I certify. that: -. I am.the duly authorized. officer. of.the. claimant herein. -.This claim. is, in. all: respect true, correct,.and. all expenditures were made, An. accordance with. applicable laws, rules, regulations and. grant conditions and assurances. SHSP - State Homeland Secunty Program TAXPAYERID# E-mail MMRS- Metropolitan Medical Response System RTTAC - Regional Terrorism Threat Assessment Centers Please.fax reimbursement requeststo:.. . SHARED SERVICES DIVISION Attn:.. GRANTS UNIT Fax (213) 947-5809 Invoice # Project # (e.g. 41 - C) Solution Area TOTAL BY FUNDING SOURCE TOTAL CLAIM. SHSP MMRS RTTAC 0.00 0.00 TOTALS 0.00 0.00 0.00 0.00 Exhibit G Name of Applicant: Address: City: Telephone Number: E-Mail Address: Office. of Homeland Security FY08 Grant Assurances. (All. HSGP. Applicants). State: Zip Code: Fax Number: As the duly authorized representative of the applicant, I certify that the applicant named above: 1. Has the legal authority to apply for federal assistance, and has the institutional, managerial and financial capability to ensure proper planning, management and completion of the grant provided by the federal Department of Homeland Security and sub -granted through the State of California, Governor's Office of Homeland Security (OHS). 2. - Will assure that grant funds are only used for allowable, fair, and reasonable costs and is prohibited from transferring funds between programs (State Homeland Security Program, Urban Area Security Initiative, Citizen Corps Program, and Metropolitan Medical Response System). 3. Will give the federal government, the General Accounting Office, the Comptroller General of the United States, the State of California, through any authorized representative, access to and the right to examine all paper or electronic records, books, papers, or documents related to the award; and will establish a proper accounting system in accordance with generally accepted accounting standards or awarding agency directives. 4. Agrees that funds utilized to establish or enhance state and local fusion centers must support the development of a statewide fusion process that corresponds with the Global Justice/Homeland Security Advisory Council (HSAC) Fusion Center Guidelines and achievement of a baseline level of capability as defined by the Fusion Capability Planning Tool 5. Will provide progress reports and such other information as may be required by the awarding agency, including the Initial Strategy Implementation Plan (ISIP) within 45 (forty-five) days of the award, and update via a report in the Grant Reporting Tool (GRT) twice each year. 6. Will initiate and complete the work within the applicable time frame after receipt of approval from OHS. 7. Will comply with FEMA's codified regulation 44 Part 13, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments, including part 13.1 regarding the payment of interest earned on advances. Page.1 Initials 8. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the appearance of personal or organizational conflict of interest, or personal gain for themselves or others, particularly those with whom they have family, business or other ties. 9. Agrees that to the extent contractors or subcontractors are utilized, grantees and subgrantees shall use small, minority, women -owned, or disadvantaged business concerns and contractors or subcontractors to the extent practicable. 10. Will comply with 2 CFR 215.25, and will notify OHS of any developments that have a significant impact on award -supported activities, including changes to key program staff. 11. Will comply, if applicable, with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§ 4801 et seq.) which prohibits the use of lead based paint in construction or rehabilitation of residence structures. 12. Understands and agrees Federal funds will not be used, directly or indirectly, to support the enactment, repeal, modification or adoption of any law, regulation, or policy, at any level of government, without the express prior written approval from FEMA. 13. Will comply with all federal statues relating.to Civil Rights and Nondiscrimination. These include but are not limited to: a. Title VI of the Civil Rights Act of 1964 (P.L. 88-352), as amended, which prohibits discrimination on the basis of race, color or national origin. b. Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§ 1681-1683 and 1685-1686), which prohibits discrimination on the basis of gender. c. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794) which prohibits discrimination on the basis of handicaps. d. The Age Discrimination Act of 1975,. as amended (42 U.S.C. §§ 6101-6107) which prohibits discrimination on the basis of age. e. The Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255) as amended, relating to nondiscrimination on the basis of drug abuse. f.. The Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 91-616), as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; g. §§ 523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. 290 dd-3 and 290 ee-3), as amended, relating to confidentiality of alcohol and drug abuse patient records. h. Title VIII of the Civil Rights Act of 1968 (42 U.S.C. § 3601 et seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing. i. Title 28; Code of Federal Regulations, Part 42, Subparts C, D, E and G. j. Title 28, CFR, Part 35. k. Any other nondiscrimination provisions in the specific statutes) under which application for federal assistance is being made, and 1. Title 44 CFR Parts 7, 16, and 19 relating to nondiscrimination. in. The requirements on any other nondiscrimination statute(s) which may apply to the application. n. Will, in the event a Federal or State court or Federal or State administrative agency makes a finding of discrimination after a due process hearing on the grounds or race, color, religion, national origin, gender, or disability against a recipient of funds, the recipient will forward a copy of the finding to the Office of Civil, Rights, Office of Justice Programs. Page.2 Initials.. o. Will provide an Equal Employment Opportunity Plan, if applicable, to the Department of Justice Office of Civil Rights within 60 days of grant award. P. Will comply, and assure the compliance of all its subgrantees and contractors, with the nondiscrimination requirements of the Omnibus Crime Control and Safe Streets Act of 1968, as amended, 42 USC 3789(d), or the Juvenile Justice and Delinquency Prevention Act, or the Victims of Crime Act, as appropriate; the provision of the current edition of the Office of Justice Programs Financial and Administrative Guide for Grants, M7100.1. 14. Will comply, or has already complied, with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42. U.S.C.. §. 4601. et seq. (P.L. 91-646) which provides for fair and equitable treatment of persons displaced or whose property is acquired as a result of federal or federally assisted programs. These requirements apply to all interested in real property acquired for project purposes regardless of federal participation in purchases. Will also comply with Title 44 Code of Federal Regulations, Part 25, Uniform Relocation Assistance and Real Property Acquisition for Federal and federally -assisted programs. 15. Will comply, if applicable, with the flood insurance purchase requirements of Section 102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is $10,000 (ten thousand dollars) or more. 16. Will comply with all applicable Federal, State, and local environmental and historical preservation (EHP) requirements. Failure to meet Federal, State, and local EHP requirements and obtain applicable permits may jeopardize Federal funding. Will comply with all conditions placed on any project as the result of the EHP review; any change to the scope of work of a project will require re-evaluation of compliance with these EHP requirements. 17. Agrees not to undertake any project having the potential to impact the EHP resources without the prior written approval of FEMA/OHS, including but not limited to communications towers, physical security enhancements, new construction and modifications to buildings that are 50 (fifty) years old or more. Any construction related activities initiated prior to full environmental and historic preservation (EHP) review will result in a non-compliance finding. If ground disturbing activities occur during the project implementation, the recipient must ensure monitoring of the ground disturbance and if any potential archeological resources are discovered, the recipient will immediately cease activity in that area and notify OHS/FEMA and the appropriate State Historic Preservation Office. 18. Will ensure that the facilities under its ownership, lease or supervision which shall be utilized in the accomplishment of this project are not listed in the Environmental Protection Agency's (EPA) list of Violating Facilities, and will notify OHS and the Federal Grantor agency of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA. 19. Will provide any information requested by FEMA/OHS to insure compliance with applicable laws including the following: a. Institution of environmental quality control measures under the National Environmental Policy Act, National Historical Preservation Act, Archaeological and Historic Preservation Act, Endangered Species Act, and Executive Orders on Floodplains Page. 3 Initials. (EO11988), Wetlands (11990) and Environmental Justice (12898) and Environmental Quality (EO11514). b. Title 44 CFR Parts 9 and 10, referencing floodplain management and environmental considerations. c. Notification of violating facilities pursuant to EO 11738. d. Assurance of project consistency with the approved state management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§ 1451 et seq.). e. Conformity of federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. § 7401 et seq.). f. Protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended, (P.L. 93-523). g. California Environmental Quality Act (CEQA). California Public Resources Code Sections 21080-21098. California Code of Regulations, Title 14, Chapter 3 Section 15000-15007. h. Wild and Scenic Rivers Act of 1968 (16 U.S.C. §§ 1271 et.seq.) related to protecting components or potential components of the national wild and scenic rivers system. i. Applicable provisions of the Coastal Barrier Resources Act (P.L. 97-348) dated October 19, 1982 (16 USC 3501 et seq.) which prohibits the expenditure of most new Federal funds within the units of the Coastal Barrier Resources System. j. Will comply with all conditions placed on any project as the result of the EHP review; any change to the scope of work. of a project will require re-evaluation of compliance with these EHP requirements. L Agrees not to undertake any project having the potential to impact the EHP resources without the prior written approval of FEMA/OHS, including but not limited to communications towers, physical security enhancements, new construction and modifications to buildings that are 50 (fifty) years old or more. 20. Will comply with Standardized Emergency Management System (SEMS) requirements as stated in the -_California Emergency Services Act, Government Code, Chapter 7 of Division 1 of Title 2, Section 8607.1(e) and CCR Title 19, Sections 2445, 2446, 2447 and 2448. 21. Agrees that all publications created or published with funding under this grant shall prominently contain the following statement: "This document was prepared under a grant from FEMA's Grant Programs Directorate, U.S. Department of Homeland Security. points of view or opinions expressed in this document are those of the authors and do not necessarily represent the q cial position or policies of FEMA's Grant Programs Directorate or the U.S. Department of Homeland Security. "The recipient also agrees that, when practicable, any equipment purchased with grant funding shall be prominently marked as follows: "Purchased with funds provided by the U.S Department of Homeland Security." 22. Has requested through the State of California, federal financial assistance to be used to perform eligible work approved in the submitted application for federal assistance and after the receipt of federal financial assistance, through the State of California, agree to the following: a. Promptly return to the State of California all the funds received which exceed the approved, actual expenditures as accepted by the federal or state government. b. In the event the approved amount of the grant is reduced, the reimbursement applicable to the amount of the reduction will be promptly refunded to the State of California. c. Separately account for interest earned on grant funds, and will return all interest earned, in excess of $100 per federal fiscal year. Page. 4 Initials. 23. Will comply with the Intergovernmental Personnel Act of 1970 (42 U.S C. Sections 4728-4763) relating to prescribed standards for merit systems for programs funded under one of the nineteen statutes or regulations specified in Appendix A of OPM's Standards for a Merit System of Personnel Administration (5 C.F.R. 900, Subpart F). 24. Will comply with provisions of the Hatch Act (5 U.S.C. Sections 1501-1508 and 7324-7328) which limit the political activities of employees whose principal employment activities are funded in whole or in part with federal funds. 25. Will comply, if applicable, with P.L. 93-348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance. 26. Will comply, if applicable, with the Laboratory Animal Welfare Act of 1966 (P. L. 89-544, as amended, 7 U.S.C. 2131 et seq.) pertaining to the care, handling, and treatment of warm blooded animals held for research, teaching, or other activities supported by this award of assistance. 27. Will comply with the minimum wage and maximum hour provisions of the Federal Fair Labor Standards Act (29 U.S.C. 201), as they apply to employees of institutions of higher education, hospitals, and other non-profit organizations. 28. Will comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. Section 276a to 276a-7), the Copeland Act (40 U.S.C. Section 276c and 18 U.S.C. Sections 874),.and the Contract Work Hours and Safety Standards Act (40 U.S.C. Sections 327-333), regarding labor standards for federally assisted construction sub -agreements. 29. Agrees that: a. No federal appropriated funds -have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a Member of Congress in connection with the making of any federal grant, the entering into of any cooperative agreement, and the extension, continuation, renewal, amendment, or modification of any federal grant or cooperative agreement. b. If any other funds than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or an employee of Congress, or employee of a Member of Congress in connection with the federal grant or cooperative agreement, the undersigned shall complete and submit Standard Form LLL, "Disclosure of Lobbying Activities," in accordance with its instructions. c. The undersigned shall require that the language of this certification be included in the award documents for all sub awards at all tiers including subgrants, contracts under grants and cooperative agreements, and subcontract(s) and that all sub recipients shall certify and disclose accordingly. d. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a .prerequisite for making or entering into this transaction imposed by section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. 30. Agrees that equipment acquired or obtained with grant funds: a. Will be made available pursuant to applicable terms of the California Disaster and Civil Defense Master Mutual Aid Agreement in consultation with representatives of the Page 5 Initials. various fire, emergency medical, hazardous materials response services, and law enforcement agencies within the jurisdiction of the applicant, and deployed with personnel trained in the use of such equipment in a manner consistent with the California Law Enforcement Mutual Aid Plan or the California Fire Services and Rescue Mutual Aid Plan. b. Is consistent with needs as identified in the State Homeland Security Strategy and will be deployed in conformance with that Strategy. 31. Agrees that funds awarded under this grant will be used to supplement existing funds for program activities, and will not supplant (replace) non-federal funds. 32. Will comply with all applicable Federal statutes, regulations, policies, guidelines and requirements, including OMB Circulars A-21, A=87, A102, A-110, A-122, and A-133, E.O. 12372 and the current Administrative. Requirements, Cost Principles, and.Audit Requirements. Will also comply with Title 28, Code of Federal Regulations, Parts 66 and 70, that govern the application, acceptance and use of Federal funds for federally assisted projects. 33. Will comply with provisions of 28 CFR applicable to grants and cooperative agreements, Including: a. Part 18, Administrative Review Procedures. b. Part 20, Criminal Justice Information Systems. c. Part 22, Confidentiality of Identifiable Research and Statistical Information. d. Part 23, Criminal Intelligence Systems Operating Policies. e. Part 30, Intergovernmental Review of Department of Justice Programs and Activities. f. Part 35, Nondiscrimination on the Basis of Disability in State and Local Government Services. g. Part 38, Equal Treatment of Faith -based Organizations. h. Part 63, Floodplain Management and Wetland Protection Procedures. i. Part 42, Nondiscrimination/Equal Employment Opportunities Policies and Procedures. j. Part 61, Procedures for Implementing the National Environmental Policy Act. k. Part 64, Floodplain Management and Wetland Protection Procedures; and Federal laws or regulations applicable to Federal Assistance Programs. 1. Part 66, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments. in. Part 67, Government -Wide Debarment and Suspension (Non -Procurement). n. Part 69, New Restrictions on Lobbying. o. Part 70, Uniform Administrative Requirements for Grants and Cooperative Agreements (including sub -awards) with Institutions of Higher Learning, Hospitals and other Non - Profit Organizations. p. Part 83, Government -Wide Requirements for a Drug Free Workplace (grants). 34. Will comply with Subtitle A, Title H of the Americans with Disabilities Act (ADA)1990. 35. Agrees to cooperate with any assessments, national evaluation efforts, or information or data collection requests, including, but not limited to, the provision of any information required for the assessment or evaluation of any activities within this agreement. 36. Will maintain procedures to minimize the time elapsing between the award of funds and the disbursement of funds. Page. 6 Initials. 37. Will comply with the financial and administrative requirements set forth in the current edition of the Office of Justice Programs (OJP) Financial Guide and the current US Department of Homeland Security (DHS) Financial Management Guide. 38. Agrees that all allocations and use of funds under this grant will be in accordance with the FY 2008 Homeland Security Grant Program Guidance and Application Kit, and the California Supplement to the FY 2008 Homeland Security Grant Program Guidance and Application Kit. All allocations and use of funds under this grant will be in accordance with the Allocations, and use of grant funding must support the goals and objectives included in the State and/or Urban Area Homeland Security Strategies as well as the investments identified in the Investment Justifications which were submitted as part of the California FY2008 Homeland Security Grant Program application. Further, use of FY08 funds is limited to those investments included in the California FY08 Investment Justifications submitted to DHS/FEMA and evaluated through the peer review process. 39. Acknowledges that FEMA reserves a royalty -free, non exclusive, and irrevocable license to reproduce, publish, or otherwise use, and authorize others to use, for Federal government purposes: a) the copyright in any work developed under an award or sub -award; and b) any rights of copyright to which a recipient or sub -recipient purchases ownership with Federal support. the recipient agrees to consult with GPD regarding the allocation of any patent rights that arise from, or are purchased with, this funding. 40. Will not make any award or permit any award (subgrant or contract) to any party which is debarred or suspended or is otherwise excluded from or ineligible for participation in Federal assistance programs under Executive Order 12549 and 12689, "Debarment and Suspension." 41. As required by Executive Order 12549, Debarment and Suspension, and implemented at 28 CFR Part 67, for prospective participants in primary covered transactions, as defined at 28 CFR Part 67, Section 67.510 a. The applicant certifies that it and its principals: (i) Are not presently debarred, suspended, proposed for debarment, declared ineligible, sentenced to a denial of Federal benefits by a State or Federal court, or voluntarily excluded from covered transactions by any Federal department or agency. (ii) Have not within a three-year period preceding this application been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction.or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property. (iii) Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and (d) Have not within a three-year period preceding this application had one or more public transactions (Federal, State, or local) terminated for cause or default; and Page. 7 Initials b. Where the applicant is unable to certify to any of the statements in this certification, he or she shall attach an explanation to this application. 42. Agrees to comply with the Drug -Free Workplace Act of 1988, and implemented at 28 CFR Part 67, Subpart F, for grantees, as defined at 28 CFR Part 67 Sections 67.615 and 67.620 and certifies that it will or will continue to provide a drug -free workplace by: (a) Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the grantee's workplace and specifying the actions that will be taken against employees for violation of such prohibition. (b) Establishing an on -going drug -free awareness program to inform employees about: (1) The dangers of drug abuse in the workplace. (2) The grantee's policy of maintaining a drug -free workplace. (3) Any available drug counseling, rehabilitation, and employee assistance programs; and (4) The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace. (c) Making it a requirement that each employee to be engaged in the performance of the grant be given a copy of the statement required by paragraph (a). (d) Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will (1) Abide by the terms of the statement; and (2). Notify the employer in writing of his or her conviction for a violation of a criminal drug statute occurring in the workplace no later than five calendar days after such conviction. (e) Notifying the agency, in writing, within .10 calendar days after receiving notice under subparagraph (d)(2) from an employee or otherwise receiving actual notice of such conviction. Employers of convicted employees must provide notice, including position title, to: Department of Justice, Office of Justice Programs, ATTN: Control Desk, 633 Indiana Avenue, N.W., Washington, D.C. 20531. Notice shall include the identification number(s) of each affected grant. (f) Taking one of the following actions, within 30 calendar days of receiving notice under subparagraph (d)(2), with respect to any employee who is so convicted. (1) Taking appropriate personnel action against such an employee, up to and including termination, consistent with the requirements of the Rehabilitation Act of 1973, as amended; or Page. 8 Initials.. (2) Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency. (g) Making a good faith effort to continue to maintain a drug -free workplace through implementation of paragraphs (a), (b), (c), (d), (e), and (f). 43. Will comply with all applicable requirements of all other federal laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this program. 44. Understands that failure to comply with any of the above assurances may result in suspension, termination or reduction of grant funds.. As the duly authorized representative of the applicant, I hereby certify that the applicant will comply with the above certifications. The undersigned represents that he/she is authorized by the above named applicant to enter into this agreement for and on behalf of the said applicant. Signature of Authorized Agent: Printed Name of Authorized Agent: Title: Date: Page. 9 Initials. County of Los Angeles CHIEF EXECUTIVE OFFICE Kenneth Hahn Hall of Administration 500 West Temple Street, Room 713, Los Angeles, California 90012 (213) 974-1101 http://ceo.lacounty.gov WILLIAM T FUJIOKA Chief Executive Officer November 12, 2009 Ms. Manuela Giron City Clerk 4305 Santa Fe Avenue Vernon, CA 90058 Dear Ms. Giron: 2008 STATE HOMELAND SECURITY GRANT AGREEMENT Board of Supervisors GLORIA MOLINA First District MARK RIDLEY-THOMAS Second District ZEV YAROSLAVSKY Third District DON KNABE Fourth District MICHAEL D. ANTONOVICH Fifth District Enclosed for your files is an executed 2008 State Homeland Security Grant Agreement between your City and the County of Los Angeles. This Agreement provides the basis for the City to make approved expenditures and seek reimbursement under the grant. However, as stated in previous correspondence, prior to the City moving forward, your Project Spending Plan(s) should be approved by this office, and if appropriate, request(s) for sole source procurement should be approved by the State. If you have any questions regarding this Agreement, they should be directed to Norman Braverman at nbraverman(cDceo.lacounty.gov or (213) 893-7955. Questions about the Project Spending Plan(s) and requests for sole source procurement should be directed to Debbie Snell at dsnell(cb-ceo.lacounty.gov or (213) 974-1127. Sincerely yours, WILLIAM T FUJIOKA Chief Executive Officer Carol Kindler, Manager Chief Executive Office WTF:CK NB:hgdrive Enclosure c: Jerry Winegar, Lieutenant Vernon Police Department (w/o enclosure) Homeland Security Grants/2008SHSGP/Subrecipient Agreements and Transmittals/ Vernon Approved Agreement Transmittal "To Enrich Lives Through Effective And Caring Service" Subrecipient Agreement Between the County of Los Angeles and The City of Vernon Grant Year 2008 State Homeland Security Grant Program HOA.604306.1 SUBRECIPIENT AGREEMENT BETWEEN THE COUNTY OF LOS ANGELES AND THE CITY OF VERNON THIS AGREEMENT is made and entered into by and between the County of Los Angeles, a political subdivision of the State of California (the "County of Los Angeles" ), and the City of Vernon, a public agency (the "Subrecipient") WITNESSETH WHEREAS, the U.S. Department of Homeland Security Title 28 C.F.R. through the Office of Grants and Training (G&T), has provided financial assistance from the Homeland Security Grant Program, Catalog of Federal Domestic Assistance (CFDA) 97.067 directly to The California Emergency Management Agency (CaIEMA) for the 2008 Homeland Security Grant Program (HSGP); and WHEREAS, the CaIEMA, provides said funds to the Los Angeles County Chief Executive Officer (CEO) as its Subgrantee, and CEO is responsible for managing the Grant and overseeing the funds which are distributed, by CEO, to other specified jurisdictions within Los Angeles County. WHEREAS, this financial assistance is being provided to the Subrecipient in order to address the unique equipment, training, exercise and planning management needs of the Subrecipient, and to assist Subrecipient in building effective prevention and protection capabilities to prevent, respond to, and recover from threats or acts of terrorism; and WHEREAS, the CEO as Subgrantee has obtained approval of an HSGP 2008 Grant from CaIEMA for the Subrecipient in the amount of $98,312; and WHEREAS, the CEO now wishes to distribute HSGP Grant Funds to the Subrecipient, as further detailed in this Agreement; WHEREAS, the CEO is authorized to enter into subrecipient agreements with cities providing for re -allocation and use of these funds; and to execute all future amendments, modifications, extensions, and augmentations relative to the sub -recipient agreements, as necessary; WHEREAS, the County of Los Angeles and Subrecipient are desirous of executing this Agreement, and the County Board of Supervisors on June 30, 2009 authorized the CEO to prepare and execute this Agreement. NOW, THEREFORE, the County of Los Angeles and Subrecipient agree as follows: HOA.604306.1 2 SECTION I INTRODUCTION §101. Parties to this Agreement The parties to this Agreement are: A. County of Los Angeles, a political subdivision of the State of California, having its principal office at Kenneth Hahn Hall of Administration, 500 West Temple St., Los Angeles, CA 90012.; and B. City of Vernon, a public agency, having its principal office at 4305 Santa Fe Avenue, Vernon, CA 90058. §102. Representatives of the Parties and Service of Notices A. The representatives of the respective parties who are authorized to administer this Agreement and to whom formal notices, demands and communications shall be given are as follows: 1. The representative of the County of Los Angeles shall be, unless otherwise stated in this Agreement: Carol Kindler, Manager Chief Executive Office, Los Angeles County (LAC) 500 W Temple Street, Room 754 Los Angeles, CA 90012 Phone: (213) 974-1154 Fax: (213) 687-3765 With a copy to: Norman Braverman, Grants Manager Chief Executive Office, LAC 500 W Temple Street, Room 754 Los Angeles, CA 90012 Phone: (213) 893-7955 Fax: (213) 687-3765 Nbraverman@ceo.lacounty.gov HOA.604306.1 3 2. The representative of Subrecipient shall be: Name and Title:Manuela Giron, City Clerk Organization city of Vernon Address:4305 Santa Fe Avenue City/State/Zip: Vernon, CA 90058 Phone: (323) 583-8811 Fax:(323) 826-1438 Email ngiron@ci.vernon.ca.us With a copy to: Name and Title: Jerry Winegar, Lieutenant Organization Vernon Police. Department Address:4305 Santa Fe Avenue City/State/Zip: Vernon, CA 90058 Phone: (323) 587-5171. Fax:(323) 826-1484 Email jwinegar@covpd.org B. Formal notices, demands and communications to be given hereunder by either party shall be made in writing and may be effected by personal delivery or by registered or certified mail, postage prepaid, return receipt requested and shall be deemed communicated as of the date of mailing. C. If the name and/or title of the person designated to receive the notices, demands or communications or the address of such person is changed, written notice shall be given, in accord with this section, within five (5) business days of said change. HOA.604306,1 4 §103. Independent Party Subrecipient is acting hereunder as an independent party, and not as an agent or employee of the County of Los Angeles. No employee of Subrecipient is, or shall be an employee of the County of Los Angeles by virtue of this Agreement, and Subrecipient shall so inform each employee organization and each employee who is hired or retained under this Agreement. Subrecipient shall not represent or otherwise hold out itself or any of its directors, officers, partners, employees, or agents to be an agent or employee of the County of Los Angeles by virtue of this Agreement. §104. Conditions Precedent to Execution of This Agreement Subrecipient shall provide the following signed documents to the County of Los Angeles, unless otherwise exempted: A. Certifications and Disclosures Regarding Lobbying, attached hereto as Exhibit A and made a part hereof, in accordance with §411.A.14 of this Agreement.. Subrecipient shall also file a Disclosure Form at the end of each calendar quarter in which there occurs any event requiring disclosure or which materially affects the accuracy of the information contained in any Disclosure Form previously filed by Subrecipient. B. Certifications Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion, attached hereto as Exhibit B and made a part hereof, as required by Executive Order 12549 in accordance with §411.A.12 of this Agreement. C, Certification Regarding Drug -Free Workplace, attached hereto as Exhibit C and made a part hereof, in accordance with §411.A.13 of this Agreement. SECTION II TERM AND SERVICES TO BE PROVIDED §201. Time of Performance The term of this Agreement shall commence upon execution by all parties and shall expire on the later of March 31, 2011, or if as of such date, not all activities required by this Agreement have been completed, then the Agreement shall expire on such later date that all such required activities, including close-out activities, are completed. Said term is subject to the provisions herein. §202. Use of Grant Funds A. Subrecipient and the County of Los Angeles have previously completed a mutually approved budget/expenditure plan, hereinafter "Budget," for the HSGP FY 2008 Grant, which has been approved by the California Emergency Management Agency (formerly HOA.604306.1 known as the Office of Homeland Security), hereafter CalEMA. This information is contained in a copy of the final grant award letter and worksheets from CaIEMA, attached hereto as Exhibit D. Any request by Subrecipient to modify the Budget must be made in writing with the appropriate justification and submitted to CEO for approval. If during the County's review process, additional information or documentation is required, the Subrecipient will have ten (10) business days to comply with the request. If the Subrecipient does not respond, CEO will issue a letter indicating that the requested modification will be denied. Modifications must be approved in writing by the County of Los Angeles and CalEMA during the term of this Agreement. Upon approval, all other terms of this Agreement will remain in effect. Subrecipient shall utilize grant funds in accordance with all Federal regulations and State Guidelines. B. Subrecipient agrees that grant funds awarded will be used to supplement existing funds for program activities, and will not supplant (replace) non -Federal funds. C. Subrecipient shall review the Federal Debarment Listing at http:www.epls.gov/epls/search prior to the purchase of equipment or services to ensure the intended vendor is not listed and also maintain documentation that the list was verified. D. Prior to the purchase of equipment or services utilizing a sole source contract, justification must be presented to CEO, who upon review, will request approval from CalEMA. Such approval in writing must be obtained prior to the commitment of funds. E. Subrecipient shall interface with CEO's Grant Management System as it may exist at the time of contract execution or during the term of the Agreement. F. Subrecipient shall provide monthly status reports to CEO indicating their progress on meeting program goals and the submission of claims for reimbursement along with any reports requested by the County of Los Angeles regarding performance of this Agreement. Reports shall be in the form requested by the County of Los Angeles, and shall be provided by the 15t" of the following month. G Subrecipient shall provide a copy of their Annual Single Audit Report, as required by Office of Management and Budget circular A-133, to CEO no later than March 31st of the year following the reporting period. H Subrecipient shall provide a Corrective Action Plan to CEO within 30 days of any audit finding. I. Subrecipient will be monitored by the County of Los Angeles on an annual basis to ensure compliance with CalEMA grant program requirements. Said monitoring will include, at a minimum, one on -site visit during the term of this Agreement. HOA.604306.1 6 J. Any equipment acquired pursuant to this Agreement shall be authorized in FY 2007 G&T Authorized Equipment List (AEL) available online at http://www.rkb.mipt.org and the Allowable Cost Matrix to the 2008 Homeland Security Grant Program, Guidance and Application Kit, incorporated by reference, and attached hereto as Exhibit E. Subrecipient shall provide the County of Los Angeles a copy of its most current procurement guidelines and follow its own procurement requirements as long as they meet or exceed the minimum Federal requirements. Federal procurement requirements for the HSGP 2008 Grant can be found at OMB Circular A-102, Title 28 C.F.R. Part 66.36, and Office of G&T Financial Guide. Any equipment acquired or obtained with Grant Funds: Will be made available under the California Disaster and Civil Defense Master Mutual Aid Agreement in consultation with representatives of the various fire, emergency medical, hazardous materials response services, and law enforcement agencies within the jurisdiction of the applicant; 2. Will be consistent with needs as identified in the State Homeland Security Strategy and will be deployed in conformance with that plan; 3. Will be made available pursuant to applicable terms of the California Disaster and Civil Defense Master Mutual Aid Agreement and deployed with personnel trained in the use of such equipment in a manner consistent with the California Law Enforcement Mutual Aid Plan or the California Fire Services and Rescue Mutual Aid Plan. K. Equipment acquired pursuant to this Agreement shall be subject to the requirements of Title 28, C.F.R. 66.32, 66.33 and Office of G&T Financial Guide. For the purposes of this subsection, "Equipment' is defined as tangible nonexpendable property, having a useful life of more than one year which costs $5,000 or more per unit. Items costing less than $5,000, but acquired under the "Equipment' category of the Grant shall also be listed on any required Equipment Ledger. Equipment shall be used by Subrecipient in the program or project for which it was acquired as long as needed, whether or not the project or program continues to be supported by Federal funds. When no longer needed for the original program or project, the Equipment may be used in other activities currently or previously supported by a Federal agency. 2. Subrecipient shall make Equipment available for use on other like projects or programs currently or previously supported by the Federal Government, providing such use will not interfere with the work on the projects or program for which it was originally acquired. First preference for other use shall be given to other programs or projects supported by the awarding agency. 3. An Equipment Ledger shall be maintained listing each item of Equipment acquired with HSGP funds. The Equipment Ledger must be kept up to date at all times. Any changes shall be recorded in the Ledger within ten (10) business HOA.604306.1 7 days and the updated Ledger is to be forwarded to the County's Auditor - Controller. The Equipment Ledger shall include: (a) description of the item of Equipment, (b) manufacturer's model and serial number, (c) Federal Stock number, national stock number, or other identification number; (d) the fund source/grant year of acquisition of the Equipment, including the award number, (e) date of acquisition; (f) the per unit acquisition cost of the Equipment, (g) location and condition of Equipment and (h) disposition data, including date and sale price , if applicable. Records must be retained pursuant to Title 28 C. F. R. Part 66.42. 4. All Equipment obtained under this Agreement shall have an appropriate identification decal affixed to it, and, when practical, shall be affixed where it is readily visible. 5. A physical inventory of the Equipment shall be taken by the Subrecipient and the results reconciled with the Equipment Ledger at least once every year or prior to any site visit by State or Federal auditors/monitors. The Subrecipient is required to submit a letter certifying as to the accuracy of the Equipment Ledger to the County of Los Angeles, in the frequency as above. L. Any planning paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit or subsequent grant year programs. M. Any training paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit, and must be first submitted to CEO and then pre -authorized by CalEMA at htt;://www.calguard.ca.gov/cajs-hs/nonslgcpForm.htmm. A catalog of Federally approved and sponsored training courses is available at http://www.00p.usdoo.gov/odp/training.htm. N. Any exercise paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Guidance and Application Kit. Detailed Homeland Security Exercise and Evaluation Program Guidance is available at http://hseep.dhs.gov. O. Subrecipient shall provide to County a spending plan detailing the required steps and timeframes required to complete the approved projects within the grant timeframe. Subrecipient shall submit the spending plan to County prior to final execution of the Agreement. P. Any organization activities paid pursuant to this Agreement shall conform to the guidelines as listed in FY 2008 Homeland Security Grant Program, Program Guidance and Application Kit. HOA.604306.1 SECTION III PAYMENT §301. Payment of Grant Funds and Method of Payment A. The County of Los Angeles shall reimburse Subrecipient the grant amount of $98,312 as expenditures are incurred and paid by Subrecipient and all documentation is reviewed and approved by County. All expenditures shall be for the purchase of equipment, exercises, training and planning as described in Section II of this Agreement. The grant amount represents the amount allocated to Subrecipient in the FY 2008 HSGP Grant Award Letter from CalEMA. B. Subrecipient shall submit invoices to the County of Los Angeles Auditor -Controller Shared Services Division requesting payment as soon as expenses are incurred and paid, and the required supporting documentation is available. Said timeframe should be within ten (10) business days of Subrecipients' payment to vendors and/or prescribed due dates by CEO and/or CaIEMA. Each reimbursement request shall be accompanied by the Reimbursement Request Checklist and Form (attached hereto as Exhibit F). All appropriate back-up documentation must be attached to the reimbursement form, including invoices, proof of payment and packing slips. For training reimbursements, Subrecipient must include a copy of the class roster verifying training attendees, proof that prior approval was obtained from CalEMA and a CaIEMA tracking number has been assigned to the course, and timesheets and payroll registers for all training attendees. For exercise reimbursements, Subrecipient must enter the After Action Report and Improvement Plan on the State Office of Domestic Preparedness secure portal within 60 days following completion of the exercise. For planning reimbursements, Subrecipient must include a description of the final tangible product as a result of the planning project. C. County may, at its discretion, and with CaIEMA approval, reallocate unexpended grant funds to another Subrecipient. Said reallocation may occur upon completion of an approved project, or by notification to County by Subrecipient that a portion of the grant funds identified in §301 A., above, will not be utilized. Notwithstanding the provisions of §502, below, any increase of decrease in the grant amount specified in §301 A., above, shall not require a written amendment to this Agreement. D. Payment of final invoice shall be withheld by the County of Los Angeles until the County has determined that Subrecipient has turned in all supporting documentation and completed the requirements of this Agreement. E. It is understood that the County of Los Angeles makes no commitment to fund this Agreement beyond the terms set forth herein. HOA.604306.1 9 F. 1. County's obligation is payable only from funds appropriated for the purpose of this Agreement. All funds for payments after the end of the current fiscal year are subject to Federal, State or County's legislative appropriation for this purpose. In the event this Agreement extends into succeeding fiscal year periods and the Board of Supervisors or the State or Federal Legislature does not allocate sufficient funds for the next succeeding fiscal year payments, services shall automatically be terminated as of the end of the then current fiscal year. 2. County shall make a good -faith effort to notify Subrecipient, in writing, of such non - appropriation at the earliest time. SECTION IV STANDARD PROVISIONS §401. Construction of Provisions and Titles Herein All titles or subtitles appearing herein have been inserted for convenience and shall not be deemed to affect the meaning or construction of any of the terms or provisions hereof. The language of this Agreement shall be construed according to its fair meaning and not strictly for or against either party. §402. Applicable Law, Interpretation and Enforcement Each party's performance hereunder shall comply with all applicable laws of the United States of America, the State of California, and the County of Los Angeles. This Agreement shall be enforced and interpreted under the laws of the State of California and the County of Los Angeles. If any part, term or provision of this Agreement shall be held void, illegal, unenforceable, or in conflict with any law of a Federal, State or Local Government having jurisdiction over this Agreement, the validity of the remainder of the Agreement shall not be affected thereby. Applicable Federal or State requirements that are more restrictive shall be followed. §403. Integrated Agreement This Agreement sets forth all of the rights and duties of the parties with respect to the subject matter hereof, and replaces any and all previous agreements or understandings, whether written or oral, relating thereto. This Agreement may be amended only as provided for herein. HOA.604306.1 10 §404. Breach If any party fails to perform, in whole or in part, any promise, covenant, or agreement set forth herein, or should any representation made by it be untrue, any aggrieved party may avail itself of all rights and remedies, at law or equity, in the courts of law. Said rights and remedies are cumulative of those provided for herein except that in no event shall any party recover more than once, suffer a penalty or forfeiture, or be unjustly compensated. §405. Prohibition Against Assignment or Delegation Subrecipient may not, unless it has first obtained the written permission of the County of Los Angeles: A. Assign or otherwise alienate any of its rights hereunder, including the right to payment; or B. Delegate, subcontract, or otherwise transfer any of its duties hereunder. §406. Permits Subrecipient and its officers, agents and employees shall obtain and maintain all permits and licenses necessary for Subrecipient's performance hereunder and shall pay any fees required therefor. Subrecipient further certifies that it will immediately notify the County of Los Angeles of any suspension, termination, lapses, non renewals or restrictions of licenses, certificates, or other documents. §407. Nondiscrimination and Affirmative Action Subrecipient shall comply with the applicable nondiscrimination and affirmative action provisions of the laws of the United States of America, the State of California, and the County of Los Angeles. In performing this Agreement, Subrecipient shall not discriminate in its employment practices against any employee or applicant for employment because of such person's race, religion, national origin, ancestry, sex, sexual orientation, age, physical handicap, mental disability, marital status, domestic partner status or medical condition. Subrecipient shall comply with Executive Order 11246, entitled "Equal Employment Opportunity," as amended by Executive Order 11375, and as supplemented in Department of Labor regulations (41 CRF Part 60). If required, Subrecipient shall submit an Equal Employment Opportunity Plan (TEOF) to the DOJ Office of Civil Rights ("OCR") in accordance with guidelines listed at http://www.ojp.usdoj.gov/ocr/eeop.htm. Any subcontract entered into by the Subrecipient relating to this Agreement, to the extent allowed hereunder, shall be subject to the provisions of this § 407 of this Agreement. HOA.604306.1 11 §408. Indemnification Each of the parties to this Agreement is a public entity. This indemnity provision is written in contemplation of, but irrespective of the applicability of, the provisions of Section 895.2 of the Government Code of the State of California imposing certain tort liability jointly upon public entities, solely by reason of such entities being parties to an agreement as defined by Section 895 of said Code. Hence, this indemnity applies regardless of whether or not Section 895 et seq. is deemed to apply to this Agreement. The parties hereto, as between themselves, consistent with the authorization contained in Section 895.4 and 895.6 of said Code, irrespective of its applicability, agree to each assume the full liability imposed upon it or upon any of its officers, agents, or employees by law, for injury caused by a negligent or wrongful act or omission occurring in the performance of this Agreement, to the same extent that such liability would be imposed in the absence of Section 895.2 of said Code. To achieve the above -stated purpose, each party agrees to indemnify and hold harmless the other party for any liability arising out of its own negligent acts or omissions (i.e„ the Subrecipient agrees to indemnify and hold harmless the County of Los Angeles for liability arising out of the Subrecipient's negligent or wrongful acts or omissions, and the County of Los Angeles agrees to indemnify and hold harmless the Subrecipient for liability arising out of the County of Los Angeles' negligent acts or omissions. In the same vein, each party agrees to indemnify and hold harmless the other party for liability that is imposed on the other party solely by virtue of said Section 895.2, if applicable. The provision of Section 2778 of the California Civil Code is made a part hereto as if fully set forth herein. Subrecipient certifies that it has adequate self insured retention of funds to meet any obligation arising from this Agreement. §409. Conflict of Interest A. The Subrecipient covenants that none of its directors, officers, employees, or agents shall participate in selecting, or administrating any subcontract supported (in whole or in part) by Federal funds where such person is a director, officer, employee or agent of the subcontractor; or where the selection of subcontractors is or has the appearance of being motivated by a desire for personal gain for themselves or others such as family business, etc.; or where such person knows or should have known that: A member of such person's immediate family, or domestic partner or organization has a financial interest in the subcontract; 2. The subcontractor is someone with whom such person has or is negotiating any prospective employment; or 3. The participation of such person would be prohibited by the California Political Reform Act, California Government Code §87100 et seq. if such person were a public officer, because such person would have a "financial or other interest" in the subcontract. HOA.604306.1 12 B. Definitions: The term "immediate family" includes but is not limited to domestic partner and/or those persons related by blood or marriage, such as husband, wife, father, mother, brother, sister, son, daughter, father in law, mother in law, brother in law, sister in law, son in law, daughter in law. 2. The term "financial or other interest" includes but is not limited to: a. Any direct or indirect financial interest in the specific contract, including a commission or fee, a share of the proceeds, prospect of a promotion or of future employment, a profit, or any other form of financial reward. b. Any of the following interests in the subcontractor ownership: partnership interest or other beneficial interest of five percent or more; ownership of five percent or more of the stock; employment in a managerial capacity; or membership on the board of directors or governing body. C. The Subrecipient further covenants that no officer, director, employee, or agent shall solicit or accept gratuities, favors, anything of monetary value from any actual or potential subcontractor, supplier, a party to a sub agreement, (or persons who are otherwise in a position to benefit from the actions of any officer, employee, or agent). D. The Subrecipient shall not subcontract with a former director, officer, or employee within a one year period following the termination of the relationship between said person and the Subrecipient. E. Prior to obtaining the County of Los Angeles' approval of any subcontract, the Subrecipient shall disclose to the County of Los Angeles any relationship, financial or otherwise, direct or indirect, of the Subrecipient or any of its officers, directors or employees or their immediate family with the proposed subcontractor and its officers, directors or employees. F. For further clarification of the meaning of any of the terms used herein, the parties agree that references shall be made to the guidelines, rules, and laws of the County of Los Angeles, State of California, and Federal regulations regarding conflict of interest. G. The Subrecipient warrants that it has not paid or given and will not pay or give to any third person any money or other consideration for obtaining this Agreement. H. The Subrecipient covenants that no member, officer or employee of Subrecipient shall have interest, direct or indirect, in any contract or subcontract or the proceeds thereof for work to be performed in connection with this project during his/her tenure as such employee, member or officer or for one year thereafter. HOA.604306.1 13 I. The Subrecipient shall incorporate the foregoing subsections of this Section into every agreement that it enters into in connection with this grant and shall substitute the term "subcontractor" for the term "Subrecipient" and "sub subcontractor" for "Subcontractor". §410. Restriction on Disclosures Any reports, analysis, studies, drawings, information, or data generated as a result of this Agreement are to be governed by the California Public Records Act (California Government Code Sec. 6250 et seq.). §411. Statutes and Regulations Applicable To All Grant Contracts A. Subrecipient shall comply with all applicable requirements of State, Federal, and County of Los Angeles laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this Agreement. Subrecipient shall comply with applicable State and Federal laws and regulations pertaining to labor, wages, hours, and other conditions of employment. Subrecipient shall comply with new, amended, or revised laws, regulations, and/or procedures that apply to the performance of this Agreement. These requirements include, but are not limited to: 1. Office of Management and Budget (OMB) Circulars Subrecipient shall comply with OMB Circulars, as applicable: OMB Circular A- 21 (Cost Principles for Educational Institutions); OMB Circular A-87 (Cost Principles for State, Local, and Indian Tribal Governments); OMB Circular A- 102 (Grants and Cooperative Agreements with State and Local Governments); Common Rule, Subpart C for public agencies or OMB Circular A-110 (Uniform Administrative Requirements for Grants and Other Agreements with Institutions of Higher Education, Hospitals and Other Non -Profit Organizations); OMB Circular A-122 (Cost Principles for Non -Profit Organizations); OMB Circular A- 133 (Audits of States, Local Governments, and Non -Profit Organizations. 2. Single Audit Act Since Federal funds are used in the performance of this Agreement, Subrecipient shall, as applicable, adhere to the rules and regulations of the Single Audit Act, 31 USC Sec. 7501 et seq.;); OMB Circular A-133 and any administrative regulation or field memos implementing the Act. 3. Americans with Disabilities Act Subrecipient hereby certifies that, as applicable, it will comply with the Americans with Disabilities Act 42, USC §§ 12101 et seq., and its implementing regulations. Subrecipient will provide reasonable accommodations to allow qualified individuals with disabilities to have access to and to participate in its programs, services and activities in accordance with the provisions of the HOA.604306.1 14 Americans with Disabilities Act. Subrecipient will not discriminate against persons with disabilities nor against persons due to their relationship to or association with a person with a disability. Any subcontract entered into by Subrecipient, relating to this Contract, to the extent allowed hereunder, shall be subject to the provisions of this paragraph. 4. Political and Sectarian Activity Prohibited None of the funds, materials, property or services provided directly or indirectly under this Agreement shall be used for any partisan political activity, or to further the election or defeat of any candidate for public office. Neither shall any funds provided under this Agreement be used for any purpose designed to support or defeat any pending legislation or administrative regulation. None of the funds provided pursuant to this Agreement shall be used for any sectarian purpose or to support or benefit any sectarian activity. Subrecipient shall file a Disclosure Form at the end of each calendar quarter in which there occurs any event requiring disclosure or which materially affects the accuracy of any of the information contained in any Disclosure Form previously filed by Subrecipient. Subrecipient shall require that the language of this Certification be included in the award documents for all sub -awards at all tiers and that all subcontractors shall certify and disclose accordingly. 5. Records Inspection At any time during normal business hours and as often as either the County of Los Angeles, the U.S. Comptroller General or the Auditor General of the State of California may deem necessary, Subrecipient shall make available for examination all of its records with respect to all matters covered by this Agreement. The County of Los Angeles, the U.S. Comptroller General and the Auditor General of the State of California shall have the authority to audit, examine and make excerpts or transcripts from records, including all Subrecipient's invoices, materials, payrolls, records of personnel, conditions of employment and other data relating to all matters covered by this Agreement. Subrecipient agrees to provide any reports requested by the County regarding performance of this Agreement. 6. Records Maintenance Records, in their original form, shall be maintained in accordance with requirements prescribed by the County of Los Angeles with respect to all matters specified in this Agreement. Original forms are to be maintained on file for all documents specified in this Agreement. Such records shall be retained for a period five (5) years after termination of this Agreement and after final disposition of all pending matters. "Pending matters" include, but are not limited to, an audit, litigation or other actions involving records. The County of Los Angeles may, at its discretion, take possession of, retain and audit said records. HOA.604306.1 15 Records, in their original form pertaining to matters covered by this Agreement, shall at all times be retained within the County of Los Angeles unless authorization to remove them is granted in writing by the County of Los Angeles. 7. Subcontracts and Procurement Subrecipient shall, as applicable, comply with the Federal, State and County of Los Angeles standards in the award of any subcontracts. For purposes of this Agreement, subcontracts shall include but not be limited to purchase agreements, rental or lease agreements, third party agreements, consultant service contracts and construction subcontracts. Subrecipient shall, as applicable, ensure that the terms of this Agreement with the County of Los Angeles are incorporated into all Subcontractor Agreements. The Subrecipient shall submit all Subcontractor Agreements to the County of Los Angeles for review prior to the release of any funds to the subcontractor. The Subrecipient shall withhold funds to any subcontractor agency that fails to comply with the terms and conditions of this Agreement and their respective Subcontractor Agreement. 8. Labor Subrecipient shall, as applicable, comply with the Intergovernmental Personnel Act of 1970 (42 U.S.C. §§4728-4763) relating to prescribed requirements for merit systems for programs funded under one of the 19 statutes or regulations specified in Appendix A of OPM's Standards for a Merit System Personnel Administration (5 C.F.R. 900, Subpart F). Subrecipient shall comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. §§276a to 276a-7), the Copeland Act (40 U.S.C. §276c and 18 U.S.C. §874), the Contract Work Hours and Safety Standards Act (40 U.S.C. §§327-333), regarding labor standards for federally -assisted construction subagreements, and the Hatch Act (5 USC §§1501-1508 and 7324-7328). Subrecipient shall, as applicable, comply with the Federal Fair Labor Standards Act (29 USC § 201) regarding wages and hours of employment. None of the funds shall be used to promote or deter Union/labor organizing activities. CA Gov't Code Sec. 16645 et seq. 9. Civil Rights Subrecipient shall, as applicable, comply with all Federal statutes relating to nondiscrimination. These include but are not limited to: (a) Title VI of the Civil Rights Act of 1964 (P.L. 88-352) which prohibits discrimination on the basis of race, color or national origin; (b) Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§1681- 1683, and 1685-1686), which prohibits HOA.604306.1 16 discrimination on the basis of sex; (c) Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. §794), which prohibits discrimination on the basis of handicaps; (d) The Age Discrimination act of 1975, as amended (42 U.S.C. §§6101-6107), which prohibits discrimination on the basis of age; (e) the Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255), as amended, relating to nondiscrimination on the basis of drug abuse; (f) the Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation act of 1970 (P.L. 91-616) as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; (g) §§523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. §§290 dd-3 and 290 ee 3), as amended, relating to confidentiality of alcohol and drug abuse patient records; (h)Title VIII of the Civil Rights Act of 1968 (42 U.S.C. §§3601 et seq.), as amended, relating to non-discrimination in the sale, rental or financing of housing; (i) any other nondiscrimination provisions in the specific statute(s) under which application for Federal assistance is being made; Q) the requirements of any other nondiscrimination statute(s) which may apply to the application; and (k) P.L. 93- 348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance. 10. Environmental Subrecipient shall, as applicable, comply, or has already complied, with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (P.L. 91-646) which provide for fair and equitable treatment of persons displaced or whose property is acquired as a result of Federal or federally -assisted programs. These requirements apply to all interests in real property acquired for project purposes regardless of Federal participation in purchases. Subrecipient shall comply, as applicable, with environmental standards which may be prescribed pursuant to the following: (a) institution of environmental quality control measures under the National Environmental Policy Act of 1969 (P.L. 91-190) and Executive Order (EO) 11514; (b) notification of violating facilities pursuant to EO 11738; (c) protection of wetlands pursuant to EO 11990; (d) evaluation of flood hazards in floodplains in accordance with EO 11988; (e) assurance of project consistency with the approved State management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§1451 et seq.); (f) conformity of Federal actions to State (Clean Air) Implementation Plans under Section 176(c) of the Clean Air Act of 1955, as amended (42 U.S.C. §§7401 et seq.); (g) protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended (P.L. 93-523); (h) protection of endangered species under the Endangered Species Act of 1973, as amended (P.L. 93205); and (i) Flood Disaster Protection Act of 1973 §102(a) (P.L. 93-234). HOA.604306.1 17 Subrecipient shall, as applicable, comply with the Wild and Scenic Rivers Act of 1968 (16 U.S.C. §§1271 et seq.) related to protecting components or potential components of the national wild and scenic rivers system. Subrecipient shall, as applicable, comply with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§4801 et seq.) which prohibits the use of lead - based paint in construction or rehabilitation of residence structures. Subrecipient shall, as applicable, comply with the Federal Water Pollution Control Act (33 U.S.C. § 1251 et seq.) which restores and maintains the chemical, physical and biological integrity of the Nation's waters. Subrecipient shall, as applicable, ensure that the facilities under its ownership, lease or supervision which shall be utilized in the accomplishment of this project are not listed in the Environmental Protection Agency's (EPA) list of Violating Facilities and that it will notify the Federal Grantor agency of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA. By signing this Agreement, Subrecipient ensures that it is in compliance with the California Environmental Quality Act (CEQA), Public Resources Code §21000 et sea. Subrecipient shall, as applicable, comply with the Energy Policy and Conservation Act (P.L. 94-163, 89 Stat. 871). Subrecipient shall comply, as applicable, with the provision of the Coastal Barrier Resources Act (P.L. 97-348) dated October 19, 1982 (16 USC 3501 et. seq.) which prohibits the expenditure of most new Federal funds within the units of the Coastal Barrier Resources System. 11. Preservation Subrecipient shall, as applicable, comply with Section 106 of the National Historic Preservation Act of 1966, as amended (16 U.S.C. §470), EO 11593 (identification and protection of historic properties), and the Archaeological and Historic Preservation Act of 1974 (16 U.S.C. §§469a-1 et seq.). 12. Suspension and Debarment Subrecipient shall, as applicable, comply with Title 28 C.F.R. Volume 67, Number 228, regarding Suspension and Debarment, and Subrecipient shall submit a Certification Regarding Debarment, attached here to as Exhibit B, required by Executive Order 12549 and any amendment thereto.. Said Certification shall be submitted to the County of Los Angeles concurrent with the execution of this Agreement and shall certify that neither Subrecipient nor its principals are presently debarred, suspended, proposed for debarment, HOA.604306.1 18 declared ineligible or voluntarily excluded from participation in this transaction by any Federal department head or agency. Subrecipient shall require that the language of this Certification be included in the award documents for all sub - award at all tiers and that all subcontractors shall certify accordingly. 13. Drug -Free Workplace Subrecipient shall, as applicable, comply with the federal Drug -Free Workplace Act of 1988, 41 USC §701, Title 28 Code of Federal Regulations (CFR) Part 67; the California Drug -Free Workplace Act of 1990, CA Gov't Code §§ 8350-8357, and Subrecipient shall complete the Certification Regarding Drug -Free Workplace Requirements, attached hereto as Exhibit C, and incorporated herein by reference. Subrecipient shall require that the language of this Certification be included in the award documents for all sub -award at all tiers and that all subcontractors shall certify accordingly. 14. Lobbying Activities Subrecipient shall, as applicable, comply with 31 U.S.C.1352 and complete the Disclosure of Lobbying Activities, (OMB 0038-0046), attached hereto as Exhibit A, and incorporated herein by reference. 15. Miscellaneous Subrecipient shall, as applicable, comply with the Laboratory Animal Welfare Act of 1966, as amended (P.L. 89-544, 7 USC §§2131 et seq.). B. Statutes and Regulations Applicable To This Particular Grant Subrecipient shall comply with all applicable requirements of State and Federal laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this particular grant program. Subrecipient shall, as applicable, comply with new, amended, or revised laws, regulations, and/or procedures that apply to the performance of this Agreement. These requirements include, but are not limited to: Title 28 CFR Part 66; EO 12372; (Financial Management Guide US Department of Homeland Security Directorates Preparedness January 2006, Financial Guide; U.S. Department of Homeland Security, Office of State and Local Government Coordination and Preparedness, Office for Domestic Preparedness, ODP WMD Training Course Catalogue; and DOJ Office for Civil Rights. Standardized Emergency Management System (SEMS) requirements as stated in the California Emergency Services Act, Government Code Chapter 7 of Division 1 of Title 2, § 8607.1(e) and CCR Title 19, §§ 2445-2448. HOA.604306.1 19 Provisions of Title 2, 6, 28,44 CFR applicable to grants and cooperative agreements, including Part 18, Administrative Review Procedures; Part 20, Criminal Justice Information Systems; Part 22, Confidentiality of Identifiable Research and Statistical Information; Part 23, Criminal Intelligence Systems Operating Policies; Part 30, Intergovernmental Review of Department of Justice Programs and Activities; Part 35, Nondiscrimination on the Basis of Disability in State and Local Government Services; Part 38, Equal Treatment of Faith -based Organizations; Part 42, Nondiscrimination/Equal Employment Opportunities Policies and Procedures; Part 61, Procedures for Implementing the National Environmental Policy Act; Part 63, Floodplain Management and Wetland Protection Procedures; Part 64, Floodplain Management and Wetland Protection Procedures; Federal laws or regulations applicable to Federal Assistance Programs; Part 69, New Restrictions on Lobbying; Part 70, Uniform Administrative Requirements for Grants and Cooperative Agreements (including sub -awards) with Institutions of Higher Learning, Hospitals and other Non -Profit Organizations; and Part 83, Government -Wide Requirements for a Drug Free Workplace (grants). Nondiscrimination requirements of the Omnibus Crime Control and Safe Streets Act of 1968, as amended, 42 USC 3789(d), or the Juvenile Justice and Delinquency Prevention Act, or the Victims of Crime Act, as appropriate; the provisions of the current edition of the Office of Justice Programs Financial and Administrative Guide for Grants, M7100.1, and all other applicable Federal laws, orders, circulars, or regulations. 2. Travel Expenses Subrecipient, as provided herein, shall be compensated for Subrecipient's reasonable travel expenses incurred in the performance of this Agreement, to include travel and per diem, unless otherwise expressed. Subrecipient's total travel for in -State and/or out -of -State and per diem costs shall be included in the contract budget(s). All travel including out -of -State travel not included in the budget(s) shall not be reimbursed without prior written authorization from the County of Los Angeles. Subrecipient's administrative -related travel and per diem reimbursement costs shall be reimbursed based on the Subrecipient's policies and procedures. For programmatic -related travel costs, Subrecipient's reimbursement rates shall not exceed the amounts established by the County of Los Angeles. 3. Noncompliance Subrecipient understands that failure to comply with any of the above assurances may result in suspension, termination or reduction of grant funds, and repayment by the Subrecipient to the County of Los Angeles of any unauthorized expenditures. HOA.604306.1 20 C. Compliance With Grant Requirements To obtain the grant funds, the State required an authorized representative of the County of Los Angeles to sign certain promises regarding the way the grant funds would be spent. These requirements are included in the 2008 Program Guidance and Application Kit and in the "Grant Assurances", attached hereto as Exhibit G. By signing these Grant Assurances and accepting the Program Guidances, the County of Los Angeles became liable to the State for any funds that are used in violation of the grant requirements. Subrecipient shall be liable to the Grantor for any funds the State determines that Subrecipient used in violation of these Grant Assurances. Subrecipient shall indemnify and hold harmless the County of Los Angeles for any sums the State or Federal government determines Subrecipient used in violation of the Grant Assurances. §412. Federal, State and Local Taxes Federal, State and local taxes shall be the responsibility of the Subrecipient as an independent party and not of the County of Los Angeles and shall be paid prior to requesting reimbursement. However, these taxes are an allowable expense under the grant program. §413. Inventions, Patents and Copyrights A. Reporting Procedure for Inventions If any project produces any invention or discovery (Invention) patentable or otherwise under Title 35 of the U.S. Code, including, without limitation, processes and business methods made in the course of work under this Agreement, the Subrecipient shall report the fact and disclose the Invention promptly and fully to the County of Los Angeles. The County of Los Angeles shall report the fact and disclose the Invention to the State. Unless there is a prior agreement between the County of Los Angeles and the State, the State shall determine whether to seek protection on the Invention. The State shall determine how the rights in the Invention, including rights under any patent issued thereon, will be allocated and administered in order to protect the public interest consistent with the policy ("Policy") embodied in the Federal Acquisition Regulations System, which is based on Ch. 18 of title 35 U.S.C. Sections 200 et seq. (Pub. L. 95- 517, Pub. L. 98-620, Title 37 CFR Part 401); Presidential Memorandum on Government Patent Policy to the Heads of the Executive Departments and Agencies, dated 2/18/1983); and Executive Order 12591, 4/10/87, 52 FR 13414, Title 3 CFR, 1987 Comp., p. 220 (as amended by Executive Order 12618, 12/22/87, 52 FR 48661, Title 3 CFR, 1987 Comp., p. 262). Subrecipient hereby agrees to be bound by the Policy, and will contractually require its personnel to be bound by the Policy. B. Rights to Use Inventions County of Los Angeles shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon, and allow others to do so for all government purposes, any Invention developed under this Agreement. HOA.604306.1 21 C. Copyright Policy 1. Unless otherwise provided by the terms of the State or of this Agreement, when copyrightable material (Material) is developed under this Agreement, the County of Los Angeles, at the County's discretion, may copyright the Material. If the County of Los Angeles declines to copyright the Material, the County of Los Angeles shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon, and allow others to do so for all government purposes, any Material developed under this Agreement. 2. The State shall have an unencumbered right, and a non-exclusive, irrevocable, royalty -free license, to use, manufacture, improve upon, and allow others to do so for all government purposes, any Material developed under this Agreement or any Copyright purchased under this Agreement. 3. Subrecipient shall comply with Title 24 CFR 85.34. D. Rights to Data The State and the County of Los Angeles shall have unlimited rights or copyright license to any data first produced or delivered under this Agreement. "Unlimited rights" means the right to use, disclose, reproduce, prepare derivative works, distribute copies to the public, and perform and display publicly, or permit others to do so; as required by Title 48 CFR 27.401. Where the data are not first produced under this Agreement or are published copyrighted data with the notice of 17 U.S.C. Section 401 or 402, the State acquires the data under a copyright license as set forth in Title 48 CFR 27.404(f)(2) instead of unlimited rights. (Title 48 CFR 27.404(a)). E. Obligations Binding on Subcontractors Subrecipient shall require all subcontractors to comply with the obligations of this section by incorporating the terms of this section into all subcontracts. §414. Child Support Assignment Orders Under the terms of this Agreement, Subrecipient shall comply with California Family Code Section 5230 et seq. as applicable. §415. Minority, Women, And Other Business Enterprise Outreach Program It is the policy of the County of Los Angeles to provide Minority Business Enterprises, Women Business Enterprises and all other business enterprises an equal opportunity to participate in the performance of all. Subrecipient's contracts, including procurement, construction and personal services. This policy applies to all the Subrecipient's contractors and sub -contractors. HOA.604306.1 22 SECTION V DEFAULTS, SUSPENSION, TERMINATION, AND AMENDMENTS §501. Defaults Should either party fail for any reason to comply with the contractual obligations of this Agreement within the time specified by this Agreement, the non -breaching party reserves the right to terminate the Agreement, reserving all rights under State and Federal law. §502. Amendments Any change in the terms of this Agreement, including changes in the services to be performed by Subrecipient, which are agreed to by the Subrecipient and County of Los Angeles must be incorporated into this Agreement by a written amendment properly executed and signed by the person authorized to bind the parties thereto. Any increase or decrease in the grant amount specified in §301 A., above, shall not require a written amendment to this Agreement. SECTION VI ENTIRE AGREEMENT §601. Complete Agreement This Agreement contains the full and complete Agreement between the two parties. Neither verbal agreement nor conversation with any officer or employee of either party shall affect or modify any of the terms and conditions of this Agreement. §602. Number of Pages and Attachments This Agreement may be executed in two (2) duplicate originals, each of which is deemed to be an original. This Agreement includes (24) pages and (7) Exhibits which constitute the entire understanding and agreement of the parties. HOA.604306.1 23 IN WITNESS WHEREOF, the Subrecipient and County of Los Angeles have caused this Agreement to be executed by their duly authorized representatives. COUNTY OF LOS ANGELES ByLA,111,10201 WILLIAM UJIO ate Chief Executive Officer 4�� By6By CHI A. HA AI WENDY L. WATANABE Executive Officer, Board of Supervisors Auditor -Controller APPROVED AS TO FORM ROBERT E. KALUNIAN Acting County Counsel BY Principal Dep ty County Counsel BY 9V City Representative/Title Date Hilario Gonzales, Mayor APPROVED AS TO FORM i a BY Cit t orney Date Laurence S. Wiener ATTEST BY '-�// (d/ ity Clerk Date Manuela Giron HOA.604306.1 24 Exhibit A Exhibit B Exhibit C Exhibit D Exhibit E Exhibit F Exhibit G EXHIBITS Certification and Disclosures Regarding Lobbying Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion Lower Tier Covered Transactions and Certification Regarding Drug -Free Workplace Final Grant Award Letter and Worksheets Allowable Cost Matrix Reimbursement Request Checklist and Form Grant Assurances HOA.604306.1 Exhibit A DISCLOSURE OF LOBBYING ACTIVITIES Approved by OMB Complete this form to disclose lobbying activities pursuant to 31 U.S.C.1352 034MG46 [Sait. rnvarnn fnr ni ihiln hr rrrian Alem^­— 1 1. Type of Federal Action: 2. Status ire -Action: v~M 3. Report Type: B� a• contract g a. bid/offerfapplication a a. initial filing b. grant b, initial award b. material change c. cooperative agreement c. post -award For Material Change Only: d. loan year quarter' e. loan guarantee date of last report f. loan insurance 4. Name and Address of Reporting Entity: 5. if Reporting Entity in No. 44s a- Subawardee,•Enter Name ;E3 Prime ® subawardee and Address of Prime: Tier_ if known: County of Los Angeles City of Vernon 500 W. Temple 4305.Santa le Avenue Room 754 Vernon, CA 90058 Los Angeles, CA 90012 Congressional District, if known: 4c 34 Congressional District, if known: 6. Federal DepartmentlAgency: 7. Federal Program Name/Description: Homeland Security State Homeland Security Grant Program CFDA Number, if applicable: 97.067 8. Federal Action Number, if known: 9. Award Amount, if known: 10, a. Name and Address of Lobbying Registrant b. Individuals Performing Services (including address if (if individual, last name, first name, MI ): different from No. 10a )' N/A (lastname, firs nar e, MI): NIA 11, InfOrclo on requested through this form to suurorized by We st U.S.Q secBon 1352. This disclosure of lbbbyfig ecdWw is a material representation of fact SI natur g upon which =%mce was Paced 1W1 her above when this bans dm was made squired pumuant to 87 U.S.C. Is52.. This Donal i Calla Print Name: ' gh M mmflon will be avabble for public.insoacran. My person whofa&s io fde the "ked disclosure shellbowtoctme cidponNtyofnotlen than siepa w Title: City Administrator notmcm than $100,000 for each suchfalm. Telephone No.:323-583-8811 Date: Q.;:a -09_ Authorized for Local Reproduction Standard Form LLL Rev: 7-97 INSTRUCTIONS FOR COMPLETION OF SF-LLL, DISCLOSURE.OF LOBBYING ACTIVITIES This disclosure form shall be completed by the reporting entity, whether subawardee or prime Federal recipient, at the initiation or receipt of a covered Federal action, or a material change to a previous filing, pursuant to title 31 U.S.C. section 1352. The filing of a form is required for each payment or agreementto make_ payment to any lobbying entity for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employeeof a Member of Congress in connection with a covered Federal action. Complete all items that apply for both the initial filing and material change report. Refer to the implementing guidance published by the Office of Management and Budget for additional information. 1. Identify the type of covered Federal action for which lobbying activity is and/or has been secured to influence the outcome of a covered Federal action; 2. Identify the status of the covered Federal action. 3. Identify the appropriate classification of this report. If this is a followup report caused by a material change to the information previously reported, enter the year and quarter in which the change occurred. Enter the date of the last previously submitted report by this reporting entity for this covered Federal action. 4. Enter the full name, address, city, State and zip code of the reporting entity. Include Congressional District, if known. Check the appropriate classification of the reporting entity that designates if it is, or expects to be, a prime or subaward recipient. Identifythe tier of the subawardee,e.g., the first subawardee of the prime is the 1st tier. Subawards include but are not limited to subcontracts, subgrants and contract awards under grants. 5. If the organization filing the report in item 4 checks "Subawardee,"then enter the full name, address, city, State and zip code of the prime Federal recipient. Include Congressional District, if known. 6. Enter the name of the Federal agency making the award or loan commitment. Include at least one organizational level below agency name, if known. For example, Department of Transportation, United States Coast Guard. 7. Enter the Federal program name or description for the covered Federal action (item 1). If known, enter the full Catalog of Federal Domestic Assistance (CFDA) number for grants, cooperative agreements, loans, and loan commitments. 8. Enter the most appropriate Federal identifying number available for the Federal action identified in item 1 (e.g., Request for Proposal (RFP) number; Invitation for Bid (IFB) number; grant announcement number; the contract, grant, or loan award number; the application/proposal control number assigned by the Federal agency). Include prefixes, e.g., 'RFP-DE-90-001." 9. For a covered Federal action where there has been an award or loan commitment by the Federal agency, enter the Federal amount of the award/loan commitment for the prime entity identified in item 4 or 5. 10. (a) Enter the full name, address, city, State and zip code of the lobbying registrant under the Lobbying Disclosure Act of 1995 engaged by the reporting entity identified in item 4 to influence the covered Federal action. (b) Enter the full names of the individual(s) performing services, and include full address if different from 10 (a). Enter Last Name, First Name, and Middle Initial (MI). 11. The certifying official shall sign and date the form, print his/her name, title, and telephone number. According to the Paperwork Reduction Act, as amended, no persons are required to respond to a collection of information unless it displays a valid OMB Control Number. The valid OMB control number for this information collection is OMB No. 0348-0046. Public reporting burden for this collection of information is estimated to average 10 minutes per response, including time for reviewing instructions, searching existing data sources, gathering and maintaining the data needed, and completing and reviewing the collection of information. Send comments regarding the burden estimate or any other aspect of this collection of information, including suggestions for reducing this burden, to the Office of Managementand Budget, Paperwork Reduction Project (0348-0046), Washington, DC 20503. EXHIBIT B CERTIFICATION REGARDING DEBARMENT, SUSPENSION, INELIGIBILITY AND VOLUNTARY EXCLUSION LOWER TIER COVERED TRANSACTIONS This certification is required by the regulations implementing Executive Order 12549, Debarment and Suspension, 24 CFR Par t 24 Section 24.510, Participants' responsibilities. (READ ATTACHED INSTRUCTIONS FOR CERTIFICATION BEFORE COMPLETING) 1. The prospective recipient of Federal assistance funds certifies that neither it nor its principals are presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from participation in this transaction by any Federal department or agency. 2. Where the prospective recipient of Federal assistance funds is unable to certify to any of the statements in this certification, such prospective participant shall attach an explanation to this proposal. AGREEMENT NUMBER City of Vernon CONTRACTOR19Q RRQWF=R/AG94GY Donal O'Callaghan, City Administrator NAME AND TITLE OF AUTHORIZED REPRESENTATIVE MOOR E. AT ST: Manuela Giron, Ci y Clerk INSTRUCTIONS FOR CERTIFICATION 1. By signing and submitting this document, the prospective recipient of Federal assistance is providing the certification as set out below. 2. The certification in this clause is a material representation of fact upon which reliance was placed when this transaction was entered into. If tit is later determined that he prospective recipient of Federal assistance funds knowingly rendered an erroneous certification, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. 3. The prospective recipient of Federal assistance funds shall provide immediate written notice to the person to which this agreement is entered, if at any time the prospective recipient of Federal assistance funds learns that its certification was erroneous, when submitted or has become erroneous by reason of changed circumstances. 4. The terms "covered transaction," "debarred," "suspended," "ineligible," "lower tier covered transaction," "participant," "person," " primary covered transaction," `principal," "proposal," and "voluntarily excluded," as used in this clause, have the meanings set out in the Definitions and Coverage sections of rules implementing Executive Order 12549. 5. The prospective recipient of Federal assistance funds agrees by submitting this proposal that, should the proposed covered transaction be entered into, it shall not knowingly enter into any lower tier covered transaction with a person who is debarred, suspended., declared ineligible, or voluntarily excluded from participation on this covered transaction, unless authorized by the department or agency with which this transaction originated. 6. The prospective recipient of Federal assistance funds further agrees by submitting this proposal that it will include the clause titled "Certification Regarding Debarment, Suspension, Ineligibility and Voluntary Exclusion Lower Tier Covered Transactions," without modification, in all lower tier covered transactions and in all solicitations for lower tier covered transactions. 7. A participant in a covered transaction may rely upon a certification of a prospective participant in a lower tier covered transaction, unless it knows that the certification is erroneous. A participant may decide the method and frequency by which it determines the eligibility of its principals. Each participant may, but is not required to, check the List of Parties Excluded from Procurement or Non Procurement Programs. 8. Nothing contained in the foregoing shall be construed to require establishment of a system of records in order to render in good faith the certification required by this clause. The knowledge and information of a participant is not required to exceed that which is normally possessed by a prudent person in the ordinary course of business dealings. 9. Except for transactions authorized under Paragraph 5 of these instructions, if a participant in a covered transaction knowingly enters into a lower tier covered transaction with a person who is suspended, debarred, ineligible, or voluntary excluded form participation in this transaction, in addition to other remedies available to the Federal Government, the department or agency with which this transaction originated may pursue available remedies, including suspension and/or debarment. EXHIBIT C CERTIFICATION REGARDING DRUG -FREE WORKPLACE ACT REQUIREMENTS The Contractor certifies that it will provide a drug -free workplace, in accordance with State law and State Employment Development Department (EDD) Directive No. D907 by: 1. Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession or use of a controlled substance is prohibited in the Contractor's workplace and specifying the actions -that will be taken against employees for violation of such prohibition. 2. Establishing a drug -free awareness program to inform employees about: a. The dangers of drug abuse in the workplace; b. The Contractor's policy of maintaining a drug -free workplace; c. Any available drug counseling, rehabilitation and employee assistance programs; and d. The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace. 3. Making it a requirement that each employee to be engaged in the performance of this program be given a copy of the statement required by paragraph 1.above. 4. Notifying the employee in the statement required by paragraph 1. that, as a condition of employment under this program, the employee will: a. Abide by the terms of the statement, and b. Notify the Contractor of any criminal drug statute convictions for a violation occurring in the workplace no later than five days after such';conviction. 5. Notifying the County within ten days after receiving notice under subparagraph 4.b. from an employee or otherwise receiving actual notice of such conviction. . 6. Taking one of the following actions, within 30 days of receiving notice under subparagraph 4.b. with respect to any employee who is so convicted by taking appropriate personnel action against such an employee, up to and including termination. 7. Making a good faith effort to continue to maintain a drug -free workplace through implementation of the provision of this certification. City of Vernon CONTRACTOR1AGENNGY Donal O'Callaghan, City Administrator NAME AND TITLE OF AUTHORIZED REPRESENTATIVE CQb� NATURE LOFALIMF���IRRPRD REPRESENT TIVE DATE ATTEST: anuela Giron, City C erk iMAR 13 2009 , { ate-- 1 CALIFORNIA EMERGENCY MANAGEMENT AGENCY March.3, 2009 Mr. Michael Brooks Los Angeles County 1275 North Eastern Ave. Los Angeles, CA 90063 Subject: NOTIFICATION OF CONDITIONAL HOLD REMOVAL FY2008 Homeland Security Grant Program (HSGP) Grant #2008-0006, OES ID# 037-00000 Subgrantee Performance Period: October 23, 2008 to May 31, 2011 Dear Mr. Brooks: The California Emergency Management Agency (CalEMA) has removed the "Conditional Hold" placed on your FY2008 Homeland Security Grant Program (HSGP) award. Thank youTor submitting the necessary documentation to remove this restriction from your grant award. Please begin submitting requests for reimbursements .effective the date of this letter. As stated in your FY08 award letter, performance milestones will be used by CalEMA to both determine the appropriate date to disencumber funds awarded under this grant and re -direct them to other needs across the State, and as indicators of performance and grant management capacity in future competitive grant applications. The performance milestones for the above -mentioned grant are listed here: Performance Milestones: Amount Completion Date A PREPAREDNESS PLANNING $ 135,000 03/31/10 B ' LA RICS $2,000,000 03/31/10 C IED TRAINING $1,185,000 03/31/10 C IED EQUIPMENT $2,420,000 03/31/10 E INFo GATHERING EQuIP $ 760,000 03/31/10 D INTEROPComm $1,900,000 03/31/10 F MMRS EQuip & LEASE $ 183,000 03/31/10 F MMRS PLANNING $ 37,000 03/31/10 G RTTAC EQUIP $ 125,000 03/31/10 We look forward to working with you throughout the upcoming grant year. For further assistance, please contact your CalEMA Program Representative or the Grant Management Division at (916) 324-8908. Sincerely, MATTHEW BETTENHAUSEN Secretary GOVERNOR ARNOLD SCHWARZENEGGER • SECRETARY -MATT BETTENHAUSEN SACRAMENTO, CALIFORNIA 95814 (916) 324-8908 • FAX (916) 323-9633 Allocation by Sub -Recipient 2008 SHSGP Cities Amount Arcadia $202,520 Avalon 140,725 Azusa 25,012 Bell 23,112 Bell Gardens 23,112 Burbank 90,333 Claremont 42,802 Covina 23,112 Culver City 516,044 Downey 179,881 El Monte 317,700 Glendale 401,917 Glendora 23,112 Hawthorne 826,350 Hermosa Beach 33,774 Irwindale 23,112 La Verne 95,693 Long Beach 401,917 Los Angeles 210,390 Manhattan Beach 117,530 Monrovia 146,826 Montebello 283,699 Monterey Park 22,628 Pasadena 782,950 Pomona 265,000 Redondo Beach 126,334 San Gabriel 118,681 San Marino 56,290 Santa Fe Springs 275,843 Santa Monica 90,333 Sierra Madre 45,032 South Pasadena 270,790 Torrance 113,445 Vernon 98,312 West Covina 171,348 Whittier 25,012 Sub -Total Cities $6,610,671 Countv Departments Coroner $75,000 Fire Department 1,864,023 Health Services 461,584 OEM 2,039,487 Safety Police 894,374 Sheriff's Department 11,371,068 Sub -Total County $16,705,536 Grant Total $23,316,207 Exhibit E U.S. DEPARTMENT OF HOMELAND SECURITY E HOMELAND SECURITY GRANT PROGRAM APPENDIX B. AUTHORIZED ALLOWABLE COSTS FY 2008. Allowable Cost Matrix. In U.S. DEPARTMENT OF HOMELAND SECURITY I HOMELAND SECURITY GRANT PROGRAM Decontamination Medical Power CBRNE Reference Materials CBRNE Incident Response Vehicles Terrorism Incident Prevention Equipment Physical Security Enhancement Equipment Inspection and Screening Systems Agriculture Terrorism Prevention, Response, and CBRNE Prevention and Response Watercraft CBRNE Aviation Equipment CBRNE Logistical Support Equipment Intervention Equipment Other Authorized Eauipment Overtime and backfill for emergency preparedness and response personnel attending FEMA-sponsored and approved training classes Overtime and backfill expenses for part-time and volunteer emergency response personnel' participating in FEMA training Training workshops and conferences Full- or part-time staff or contractors/consultants Travel Supplies Tuition for higher education Other items Design, Develop, Conduct and Evaluate an Exercise Exercise planning workshop Full- or part-time staff or contractors/consultants Overtime and backfill costs, including expenses for part-time and volunteer emergency response personnel participating in FEMA exercises Implementation of HSEEP Travel Supplies Other items Hiring of full- or part-time staff or contractors/consultants to assist with tt management of the respective grant program, application requirements, compliance with reportinq and data collection reauirements M. U.S. DEPARTMENT OF HOMELAND SECURITY I HOMELAND SECURITY GRANT PROGRAM IM Exhibit F REQUIRED SUPPORTING DOCUMENTS FOR CLAIM REIMBURSEMENT FOR EQUIPMENT: ❑ Grant Reimbursement Form with. authorized. signature and date p Invoice: Must be stamped or write "PAID", signed with authorized signature for payment, and dated. Circle, or designate on the invoice/receipt the items requesting reimbursement. Each item circled must have a project #, a funding SOURCE, and TOTAL. Purchase orders. and price. quotes. will. not be acceptedas. proof of purchase. for. reimbursement. ❑ Purchase Method ❑ Competitive bid ❑ Sole Source (Prior State approval attached) Invoice. NO.: _Reviewed. Federal Debarment Lisrinci:.htti):/Avmv.ei)ls.gov/er)ls/search.do ❑No.....Q'es, screen listing is attached. Equipment Inventory Listing , completed the listing with all requested information, including: Project # & alpha, Equipment Description, ❑ AEL #, AEL Title, Invoice #, Vendor, Total Cost Fisher Prime Vendor, Total Cost, Cash Request #, Invoice Date, Acquired Date, Serial #/ ID Tag #,. Condition. and. Disposition,. Deployed. Location and. Grant Year. FOR TRAINING/EXERCISE: ❑ Grant Reimbursement Form with Authorized Signature and date Training/Exercise Summary Sheet completed listing including: employee name, assignment (backfill for name of employee attending ❑ training/exercise), Job Title, Training Request #, Training date, Salary, total Hours, Overtime hours, regular rate, Overtime rate, employee benefits. rate,. total. claim amount. •. For Training - TR# is. required •. For Exercise - submit AAR into. the. ODP Portal within 60. days of event ❑ Timecards:. indicating the # of hours charged per day,. employee signature & supervisor signature ❑ Pavroll register. indicating the. salary, hourly rate, employee. benefits,. Overtime rate. Sign -in sheets or attendance sheets or Certificate of Completion (if claiming for Backfill and/or Overtime); if sign -in sheets or certificates p are not available, trainees should provide their your own proof of attendance by completing their own sign -in sheet and have the Trainer sign the. sheet indicating proof of attendance.. Additional items: Travel —Receipts are required for itemized costs such as plane tickettinvoice, hotel invoices and training receipts with the dates of invoices agreeing with the. training period. Workshop —Invoices, for instructor, facilities, contractor and consulting services. Under. Penalty. of Perjury.I certify. that:. I am the. duly authorized officer of the. claimant herein.. This. claim is in all respect true, correct, and all expenditures were made, . in accordance with applicable laws, rules, regulations. and grant conditions, and assurances.. 07HSGP_Reimbursepkt 1120.xls To process your reimbursement request, you. must submit the. checklist and. attach. the. required. supporting documents for all. items requesting reimbursement.. Invoices. must be. submitted. to. Shared. Services. Division as soon. as. expenses. are incurred. and. the. required. invoice/supporting documentation, is. available.. Do. NOT accumulate and. submit all. claims and invoices. on the. final. due. date... Failure to submit your claim in. a. timely manner with. the. required supporting documents could result in unreimburseable. expenses and. reallocated. awards. DATE MAKE CHECKS PAYABLE TO: TO: CITY, ZIP PHONE# CITY, ZIP Under. Penalty. of. Perjury. I. certify. that: I. am. the duly authorized. officer. of. the. claimant herein. -.This claim, is in. all. respect true, correct, and. all, expenditures were made, in. accordance with applicable laws, rules, regulations and. grant conditions and assurances. 5HSP - State Homeland Security Program MMRS - Metropolitan Medical Response System RTTAC - Regional Terrorism Threat Assessment Centers TAXPAYERID# E-mail Please.fax reimbursement requests.to:.. SHARED SERVICES DIVISION Attn:.. GRANTS UNIT Fax (2131947-5809 Invoice# Project # (e.g.41. C) Solution Area TOTAL BY FUNDING SOURCE TOTAL CLAIM SHSP MMRS RTTAC 0.00 0.00 TOTALS 0.00 0.00 0.00 0.00 Exhibit G Office. of Homeland Security FY08 Grant Assurances (All HEOP. Applicants) Sub ecipient Name ofA = City of Vernon Address: 4305 Santa Fe Avenue City: Vernon State: CA Zip Code: 90058 Telephone Number: 323-583-8811 Fax Number: 323-826-1484 E-Mail Address: iwinegar@coved As the duly authorized representative of the sieip rifythatthesl eiennnamgd above: 1. Has the legal authority to apply for federal assistance, and has the institutional, managerial and financial capability to ensure proper planning, management and completion of the grant provided by the federal Department of Homeland Security and sub -granted through the State of California, Governor's Office of Homeland Security (OHS). 2. Will assure that grant funds are only used for allowable, fair, and reasonable costs and is prohibited from transferring funds between programs (State Homeland Security Program, Urban Area Security Initiative, Citizen Corps Program, and Metropolitan Medical Response System). 3. Will give the federal government, the General Accounting Office, the Comptroller General of the United States, the State of California, through any authorized representative, access to and the rightto examine all paper or electronic records, books, papers, or documents related to the. award; and will establish- a proper accounting system in accordance with generally accepted accounting standards or awarding agency directives. 4. Agrees that funds utilized to establish or enhance state and local fusion centers must support the development of a statewide fusion process that corresponds with the Global Justice/Homeland Security Advisory Council (HSAC) Fusion Center Guidelines and achievement of a baseline level of capability as defined by the Fusion Capability Planning Tool 5. Will provide progress reports and such other information as may be required by the awarding agency, including the Initial Strategy Implementation Plan (ISIP) within 45 (forty-five) days of the award, and update via a report in the Grant Reporting Tool (GRT) twice each year. 6. Will initiate and complete the work within the applicable time frame after receipt of approval from OHS. 7. Will comply with FEMNs codified regulation 44 Part.13, Uniform Administrative Requirements for Grants and Cooperative Agreements to State and Local Governments, including part 13.1 regarding the payment of interest earned on advances. Page.1 Initials. 8. Will establish safeguards to prohibit employees from using their positions for a purpose that constitutes or presents the -appearance of personal or organizational conflict of interest, or personal gain for themselves or others, particularly those with whom they have family, business or other ties. 9. Agrees that to the extent contractors or subcontractors are utilized, grantees and subgrantees shall use small, minority, women -owned, or disadvantaged business concerns and contractors or subcontractors to the extent practicable. 10. Will comply with 2 CFR 21525, and will notify OHS of any developments that have a significant impact on award -supported activities, including changes to key program staff. 11. Will comply, if applicable, with the Lead -Based Paint Poisoning Prevention Act (42 U.S.C. §§ 4801 et seq.) which prohibits the use of lead based paint in construction or rehabilitation of residence structures. 12. Understands and agrees Federal funds will not be used, directly or indirectly, to support the enactment, repeal, modification or adoption of any law, regulation, or policy, at any level of government, without the express prior written approval from FEMA. 13. Will comply with all federal statues relating.to Civil Rights and Nondiscrimination. These include but are not limited to: a. Title VI of the Civil Rights Act of 1964 (P.L. 88-352), as amended, which prohibits discrimination on the basis of race, color or national origin. b. Title IX of the Education Amendments of 1972, as amended (20 U.S.C. §§ 1681-1683 and 1685-1686), which prohibits discrimination on the basis of gender. c. Section 504 of the Rehabilitation Act of 1973, as amended (29 U.S.C. § 794) which prohibits discrimination on the basis of handicaps. d. The Age Discrimination Act of 1975, as amended (42 U.S.C. §§ 6101-6107) which prohibits discrimination on the basis of age. e. The Drug Abuse Office and Treatment Act of 1972 (P.L. 92-255) as amended, relating to nondiscriminationon the basis of drug abuse.. £ The Comprehensive Alcohol Abuse and Alcoholism Prevention, Treatment and Rehabilitation Act of 1970 (P.L. 91-616), as amended, relating to nondiscrimination on the basis of alcohol abuse or alcoholism; g. §§ 523 and 527 of the Public Health Service Act of 1912 (42 U.S.C. 290 dd-3 and 290 ee-3); as amended, relating to confidentiality of alcohol and drug abuse patient records. h. Title VM of the Civil Rights Act of 1968 (42 U.S.C. § 3601 et seq.), as amended, relating to nondiscrimination in the sale, rental or financing of housing. i. Title 28; Code of Federal Regulations, Part 42, Subparts C, D, E and G. j. Title 28, CFR, Part M. k. Any other nondiscrimination provisions in the specific statute(s) under which application for federal assistance is being made, and 1. Title 44 CFR Parts 7, 16, and 19 relating to nondiscrimination. m. The requirements on any other nondiscrimination statute(s) which may apply to the application. n. Will, in the event a Federal or State court or Federal or State administrative agency makes a finding of discrimination after a due process hearing on the grounds or race, color, religion, national origin, gender, or disability against a recipient of funds, the recipient will forward a copy of the finding to the Office of Civil Rights, Office of Justice Programs. Page. 2 Initials.. o. Will provide an Equal Employment Opportunity Plan, if applicable, to the Department of Justice Office of Civil Rights within 60 days of grant award. P. Will comply, and assure the compliance of all its subgrantees and contractors, with the nondiscrimination requirements of the Omnibus Crime .Control and Safe Streets Act of 1968, as amended, 42 USC 3789(d), or the Juvenile Justice and Delinquency Prevention Act, or the Victims of Crime Act, as appropriate; the provision of the current edition of the Office of Justice Programs Financial and Administrative Guide for Grants, M7100.1. 14. Will comply, or has already complied, with the requirements of Titles II and III of the Uniform Relocation Assistance and Real Property Acquisition Policies Act of 1970 (42 U.S.C. §.4601. et seq. (P.L. 91-646)- which provides for fair and equitable treatment of persons displaced or whose property is acquired as a result of federal or federally assisted programs. These requirements apply to all interested in real property acquired for project purposes regardless of federal participation in purchases. Will also comply with Title 44 Code of Federal Regulations, Part 25, Uniform Relocation Assistance and Real Property Acquisition for Federal and federally -assisted programs. 15. Will comply, if applicable, with the flood insurance purchase requirements of Section-102(a) of the Flood Disaster Protection Act of 1973 (P.L. 93-234) which requires recipients in a special flood hazard area to participate in the program and to purchase flood insurance if the total cost of insurable construction and acquisition is $10,000 (ten thousand dollars) or more. 16. Will comply with all applicable Federal, State, and local environmental and historical preservation (EHP) requirements. Failure to meet Federal, State, and local EHP requirements and obtain applicablepermits may jeopardize Federal funding. Will comply with all conditions placed on any project as the result of the EHP review; any change to the scope of work of a project will require re-evaluation of compliance with these EHP requirements. 17. Agrees not to undertake any project having the potential to impact the EHP resources without the prior written approval of FEMA/OHS, including but not limited to communications towers, physical security'enhancements, new construction and modifications to buildings that are 50` (fifty) years old or more. Any construction related activities initiated prior to full environmental and historic preservation (EHP) review will result in a non-compliance finding. If ground disturbing activities occur during the project implementation, the recipient must ensure monitoring of the ground disturbance and if any potential archeological resources are discovered, the recipient will immediately cease activity in that area and notify OHS/FEMA and the appropriate State Historic Preservation Office. 18. Will ensure that the facilities under its ownership, lease or supervision which shall be utilized in the accomplishment of this project are not listed in the Environmental Protection Agency's (EPA). list of Violating Facilities, and will notify OHS and the Federal Grantor agency of the receipt of any communication from the Director of the EPA Office of Federal Activities indicating that a facility to be used in the project is under consideration for listing by the EPA. 19. Will provide any information requested by FEMA/OHS to insure compliance with applicable laws including the following: a. Institution of environmental quality control measures under the National Environmental Policy Act, National Historical Preservation Act, Archaeological and Historic Preservation Act, Endangered Species Act, and Executive Orders. on Floodplains Page.3 initia . (E011988), Wetlands (11990) and Environmental Justice (12898) and Environmental Quality _(E0 11514). b. Title 44 CFR Parts 9 and 10, referencing floodplain management and environmental considerations. c. Notification of violating facilities pursuant to EO 11738. d. Assurance of project consistency with the approved state management program developed under the Coastal Zone Management Act of 1972 (16 U.S.C. §§ 1451 et seq.). e. Conformity of federal actions to State (Clean Air) Implementation Plans under Section 176(e) of the Clean Air Act of 1955, as amended (42 U.S.C. § 7401 et seq.). f. Protection of underground sources of drinking water under the Safe Drinking Water Act of 1974, as amended, (P.L. 93-523). g. California. Environmental Quality Act (CEQA). California Public Resources Code Sections 21080-21098. California Code of Regulations, Title 14, Chapter 3 Section 15000-15007. h. Wild•and Scenic Rivers Act of 1968 (16 U.S.C. §§ 1271 et.seq.) related to protecting components or potential components of the national wild and scenic rivers system. i. Applicable provisions of the Coastal Barrier Resources Act (P.L. 97-348) dated October 19, 1982 (16 USC 3501 et seq.) which prohibits the expenditure of most new Federal funds within the units of the Coastal Barrier Resources System. j. Will comply with all conditions placedon any project as the result of the EHP review; any change to the scope of work of a project will require re-evaluation of compliance with these EHP requirements. L Agrees not to undertake any project having the potential to impact the EHP resources without the prior written approval of FEMA/OHS, including but not limited to communications towers, physical security enhancements, new construction and modifications to buildings that are 50 (fifty) years old or more. 20. Will comply with Standardized Emergency Management System (SEMS) requirements as stated in the -California Emergency Services Act, Government Code, Chapter 7 of Division 1 of Title 2, Section 8607.I(e) and CCR Title 19, Sections 2445, 2446, 2447 and 2448. 21. Agrees that all publications created or published with funding under this grant shall prominently contain the following statement: "This document was prepared under a grant from FEMA's Grant Programs Directorate, U.S. Department of Homeland Security. points of view or opinions expressed in this document are those of the authors and do not necessarily represent the official position or policies of FEMA's Grant Programs Directorate or the U.S. Department of Homeland Security. " The recipient also agrees that, when practicable, any equipment purchased with grant funding shall be prominently marked as follows: "Purchased with funds provided by the U.S. Department of Homeland Security." 22. Has requested through the State of California, federal financial assistance to be used to perform eligible work approved in the submitted application for federal assistance and after the receipt of federal financial assistance, through the State of California, agree to the following: a. Promptly return to the State of California all -the funds received which exceed the approved, actual expenditures as accepted by the federal or state government. b. In the event the approved amount of the grant is reduced, the reimbursement applicable to the amount of the reduction will be promptly refunded to the State of California. c. Separately account for interest earned on grant funds, and will return all interest earned, in excess of $100 per federal fiscal year. Page 4 Initial. - 23. Will comply with the Intergovernmental Personnel Act of 1970 (42 U.S C. Sections 4728-4763) relating to prescribed standards for merit systems for programs fended under one of the nineteen statutes or regulations specified in Appendix A of OPM's Standards for a Merit System of Personnel Administration (5 C.F.R. 900, Subpart F). 24. Will comply with provisions of the Hatch Act (5 U.S.C. Sections 1501-1508 and 7324-7328) which limit the political activities of employees whose principal employment activities are funded in whole or in part with federal funds. 25. Will comply, if applicable, with P.L. 93-348 regarding the protection of human subjects involved in research, development, and related activities supported by this award of assistance. 26. Will comply, if applicable, with the Laboratory Animal Welfare Act of 1966 (P. L. 89-544, as amended, 7 U.S.C. 21.31 et seq.) pertaining to the care, handling, and treatment of warm.blooded animals held for research, teaching, or other activities supported by this award of assistance. 27. Will comply with the minimum wage and maximum hour provisions of the Federal Fair Labor Standards Act (29 U.S.C. 201), as they apply to employees of institutions of higher education, hospitals, and other non-profit organizations. 28. Will comply, as applicable, with the provisions of the Davis -Bacon Act (40 U.S.C. Section 276a to 276a-7), the Copeland Act (40 U.S.C. Section 276c and 18 U.S.C. Sections 874), and the Contract Work Hours and Safety Standards Act (40 U.S.C. Sections 327-333), regarding labor standards for federally assisted construction sub -agreements. 29. Agrees that: a. No federal appropriated funds -have been paid or will be paid, by or on behalf of the undersigned, to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or employee of Congress, or an employee of a. Member of'Congress in connection with the making of any federal grant, the entering into of any cooperative agreement; and the extension, continuation, renewal, amendment, or modification of any federal grant or cooperative agreement. b. If any other fiends than federal appropriated funds have been paid or will be paid to any person for influencing or attempting to influence an officer or employee of any agency, a Member of Congress, an officer or an employee of Congress, or employee of a Member of Congress in connection with the federal grant or cooperative agreement, the undersigned shall complete and submit Standard Form LLL, "Disclosure of Lobbying Activities," in accordance with its instructions. c. The undersigned shall require that the language of this certification be included in the award documents for all sub awards at all tiers including subgrants, contracts under grants and cooperative agreements, and subcontract(s) and that all sub recipients shall certify and disclose accordingly. d. This certification is a material representation of fact upon which reliance was placed when this transaction was made or entered into. Submission of this certification is a prerequisite for making or entering into this transaction imposed by section 1352, Title 31, U.S. Code. Any person who fails to file the required certification shall be subject to a civil penalty of not less than $10,000 and not more than $100,000 for each such failure. 30. Agrees that equipment acquired or obtained with grant funds: a. Will be made available pursuant to applicable terms of the California Disaster and Civil Defense Master Mutual Aid Agreement in consultation with representatives of the Page. 5 Initial . various fire, emergency medical, hazardous materials response services, and law enforcement agencies within the jurisdiction of the applicant, and deployed with personnel trained in the use of such equipment in a manner consistent with the California Law Enforcement Mutual Aid Plan or the California Fire Services and Rescue Mutual Aid Plan. b. Is consistent with needs as identified in the State Homeland Security Strategy and will be deployed in conformance with that Strategy. 31. Agrees that funds awarded under this grant will be used to supplement existing funds for program activities, and will not supplant (replace) non-federal funds. 32. Will comply with all applicable Federal statutes, regulations, policies, guidelines and requirements, including OMB Circulars A-21, A-87, A102, A-110, A-122, and A-133, E.O. 12372 and the current Administrative Requirements, Cost Principles, and Audit Requirements. Will also comply with Title 28, Code of Federal Regulations, Parts 66 and 70, that govern the application, acceptance and use of Federal funds for federally assisted projects. 33. Will comply with provisions of 28. CFR applicable to grants and cooperative agreements, Including: a-. Park 18, Administrative Review Procedures. b. Part 20, Criminal Justice Information Systems. c. Part 22, Confidentiality of Identifiable Research and Statistical Information. d. Part 23, Criminal Intelligence Systems Operating Policies. e. Part 30; Intergovemmental Review of Department of Justice Programs and Activities. f. Part 35, Nondiscrimination on the Basis of Disability in State and Local Government Services. g. Part 38, Equal Treatment of Faith -based Organizations. h. Part 63, Floodplain Management and Wetland Protection Procedures. i. Part 42, Nondiscrimination/Equal Employment Opportunities Policies and Procedures. j. Part 61, Procedures for Implementing the National Environmental Policy Act. k. Part 64, Floodplain Management and Wetland Protection Procedures; and Federal laws or regulations applicable to Federal Assistance Programs. 1. Part 66, Uniform Administrative Requirements for Grants and Cooperative Agreements to. State and Local Governments. m. Part 67, Government -Wide Debarment and Suspension (Non -Procurement). n. Part 69, New Restrictions on Lobbying. o. Part 70, Uniform Administrative Requirements for Grants and Cooperative Agreements (including sub -awards) with Institutions of Higher Learning, Hospitals and other Non - Profit Organizations. p. Part 83, Government -Wide Requirements for a Drug Free Workplace (grants). 34. Will comply with Subtitle A, Title II of the Americans with Disabilities Act (ADA)1990. 35. Agrees to cooperate with any assessments, national evaluation efforts, or information or data collection requests, including, but not limited to, the provision of any information required for the assessment or evaluation of any activities within this agreement. 36. Will maintain procedures to minimize the time elapsing between the award of funds and the disbursement of funds. Page.6 1nitia .. 37. Will comply with the financial and administrative requirements set forth in the current edition of the Office of Justice Programs (OJP) Financial Guide and the current US Department of Homeland Security (DHS) Financial Management Guide. 3 8. Agrees that all allocations and use of funds under this grant will be in accordance with the FY 2008 Homeland Security Grant program Guidance and Application Kit, and the California Supplement to the FY 2008 Homeland Security Grant Program Guidance and Application Kit. All allocations and use of funds under this grant will be in accordance with the Allocations, and use of grant funding must support the goals and objectives included in the State and/or Urban Area Homeland Security Strategies as well as the investments identified in the Investment Justifications which were submitted as part of the California FY2008 Homeland Security Grant Program application.. Further, use of FY08 funds is limited to those investments included in the California FY08 Investment Justifications submitted to.DHS/FEMA and evaluated through the peer review process. 39. Acknowledges that FEMA reserves a royalty -free, non exclusive, and irrevocable license to reproduce, publish, or otherwise use, and authorize others to use, for Federal government purposes: a) the copyright in any work developed under an award or sub -award; and b) any rights of copyright to which a recipient or sub -recipient purchases ownership with Federal support. the. recipient agrees to consult with GPD regarding the allocation of any patent rights that arise from, or are purchased with, this funding. 40. Will not make any award or permit any award (subgrant or contract) to any party which is debarred or suspended or is otherwise excluded from or ineligible for participation in Federal assistance programs under Executive Order-12549 and 12689, "Debarment and Suspension." 41. As required by Executive Order 12549, Debarment and Suspension, and implemented at 28 CFR Part 67, for prospective participants in primary covered transactions, as defined at 28 CFR Part 67, Section 67.510 a. The subeci C en es that it and its principals: (i) Are not presently debarred; suspended, proposed for debarment, declared ineligible, sentenced to a denial of Federal benefits by a State or Federal court, or voluntarily excluded from covered transactions by any Federal department or agency. (ii) Have not within a three-year period preceding this application been convicted of or had a civil judgment rendered against them for commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a public (Federal, State, or local) transaction or contract under a public transaction; violation of Federal or State antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property. (iii) Are not presently indicted for or otherwise criminally or civilly charged by a governmental entity (Federal, State, or local) with commission of any of the offenses enumerated in paragraph (1)(b) of this certification; and (d) Have not within a three-year period preceding this application had one or more public transactions (Federal, State, or local) terminated for cause or default;. and Page. 7 Initials b. Where the applicant is unable to certify to any of the statements in this certification, he or she shall attach an explanation to this application. 42. Agrees to comply with the Drug -Free Workplace Act of 1988, and implemented at 28 CFR Part 67, Subpart F, for grantees, as defined at 28 CFR Part 67 Sections 67.615 and 67.620 and certifies that it will or will continue to provide a drug -free workplace by: (a) Publishing a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the grantee's workplace and specifying the actions that will be taken against employees for violation of such prohibition. (b) Establishing an on -going drug -free awareness program to inform employees about: (1) The dangers of drug abuse in the workplace. (2) The grantee's policy of maintaining a drug -free workplace. (3) Any available drug counseling, rehabilitation, and employee assistance programs; and (4) The penalties that may be imposed upon employees for drug abuse violations occurring in the workplace. (c) Making it a requirement that each employee to be engaged in the performance of the grant be given a copy of the statement required by paragraph (a). (d) Notifying the employee in the statement required by paragraph (a) that, as a condition of employment under the grant, the employee will (1) Abide by the terms of the statement; and (2) Notify the employer in writing of his or her conviction for a violation of a criminal drug statute occurring in the workplace no later than five calendar days after such conviction. (e) Notifying the agency, in writing, within 10 calendar days after receiving notice under subparagraph (d)(2) from an employee or otherwise receiving actual notice of such conviction. Employers of convicted employees must provide notice, including position title, to: Department of Justice, Office of Justice Programs, ATTN: Control Desk, 633 Indiana Avenue, N.W., Washington, D.C. 20531. Notice shall include the identification number(s) of each affected grant. (f) Taking one of the following actions, within 30 calendar days of receiving notice under subparagraph (d)(2), with respect to any employee who is so -convicted. (1) Taking appropriate personnel action against such an employee, up to and including termination, consistent with the requirements of the Rehabilitation Act of 1973, as amended; or Page 8 In (2) Requiring such employee to participate satisfactorily in a drug abuse assistance or rehabilitation program approved for such purposes by a Federal, State, or local health, law enforcement, or other appropriate agency. (g) Making a good faith effort to continue to maintain a drug -free workplace through implementation of paragraphs (a), (b), (c), (d), (e), and (f). 43. Will comply with all applicable requirements of all other federal laws, executive orders, regulations, program and administrative requirements, policies and any other requirements governing this program. 44. Understands that failure to comply with any of the above assurances may result in suspension, termination or reduction of grant funds. As the dulyauthorized representative of the sub eci nt sub eci . t io . � Aereby certify that the-app'�isa-wiirl'1 comply with the above certifications. The undersigned represents that he/she is authorized by the above named sappRQ o enrter into this agreement for and on behalf of the said sreciipient. Signature of Authorized Printed Name of Authorized Agent: Donal O'Callaghan Title: City Administrator Date: IC7 - 011 — C7q Page. 9 Initia Memorandum From the Office of the City Clerk To: Daniel Calleros, Police Captain Date: September 1, 2009 From Nelly Giron, City Clerk Re: Subrecipient Agreement — 2008 State Homeland Security Grant Captain, Transmitted herewith are two partially signed original agreements approved by Resolution No. 10,059 on August 31, 2009, to be transmitted to the County of Los Angeles for their signature. Please ensure that a fully executed agreement is returned to our office. Thank you. cc: Police Chief Towles Fire Chief Whithworth Resolution No. 10,059 Agreement File No. 09- r AUG 2 6 Z009 CITY CLERK'S OFFICE, APPROVED AUG 31 '09 CITY COUNCIL STAFF REPORT VERNON POLICE DEPARTME DATE: August 19, 2009 (* TO: Honorable Mayor and City Council FROM: Steve Towles, Chief `� RE: 2008 State Homeland Security Grant Program (SHSGP) Subrecipient Agreement SUMMARY LERK DI The Police Department (PD) and Fire Department (FD) are seeking authorization to participate in the State Homeland Security Grant Program (SHSGP) for the fiscal year of 2008. The City has been awarded $98,312. This program is offered through the Department of Homeland Security through the Office for Domestic Preparedness. BACKGROUND The City of Vernon Police Department has been awarded $7,979 in funding to be used for the purchase of a Automatic License Plate Reader (ALPR) Server. The City of Vernon Fire Department has been awarded $90,333 in funding to be used for training in the LA Area Fire Chiefs Association IEC/Hazmat Training Project. The ALPR server is used to store and share license plate information that is captured using our current ALPR systems. The Los Angeles County Sheriff's Department (LASD) networks this information with many agencies within the county. The Automatic License Plate Reader is a patrol car based license plate recognition system improving officer safety and effectiveness. Using a system of up to four dual - lens cameras mounted on the light -bar, the system scans the surrounding area for license plates. The system captures color images of each vehicle, as well as an infrared image of the plate, which is converted into a text file that is then checked against onboard databases of interest (stolen vehicles, wanted felons, AMBER alerts, etc). In the event of a "hit", an audible and visual alert notifies the officer. In addition, the GPS coordinate of where the license plate was read is also stored for future reference. The data from the ALPR units are used for data mining and intelligence purposes. The Police Department currently has 4 mobile ALPR systems which are mounted on vehicles, and is in the process of installing a fixed ALPR system at an intersection of a major entrances to our city. The PD does not currently have an adequate amount of memory space to store the information collected by our growing number of mobile and fixed ALPR's. The Fire Departments IEC/Hazmat training project is a series of classes that certifies the fire personnel to a hazmat specialist level. These funds will be used to train the newly hired paramedics to the same hazmat specialist level attained by our current fire personnel. The Department of Homeland Security, through the Office for Domestic Preparedness, provides grant funding to California to enhance the ability of the state, urban areas, local jurisdictions, and certain non-profit organizations, to prevent, deter, respond to and recover from threats and incidents of terrorism. The funding is made available through the use of State Homeland Security Grant Program (SHSGP). Under this grant, funding is determined by a formula using a based amount of the total allocation for each state and the total allocation for each U.S. Territory with the balance of funds being distributed in a population -share basis. The County of Los Angeles Office of Emergency Management (OEM) is the sub -grantee for this grant, and the City of Vernon is a sub -recipient. The County of Los Angeles will coordinate all related activities with the sub -recipients. The SHSGP for FY08 is a reimbursable grant, meaning there are no cost -share or match requirements. The County of Los Angeles will reimburse the City of Vernon for all authorized equipment purchases. To receive reimbursement for equipment purchased, we will need to submit all related purchase documents showing that items were delivered and paid for. If this grant is approved, I will process the necessary documents for reimbursement. In previous years, the police and fire departments have participated in other SHSGP grants and have obtained a substantial amount of emergency response equipment. The following is a list of previous SHSGP grants we have participated in: • FY 2001 State Domestic Preparedness Equipment Grant, Resolution #8302 • FY 2002 State Domestic Preparedness Grant by the Vernon Fire Department, Resolution #8302 • FY 2003 Part II State Homeland Security Grant, Resolution # 8399 • FY 2004 State Homeland Security Grant Program, Resolution # 8325 • FY 2005 State Homeland Security Grant Program, Resolution # 9072 • FY 2006 State Homeland Security Grant Program, Resolution # 9163 CONCLUSIONS Attached are our notification documents and agreements. The notification documents include a Notification of Conditional hold Removal and Notification of Subgrantee Application Approval The 2008 State Homeland Security Grant Program Subrecipient Agreement is attached: The agreement was reviewed by the City Attorney and approved as to form. When all the forms are complete, please return them to me and I will ensure they are forwarded to Norman Braverman, of the County Disaster Administrative Team in the Chief Executive Office of Los Angeles County. VERNON POLICE DEPARTMENT OFFICE MEMORANDUM August 24, 2009 TO: Donal O'Callaghan, City Administrator FROM: Steve Towles, Chief of Police K SUBJECT: Cover Letter - Staff Report on 2008 State Homeland Security Grant Program (SHSGP) Sub -recipient Agreement Attached is a Staff Report to the City Council, recommending that they authorize the Police and Fire Departments to participate in the 2008 State Homeland Security Grant Program. The County of Los Angeles Office of Emergency Management (OEM) is the sub -grantee for this grant and the City of Vernon is a sub -recipient. The Police Department has been tentatively awarded $7,979 to be used for the purchase of a new server for the automated license plate reader (ALPR) system. The Fire Department has been tentatively awarded $90,333 to be used for training in the LA Area Fire Chiefs Assn. EEC/Hazmat Training Project. The 2008 SHSGP grant is a completely reimbursable grant, meaning that there is no cost sharing or matching requirements for'the City. There will be no additional costs to the City as a result of our participation in the grant. The City Police and Fire Departments have participated in the SHSGP Grant Program since 2001 and have been able to obtain a substantial amount of emergency response equipment. Ms. Katrina Gonzales of Richards, Watson and Gershon has reviewed the grant package and she has recommended the City Council approve it as to form. Ms. Gonzales also identified certain provisions that the City should be aware of if we decide to participate in the grant. She listed them in her written communication dated July 27, 2009, which is attached. The Police and Fire Departments will meet each of the provisions listed during the administration of the grant. RECEIVED ED AUG 2 4 2009 BY: 03/04/2009 09:02 1 LL 35 PAGE 01/01 Post -It" Fax Note 7871 Date plages From �. CoJOrp4 ./J� co, Phon / q Phone It ' Fax It 3�3 -- a �, r. CALIFORNIA EMERGENCY MANAGEMENT AGENCY March 3, 2009 Mr. Michael Brooks Los Angeles County 1275 North Eastern Ave. Los Angeles, CA 90063 Subject: NOTIFICATION OF CONDITIONAL HOLD RTMOVAAL FY2008 Hv delaiad Security -Grant Program (HSGP) Grant 02008-0006, OES ID# 037-00000 Subgrantce Performance Period: October 23, 2008 to May 31, 2011 Deax Mr. Brooks: The California Frnergency Management Agency (CaIEM °.) leas removed the "Conditional Hold" placed on your PY2008 Homeland Security Grant Program (HSGP) award. Thank you for submitting the necessary d.ocumcntation to remove this restriction from your grant award. Please begin submitting a-equests for reimbursements effective the date of this letter, As stated in your FY08 award letter, perfonmance milestones will. be used by CalEMA to 'both determine the appropriate date to disencumber funds awarded under tbis grant arid. re -direct them to other needs across the State, and as -indicators of performance and grant management capacity in future competitive grant applications. The performance milestones for the above-tm.entioned.'grant are listed here: PerformanceMilestones.- Arhotint Completion Date A PREPA.S K)NESS PLANNING ' $ 135,000 03/31/10 $2,000,000 03/31/10 B LARICS C IED TRA,IMNG $1,185,000 03/31./10 C MD EQULPMI;NT $2,420,000 03/31/10 E lNFO GATITERTNG EQUJp $ 760,000 03/31/10 D INTI;ROF COMM $1,900,000 01/31/10 F MIMES EQUIP. & LEASE $ - 183,000 03/31/10 F MMRS PLANNING $ 37,000 03/31/10 G RTTAC EQUIP $ 125,000 03/31/10' We look forward to working with you duoughout the upcoming,grant year. For further assistance, please contact your. CalEMA Program Representative or the Grant Management. Division at (916) 324.8908. Sincerely, MA TTBV,W BET'TENHAUSEN Secretary GOVERNOR ARNOLD SCHWARZENEGGER SECRFTARY MATT BETTENHAUSEN SACRAMENTO, CALIFORNIA 95814 (916) 324-8909 a FAX (916) 323-9633 ��L1101' 1(gll�� F 4 OFFICE OF HOMELAND SECURITY October 22, 2008 Mr. Michael Brooks Los Angeles County 1275 N. Eastern Ave. Los Angeles, CA 90063 Dear Mr. Brooks: SUBJECT: NOTIFICATION OF SUBGRANTEE APPLICATION APPROVAL FY 2008 Homeland Security Grant Program (HSGP) Grant #2008-0006, OES ID# 037-00000 Subgrant Performance Period: October 22, 2008 to May 31, 2011 The Governor's Office of Homeland Security (OHS) has approved your FY 08 Homeland Security Grant Program (HSGP) application in the amount of $23;316,207 with a conditional hold. Your FY08 Application has been deemed incomplete. Please refer to the FY08 Homeland Security Grant Program, California Supplement to Federal Program Guidance and Application Kit for policies and requirements. Until we have received the required documentation you may not request reimbursement or advance of allocated FY08 HSGP funds. During the grant application review process, Ian OHS representative has reviewed your FY 08 HSGP application and is awaiting receipt of documentation mentioned above. As a result of this review, funded projects may have been assigned performance milestones shorter than the subgrantee performance period stated above. Performance milestones will be used by OHS to both determine the appropriate date to disencumber funds awarded under this grant and re -direct them to other needs across the State and as indicators of performance and grant management capacity in future competitive grant applications. Additionally, Aviation/Watercraft requests, Establish/Enhance Emergency Operations Center (EOC) upgrades and sole source procurement requests will require additional approvals from OHS. Please request and obtain approval for these activities prior to incurring any costs to be reimbursed under this grant. Subgrantees are required to obtain a performance bond for any equipment item over $250,000; or any vehicle, aviation, or watercraft (regardless of the cost) financed with homeland security dollars GOVERNOR ARNOLD SCHWARZENEGGER • DIRECTOR MATT BETTENHAUSEN OFFICE OF THE GOVERNOR; SACRAMENTO, CALIFORNIA 95814 (916) 324-8908 • FAX (916) 323-9633 Mr. Brooks October 22, 2008 This grant is subject to all policies and provisions of the Federal Single Audit Act of 1984 and the Single Audit Act Amendments of 1996. Any funds received in excess of current needs, approved amounts, or those found owed as a result of a final review or audit, must be refunded to the State within 30 days upon receipt of an invoice from OHS. For further assistance, please feel free to contact your OHS program representative or the Grant Management Division at (916) 324-8908. Sincerely, JOHN ISAACSON Interim Deputy Director Grants Management Division lb%vj RICHARDS I WATSON I GERSHON VS14, ATTORNEYS AT LAW —A PROFESSIONAL CORPORATION 1 Civic Center Circle, P.O. Box 1059, Brea, California 92822-1059 Telephone 714.990.0901 Facsimile 714.990.6230 to: Donal O'Callaghan, City Administrator, City of Vernon Steven Towles, Chief of Police, City of Vernon from: Katrina C. Gonzales, Assistant City Attorney date: July 27, 2009 subject: 2008 State Homeland Security Grant Program Subrecipient Agreement The proposed Subrecipient agreement between the City of Vernon and the County of Los Angeles outlines the requirements of the State Homeland Security Grant Program (SHSGP) regarding the disbursement and use of grant funds. We have reviewed the agreement and recommend that the City Council approve it as to form. The City should be aware of the following provisions in the agreement, as they require either County approval before the City can act or the preparation and submittal of certain documents prior to the disbursement of grant funds: 1. If it has not already done so, the City must prepare and submit a copy of its procurement guidelines and follow its own.procurement requirements for any equipment acquired with grant funds. (§ 202(J), p. 7). These requirements must meet or exceed the minimum federal requirements listed in 28 CFR 66.36, which is attached as Attachment A for your information and review. 2. If the City wishes to purchase equipment or services using a sole source contract, it must provide justification to the County which, upon review, will seek the approval of the California Emergency Management Agency (CalEMA). The City must receive CalEMA'S approval before committing any grant funds. (§ 202(D), p. 6). 3. Before releasing any funds to subcontractors, the City must submit all subcontractor agreements to the County for approval. (§ 411(A)(7), p. 16). 4. The City must maintain class rosters for training activities undertaken using grant funds and submit them along with reimbursement claims for training expenses. (§ 301(B), p. 9). 5. The City must provide monthly status reports to the County indicating its progress on meeting program goals. It must also submit reimbursement claims along with any reports requested by the County. These documents must be submitted by the 15th of the following month. ( § 202(F), p. 6). Please let us know if you have any questions. CONFIDENTIAL THIS MATERIAL IS SUBJECT TO THE ATTORNEY -CLIENT AND/OR THE ATTORNEY WORK PRODUCT PRIVILEGES. DO NOT DISCLOSE THE 12720-0001\1153800v 1.aoc CONTENTS HEREOF. DO NOT FILE WITH PUBLICLY ACCESSIBLE RECORDS. RC RIVT-D JUL 2 7 2009 BY:_&__=L__- ATTACHMENT A §66.34 28 CFR Ch. 1 (7-1-08 Edition) the State prior to using it or disposing of it in any other manner. (b) Disposition. If there is a residual inventory of unused supplies exceeding $5,000 in total aggregate fair market value upon termination or completion of the award, and if the supplies are not needed for any other federally sponsored programs or projects, the grantee or subgrantee shall com- pensate the awarding agency for its share. [53 PR 8068 and 8087, Mar. 11, 1988, as amend- ed by Order No. 126M8, 53 FR 8069, Mar. 11, 19881 § 66.34 Copyrights. The Federal awarding agency re- serves a royalty -free, nonexclusive, and irrevocable license to reproduce, pub- lish or otherwise use, and to authorize others to use, for Federal Government purposes: (a) The copyright in any work devel- oped under a grant, subgrant, or con- tract under a grant or subgrant; and (b) Any rights of copyright to which a grantee, subgrantee or a contractor purchases ownership with grant sup- port. § 66.35 Subawards to debarred and suspended parties. Grantees and subgrantees must not make any award or permit any award (subgrant or contract) at any tier to any party which is debarred or sus- pended or is otherwise excluded from or ineligible for participation in Federal assistance programs under Executive Order 12549, "Debarment and Suspen- sion." § 66.36 Procurement. (a) States. When procuring property and services under a grant, a State will follow the same policies and procedures it uses for procurements from its non - Federal funds. The State will ensure that every purchase order or other con- tract includes any clauses required by Federal statutes and executive orders and their implementing regulations. Other grantees and subgrantees will follow paragraphs (b) through (1) in this section. (b) Procurement standards. (1) Grant- ees and subgrantees will use their own procurement procedures which reflect applicable State and local laws and regulations, provided that the procure- ments conform to applicable Federal law and the standards identified in this section. (2) Grantees and subgrantees will maintain a contract administration system which ensures that contractors perform in accordance with the terms, conditions, and specifications of their contracts or purchase orders. (3) Grantees and subgrantees will maintain a written code of standards of conduct governing the performance of their employees engaged in the award and administration of contracts. No employee, officer or agent of the grant- ee or subgrantee shall participate in se- lection, or in the award or administra- tion of a contract supported by Federal funds if a conflict of interest, real or apparent, would be involved. Such a conflict would arise when: (i) The employee, officer or agent, (ii) Any member of his immediate family, (iii) His or her partner, or (iv) An organization which employs, or is about to employ, any of the above, has a financial or other interest in the firm selected for award. The grantee's or subgrantee's officers, em- ployees or agents will neither solicit nor accept gratuities, favors or any- thing of monetary value from contrac- tors, potential contractors, or parties to subagreements. Grantee and sub - grantees may set minimum rules where the financial interest is not substantial or the gift is an unsolicited item of nominal intrinsic value. To the extent permitted by State or local law or reg- ulations, such standards or conduct will provide for penalties, sanctions, or other disciplinary actions for viola- tions of such standards by the grant- ee's and subgrantee's officers, employ- ees, or agents, or by contractors or their agents. The awarding agency may in regulation provide additional prohi- bitions relative to real, apparent, or potential conflicts of interest. (4) Grantee and subgrantee proce- dures will provide for a review of pro- posed procurements to avoid purchase of unnecessary or duplicative items. Consideration should be given to con- solidating or breaking out procure- ments to obtain a more economical 204 ATTACHMENT A Department of Justice purchase. Where appropriate, an anal- ysis will be made of lease versus pur- chase alternatives, and any other ap- propriate analysis to determine the most economical approach. (5) To foster greater economy and ef- ficiency, grantees and subgrantees are encouraged to enter into State and local intergovernmental agreements for procurement or use of common goods and services. (6) Grantees and subgrantees are en- couraged to use Federal excess and sur- plus property in lieu of purchasing new equipment and property whenever such use is feasible and reduces project costs. (7) Grantees and subgrantees are en- couraged to use value engineering clauses in contracts for construction projects of sufficient size to offer rea- sonable opportunities for cost reduc- tions. Value engineering is a system- atic and creative anaylsis of each con- tract item or task to ensure that its es- sential function is provided at the overall lower cost. (8) Grantees and subgrantees will make awards only to responsible con- tractors possessing the ability to per- form successfully under the terms and conditions of a proposed procurement. Consideration will be given to such matters as contractor integrity, com- pliance with public policy, record of past performance, and financial and technical resources. (9) Grantees and subgrantees will maintain records sufficient to detail the significant history of a procure- ment. These records will include, but are not necessarily limited to the fol- lowing: rationale for the method of procurement, selection of contract type, contractor selection or rejection, and the basis for the contract price. (10) Grantees and subgrantees will use time and material type contracts only— (i) After a determination that no other contract is suitable, and (ii) If the contract includes a ceiling price that the contractor exceeds at its own risk. (11) Grantees and subgrantees alone will be responsible, in accordance with good administrative practice and sound business judgment, for the settlement of all contractual and administrative § 66.36 issues arising out of procurements. These issues include, but are not lim- ited to source evaluation, protests, dis- putes, and claims. These standards do not relieve the grantee or subgrantee of any contractual responsibilities under its contracts. Federal agencies will not substitute their judgment for that of the grantee or subgrantee un- less the matter is primarily a Federal concern. Violations of law will be re- ferred to the local, State, or Federal authority having proper jurisdiction. (12) Grantees and subgrantees will have protest procedures to handle and resolve disputes relating to their pro- curementsand shall in all instances disclose information regarding the pro- test to the awarding agency. A protestor must exhaust all administra- tive remedies with the grantee and sub - grantee before pursuing a protest with the Federal agency. Reviews of pro- tests by the Federal agency will be lim- ited to: (i) Violations of Federal law or regu- lations and the standards of this sec- tion (violations of State or local law will be under the jurisdiction of State or local authorities) and (ii) Violations of the grantee's or sub - grantee's protest procedures for failure to review a complaint or protest. Pro- tests received by the Federal agency other than those specified above will be referred to the grantee or subgrantee. (c) Competition. (1) All procurement transactions will be conducted in a manner providing full and open com- petition consistent with the standards of §66,36. Some of the situations con- sidered to be restrictive of competition include but are not limited to: (i) Placing unreasonable require- ments on firms in order for them to qualify to do business, (ii) Requiring unnecessary experience and excessive bonding, (iii) Noncompetitive pricing practices between firms or between affiliated companies, (iv) Noncompetitive awards to con- sultants that are on retainer contracts, (v) Organizational conflicts of inter- est, (vi) Specifying only a "brand name" product instead of allowing "an equal" product to be offered and describing 205 ATTACHMENT A § 66.36 the performance. of other relevant re- quirements of the procurement, and (vii) Any arbitrary action in the pro- curement process. (2) Grantees and subgrantees will conduct procurements in a manner that prohibits the use of statutorily or administratively imposed in -State or local geographical preferences in the evaluation of bids or proposals; except in those cases where applicable Federal statutes expressly mandate or encour- age geographic preference. Nothing in this section preempts State licensing laws. When contracting for architec- tural and engineering (A/E) services, geographic location may be a selection criteria provided its application leaves an appropriate number of qualified firms, given the nature and size of the project, to compete for the contract. (3) Grantees will have written selec- tion procedures for procurement trans- actions. These procedures will ensure that all solicitations: (1) Incorporate a clear and accurate description of the technical require- ments for the material, product, or service to be procured. Such descrip- tion shall not, in competitive procure- ments, contain features which unduly restrict competition. The description may include a statement of the quali- tative nature of the material, product or service to be procured, and when necessary, shall set forth those min- imum essential characteristics and standards to which it must conform if it is to satisfy its intended use. De- tailed product specifications should be avoided if at all possible. When it is impractical or uneconomical to make a clear and accurate description of the technical requirements, a `-`brand name or equal" description may be used as a means to define the performance or other salient requirements of a pro- curement. The specific features of the named brand which must be met by offerors shall be clearly stated; and (ii) Identify all requirements which the offerors must fulfill and all other factors to be used in evaluating bids or proposals. (4) Grantees and subgrantees will en- sure that all prequalified lists of per- sons, firms, or products which are used in acquiring goods and services are cur- rent and include enough qualified 28 CFR Ch. 1 (7-1-08 Edition) sources to ensure maximum open and free competition. Also, grantees and subgrantees will not preclude potential bidders from qualifying during the so- licitation period. (d) Methods of procurement to be fol- Zowed—(1) Procurement by small, purchase procedures. Small purchase procedures are those relatively simple and infor- mal procurement methods for securing services, supplies, or other property that do not cost more than the sim- plified acquisition threshold fixed at 41 U.S.C. 403(11) (currently set at $100,000). If small purchase procedures are used, price or rate quotations shall be ob- tained from an adequate number of qualified sources. (2) Procurement by sealed bids (formal advertising). Bids are publicly solicited and a firm -fixed -price contract (lump sum or unit price) is awarded to the re- sponsible bidder whose bid, conforming with all the material terms and condi- tions of the invitation for bids, is the lowest in price. The sealed bid method is the preferred method for procuring construction, if the conditions in §66.36(d)(2)(i) apply. (i) In order for sealed bidding to be feasible, the following conditions should be present: (A) A complete, adequate, and real- istic specification or purchase descrip- tion is available; (B) Two or more responsible bidders are willing and able to compete effec- tively and for the business; and (C) The procurement lends itself to a firm fixed price contract and the selec- tion of the successful bidder can be made principally on the basis of price. (ii) If sealed bids are used, the fol- lowing requirements apply: (A) The invitation for bids will be publicly advertised and bids shall be solicited from an adequate number of known suppliers, providing them suffi- cient time prior to the date set for opening the bids; (B) The invitation for bids, which will include any specifications and per- tinent attachments, shall define the items or services in order for the bidder to properly respond; (C) All bids will be publicly opened at the time and place prescribed in the in- vitation for bids; 206 ATTACHMENT A Department of Justice § 66.36 (D) A firm fixed -price contract award itation of a proposal from only one will be made in writing to the lowest source, or after solicitation of a num- responsive and responsible bidder. ber of sources, competition is deter - Where specified in bidding documents, mined inadequate. factors such as discounts, transpor- (i) Procurement by noncompetitive tation cost, and life cycle costs shall be proposals may be used only when the considered in determining which bid is award of a contract is infeasible under lowest. Payment discounts will only be small purchase procedures, sealed bids used to determine the low bid when or competitive proposals and one of the prior experience indicates that such following circumstances applies: discounts are usually taken advantage (A) The item is available only from a of; and single source; (E) Any or all bids may be rejected if (B) The public exigency or emergency there is a sound documented reason. for the requirement will not permit a (3) Procurement by competitive pro- delay resulting from competitive solic- posals. The technique of competitive itation; proposals is normally conducted with (C) The awarding agency authorizes more than one source submitting an noncompetitive proposals; or offer, and either a fixed -price or cost- (D) After solicitation of a number of reimbursement type contract is award- sources, competition is determined in- ed. It is generally used when conditions adequate. are not appropriate for the use of (ii) Cost analysis, i.e., verifying the sealed bids. If this method is used, the proposed cost data, the projections of following requirements apply: the data, and the evaluation of the spe- (i) Requests for proposals will be pub- elements of costs and profits, is cificlicized and identify all evaluation fac- required. r q tors and their relative importance. Any (iii) Grantees and subgrantees may response to publicized requests for pro- be required to submit the proposed pro- posals shall be honored to the max- imum extent practical; curement to the awarding agency for (ii) Proposals will be solicited from pre -award review in accordance with an adequate number of qualified paragraph (g) of this section. sources; (e) Contracting with small and minority (iii) Grantees and subgrantees will .firms, women's business enterprise and have a method for conducting tech- labor surplus area firms. (1) The grantee nical evaluations of the proposals re- and subgrantee will take all necessary ceived and for selecting awardees; affirmative steps to assure that minor - (iv) Awards will be made to the re- ity firms, women's business enter- sponsible firm whose proposal is most prises, and labor surplus area firms are advantageous to the program, with used when possible. price and other factors considered; and (2) Affirmative steps shall include: (v) Grantees and subgrantees may (i) Placing qualified small and minor - use competitive proposal procedures ity businesses and women's business for qualifications -based procurement of enterprises on solicitation lists; architectural/engineering (A/E) profes- (ii) Assuring that small and minority sional services whereby competitors' businesses, and women's business en - qualifications are evaluated and the terprises are solicited whenever they most qualified competitor is selected, are potential sources; subject to negotiation of fair and rea- (iii) Dividing total requirements, sonable compensation. The method, when economically feasible, into small - where price is not used as a selection er tasks or quantities to permit max - factor, can only be used in procure- imum participation by small and mi- ment of A/E professional services. It nority business, and women's business cannot be used to purchase other types enterprises; of services though A/E firms are a po- (iv) Establishing delivery schedules, tential source to perform the proposed where the requirement permits, which effort. encourage participation by small and (4) Procurement by noncompetitive minority business, and women's busi- proposals is procurement through solic- ness enterprises; 207 ATTACHMENT A § 66.36 (v) Using the services and assistance of the Small Business Administration, and the Minority Business Develop- ment Agency of the Department of Commerce; and (vi) Requiring the prime contractor, if subcontracts are to be let, to take the affirmative steps listed in para- graphs (e)(2) (i) through (v) of this sec- tion. (f) Contract cost and price. (1) Grant- ees and subgrantees must perform a cost or price analysis in connection with every procurement action includ- ing contract modifications. The meth- od and degree of analysis is dependent on the facts surrounding the particular procurement situation, but as a start- ing point, grantees must make inde- pendent estimates before receiving bids or proposals. A cost analysis must be performed when the offeror is required to submit the elements of his esti- mated cost, e.g., under professional, consulting, and architectural engineer- ing services contracts. A cost analysis will be necessary when adequate price competition is lacking, and for sole source procurements, including con- tract modifications or change orders, unless price resonableness can be es- tablished on the basis of a catalog or market price of a commercial product sold in substantial quantities to the general public or based on prices set by law or regulation. A price analysis will be used in all other instances to deter- mine the reasonableness of the pro- posed contract price. (2) Grantees and subgrantees will ne- gotiate profit as a separate element of the price for each contract in which there is no price competition and in all cases where cost analysis is performed. To establish a fair and reasonable prof- it, consideration will be given to the complexity of the work to be per- formed, the risk borne by the con- tractor, the contractor's investment, the amount of subcontracting, the quality of its record of past perform- ance, and industry profit rates in the surrounding geographical area for similar work. (3) Costs or prices based on estimated costs for contracts under grants will be allowable only to the extent that costs incurred or cost estimates included in negotiated prices are consistent with 28 CFR Ch. 1 (7-1-08 Edition) Federal cost principles (see §66.22). Grantees may reference their own cost principles that comply with the appli- cable Federal cost principles. (4) The cost plus a percentage of cost and percentage of construction cost methods of contracting shall not be used. (g) Awarding agency review. (1) Grant- ees and subgrantees must make avail- able, upon request of the awarding agency, technical specifications on pro- posed procurements where the award- ing agency believes such review is needed to ensure that the item and/or service specified is the one being pro- posed for purchase. This review gen- erally will take place prior to the time the specification is incorporated into a solicitation document. However, if the grantee or subgrantee desires to have the review accomplished after a solici- tation has been developed, the award- ing agency may still review the speci- fications, with such review usually lim- ited to the technical aspects of the pro- posed purchase. (2) Grantees and subgrantees must on request make available for awarding agency pre -award review procurement documents, such as requests for pro- posals or invitations for bids, inde- pendent cost estimates, etc. when: (i) A grantee's or subgrantee's pro- curement procedures or operation fails to comply with the procurement stand- ards in this section; or (ii) The procurement is expected to exceed the simplified acquisition threshold and is to be awarded without competition or only one bid or offer is received in response to a solicitation; or (iii) The procurement, which is ex- pected to exceed the simplified acquisi- tion threshold, specifies a "brand name" product; or (iv) The proposed award is more than the simplified acquisition threshold and is to be awarded to other than the apparent low bidder under a sealed bid procurement; or (v) A proposed contract modification changes the scope of a contract or in- creases the contract amount by more than the simplified acquisition thresh- old. (3) A grantee or subgrantee will be exempt from the pre -award review in 208 ATTACHMENT A Department of Justice paragraph (g)(2) of this section if the awarding agency determines that its procurement systems comply with the standards of this section. (i) A grantee or subgrantee may re- quest that its procurement system be reviewed by the awarding agency to de- termine whether its system meets these standards in order for its system to be certified. Generally, these re- views shall occur where there is a con- tinuous high -dollar funding, and third - party contracts are awarded on a reg- ular basis. (ii) A grantee or subgrantee may self - certify its procurement system. Such self -certification shall not limit the awarding agency's right to survey the system. Under a self -certification pro- cedure, awarding agencies may wish to rely on written assurances from the grantee or subgrantee that it is com- plying with these standards. A grantee or subgrantee will cite specific proce- dures, regulations, standards, etc., as being in compliance with these require- ments and have its system available for review. (h) Bonding requirements. For con- struction or facility improvement con- tracts or subcontracts exceeding the simplified acquisition threshold, the awarding agency may accept the bond- ing policy and requirements of the grantee or subgrantee provided the awarding agency has made a deter- mination that the awarding agency's interest is adequately protected. If such a determination has not been made, the minimum requirements shall be as follows: (1) A bid guarantee from each bidder equivalent to five percent of the bid price. The "bid guarantee" shall consist of a firm commitment such as a bid bond, certified check, or other negotiable in- strument accompanying a bid as assur- ance that the bidder will, upon accept- ance of his bid, execute such contrac- tual documents as may be required within the time specified. (2) A performance bond on the part of the contractor for 100 percent of the con- tract price. A "performance bond" is one executed in connection with a con- tract to secure fulfillment of all the contractor's obligations under such contract. § 66.36 (3) A payment bond on the part of the contractor for 100 percent of the contract price. A "payment bond" is one exe- cuted in connection with a contract to assure payment as required by law of all persons supplying labor and mate- rial in the execution of the work pro- vided for in the contract. (i) Contract provisions. A grantee's and subgrantee's contracts must con- tain provisions in paragraph (i) of this section. Federal agencies are permitted to require changes, remedies, changed conditions, access and records reten- tion, suspension of work, and other clauses approved by the Office of Fed- eral Procurement Policy. (1) Administrative, contractual, or legal remedies in instances where con- tractors violate or breach contract terms, and provide for such sanctions and penalties as may be appropriate. (Contracts more than the simplified ac- quisition threshold) (2) Termination for cause and for convenience by the grantee or sub - grantee including the manner by which it will be effected and the basis for set- tlement. (All contracts in excess of $10,000) (3) Compliance with Executive Order 11246 of September 24, 1965, entitled "Equal Employment Opportunity," as amended by Executive Order 11375 of October 13, 1967, and as supplemented in Department of Labor regulations (41 CFR chapter 60). (All construction con- tracts awarded in excess of $10,000 by grantees and their contractors or sub - grantees) (4) Compliance with the Copeland "Anti -Kickback" Act (18 U.S.C. 874) as supplemented in Department of Labor regulations (29 CFR part 3). (All con- tracts and subgrants for construction or repair) (5) Compliance with the Davis -Bacon Act (40 U.S.C. 276a to 276a-7) as supple- mented by Department of Labor regu- lations (29 CFR part 5). (Construction contracts in excess of $2000 awarded by grantees and subgrantees when re- quired by Federal grant program legis- lation) (6) Compliance with sections 103 and 107 of the Contract Work Hours and Safety Standards Act (40 U.S.C. 327-330) as supplemented by Department of Labor regulations (29 CFR part 5). 209 ATTACHMENT A § 66.37 (Construction contracts awarded by grantees and subgrantees in excess of $2000, and in excess of $2500 for other contracts which involve the employ- ment of mechanics or laborers) (7) Notice of awarding agency re- quirements and regulations pertaining to reporting. (8) Notice of awarding agency re- quirements and regulations pertaining to patent rights with respect to any discovery or invention which arises or is developed in the course of or under such contract. (9) Awarding agency requirements and regulations pertaining to copy- rights and rights in data. (10) Access by the grantee, the sub - grantee, the Federal grantor agency, the Comptroller General of the United States, or any of their duly authorized representatives to any books, docu- ments, papers, and records of the con- tractor which are directly pertinent to that specific contract for the purpose of making audit, examination, ex- cerpts, and transcriptions. (11) Retention of all required records for three years after grantees or sub - grantees make final payments and all other pending matters are closed. (12) Compliance with all applicable standards, orders, or requirements issued under section 306 of the Clean Air Act (42 U.S.C. 1857(h)), section 508 of the Clean Water Act (33 U.S.C. 1368), Executive Order 11738, and Environ- mental Protection Agency regulations (40 CFR part 15). (Contracts, sub- contracts, and subgrants of amounts in excess of $100,000) (13) Mandatory standards and policies relating to energy efficiency which are contained in the state energy conserva- tion plan issued in compliance with the Energy Policy and Conservation Act (Pub. L. 94-163, 89 Stat. 871). . [Order No. 1252-88, 53 FR 8068 and 8067, Mar. 11, 1988, as amended by Order No. 1961-95, 60 FR 19639, 19642, Apr. 19, 1995] § 66.37 Subgrants. (a) States. States shall follow state law and procedures when awarding and administering subgrants (whether on a cost reimbursement or fixed amount basis) of financial assistance to local and Indian tribal governments. States shall: 28 CFR Ch. 1 (7-1-08 Edition) (1) Ensure that every subgrant in- cludes any clauses required by Federal statute and executive orders and their implementing regulations; (2) Ensure that subgrantees are aware of requirements imposed upon them by Federal statute and regula- tion; (3) Ensure that a provision for com- pliance with §66.42 is placed in every cost reimbursement subgrant; and (4) Conform any advances of grant funds to subgrantees substantially to the same standards of timing and amount that apply to cash advances by Federal agencies. (b) All other grantees. All other grant- ees shall follow the provisions of this part which are applicable to awarding agencies when awarding and admin- istering subgrants (whether on a cost reimbursement or fixed amount basis) of financial assistance to local and In- dian tribal governments. Grantees shall: (1) Ensure that every subgrant in- cludes a provision for compliance with this part; (2) Ensure that every subgrant in- cludes any clauses required by Federal statute and executive orders and their implementing regulations; and (3) Ensure that subgrantees are aware of requirements imposed upon them by Federal statutes and regula- tions. (e) Exceptions. By their own terms, certain provisions of this part do not apply to the award and administration of subgrants: (1) Section 66.10; (2) Section 66.11; (3) The letter -of -credit procedures specified in Treasury Regulations at 31 CFR part 205, cited in §66.21; and (4) Section 66.50. REPORTS, RECORDS, RETENTION, AND ENFORCEMENT § 66.40 Monitoring and reporting pro- gram performance. (a) Monitoring by grantees. Grantees are responsible for managing the day- to-day operations of grant and subgrant supported activities. Grantees must monitor grant and subgrant sup- ported activities to assure compliance with applicable Federal requirements and that performance goals are being 210 WILLIAM T FUJIOKA Chief Executive Officer July 10, 2009 Mayor Hilario Gonzales City of Vernon 4305 Santa Fe Avenue Vernon, CA 90058 Dear Mayor Gonzales: \ r. l@` 111_QQ_ County of Los Angeles Q`ty'e- CHIEF EXECUTIVE OFFICEcr.�S Kenneth Hahn Hall of Administration 500 West Temple Street, Room 713, Los Angeles, California 90012 (213) 974-1101 http://ceo.lacounty.gov DISTRIBUTION tN/ A T"Tl'+&4Ae7arS 2008 STATE HOMELAND SECURITY GRANT PROGRAM SUBRECIPIENT AGREEMENT Board of Supervisors GLORIA MOLINA First District MARK RIDLEY-THOMAS Second District ZEV YAROSLAVSKY Third District DON KNABE Fourth District MICHAEL D. ANTONOVICH Fifth District On June 30, 2009, the Los Angeles County (County) Board of Supervisors accepted the 2008 State Homeland Security Grant Program (SHSGP) for local agencies. As previously discussed with your staff, the County is requiring a formal Subrecipient Agreement between the City of Vernon and the County which outlines the requirements Of the grant and provides the guidelines to follow for SHSGP reimbursement of eligible expenses. You will find enclosed: 1) details of your project(s) approved for the 2008 SHSGP (Attachment A); 2) a copy of a Project Spending Plan (Attachment B); and 3) two copies of the Subrecipient Agreement (SA) between the City of Vernon and Los Angeles County (Attachment C). Beginning this grant year, and in order to meet specific State requirements, we are requesting that your city complete a Project Spending Plan (PSP) for each line item within each of your approved project(s). This PSP will be provided to your SHSGP contact person electronically, and we request the completed PSP form(s) be returned to our office electronically on or before you return the executed SA copies. Both copies of the SA, with complete contact information as required in Paragraph 102 B, signed Exhibits A, B, C, and G, and the Agreements executed (in blue ink) by the appropriate City staff, should be returned to: Chief Executive Office Attn: Norman Braverman County Disaster Administrative Team 500 West Temple Street, Room 754 Los Angeles, CA 90012 RJECEIVED JUL 16 2009 "To Enrich Lives Through Effective And Caring Service" Mayor Hilario Gonzales July 10, 2009 Page 2 of 2 Mr. Braverman will obtain the required County signatures and return a fully executed original of the SA to you. Please note that the City is not to expend any SHSGP funding, obtain any equipment, or request reimbursement until a fully executed copy of the Subrecipient Agreement is on file with this office and the PSP(s) has/have been submitted and approved by the County. If you have any questions, your staff may contact Mr. Braverman at (213) 893-7955 or by email at nbraverman(a-)-ceo.lacounty.gov. Sincerely yours, WILLIAM T FUJIOKA Chief Executive Officer i Carol Kindler Manager WTF:CK NB:hgdrive Attachments Homeland Security Grants/2008 SHSGP/Subrecipient Agreements and Transmittals/Vernon Transmittal Attachment A 2008 Homeland Security Grant Program Award 7/7/200916:39 Sum of Extended Funding Source Entity Proj Project Name Solution Area SHSGP Grand Total Vernon C 1.17 3,1J7_20; LA Area Fire Chiefs AssociationlED/HazmatTraining Project Train 90,333 90,333 D IJ2_1,1J2_4, 1J2_611J2_12, IJ2_13; Automated License Plate Recognition System (ALPR) and LA County Sheriff Antares Project Equip 7,979 7,979 Vernon Total 98,312 98,312 Grand Total 98,312 98,312 Attachment B Project Spending Plan 2008 Homeland Security Grant Program Grant Performance Period--10/23/08-5/31/11 i.o Jurisdiction or County department 2.0 Project Name 2.1 Project Line Number 3.0 Original award amount 4.0 Project Manager Phone E-mail 4.1 Project Manager [Alternate] Phone E-mail Date Prepared s.o Is this a milestone project? Yes No s.1 If so, what is the milestone date? Note: Contact CEO CDAT to obtain milestone date information. 6.o Anticipated vendor 6.1 Sole source? Yes No 11 NOTE: SOLE SOURCE PURCHASES REQUIRE PRIOR STATE APPROVAL. Please attach all sole source requests to this Spending Plan when submitted for approval. When the requests are approved, we will advise you and you may proceed with your purchases. 7.o Aviation -related project? Yeses Nods a. NOTE: AVIATION -RELATED PURCHASES REQUIRE PRIOR STATE APPROVAL. Please attach all aviation requests to this Spending Plan when submitted for approval. When the requests are approved, we will advise you and you may proceed with your purchases. [DOUBLE-CLICK in box to add comments] )lease describe the project in SPECIFIC DETAIL, ncluding information such as manufacturer, model lumber, year, etc. (for instance, 25 Motorola XTL i000 radios with mic/speaker, batteries and 12-line ;onsole; 20 units will be housed at headquarters [123 )ak St. , Los Angeles] and 5 units at Substation 1 [456 :lm Av., Los Angeles]). [DOUBLE-CLICK in box to add comments] IF MILESTONE, indicate the specific steps you wi Follow to ensure completion of your project by th milestone date. Use bulleted format: • Specific steps required, with dates, to complete project. Expand as needed; Step Date Comments Item/s out to bid 5/15/09 1 PO issued 7/1/09 2 Goods are available; 3 order will be shipped Goods ordered 7/5/09 in full Goods delivered by 7/25/09 4 Goods installed by 8/15/09 5 Claim to be submitted 9/1/09 6 im 7 7/2/2009 13:27 08HSGPspendplan Attachment C r, f RESOLUTION NO. 2010-42 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF VERNON APPROVING AND AUTHORIZING THE EXPENDITURE. OF 2008 STATE HOMELAND SECURITY GRANT FUNDS AND ASSET FORFEITURE FUNDS FOR THE PURCHASE OF A COMPUTER SERVER AND RELATED SOFTWARE FOR THE POLICE DEPARTMENT'S AUTOMATIC LICENSE PLATE READER SYSTEMS WHEREAS, on August 31, 2009, the City Council of the City of Vernon adopted Resolution No. 10,059 approving participation in the 2008 State Homeland Security Grant Program ("2008 SHSGP") under which the Vernon Police Department (the "Department") was allocated the amount of $7,979.00 for the purchase of an Automatic License Plate Reader Server; and WHEREAS, the Vernon Police Department desires to purchase a computer server ("Server") and related software ("Software") (collectively the "Equipment") for the Department's Automatic License Plate Reader Systems ("ALPR")• and WHEREAS, both Hewlett-Packard Company ("Hewlett-Packard") and Insight Public Sector, Inc. ("Insight") have contracts with the State of California that may be utilized by local governments to purchase computer products pursuant to the terms of the respective contracts through the issuance of a purchase order (respectively, the "Hewlett-Packard Contract" and the "Insight Contract") and WHEREAS, by memo dated March 16, 2010, the Director of Business Services recommended that the Server be purchased from Hewlett-Packard at a cost of $13,876.81, excluding freight charges, and that the Software be purchased from Insight, for the approximate cost of $2,402.32, for a total approximate expenditure of $16,279.13; and WHEREAS, by memo dated March 16, 2010, the Director of Business Services recommended that $7,979.00 from the 2008 SHSGP be applied to the cost of the Server, and that the remaining balance be paid for with funds from the Police Department's Asset Forfeiture account; and WHEREAS, the City Council of the City of Vernon has determined that, pursuant to the provisions of subsections. (b)(1) of Section 2.27 of the Vernon City Code, it is in the public interest and necessity to issue purchase orders to Hewlett-Packard and Insight for the purchase of the Equipment pursuant to the terms of their respective contracts with the State of California. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF VERNON AS FOLLOWS: SECTION 1: The City Council of the City of Vernon does hereby find and determine that the recitals contained hereinabove are true and correct. SECTION 2: The City Council of the City of Vernon hereby approves the expenditure of $16,279.13 plus freight to purchase the Equipment. 2008 SHSGP funds in the amount of $7,979.00 shall be applied to the cost of the Server, and the remaining balance shall be paid from the Police Department's Asset Forfeiture account. SECTION 3: The City Council of the City of Vernon hereby approves and authorizes the City's participation in the Hewlett- Packard Contract, a copy of which is attached hereto as Exhibit A. SECTION 4 The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to purchase the Server from Hewlett-Packard, in accordance with the Hewlett-Packard -2- Contract, and to issue a purchase order to Hewlett-Packard pursuant to the Hewlett-Packard Contract. SECTION 5: The City Council of the City of Vernon hereby approves and authorizes the City's participation in the Insight Contract, a copy of which is attached hereto as Exhibit B. SECTION 6: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to purchase the Software from Insight, in accordance with the Insight Contract, and to issue a purchase order to Insight pursuant to the Insight Contract. SECTION 7: The City Council of the City of Vernon hereby authorizes the City Administrator, or his designee, to take whatever action is deemed necessary or desirable for the purpose of implementing and carrying out the purposes of this Resolution and the transactions herein approved or authorized. SECTION 8: The City Clerk of the City of Vernon shall certify to the passage, approval and adoption of this resolution, and the City Clerk of the City of Vernon shall cause this resolution and the City Clerk's certification to be entered in the File of Resolutions of the Council of this City. APPROVED AND ADOPTED this 22nd day of March, 2010. AT T ST: Willard G. t u City Clerk Name: Hilario Gonzales Title: Mayor /IU� -3- STATE OF CALIFORNIA ) ) ss COUNTY OF LOS ANGELES ) I, Willard G. Yamaguchi, City Clerk of the City of Vernon, do hereby certify that the foregoing Resolution, being Resolution No. 2010-42, was duly passed, approved and adopted by the City Council of the City of Vernon at a regular meeting of the City Council duly held on Monday, March 22, 2010, and thereafter was duly signed by the Mayor or Mayor Pro-Tem of the City of Vernon. Executed this d; day of March, 2010, at Vernon, California. Wi lard G. Y m guco, City Clerk (SEAL) EXHIBIT A CALWORNIA PARTIC WESTERN STATES CONTR :OMPUTER EQUiPMEN SOFTW 1, Scope; ,or cc systr subs cons nt Softw afei Pedp,horals and A subdivislon/local .r local governmental, body .rsity cf'California (UC) blic funds. Each political the WSCA program is Z. • 'Leasing Funding to purchase or lease, products available under this contract may be available to Stafa agencies via the GS $Mart (purchases) or I-6ase $Mart progr�arh. For small dollar transactions where GS Mart or Luse $Mart isn't available, local agencies are able to take advantage of leasing options in the original (Minnesota) contract, 3. Changes: Changes to the terms and conditions of the signed Master Price.A'reement and Participating Addendum are as follows: a. Orders and payment may be handled by`ona of HP`s authorized Resellers as approved by HP. All other agency orders and payments are to be handled by HP directly unless otheru 16 manually, agreed by HP and fhe Participating Entity as allowed in this section of the Participating Addendum: b. The California General Prov"rsions:(CAGP) Revision St►i 0(GSPD401IT based on .April 12' 200 standard, for Western, States Contracting Alliance (WSCA}Computer Equipment, SiAwwe, Pehoher is and Related ervicos as attached become a part of this Participating Addendum: e, The California General Provisions, (CAGE') shall prevali If there is a conflict between the terms and conditions of the contractors WSCA State of Minnesota, Master Price Agreer-rrent,, packaging, invoices, catalogs, brochures and technical data sheets. d. The State of Califorr is will retain the samo contract number,as the.State of Mirinesiotra; Master Price Agreement number, W2716 . Revised 8/28/08 Pagel of CALIFORNIA WESTERN STATES C0MPUTER E U'I M9NT e. State of Minnesota, Master Price,Agroement cover page; is hereby modified as follows,. "Origlnal Award Datel'changed to "Effective Date 9l11 009". f, delivery: As negotiated between agency and contractor and included in the purchase order, or as: otherwise stipulated in the_ contract: g. DGS`Termination of Contract: h; Reports & Administrative Fee;` Contractor shall submit quarterly, reports to th California purchases providing the following Agency Name WSCA Contract Number Purchase'brder'Number Purchase. Order late WSCA Administrative Fee Dollar Amount Agency Contact"Name Agency Address Taal invoice Amount, Total Dollars. for the! quartz r The -Contractor shall submit a check, in addition to the report, payable to the: State of California, Contract Administrator for the calculated administrative feo for an amount equal to one percent 0.01) of the sales for the quert rly period. This fee shall be in luded_as an adjustment to contractors WSCA pricing and not` invoiced or charged to the purchasing entity: Payment of the ad"nistrati`ve fee'by Contractor due irrespective ofstatus of' payrnents on orders from users to Contractor. A report is due even when there is no activity. Any" report that does not, follow the required format or that excludes informationwill be deemed incomplete, Fallure to subrhit reports and fees on a timely, basis shall; constitute grounds for suspension of this agreement. Rsports and fee delivery, will be in accordance with the fallowing schedule; Calendar Cuartor 1 (JUL 1 to, SEP 30)' Due OCT 31' Calendar Quarter 2 (:OCT 1 to, DEC 31) Due JAN 31` Calendar Quarter 3 (JAN 1 'to MAID 31) Due APR 30 Calendar Quarter 4, (APR 1 to JUN-30) Due JUL 31. The administrative fee check and report should be submitted to the following address, Cynthia akoroike Department of General Services Procurement Division Multiple Award Program;- WSCA Revised W8108 Page 2 of 4 707 Third Street, 2nd Floor, MS # 202, West Sacramento, CA 056054811 The primary state govern'rnent contact for this Parttoipati' g, Addendum is as follows; Clepartmentof General Services Procurement Division' Multiple Award Program - WSCA 707 Third Street, 2nd door, MS. 202 West Sacramento, CA 95606 Contact:: Cynthia Okorolke E= mail: cvnthia.okorotket_dds.ca.cov Phone: (916) 375-4389 Pax: (916) 375-4663 j The primary Hewlett Packard CUSTOMER centactfor this Participating Addendum is as follows: Hewlett Packard' Address;- 442 Swan ,Blvd Deerfield, IL 6001i5 Contact: Debra Lee -Mail: QgbLaJeecoacom Phone: 847/; 37;03, 4 Fax: 84 /5,72-1336 k. PriceAgreementNumber: The Master Brice Agreement number for the Participating S€ate is BM64: The tester Prie Agreement Number MUST` be shown on all Purchase Orders issued against this Master Prie Agreement: This Addendum and the Price, Agreement together with its exhibits and/or amendments, set addition to the terms and conditions of this Addendum and the f with its exhibits and/or amendments, shall not be added to or in Addendum or the Price Agreement and lts.exhibits and/or amen purchase ordeFor otherwise, and any such attempts to add or it conditions are hereby rejected. The terms and conditions of thl Agreement acid its exhibits ;and/or;amendments sh6l{ prevall anc such lnconslslent or additional terms contrary or in nt, together this iy subsequent h terms and nd tte price Revised 6128106 Page 3 of 4 CALIFORNIA PARTICIPATING ADDENDUM VVEST RN ;STATES CONTRACT'INIG ALL IANC (ItVSCA) EMP14..RAt- A lD LFz m, Effective Dates. By Signing below I ictlei Packard agrees to offer the same irccft'1t€�r� Carrie as on the Sfiat it Minnesota 716/1' at prices equal to or lower than the prices on this contract: IN WITNESS WHEREOF, the parties have executed this Participating Addendum as of the date of execution by bath rues bew. ICES both �"O � AL SERVICES -State of California: By: - Z By: �`` t•-� r Name,` Jim Butler Names Title: Deputy Director Date: a / Le [late. ! T/ �C f Revised S/2B/(1 Page 4 of 4 GSPO-401 IT WESTERN STATES CONTRACTING ALLIANCE (W C ) COMPUTER EQUIPMENT, SOFTWARE, PER I ?H RA AL$ AND �TED ' VICE (2009-2014° GENERAL PROVISION 1. DEFINITIONS; Unless otherwise specified In the Statement of Wofkaha_ printed materials:- necessary or useful to, the State in its fallowing terms shad be given the, meaning shown; unless; context; or maintenance of the Equipment; or Software provil requires otherwise. hereunder. Manuals and other printed materials custom for the state hereunder constitute :Documentation :only "Acceptance Tests" means those tests performed during the extent that such materials are described`in or requi the Performance Period which are intended to determine by the Statement "of 'Work. compli4rice of Equipment and Software with the "Equipment" is an 'ail-inctusive term which refers either specifications and all other Attachments incorporated herein individual Machines or to, a complete Data Procesw by reference and to determine the reliability 'of the System or 'subsystem; Including its Hardware and Operal Equipment. software (if ahyj, "Application grogram" means a computer program which "Equipment Failure" is a malfunction in the Equipm( is intended to beexecuted for the purpose of performing excluding all external factors, which ' -prevents useful work for the user of the Information being processed. accomplishment of the Equipment's Intended function(s)'. Application programs: are developed_ or otherwise, acquired microcode or .Operating Software residing Ir the Equipm by the user of the Hardware/Software system, but they may is necessary for the ;proper operation of the Equipment be supplied :by the Contractor. failure of such microcode or C3oeratina Software wl• anical, electrical, or electronic. 7tractor-supplled Machine or kfactured by other than the 'er, that is not connected by entity" means any, individual stock company, consortium, or other 'pilvaie legal' entlty recognized by statute. "buyer°' means the State's authorized. contracting official. "Commercial Software" means Software developed or regularly used that; (i) has been sold, teased. orlicensed to this general public: (ii) has been offered for sale, lease, or license to the general public; (1I1), has not been offered, sold, leased, or licensed to the public but will be available for commercial safe, lease, or license in time to satisfy the delivery requirements of this Contract: or (iv) -satisfies a criterion expressed in (I), (I!), or (III) above and would require only minor modifications to meet the requirements of this Contract. "Contract" means this Contract or agreement (including; any purchase' order), by whatever name known or in, whatever format used. "Custom Softvare means' Software that does not meet the definition of Commerolal Software. "Contractor" means means the Business Entity with whom the; State, enters into this Contract. Contractor shall be synonymous with "supplier", "vendor" or other similar' term. "Data Processing Subsystem" means a complement of iu vpwiaung -jorrware, hr any, wnrcn are acqulrea to )erate as an integrated group, and which are terconnected entirely. by Contractor -supplied power and/or gnat cables; e.g., direct access controller and drives, a uster of terminals with their` controller, etc, )ate Processing System (System)" nieans the total implement of .Contractor -furnished Machines,, including one .more central processors (or instruction processors) and perafing Software. which are acquired to operate as an (e.g, reports) to be delivered pursuant to this Contract, including any .such iterris furnished incident, to, the provision of services, Designated CPU(s)" means for each product; if applicable,, the central processing unit of the computers or the server unit,-. including any associated peripheral. units. If 'no- specific "Designated CPU(s)" are specified or the Contract, the t�tM Shall mean any and all CPUs located at the site, specified therein; "Documentation" means nonproprietary manuals and other Revision 8110/2009 (GSAD-401I IT baser( on April 1 , 2007) a hT 91 VYOFK vy wn1Gn tne, bialt' must nave the and available for Equipment delivery means all types of tangible personal props but not- .limited` to materials, supplies, i hit (including computer and telecommunicati( nt); re" usually refers to computer Equipment and d with software. See also Equipment. tion Date' means the date specified In it of 'Work by which' the Contractor' must have Equipment ready (certified) for use by the State. tfdn Technology" Includes, but is not limited onic technology systems and services, automa )n handling, System design and analyh storage and retrieval, telecommunications which inCiC voice, video, and data communications, requisite Sys[ controls, sfmrilation, electronic commerce,, and all relal interactions between people and Machines. "Machine" mans an individual unit of a Data Process: System or subsystem, separately 'identified by; a_ type and model number, comprised of but not limited to mechanic electro-mechanical; and electronic , parts, microcode, a special, features installed thereon and including � necessary Software, e.g„ central processing unit, memi module, tape unit, card reader, etc. "Machine Alteration" means any change to a Contract supplted Machine which is riot made by the' Contractor, a which results in the Machine deviating from its physic mechanical, electrical, or, electronic; (including miorpco< design, whether or :riot additional devices or, parts -r employed In making .sudh change,: "Mainternance Diagnostic Routines means the Alagnos programs, customarily` used b.y the Contractor to ti rignrs acquwreo, specifically to din. rtafl.ka.. MAT C:i1� m. average expected or comp6he t a i, that reside in, I .Equipment to perfo! interface the operate QSPD-401 IT Em other Contractor -supplied programs, and user programs to, the Equipment. "Operational Use Time" means for performance measurement purposes, that time during which .Equiprrtent is in actual operation by the State, For tnairntenance Operational Use Time purposes, that time during which; Equipment is in actual operation and is not synonymous with power on time. "Performance Testing Period" means, a period of time during which the State, by appropriate tests and production runs, evaluates the performance. of newly installed` Equipment and Software prior to its aoceptahce by the State. "Period of Maintenance Coverage„ means .the period. of time, as selected ,by the' State, during which rnaint6nance services are provided by the, Contractor fora fixed,monthly charge, as opposed' to an hourly Charge for services rendered. The Period of Maintenance Coverage consists of the Principal Period of Maintenance and any ociditioijal hours of coverage per day, :and/or increased coverage for "Preventive Maintenance" means that maintenanoe performed on a scheduled psis by the Contractor; which is designed to keep the Equipment in proper operating Condition: '!Principal Period of Maintenance" means any nine consecutive hours per day (usually between the hours of 7:00 a.m. and 6:017 p.m.), as selected by the; State, including are :official -meal period not 'to exceed one hour, Monday through Friday, excluding holidays observed at the - installation. "Programming Aids" rneans Contractor -supplied programs and routines: executable an the Contractor"s Equipment which assists a programmer in the development of applications, including language: processors, sorts, communications modules, data base management systems, and utility routines, (tape -to -disk routines., disk=to-print routines, etc.). "Program Product"' means programs, routines, subrttutInes, , and related items which are proprietary to the Contractor and which are licensed to the State for its use, usually on the basis of separately stated charges .and appropriate contractual provisions: "Remedial Maintenance" means that maintenance performed as required, l,e., on an unsch` "Site License" tneans for each. prodi License" shall' mean the license establist licahle license fees as set, forth in the in alkinclusjVe term which + refers to any routines, or subroutines supplied by the: it (including 'its Operating, Software) mt of operating properly. For Operating 'State" means the government of the State'; of California, its amployees; and authorized representatives, including': Without limitation any department, agency, or other unit of the gc veroment of the State of .California. „system" nneans the comptete collection of Hardware,, software and services as described in this Contract, integrated and functioning together, ,and performing in Revision 8/1612009 (GS100 4011T based on April 12, 2067} accordance with this Contract, "U.S. Intellectual Property Righ#s" means intellectual;propt rights: enforceable in `the United States,' of- America, inciud Without, limitation rights .in trade secrets, copyrights,, and t patents,, :. CONTRACT FORMATION: a) If this Contract results from a sealed bid offered in response ti solicitation conducted pursuant to Chapters 2 (commencingsv Section 1t129t1), 3 (commehr. ng with Section 12100), and from,6 siolicitation other thin descrit: Contractor's quotation or proposal I this Contract document Is the Stat I from a joint bid, it shall be deemed c purchases among joint Contractors. 3. COMPLETE INTEGRATION. This Contract, including any ,docume. incorporated herein by express reference is intended to be complete integration. and there 'are no prior or contemporanec different or additional agreements. pertaining to the subject matter the Contract 4. SEVERABILITY: The Contractor and the State.. agree that if a provision of this Contract is found to be Illegal; or unenforceable, su torm or provision, shall, be deemed stricken and the remainder'oft Contract shall remain in full force and effect, Either party havi knowledge of such term or provision shall promptly inform the other the presumed non•applicabiltty of such provision. 6. IN[JEPERDENT . CONTRACTOR: Contractor and the agents a employees of Contractor, In the p&Mrmance.of'this Contract, shall i in an independent capacity and not as officers orempioyees or, aget of the State; 6. AP I PLIC,ABLE LAW. This Contract shall be governed by a1ld shall interpreted in 'accordance Lmth the laws of the State of Celiforn venue of any action brought with regard to this Contract shall be Sacramento 1.County„ S,acratnenko, California. The United Nptio Convention on contracts for the International Sale of"boods shall r apply to this Contracts 7, COMPLIANCE WITH STATUTES AND REGULATIONS, a[ and the; d United States and t indemnify the Sty ability by reason : of ti of any such claim ,.of within <a reasonat of- the defense of a Ui itTe 01atp IS UiilU#,Wi lay participate in such acu, pool 'to attorneys' fees a GSPO-4011T costs abut not liability); (11) the, State wit) have the _right is approve or disapprove any settlement. or Compromise; which approval will not unreasonably be withheld or delayed, .and (Ili) the, State will reasonably cooperate' 'in the defense and in any rotated settlement negotiations, d) If this Contract is in excess of $u500,060; it is subject to the requirements. of 'the World Trade Organization (WTQ) OoVernment ,,PrOCureflipnt ,Agreeme(it (GPA),. e) To the extent that this contract falls within the scope of Government Code Section 11135, Contractor' hereby ,agrees to respond ;to and `resolve any complaint brought to its attention, regarding accessibility of its products or services; 8. CONTRACTORj$ POWER AND AUTHORITY: The Contractor warrants that it has full }cower and authority to grant the rights herein The State will notify, Contractor of any such claim In writing and tender, the defense thereof within a reasonable time; and Contractor will have sale control of the defense of any action on such claim' and all negotiations for Its settlement or compromise, provided that (1) when substantial pr"niciples of government or public ,law 'are involved, when litigation might create precedent affecting future State operations or liability, or when involvement of the. State is otherwise mandated by ,law, the State May participate in such action at its own expense with respect to attorneys' fees and costs (but not liability); (ti) the State< wilt have the right to approve or disapprove any settiement or compromise, which approval Will not unreasonably be., withheld or delayed;. and (III) the State; wilt reasonably cooperate in the defense_ and" in any rotated settlement ne'ootiatfons. 9. ASSIGNMENT: This Contractshall not be assignable by the Cottitractor in whole ;or In part without the written consent of the=:State. For the purpose of this paragraph, State will not unreasonably -prohibit Contractor 'from freely as0p6ing its; right to, payment, provided that; Contractor remains responsible for its obligations hereunder; 10, WAIVEt2 0F'RIGHTS: Any action or inaction st y the State or the:failure of the State; on_any;occasion, to enforce any i'ight or provision of,the Contract, shall not " be pon; trued to' bo, a waiver by =the State of its rights hereunder and shall not prevent the State from enforcing, such> provision or rlght.on any, future occasion. The rights and rernedles of the State herein are cumulative;and are in addillon to any other rights or remedies that the :State may have at law or in equity,; 11. ORDER OF PRECEDENCE: in the event of any inconsistency between' this Contract, the following order of precedence shall apply: a) these General Provisions — Information Technology (In the instances pr0.u(aed herein where the paragraph begins. 'Unless General Provisions) b) contract faun, Le;, Nrchos"e Ot4or 5TO 05, Stondard Agreement STD 21(3, etc., and any amendments thereto; 0 iinfortn0on technology special provisions; - d) statement of wort(, including any specifications incorporated by Msion 611012,0e9.(GSPD-4011T:based on April 12, 1607) reference herein; and e) all other, attachments incorporated'in the contract by reference. 12, PACKING AND SHIPMENT, a) All Goods are to be paclted'in suitable containers for prdtecflor shipment and storage, and -'in accordance with applica specifications. Each container ,of a multiple container shiprni shall be identified to: t) show the number of the container and the total number containers In the shipment;' and li) the number of, the cantainor in which, the packing sheet, f been enclosed, b) A 13, u., st, inctt tber; ti nber a 15. SUBSTITUTIONS: St bstitutton of' Ge4 verables may not be tenders without advance written consent of the Buyer. Contractor shall r userany spaciftcation',1h I(eu of those 'containbd<In the Cantreot with:: written consent of the Buyer: 16., IN5PECTION, ACCEPTANCE AND REJECTION, )0090 otherwls spacitied in the Statement of Work: a) Contractor' and its s>rk7Contractors will provide- a. Main tain a quality assurance system acceptable to the °:$te covering Deliverables and services under this° Contract a Page 3 of 111 GSPD-40,1 iT WESTERN STATES CONTRACTING ALLIANCE (WSCA) COMPUTER EQUIPMENT, OF ARE, EP1PHF_kAL AND RELATED SE 1- ICES i t�(�1 -2014 GENERAL PROVISIONS will tender to the State only those Deliverables that have -.to code', or any similar malicious mechanism designed been Inspected and found conform to IN& Contract's intorfeTe with the Intended operation of,, or cause d'arria requirements. Contractor will keep records evidencing to, computers; data, or Software);. and (II) w111 not ilfrr Inspections :and their result, and will 'make, these records or violate any U.S Intellectual Property. Might. With. available to the State during Contract performance.' end' for limiting the pnerality' If the foregoing; it the 'State belie three years after final payment. Contractor shall permit the that harmful code m,ay be present in ,any Corrtmer State° to review procedures, practices, processes, and Software delivered hereunder, Contractor' will, upon related documents to determine the" acceptability of state's request. provide a master copy 'Of' the Software Contractor's _quality assurance System or other similar comparison :and correction. business practices related to performance of' the Contract, Unless otherwise speotfieti. in the Statement of Wotk: b) All Deliverabtes may be 'subject to inspection and •test (1) Contractor does not warrant" that :any :Soffw, by the State or its "authorized representatives; provided` hereunder "is error -free or that It will ,'l c)"Contractor and its subcontractors shall provide all reasonable without immaterial; interruption. facilities for the safety and convenience of"Inspectors at no (ill Controtor does not warrant and will have •additional cost to the State, Contractor shall furnish to inspectors responsibility for a claim' to .the extent that it 'ari« all information and data as :may be reasonably required to directly from (A) a modification made by the, Ste perform their inspection. unless, such modification is approved or directed d) All'TDeliverables may, be subject to final inspection, test and C�chtraotor, (f) use of Software in "combination with acceptance by the 'State at destination, notwithstanding any on products ,other than as" specified by 'contractor, payment or inspection at source. (C) misuse by the State e) The State shall give written notice of rejection of Deliverables (lit) Where Contractor resells Hardware or Software delivered or services performed hereunder within a reasonable purchased from a third `party, and such third pa time after recelpt of such Deliverabfes. or performance" of such offers additional or more :advantage'ous warranties" th services. Such notice of rejection will state the respects irl_which. those set: forth hereln, Contractor will pass through a the Deliverables dog not substantially conform to their such . warranties to the, State and' will reasonai specifications. If the Slate does not `provide•suc"h notice of cooperate, in enforcing them. Such warranty, pa; rejection within thirty (3t9}:.days lit delivery, such Deliverables and through will be supplemental to, and not relie services will"be deemed to have been accepted, Acceptance" by Gontractor "from,; Contractor's warranty obligations the State',will" be final and Irreversit?le except as it relates to "gross forth above. latent defects; fraud, and mistakes 11amounting to fraud. All warranties: including special warranties slabciei Acceptance shall not be construed to waive any.'vrarranty rights' elsewhere tterelit•, shall inure to the Mate:," its successo that the State might have at, law `o(by express reservation In thisl assigns, customer 'agencies, And govommontal users of t Contract"wlth respect to any nonconformity. DollverabfEis or services. e) ,Except as may be �spvcifical,iy provided in the Statonrei of Work or elsowhero in .this Contract,; for Any breath of 'this 17. SAMPLES the warranties provided' in Section, the State's exclusf a) .Samples of items: may be required by the State for inspection" and remedy -and Contractors sole obligation will be limited to; speciication'testing and must ha furnished free of expense to the (i) re-perforrisance, repair, or replacement of, t State., The samples furnished must be identical in all respects to nonconforming [Deliverable (including wltht the products bier andlor specified, n the Contract, limitation an infringing Deliverable) or -service;: or b) Samples;, if not destroyed by tests, may, upon request made at the (il) should the State in its ,sole discretion conse: time the sample is furnished, be returned at. Contractors rotund of all: amounts "paid by, the State for 't expense, nonconforming Deliverable or` service- and payme to time. State of any additional amounts necessG 18. WARRANTY, to equal" the State's Cost "to Cover. "Cost a) Unless otherw{se specified in the Statement of work, the Cover" means the cost, properly. millgat4d, warranties in this subsection a) begin upon delivery of the procuring Deliverables or services of equivale good"s or Services In question and: "end one (1) year capability, function, and performance. Ti thereafter. Contractor warrants that (I) Dellverabim and payment obligation in subsection (e)(ii) above v services furnished hereunder will substantially conform, to not exceed the limits on, Contractor's liability s the requirements 61"Ji is Contract (including without Iirriliation forth in the Section entitled "Limitation .of Liability all descriptions, specifications, °and -drawings identified in the f) EXCEPT FOR' THE EXPRESS WARRANTIES SPECIFIC statement of Work), and (!I) the Deliverables will b`e-=free' iN THIS SECTION, CONTRACT6R FAKES h from material defects h materials and workmanship, Where WARRANTIES EITHER 'EXI, RESS OR IMPLII the parties have agreed to design specifications (such as a INCLUt ING" VHITHOt1T LIMITAT16N ANY . IN1Pl:i Detailed" Design Document)and incorporated the same' or W, RRANTl1 S .t7F" MERCHANTABILITY CAR FITNESS FC equivalent in the Statement of 'Work directly or by: A PARTICULAR PURPOSE, reference, "Contractor ; will, warrant that Its: Deliverables Provide all materialfunctionality required thereby In " addition to "the< other warranties set forth herein, "where the 19, SAFETY AND ACCIDENT PREVENTION: In:perform ing "work and contract calls for delivery of Coftlill0cial software; this : Contract on State premises, Contractor shall conform to, ai Contractor "warrants that soon Software will ,perform in specific safety,requirements• contained In "rho contract or" as: rd6uirt accordance with its license and accompanying' bylaw or reguletion, ;Contractor shall take any,edditiopsl precaution Documentation. The Status approval of designs or as the State may roasonably require for safety. and accide specifications furnished, by Contractor- shall not relieve the prevention purposes; Any violation of -such rules and"-requiremer l Contractor of its obligations .under this warranty.. unless .promptly .corrected, shall be grounds for termination of If Contractor warrants that beiiverableS furnished hereunder (), Con tract.in accordance with tine default provisions hereof. Will be free, At the time of _delivery, of harmful code (i.e, computer viruses, wormm. trap" doors, time bombs, disabling' ix. iNSURANCE- Wh"§� performing work on property In the l re, M to Re,vrs on $4101200s ( st ta•4U1tr bosed dn April 1ZS 2007) Page 4 of 11 GSPD-401IT WESTERN STATES CONTRACTING ALLIANCE (WSCA) COMPUTER EQUIPMENT, SOFTWARE, PERIP E AL AND RELATED SERVICES (2009-2014 GENERAL PROVISIONS or control of the State, Contractor shall maintain,all commercial termination settlement proposals under terminal general liablilty insurance, workers' compensation insurance and `any subcontracts that ere properly chargoblo to t other insurance the State deems appropriate under the Contract. terminated portion of the Contract; and Contractor shall fumish an insurance certi icata evidencing required C) Reasonable storage, transportatic insurance', coverage 'accepteble� to tilts State, Upon request `by ttie` der rtbil#za6 ' 'unan ortlzed overhead and cap! Buyer, the Contractor may be required to have the State shown'as an costs, and other costs reasonably incurred by t "additional insured" on selected policies, Contractor in winding down and termfnatIl wvrk,= 21.TEfiMINATtC�N FOR -NOItt-A#�pROpRfATtOiq OF FUINDS: The Contractor will use generally accepted �acpounti a) If the term of this Contract eklends Into fiscal years subsequent to principles, or-aec0unItin principles otherwise '-agreed :to that in which, if is approved, such_ continuation of the Contract is writing by .the parties, and sound business practices contingent on the appropriation of funds for such purpose by the dotermining all costs claimed, agreed t0, or defermfh Legislature. If funds ta_ effect such continued payment are not appropriated, Contractor agrees to 'tape back any affected under this clause. ieliverables furnished under this Contract, terminate any services supplied to .the State under this Contract, arid, 'relieve, 23. iEstMINATIO FOR DEFAULT., the State of any -further obligation therefore. a) The State may, subject to the clause titled "For b) STATE AGREES THAT IF PARAGRAPH a) ABOVE IS INVOKED, Majeure" and to sub -section d) below bj1 written notice DELIVERABLES SHALL BE RETURNED TO' THE default to the Contractor, terminate} this Contract In whc CONTRACTOR IN SUI3$TAfNTIALLY THE SAME CONDITION or in part If the Contractor fails- to: IN WHICH DELIVERED. TO THE STATE, SUBJECT TO I) Deliver the bliverables or perform the servic NORMAL WEAK AND YEAR. STATE FURTHER AGREES TO within the time specified in the Contract or a PAY FOR, PACKING, CRATING, TRANSPORTATION TO amendment thereto, CONTRACTOR'S NEAREST FACILITY AND FOR ii) Make, progress, sir that the lack of prd'gre REIMBURSEMENT TO THE CONTRACTOR FOR EXPENSES enonl;larsl performance of this. Contract; of INCURRED} FOR THEIR ASSISTANCE IN St1CH PACKING III) perfomi any of the other provisions of this Contra; AND CRATING, b) The States right to terminate this Contract under su section a) above, May be exercised if the failure constltutl 22. TERMINATION FOR THE G NVENIENCE OF THE STATE: a material breach of this Contract and if the Contract a) The State may terminate, performance of work under this does not cure such failure within the time frame .stated Contract for its .convenience in whole or, from time to time, the State's cure notice, which' in no event will be less thi in part, if the Department of General Services, Deputy fifteen (15) days, unless the Statement of Work calls for Director Procurement Division;. or designee, determines that shorter period, a termination is in the State's interest. The Department of c) If the State terminates this Contract in' whole or in pr General Services, Deputy Director, Procurement DlvIslon, or pursuant to this ISe;tion, it may acquire, under terms ai designee, shall terminate by deliver€ng to the Contractor a in the mariner the Buyer considers appropriate; bellverabli Notice of Termination specifying the extent :of, termination or services similar to, those terminated, and the Contract and the effective date= thereof) will be liable to'.the State for any, oxcess costs for _thoi b) After receipt of a. 'Notice of Termination, and except as Defiverables and,, services, including without Ilrnitation cos directed by the State, the Contractor shall Immediately third party vendors charge for Manufacturing Materials (b proceed with the :following: obligations, as applteabte subject to: the, clause entitled "Limitation of Liability regardless of any delay in, determining or :adjusting_ any However, the Contractor shall continue the work' `n amounts due under this clause. The ;Contrgtor`"shall; terrrlindted (i) $top work as specified 'in the .Notice -of Termination'. d) if the Cbntraot iv terminated` for .default, the State may (il) Place no further subcontracts _for materials, services. require, the Contractor to, transfer title, or, in the case of or facilities, except as necessary to complefe the lid6died Software, I nee, -and ;deliv+sr to.ttie� Slat€, as; continuing portion ;of theContract directed by the: Buyer;- any: (III) Terminate: all subcontracts to. the. extent they relate. to (i) completed the, work terminated, ,bellxerables (it) partially camplated� boliverables; and, (iv) Settle all outstanding liabilities and termination to -provisions of stib-section e) kefot settlement' proposals arising from the termination of Manufacturing Manufacturing Materials related to the terminatf subcontracsi-- portion of this Contract Nothing in this sub -section Unless otherwise -set forth In the Statement of Work, 1f the will be construed to grant the State rights Contractor and the'State fall to agree on the amount, to be Deliverables that it would not have received had th paid because of the termination for convenience, the State Contract• been fully performed. Upon direction of ff will pay the Contractor the following amounts, provided that Buyer, the Contractor shall also protect : and presen in no event will[ total payments exceed the amount payable property in 'its possessloh to which the State teas 'E to.the Contractor if the Contract had been fully performed, interest,. The Contract price for Defiverabkes or services a) The State shall pay, Contract price; for complete accepted by the State and notpreviously pair? for, Deliverables delivered and accepted. URIess, the -,StatpMe` sdjust,ed for apy swings on freight and baler charges;" of Work calls for different procedures or, requires no -chary and delivery of Mat; rials, the Contractor and Buyer shall attem, The total of: to agree on the amount of payment for 'Manufacturir A) The reasonable costs incurred in the Materials and other materials delivered and accepted by 0 performance of the work termiitefed, including Stelae for the protection Arid preservation `of tt inifiai' costs and preppratory oxpe noes allocable; prape rty;provided that where the Contractor has bftle~d' 0 thereto, but excluding any; cost ,attributable to State. for any such ,materials, no additional charge will app Deliverables or' services paid :or, to be paid; Failure to agree Will constitute a dispute under it B) The reasonable cost of settling and paying Disputes clause. The State may withhold from the; Revision 8/10/2009 ( SPD-44!IT based on April 12, 2007); Page s of 1 GSPD-4011T WESTERN STATES CONTRACTING ALLIANCE (WSCA) COMPUTER EQUIPMENT, SOFTWARE, PERIPHERAL AID RELATED SERVICES 09_2614 GENERAL PROVISIONS amounts any, 'sum it determines to be necessary to 'protect each putohase order, ,the, State against loss because of outstanding liens or b) The foregoing limitation of liability shall not apply (I) claims of former lien holders.' liability under the General ProviStons =entitled "Pate f) If, after termination, it is determined by a final ruling in Copyright, and Trade, SecretProtection' or to any otl accordance with the: Disputes Clause that, the Contractor liability (including without_ Ilmftatioln indemnifjcafi ' was not in.default, the rights and obligations of the.`parties obligations) for infringement = of third patty intellects shall `be. the •same as if the termination .had peen: issued property rights. (It) olairils ,covered by ,any spec for file convenience of file Mate. .to. - provision heroin calling for liquidated damages; (li) g) Th e rights, and remedies of the Mate in this clause are: olai�ns' arising under provisions herein calling in addition to any other rights and remedi" provided 'by indemnification' far third party etaim' s against the State law or under this Contract, and are subject to the clause �Llmltation bodily - injury to persons or domab real or tang![ titled of Liability." personal property caused by Contractor's'-tnegiigence willful misconduct,, or (iv) to -costs or attorneys fees V the State becomes entitled to: recover as a prevailing; pa 24. FORCE MAJEURE in=any action. Except for defaults'of subcontractors at any tier, the Contractor shall c) The 5tate's liability for damages .for' any cau not be liable for any excess costs if the failure to perform the Contract whatsoever, and regardless of the form of : action, whet# arises from causes beyond the control and without the fault, or in Contract or in. toff, shall' be lintel to the Poncho negligence of the Contractor. Examples of such causes Include, but i�rice, as that term is defined in subsect"ion a) abo+ are not limited to: Nothing- herein shall be construed to 'waive or limit t a) Acts of God or of the,pubtiC enemy, and State's sovereign immunity or=_ariy other Imrriunify frorn s b) Acts of the federal or. State government in either' its sovereign or provided by laws: contractual oapacfty, d) In no event will either, the Contractor or the State If the failure to perform is caused by,the default of asubcontractor at liable for consequential, incidental, . indirect; :special,_ any tier, and,if thecause of -the default is beyond the control :of both puniflve damages, even if n4fl-cation ;has .been given as the Contractor and subcontractor, and without the fault or negligence the possibility of such damages, except (1) ,to the exec of either, the Contractor shall not be liable for any excess _casts for that Contractors liability for such damages is specifically 'in failure to perform. forth the Statement of. Work or, (t) to the extent, P 'Contractor's liability for such damages arises out of se section b)o)., b)(fi), or,a)(iv)above. 25. RIGHTS AND REMEDIES OF:STATE`FOFi D FALILTc a) In the event any Deliverables furnished or services provided by thB 27. C ?NiRACTOR"S LIABILITY FOR INJURY T0' PERSCINS 't Contractor In the performance: of the Contract should fall to, DAMAOETOPROPERTY; conform to the requirements herein, or to the sa,ipple submitted, a) The Contractor shall be liable for,damagea; arising out of injury by the Contractor, the -State may reject the same,. and it shalt the parson aidlor dsiriage .to the property of ithe, 5t6 become the duty of the Contractor to reclaim and remove the employees of the State; persons designated by- the State i item promptly or to correct the performance. of services`, without training, or anyother persons) other than agents or .employe expanse to the State, and immediately replace ail such rejected of.the Conntractor, designated by the State fanny purpose; pri items with others eonforming.to the.Contract, to, during, or subsequent to delivery, installation, acceptant b). In addition to any Other Irights air&remedies the State may have; and use. of the Delivorables.dither at the Contractor's site or the, State may require Contractor, at Contractor`s expense, to the State's place of business, provided, that the injury or dama! ship Deliverables via air freight of ex0dited routinsr to avoid or was.eaused by the fault or neoliaence of the Contractor. the Contractor (but subject to fhe clause entitled °Limltatlon Liabiilty„) d) The State reserves the right to.offset the reasonable cost of`i damages caused to the State against any outstanding fnvoict or amounts owed, to Contractor or to make a claim against 0 Contractor therefore. 26. LIMITATION OF LIABILITY: a) Contractor's liability for darnages to the. ;State for at cause- whatsoever, and regardless of the form of actioi whether "in Contract or in tort, shell be limited to, two tirrlc the Purchase Price. For purposes of this sub -section e 'Purochase Prioe" will mean the aggregate Contract prfei except that, with respect to a ,.Contract under which m"ultip purchase orders will be issued (e.g., a Master Agreerne or Multiple Award Schedule :contract):, Vurchase price" w mean the total price- of the purchase order for tF E)ol 3robl2a(s) or :sorvice(s) that gave rise to the loss; sub that Contractor will have a separate limitation of liability fi Revlsion 8/10/2009 j GSPD.401IT based ott April 12, 2007) INbEIVINIFICATiON, Contractor agrees to indemnify; defend ai save harmless the Mae, lts officers, agents and ernployei from any and all. third' party claims, costs (including witho limitation reasonable attorneys" fees), -and losses: , due to it injuty or death :of any individual, or the loss or damage. to Aa real or tangibta personal property, .resulting from the with misconduct or negligent acts or omissions of Contractor or ai Of • ts. , agents, subcontrar tors, employees,, supptlers laborers, any .other ,person, firm, or corporation furtnishing of supplyli work, services, materials, or "supplies in ,,connection with `ti performance of this Contract. Such defense and paymerit be;-;eonditional upon the following: a) The State will , notify Contractor ',Of any such, claim In ;writii and tender the defense Ihersof within a reasonable titri and b) .Contractor will have sole" control. of the. defenses of any acti on such claim and all ne0otlatioris for its seitfernent compromise; provided that (1) when substantial principles government or public law are, involved; when litigation mlg create: precedent affecting, future State :operations or liabilil Page 6 0f 11 GSPD-401 IT WESTERN STATES CONTRACTING ALLIANCE (W.5CA) COMPUTER EQUIPMENT, SOFTWAR, PERIPHERALS AND RELATED SERVICES (2009�2014 GENERAL PROVISIONS or when in St votvement of the ate is Otherwise mandated by a) The Contractor agrees to provide to the State, at no chap, law, the State may 'participate In such action at itsz oven a number of all nonproprietary rmahuat� phdI other grin] expanse With respect_ to attorneys' fees and costs (but not materials, as .described within the statement of Vvork" a liability): (ii) the hate will have the right to approve or ttpdalsd versio>1S thereof;- which. are necessary or useful. disapprove arty settlement or compromise, 'which approval -and the -State in its use of the Equipment or Software provid Will not unreasonably be Withheld or delayed; (iii) the hereunder.. The Contractor ,°agrees to provide additiol State: will reasonably cooperate to 'the defense and in any Documentatlon. at prices not in excess of .charges moue` related settlement. negotiations_ : the Contractor ° to its cheer customers for slrni Docurt entation. 29, INVOICES. Unless otherwise specified, invoices shall be:sent to b} _if the Contractor is unable to perform rrfaintegance or 1 the address set forth hereii4. invoices -shall` e,sulam tied in t[iplicate State,Ideslres to perform its- o+un maintenance `on t�qupmi and shall include the Contract number; release order number (if purchased under this, Contract, then upon Written notice applicable) item number; unit price,_extended Item price and:-lnvoice� the Slaw the' Contractor will provide at Contractor's th total amount. State sales fax and/or use tax shall be. itemized current rates and to adequate and reasonable assistan separately and added to each invoice as applicable: Including. relevant: Documentation to allow the State maintain fhe Equipment based on Contractor's: methodolo The Contractor agrees that the State may .reproduce. SU 30, REQUIRED PAYMENT DATE: payment will be made in accordance DOcunnentation for its own use ' in rlaintalniny t with the provisions of the California Prompt Payment A:ot, Government EqulpmaM. If the Contractor IS- unable to petfo Code Section 927 et, seq. Unless expressly, exempted,by statute, the maintenance; the Contractor agrees; to license any ott Act requires State agencies to ray properly SubmlE#ed, unsisputed Contr for that the State may have, hired to' maintain t invoices not more than 45 'days after (I) the date Of acceptance of Equipment to use the abovenoted Documentation. T Deliverables or performance of services; or (ii) receipt of an State agrees to include the Contractor's copyright notice undisputed;'invoice, whichever is later: any, such Documentation reproduced in accordance w copyright instructions to be provided by the Contractor. 31, TAXES; Unless otherwise required by law, the State of California Is exempt from Federal excise taxes. The State will only pay for any Vi RIGHTS IN WORK PRODUCT: State or local sales Or use taxes on the services rendered or'Goods a) All inventions, discoveries, -Intellectual property, .fechnir supplied to the State pursuant to this.Contract,; communications and records originated or prepared by th Contractor pursuant to this Contract including paper: 32. NEWLY MANUFACTURED GOODS; All Goods furnished under this reports; charts, computer Diagrams, and otter Contract shall be, newly manufactured Goods, used or reconditioned b6curn6i'tatton or improvements thereto, and, includin Goods are prohibited, unless otherwise specified. Contractor's, administrative communications and recorc relating to this Contract (collectively, the ""Work Product" 33, CONTRACT MODIFICATION: No: amendment or variation of the shall be, Contractor"s exclusive property: The provisions { terms of this Contract shall be valid unless made in writing, signed by this sUb»section a) may, be' revised in a Statement i the; parties' and approved as required. -No oral understanding or Work. agreement not incorporated in the Contract is binding on any of the b) Software and other materials developed, or otherwls parties, obtained ,by, or for Contractor or its affiliates lndopendent! of 4hic. r-`nnJn:ir4 nr onrllir�kra''r rnks —A., .I'Mres 34, 35; NEWS RELEASES; Unless otherwise exempted, news releases pertaintng; to thts Contract shall not be made without prior written approval ofthi - Department of:General.Servtees: 36, DOCU.MENTATiON Revision 8110f2009 (GS€ D-40117" based on April 12, 2007) 4such derivative works oeeated pursuant to thi anst tote Work product, bat other elements d ling in this Section 37 Will be .construed t th Contractor`s or its affiliates' ownership of"Pr6 Aerials. Will "have Govern hens Purpose Rights to ih luct as DellGerable or delivered to the $tat ,Government :Purpose Rights" are th Irrevocable, worldwide, perpetual; royalty -free m tights anti licenses to use, modify, reproduce lease, display, create derivative works from,, an e Work Product ''Government Puroos€a Rights I 1 V VN44 V V403i v 111VS. > 1PLV IV] al ly otato yvvvj.i purpose and to authorize recipients to use, n reproduce, perform, release,, display, create derlvative'' from, and disclose the Wok Product for_, any w, or techniques relating `t during the, course of 'thi GSPD 401IT WESTERN STATES CONTRACTING ALLIANCE (WSGA) COMPUTER �EQUJPMENT, SOFTWARE PERI 3E LS ANb R -A ATE D SCR ICES 09-. GENERAL PROVISIONS Contract by the Contractor" or jointly by the Contractor and unreasonably be "withheld or dalayed; and :(ii'i) 'the ,Stag the Sf""ate may be used by either party with out obligation will reasonably cooperate"in the defense and in any of notice or accounting.. related settlement negotiations., This Contract ""shall not preclude the Contractor from b) Contractor may be required to furnish a bond to" the Sta developing materials; outside this Contract that are, against;, any and all loss, damage, costs, expenses, claims ai competitive, irrespective of their similarity to materials which liability for patent, copyright and"trade secret infringement. " might be: delivered to :the State pursuant- to this- Contract. c)Should the Cielivsrables° or. Software, or 'the Operation tFerer become, or'in the Contractor's opinion are likely to became, t1 subject of .a "cialm of lrifringetnerit or Violallan of a U; 38 PROTECTION OF PROPRIETARY SOFTWARE AND Intellectual Property Right, the:State-shall permitlthe Contract :OTHER PROPRIETARY DATA at Its option and,6x0onset, either to procure for the State the rig a) "State agrees that all material apprtspriatilly marked or to continue using the baliverables or'Software, or to" replace identified in writing as, proprietary, and furnished hereunder modify the some so that they become norHnfdriging. If none- are provided for States exclusive use for the purposes "of these .options can reasonably be token, or'lf the use of. s0i this Contract only. All such: proprietary data; shall remain belNerftbles or, Software by the State shall be'.prevented I the property of the Contractor. State agrees to take all injunction, the Contractor agrees to take back such beliverabli reasonable - steps to insure that such, proprietary data are or Software and make every reasonable effort to assist the Sta net disclosed to others, without prior written consent of the in procuring substitute i7aliverables or Software.. If, in the, sa Contractor, subject to the California Public Records Act, opinion, of the, State, thereturn" of such infringing Deliverables b) The State will insure, prlor "to disposing of any media; Software makes the retention of other Dollverebtes or Softwa that any licensed materials contained thereon have been acquired from the, dontractor".under, this Contract impractical,.tl erased' or otherwise destroyed,' State shall then have the option Of tarminating such Carttraots, c) The. State agrees that it will take appropriate action by applicable portions thereof, without penalty or terminati( Instruction, agreement or otherwise, 'with its employees or "software charge; The Contractor agrees to take back such Deliverables other persons. permitted access to _licensed and Software and refund any sums the State has paid Contract other proprietary data to satisfy its obligations under this less any reasonable amount for use or damage._ Contract with respect" to use, copying,,' modification,,, d) The Contractor shall have no liability to the State under ar protection and security of proprietary software' and other provision of this clause: with respect to any claim of polar proprietary data,, copyright or trade secret nfringementwhich Is:based upon;_: (1) The combination or utlilzatlon of Deljveralt)es. furnish hereunder With tquipmentor devices not mode o"r furnishe 39. PATENT, COPYRIGHT AND TRAbE•$ECRET INDEMNITY: by:the"Contractor;"or, a) Contractor will indemnify, defend, and" save harmless the (h) The operaflon of .EquIprftetit furnished by the Contracts State: Its officers, agents, and: employees, from any and all un, %r the control �of any Operating S Software other then, third party claims, costs (Incl"uding without limitation 'C in addbfi6wjo; th"e'aurrent version- of ,oritractorasuppf reasonable attorneys'' fees)', .and losses for Infringement or Operating Software, Or violation of any US. Intellectual Property �Rlght by any (tit) The modlhoation bylhe State of the" Equipment furnishe product or service provided., hereunder. V�th respect to hereunder pr of the Software; or claims; �]rWrig from , computer Hardware or Software (Iv) The combination or utilization "of Software "furnishE manufactured by a third party and sold by Contractor_ as, a hereunderwithnon contractor supplied Software, roseller, Contractor Will pass; through' to the State such e)-Contractor certifies that it has approprtate"systents and controls, indemnity rights- as it receives- from such third party (`Third place to ensure that State funds will -not; be ;used 'in it, Party :Obligation") and will cooperate in a dreing them;: performance of this Contract for the acquisition, operation t provided that if the third party manufacturer fails to honor maintenance of computerSoftware'ln violation of copyright laws the Third Party Obligation, Contractor Will provide the: State with indemnity protection equal to that called for by the Third Party Obligation, but in no event greater than that 40. EXAMINATION AND'AU0IIT: Contractor agrees that the State; or t called ;for in the first `;sentence of tills" Section "39a). The designated representative shall have the rightto roview-`and copy, or. rovisions of the p preceding sentence apply only to third' records' and supporting pocumentation pertaining to performance i party computer Hardware or' Software ?sold as _a distinct unit this Contract. Contractor agrees'to maintain adoh "records for passibi and accepted by the State.. audltfor a minimUrh of. three °(3) years after find payment, unless;: longer Unless, a Third Party Obligation provides otherwise, the, period of records retention is" stipUlated. Contractor agrees i allow" the auditors) access to such records during normal.busines defense and payment .obligations set 'forth in this Seddon hours ";end to. -allow interviews of .any employees-or.othocs who migl 396) will be Conditional upon the following., reasonably "have Information related- to such "reaorda". Furthe the: State will notify Contractor of any such claim,in Contractor agrees to ,A *similar "right of "the"State to and writing and, tender- the defense thereof within a -include records, and ihterview,'staff-In-any"subo'ontra6i related"to,performanc reasonable time; and ofthisContract., Contractor will have "sole control of the defense of any' action on such claim an# all negotiations" for "its' 41, biSPUTES:- settlement or Compromise; provided that (j) When a) The parties shall steal in good faith and attempt to resolve pofentii sub�tantlal principles,_ of government or public lava are disputes Informally. If the -dispute porslats, Contractor ash irtyplved, when litigation might .create precedent affecting submit to the Department1511rector or. designee: a written deMan future State operations or liability, or when involvement for a final, deoislorr""regarding this disposition' of any dispel of the State is otherwise mandated by taw: the State #SOtwuerl the parties arising under~, related to or involving thi may participate in such action at its own expense" with Contract; unless the State, on its own initiative;: has, alread respect to attorneys'` fees and costs (but not liability); (4) E€tdered such f!not' decision. Contractor's written demon the: State will have the right to approve oe disapprove shoil be fully supported by factual information, and if 'suc any settlement or compromise, which approval will not demand involves=a'post adjustment to the,,Contract, Contractr Revision 81/0/2009 (0SPD-401 ii based on April 12, 2007) Page: of 11 ` GSPD`-4011T COMPUTER EQUIPMENT, SOFTWARE, PERIPHERALS AND RELATED SERVICE$ (200 -204 GENERAL. PROVISiONS shut i'tciude With the demancf a written: statement signed by an shall show reasonable oasts resulting from the Stop WorkOrc euthorized person indicating that the demand is, made in good; Inarriving atth€ i'termination settle hj, forth, that the _supporting data are accuratend complete and d) The Mate shall not bE3 tible totheontracior for loss of prvl that the amount requested accurately reflects the Contract, because of a Stop Work Order issued under this clause. adjustment for which Contractor believes the State.is liable, if the Contractor is not satisf led with the decision of "the' Department 43, FOLLOW}ON CONTRACTS i Director or designee, the Contractor may appeal the decision to If the .Contractor t its affiliates' provides Tedhni the Department of General Services,, Deputy Director, Consulting and Direction (as defined below), the Gontrac c) CI) The Stop Work Order results in an Increase in the time required'for, or in the contractor's cost property atiooeble,to this Contract c) If a Stop Work Order is not canceled and the Work covered by the. Story Work Order is terminated in accordance with the provision entitled Termination for the Convenience of the State,, the State Revision 8/10/2009 (GSPD-4011T based on Alton/ f2 2007j supply the service .or system; or component thereof, that .is used for or With any subject of such Technical C Direction, and, (i) Will' not act as consultant to, `arty, pe that does receive' a Contract described technecat Consulting and Direction, whichever com litter, "Technical Consuiting. and Direction" means < servicess l which the Contractor received compensation from the 'Ste and Includes' () development of or assistance in the development work statements, specifications, solicitations,; feaslbiiity studies; (il) development or design of 'test requirements; fill; evaluation of test date; (Iv) direction of or evaluation of another Contractor; ,(v) provision of:formal recommendations_ regarding if acquisition of Information Technology- products, services; or (yi) provisions of formal recommendations 'regarding ai of then above. ' For purposes of this Section, „affiliate other entity controlled by ;controlling,. or under cot lm( control with the Contractor. Control exists when entity owns or direr#s more than fifty percent (50%) the outstanding shares or securities representing It right to' vote for the etectlon of directors or oth managing, authority. To, the extent; permissible by law, the Director of tl Department of General' Services, or designee:,, may w kit be in the, States' best interest.. Except i d by law, the: restrictions of -this Section will follow-on advice given by vendors of commerd he -shelf products, Including Software. end Hardwar the operation, integration, repair, or maintenance h products after sale; or re the State has entered into a master aareeme The restrictions; set forth in this Section are in sedition conflict. _of interest restrictions _Imposed= on public Contracto- gy callirlrnfa IaW ("Cvriflict Laws."). In the event, of ar inconsistency, such Conflict Laws override the provisions this Section, even if enacted after e)(ecutlan of th Contract, 44. PRIORITY HIRING dONSIDERATIONS: If this Contract includf services in excess of $200,000, the contractor sha'il give, priori consIideratbri in filling' vacancies in positions ftin;oed by file Contract qualified recipients -of -aid under Welfare and institutions,Gode Sectic 'Page 9 of 11 GSPD-401I1 WESTERN STATES CONTPA TINC:ALLIANCE (WSCA) COMPUTER EQUIPMENT, SOFTWARE, PRI H RALS" AND,RE,,ATE SERVICES ( a6. 0 w GENERAL PROVISiONS 11200 In accordance with f?CC Section 10353 from the State any, portion of the "recovery, , ncivoirtg _tre 46, COVENANT AGAINST GRATUITIly , The. Contractor warrants that damages, attributable fo overcharges that were paid .by i assignor but were not paid by the,State as part` of the bill p6 no gratuities (in the form of entertainment, gifts, or otherwise) were. offered or given by the Contractor,�4r, any agent ovrepresentative of less the expenRes "incurred In obtaining that portion r'of I I the Contractor, to any officer or .employee ".of the State with Ia" view- recovery. o)-Upon demand in=WrIlIlrig by the assignor, the assignee shall, wit, toward securing the "Contract or securing favorable treatment with one year from such demand, reassign the cause of acti respect to any determinations concerning the performance of the assigned under this part if the assignor has been or may ha Contract, For breach or violation of -_this warranty, the: State sh'althave- been injured by the violation of law for which the cause of ad the right to terminate the Contract, 'either in whole or in part, and any arose and' loss or darnage sustained ---by the state in procuring on the open 6) (he assignee -has not been injUred,thereby, or market any items ;which Contractor =agreed to supply shall be bome (0) the assignee declines to file a court action for the cause and paid for by the Contractor. The rights and remedies of the State- action. provided in this ciau"se shall not be .oxclusivb and are in "addition to any other rights and remedies provided by law -or in equity, 49. DRUG�FREE WORKPLACE CERTIFICATION: The Contrac corti(es tinder penalty, of penury under the laws.pf the Stale. 46, NONDISCRIMINATION CLAUSE." California that the Contractor.will comply withtherequirements of t a) During the performance of this Contract, Contractor 'and -its Drug -Free Workplace Act of 199t7 (GovonimeritCpde Section j35t7 subcontractors shall not unlawfully discriminate; ''harass or allow_ seo,) and will provide a drug -"free workplace by taking the. follow! harassment against any .employee or applicant for employment actions,, because of sex, sexual orientation, race, color- ancestry,_ a) publish a statement notifying empinyaos that unlawful manufactu religious "creed, national origin, .disability (inciuding HIV and distribution, dispensation, possession, or, use of a controll AIDS), medical condition (cancer'), age, marital status, end denial Of family care leave. Contractor and subcontractors "shall insure substance"is prohibited and specifying actions to bar 'tak against employees for violations, "as required t'y Governm that the evaluation and treatment of their employees and Code Section 8355(a) appilcants for employment are free from such discrimination and' b) Establish a D,,rug-Free; Awareness Program as required' harassment, Contractor and subcontractors shall comply with the Government Code Section 8855(b)=to in employees about provisions of the Pair Employment and Housing Act (Government ofthe following; Code; Section 12990 et seq) and the applicable regulations (i) the dangers of drug abuse in the workplace, promulgated thereunder (California Code of Reguiations, Title 2, (it) the person"s or organ"rzation`s" policy of maintaining a dru Section 7M.0 et seq.), The applicable regulations of the Fair free workplace; Employment and Flouring Comission implementing' (ill) any available counseling, rehabilitation and employ, Government Code Section 12990 (a-f), set, forth in Chapter 5 of assistance'programs,"and, Division 4 of Title 2 of the California Code, of Reguletions are (iv) pen61ties" that may 'b"e Imposed upon "employees far dri Incorporated into this Contract by reference and made a pall,: "its'subcontrarxors' abuse. violations. hereof as if pot forth in full. Contractor and c) wrovide, as required by Government Code Section "8355(b), t#� shall give written notion of their obligations, under this, clause to. every employee who works- on tho proposed or rosuttti labor organizatlons"with which :they have a collective; baraining Contract; or other a reement. g b) The Contractor shall inoiude the 'ndiscri i tl d 1. {f)" will receive, a copy of the company's drug -free. -poll• — np m na organ comp lance... provisions of this clause in ail Isubcontracts to perform work under the. Contract, 47. NATIONAL LABOR RELAT1,ON,S BOARD CERTIFICATION Contractor swears tinder penalty of perjury that no more than, one final, unappoalable finding of contempt of court by a federal, court has been Issued against the Cont"rector within the immediately preceding two-year period because of the Contractor's' failure to comply With an order, of the National Labor Relations Board. This provision Is required by, and shall be construed 'in accordance with, PCC Section 10296. 48, ASSiGNM9-NT OF ANTITRUST ACTIONS; Pursuant to Government Code Sections 4552, 4563,-and 4554, the following provisions are incorporated herein; 61 60i FOUR;DIGIT it will provide on Deliverables ' and. Compliant" Oelivi calculate, compai limitation date d changes in cen Subject to :the v and does"not Iirn elsewhere, herein, Pegg' 10 of 1`1' es can accurately, I date data, Including; IT relating to leap" yoi °anty and represent conditions of this t warranty obligations s (38PD-401IT WESTERN STATES CONTRACTING ALLIANCE (WSCA COMPUTER TER EQUIPMENT, SOFTWARE, PERIPHERALS ANDRELATE SERA b) Contractor agrees to cooperate fully in providing reasonable access to its records; documents, agents or employees, or promises if reasonably required by authorized officials of the State, the Department of Industrial Relations, or the Department of Justice to determine < Contractor's compliance' with the requirements under paragraph (a). .52, RECYCLING; The Contractor shall certify In Writing Linder penatty, of perjury, the minimum, if not exact, percentage of post consume or 53. CHILD SUPPORT COMPLIANCE ACT: For any Contract in excess of $100,000 the Contractor acknowledges in accordance with PCC Section 7110, that: a) The Contractor recognizes the importance of child and family support obligations and shall fully comply with all applicable State" and federal laws relating to child and family support enforcement; including., but not limited to, disclosure of Information, and compliance with earnings asslgnment,orders, as b) $4. AMERICANSWITH DISABILITIES ACT: Contractor assures the State that Contractor complies with the Americans with Disabilities Act of 1990 (42 U.S.C: 12101 et seq); 56. ELECTRONIC WASTE. RECYCLING` ACT OF 2003 The Contractor certifies that it complies with the requirements of the Electronic Waste Recycling Act' of 2003, " Chapter 8.5, Part 3 of Division 30,. commencing. with Section 42460 of .the Public Resourcos, Cods', relating to hazardous and solid waste. Contractor shall maintain documentation arid: provide reasonable. access to its records and documents that evidence compliance. $6, USE TAX COLLECTION: 1n accordance with PCC Section 10295.1, Contractor certifles that it complies with the requirements of Section 7101 of the Revenue and Taxation Code. Contractor further certifies that it will immediately advise State of any change in its retailer's. seller's permit or certification, of registration or applicable affiliate's seller's permit or: certificate of registration as described in subdlvision (a) of ►ACC Section 10296A, 57, EXPATRIATE CORPORATIONS: Contractor hereby declares` that it is not an expatriate corporation or subsidiary of an expatriate corporation within the meaning of PCC Sections 102..86 and 10286.1, and Is eligible to contract with the State. 68. DOMESTIC PARTNER$ For contracts over $100,000 executed or amended after ;lanuary 1, 2007, the contractor certifies that the contractor is to compliance with Public 'Contract Code section, 10295.3. Revision &11012009 (GSPDI4011T based on April 12, 2007) Page 11 of I I WESTERN STATES CONTRACTING ALLIANCE MASTER PRICE AGREEMENT for COMPUTER EQUIPMENT, PERIPHERALS, AND RELATED SERVICES Number B27164 This Agreement is made and entered into by Hewlett Packard Company, Hewlett- Packard Company, 11445 Compaq: Center Drive W, Houston, TX 77070 ("Contractor" or "HP") and the State of Minnesota, Department of Administration ("State") on behalf of the State of Minnesota,participating members of the National Association of State Procurement officials (NASPO), members of the Western States Contracting Alliance (WSCA) and other authorized Purchasing Entities, RECITALS WHEREAS, the State has the need to purchase and the Contractor desire to sell; and, WHEREAS, the State has the authority to offer contracts to CPV members of the State of Minnesota and to other states. NOW, THEREFORE, In consideration of the mutual promises contained herein, the parties agree as follows: INTENT AND PURPOSE The intent and purpose of this Agreement is to establish a contractual relationship with equipment manufacturers to provide, warrant, and offer maintenance services on ALL Products proposed in their response to the RFP issued by the State of Minnesota. Delivery, support, warranty, and maintenance may provided by the Contractor using subcontractors. The Contractor agrees to take legal responsibility for the warranty and maintenance of all Products furnished under this Agreement. The Contractor is responsible for the timeliness and quality of all Services provided by individual subcontractors. Subcontractor participation will be governed by individual Participating Entities, who have the sole discretion to determine if they will accept Services from a subcontractor. Individual Purchasing Entities may enter in to lease agreements for the Products covered in this Master Price Agreement, if they have the legal authority to enter into these types of agreements without going through a competitive process, and if the Contractor submitted copies of its lease agreements with its response to the RFP. The Tease agreements were not reviewed or evaluated as part of the RFP evaluation process. The agreements are located in Exhibit C, Value -Added Services. 1 of 42 The Agreement is NOT for the purchase of major, large hardware or hardware and software offerings. In general, individual units/configurations for servers and storage (SANs, etc.) should not exceed $300,000 each. Desktop per unit/configuration costs should not exceed $100,000. Printers of all types and monitors per unit/configuration costs should not exceed $50,000 each. It is the expressed intent of some of the Participating States to set this level at not to exceed $25,000 each, or $50,000. Contractors must be willing to comply with these restrictions by agreeing to supply Products in those price ranges only. This IS NOT a restriction on how many units/configurations can be purchased, but on the value of each individual unit/configuration. Individual Participating States and Participating Entities may set specific limits in,a participating addendum above these limits, with the prior approval of the WSCA Directors; or may set specific limits in a participating addendum below these limits. Contractors may offer, but participating states and entities do not have to accept, limited professional services related ONLY to the equipment and configuration of the equipment purchased through the Agreement. 1. Definitions "Announced Promotional Price" are prices offered nationally to specific categories of customers (Consumer, Business or government) for defined time periods under predefined terms and conditions "Consumables"those items that are required for the operation of the Equipment offered or supplied which are consumed over time with the purchaser's use of the equipment are included — printer cartridges, batteries, projector bulbs, etc. Consypm—as uch as magnetic media payer and generally available !fF(ce supalies are excluded. , "Configuration" in most instances in this document means a total system configuration. This may include more than one model or part number (or SKU), or combination of hardware, software, and configuring of the system to make the system work: "Contract" means a binding agreement for the procurement of items of tangible personal property or Services. Contract and Master Price Agreement are used interchangeably in this document. "Contractor" means the successful Responder who enters into a binding Master Price Agreement. The Contractor is responsible for all sales, support, warranty, and maintenance services for the Products included in this Agreement. The Contractor must manufacture or take direct, non -assignable, legal responsibility for the manufacture of the equipment and warranty thereof. For the purposes of this Contract, the term Contractor and Contract Vendor are synonymous. "CPV Member" is any governmental unit having independent policy making and appropriating authority, that is a member of Minnesota's Cooperative Purchasing Venture (CPV) program. "CPV Program." The Cooperative Purchasing Venture (CPV) program, as established by Minn. Stat. § 15C.03, subd. 10, authorizes the commissioner of 2 of 42 Administration to "enter into a cooperative purchasing agreement for the provision of goods, services, and utilities with [governmental entities] ..., as described in section 471.59, subdivision 1. Based on this authority, the commissioner of Administration, through the Materials Management Division (MMD), enters into a joint powers agreement that designates MMD as the authorized purchasing agent for the governmental entity. It is not legal for governmental entities that are not members of the CPV program to purchase from a State contract. Vendors are free to respond to other solicitations with the same prices they offer under a contract, but that is not considered use of the "State contract price." "Cumulative Volume Discount" refers to the increased discounts by Product group or Band under the HP Product and Service Schedule (PSS) which may be offered by HP based on HP's evaluation of its pricing policies and structures on a periodic six month basis. If Cumulative Volume Discounts are recommended by HP, HP's written request for the increased discount is submitted to the WSCA/NASPO Contract Administrator for approval. The increased Cumulative Volume Discount is effective for orders after the later date of receipt of approval from the WSCA/NASPO Contract Administrator or the effective date spefified in the HP written request for approval. "Documentation" refers to manuals, handbooks, and other publications listed in the PSS, or supplied with Products listed in the PSS, or supplied in connection with Services. Documentation may be provided on magnetic media or may be downloaded from the Contractor's web site. "E-Rate is a program sponsored by the Federal Communications Commission whereby educational and other qualifying institutions may purchase authorized technology at reduced prices. "Educational Discount Price" means the price offered in a nationally announced promotion, which is limited to educational customers only. "Equipment" " means workstations, desktop, laptop (includes Tablet PC's), handheld (PDA) devices, projectors, servers, printers, monitors, computing hardware, including upgrade components such as memory, storage drives, and spare parts. AUDIO VISUAL PRODUCTS (digital cameras, televisions, whiteboards, etc.) are NOT included in this RFP or subsequent contracts. The exception to this definition is whiteboards, which can be sold as part of the Instructional Bundles, but not as a stand-alone item. "FCC" means the Federal Communications Commission or successor federal agency. In the event of deregulation, this term applies to one or more state regulatory agencies or other governing bodies charged to perform the same, or similar, role. "General Price Reduction Price means the manufacturer's suggested retail price (MSRP) offered to consumer, business or governmental purchasers at prices lower than PSS pricing. General price reduction prices will be reflected in the PSS as soon as practical. "Lead State" means the State conducting this cooperative solicitation and centrally administering any resulting Master Price Agreement(s). For this Master 3 of 42 Price Agreement, the Lead State is Minnesota. "Mandatory The terms "must and "shall" identify a mandatory item or factor. "Manufacturer" means a company that, as its primary business function, designs, assembles, owns the trademark/patent and markets computer equipment including workstations, desktop computers, laptop (includes Tablet PC's) computers, handheld (PDA) devices, servers, printers, and storage solutions/auxiliary storage devices. The manufacturer must provide direct un infringed unlimited OEM warranties on the Products. The manufacturer's name(s) shall appear on the computer equipment. The Contractor(s) shall provide the warranty service and maintenance for Equipment on a Master Price Agreement as well as a Takeback Program. "Master Price Agreement' means the contract that MMD will approve that contains the foundation terms and conditions for the acquisition of the Contractor's Products and/or Services by Purchasing Entities. The "Master Price Agreement" is a permissive price agreement. In order for a Purchase Entity to participate in a Master Price Agreement, the appropriate state procurement official or other designated procurement official must be a Participating State or Participating Entity. "Materials Management Division". or "MM" means the procurement official for the State of Minnesota or a'designated representative: "NASPO" means the National Association of State Procurement Officials "Participating Addendum" or "Participating Addenda" means a bilateral agreement executed by the Contractor and a Participating State or political subdivision of a State that clarifies the operation of the price agreement for the State or political subdivision concerned, e.g, ordering procedures specific to a State or political subdivision and other specific language or other requirements. Terms and conditions contained in a Participating Addendum shall take precedence over the corresponding terms in the master price agreement. Additional terms and conditions, including but not limited to payment terms, may be added via the Participating Addendum. However, a Participating Addendum may not alter the scope of this Agreement or any other Participating Addendum. Unless otherwise specirred, the Participating Addendum shall renew consecutively with the Master Price Agreement: One digitally formatted, executed copy of the Participating Addendum must be submitted to the WSCA/NASPO Contract Administrator PRIOR to any orders being processed. "Participating State" or "Participating Entity" means a member of NASPO (Participating State) or a political subdivision of a NASPO member (Participating Entity) who has indicated its intent to participate by signing an Intent to Participate, where required, or another state or political subdivision of another state authorized by the WSCA Directors to be a party to the resulting Master Price Agreement. "PDA" means a Personal Digital Assistant and refers to a wide variety of handheld and palm -size PCs, and electronic organizers. PDA's usually can store phone numbers, appointments, and to-do lists. PDA's can have a small keyboard, and/or have only a special pen that is used for input and output. The 4 of 42 PDA can also have a wireless fax modem. Files can be created on a PDA which is later entered into a larger computer. NOTE: For this procurement, all Tablet PC's are NOT considered PDA's. The Contractor(s) shall provide the warranty service and maintenance for Equipment on a Master Price Agreement as well as a Takeback Program, "Peripherals" means any Product that can be attached to, added within, or networked with personal computers or servers, including but not limited to storage, printers (including multifunction network printers), scanners, monitors, keyboards, projectors, uninterruptible power supplies and accessories. Software, as defined in the RFP, is not considered a peripheral. Adaptive/Assistive technology devices are included as well as configurations for education. Peripherals may be manufactured by a third party, however, Contractor shall not offer anyperipherals manufactured by another contractor holding a Master Price Agreement without the prior approval of the WSCA/NASPO Contract Administrator. AUDIOVISUAL PRODUCTS (digital cameras, televisions, whiteboards, etc.) are NOT included in the contract. The exception to this definition is whiteboards, which can be sold as part of the Instructional Bundles, but not as a stand-alone item. The Contractor(s) shall provide the warranty service and maintenance for Equipment on a Master Price Agreement as well as a Takeback Program. "Permissive Price Agreement" means that placement of orders through the Price Agreement is discretionary with Purchasing Entities. They may satisfy their requirements through the Price Agreement without using statutory or regulatory procedures (e.g., invitations for bids) to solicit competitive bids or proposals. Purchasing Entities may, however, satisfy requirements without using the Price Agreement as long as applicable procurement statutes and rules are followed. "Per Transaction Multiple Unit Discount" means Purchasing Entity -specific, transaction(s)-specific, large volume negotiated price based on firm quantity and configuration buys during a set timeframe (also referred to as"Big Deal" pricing). "Political Subdivision" means local pubic governmental subdivisions of a state, as defined by that state's statutes, including instrumentalities and institutions thereof. Political subdivisions include cities, counties, courts, public schools and institutions of higher education. "Price AgreementfMaster Price Agreement" mans an indefinite quantity contract that requires the Contractor to furnish Products or Services to a Purchasing Entity that issues a valid Purchase Order: "Procurement Manager" means the person or designee authorized by MMD to manage the relationships with WSCA, NASPO, and Participating States/Participating Entities. "Product(s)" means personal computer equipment, peripherals, LAN hardware, pre -loaded Software, and Network Storage devices, but not unrelated services. The Contractor(s) shall provide the warranty service and maintenance for equipment on a Master Price Agreement as well as a Takeback Program. "Products and Services Schedule Prices or "PSS" refers to a complete list, grouped by major Product and/or Service categories, of the Products and 5 of 42 Services provided by the contractor that consists of an item number, item description and the Purchasing Entity's price for each Product or Service. All such Products and Services shall be approved by the WSCA]NASPO Contract Administrator prior to being listed on a Contractor -supplied web site accessed via a URIL. The Contractor(s) shall provide the warranty service and maintenance for all Equipment listed on the PSS on a Master Price Agreement as well as a Takeback Program. "Purchase Order" means an electronic or paper document issued by the Purchasing Entity that directs the Contractor to deliver Products or Services pursuant to a Price Agreement. "Purchasing Entity" means a Participating State or another legal entity, such as a political subdivision, properly authorized by a Participating State to enter into a contract for the purchase of goods described in this solicitation. Unless otherwise limited by statute, in this solicitation or in a Participating -Addendum, political subdivisions of Participating States are Purchasing Entities and authorized to purchase the goods and/or Services described in this solicitation. "Refurbished Products" are Products that may have been powered on or used by another customer that have been fully retested, defective parts replaced, and ,repackaged to meet original factory specifications. "Services" are broadly classed as installation/de-installation, maintenance, support, training, migration, and optimization of products offered or supplied under the Master Price Agreement. These types of Services may include, but are not limited to: warranty services, maintenance, installation, de -installation, factory integration (software or equipment components), asset management, recycling/disposal, training and certification, pre -implementation design, disaster recovery planning and support, service desk/helpdesk, and any other directly related technical support service required for the effective operation of a Product offered or supplied. General consulting and all forms of application development and 2ro4ramming services are excluded "Servicing Subcontractor/Subcontractor/Reseller Agent" means a Contractor authorized and state -approved subcontractor who may provide local marketing support or other authorized services on behalf of the Contractor in accordance with the terms and conditions of the Contractor's Master Price Agreement. A wholly owned subsidiary or other company providing warranty or other technical support services qualifies as a Servicing Subcontractor. Local business partners may qualify as Servicing Subcontractors. Servicing Subcontractors may not directly accept Purchase Orders or payments for Products or Services from Purchasing Entities, unless otherwise provided for in a Participating Addendum. Servicing Subcontractors shall be named individually or by class in the Participating Addendum. The Contractor(s) actually holding the M er Price Agreement shall e r s on ibla for Servicing Subcontracto 's Providing Products and Servic2lL as welll as warranlyservice and maintenance for equipment the sybcontractor has Provided on a Master Price Agreement as well as the Takgback PrograM. "Standard Configurations" or "Premium Savings Configurations" means discounted standard configurations that are available to Purchasing Entities 6 of 42 using the Master Price Agreement only. Any entity, at any time, that commits to purchasing these Configurations adopted by their State or other Purchasing Entities shall receive the same price from the contract awardees. This specification includes a commitment to maintain and upgrade (keep pace with the advance of technology) the standard configurations for a stated period of time or intervals. "State Procurement Official" means the director of the central purchasing authority of a state. "Storage Solution/Auxiliary Storage" means the technology and Equipment used for storage of large amounts of data or information. This includes technologies such as Network Attached Storage (NAS) and Storage Area Networks (SAN). The C�ctorfs) shall RE2vide the warranty service and' maintenance for eauiument on a Master Price Aurreement as_well as a Takebac Pr_ ouraM, "Takeback Program" means the Contractor's process for accepting the return of the Equipment or other Products at the end of life --as determined by the State utilizing the Master Price Agreement, subject to section 17 of this Agreement. Software licenses, excluding software media; stand-alone scanners; and stand- alone fax machines are not subject to the Takeback Program. , "Trade In" refers to the exchange of used Equipment for new Equipment at a price reduced by the value of the used Equipment. "Travel" means expenses incurred by authorized personnel directly related to the performance of a Service. All such expenses shall be documented in a firm quotation for the Purchasing Entity prior to the issuance and acceptance of a Purchase Order. Travel expenses will be reimbursed in accordance with the purchasing entities allowances, if any, as outlined in the PA. "Universal Resource Locator" or "URL" means a standardized addressing scheme for accessing hypertext documents and other services using the WWW browser. "WSCA" means the Western States Contracting Alliance, a cooperative group contracting consortium for state procurement officials, representing departments, institutions, agencies, and political subdivisions (i.e., colleges, school districts, counties, cities, etc.) for the states of Alaska, Arizona, California, Colorado, Hawaii, Idaho, Minnesota, Montana, Nevada, New Mexico, Oregon, South Dakota, Utah, Washington, and Wyoming. "WSCA/NASPO Contract Administrator" means the person or designee authorized by MMD to manage all actions related to the Master Price Agreements on behalf of the State of Minnesota, the participating NASPO and WSCA members, and other authorized purchasers. 2. Scope of Work The Contractor, or its approved subcontractor, shall deliver computing system Products and Services to Purchasing Entities in accordance with the terms of this agreement. This Agreement is a "Master Price Agreement Accordingly, the Contractor shall provide Products or Services only upon the issuance and acceptance by Contractor of 7 of 42 valid "Purchase Orders'. Purchase Orders may be issued to purchase the license for software or to purchase Products listed on the Contractor's PSS. A Purchasing Entity may purchase any quantity of Product or Service listed in the Contractor's PSS at the prices in accordance the Paragraph 13, Price Guarantees. Subcontractor participation is governed by the individual Participating State procurement official.' The Contractor is. required to provide and/or agree to take legal responsibility for the warranty and maintenance of all proposed equipment, including peripherals. Taking legal responsibility means the Contractor must provide warranty and maintenance call numbers, accept, process and respond to those calls, and be legally liable for and pay for those warranty and maintenance (under warranty) activities The Contractor shall offer a Takeback Program for all Products covered by this Agreement, unless otherwise noted herein. 3. Title Passage The Contractor must pass unencumbered title to any and all Products purchased under this Contract upon receipt of Product by the Purchasing Entity. This obligation on the part of the Contractor to transfer all ownership rights does not apply to proprietary materials owned or licensed by the Contractor or its subsidiaries, subcontractors or licensor, or unmodified commercial software that is available to the State on the open market. Ownership rights to such materials shall not be affected in any manner by this Agreement 4. Permissive Price Agreement and Quantity Guarantee This Agreement is not an exclusive agreement. Purchasing Entities may obtain computing system Products and Services from other sources during the agreement term. The State of Minnesota, NASPO and WSCA make no express or implied warranties whatsoever that any particular number of Purchase Orders will be issued or that any particular quantity or dollar amount of Products or Services will be procured. 6. Order of Precedence Each Purchase Order that is accepted by the Contractor shall become a part of the Agreement as to the Products and Services listed on the Purchase Order only; no additional terms or conditions will be added to this Agreement as the result of acceptance of a Purchase Order. The Contractor agrees to accept all valid Purchase Orders. In the event of any conflict among these documents, the following order of precedence shall apply: A. Executed Participating Addendum(s); B. Terms and conditions of this Agreement, including Amendments; C. Exhibits to this Agreement; D. The list of Products and Services contained in the purchase order; E. The request for proposals document; and F. Contractor's proposal including best and final offer, 6. Payment Provisions All payments under this Agreement are subject to the following provisions: 8 of 42 A. Acceptance A Purchasing Entity shall determine whether all Products and Services delivered meet the Contractor's published specifications (a.k.a. "Specifications"). No payment shall be made for any Products or Services until the Purchasing Entity has accepted the Products or Services. The Purchasing Entity will make every effort to notify the Contractor within thirty (30) calendar days following delivery non -acceptance of a Product or Service. In the event that the Contractor has not been notified within 30 calendar days from delivery of Product or completion of Service, the Product and Services will be deemed accepted on the 318t day after delivery of Product or completion f Services, except for Software which is not pre -loaded on equipment which is accepted upon delivery. B. Payment of Invoice 1. Payments shall be submitted to the Contractor at the address shown on the invoice, as long as the Contractor has exercised due diligence in notifying the State of Minnesota and/or the Purchasing Entity of any changes to that address. Payments shall be made in accordance with the applicable laws of the Purchasing Entity. 2. For Minnesota, per Minnesota Stat. § 16A.124 requires payment within 30 days following receipt of an undisputed invoice, merchandise or service, whichever is later. The ordering entity is not required to pay the Contractor for any goods and/or services provided without a written purchase order or other approved ordering document from the appropriate purchasing entity. After the thirtieth day, interest may be paid on the unpaid balance due to the Contractor at the rate of one and one-half percent per month. The Purchasing Entity shall make a good faith effort to pay within thirty (30) days on all undisputed invoices. 3. Payments may made via a Purchasing Entity's "Purchasing Card In the event an order is shipped incomplete (partial), the Purchasing Entity shall pay for each shipment as invoiced by the Contractor unless the Purchasing Entity has clearly specified "No Partial Shipments" on each Purchase Order. C. Payment of Taxes Payment of taxes for any money received under this agreement shall be the Contractor's sole responsibility and shall be reported under the Contractor's federal and state tax identification numbers. If a Purchasing Entity is not exempt from sales, gross receipts, or local option taxes for the transaction, the Contractor shall be reimbursed by the Purchasing Entity to the extent of any tax liability assessed. The State of Minnesota State agencies are subject to paying Minnesota sales and use taxes. Taxes for State agencies will be paid directly to the Department of Revenue using Direct Pay Permit #1114. D. Invoices 9of42 Invoices shall be submitted to the Purchasing Entity at the address shown on the Purchase Order. Invoices shall match the line items on the Purchase Order. 7. Agreement Term Pursuant to Minnesota law, the term of this Agreement shall be effective upon the date of final execution by the State of Minnesota, through August 31, 2012. The Agreement may be mutually renewed for two (2) additional one-year terms, or one additional two- year term, unless terminated pursuant to the terms of this Agreement. 8. Termination The following provisions are applicable in the event that the agreement is terminated. A. Termination for Convenience At any time, the State may terminate this agreement, in whole or in part, by giving the Contractor (30) days written notice; provided, however, neither the State nor a Purchasing Entity has the right to terminate a specific purchase order for convenience after it has been issued if the Product is ultimately accepted. At any time, the Contractor may terminate this Agreement, in whole or in part, by giving the WSCA/NASPO Contract Administrator sixty (60) days written notice. Such termination shall not relieve the Contractor of warranty or other Service obligations incurred under the terms of this Agreement. In the event of a cancellation, the Contractor shall be entitled to payment, determined on a pro rata basis, for work or Services satisfactorily performed and accepted: B. Termination for Cause Either party may terminate this Agreement for cause based upon material breach of this Agreement by the other party, provided that the non breaching party shall give the breaching party written notice specifying the breach and shall afford the breaching party a reasonable opportunity to correct the breach. If within thirty (30) days after receipt of a written notice the breaching party has not corrected the breach or, in the case of a breach that cannot be corrected in thirty (30) days, begun and proceeded in good faith to correct the breach, the non -breaching party may declare the breaching party in default and terminate the Agreement effective immediately. The non -breaching party shall retain any and all other remedies available to it under the law, C. A Purchasing Entity's Rights In the event this Agreement expires or is terminated for any reason, a Purchasing Entity shall retain its rights in all Products and Services accepted prior to the effective termination date. D. The Contractor's Rights In the event this Agreement expires or is terminated for any reason, a Purchasing Entity shall pay the Contractor all amounts due for Products and Services ordered and accepted prior to the effective termination date or ordered before the effective termination date and ultimately accepted. 10of42 9. Non -Appropriation The terms of this Agreement and any purchase order issued for multiple years under this Agreement is contingent upon sufficient appropriations being made by the Legislature or other appropriate governing entity. Notwithstanding any language to the contrary in this Agreement or in any purchase order or other document, a, Purchasing Entity may terminate its obligations under this Agreement, if sufficient appropriations are not made by the governing entity at a level sufficient to allow for payment of the goods or Services due for multiple year agreements, or if operations of the paying entity are being discontinued. The Purchasing Entity's decision as to whether sufficient appropriations are available shall be accepted by the Contractor and shall be final and binding. A Purchasing Entity shall provide prior written notice, sixty (60) days if possible, of its intent to terminate for reason cited above. Such termination shall relieve the Purchasing Entity, its officers and employees from any responsibility or liability for the payment of any further amounts under the relevant Purchase Order for undelivered Products and Services. 10. Shipment and Risk of Loss A. All deliveries shall be F.O.S. destination, prepaid and allowed, with all transportation and handling charges included in the price of the Product and paid by the Contractor. Responsibility and liability for loss or damage shall remain with the Contractor until delivery to the identified ship to address when responsibility and liability for loss shall pass to the Purchasing Entity except as to latent defects, fraud and Contractor's warranty obligations: B. Whenever a Purchasing Entity does not accept Products and returns them to the Contractor, all related documentation furnished by the Contractor shall be returned also. Unless otherwise agreed upon by the Purchasing Entity, the Contractor is responsible for the pick-up of returned Products. The Contractor shall bear all risk of loss or damage with respect to returned Products except for loss or damage directly attributable to the negligence or wrongful intentional act or omission of the Purchasing Entity. C. Unless otherwise arranged between the Purchasing Entity and Contractor, all Products shall be shipped within 3 to 5 days after receipt of a valid purchase order, by a reliable and insured shipping company. 11. Warranties A. The Contractor agrees to warrant and assume responsibility for each Product that it licenses, or sells, to the Purchasing Entity under this Agreement in accordance with the Contractor's standard warranties. The Contractor agrees to take legal responsibility for the warranty and maintenance (under warranty) of all Products furnished through this Agreement. Taking legal responsibility means the Contractor, either directly or indirectly, must provide warranty and maintenance call numbers, accept, process, and respond to those calls, and be , legally liable for and pay for those warranty and maintenance (under warranty) activities as it applies to the standard warranty that comes with the Product. The Contractor acknowledges that the Uniform Commercial Code applies to this Agreement covering warranty. In general, the Contractor warrants that: 11 of 42 1. The Product conforms to the specific technical information about the Contractor's Products which is published in the Contractor's Product manuals or data sheets. 2. The Product will meet mandatory specifications provided in writing to the Contractor prior to reliance by the Participating Entity on the Contractor's skill or judgment when it advised the Purchasing Entity about the Product's ability to meet those mandatory specifications unless otherwise noted in Contractor's proposed quote to the Participating Entity. 3. The Product will be suitable for the ordinary purposes for which such Product is used, 4; The Product has been properly designed and manufactured for its intended use, and 5. The Product is free of significant defects in material and workmanship. 6. The Product is in the legal possession of the Purchasing Entity, as defined in Article 10 Shipment and Risk of loss, before any warranty period begins. 7. Exhibit A contains warranties in effect as of the date of this Agreement. The warranties will be limited in duration to the time period(s) provided in Exhibit A. The warranties will not apply to use of a Product other than as anticipated and intended by the Contractor, to a problem arising after changes or modifications to the Products or operating system by any party other than the Contractor (unless expressly authorized in writing by the Contractor), or the use of a Product in conjunction or combination with other Products or software not authorized by the Contractor. The following is a list of the warranties attached as Exhibit A: a) Product warranty b) Software warranty c) Procurve warranty B. Contractor may modify the warranties described in Exhibit A from time to time with the prior approval of the WSCA/NASPO Contract Administrator. C. Warranty documents for Products manufactured by a third party shall be delivered to the Purchasing Entity with the Products, as provided by the Manufacturer. D. The Contractor will provide the basic warranty coverage as listed in its PSS. The HP -branded Products available in Bands 1 through 7 have a manufacturer standard warranty period that ranges from one year to three years. The Contractor offers the Purchasing Entities an ability to upgrade warranties, for an additional fee, at the time of purchase of Products in the aforementioend Bands. Contractor's Website lists the environmental certifications; and any self registration claims of EPEAT (bronze minimum) and Energy Star compliance, applicable to the respective Product. 12. Patent, Copyright, Trademark and Trade Secret Indemnification 12 of 42 A. The Contractor shall defend, at its own expense, the State of Minnesota, Participating and Purchasing Entities and their agencies against any claim that any HP -Branded Product or Service provided under this Agreement infringes any patent, copyright or trademark in the United States or Puerto Rico, and shall pay all costs, damages and attorneys' fees that court finally awards as a result of any such claim. In addition, if any third party obtains a judgment against a Purchasing Entity based upon the Contractor's trade secret infringement relating to any Product or Service provided under this Agreement, the Contractor agrees to reimburse the Lead State or Purchasing Entity for all costs, attorneys' fees and the amount of the judgment. To qualify for such defense and/or payment, the Lead State or Participating or Purchasing Entity shall: 1. Give the Contractor prompt written notice of any claim; 2. Allow the Contractor to control the defense or settlement of the claim; and 3. Cooperate with the Contractor in a reasonable way to facilitate the defense or settlement of the claim. B. If any Products or Service becomes, or in the Contractor's opinion is likely to become the subject of a claim of infringement, the Contractor shall at its option and expense: 1. Provide a Purchasing Entity the right to continue using the Products or Services; 2. Replace or modify the Products or Services so that it becomes non infringing; or 3. Accept the return of the Products or Service and refund an amount equal to the depreciated value of the returned Products or Service, less the unpaid portion of the purchase price and any other amounts, which are due to the Contractor. The Contractor's obligation will be void as to any, Products or Services modified by the Purchasing Entity to the extent such modification is the cause of the claim. C. The Contractor has no obligation for any claim of infringement arising' from: 1 The Contractor's compliance with the Purchasing Entity's or by a third party on the Purchasing Entity's behalf designs, specifications, or instructions; 2. The Contractor's, use of technical information or technology provided by the Purchasing Entity; 3. Product modifications by the Purchasing Entity or a third party; 4. Product use prohibited by Specifications or related application notes; or 5. Product use with Products that are not the Contractor branded. 13. Price Guarantees 13 of 42 The Purchasing Entities shall pay the lower of the prices contained in the PSS or an Announced Promotion Price, Educational Discount Price, General Price Reduction price, Trade -In price, or if applicable to Purchasing Entity its available Standard Configuration price or Per Transaction Multiple Unit Discount. Only General Price Reduction price decreases will apply to all subsequent Purchase Orders accepted by Contractor after the date of the issuance of the General Price Reduction prices. The initial base -line and Cumulative Volume Discounts will be submitted to the Lead State by the Contractor in a format agreeable to both parties. The increased price discount represented in the Cumulative Volume Discount will apply to all future orders, until the next level of cumulative volume is in effect. 14. Product and Service Schedule The Contractor agrees to maintain the PSS in accordance with the following provisions; A. The PSS prices for Products and Services will conform to the guaranteed prices discount levels on file with WSCA/NASPO Contract Administrator for the following Products: Band 1 Servers, Band 2 - Workstations Band 3 - Printers Band 4 Storage Solutions Band 5 - PDAs Band 6-- Instructional Packages (Bundles) Band 7 Monitors Operating Systems Local Area Networks Digital Projectors B. The Contractor may change the price of any Product or Service at any time, based upon documented baseline price changes, but the guaranteed price discount levels shall remain unchanged during the agreed period unless or until prior approval is obtained from the WSCA/NASPO Contract Administrator. The Contractor agrees that the PSS on the State's administration website shall contain a single, uniform WSCA price for configurations and items. Failure to comply with this requirement will be grounds for further action to be taken against the Contractor. C. The Contractor may make model changes; add new Products, and Product upgrades or Services to the PSS in accordance with Item 15. Product Substitutions, below. The pricing for these changes shall incorporate, to the extent possible, comparable price discount levels approved by the WSCA/NASPO Contract Administrator for similar Products or Services. D. The Contractor agrees to delete obsolete and discontinued Products from the PSS on a timely basis. E. The Contractor shall maintain the PSS on a Contractor supplied Internet web site. 14 of 42 15. Product Substitutions A. Substitution of units/configurations MMD and the WSCA Directors acknowledge that individual units and configurations may stop being produced during the life of the resulting contracts. Substitution of different units and configurations will be permitted with the prior written approval of the WSCAMASPO Contract Administrator. This substitution is at the sole discretion of the WSCA/NASPO Contract Administrator, subject only to review and approval of the WSCA/NASPO Contract Administrator. B. Addition of units/configurations MMD and the WSCA Directors acknowledge that with the evolution of technology, new, emerging units and configurations will develop. Addition of these new, emerging units may be permitted, with the prior approval of the WSCAMASPO Contract Administrator and the WSCA Directors. The addition of new, emerging units and configurations is at the sole discretion of the WSCAMASPO Contract Administrator, subject only to review and approval of the WSCA Directors. 16. Technical Support The Contractor agrees to maintain a toll -free technical support telephone line. The line shall be accessible to Purchasing Entity personnel who wish to obtain competent technical assistance regarding the hardware and software installation or operation of Products supplied by the Contractor during the Product warranty period or during a support agreement. 17. Takeback and Other Environmental Programs The Contractor agrees to maintain for the term of this Agreement, and all renewals/extensions thereof, programs as described in their response to the RFP, including but not limited to the following paragraphs. A. Takeback/Recycling of CPUs, servers, monitors, flat panel displays, notebook computers, and printers. Costs are list on the web site. B. Environment: Compliance with the following standards: Blue Angel, EcoLogo, Energy Star, EPEAT (by level), Green Guard, Nordic Swan, and TCO. C. Product labeling of compliance with Items B above, as well as a identification of such information on the web site. 18. Product delivery Contractor agrees to make a reasonable effort to deliver Products to Purchasing Entities within twenty (20) business days or less after receipt of a valid Purchase Order, or in accordance with the schedule in the Purchasing Entity's Purchase Order, where the timeframe for required delivery is greater than twenty (20) business days or as otherwise mutually agreed by the Purchasing Entity and Contractor. 19. Force Majeure Neither party hereto shall be considered in default in the performance of its 15 of 42 obligations hereunder to the extent that performance of any such obligations is prevented or delayed by acts of God, war, riot or other causes beyond the reasonable control of the party unless the act or occurrence could have been reasonably foreseen and reasonable action could have been taken to prevent the delay or failure to perform. A party defaulting under this provision must provide the other party prompt written notice of the default and take all necessary steps to bring about performance as soon as practicable. 20. Records and Audit Per Minn. Stat. § 16C.05, Subd. 5, the books, records, documents, and accounting procedures and practices of the Contractor and its employees, agents, or subcontractors relevant to the Minnesota transactions must be made available and subject to examination by the contracting agency or its agents, the Legislative Audit and/or the State Auditor fora minimum of six years after the end of the Contract or transaction. Unless otherwise required by other than Minnesota Purchasing Entity governing law, such records relevant to other Purchasing Entity transactions shall be subject to examination by appropriate government authorities for period of three years from the date of acceptance of the Purchase Order. 21. Independent Contractor The Contractor and its agents and employees are independent contractors and are not employees of the State of Minnesota or of any Participating Entity. The Contractor has no authorization, express or implied to bind the Lead State, NASPO, WSCA or participating entity to any agreements,settlements, liability or understanding with other third parties whatsoever, and agrees not to perform any acts as agent for the Lead State, NASPO, WSCA, or Participating Entity, except as expressly set forth herein. The Contractor and its agents and employees shall not accrue leave, retirement, insurance, bonding, use of state vehicles, or any other benefits afforded to employees of the Lead State or Participating Entity as a result of this Agreement. 22. Use of Servicing Subcontractors The Contractor may subcontract Services and purchase order fulfillment and/or support in accordance with the following paragraphs. However, the Contractor shall remain solely responsible for the performance of this Agreement. A. Reseller Agent, Service Provider or Servicing Subcontractors shall be identified individually or by class in the applicable Participating Addendum, or as noted in the Participating Addendum on the Purchasing Entities extranet site. The ordering and payment process for Products or Services shall be defined in the Participating Addendum. 23. Payments to Subcontractors In the event the Contractor hires subcontractors to perform all or some of the duties of this Contract, for state agency Purchase Entities in the Lead State, the Contractor understands that in accordance with Minn. Stat. § 16A.1245 the Contractor shall, within ten (10) days of the Contractor's receipt of payment from the Lead State Purchasing Entity, pay all subcontractors having an interest in the 16 of 42 applicable Purchase Order their share of the payment for undisputed Services provided by the subcontractors. The Contractor is required to pay interest of 1- 1/2 percent per month or any part of a month to the subcontractor on any undisputed amount not paid on time to the subcontractor. The minimum monthly interest penalty payment for an unpaid, undisputed balance of $100 or more will be $10. For an unpaid balance of less than $100, the amount will be the actual penalty due. A subcontract that takes civil action against the Contractor to collect Interest penalties and prevails will be entitled to its costs and disbursements, including attorney's fees that were incurred in bringing the action The Contractor agrees to take all steps necessary to comply with said statute. A consultant is a subcontractor under this Contract. Notwithstanding, for the purposes of this Section 23, this section shall not apply to Contractor's obligations to its business development partners, including its authorizedreseilers and service providers, where Contractor's obligations to its partners are bound by the terms of a separate business development partner agreement between the partner and the Contractor. In the event the Contractor fails to make timely payments to a subcontractor, the State may, at its sole option and discretion, pay a subcontractor or supplier any amounts due from the Contractor and deduct said payment from any remaining amounts due the Contractor. Before any such payment is made to a subcontractor or supplier, the State shall provide the Contractor written notice that payment will be made directly to a subcontractor. If there are not remaining outstanding payments to the Contractor, the State shall have no obligation to pay or to see to the payment of money to a subcontractor except as may otherwise be required by law. The Contractor shall ensure that the subcontractor transfers all intellectual or industrial property rights, including but not limited to any copyright it may have in the work performed under this Contract, consistent with the intellectual property rights and ownership sections of this Contract. In the event the Contractor does not obtain the intellectual property rights of the subcontractor consistent with the transfer of rights under this Contract, the State may acquire such rights directly from the subcontractor. Any and all costs associated with such a direct transfer may deducted from any amount due the Contractor. 24. Indemnification, Hold Harmless and Limitation of Liability The Contractor shall indemnify, protect, save and hold harmless the Lead State, Participating Entities, and its agencies and employees, from any and all claims or causes of action, including attorney's fees for personal injury or damage to real or tangible personal property arising from the negligent or willful acts or omissions of performance of the Contract by the Contractor or its agents, employees, or subcontractors. This clause shall not be construed to bar any legal remedies the Contractor may have with the State's or Participating Entities' failure to fulfill its obligations pursuant to the Contract. Contractor, its principals, members and employees shall not be liable to the State or any Purchasing Entity, unless otherwise stated in the applicable Participating Addendum, for any actions, damages, claims, liabilities, costs, expenses, or losses in any way arising out of or relating to this Contract or the goods provided or Services performed hereunder for any amount in excess of the greater of two - million dollars ($2,000,000) or the value of the Purchase Entity's purchase order 17of42 used to acquire the Products and Services that are the subject of the Purchasing Entity's claim. Contractor's liability for damage to real or tangible property incurred on a per order basis shall not exceed two -million dollars. This limitation of liability does not apply to damages for bodily injury or death caused by the Contractor's negligence, or to Contractor's obligation to indemnify, defend and hold the State harmless against intellectual property infringement or copyright claims under paragraph 12 of this Agreement. This indemnification does not include liabilities caused by the State's or Purchasing Entity's negligence, or intentional wrong doing. In no event shall the Contractor be liable for any indirect, special, punitive, or consequential damages arising out of this Contract or the use of the Products or Services purchased by the Purchasing Entity hereunder; 26. Amendments Contract amendments shall be negotiated by the State with the Contractor whenever necessary to address changes in the terms and conditions, costs; timetable, or increased or decreased scope of work. This Agreement shall be amended only by written instrument executed by the parties. An approved Contract amendment means one approved by the authorized signatories of the Contractor and the State as required by law. 26. Scope of Agreement This Agreement incorporates all of the agreements of the parties concerning the subject matter of this Agreement. No prior agreements, verbal or otherwise, of the parties or their agents shall be valid or enforceable unless embodied in this Agreement. 27. Severability If any provision of this Contract, including items incorporated by reference, is found to be illegal, unenforceable, or void, by a court of competent jurisdiction then both the State and the Contractor shall be relieved of all obligations arising under such provision. If the remainder of this Contract is capable of performance, itshall not be affected by such declaration or finding and shall be fully performed. 28. Enforcement of AgreementlWaivers A. No covenant, condition, duty, obligation, or undertaking contained in or made a part of this Contract shall be waived except by the written consent of the parties. Forbearance or indulgence in any form or manner by either party in any regard whatsoever shall not constitute a waiver of the covenant, condition, duty, obligation, or undertaking to be kept, performed, or discharged by the other party. Until complete performance or satisfaction of all such covenants, conditions, duties, obligations, and undertakings, the forebearing/indulging party shall have the right to invoke any remedy available under law or equity, notwithstanding any such forbearance or indulgence. B. Waiver of any breach of any provision of this Contract shall not be deemed a waiver of any prior or subsequent breach. No term or condition 18 of 42 of this Contract shall be held to be waived, modified, or deleted except by an instrument, in writing, signed by the parties hereto: C. Neither party's failure to exercise any of its rights under this Contract will constitute or be deemed a waiver or forfeiture of those rights. 29. Web Site Maintenance A. The Contractor agrees to maintain and support an Internet website linked to the State's administration website for access to the PSS, service selection assistance, problem resolution assistance, billing concerns, configuration assistance, Product descriptions, Product specifications and other aids described in the RFP, and/or in accordance with instructions provided by the WSCA/NASPO Contract Administrator. The Contractor agrees that the approved PSS on the State's administration website shall contain a single, uniform W11SCA price for configurations and items. Failure to comply with this requirement will be grounds for further action to be taken against the Contractor. B. The Contractor agrees to maintain and support Participating State and Entity Internet websites for access to the specific Participating Entity PSS, as well as all other items listed in Item 29A. above. The website shall have the ability to hold quotes for 45 days, as well as the ability to change the quote. C. The Contractor may provide electronic commerce assistance for the electronic submission of Purchase Orders, purchase order tracking and reports. D. The Contractor may not make changes to the website format as defined in Contractor's RFP Section 4, Electronic Commerce response without notifying the WSCA/NASPO Contract Administrator and receiving written approval of the changes. 30. Equal Opportunity Compliance The Contractor agrees to abide by all applicable federal laws, and the laws, regulations, and executive orders pertaining to equal employment opportunity, of the state in which its primary place of business is located. In accordance with such laws, regulations, and executive orders, the Contractor agrees that no person in the United States shall, on the grounds of race, color, religion, national origin, sex, age, veteran status or handicap, be excluded from employment with or participation in, be denied the benefits of, or be otherwise subjected to discrimination under any program or activity performed by the contractor under this Agreement. If the Contractor is found to be not in compliance with these requirements during the life of this Agreement, the Contractor agrees to take appropriate steps to correct these deficiencies. The Contractor certifies that it will remain in compliance with Minn. Stat. § 363A.36 during the life of the Contract. 31. Governing Law This Agreement shall be governed and construed in accordance with the laws of 19 of 42 the Lead State. The construction and effect of any Participating Addendum or order against this Agreement shall be governed by and construed in accordance with the laws of the Purchasing Entity's state. Venue for any claim, dispute or action concerning the construction and effect of the Agreement shall be in the Lead State. Venue for any claim, dispute or action concerning an order placed against this Agreement or the effect of a Participating Addendum shall be in the Purchasing Entity's state. 32. Change in Contractor Representatives Contractor shall appoint a primary representative, Contractor WSCA Program Manager, to work with the WSCA/NASPO Contract Administrator to maintain, support and market this Agreement. The Contractor shall notify the WSCA/NASPO Contract Administrator of changes in the Contractor primary representative, Contractor WSCA Program Manager, in writing, and in advance if possible. The State reserves the right to require a change in Contractor's then - current primary representative if the assigned representative is not, in the opinion of the State, adequately serving the needs of the Lead State and the Participating Entities. 33. Release The Contractor, upon final payment of the amount due under this Agreement, releases the Lead State and Participating Entities, its officers and employees, from all contractual liabilities, claims and obligations whatsoever arising from or under this Agreement. The Contractor agrees not to purport to bind the Lead State or any Participating Entity to any obligation, unless the Contractor has express written authority to do so, and then only within the strict limits of the authority. 34. Data Practices A. The Contractor and the Lead State must comply with the Minnesota Government Data Practices Act, `Minn. Stat. Ch. 13 (and where applicable, if the state contracting party is part of the judicial branch, with the Rules of Public Access to Records of the Judicial Branch promulgated by the Minnesota Supreme Court as the same may be amended from time to time) as it applies to all data provided by the Lead State to the Contractor and all data provided to the Lead State by the Contractor. In addition, the Minnesota Government Data Practices Act applies to all data created, collected, received, stored, used, maintained or disseminated by the Contractor in accordance with this Contract that is private, nonpublic, protected nonpublic, or confidential as defined by the Minnesota - Government Data Practices Act, Ch. 13 (and where applicable, that is not accessible to the public under the Rules of Public Access to Records of the Judicial Branch). B. In the event the Contractor receives a request to release the data referred to in this article, the Contractor must immediately notify the State. The State will give the Contractor instructions concerning the release of the data to the requesting party before the data is released. C. Sections 34.A through B above apply to transactions between Contractor 20 of 42 and applicable Lead State Purchasing Entities. Contractor agrees to be bound by the statutorily required data practices requirements as outlined in the Participating Addendum of a Participating State or Participating Entity. E. Notwithstanding the above, the parties agree that any confidential information required to be exchanged will be done so under the terms of a mutually agreed upon, signed confidentiality agreement: 35. Organizational Conflicts of Interest A. The Contractor warrants that, to the best of its knowledge and belief, and except as otherwise disclosed, there are not relevant facts or circumstances which could give rise to organizational conflicts of interest. An organizational conflict of interest exists when, because of existing or planned activities or because of relationships with other persons: • a Contractor is unable or potentially unable to render impartial assistance or advice to the State; • the Contractor's objectivity in performing the work is or might be otherwise impaired; or • the Contractor has an unfair competitive advantage. a. The Contractor agrees that if an organizational conflict of interest is discovered after award, an immediate and full disclosure in writing shall be made to the Assistant Director of the Department of Administration's Materials Management Division that shall include a description of the action the Contractor has taken or proposes to take to avoid or mitigate such conflicts. If an organizational conflict of interest is determined to exist, the State may, at its discretion, cancel the Contract. In the event the Contractor was aware of an organizational conflict of interest prior to the award of the Contract and did not disclose the conflict to the WSCA/NASPO Contract Administrator, the State may terminate the Contract for default. The provisions of this clause shall be included in all subcontracts for work to be performed, and the terms "Contract," "Contractor," and ' WSCA/NASPO Contract Administrator" modified appropriately to preserve the State's rights. 36. Replacement Parts Unless otherwise restricted in a Participating Addendum or maintenance service agreement, replacement parts may be manufacturer -certified refurbished parts carrying OEM warranties. 37. FCC Certification The Contractor agrees that Equipment supplied by the Contractor meets all applicable FCC Certifications. Improper, falsely claimed or expired FCC certifications are grounds for termination of this Agreement for cause. 38. Site Preparation A Purchasing Entity shall prepare and maintain its site in accordance with written instructions furnished by the Contractor prior to the scheduled delivery date of 21 of 42 any Products and shall bear the costs associated with the site preparation. 39. Assignment The Contractor shall not sell, transfer, assign, or otherwise dispose of this Contract or any portion hereof or of any right, title, or interest herein without the prior written consent of the State's authorized agent. Such consent shall not be unreasonably withheld. The Contractor shall give written notice to the State's authorized agent of such a possibility at least 30 days prior to the sale, transfer, assignment, or other disposition this Contract. Failure to do so may result in the Contractor being held in default. This consent requirement includes reassignment of this Contract due to a change in ownership, merger, or acquisition of the Contractor or its subsidiary or affiliated corporations. This section shall not be construed as prohibiting the Contractor's right to assign this Contract to corporations to provide some of the Services hereunder. Notwithstanding the foregoing acknowledgment, the Contractor shall remain solely liable for all performance required and provided under the terms and conditions of this Contract. The Contractor may assign payments in accordance with specific provisions stated in a Participating Addendum. 40. WSCAMASPO Contract Administrator The State shall appoint an WSCAMASPO Contract Administrator whose duties shall include but not be limited to the following A. The WSCAINASPO Contract Administrator may provide instructions concerning the contents of the Contractor's website. B. The WSCAMASPO Contract Administrator will facilitate dispute resolution between the Contractor and Purchasing Entities. Unresolved disputes shall be presented to the State for facilitation of resolution. C. The WSCAMASPO Contract Administrator shall promote and support the use of this Agreement by NASPO members and other Participating Entities. D. The WSCA/NASPO Contract Administrator shall advise the State regarding the Contractor's performance under the terms and conditions of this Agreement. E. The WSCAMASPO Contract Administrator shall receive and approve quarterly price agreement utilization reports and the administration fee payments. F. The WSCAMASPO Contract Administrator shall periodically verify the Product and Service prices in the PSS conform to the Contractor's volume price and other guarantees, The WSCAMASPO Contract Administrator may require the Contractor to perform web site audits to accomplish this task. G. The WSCAINASPO Contract Administrator shall conduct annual Contractor performance reviews. M. The WSCAMASPO Contract Administrator shall maintain an Agreement administration website containing timely and accurate information. 22 of 42 41. Survival The following rights and duties of the State and Contractor will survive the expiration or cancellation of the resulting Contract. These rights and duties include, but are not limited to Paragraph 12.. Patent, Copyright, Trademark and Trade Secret Indemnification; Paragraph 20. Records and Audit; Paragraph 24. Indemnification, Hold Harmless, and Limitation of Liability; Paragraph 31, Governing Law; Paragraph 34. Data Practices; and Paragraph 52. Right to Publish. Software licenses, warranty, and service agreements that were entered in to under the terms and conditions of the Agreement shall survive this Agreement. 42. Succession This Agreement shall be entered into and be binding upon the successors and assigns of the parties. 43. Notification A. if one party is required to give notice to the other under the Contract, such notice shall be in writing and shall be effective upon receipt. Delivery may be by certified United States mail or by hand, in which case a signed receipt shall be obtained. A facsimile transmission shall constitute sufficient notice, provided the receipt of the transmission is confirmed by the receiving party. Either party must notify the other of a change in address for notification purposes. All notices shall be addressed as follows: To MMD: Department of Administration Materials Management Division Bernadette Kopischke, CPPB Acquisitions Supervisor 50 Sherburne Avenue 112 State Administration Building St. Paul, MN 55155 Fax: 651.297.3996 Email: bemie,ko,pischke@state.mn.us To Contractor: Debra Lee HP Contract Program Manager 442 Swan Blvd. Deerfield, IL 60015 Fax: 281-927-5213 Email: debra.lee0ft,com 44. Reporting and Fees A. Administration Reporting and Fees 1. The Contractor agrees to provide monthly utilization reports to the 23 of 42 WSCA/NASPO PC Contracts Reporting person and the WSCA/NASPO Contract Administrator by the 15th of the month following the end of the previous month. (Ex. Purchases during January are reported by the 15th of February; purchases made during February are reported by the 15th of March; etc.). Reports submitted within five (5) days of the report due date shall not be deemed as a default by Contractor. The report shall be in the format developed by the Lead State and supplied to the Contractor for its review and mutual written consent to implement. Contractor shall be released from reporting on the Lead State requested Fields of LIST PRICE/MSRP/CATALOG PRICE and ORDER TYPE (debits/credits) until such time as Contractor automated reporting tools have the capability to include the Field in its reports. Contractor will have the automated reporting capabilities to include the aforementioned Fields within nine (9) to twelve (12) months of the commencement of this Contract. Notwithstanding the foregoing, Contractor will commence reporting on the requested Fields once Contractor's automated reporting tools are capable. 2. The Contractor agrees to provide quarterly Administrative Fee check payable to WSCA/NASPO for amount equal to one - twentieth of one percent (0.0005) of the net sales for the period. The form to be submitted with the check, as well as the mailing address, has been supplied to the Contractor. Payment shall be made in accordance with the following schedule: Period End Admin Fee Due June 30 July 39 September 30 October 31 December 31 January 31 March 31 April 30 3. The Contractor agrees to include all Reseller Agent sales in the monthly utilization reports described above. In addition, the Contractor agrees to provide a supplemental Reseller Agent utilization report of the net sales for the period subtotaled by Purchasing Entity name, within Purchasing Entity state name by Reseller Agent Name, 4. Subject to Contractor's automated reporting tools capabilities, the Contractor will use reasonable commercial efforts to provide the EPEAT and Energy Start environmental information shown in a mutually agreed upon report format; as well as a supplemental report of the number and type of units taken back in a format to be mutually agreed to. Reporting on this information will occur no more than once quarterly, and will commence once Contractor has the capability to generate automated reports to include this information for its US based customers. 5. The utilization reports shall be submitted to the WSCA/NASPO PC Contracts Reporting person and the WSCA/NASPO Contract 24 of 42 Administrator via electronic mail in a Microsoft Excel spreadsheet format, or other methods such as direct access to Internet or other databases. 6. If requested by the WSCA/NASPO Contract Administrator, the Contractor agrees to provide supporting Purchase Order detail records on mutually agreed magnetic media in a mutually agreed format. Such request shall not exceed twelve per year. 7 The failure to file the utilization reports and fees on a timely basis shall constitute grounds for the removal of the Contractor's primary representative, suspension of this Agreement or termination of this Agreement for cause. B. The WSCA/NASPO Contract Administrator shall be allowed access` to all reports from all Purchasing Entities. B. Participating Entity Reports and Fees 1. Participating Entities may require an additional fee be paid directly to the State on purchases made by Purchasing Entities within that State. For all such requests, the fee level, payment method and schedule for such reports and payments shall be incorporated in to the Participating Addendum that is made a part of this Agreement. The Contractor may adjust PSS pricing accordingly for purchases made by Purchasing Entities within the jurisdiction of that State. All such agreements shall have no affect whatsoever on the WSCA fee or the prices paid by the Purchasing Entities outside the jurisdiction of the State requesting the additional fee. 2. Purchasing Entities will be encouraged to use the reporting format developed by the lead State for their reporting needs. However, the Contractor agrees to provide additional reports to Purchasing Entities upon agreement by both parties as to the content and delivery methods of the report. Methods of delivery may include direct access to Internet or other databases: 3. Each State Purchasing Entity shall be allowed access to reports from all entities within that State. 46. Default and Remedies A. Any of the following shall constitute cause to declare this Agreement or any order under this Agreement in default: 1. Consistent Nonperformance of contractual requirements; or 2 A material breach of any term or condition of this Agreement. B. A written notice of default, and an opportunity to cure, within 30-days notification of the written notice, shall be issued by the party claiming default, whether the Lead State (in the case of breach of the entire Agreement), a Participating Entity (in the case of a breach of the participating addendum), the Purchasing Entity (with respect to any order), or the Contractor. Time allowed for cure shall not diminish or eliminate any liability for liquidated or other damages. 25 of 42 C. If the default remains after the opportunity for cure, the non -defaulting party may: 1. Exercise any remedy provided by law or equity; 2. Terminate the Agreement, a Participating Addendum, or any portion thereof, including any Purchase Orders issued against the Agreement; 3. Impose liquidated damages, as mutually agreed to by the parties, as specified in amendment to the Participating Addendum; 4. In the case of default by the Contractor, and to the extent permitted by the law of the Participating State or Purchasing Entity, suspend Contractor from receiving future solicitations from within the Participating Entities jurisdiction. 5. Charge the defaulting Contractor the full increase in cost and administrative handling to purchase the product or service from another Contractor. The Purchasing Entity shall take reasonable actions to mitigate the cost to re -procure. D. The MMD reserves the right, upon approval of the WSCA Directors, to develop and implement a step-by-step process to deal with Contractor failure to perform issues. 46. Audits A. Website Pricing Audit The Contractor agrees to assist the WSCAINASPO Contract Administrator .or designee with web site Product and pricing audits based on the requirements: described in Exhibit E Website Price audit requirements. Pricing is audited on a quarterly basis. 1. The product audit will closely monitor the Products and Services listed on the website to insure they comply with the approved Products and Services. The addition of Products or Services not approved by the WSCAMASPO Contract Administrator will not be tolerated and may be considered a material breach of this Agreement. B. Sales Audit The Contractor further agrees to provide sales audit reports based on the formulas described in Exhibit E - Sales audit report format. C. Upon request, the Contractor agrees to assist Participating Entities with invoice audits to ensure that the Contractor is complying with this Agreement in accordance with mutually agreed procedures set forth in the Participating Addendum. 47. Extensions If specifically authorized by provision in a Participating Addendum, Contractor may, at the sole discretion of Contractor and in compliance with the laws of the Participating State, offer Products and Services to non-profit organizations, 26 of 42 private schools, Native American governmental entities, government employees and students within the governmental jurisdiction of the entity completing the Participating Addendum with the understanding that the State has no liability whatsoever concerning payment for Products or Services. 48. Sovereign Immunity The State does not waive its sovereign immunity by entering into this Contract and fully retains all immunities and defenses provided by law with regard to any action based on this Contract. 49.. Ownership A. Nothing in this Contract shall be construed as transferring any right, title, or interest in either Party's, any Purchasing Entity's, or their third party's confidential information, pre-existing intellectual property, trademarks, copyrights, intellectual property or other proprietary interest. 50. Prohibition Against Gratuities A. The State may, by written notice to the Contractor, terminate the right of the Contractor to proceed under this Contract if it is found by the State that gratuities in the form of entertainment, gifts; or otherwise were offered or given by the Contractor or any employee, agent, or representative of the Contractor to any officer or employee of the State with a view toward securing this Contract, or securing favorable treatment with respect to the award or amendment of this Contract, or the making of any determinations with respect to the performance of this Contract. B, The Contractor certifies that no elected or appointed official or employee of the State has benefited or will benefit financially or materially from this Contract. This Contract may be terminated by the State if it is determined that gratuities of any kind were either offered to or received by any of the aforementioned individuals from the Contractor, its agent, or its employees, 51. Antitrust The Contractor hereby assigns to the State any and all claims for overcharges as to goods and/or Services provided in connection with this Contract resulting from antitrust violations which arise under antitrust laws of the United States and the antitrust laws of the State. 57. Right to Publish A. Any publicity given to the program, publications or Services provided resulting from the Contract, including but riot limited to notices, informational pamphlets, press releases, research, reports, signs, and similar public notices prepared by or for the Contractor, or its employees individually or jointly with others, or any subcontractors or resellers shall identify the State as the sponsoring agency and shall not be released, unless such release is a specific part of an approved work plan included in the Contract prior to its approval by the WSCA/NASPO Contract Administrator. B. The Contractor shall not make any representations of the State's opinion 27 of 42 or position as to the quality or effectiveness of the Products and/or Services that are the subject of this Contract without the prior written consent of the WSCA/NASPO Contract Administrator. Representations include any publicity, including but not limited to advertisements, notices, press releases, reports, signs, and similar public notices. 53. Performance While Dispute is Pending Notwithstanding the existence of a dispute, the parties shall continue without delay to cant' out all of their responsibilities under this Contract that are not affected by the dispute. If a party falls to continue without delay to perform its responsibilities under this Contract, in the accomplishment of all undisputed work, any additional cost incurred by the other parties as a result of such failure to proceed shall be borne by the responsible party. 54. Hazardous Substances To the extent that the goods to be supplied to the Purchasing Entity by the Contractor contain or may create hazardous substances, harmful physical agents as set forth in applicable State and federal laws and regulations, the Contractor must provide the Purchasing Entity, upon request, with Material Safety Data Sheets regarding those substances (including mercury). 55. Customer Satisfaction/Complaint Resolution A. The Contractor's process for resolving complaints concerning Products, support, and billing problems is attached as Exhibit B. B. The Contractor will survey its customers in each Participating State approximately two (2) months prior to the annual meeting with the Contract Administrator using, at a minimum, the survey questions provided by the State. 66. Value Added Services The Contractor is expected to provide such Services as installation, training, and software imaging upon request of the Purchasing Entity. Additional Value Added Services offered by the Contractor are attached as Exhibit C. 57. E-Rate Program The Contractor's E-Rate identification number and list of E-Rate qualifying Products is as follows: HP E-Rate Spin Number: 143007617 ,HP FCC Registration Number: 0012062535 Qualifying Products: HP ProLiant Servers HP ProCurve Network Electronics HP Services for eligible Products (Installation, Maintenance, Training, Infrastructure design The Contractor shall make every effort to continue its involvement in this program and to add Products as applicable. 28 of 42 IN WITNESS WHEREOF, the parties have executed this agreement as of the date of execution by the State of Minnesota Commissioner of Administration, below. 1. HEWLETT-PACKARD COMPANY 2. MATERIALS MANAGEMENT DIVISION The Contractor certifies that the appropriate person(s) In aocordance with Minn. Stat. § I6C.03, Subd. 3. have executed this Agreement on behalf of the Contractor as required by applicable articles, bylaws, resolutions, Revn4waz�" By:/Il By: Title: Acuisitions SuDervisor Title: S2. I iie..c P& b¢a/" Date: C/ Date: Ii 5 3. COMMISSIONER OF ADMINISTRATION Or delegated representative. Date: Original signed JUL 0 2 2009 By Brenda Willard.. EXHIBIT A - ADDITIONAL WARRANTIES and SUPPORT SERVICES A Warranty Information —1-Warranty Information is available at the following URLs: • Product warranty URL link: htto://h20000.ww.w2 hl2com/bizsunnorYTechSul2l2oLtDGcument iso?obiectlD=c00383139&Iang= en&cc=us&taskld=&prodSeriesld=316617&prodD ej eld=12454. • Software warranty URL link: http://docs.hp.conUen/5991-6026/ChOl sO6.html?jumpid=reg_R1002_USEN • Procurvewarranty `URL link: httpa/www. procurve.comMarranty 2. GENERAL WARRANTY PROVISIONS: a. Warranty StateM2nts. HP limited warranty statements for Hardware, Software, Support, and Professional Services, as applicable, are available with Products, on quotations, or upon request. The limited warranties are .subject to the terms, limitations, and exclusions contained in the limited warrantystatement provided for the Product in the country where that Product is located when the warranty claim is made. A different limited warranty statement may apply and be quoted if the Product Is purchased as part of a system. b. Transfer. Warranties are transferable to another party for the remainder of the warranty period subject to HP license transfer policies and any assignment restrictions: c., Delivery Date. Warranties begin on the date of delivery, or for Hardware on the date of installation if installed by HP. If Customer schedules or delays such installation by HP more than thirty (30) days after delivery, Customer's warranty period will begin on the 31st day after delivery. d. HP warrants that it will perform Professional Services using generally recognized commercial practices and standards. HP will re -perform any Professional Services not performed in accordance with the foregoing warranty provided that HP receives written notice from Customer within thirty (30) days after such professional Services were performed. This will be Customer's sole and exclusive remedy for a breach of the foregoing warranty. e. Warranty Exclusions. HP is not obligated to provide warranty services or Support for any claims resulting from 1. improper site preparation, or site or environmental conditions that do not conform to HP's site specifications; 2. Customer's non-compliance with Specifications or Transaction Documents; 3. improper or inadequate maintenance or calibration; 4. Customer or third -party media; software, interfacing, supplies, or other products; 5. modifications not performed or authorized by HP; 6. virus, infection, worm or similar malicious code not introduced by HP; or 7. abuse, negligence, accident, loss or damage in transit, fire or water damage, electrical disturbances, transportation by Customer, or other causes beyond HP's control. f. Non -HP Branded Products and Services. HP provides third -party Products, software, and Services that are not HP Branded "AS IS" without warranties of any kind, although the original manufacturers or third party suppliers of such Products, software and Services may provide their own warranties. Disclairger. THE WARRANTIES AND ANY ASSOCIATED REMEDIES EXPRESSED OR REFERENCED IN THIS AGREEMENT ARE EXCLUSIVE. NO OTHER WARRANTY, WRITTEN OR ORAL, IS EXPRESSED OR IMPLIED BY HP OR MAY BE INFERRED FROM A COURSE OF DEALING OR USAGE OF TRADE. TO THE EXTENT ALLOWED BY LOCAL LAW HP DISCLAIMS ALL IMPLIED WARRANTIES OR CONDITIONS INCLUDING ANY IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR A PARTICULAR PURPOSE, TITLE AND NON -INFRINGEMENT. 30 of 42 B. Support Services 1. SUPPORT SERVICES a. Description of Supggrt. HP will deliver Support according to the description of the offering, eligibility requirements, service limitations, and Customer responsibilities described in the relevant Transaction Documents. b. Ordering Sunoo . Customer may order Support: 1. at the time of Product purchase, or prior to installation of Products for which Support is being purchased, for a fixed term (may be referred to as "HP Care Pack"); 2. after the time of Product purchase, for either a fixed term or an initial term that may be renewed (maybe referred to as "HP Contractual Services"); 3. on a per -event basis; or 4. at any time, when agreed non-standard Support has been offered by HP for the Customer according to a Statement of Work (also known as "Custom Support") or as otherwise offered by HP. c. Cancellation. Customer may cancel Support orders or delete Products from Support upon thirty (30) days written notice, unless' otherwise stated in a Transaction Document. HP may discontinue Support for Products and specific Support services no longer included In HP's Support offering upon sixty (60) days written notice, unless otherwise agreed. If Customer cancels prepaid Support, HP will refund Customer a pro-rata amount for the unused prepaid Support, less any early termination fees or subject to any restrictions set forth in a Transaction Document. d. Return to Support. If Customer allows Support to lapse, HP may charge Customer additional fees to resume Support or require Customer to perform certain hardware or software upgrades. HP will review and assess whether such fees are required, and explain these to Customer at the time of the request to return to Support. e. Local Availability. Customer may order Support from HP's current Support offerings. Some offerings, features, and coverage (and related Products) may not be available in all countries or areas. f. Support Warranty. HP warrants that it will perform Support using generally recognized commercial practices and standards. g. Exclusive Remedies. HP will re -perform Support not performed in accordance with the warranty herein. This, sub -section 1.g states HP's entire liability for Support warranty claims. 2. PRICING, SERVICES, AVAILABILITY, AND INVOICING a Pricing. Except for prepaid Support or as otherwise stated In a Transaction Document, HP may change Support prices upon sixty (60) days written notice. b. Additional Services. Additional services performed by HP at Customer's request that are not included in Customer's purchased Support will be chargeable at the applicable published service rates for the country where the service is performed. Such additional services include but are not limited to: 1. Customer requests for Support after HP's local standard business hours (unless Customer has specifically purchased after-hours coverage for the requested Support); 2. Customer requests for repair for damage or failure attributable to the causes specified in Exhibit A, subsection2.e ("Warranty Exclusions"); and 3. Customer requests for Support where Customer does not, in HP's reasonable determination, meet the applicable prerequisites and eligibility requirements for Support. c. Local Availability. Support outside of the applicable HP coverage areas may be subject to travel charges, longer response times, reduced restoration or repair commitments,and reduced coverage hours. d. Invoicing. Invoices for Support will be issued in advance of the Support period. HP Support invoices and related documentation will be produced in accordance with HP system standards. Additional levels of detail requested by Customer may be chargeable. 31 of 42 3. SITE AND PRODUCT ACCESS Customer shall provide HP access to the Products covered under Support; adequate working space and facilities within a reasonable distance of the Products; access to and use of information, customer resources, and facilities as reasonably determined necessary by HP to service the Products; and other access requirements described in the relevant Transaction Document. If Customer fails to provide such access, resulting in HP's inability to provide Support, HP shall be entitled to charge Customer for the Support call at HP's published service rates. Customer is responsible for removing any Products ineligible for Support to allow HP to perform Support. If delivery of Support is made more difficult because of ineligible Products, HP will charge Customer for the extra work at HP's published service rates. 4. STANDARD SUPPORT PRODUCT E41GiBILITY a. Minimum Configuration for Support. Customer must purchase the same level of Support and'for the same coverage period for: all Products within a minimum supportable system unit (i.e. all components within a server, storage, or network device) to allow for proper execution of standalone and operating system diagnostics for the configuration. b. Eligibility. For initial and on -going Support eligibility Customer must maintain all Products and associated hardware and software at the latestHP-specified configuration and revision levels and in HP's reasonable opinion, in good operating condition. c. Modifications. Customer will allow HP, at HP's request and at no additional charge, to modify Products to improve operation, supportability, and reliability, or to meet legal requirements. d. Loaner Units. HP maintains title and Customer shall have risk of loss or damage for loaner units if provided at HP's discretion as part of Support or warranty services and such units will be returned to HP without lien or encumbrance at the end of the loaner period. e. Relocation. Customer is responsible for moving Products. If Customer moves the Products to a now location, HP may charge additional Support fees and modify the response times, and Customer may be required to execute amended or new Transaction Documents. If Customer moves Products to another country, Support shall be subject to availability in the destination country. Reasonable advanced notice to HP maybe required to begin Support for some Products after relocation. If. Maximum Use Limitations. Certain Products have a maximum usage limit, which is set forth in the manufacturer's operating manual or the technical data sheet, Customer must operate such Products within the maximum usage limit. g. Multi -Vendor Support. HP provides Support for certain non -HP Branded Products. The relevant Transaction Document will specify availability and coverage levels, and govern delivery of multi - vendor Support, whether or not the non -HP Branded Products are under warranty. HP may discontinue Support of non -HP Branded Products if the manufacturer or licensor ceases to provide support for such Products. 5. PROPRIETARY SERVICE TOOLS HP will require Customer's use of certain hardware and/or software system and network diagnostic and maintenance programs ("Proprietary Service Tools"), as well as certain diagnostic tools that may be included as part of the Customer's system, for delivery of Support under certain coverage levels. Proprietary Service Tools are and remain the sole and exclusive property of HP, are provided "as is," and include, but are not limited to: remote fault management software, network Support tools, Insight Manager, Instant Support, and Instant Support Enterprise Edition (known as "ISEE"). Proprietary Service Tools may reside on the Customer's systems or sites. Customer may only use the Proprietary Service Tools during the applicable Support coverage period and only as allowed by HP. Customer may not sell, transfer, assign, pledge, or in any way encumber or convey the Proprietary Service Tools. Upon termination of Support, Customer will return the Proprietary Service Tools or allow HP to remove these Proprietary Service Tools. Customer will also be required to: a. allow HP to keep the Proprietary Service Tools resident on Customer's systems or sites, and assist HP in running them; b, install Proprietary Service Tools, including installation of any required updates and patches; c. use the electronic data transfer capability to inform HP of events identified by the software; d. if required, purchase HP -specified remote connection hardware for systems with remote diagnosis 32 of 42 service; and e. provide remote connectivity through an HP approved communications line. 6. CUSTOMER RESPONSIBILITIES a. Data Backup. To reconstruct lost or altered Customer files, data, or programs, Customer must maintain a separate backup system or procedure that is not dependent on the Products under Support. b. Temporary Workarounds. Customer will implement temporary procedures or workarounds provided by HP while HP works on permanent solutions. c. Hazardous Environment. Customer will notify HP if Customer uses Products in an environment that poses a potential health or safety hazard to HP employees or subcontractors. HP may require Customer to maintain such Products under HP supervision and may postpone service until Customer remedies such hazards. d. Authorized Representative. Customer will have a representative present when HP provides Support at Customer's site. e: Product List. Customer will create and maintain a list of all Products under Support including: the location of the Products, serial numbers, the HP -designated system identifiers, and coverage levels. Customer shall keep the list updated during the applicable Support period. f. Documentation. If Customer purchases a Support offering that includes documentation updates, Customer may copy such updates only for systems under such coverage. Copies must include appropriate HP trademark and copyright notices. 7. SUPPORTED SOFTWARE Customer may purchase available Support for HP Branded Software only if Customer can provide evidence it has rightfully acquired an appropriate HP license for such Software, HP will be under no obligation to provide Support due to any alterations or modifications to the Software not authorized by HP or for Software for which Customer cannot provide a sufficient proof of a valid license. Unless otherwise agreed by HP, HP only provides Support for the current Version and the immediately preceding Version of HP Branded Software, and then only when HP Branded Software is used with Hardware or Software included in HP -specified configurations at the specified Version level 8. ACCESSORIES AND PARTS AND MISCELLANEOUS a. Compatible Cables and Connectors. Customer will connect Products covered under Support with cables or connectors (including fiber optics if applicable) that are compatible with the system, according to the manufacturer's operating manual: b. Support for Accessories. HP may provide Support for cables, connectors, iriterfaces, and other accessories if Customer purchases Support for such accessories at the same Hardware service level purchased for the Products with which they are used. c. Consumables. Support does not include the delivery, return, replacement, or installation of supplies or other consumable items (including, but not limited to, operating supplies, magnetic media, print heads, ribbons, toner, and batteries) unless otherwise stated in a Transaction Document. d. Replacement Parts. Parts provided under Support may be whole unit replacements or be new or functionally equivalent to new in performance and reliability and warranted as new. Replaced parts become the property of HP, unless HP agrees otherwise and Customer pays any applicable charges. e. Service Providers, HP reserves the right and Customer agrees to HP's use of HP -authorized service providers to assist in the provision of Support. 9. ACCESS TO HP SOLUTION CENTER AND IT RESOURCE CENTER a. Designated Callers. Customer will identify a reasonable number of callers, as determined by HP and Customer ("Designated Callers"), who may access HP's customer Support call centers ("Solution Centers"). b. Qualifications. Designated Callers must be generally knowledgeable and demonstrate technical aptitude in system administration, system management, and, if applicable, network administration and management and diagnostic testing. HP may review and discuss with Customer any Designated Caller's experience to determine initial eligibility. If issues arise during a call to the Solution Center that, in HP's,reasonable opinion, may be a result of a Designated Caller's lack of 33 of 42 general experience and training, the Customer may be required to replace that Designated Caller. All Designated Callers must have the proper system identifier as provided in the Transaction Documents or by HP when Support is initiated. HP Solution Centers may provide support in English or local language(s), or both. c. HP IT Resource Center. HP IT Resource Center is available via the worldwide web for certain types of Support. Customer may access specified areas of the HP IT Resource Center. File Transfer Protocol access is required for some electronic services. Customer employees who submit HP Solution Center service requests via the HP IT Resource Center must meet the qualifications set forthin sub -section 9.b above, d. Telecommunication Charges. Customer will pay for all telecommunication charges associated with using HP IT Resource Center, installing and maintaining ISDN links and Internet connections (or HP -approved alternatives) to the HP Solution Center, or using the Proprietary Service. Extended warranties HP's standard new Product warranty, and upgraded warranty support Services, can be extended in one- year increments for a total of five years of coverage for most Products. Post maintenance Services HP has a wide range of onsite high -quality support Services for covered hardware, helping' improve Product uptime and availability, Entities have the flexibility to choose between different service -level options featuring different response times and coverage windows, as well as between several coverage periods to address specific service needs. The Services are available throughout the United States and in most international locations. Please see Attachment 5, HP Onsite Hardware Support Services, for details. See HP Website, referenced in A.1 above, for additional information on these warranties, support, service tools, etc. 34 ct 42 EXHIBIT B - COMPLAINT RESOLUTION HP will work with WSCA/NASPO and Participating States to customize the procedures to the states' specific escalation requirements. HP's formal order management, service escalation and customer feedback escalation procedures are described below and in detail in the RFP response, Corporate Overview, sub -section d.1.e. — Complaint Resolution. Most problems are readily resolved before escalation is necessary. This section details activities for those instances in which problems cannot be so quickly resolved. In keeping with HP's understanding of the importance of system availability to the WSCA states, HP is receptive to discussions on how it may modify any escalation procedures to better meet specific customer needs. Each and every State Procurement office, as well as procuring entities, also has an assigned State Government HP Contract Program Manager point of contact to assist in the escalation process, eliminating the need to contact multiple people. Customer Feedback Escalation HP has developed a strong customer feedback system, including a clear escalation process for handling dissatisfaction. The feedback system provides a variety of mechanisms for customers to communicate their suggestions, recommendations, comments, and complaints to HP. Cataloging and analyzing the feedback provides HP entities with valuable insight into trends, information, and issues that can be applied to improve products and process performance. Order Management Escalation Process A Customer Service Representative (CSR) assigned to the WSCA account will oversee the order fulfillment activities from the point of order entry and acceptance, to invoicing and delivery. This includes customer satisfaction and any issues that WSCA may have during the deployment. The CSR is responsible with ensuring that any issues or potential issues are escalated to prevent deployment delays and will see problems through to resolution. Customer Services is required to adhere to the following standard service levels (in business hours): Action Standard Service Level (in business hours) PO Receipt to CSR order entry 4.0 hrs PO Receipt t to clean executable order 8.0 hrs Confirmation sent to customer/sales/mgmt that orders has been 4.0 hrs laced and pEomide order # and ETA if available. Estimated Ship Date upon order entry (Provided to customer as Estimate based on best requested or as part of regularly scheduled open order report) information available. With follow-up as new information becomesavailable. Updates to estimated ship date (Provided to customer as As new information becomes requested or as Lart of regularly scheduled open order report available. Call i3ack/Email Response to customer from CSR (from point 4 hrs customer leaves voicemail/email to point CSR calls customer back or responds to email request) RMA Request(From time CSR receives to RMA b6ing generated 12 hrs Warehouse Receipt of RMA'd goods to completion of gredit 3 days All billing disputes should be brought to the attention of your HP Direct Customer Services Team. Customer Services will then work with HP's internal Finance Department that can resolve the disputes. The Finance Department will research the dispute, including gathering purchase order information from your CSR. While customers may request that bills be submitted in a batch, all records are individually maintained by order number. Complete order information follows the order throughout the fulfillment process, and can be traced to each separate process to determine the source of any errors and the necessary action for resolution. 35 of 42 The resolution will be communicated to the customer by the Finance Department. Any credit due will be processed by your CSR. In the event that HP has maintained an incorrect price, additional research will be performed to determine the extent of error. Billing adjustments will be made as necessary. Escalation Process The services global escalation process is a worldwide process that is initiated when it is determined that HP's standard service delivery processes have not delivered or will not deliver an acceptable solution to WSCAINASPO and WSCA Participating State and/or procuring entities in an agreed -upon time frame. The Escalation Process includes the following steps: 1. Formation of Escalation Team 2. Development of Technical Action Plan 3. Communication of Action Plan 4. Execution of Action Plan 5. , Post -solution Review 6. Continual Improvement 7. The Escalation Team When it has been determined that a problem has arisen and needs to be resolved, an Escalation Team is formed to manage issue resolution. The Escalation Team is comprised of technical and management members from HP. This team is responsible for developing an action plan to be used in resolving the issue. Members of the Escalation Team often include: • Escalation Management Owner -represents the customer to HP, leads the escalation effort and is the focal point for communication of the plan to the customer. • Escalation Specialist -assists with the development and coordination of the technical aspects of the action plan. • Complex Problem Manager —as required, the Complex Problem Manager coordinates engineering and partner resources for complex problems involving multiple product sets. • Additional Resources -may be added to the Escalation Team to add specific Product expertise as required in any given escalation. These resources may include: Engineering, Delivery Partners, HP Management and Executives. Escalation Categories There are three categories of escalation: • Local escalation • Regional escalation • Global escalation Escalation categories are driven by a customers' vlew of the situation. If the impact on the customer is local (that is, within one area/country)-the escalation category is local. If the impact is across a number of areas/countries within one region, the category Is regional. If the impact is across a number of areas/countries in more than one region, the category is global. Once the escalation category has been determined, an Action Plan can be developed. Issue Resolution In the event of a customer satisfaction issue, the customer's first point of contact is the Primary Account Representative/Contract Program Manager or the Account Manager. This individual engages the necessary resources in the local service delivery unit, obtains the support of management in the local customer business district, and keeps the concerned sales organization updated on progress. Most issues are resolved readily at the local level. If needed, the situation is escalated to executive management at the territory or U.S. level. 36 of 42 EXHIBIT C — VALUE-ADDED SERVICES Contact HP, or visit the HP website, for further details on these Services: Installation Training Self -Maintainer Program Asset Management Imaging Factory Services for Servers and Storage HP Lease Financing Information Individual Purchasing Entities may enter in to lease agreements for the Products covered in this Master Price Agreement, if they have the legal authority to enter into these types of agreements without going through a competitive process. The lease agreements were not reviewed or evaluated as part of the RFP evaluation process. HP sample lease documents can be found under the "Information Center" link available on HP's WSCA-approved website at www.hp.com/buytwscaiii. 37 of 42 EXHIBIT HP SOFTWARE LICENSE TERMS 1. , LICENSE GRANT HP grants Customer a non-exclusive, non -transferable license to "Use", in object code form, the Version or Release of the HP Branded Software delivered from an HP accepted order. For purposes of this Agreement, unless otherwise specified in the SLI, "Use" means to install, store, load, execute, and display one copy of the Software on one device at a time for Customer's internal business purposes. Customer's Use of such Software is subject to these license terms, the applicable Use restrictions and authorizations, and applicable licensed locations for the Software specified in SLI(the "Software License"). The usage terms specified in the SLI for HP Branded Software will not be materially more restrictive than the Use defined in this sub -section. For non -HP Branded Software, the third party supplier's license terms and use restrictions found in the SLI will solely govern its use. 2. OWNERSHIP This Software License confers no title or ownership and is not a sale of any rights in the Software, Third -party suppliers are intended beneficiaries under this Agreement and independently may protect their rights in the Software in the event of any infringement. All rights not expressly granted to Customer are reserved solely to HP or its suppliers. 3. ACCEPTANCE Customer accepts Software upon delivery. 4. UPGRADES Software Versions or maintenance updates, if available, may be ordered separately or may be available through Software Support. HP reserves the right to require additional licenses and fees for Software Versions or separately purchased maintenance updates or for Use of the Software in conjunction with upgraded Hardware or Software. When Customer obtains a license for a new Software Version through Software Support or purchases an upgrade license to a new Version, Customer's Software License for the earlier Version shall terminate. Software Versions are subject to the license terms in effect on the date that HP delivers or makes the Version available to Customer. 5. LICENSE RESTRICTIONS a. 2 Restrictions. Customer may not exceed the number of licenses, agents, tiers, nodes, seats, or other Use restrictions or authorizations agreed to and paid for by Customer. Some Software may require license keys or contain other technical protection measures. Customer acknowledges that HP maymonitor Customer's compliance with Use restrictions and authorizations remotely, or otherwise. If HP makes a license management program available which records and reports license usage information, Customer agrees to appropriately install, configure and execute such license management program beginning no later than one hundred and eighty'(180) days from the date it is made available to Customer and continuing for the period that the software Is used. b. Cony and Adaptation. Unless otherwise permitted by HP, Customer may only make copies or adaptations of the Software for archival purposes or when copying or adaptation is an essential step in the authorized Use of the Software. If Customer makes a copy for backup purposes and installs such copy on a backup device, unless otherwise provided in the SLI, Customer may not operate such backup installation of the Software without paying an additional license fee, except in cases where the original device becomes inoperable. If a copy is activated on a backup device in response to failure of the orlginal device, the Use on the backup device must be discontinued when the original or replacement device becomes operable. Customer may not copy the Software onto or otherwise Use or make it available on, to, or through any public or external distributed network. Licenses that allow Use over Customer's Intranet require restricted access by authorized users only. c. Copyright Notice. Customer must reproduce all copyright notices that appear in or on the Software (including documentation) on all permitted copies or adaptations. Copies of documentation are limited to internal use. d. Designated System. Notwithstanding anything to the contrary herein, the Software License for certain Software, as identified in SLI, is non -transferable and for Use only on a computer system owned, controlled, or operated by or solely on behalf of Customer and may be further identified by HP by the combination of a unique number and a specific system type ("Designated System") and such license will terminate in the event of a change in either the system number or system type, an unauthorized relocation, or if the Designated System ceases to be within the possession or control 38 of 42 of Customer. e. OS Software. Operating system Software may only be used when operating the associated Hardware in configurations as approved, sold, or subsequently upgraded by HP or an HP Business Partner. f. hC ang2s. Customer will not modify, reverse engineer, disassemble, decrypt, decompile, or make derivative works of the Software. Where Customer has other rights mandated under statute, Customer will provide HP with reasonably detailed information regarding any intended modifications, reverse engineering, disassembly, decryption, or decompilation and the purposes therefore. g. Use for Service Provision. Extending the Use of Software to any person or entity other than Customer as a function of providing services, (i.e.; making the Software available through a commercial timesharing or service bureau) must be authorized in writing by HP prior to such use and may require additional licenses and fees. h. Qnsultant Use and gccess. Subject to the terms and conditions of this Agreement, Customer may permit a consultant or subcontractor to Use Software at the licensed location for the sole purpose of providing services to Customer. Customer will be responsible and directly liable to HP for consultants' compliance with this Agreement. 6. LICENSE TERM AND TERMINATION Unless a different time period for the license is specified in the applicable SLI or quotation, , the Software License granted to Customer will be perpetual, provided however that HP may terminate the Software License upon notice for failure to comply with this Agreement. Immediately upon termination of the Software License or upon expiration of any individual limited term license. Customer will destroy the Software and all copies of the Software subject to the termination or expiration or return them to HP. Customer shall remove and destroy or return to HP any copies of the Software that are merged into adaptations, except for individual pieces of data in Customer's database. Customer may retain one copy of the Software subsequent to termination solely for archival purposes only. At HP's request, Customer will certify in writing to HP that Customer has complied with these requirements. 7. LICENSE TRANSFER Customer may not sublicense, assign, transfer, rent, or lease the Software or the Software License to any other party except as permitted in this section. Except as provided in sub -section 5.d above, HP Branded Software licenses are transferable subject to HP's prior written authorization and payment to HP of any applicable fees or compliance with applicable third party terms. Upon transfer of the Software License Customers rights under the License will terminate and Customer will immediately deliver the Software and all copies to the transferee. The transferee must agree in writing to the terms of the Software License, and, upon such agreement, the transferee will be considered the 'Customer" for purposes of the license terms. Customer may transfer firmware only upon transfer of the associated Hardware. 8. U.S. FEDERAL GOVERNMENT USE If the Software is licensed for use in the performance of a U.S. Government prime contract or subcontract, Customer agrees that, consistent with FAR 12.211 and 12.212, commercial computer Software, computer Software documentation and technical data for commercial items are licensed under HP's standard commercial license. 9. COMPLIANCE Customer agrees that HP may audit Customer's compliance with the Software License terms. Any such audit would be at HP's expense, require reasonable notice, and would be performed during normal business hours. If an audit reveals underpayments then Customer will immediately pay HP such underpayments together with the costs reasonably Incurred by HP in connection with the audit and seeking compliance with this sub -section. 10. WARRANTY HP Branded Software will materially conform to its Specifications. If a warranty period is not specified for HP Branded Software, the warranty period will be ninety (90) days from the delivery date. 11. VIRUS WARRANTY HP warrants that any physical media containing HP Branded Software will be shipped free of viruses. 12. WARRANTY LIMITATION 39 of 42 HP does not warrant that the operation of Software will be uninterrupted or error free, or that Software will operate in Hardware and Software combinations other than as expressly required by HP in the Product Specifications or that Software will meet requirements specified by Customer. 13. EXCLUSIVE REMEDIES If notified of a valid warranty claim during the warranty period, HP will, at its option, correct the warranty defect for HP Branded Software, or replace such Software. if HP is unable, within a reasonable time, t0 complete the correction, or replace such Software, Customer will be entitled to a refund of the purchase price paid upon prompt return of such Software to HP. Customer will pay expenses for return of such Software to HP. HP will pay expenses for shipment of repaired or replacement Software to Customer. This sub -section 13 states HP's entire liability for warranty claims. 14. IMPLIED LICENSE There are no implied licenses. 40 of 42 EXHIBIT E —AUDITS NIPA B27164 SALES AUDIT PLAN The "HP' 2009-2014 WSCA/NASPO Personal Computer and Related Devices Contract, Sales Audit Plan" specifies the sales audit plan and sale audit report format, as it applies to Section 46.A of the Master Price Agreement B27164. Audit Purpose: To confirm and ensure contract compliance. The audit will confirm if the agency paid the PSS discount price or a lower price in accordance with Section 13, Price Guarantee. Audit Responsibility: HP WSCA Primary Account Representative/Contract Program Manager (HP Program Management) Audit Conducted: Weekly Audit Results Timeframe: Provided to WSCA/NASPO Administrator Quarterly as required by WSCA/NASPO. Audit Process Step 1 On a weekly basis the HP WSCA/NASPO Contract Program Manager will obtain two reports; 1) summary activity (total number of orders) and 2) weekly orders. These reports will be used to pull one tenth of one percent (.001) of orders weekly. Step 2 The HP WSCAINASPO Primary Account Representative/Contract Program Manager will pull at random one tenth of one percent of orders covering all Bands within the PSS, If procured Step 3 The HP WSCAINASPO Contract Program Manager will pull the online copies of Purchase Order and Invoices based on the random one tenth of one percent of orders selected Step 4 The information on the Purchase Order and invoice will be documented in an excel file. Step a The HP WSCAINASPO Contract Program Manager will compare the pricing on the line item detail report in comparison with the Purchase Order/Invoice and HP WSCA/NASPO Contract PSS Discounts in an excel file and compile audit results. Step 6 The HP WSCAINASPO Contract Program Manager will provide the WSCA/NASPO Administrator in email, as noted in the Mandatory Meeting on 3/31, the following Information covering a Quarter of the above audit detaillresults: 1. Total Number of Purchase Orders during the timeframe 2. Total Number of Purchase Orders/Invoices audited based on the one tenth of a percent or no more then 100 purchase orders/invoices if there are more then 100,000 orders. 3. Results in a brief summary Step 7 HP will request approval by the WSCA/NASPO administrator on the format of the first submission of the sales audit to ensure this meets with the guidelines of the WSCA/NASPO administrator. Step a The HP WSCAINASPO Contract Program Manager will provide the final documents and results to the HP Contract Operations team for our records. 41 of 42 WERSITE PRICING AUDITS Website Pricing Audits as it applies to Section 46.A,,ofthe Master Price Agreement B27164, is specified below. HP has different team members that audit the pricing and websites. First, the WNPSP and other State standards pricing is monitored and updated by a set of team members daily and weekly and these are also monitored by the HP Contract Program Management team and inside sales teams on an ongoing basis, monthly and quarterly, see below schedule. Next, the PSS catalog file that HP will create for the new WSCA contract is tied to the then current HP List price and category percentages for each'Sand as noted in the HP PSS discount structure, which automatically generates the pricing fed to the website to calculate the pricing As you may know with emerging technology,' the list price can change weekly so this automated feature ensures the pre -calculated pricing is flowing accurately to the website: In addition to the sales audit plan attached to this response, the HP Program Management team is instituting an additional website audit that will be conducted bi-monthly on the PSS and monthly covering both the WNPSP and State Specific Standards website pricing as noted on the below schedule. As a normal course of business, HP contract operations and compliance teams conduct spot checks and internal audits to ensure compliance through a variety of internal audits, which will also continue. HP takes contract compliance seriously and even has an entire team dedicated to Government contract management, operations and compliance. ` PS3 Websile Audds Addendum to Master Price Agreement Between Hewlett Packard Company And State of Minnesota, Materials ManagementDivision Representing the Western States Contracting Alliance (WSCA) and the National Association of State Procurement Officials (NASPO) Lead State Contract #: B27164 Executed on: July 2, 2009 July23, 2009 Page I of 2 This Master Price Agreement Addendum governs Hewlett Packard Com�anv's (hereinafter "CONTRACTOR") use of the NASPO/WSCA name and logo during the term of this Master Price Agreement and amendments to this Master Price Agreement. CONTRACTOR may use the name and logo only as set forth below. Any use not expressly permitted herein is prohibited, and such use constitutes a material breach of the Master Price Agreement with the LeadS b and all Participating States, 1. CONTRACTOR may display the NASPO/WSCA name and logo on the face of the Master Price Agreement, including allelectronic and hard copy versions. 2. CONTRACTOR and its subcontractors, resellers, and agents may display the NASPO/WSCA names and logos on a web site as a "click on" link to the Master Price Agreement No other use of the logos or names is permitted on any web site, except as permitted in paragraphs I and 3. 3. With, and only with, prior written approval of the Lead State Contract Adtrunistrator, CONTRACTOR may advertise the Master Price Agreement in publications and promotional materials aimed at state and local government entities eligible to use the Master Price Agreement. The sale focus and intent of such advertisements must be to increase participation in the Master Price Agreement. The NASPO/WSCA names may be used and the logos displayed in the advertisement ONLY as it relates to the Master Price Agreement. The Lead State Contract Administrator's approval must encompass the content and appearance of the advertisement and the media in which the advertisement will appear. 4. CONTRACTOR may not make explicit or implicit representations concerning the opinion of NASPO/WSCA, the Lead State, or any Participating State regarding CONTRACTOR or its products or services. This restriction Includes general use of the NASPO/WSCA names and logos NOT directly linked to or related to this Master Price Agreement 5. CONTRACTOR must ensure that its sub -contractors, resellers, and agents adhere to the terms of this Addendum, and CONTRACTOR is responsible for any breach by these entities. 6. CONTRACTOR must immediately cease all use of the NASPO/WSCA names and logos if directed to do so in writing by the Lead State Contract Administrator, and CONTRACTOR must ensure that its sub -contractors, re - sellers, and agents immediately cease all use. 7. CONTRACTOR shall not make, or permit its subcontractors, resellers, or agents to make, any aMerations to NASPO's or WSCA's names or logos (including characters, style and colors) and CONTRACTOR stall not use or permit the use of NASPO's or WSCA's names or logos in a manner or context that could adversely affect NASPO's/WSCA's integrity, goodwill, or reputation. 8. Upon termination or expiration of the Master Price Agreement, CONTRACTOR and its sub contractors, re - sellers, and agents must cease all use of the NASP01WSCA names and logos; except that, CONTRACTOR may use the NASPO/WSCA names for reference purposes in a description of its prior experience. SIGNATURE PAGE - NEXT PAGE Addendum to Master Price Agreement Between Mewlett Packa d Com an And Slate of Minnesota, Moterials Management Division Representing the Western States Contracting Alliance (WSCA) and the National Association of State Procurement Officials (NASPO) Lead State Contract #: 827164 Executed on: July 2, 2009 July 23, 2009 Page 2 of 2 Acknowledged: CONTRACTOR: f% LEAD STATE: The Gon ffat"go Wfaft pem"(s) #me exem'" this In aceor&fty V ilh sroH stawros of R& 1 f/offfie F1 asregei►edbyeppfka6rearlldea, — --__� - — wiiLLf�LI.Sr4r.yfi:.- ifS_-_ -_-irr..M.. �_rr riww�_r�r.�+-.._-_._____rr-r- Tide THIe a Y-g--------------r--------_.� --1--- -- --- -�- pate Daro EXHIBIT B State of California • Arnold Schwarzenegger, Governor State and Consumer Services Agency z DEPARTMENT OF GENERAL SERVICES ff D. Procurenitent Division 707 Third Street - West Sacramento, CA 95605 - (916) 375-4400 - Fax (916) 375-4505 • www. pd.dgs. ca.g ov January9, 2008 Mr. Brian Hicks Insight Public Sector, Inc. 6820 S. Harl Ave. Tempe, AZ 85283 The state is pleased to accept your offer to establish a Software License Program (SLP) contract. Your SLP number is SLP-07-70-0008D. This contract number must be shown on every invoice. you issue to a state or local government agency customer. Ordering agencies may purchase their software products and/or software maintenance from your SLP contract during the term of the Microsoft Select Agreement State and Local #01S69710. This acceptance letter and the attached SLP contract are considered to be the contract. Upon request, it is the responsibility of your organization to furnish copies of the SLP contract to state and local government agencies. The SLP Program strongly recommends that government agencies place orders with suppliers who provide ALL of the contract elements. ' This letter shall not be construed as a commitment to purchase any or all software products and/or software maintenance from your firm. Approval is required from the state for all news releases about the SLP contract. Also, it is not acceptable to include products or services on the SLP contract which are not approved on the Software License Agreement. Sincerely, - Steven B. Lower SLP Program Manager 916-375-4539 steve.lower(a)dgs.ca.gov a State and Consumer Services Agency DEPARTMENT O'F GENERAL SERVICES h.;:`kj"a-111 Procurement Division '- 707 Third Street -west Sacramento, CA 95605 - (916) 375-4400 -Fax (916) 375-4505 • www:nd.das.ca.aov State of California SOFTWARE LICENSING PROGRAM (SLP) ra` OPTWARE Ir�i ::ill I4CENSING ROGRAM -� urnrF nR ���dno un pp�A PTYONY tl/ G6N gRA4 64RVIGp.q Contractor: Insight Public Sector, Inc. Contract Number: SLP-07-70-0008D SLP Contract Term: 12/31 /2007 through 1 /31 /2011 Contract Base: Microsoft Select Agreement . State and Local #01 S69710' This contract is available for use by State of California departments and any city, county, special district, educational agency, local government body or corporation empowered to expend public funds. While the state makes this contract available, each local agency should make its own determination whether the SLP is consistent with their procurement policies and regulations. The SLP Contractor is required to provide all SLP and the Software License Agreement contract terms and conditions with the list of products, services and prices. The most current ordering instructions and terms and conditions are included herein. If there are future changes to the ordering instructions and/or terms and conditions, these changes will be incorporated by an amendment to this contract. Contractor non-compliance with the requirements of, this contract may result in contract termination. By signing below, Contractor agrees to the General Provisions dated April 12, 2007 Software Special Provisions and Purchase Special Provisions dated January 21, 2003 and all other provisions included 'herein. For State oLCAL Adri n Farley Interim Deputy D' ecto Procurement Division Department of General Services I � T /aS Date . For Contractor: Signature -:&'P-0 4 Printed Name V(Lz'PLO-,;,oxc. Printed Title (j j {R 4� - ` 3 �D \�C Company Name Date SOFTWARE LICENSING PROGRAM (SLP) Insight Public Sector, Inc. SLP-07.70-0008D CONTRACTOR PROVIDES COPY OF THE CONTRACT A sample quarterly report indicating required format AND SUPPLEMENTS and information is attached for your reference (Attachment A). The SLP Contractors are required to provide the entire contract that consists of the following: CONTRACTOR INVOICES • SLP Cover sheet with signatures from the DGS Procurement Division Deputy Director or designee and Contractor. • Ordering instructions. • Std. 204 Payee Data Record. •' SLP Contract terms and conditions (General provisions). • Software License Agreement pricing. • Supplements, if applicable CONTRACTOR QUARTERLY REPORTS Contractors are required to submit a detailed report quarterly to the DOS Procurement Division, Software Licensing Program (SLP), 707 Third Street, 2"d Floor, West Sacramento, CA 95605-2811, Attention_: Steve Lower. A separate report is required for each contract, as differentiated by alpha suffix (if applicable). Contractors with resellers are responsible for reporting' reseller ordering activity. Any report that does not follow the required format or that excludes information will be deemed incomplete and returned to the contractor, To facilitate collection of administrative fees, copies of local government agency purchase orders must accompany the SLP quarterly report. This new requirement is effective beginning the second quarter of.2005, for reports due to the SLP Unit within two weeks after the end of June 2005. New contracts for contractors with existing contracts and extensions or renewals of existing contracts will be approved ONLY if the contractor has submitted to the SLP Unit all quarterly reports due. Each quarterly report is required within two weeks of the end of March, June, Sedtember, and December of each calendar year. A report is required even when there is no activity. The report must include the agency name, purchase order number, purchase order date, agency billing code,. pre-tax total order 'cost, agency contact name, address and phone number, and total dollars for the quarter. Tax must NOT be included in the quarterly report, even if the agency includes tax on the purchase order. Unless otherwise stipulated, the contractor must send their invoices to the department address set forth in the purchase order. Invoices shall be submitted in triplicate and shall include the following: • Contract number • Agency purchase order number • Agency Bill Code • Line item number • Unit price • Extended line item price • . Invoice total State sales tax and/or use tax shall be itemized separately and added to each invoice as applicable. The company name on the SLP contract, purchase order and invoice must match or the State Controller's Office will not approve payment. i CONTRACTOR OWNERSHIP INFORMATION Insight Public Sector, Inc. is a large business enterprise. AGENCY NON-COMPLIANCE Agency non-compliance with the requirements of this contract may result in the loss of delegated purchasing authority to use the SLP. PLEASE REQUEST A COPY OF ALL CONTRACT TERMS AND CONDITIONS FROM THE CONTRACTOR., IF NOT PROVIDED INITIALLY. AVAILABLE PRODUCTS AND/OR SERVICES This contract provides, for the purchase and warranty of software; software maintenance, and technical support. CONSULTING SERVICES ARE NOT.AVAILABLE UNDER THIS CONTRACT. Only products from the manufacturer listed below are available within the scope of this contract: • Microsoft revision 611106 ' BUILDING GREEN • BUYING GREEN • WORKING GREEN '2 SOFTWARE LICENSING PROGRAM (SLP) Insight Public Sector, Inc. SLP-07-70.0008D ISSUE PURCHASE ORDER TO: Orders may be mailed to the following address, or faxed to : 480-760-7366 Insight Public Sector, Inc. 6820 S. Harl Ave. Tempe, AZ 85283 Attn: Dennis Westerfield Agencies with questions regarding products and/or services may contact the contractor as follows: Phone: 800-467-4448 ext. 5246 E-mail: dennis.westerfield@insight.com REMIT PAYMENT TO: Insight Public Sector, Ina. P.O. Box 713096 Columbus, OH 43271-3096 SHIPPING INSTRUCTIONS F.O.B. (Free On Board) Destination. DELIVERY 30 days after receipt,of order, or as negotiated between agency and Contractor and included in the purchase order. MAXIMUM ORDER LIMIT IS 42,000,0.00 (Local Governments are Exempt) State departments must follow the Management Memo (MM) guidelines pursuant td this contract. These transactions are subject to the following requirements: • State agencies must solicit a minimum of 3 contractors including 1 small business and/or DVBE (if available) and document responses. This is not a bid transaction so small business preference, protest language, intents to award, evaluation criteria, advertising,• etc. are not applicable. • If less than 3 offers received, state agencies must document their files with the reasons why the other suppliers solicited did not respond with'an offer. • If only one source is known (competing offers cannot be obtained), the non-competitive bid (NCB) contract process must be'followed. See the latest Management Memo (currently MM 03-10 including supplements), or whichever Management Memo is in effect at the time a purchase order is issued, for NCB guidelines. Exceptions to NCB process are also addressed in MM 03-10. • Evaluation and award may be based on best value, as applicable, and not restricted to lowest cost. • For SLIP transactions under $5,000 only one offer is required if the state agency can establish and document that the price is fair and reasonable. . • Orders for Information Technology Goods and Services exceeding 0250,000 require additional documentation. See the latest Management Memo (currently MM 03-10) for specific information on these additional requirements. • Local governments set their own order limits, and are not bound by the above order limits and requirements. Splitting orders to avoid any monetary limitations is prohibited. Do not circumvent normal procurement methods by splitting purchases into a series of -delegated purchase orders (SAM 3572). Splitting a project into small projects to, avoid either fiscal or.procedural controls is prohibited (SAM 4819.34). MINIMUM ORDER LIMITATION There is no minimum dollar value limitation on orders placed under this contract. ORDERING PROCEDURES 1. Order Form State departments shall use a Contract/Delegation Purchase Order (Std. 65) for purchases and services. Local governments shall, in lieu of the State's Purchase Order (Std. 65), use their own purchase order document. Electronic copies of the State Standard Forms can be found at the Office of State Publishing web site: http:%/www.dgsca.Qov/osp (select Standard Forms), The site provides information on the various forms and use with the Adobe Acrobat Reader. Beyond the Reader capabilities, Adobe Acrobat advanced features may be utilized if you have Adobe Business Tools or Adobe Acrobat 4.0 installed on your computer. Direct link to the Standard Form 65: http://www.osp.d,gs.ca.qgv—/Pdf/­stdO85.pdf BUILDING GREEN • BUY NG GREEN • WORKING GREEN xevision 611106 SOFTWARE LICENSING PROGRAM (SLP) Insight Public Sector, Inc. SLP-07-70-0008D 2. Purchase Orders The ordering entity is required to forward a cony of each purchase order to the Department of General Services (DGS), Procurement Division, Business Management Section, Data Capture unit, 707 Third Street, 2nd Floor, West Sacramento, CA 95605-2811. The department is required to complete and distribute the order form, The cost for each line item should be included in the order, not just totals. The contractor must immediately reject orders that are not accurate. 3. Service and Delivery after Contract Expiration Purchase orders must be issued before the SLP contract end term expires. Also, purchase order amendments cannot be issued to add product. and software maintenance if the SLP contract end term has expired. CONTRACT PRICES Contract prices for products and/or services are maximums. The ordering department is encouraged to negotiate lower prices. PRODUCT AND PRICING CHANGES AND/OR UPDATES ARE NOT AUTHORIZED UNTIL REVIEWED AND APPROVED BY DGS PROCUREMENT DIVISION MASTER AGREEMENTS UNIT. Said documents are to be sent to the Department of General Services (DGS) Procurement Division, Master Agreements Unit, 707 Third Street, 2Id Floor, West Sacramento, CA 95605-2811, Attention Steve Lower. SMALL BUSINESS MUST BE CONSIDERED Prior to placing orders under the SLP, state departments shall,• whenever practicable, first consider offers from small businesses that have established SLP contracts [GC Section 14846(b)). NOTE: The Department of General Services auditors Will request substantiation of compliance with this requirement when department files are reviewed. SMALL BUSINESS/DVBE - TRACKING the dollar amount the ordering department can apply towards its small business or DVBE goal. SMALL BUSINESS/DVBE - SUBCONTRACTING The amount an ordering department can claim towards achieving its small business or DVBE goals is the dollar amount of the subcontract award made by the Contractor to each small business or DVBE. 2. The Contractor will provide an ordering department with the following information at the time the order is quoted: a. The Contractor will state that, as the prime Contractor, it shall be responsible for the overall execution of the fulfillment of the order. b. The Contractor will indicate to the ordering department how the order meets the small business or DVBE'goal, as follows: • List the name of each company that is' certified by the Office of Small Business and DVBE Certification that it intends to subcontract a commercially useful function to; and Include the small business or DVBE certification number of each company fisted, and attach a copy of each certification; and ' Indicate the dollar amount of each subcontract with a small business or DVBE that may be claimed by thek ordering department towards the small business or DVBE goal; and • Indicate what commercially useful function the . small business or DVBE subcontractor will be, providing towards fulfillment of the order. 3. The ordering department's purchase order must be addressed to the prime Contractor, and the purchase order must reference the information provided by the prime Contractor as outlined above. PRODUCTIVE USE REQUIREMENTS State departments are able to claim subcohtracting dollars towards their small business or DVBE goals Each software component must be in current whenever the Contractor subcontracts a commercially operation for a paying customer and the paying useful function to a certified small business or DVBE. customer must be external to the contractor's The Contractor will provide the ordering department organization (not owned by the contractor and not with the name of the small business or DVBE used and owning the contractor). BUILDING GREEN • BUYING GREEN • WORKING GREEN revision 611106 SOFTWARE LICENSING PROGRAM (SLP) Insight Public Sector, Inc. SLP-07-70-0008D To substantiate compliance with the Productive Use Requirements, the Contractor must provide upon request the name and address of a customer installation and the name and telephone number of a contact person. The elapsed time such software must have been in operation is based upon the importance of the ' equipment or software for system operation and its cost.. The following designates product categories and the required period of time for software operation prior to approval of the replacement item on the SLP, Category 1 - Critical Software: Critical software is software that is required to control the overall operation of a computer system or peripheral equipment. Included in this category are operating systems, data base management systems, language interpreters, assemblers and compilers, communications software, and other essential system software. Cost Prior Operation More than $100,000 8 months $10,000 up to $100,000 4 months Less than $10,000 1 month Category 2 Non -Critical Software: Information technology equipment is defined in SAM Section 4819.2. Cost Prior Operation More than $100,000 6 months $10,000 up to $100,000 4 months Less than $10,000 1 month STATE AND LOCAL GOVERNMENTS CAN USE THE SLIP State and local government use of the SLP contracts is optional. A local government is any city, county, special district or other local governmental body or corporation, including UC, K-12 schools and community colleges, that is empowered to expend public funds. While the state makes this contract available, each local government agency should make its own determination whether the SLP is consistent with their procurement policies and regulations. APPLICABLE CODES, POLICIES AND GUIDELINES All California codes, policies and guidelines are applicable. THE USE OF THE SLP DOES NOT REDUCE OR RELIEVE STATE DEPARTMENTS OF THEIR RESPONSIBILITY TO MEET STATEWIDE revision 611106 REQUIREMENTS -REGARDING CONTRACTING OR THE PROCUREMENT OF GOODS OR SERVICES. Most procurement and contract codes, policies, and guidelines are incorporated into The SLP contracts. Notwithstandina this, there is no guarantee that "every" possible requirement that pertains to all the different and uniaue state processes has been included. TERMINATION OF SLP CONTRACT 1. The State or Contractor may terminate this SLP Contract at any time upon 30 days prior notice. 2. Upon termination or other expiration of this Contract, each party will assist the other party in orderly termination of the Contract and the transfer of all assets, tangible and intangible, as may facilitate the orderly, nondisrupted business continuation of each party. 3. Prior to the expiration of this Contract, this Contact may be terminated for the convenience of both parties- by mutual consent 4. This provision shall not relieve the Contractor of the obligation to perform under any purchase order or other similar ordering document executed prior to* the termination becoming effective. . . STATEWIDE PROCUREMENT REQUIREMENTS Departments must carefully review and adhere to the following Procurement Requirements, such as: • SAM Section 4819.41 and 4832 certifications for information technology procurements and compliance with policies. • Services may not be paid for in advance. • Departments are required to.file with the Department of Fair Employment and Housing (DFEH) a Contract Award Report Std. 16 for each order over $5,000 within 10 days of award, including supplements that exceed $5,000. • Pursuant to Unemployment Insurance Code Section 1088.8, state and local government agencies must report to the Employment Development Department (EDD) all payments -for services that equal $600 or more to independent sole proprietor contractors. See the contractor's Std. Form 204, Payee Data Record, in the SLP contract to determine sole proprietorship. All Inquiries regarding this subject should be forwarded to EDD: Technical questions: 9161651-6945 or Information and forms: 916/657-0529. • Annual small business and disabled veteran reports. BUILDING GREEN BUYING GREEN • WORKING GREEN SOFTWARE LICENSING PROGRAM (SLP) Insight Public Sector, Inc. SLP-07-70-0008D ETHNICITY/RACE/GENDER REPORTING REQUIREMENT Effective July 1, 2002, in accordance with Public Contract Code 10116, state departments are to capture information on ethnicity, race,, and gender of business owners (not subcontractors) for all awarded contracts, including CAL -Card transactions. Each department is required to independently report this information to the Governor and the Legislature on an annual basis. Departments are resoonsible for develooino their own guidelines and forms for collectincr and reoortiriq this - information, Contractor participation is voluntary. PAYMENTS AND INVOICES 1. DGS Administrative Fee The Department of General Services (DGS) will bill each state and local agency directly an administrative fee for use of SLP contracts. The administrative fee should NOT be included in the order total, nor remitted before an invoice is received from DGS. See DGS Price Book at http://www.ofs.dgs.ca.ciov/Price+Book/­P/­Purchasing,ht (click on DGS Price Book) for current fees. 2. Advance Payments Software maintenance and license fees, which are considered a subscription, may be paid -in advance if a provision addressing payment'in advance is included in the purchase order. 3. Credit Card, Insight Public Sector, Inc. accepts the State of California credit card (CAL -Card). A Purchasing Authority Purchase Order (Std. 65) is required even when the ordering department chooses to pay the contractor via the CAL -Card. Also, the DGS administrative fee is applicable for all SLP orders. FEDERAL DEBARMENT When federal funds are being expended, the department is required to obtain (retain in file) a signed "Federal Debarment" certification from the contractor before the purchase order is issued. This certification is required by the regulations implementing Executive Order 12549, •Debarment and Suspension, 29 CFR Part 98, Section 98.510, Participants; responsibilities, The regulations were published as Part VIl of the May 26, 1988 Federal Repiste (pages 19160-19211). AMERICANS WITH DISABILITY ACT (ADA)• (See attachment B) DGS PROCUREMENT DIVISION CONTACT AND PHONE NUMBER Department of General -Services Procurement Division, CMAS Unit 707 Third Street, 2"d Floor West Sacramento, CA 95605-2811 Phone # 916/375-4390 or 916/375-4539 Fax # 916/375-4490 BUILDING GREEN • BUYING GREEN .- WORKING GREEN 6 revision 611106 A ATTACHMENT A SLP QUARTERLY BUSINESS ACTIVITY REPORT (A REPORT IS REQUIRED EVEN WHEN THERE IS NO ACTIVITY) 1. Calendar Quarter Number: (Quarter # and Year) 2. SLP Contract Number: XX-XX-XXXXX (including alpha suffix if applicable) 3. Contractor: 4. Contractor Contact: Company,Name and Address Name and Phone Number 5. 6. 7. 8. 9. 10, 11. 12. Agency, Name Purchase Order Number Purchase Order Date Agency Billing Code Total Dollars per Purchase Order Agency Contact Agency Address Phone Number 13. Total dollars for quarter:. $ The Quarterly Report must contain all of the above data elements, but may be in a landscape report format. 1. Identify the calendar quarter number and year for the report you are submitting. 2. Identify your company's SLP. contract number. A separate report is required and each contract should be differentiated by alpha suffix . Multiple contracts on Std. 65 State Purchase Order form should be itemized by contract number. For each individual contract (as differentiated by alpha suffix), identify and group together the contract number with line items and subtotal per contract number (do not include tax in the subtotal)./ 3. Identify your company name and mailing address. 4. Identify the company contact and phone number for the SLP contract or the person preparing and submitting the report. 5. Identify the State Agency or local government that issued the SLP order. 6. Identify the purchase order number (and supplement number if applicable) on the order form. This is not your invoice number. This is the number the agency or local government assigns to the order. . 7. Identify the date the purchase order. was issued. This is not the date you received, accepted, or invoiced the order. 8. Identify the State Agency billing code. This is a five -digit number identified on the upper right hand corner of the ' Sid. 65 purchase order form. You must identify this number on all purchases made by State of California agencies. Local governments will not reference a. billing code. You may leave this blank for local government orders. 9. Identify the total dollars of each purchase order before tax. Tax must NOT be included in the quarterly report, even if the agency includes tax on the purchase order. The total dollars per order should indicate the entire purchase order amount regardless of when you invoice order, perform services, deliver product, or receive payment. For amended orders, enter the incremental increase/decrease only. 10. Identify the "Bill To" agency or local government CONTACT on the purchase order. 11. Identify the "Bill To" agency or local government ADDRESS on the purchase order. 12. Identify the agency or local government.phone number on the purchase order. 13. Identify the total dollars pre-tax for all orders placed in that calendar quarter. BUILDING GREEN • BUYING GREEN . WORKING GREEN 7 revision 611106 ATTACHMENT B ADA NOTICE Procurement Division (State Department of General Services) AMERICANS WITH DISABILITIES ACT (ADA) COMPLIANCE POLICY OF NONDISCRIMINATION ON THE BASIS OF DISABILITY To meet and carry out compliance with the nondiscrimination requirements of the Americans With Disabilities Act (ADA), it is the policy of the Procurement - Division (within the State Department of General Services) to make every effort to ensure. that its programs, activities, and services are available to all persons, including persons with disabilities. For persons with a disability needing a reasonable modification' to participate in the Procurement process, or for persons having questions regarding reasonable modifications for the Procurement process, please contact the Procurement Division at (916) 375-4400 (main office); the Procurement Division TTYITDD (telephone device for the deaf) or California Relay Service numbers which are listed below. You may also" contact directly the Procurement Division - contact person that is handling this procurement. IMPORTANT: TO ENSURE THAT WE CAN MEET YOUR NEED, 1T IS BEST THAT WE RECEIVE YOUR REQUEST AT LEAST 10 WORKING DAYS BEFORE. THE SCHEDULED EVENT (i.e., MEETING, CONFERENCE, WORKSHOP, etc.) OR DEADLINE DUE -DATE FOR PROCUREMENT. DOCUMENTS. The Procurement Division TTY telephone numbers are: Sacramento Office: (916) 376'1891 Fullerton Office: (714) 773-2093 The California Relay Service Telephone Numbers are: Voice: 1-800-735-2922 or 1-888-877-6379 TTY: .1-800-735-2929 or 1-8.88-877-5378 Speech -to -Speech: 1-800-8'54-7784 BUILDING GREEN • BUYING GREEN - WORKING GREEN revision.6/1/06 8 ... ....... . .. .. . bi the bottom of this page. Prompt .return" laf this401.ic,h)p14t0d 1.1"preVeTt;84fly�.hkp processing INifffittf0"p?6046i, -S V.4.rt d Statement. ' NQTE; Governrnknttl'&nfItI6s,fe . ddrlRl,. Statk,..Airid (1hclUding s.chb - ol, di6trIcts).,!are:n.dt r.equlfid!..'Io,sWSm , jf-,ffijsj . PAYEE rin PAYEE'S -LEGAL BUSINESSNAME-.(r Iasi& Pi ib& Scctor,!Ac'. $C)L,.E PROPRIETOR — ENTER NAWAS.-.00NN ON..SSADDRESS' First; KA 1 L! N.G: p g$ -U. N E., cl TT Y, ST ZIP IT' r Y _;,q�g1gppq Tense ... ..... . ..... : a. IjOEWFEMERAL.EMRkP.Ye IDE�T 1 0'.10 CA" d-b ' i PAYEE .TATE0Rt�dt E y HTITI' 7 L:;4 9. M 1 M! IIU! PIN?fn 13::�,R ORM -%T N• ....... .. .... ... . ... ... . ... ,p .M.g6f, u q Fp qjyolIms. p6.t.MIbvSie!N CO41y; O.sp. Joe, F.IAYE� :..:Wthholding. REMENIqY­ saivices'peeform Qn ajornI-a.-, El. No i0i .0, 1-f 'UNTOS ...... Ts.0. rig ho Go ."�.cti !..-TAX fhpo�y4cerfify uqder-:O-vffd.ify46f Drma i5fi-pro j p. y, ?piozu a -1s, u Th-M . dsti�,&daf thould"-0'66cy " . ....... .. "'.u.'i h2` irpmpll' Y�.qo "y .0. 12 u yt. -T .6no. I -T -A a bid prnp. UnitlSectiri0i L n; c E 7. 7 or �9-4mail Address d ­z 3 j LIN IM m GSPD-401IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS - INFORMATION TECHNOLOGY 1. DEFINITIONS: Unless otherwise specified in the Statement of Work the following terms 'shall be given the meaning shown, unless context requires otherwise, a) "Acceptance Tests" means those tests performed during the Performance Period which are intended to determine compliance of Equipment and Software with the specifications and all other Attachments incorporated herein by reference and to determine the reliability of the Equipment. b) "Application Program" means a computer program which is intended to be executed for the purpose of performing useful work for the user of the information being processed, Application programs are developed or otherwise acquired by the user of the Hardware/Software system, but they may be supplied by the Contractor. c) "Attachment" means a mechanical, electrical, or electronic interconnection to the Contractor -supplied Machine or System of Equipment, manufactured by other than the original Equipment manufacturer, that is not connected by the Contractor. d) "Business entity" means any Individual, business, partnership, join: venture, corporation, S-corporation, limited liability corporation, limited liability partnership, sole proprietorship, joint stock company, consortium, or other private legal entity recognized by statute. - e) "Buyer" means the State's authorized contracting official, f) "Commercial Software" means Software developed or regularly used that: (i) has been sold, leased, or licensed to the general public; , (ii) has been offered for sale, lease, or license•to the general public; (111) has not been offered, sold, leased, or licensed to the public but will be available for commercial sale, lease, or license in time to satisfy the delivery requirements' of this Contract; or (iv) satisfies a criterion expressed in (1), (11), or (III) above and would require only minor modifications to meet the requirements of this Contract. g) '.'Contract" means this Contract or agreement (including any,' purchase order), by whatever name known or in whatever format used. h) "Custom Software" means Software that does not meet the definition of Commercial Software. 1) "Contractor" means the Business Entity with whom the State enters into this Contract. Contractor shall be synonymous with "supplier",,"vendor" or other similar term. J) "Data Processing. Subsystem" means a complement of Contractor -furnished individual Machines, including the necessary controlling elements (or the functional equivalent) and Operating Software, if any, which are acquired to operate as an Integrated group, and which. are Interconnected entirely by Contractor -supplied power and/or signal cables; e..g., direct access controller and drives, a cluster of terminals with their controller, etc. k) "Data Process;ng System (System)" means the total complement of Contractor -furnished Machines, including one or more central processors (or instruction processors) and Operating Software, which are acquired to operate as an integrated group. 1) "Deliverables" means Goods, Software, Information Technology, telecommunications technology, and other Items (e.g. reports) to be delivered pursuant to this Contract, including any such items fumished Incident'to the provision of services. m) "Designated CPU(s)" means for each product, if applicable, the central processing unit of the computers or the server unit, including any associated peripheral units. if no specific "Designated CPU(s)" are specified on the Contract, the term shall mean :any and, all, CPUs located at the site specified therein: n) "Documentation" means nonproprietary manuals and other printed materials necessary or useful to the State, in its use or maintenance of the Equipment or Software provided hereunder. Manuals and other printed materials customized for the State hereunder constitute Documentation only to the extent that such materials are described in or required by the Statement of Work. o) "Equipment"is an all-inclusive term which refers either to individual Machines or to a complete Data Processing System or subsystem, including Its Hardware and Operating Software (if any). p) "Equipment Failure" is a malfunction in the Equipment. excluding all external factors, which prevents the accomplishment of the Equipment's Intended functlon(s), if microcode or Operating Software residing in the Equipment Is necessary for the proper operation of the Equipment, a failure of such microcode or Operating Software which prevents the accomplishment of the Equipment's intended functions shall be deemed to be an Equipment Failure. q) "Facility Readiness Date" means the date specified in the , Statement of Work by which the State must have the site prepared and available for Equipment. delivery and Installation. r) "Goods" means all types of tangible personal property, including but not limited to materials, ' supplies, and Equipment (including computer and telecommunications - Equipment). s) "Hardware" usually refers to computer Equipment and Is contrasted with Software. See also.Equipment. t) "Installation Date" -means the, date specified In the Statement of Work by which the Contractor must have the ordered Equipment ready (certified) for use by the State, u) "Information Technology" includes, but is not limited to, all electronic technology systems and services, automated information ,handling, System design and analysis, • conversion of data, computer programming, information storage and retrieval, telecommunications which include voice, video, and data communications, requisite System controls, simulation, electronic commerce, and all related Interactions between people and Machines. v) "Machine" means an individual unit of a Data Processirg System or subsystem, separately identified by a type and/or model number; comprised of but not limited to mechanical, electro-medhanioai; and electronic parts, microcode, and special features installed thereon and Including any necessary Software, e.g., central processing. unit, memory module, tape unit, card reader, etc. w) "Machine Alteration" means any change to a Contractor - supplied Machine which is not made by the Contractor, and which results in the Machine deviating from its physical, mechanical, electrical, or electronic (including microcode) design, whether or not additional devices or. parts are employed In making such change. x) "Maintenance Diagnostic Routines" means the diagnostic programs customarily used by the Contractor to test Equipment for proper functioning and reliability. y) "Manufacturing Materials" means parts, tools, dies, Jigs, fixtures, plans, . drawings, and Information produced or acquired, or rights acquired, specifically to fulfill obligations set forth herein. z) "Mean Time Between Failure (MTBF)" means the average expected or observed time between consecutive failures in a System or component. aa) "Mean Time to Repair (MTTR)" means the average expected or observed time required to repair a System or - component and return it to normal operation. bb) "Operating Software" means those routines, whether or not identified as Program Products, that reside in the Equipment and are required for the Equipment to perform its intended function(s), and which interface the operator, other Contractor -supplied programs, and user programs to the Equipment. - cc) "Operational Use • Time" means for performance measurement purposes, that time during which Equipment is In. actual operation by the State. For maintenance Operational Use Time purposes, that time during which Equipment is in actual operation and is not synonymous with power on time. Page 1 of 10 GSPO-401 IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS — INFORMATION TECHNOLOGY dd) "Performance Testing Period" means a period of time during which the State, by appropriate'tests and production runs, evaluates the performance of newly installed , Equipment and Software prior to its acceptance by the State. ee) "Period of Maintenance Coverage" means the period of time, as selected by the State, during which maintenance services are provided by the Contractor for a fixed monthly charge, as opposed to an hourly charge for services rendered. The Period of Maintenance Coverage consists of the Principal Period of Maintenance and any additional hours of coverage per day, and/or increased coverage for weekends and holidays, fo "Preventive Maintenance" means that maintenance, performed on a scheduled basis by the Contractor, which is designed to keep the Equipment in proper operating condition. gg). "Principal Period of Maintenance" means any nine consecutive hours per day (usually between the hours of 7:00 a.m. and 6:00 p.m.)' as selected by the State, including an -official meal period not to exceed' one hour, Monday through Friday, excluding holidays observed' at the Installation. hh) "Programming Aids" means Contractor -supplied programs and routines executable on the Contractor's Equipment which assists a programmer in the development of applications indluding language processors, sorts, communications modules, data base management -systems, and utility routines, (tape -to -disk routines, disk -to -print routines, etc.), 11) "Program Product" means programs, routines, subroutines, and related items which are proprietary to the Contractor and which are' licensed to the State for its use, usually on the basis of separately stated charges and appropriate contractual provisions. ' jj) "Remedial Maintenance" means that ' maintenance performed by the Contractor which results from Equipment (including Operating Software) failure, and which is performed as required, i.e., on an unscheduled basis. kk) "Site License" means for each product, the term "Site License" shall msan the license established upon acquisition of the applicable number of copies of such product and payment of the applicable license fees as set forth• in the Statement of Work. II) "'Software" means an all-inclusive term which refers to any computer programs, routines, or subroutines supplied by the Contractor, including Operating Software, Programming Aids, Application Programs, and Program Products. mm) "Software Failure"means a malfunction in the Contractor - supplied Software, other than Operating Software, which prevents the accomplishment of, work, even though the Equipment (including its Operating Software) may still be capable of operating properly. For Operating Software failure, see definition of Equipment Failure, nn) "State" means the government of the State of California, its employees and authorized representatives, including without limitation any department, agency, or other unit of the government of the State of California. oo) "System" means the complete collection of Hardware, Software and 'services as described in this Contract, integrated and functioning together, and performing in accordance with this Contract. pp) "U.S. Intellectual Property Rights" means intellectual property rights enforceable in the United States of America, Including without limitation rights In trade secrets, copyrights, and U.S, patents. 2. CONTRACT FORMATION: a) If this Contract results from a sealed bid offered in response to a solicitation conducted pursuant to Chapters 2 (commencing with Section 10290), 3 (commencing- with Section 12100), and 3.6 (commencing with Section 12125) of Part 2 of Division 2 of the Public Contract Code (PCC), then Contractor's bid is a firm offer to the State which is accepted by the issuance of this Contract and no further action is required by either party. If this Contract results from a solicitation other thah described in paragraph a), above, Contractor's quotation or proposal is deemed a firm offer and this Contract document is the State's acceptance of that offer. If this Contract resulted from a joint bid, it shall be deemed one indivisible Contract. Each such joint Contractor will be jointly and severally liable for the performance of the entire Contract. The State assumes no responsibility or obligation for the division of orders or purchases among joint Contractors. 3. COMPLETE INTEGRATION: This Contract, including any documents incorporated herein by express reference, is intended to be a complete integration and there are no prior or contemporaneous different or additional. agreements pertaining to the subject matter of the Contract. 4. SEVERABILITY: The Contractor and the State agree that if any provision of this Contract is found to be illegal or unenforceable, such term or provision shall be deemed stricken and the remainder •of the Contract shall remain In full force and effect. Either party having knowledge of such term or provision shall promptly inform the other of the presumed non -applicability of such provision, S. INDEPENDENT CONTRACTOR: Contractor and the agents and employees of Contractor, in the performance of this Contract, shall act in an independent capacity and not as officers • or employees or agents of the State. S. APPLICABLE LAW: This Contract shall be governed by and. shall be interpreted in accordance with the laws of the State of California; venue of any action brought with regard to this Contract shall be in Sacramento County, Sacramento, California. The United Nations Convention on Contracts for the International Sale of Goods shall not apply to this Contract, 7. .COMPLIANCE WITH STATUTES AND REGULATIONS: a) Contractor warrants and certifies that In the performance of this Contract, it will comply with all applicable statutes, rules, regulations and orders of the United States and the State of California and agrees to indemnify the State against any loss, cost, damage or liability by reason of the Contractor's violation of this provision. b) The State will notify Contractor of any such claim in writing and tender the defense thereof within a reasonable time; and c) Contractor will have dole control of the defense of any action on such claim and all negotiations for its settlement or compromise; provided that (i) when substantial principles of government or public law are involved, when litigation might create precedent affecting future State operations or liability, or when involvement of the State is otherwise mandated by law, the State mpy participate in such action at its own expense with respect to attorneys' fees and costs (but not liability); (ii) the State will have the right to approve or disapprove any settlement or compromise, which approval will not unreasonably be withheld or delayed; and (ill) the State will reasonably cooperate in the defense and in any related settlement negotiations. d),. If this Contract is in excess of $500.000, it is subject to the requirements of the World Trade Organization (WTO) Government Procurement Agreement (GPA) e) To the extent that this contract falls within the scope of Government Code Section 11135, Contractor hereby agrees to respond to and resolve any complaint brought to its attention, regarding accessibility of its products or services. 8. CONTRACTOR'S POWER AND AUTHORITY: The Contractor warrants that it has full power and authority to grant the rights herein granted and will hold the Stale harmless from and,against any loss, cost, liability, and expense (including reasonable Page 2of10 GSPD-401 IT (REVISED AND EFFECTIVE 04112/2007) 'GENERAL PROVISIONS INFORMATION TECHNOLOGY attorney fees) arising out of any breach of this warranty. Further, Contractor avers that it will not enter into any arrangement with any third party which might abridge any rights of the State under this Contract. a) The State will notify Contractor of any such claim in writing and tender the defense thereof within a reasonable time; and b) Contractor will have sole control of the defense of any action on such claim and all negotiations for Its settlement or compromise; provided that (1) when substantial principles of government or public law are involved, when litigation might create precedent affecting future State operations or liability, or when involvement of the State is otherwise mandated by law, the State may participate in such action at its own expense with respect, to attorneys' fees and costs (but not liability); (if) the State" will have the right to approve or disapprove any settlement or compromise, which approval will not unreasonably be withheld or delayed; and (fit) the State will reasonably cooperate in the defense and in any related settlement negotiations. 9. ASSIGNMENT: This Contract shall not be assignable by the Contractor in whole or in part with the written consent of the State, For the purpose of this paragraph, State will not unreasonably prohibit Contractor from freely assigning its right to payment, provided that Contractor remains responsible for its obligations hereunder. 13, 10. WAIVER OF RIGHTS: Any action or inaction by the State or the failure of the State on any occasion, to enforce any right or provision of the Contract, shall not be construed to be a waiver by the State of its rights hereunder and'shall not prevent the State from enforcing such provision or right on any future occasion. 14. The rights and remedies of the State herein are cumulative and are In addition to any other rights or remedies that the State may have at law or in equity. 11. ORDER OF PRECEDENCE: In the event of any inconsistency between the articles, attachments, specifications or provisions which constitute this Contract, the following order of precedence shall apply: a) these General Provisions •- Information Technology (In the instances provided herein where the paragraph begins: "Unless otherwise specified in the Statement of Work" provisions specified in the Statement of Work replacing these pargaraphs shall take precedence over the paragraph referenced in these General Provisions) ; b) contract form, i.e„ Purchase Order STD 65, Standard Agreement STD 213, etc., and any amendments thereto; c) information technology special provisions; d) statement of work, Including any specifications incorporated by reference herein; and - e) all other attachments incorporated in the contract by reference. 12. PACKING AND SHIPMENT: a) All Goods are to ' be packed in suitable containers for protection in shipment and storage, and in accordance with applicable specifications. • Each container of a multiple container shipment shall be identified to: t) show the number of the container and the total number of containers in the shipment; and 11) the number of the container in which,the packing sheet • has been enclosed.. p) All shipments by Contractor or its subcontractors must Include packing sheets Identifying: the State's Contract number; item number; quantity and unit of measure; part number and description. of the Goods shipped; and appropriate evidence of inspection, if required. Goods for different Contracts ,shall be listed on separate ' packing sheets. • c) Shipments must be made as specified in this Contract, as it may be amended, or otherwise directed in writing by the State's Transportation Management Unit within the Department of General Services, Procurement Division. TRANSPORTATION COSTS AND OTHER FEES OR EXPENSES: No charge for delivery, drayage, express, parcel post, packing, cartage, insurance, license fees, permits, cost of bonds, or for any other purpose will be paid by the State unless expressly Included and Itemized in the Contract., a). Contractor must strictly follow Contract requirements regarding Free on Board (F.0.8.), freight terms and routing Instructions. The State may permit use of an alternate carrier at no additional cost to the Slate with advance written authorization of the Buyer, b) If "prepay and add" is selected, supporting freight bills are required when over $50, unless an exact freight charge is approved by the Transportation Management Unit within the Department of General Services Procurement Division and a waiver is granted. c) On 'T.O.B. Shipping Point" transactions, should any shipments under the Contract be received by the State in a damaged condition and any related freight loss and damage claims filed against the carrier or carriers be wholly or partially declined by the carrier or carriers with the inference that damage was'the result of the act of the shipper such as Inadequate packaging or loading or some Inherent defect In the Equipment and/or material, Contractor, on request of the State, shall at Contractor's own expense assist the State in establishing carrier liability by supplying evidence that the Equipment and/or material was properly constructed; manufactured, packaged, and secured to withstand normal transportation conditions. DELIVERY: Contractor shall strictly adhere to the delivery and completion schedules specified fn this Contracl,Time,'if stated as a number of days, shall mean calendar.days unless otherwise specified. The quantities specified herein are the only quantities required. If Contractor delivers in excess of the quantities specified• herein, the State shall not be required to make any payment for the excess Deliverables, and may return them to Contractor at Contractor's expense or utilize any other rights available to the State at law or in equity. 15. SUBSTITUTIONS: Substitution of Deliverables may not be tendered without advance written consent of the Buyer. Contractor shall not - use any specification• in lieu .of those contained in the Contract without written consent of the Buyer 16. INSPECTION, ACCEPTANCE AND REJECTION; Unless otherwise specified in the Statement of Work: I . a) Contractor and its subcontractors will provide and maintain a quality assurance system acceptable to the State covering Deliverables and services under this Contrdct and will tender to the State only those Deliverables that have- been inspected and found to conform to this Contract's requirements. Contractor will keep records evidencing inspections and their result. and will make these recomb available to the State during Contract performance and loi three years after final payment. Contractor shall permit the State to review procedures, practices, processes, and related documents to determine the acceptability of Contractor's quality assurance System or other similar business practices related to performance of the Contract. b) Ail Deliverables may be subject to Inspection and test by the State or Its authorized representatives. c) Contractor and its subcontractors shall provide all -reasonable facilities for the safety and convenience of Inspectors at no additional cost to the State. Contractor shall furnish to inspectors all information and data as may be reasonably required to perform their inspection. d) All Dellverables may be subject to final inspection, test and acceptance by the.State at destination, notwithstanding any payment or inspection at source. e) The State shall give written notice of rejection of Deliverables delivered or services performed hereunder within a Page 3 of 10 GSPD-401IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS — INFORMATION TECHNOLOGY reasonable time after receipt of such Deliverables or performance of such services. Such notice of rejection will state the respects in which the Deliverables do not substantially conform to their specifications. If the State does not provide such notice of rejection within thirty (30) days of delivery, such Deliverables and services will be deemed to have been accepted. Acceptance by the State will be final and irreversible, except as it relates to latent defects, fraud, and gross mistakes amounting to fraud. Acceptance shall not be construed to waive any warranty rights that the State might have at law or by express reservation in this Contract with respect to any nonconformity. 17. SAMPLES: a) Samples of items may be required by the State.for inspection and specification testing and must be furnished free of expense to the State. The samples furnished must be identical In all respects to the products bid and/or specified in the Contract. b) Samples, if not destroyed by tests, may, upon request made at the time the sample is furnished, be returned at Contractor's expense. 18, WARRANTY: a) Unless otherwise specified.in the Statement of Work, the warranties in this subsection a) begin upon delivery of the goods or seiices in question and end one (1) year thereafter. • Contractor warrants that (1) Deliverables and services furnished hereunder will substantially conform to the requirements of this Contract (including without limitation all descriptions, specifications, and drawings identified in the Statement of Work), and (11) the Deliverables will be -free from material defects in materials and workmanship. Where the parties have agreed to design specifications (such as a Detailed Design Document) and incorporated the same or equivalent In the Statement of Work directly or by reference, Contractor will warrant that its Deilverables provide all material functionality required thereby. In addition to the other warranties set forth herein, where the Contract calls for delivery of Commercial Software, Contractor warrants that such Software will perform in accordance with its license and accompanying Documentation. The State's approval of designs or specifications furnished by Contractor shall not relieve the Contractor of its obligations under this warranty. b) Contractor warrants that Deliverables furnished hereunder (1) will be free, at the time of delivery, of harmful code (i.e. computer viruses, worms, trap doors, time bombs, disabling code, or any similar malicious mechanism designed to interfere with the intended operation of, or cause damage to, computers, data, or Software); and (11) will not infringe or violate any U.S. Intellectual Property Right. Without limiting the generality of the foregoing, If the State believes that harmful code may be present in any Commercial Software delivered hereunder, Contractor will, upon the State's request, provide a master copy of the Software for comparison and correction. c) Unless otherwise specified in the Statement of Work: (I) Contractor does not warrant that any Software provided hereunder is error -free or that it will run without immaterial interruption. (11) Contractor does hot warrant and will have no responsibility for a claim to the extent that it arises directly from (A) a modification made by the State, unless such modification Is approved or directed by Contractor, (B) use of Software in combination With or on products other than as specified by Contractor, or (C) misuse by the State. (fii) Where Contractor resells Hardware or Software It purchased from a third party, and such third party offers additional or more advantageous warranties than those set forth herein, Contractor will pass through any such warranties to the State and will reasonably cooperate in enforcing them. Such warranty pass -through will be supplemental to, and not relieve Contractor from, Contractor's warranty obligations set forth above. All warranties, Including special warranties specified elsewhere herein, shall inure to the State, its successors, assigns, customer agencies, and governmental users of,the Deliverables or services. Except as may be specifically provided In the Statement of. Work or elsewhere in this Contract, for any breach of the warranties provided In this Section, the State's exclusive remedy and Contractor's sole obligation will be limited to: (1) re -performance, repair, or replacement of the nonconforming Deliverable '(including without limitation an infringing Deliverable) or service; or (ii) should the State in its sole discretion consent, refund of all amounts paid by the State for the nonconforming Deliverable or service and payment to the State of -any additional amounts necessary to equal the State's Cost to Cover. "Cost to Cover" means the cost, properly mitigated; of procuring Deliverables or services of equivalent capability, function, and performance. The payment obligation in subsection (e)(ti) above will not exceed the limits on Contractors liability set forth in the Section entitled "Limitation of Liability." EXCEPT FOR THE EXPRESS WARRANTIES SPECIFIED IN THIS SECTION, CONTRACTOR MAKES NO WARRANTIES EITHER EXPRESS OR IMPLIED, INCLUDING WITHOUT LIMITATION ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. 19. SAFETY AND ACCIDENT PREVENTION: In -performing work under this Contract on State premises, Contractor shall conform to any specific safety requirements contained In the Contract or as required by law or regulation. Contractor shall take any additional precautions as the State may reasonably require for safety and accident prevention purposes. Any violation of such rules and requirements, unless promptly corrected, shall be grounds for termination of this Contract in accordance with the default provisions hereof. ' 20. INSURANCE: When performing work on property in the care, custody or, control of the State, Contractor shall maintain all commercial general liability insurance, workers' compensation insurance and any other insurance the State deems appropriate under. the • Contract. Contractor shall furnish an Insurance certificate evidencing required insurance coverage acceptable to the State, Upqn request by the Buyer. the Contractor may be required to have the State shown as an "additional insured" on selected policies. 21.TERMINATION FOR NON -APPROPRIATION OF FUNDS: a) If the term of this Contract extends • into fiscal years subsequent to that in which it is approved, -such continuation of the Contract is contingent on the appropriation of funds for such purpose by the Legislature. If funds to effect such continued payment are not appropriated, Contractor agrees to take back any affected Deliverables furnished under this Contract, terminate any services supplied to the State under this Contract, and relieve the.Slate of any further obligation therefor. b) STATE AGREES THAT IF PARAGRAPH a) ABOVE IS INVOKED, DELIVERABLES SHALL BE RETURNED TO THE CONTRACTOR IN SUBSTANTIALLY. THE SAME CONDITION IN WHICH DELIVERED TO THE STATE, SUBJECT TO NORMAL WEAR AND• TEAR, STATE FURTHER AGREES TO PAY FOR PACKING, CRATING, TRANSPORTATION TO CONTRACTOR'S NEAREST FACILITY AND FOR REIMBURSEMENT TO THE CONTRACTOR FOR EXPENSES INCURRED FOR THEIR ASSISTANCE IN SUCH PACKING AND CRATING. 22, -TERMINATION FOR THE CONVENIENCE OF THE STATE: Page 4 of 10 GSPD-4011T (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS - INFORMATION TECHNOLOGY The. State may terminate performance of work under this Contract for its convenience in whole or, from time to time, in part, if the Department of General Services, Deputy Director Procurement Division, or designee, determines that a termination is in the State's Interest, The Department of General Services, Deputy Director, Procurement Division, or designee, shall terminate by delivering to the Contractor a Notice of Termination specifying the extent of termination and the effective date thereof. After receipt of a Notice of Termination, and except as directed by the State, the Contractor shall immediately proceed with the following obligations, as applicable, regardless of any delay in determining or adjusting any amounts due under this clause. The Contractor shall: (1) Stop work as specified in the Notice of Termination. (it) Place no further subcontracts for materials, services, or facilities, except as necessary to complete the continuing portion of the Contract. (111) Terminate all subcontracts to the extent they relate to the work terminated, (iv) Settle all outstanding IlabiAtles and termination settlement proposals arising from the termination of subcontracts—, Unless otherwise set forth In the'Statement of Work, if the Contractor and the State fail to agree on the amount to be paid because of the termination for convenlerice, the State will pay the Contractor the following amounts; provided that in no event will total payments exceed the amount payable to the Contractor if the Contract had been fully performed: (I) The Contract price for Deliverables or services accepted by the State and not previously paid for, adjusted for any savings on freight and other charges; and (11) The total of. A) The reasonable costs incurred in the'performance of the work terminated, Including Initial costs and preparatory expenses allocable thereto, but excluding any cost attributable to Deliverables or services paid or to be paid; ;B) The reasonable cost of settling and paying termination settlement proposals under terminated subcontracts that are properly chargeable to the terminated portion of the Contract; and C) Reasonable storage, transportation, demobilization, unamortized overhead and capital costs, and other costs reasonably incurred by the Contractor in winding down and terminating its work. The Contractor will use generally accepted accounting principles, or accounting principles otherwise agreed to in writing by the parties,, and sound business practices In determining ,all costs Calmed, agreed to, or determined under this clause, 23. TERMINATION FOR DEFAULT: a) The State may, subject to the clause titled "Force Majeure" and to sub -section d) below, by written notice of default to the Contractor, terminate this Contract in whole or in part if the Contractor fails to: 1) Deliver the Deliverables or perform the.services within the time specified in the Contract or any amendment thereto; 11) Make progress, so that the lack of progress endangers performance of this Contract; or 111) Perform any of the other provisions of this Contract. b) The State's right to terminate this Contract under sub -section a) above, may be exercised if the 'failure constitutes a material breach of this Contract and if the Contractor does not cure such failure within the time frame stated in the State's cure notice, which in no event will be less than fifteen (15) days, unless the Statement of Work calls for a shorter period. c) If the State terminates this Contract. in whole or in part pursuant to this Section, it may acquire, under terms and in the manner the Buyer considers appropriate, Dellverables or services similar to those terminated, and the Contractor will be liable to the State for any excess costs for those Deliverables and services. Including without limitation costs third party vendors charge for Manufacturing Materials (but subject to 'the clause entitled "Limitation of Liability"). However,. 'the Contractor shall continue the work not terminated. If the Contract is terminated for default, the State may require the Contractor to transfer title, or in the case of licensed Software, license, and deliver to the State, as directed by the Buyer, any: (1) completed Deliverables,- (li) partially completed Deliverables, and, (W) subject to —provisions of sub -section e) . below, Manufacturing Materials related to the terminated portion of this Contract. Nothing in this sub -section d) will be construed to grant the State rights to -Deliverables that it would not have received had this Contract been fully performed. Upon direction of the, Buyer, the Contractor shall also protect and preserve property in its possession in which the State has an Interest, The State shall pay Contract price for completed Deliverables delivered and accepted. Unless the Statement of Work calls for different procedures or requires no -charge delivery of materials, the Contractp( and Buyer shall attempt to agree on the amount of payment for Manufacturing Materials and other materials delivered .and accepted by the State for the protection and preservation of the property; provided that where the Contractor has billed the State for any such materials,• no additional charge will apply. Failure to agree will constitute a dispute under the Disputes clause. The State may withhold from these amounts any sum it determines to be necessary. to protect the State against loss because of outstanding liens or claims of former lien holders If, after termination, It Is determined by a final ruling in accordance with the Disputes Clause that the Contractor was not in default, the rights and obligations of the parties shall be the same as if the termination had been issued for the convenience of the State. The rights and remedies of the State in this clause are in addition to any other rights and remedies provided by law or under this Contract, -and are subject to the clause titled "Limitation of Liability." 24. FORCE MAJEURE Except for defaults of subcontractors at any tier, the Contractor shall not be liable for any excess costs if the failure to perform the Contract arises from causes beyond the control and without the fault or negligence of the Contractor. Examples. of such causes include, but are not limited to: a) Acts of God or of the public enemy, and b) Acts of the federal or State government in either its sovereign or contractual capacity. If the failure to perform is caused by the default of a subcontractor at any tier, and if the cause of the default- is beyond the control of both the Contractor and subcontractor; and without the fault or negligence of either, the Contractor shall not be liable for any excess costs for failure to perform, 25. RIGHTS AND REMEDIES OF STATE FOR DEFAULT: a) In the event any Deliverabies furnished or services provided by the Contractor in the performance of the Contract should flail to conform to the requirements herein, or to the sample submitted by the Contractor, the State may reject the same, and it shall become the duty of the Contractor to reclaim and remove the item promptly or to correct the performance of services; without expense to the State, and Immediately replace all such rejected Items with others conforming to the Contract. Page S of 10 GSPD-401 IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS — INFORMATION TECHNOLOGY b) In addition to any other rights and remedies the State may have, the State may require Contractor, at Contractor's expense, to ship Deliverables via air freight or expedited routing to avoid or minimize actual or potential delay if the delay is the fault of the Contractor. c) In the event of the termination of the Contract, either in whole or in part, by reason of default or breach by the Contractor, any loss or damage sustained by the State in procuring any Items which the Contractor agreed to supply shall be borne and paid for by the Contractor (but subject to the clause entitled "Limitation of Liability"). d) The State reserves the right to offset the reasonable cost of all damages caused to the State against any outstanding invoices or amounts owed to Contractor or to make a claim. against the Contractor therefore. 26. LIMITATION OF LIABILITY: a) Contractor's liability for damages to the State for any cause whatsoever, and regardless of the form of action, whether in Contract or in tort, shall be limited to two times the Purchase Price. For purposes of this sub -section a), 'Purchase Price" will mean the aggregate Contract price; except that, with respect to a Contract' under which multiple purchase orders will be issued (e.g., a Master Agreement or Multiple Award Schedule contract), "Purchase Price" will mean the total price of the purchase order for the Deliverable(s)• or service(s) that gave rise to the loss, such that Contractor will have a separate limitation of liability for each purchase order: b) The foregoing limitation ofliability shall not apply (1) to liability under the General Provisions; entitled 'Patent. Copyright, and Trade Secret Protection" or to any other liability (Including without limitation indemnification obligations) for Infringement of third party intellectual property rights; (11) to claims covered by any specific provision herein calling for liquidated damages; (111) to claims arising under provisions herein calling for Indemnification for third party claims against the State for bodily injury to persons or damage to real or tangible personal property caused by Contractor's negligence or willful misconduct or (Iv) to -costs or attorneys fees that the State becomes entitled to recover as a prevailing party in -any action. c) The State's liability for damages for any cause whatsoever, and regardless of the form of action, whether in Contract or in'tort, shall be limited to the Purchase Price, as that tarmis defined in subsection a) above. Nothing herein shall be construed to waive or limit the State's sovereign immunity or any other immunity from suit provided by law, d) In no event will either the Contractor or the State be liable for consequential, incidental, indirect, special, or punitive damages, even If notification has been given as to the possibility of such- damages, except (1) to the extent that Contractor's liability for such damages is specifically set forth In the Statement of Work or (ii) to the extent that Contractor's liability for such damages arises out of sub -section b)(1), b)(ti), or b)(iv) above. 27. CONTRACTOR'S LIABILITY FOR INJURY TO PERSONS OR DAMAGE TO PROPERTY: a) The Contractor shall be liable for damages arising out of injury to the person and/or damage to the property of the State, employees of the State, persons designated by the State for training,, or any other person(s) other than agents or employees of the Contractor, designated by the State for any purpose, prior to, during, or subsequent to delivery, installation, acceptance, and use of the Deliverables either at the Contractor's site or at the State's place of business, provided that the injury or damage was caused by the fault or negligence of the Contractor, b) Contractor shall not be liable for damages arising out of or caused by .an alteration or an Attachment not made or installed by the Contractor, or for damage to alterations or Attachments that may result from the normal operation and maintenance of the Deliverables provided by the Contractor during the Contract, 28. INDEMNIFICATION: Contractor agrees to indemnify, defend and save harmless the State; its officers, agents and employees from any and all third party claims, costs (including without limitation reasonable attorneys' fees), and losses due to the injury or death of any individual, or the loss or damage to any real or tangible ,personal property, resulting from the willful misconduct or negligent acts or omissions of Contractor or any of its agents, subcontractors, employees, suppliers, laborers, or any other person, firm, or corporation furnishing or supplying work, services, materials, or supplies In connection with the performance of this Contract. Such defense and payment will be conditional upon the following: a) The State will notify Contractor of any such claim in writing and tender the defense thereof within a reasonable time; and b) Contractor will have sole control of the defense of any action on such claim and all negotiations for Its settlement or compromise; provided that (I) when substantial principles of government or public law are involved, when litigation might create precedent affecting future State operations or liability, or when involvement of the State Is otherwise mandated by law, the State may participate in such action at its own expense with respect to attorneys' fees and costs (but not liability); (11) the State will have the right to approve or disapprove any settlement or compromise, which approval will not unreasonably be withheld or delayed; and (iii).the State 'will reasonably cooperate in the defense and in any related settlement negotiations. 29. INVOICES: Unless otherwise specified, invoices shall be.sent to the address set forth herein. Invoices shall be submitted in triplicate and shall include the.Contract number; release order number (if applicable): item number: unit price extended item price and Invoice total amount. State sales tax and/or use tax shall be itemized separately and added. to each invoice as applicable. 30. REQUIRED PAYMENT DATE: Payment will be made in accordance with the provisions of the California Prompt Payment Act, Government Code Section 927 et. seq. Unless expressly exempted by statute, the Act requires State -agencies to pay properly submitted, undisputed Invoices not more than 45 days after (1) the date of acceptancerof Deliverables or performance of services; or (ii) receipt of an undisputed invoice, whichever is later. 31. TAXES: Unless otherwise required by law, the State of California Is exempt from Federal excise taxes. The State will only pay for any State qr local sales or use taxes on the services rendered or Goods supplied to the State pursuant to this Contract. 32, NEWLY MANUFACTURED GOODS: All Goods furnished under this Contract shall be newly manufactured Goods; used or reconditioned Goods are prohibited, unless otherwise specified. 33. CONTRACT MODIFICATION: No amendment or variation of the terms of this.Contractshall be valid unless'made in writing, signed by the parties and approved as required. No -oral understanding or agreement not incorporated in the Contract is binding on any of the parties. 34. CONFIDENTIALITY OF DATA: All financial, statistical, personal, technical and other data 'and information relating to the State's operation which are designated confidential by the State and made available to the Contractor in order to carry out this Contract, or which become available to the Contractor in carrying out this Contract, shall be protected by the Contractor from unauthorized use and disclosure through the observance of the same or more effective procedural requirements as are applicable to the State. The identification of all such confidential data and Information as well as the State's procedural requirements -for protection of such data and information from .unauthorized use and disclosure shall be provided by the State in writing to the Contractor. If the methods and procedures employed by the Page 6 of 10 GSPD-401 IT (REVISED AND EFFECTIVE 04/12/2007) ' GENERAL PROVISIONS — INFORMATION TECHNOLOGY Contractor for the protection of the Contractor's data and works from, and disclose the Work Product for any State Information are deemed by the State to be adequate for the government purpose. Such recipients of the Work Product protection of the State's confidential information, such methods may include, without limitation, State Contractors, California and procedures may be used, with the written consent of the local governments, the U.S. federal government, and the State, to carry out the'intent of.this paragraph. The Contractor State and local governments'of other states. 'Government shall not be required under the provisions.of this paragraph to Purpose Rights" do not include any rights to use. modify. keep confidential any data or information which is or becomes reproduce, perform, release. display, create derivative publicly available, Is already rightfully, in the Contractor's works from, or disclose the Work ProdGcl lot any possession, is independently developed by the Contractor outside commercial purpose. the scope of this Contract, or Is rightfully obtained from third d). The ideas, concepts, know-how, or techniques relating to parties. data processing, developed during the course of this Contract by the Contractor 'or jointly by the Contractor and 35. NEWS RELEASES: Unless otherwise exempted, news releases the Stale may be used.by either party withciul obligation of pertaining to this Contract shall not be made without prior written notice or accounting. approval of the Department of General Services. e) This Contract shall not preclude the (.onuactor Volt; developing materials outside this Contract that are 36. DOCUMENTATION competitive, irrespective of their similarity to materials which a) The Contractor agrees to provide to the State, at no charge, might be delivered to the State pursuant to this Contract. a number of all nonproprietary manuals and other printed materials, as described within the Statement of Work, and 38. PROTECTION OF PROPRIETARY SOFTWARE AND OTHER updated versions thereof, which are -necessary or useful to. PROPRIETARY DATA the State in Its use of the Equipment or Software provided a) 'State agrees that all material appropriately marked or hereunder. The Contractor agrees to provide additional identified In writing as proprietary, and furnished hereunder Documentation at prices not in excess of charges made by are provided for State's exclusive use for the purposes of the Contractor to its other customers for similar this Contract only. All such proprietary data shall remain the Documentation. property of the Contractor. State agrees to take all b) if the Contractor (is unable to perform maintenance or the reasonable steps to insure that such proprietary data are not State desires to perform its own maintenance on Equipment disclosed to others, without prior written • consent of the purchased under this Contract then upon written notice by Contractor, subject to the California Public Records Act, the State •the Contractor will provide at Contractor's then b) The State will insure, prior to disposing of any media, that current rates and fees adequate and reasonable assistance any licensed materials contained thereon have. been erased including relevant Documentation to allow the State to or otherwise destroyed, maintain the Equipment based on Contractor's methodology, c) The State agrees that it will take appropriate action by The Contractor agrees that the State may reproduce such. instruction, agreement or otherwise .with its employees or Documentation for its own use in maintaining the Equipment, other persons permitted access to licensed software and If the Contractor Is unable to perform maintenance, the other proprietary data to ,satisfy its obligations under this Contractor agrees to license any other Contractor that the Contract with respect to use, copying, modification, State may have hired to maintain the Equipment to use the protection and security of proprietery software and other above noted Documentation. The State agrees to include proprietary data, the Contractor's copyright notice on any such Documentation reproduced, in accordance with copyright Instructions to be 39. PATENT, COPYRIGHT AND TRADE SECRET INDEMNITY: provided by the Contractor. a) Contractor will indemnify, defend, and save harmless the State, its officers, agents,, and employees, from any and all 37. RIGHTS iN WORK PRODUCT; third party claims, costs (including without limitation a) All inventions, discoveries., intellectual property, technical reasonable attorneys' fees), and losses for Infringement or' communications. and records originated or prepared by the violation of any U.S. Intellectual Property Right by any Contractor pursuant to this Contract including papers; product or service provided hereunder. With respect to reports, charts, computer prpgrams, and other claims• arising from computer Hardware or Software Documentation or Improvements thereto, and Including manufactured by a third party, and sold by Contractor as a Contractor's administrative communications and records reseller, Contractor will pass through to the State 'such relating to this Contract (collectively, the "Work Product"), indemnity rights as It receives from such.third party ('Third shall be Contractor's exclusive property, The provisions of Party Obligation") and will cooperate in enforcing them; this sub -section a) may be revised In a Statement of Work. provided that If the third party manufacturer falls to honor the .b) Software and other materials developed or otherwise Third Party Obligation, Contractor will provide the State with obtained by or for Contractor or its affiliates independently indemnity protection equal- to that called for by the Third of this Contract or applicable purchase order CPre-Existing Parry Obligation, but in no event greater than that called for Materials") do not constitute Work Product, If Contractor in the first sentence of this Section 39a). The provisions of creates derivative works- of Pre -Existing Materials, the the preceding sentence apply only to third party computer elements of such derivative works created pursuant, to this -Hardware or Software sold as a distinct unit and accepted by Contract Constitute Work Product, but other elements do the State. not, Nothing in this Section 37 will be construed to interfere with Contractor's or its affiliates' ownership of Pre -Existing Unless a Third Party Obligation provides otherwise, the Materials. defense and payment obligations set forth In this Section c) The State will have Government Purpose Rights to the 39a) will be conditional upon the following:. Work Product as Deliverable or delivered to the State 1) The State will 'notify Contractor of any such claim in hereunder. "Government Purpose Rights" are the writing and tender the defense thereof within a unlimited, Irrevocable, worldwide, perpetual, royalty -free, reasonable time; and non-exclusive rights and licenses to use, modify, reproduce, • 11) Contractor will have sole control of the defense of any perform, release, display, create derivative works from, and action on such claim and all negotiations for its disclose the Work Product. "Government Purpose Rights" settlement or compromise; provided that (i) when also include the right to release or disclose the Work substantial principles of government or public law are Product outside the' State for any State government Involved, when litigation might create precedent affecting purpose and to authorize recipients to use, modify, future State operations or liability, or when involvement reproduce, perform, release, display, create derivative of the State is otherwise mandated by law, the State may Page 7 of 10 GSPD-401 IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS — INFORMATION TECHNOLOGY participate in such action at its own expense with respect to attorneys' fees and costs (but not liability); (if) the - State will have the right to approve or disapprove any settlement or compromise, which approval will not unreasonably be withheld or delayed; and (tit) the State will reasonably cooperate in the defense and In any related settlement negotiations. b) Contractor may be required to furnish a bond to the State against any and all loss, damage, costs, expenses, claims and liability for patent, copyright and trade secret infringement. c) Should the Deliverables or Software, or the operation thereof, become, or in the Contractor's opinion are likely to become, the subject of a claim of infringement or violation of a U.S. Intellectual Property Right, the State shall permit the Contractor at its option anti expense either to procure for the State the right to continue using the Deliverables or Software, or to replace or modify the same so that they become non -infringing. If none of these options can reasonably be taken, or if the use of such Deliverables or -Software by the State shall be prevented by injunction, the Contractor agrees to take back such Deliverables or Software and make every reasonable effort to assist the State in procuring substitute Deliverables or Software. If, in the sole opinion of the State, the return of such infringing Deliverables or Software makes the retention of other Deliverables or Software acquired from the -Contractor under this Contract impractical, the State shall then have the option of terminating such Contracts, or applicable portions thereof, without penalty or termination charge. The Contractor agrees to take back such Deliverables or Software and refund any sums the State has paid Contractor less any reasonable amount for use or damage. d) . The Contractor shall have no liability to the State under any provision of this clause with respect to any claim of patent, copyright or trade secret Infringement which is based upon: (1) The combination or utilization of Dellverables furnished hereunder with Equipment or devices not made or furnished by the Contractor; or, (11) The operation of Equipment furnished by the Contractor under the control of any Operating Software other than, or in addition to, the current version of Contractor -supplied Operating Software; or (fit) The modification by the State of the Equipment furnished hereunder or of the Software; or (Iv) The combination or utilization of Software furnished hereunder with non -contractor supplied Software. e) Contractor certifies that if has appropriate systems and controls in place to ensure that State funds will not be used In the performance -of this Contract for the acquisition, operation or maintenance of computer Software in violation of copyright laws, 40. EXAMINATION AND AUDIT: Contractor agrees that the State, or its designated representative shall have the right to review and copy any records and supporting Documentation pertaining to performance of this Contract. Contractor agrees to maintain such records for possible audit for a minimum of three (3) years after final payment, unless a longer period of records retention is stipulated. Contractor agrees to allow the auditor(s) access to such records during normal business hours and to allow Interviews of any employees or others who might reasonably have information related to such records. Further, Contractor agrees to include a similar right of the State to audit records and interview staff in any subcontract related to performance of this Contract. 41. DISPUTES: — a) The parties shall deal in good faith and .attempt to resolve potential disputes Informally. If the dispute persists, Contractor shall submit to the Department Director or designee a written demand for a final decision regarding the disposition of any dispute between the parties arising under, related to or involving this Contract, unless the State, on its •• own initiative, has already rendered such a final decision. Contractor's written demand shall be fully supported by factual Information, and if such demand involves a cost adjustment to the Contract, Contractor shall include with the demand a written statement signed by an authorized person Indicating that the demand is made in good faith, that the supporting data are accurate and complete and that the amount requested accurately reflects the Contract adjustment for which Contractor believes the State Is liable. If the Contractor is not satisfied with the decision of the Department Director or designee, the Contractor may appeal the decision to the Department of General Services, Deputy Director, Procurement Division. In the event that this Contract is for Information Technology Goods and/or services, the decision may be appealed to an Executive Committee of Slate and Contraclor personnel b) Pending the final resolution of any dispute ansing aiiuw related to or involving this Contract. Contractor agrees to diligently proceed with the performance of this Contract. including the delivery of Goods or providing of services in accordance with the State's instructions. Contractor's lailure to diligently proceed in accordance with the Slale s instructions shall be considered a malarial breach of Iris Contract. c) • Any final decision of the State shall be expressly identified as such, shall be In writing, and shall be signed by the Department Director or designee or Deputy Director, Procurement Division if an appeal was made. If the State falls to render a final decision within 90 days after receipt of Contractor's demand, it shall be deemed a final decision adverse to Contractor's contentions. The State's final decision shall be conclusive and binding regarding the dispute unless Contractor commences an action in a court of competent jurisdiction to can such decision within 90 days following the date of the final decision or one (1) year following the accrual of the cause of action, whichever Is later, 42. STOP WORK: a) The State may, at any time, by written Stop Work Order to the Contractor, require the Contractor to stop all, or any part, of the work called for by this Contract for a period up to 90 days after the Stop Work Order is delivered to the Contractor, and for any further period to which the parties may agree. The Stop Work Order shall be specifically identified as such and shall indicate it is issued under this clause. Upon receipt of the Stop Work Order, the Contractor shall immediately comply with its terms and take all reasonable steps to minimize the incurrenge. of costs allocable to the work covered by the Stop Work Order during the period of work stoppage. Within a period of 90 days after a Stop Work Order Is delivered to the Contractor, or within any extension of that period to which the parties shall have agreed, the State shall either: (1) Cancel the Stop Work Order; or (if) Terminate the work covered by the Stop Work Order as provided for in the termination for default or the termination for convenience clause of this Contract. b) If a Stop Work Order Issued under this clause Is canceled or the period of the Stop Work Order or any extension thereof expires, the Contractor shall resume work. The State shall make an equitable adjustment in the delivery schedule, the Contract price, or both, and the Contract shall be modified, in writing, accordingly, if., (1). The Stop Work Order results In an Increase in the time required for, or in the Contractor's cost' properly allocable to the performance of any part of this Contract; and (11) The Contractor asserts Its right to an equitable adjustment within 30 days after the end of the period of work stoppage; provided, that if the State decides the facts justify the action, the State may receive and act upon a proposal submitted at any time before final payment under this Contract. Page 8 of 10 GSPD-401 IT (REVISED AND EFFECTIVE 04112/2007) GENERAL PROVISIONS -- INFORMATION TECHNOLOGY c) If a Stop Work Order is not canceled and the work covered 46. by the Stop Work Order is terminated in accordance with the provision entitled Termination for the Convenience of the State, the State shall allow reasonable costs resulting from the Stop Work Order in arriving 'at the termination settlement. d) The State shall not be liable to the Contractor for loss of profits because of a Stop Work Order issued .under this clause, 43. FOLLOW-ON CONTRACTS: a) if the Contractor or. Its affiliates provides Technical Consulting and Direction (as defined below), the Contractor and Its affiliates: (1) will not be awarded a subsequent Contract to supply the service or system, or any significant component thereof, that is used for or In connection with any subject of such Technical Consulting and Direction; and (li) will not act as consultant to any person or entity that does receive a Contract described in sub -section (1). This prohibition will continue for one (1) year after termination of this Contract or completion of the Technical Consulting and Direction, whichever comes later. b) 'Technical Consulting and Direction" means services for which the Contractor recelved compensation from the State and Includes: (q development'of or assistance in the development of work. statements, specifications, solicitations, or feasibility studies; (fi) development or design of test requirements; (lit) evaluation of test data; (Lv) direction of or evaluation of another Contractor; (v) provision of formal recommendations regarding the acquisition of Information Technology products or services; or (vl) provisions of formal recommendations regarding any of the above. For purposes of this Section, "affiliates" are employees, directors, partners, joint venture participants, parent•.corporations, subsidiaries, or any other entity controlled by, controlling, or under common control with the Contractor. ' Control exists when an entity owns or• directs more than fifty percent (50%) of the outstanding shares or securities• representing the right to vote for the election of directors or other managing authority. c) ,To the extent permissible by law, the Director of the Department of General Services, or designee, may waive the restrictions set forth in this Section by written notice to the Contractor If the Director determines their application would not be in the S'tate's best interest. Except as prohibited by law, the restrictions of this Section will not apply: ' (1) to follow-on advice given by vendors of commercial off - the -shelf products, including Software and Hardware, on the operation, integration, repair, or maintenance of such products after sale; or (11) where the State has. entered Into a•master agreement for Software or services and the scope of work at the time of Contract execution expressly calls for future recommendations among the Contractor's own products. d) The restrictions set forth in this Section are in addition to conflict of interest restrictions imposed on public Contractors by California law ("Conflict Laws"). In the event of any inconsistency, such Conflict Laws override the provisions of this Section, even if enacted after execution of this Contract; 44. PRIORITY HIRING CONSIDERATIONS: If this Contract includes services in excess of $200,000, the Contractor shall give priority consideration in filling vacancies in. positions funded by the. Contract to qualified recipients of aid. under Welfare and Institutions Code. Section 11200 in accordance with PCC Section 10353. COVENANT AGAINST GRATUITIES: The Contractor warrants that no gratuities (in the form of entertainment, gifts, or otherwise) were offered or given by the Contractor, or any agent or representative of the Contractor, to any officer or employee of the State with a view toward securing the Contract or securing favorable treatment with respect to any determinations concerning the performance of the Contract, For breach or violation of this warranty, the State shall have the right to terminate the Contract, either in'whole or in part, and any loss or damage sustained by the State in procuring on the open market any items which Contractor agreed to supply shall be borne and paid for by the Contractor. The rights and remedies of the State provided in this clause shall not be exclusive and are in addition to any other rights and remedies provided by law or in equity 46, NONDISCRIMINATION CLAUSE: a) During the performance of this Contract, Contractor and its subcontractors shall not unlawfully discriminate, harass or allow harassment, against any employee or applicant for employment because of sex, sexual orientation, race, color, ancestry, religious creed, national origin, disability (including HIV and AIDS), medical condition (cancer), age, marital status, and denial of family. care leave. Contractor and subcontractors shall insure that the evaluation and treatment of their employees and applicants for employment are free from such discrimination and harassment. Contractor and subcontractors shall comply with the provisions of the Fair Employment and Housing Act (Government Code, Section 12990 at seq.) and the applicable regulations promulgated thereunder (California Code of Regulations, Title 2, Section. - 7285.0 at- seq.). The applicable regulations of the Fair Employment and Housing Commission implementing Government Code Section 12990 (a-f), set forth in Chapter 5 of Division 4 of Title 2 of the California Code of Regulations are incorporated, into this Contract by reference and made a• part hereof as' If set forth Jn full. Contractor and its subcontractors shall give written notice of their obligations underthis•clause to labor organizations with which they have a collective bargaining or other agreement. b) The Contractor 'shall include the nondiscrimination and compliance, provisions of this clause in all subcontracts to perform work underthe Contract. . 47. NATIONAL LABOR RELATIONS BOARD CERTIFICATION: Contractor swears under penalty, of perjury that no more than one final, unappealable finding of contempt of court by a federal court has been issued against the Contractor within the immediately preceding -two-year period because of the Contractor's failure to comply with an order of the National Labor Relations Board. This provision is required by, and shall be construed in accordance with, PCC Section 10296. 48, ASSIGNMENT OF ANTITRUST ACTIONS: Pursuant to Government Code Sections 4552, 4553, and 4554, the following provisions are incorporated herein: a) • In submitting a bid to the State, the supplier offers and agrees that if the bid Is accepted, itwill assign to the State all rights, title, and interest in and to all causes of action it may have under Section 4 of the Clayton Act (16 U.S.C.. 15) or under the Cartwright Act (Chapter 2, commencing with Section 16700, of Part 2 of Division 7 of the Business and Professions Code), arising from purchases of Goods, material or other items, or services by,the supplier for sale to 'the State pursuant to the solicitation. Such assignment shall be made and become effective at the time the Stale tenders final payment to the supplier. 11) If the State receives, either through judgment or settlement, a monetary recovery for cause of action assigned under this chapter,, the 'assignor shall be entitled to receive reimbursement for actual legal costs incurred and may, upon demand, recover from the State any portion of the recovery, including treble damages, attributable to overcharges that were paid by the assignor but were not paid by the Slate as Page 9 of 10 GSPD-401 IT (REVISED AND EFFECTIVE 04/12/2007) GENERAL PROVISIONS — INFORMATION TECHNOLOGY part of the bid price, less the expenses incurred in obtaining that portion of the recovery. c) Upon demand in writing by the assignor, the assignee shall, within one year from such demand, reassign the cause of action assigned under this part if the assignor has been or may have been injured by the violation of law for which the cause of action arose and (1) the assignee has not been injured thereby, or (ii) the assignee declines to file a court action for the cause of action. 49. DRUG -FREE WORKPLACE CERTIFICATION: The Contractor certifies under penalty of perjury under the laws of the State of California that the Contractor will comply with the requirements of the Drug -Free Workplace Act of 1990 (Government Code Section 8350 at seq.) and will provide a drug -free workplace by taking the following actions: a) Publish a statement notifying employees that unlawful manufacture, distribution, dispensation, possession, or use of a controlled substance Is prohibited and specifying actions to be taken against employees for violations, as required by Government Code Section 8355(a). b) Establish a Drug -Free Awareness Program as required by Government Ccde Section 8355(b) to inform employees about all of the following; (1) the dangers of drug abuse in the,workplace; (il) the person's or organization's policy of maintaining a drug -free workplace; (111) any available counseling, rehabilitation and employee assistance programs; and, (IV) penalties that may be imposed upon employees for drug• abuse violations. c) Provide, as required by Government- Code Section 8355(c), that every employee who works on the proposed or resulting Contract: (i) will receive a copy of the company's drug -free policy statement; and, - (ii) will agree to abide by the terms of the company's statement as a condition of employment .on the Contract. 50. FOUR -DIGIT DATE COMPLIANCE: Contractor warrants that it will provide only Four -Digit Date Compliant (as defined below) Deliverables and/or services to the State. "Four Digit Date Compliant" Deliverables and services can accurately process, calculate, compare, and sequence date data, Including without limitation date data arising out of or relating to leap years and changes in centuries. This warranty and representation is subject to the warranty terms and conditions of this Contract and does not limit the generality of warranty obligations set forth elsewhere herein. 61. SWEATFREE CODE OF CONDUCT: a) Contractor declares under penalty of perjury that no equipment, materials, or supplies furnished to the State pursuant to the contract have been produced In whole or in part by sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor, or with the benefit of sweatshop labor, forced labor, convict labor, indentured labor under penal sanction, abusive forms of child labor or exploitation of children in sweatshop labor. Contractor further declares under penalty of perjury that they adhere to the Sweatfree Code of Conduct as set forth on the California Department of Industrial Relations website located at www.dir.ce.gov, and Public Contract Code Section 6108. b) Contractor agrees to cooperate fully in providing reasonable access to, Its records, documents, agents or employees, or ,premises if reasonably required by authorized officials of the State, the Department of Industrial Relations, or the Department of Justice to determine Contractor's compliance with the requirements under paragraph (a). 62. RECYCLING: The Contractor'shall certify in writing under penalty of perjury, the minimum, if not exact, percentage of post consumer material as defined in the Public Contract Code Section 12200, in products, materials, goods, or supplies offered or sold to the Slate regardless of whether the product meets the requirements of, Section 12209. With respect to printer or duplication cartridges that comply with the requirements of Section 12156(e), the certification required by this subdivision shall specify. that the cartridges so comply (PCC 12205). 53. CHILD SUPPORT COMPLIANCE ACT: For any Contract in excess of $100,000, the Contractor acknowledges in accordance with PCC Section 7110, that: a) The Contractor recognizes the importance of child and family support obligations and shall fully comply with all applicable State and federal laws relating.to child and family support enforcement, including, but not limited to, disclosure of information and compliance with earnings assignment orders, as provided in Chapter 8 (commencing with Section 5200) of Part 5 of Division 9 of the Family Code; and. b) The Contractor, to the best of its knowledge is fully complying with the earnings assignment orders of all employees and is providing the names of all new employees to the New Hire Registry maintained by the California Employment Development Department, , 54. AMERICANS WITH DISABILITIES ACT: Contractor assures the State that Contractor complies with the Americans with Disabilities Act of 1990 (42 U.S,C. 12101 et seq). 66. ELECTRONIC WASTE RECYCLING ACT OF 2003: The Contractor certifies that it complies with the requirements of the Electronic Waste Recycling Act of 2003, Chapter 8.5, Part 3 of Division 30, commencing with Section 42460 of the Public Resources . Code, relating to hazardous and solid waste, Contractor shall maintain documentation and provide reasonable access to its records and documents that evidence compliance, 56. USE TAX COLLECTION: In accordance with PCC Section 10295.1, Contractor certifies that it complies with the requirements of Section 7101 of the Revenue and Taxation Code.. Contractor further certifies that it will immediately advise State of any change in its retailer's seller's permit or certification of registration or applicable affiliate's seller's permit or certificate of registration -as described in subdivision (a) of PCC Section 10295.1. 57. EXPATRIATE CORPORATIONS: Contractor hereby declares that it is not an expatriate corporation or subsidiary of an expatriate corporation within the meaning of PCC Sections 10286 and 10286.1, and is eligible to contract with the Stale. 58. DOMESTIC PARTNERS: For contracts over S100,000 executed or amended after January 1, 2007. the contractor certifies that the contractor is In compliance with Public Contract Code section 10295.3. Page 10 of 10 TO BE, USRD' , ,ITH THLEs' GENERAL PROVISIONS -- IT. DEVELOP LND DNTCLTJJDE A STA TRIMENT OF "WORK,I I License Grant a. Contractor hereby grants to the State and the ,State accepts iiom Contractor, subj get to the terms and conditions of tLi Contract, a -nonexclusive, aeon -transferable Rrenseto use the Sofrwa^.: Products listed in Statement ni T-ork of LhiF Contract (hmeinafter r8rerred. to as '•'Sofnvare. Pro du is") b. State ma3, use the So?nva.re: Products in the conduct DEIS orm business, and any divisipn thereof. . C. Tha license •granted abode authorizes the State to use the Sofware Mroduets in machine-readebl.e form on the Computer System located at the sites) specified in the Statement of Worlr.. Said Computer Systcrn. and its associated units (coLectively re:fe_+red to as CPU) ,are as designated in the Statement of'PdorL•. If the, designated CPU Le inoperative •due .to .mal:hmation, the licansr, herein ;ranted shall be temporarily extendpd to authorize the State to use the Sofrt�rare Products, in machine-readable foss on any other.State CPU until the designumd CPU is rat zztd to operation. d. 'E3, .prior writien. notice, the State ' mxy the CPU in ,which the , oftvvare Products are to be used. The. redesianatkn wn Ll be.eiL ctivenpozsthe date specified in the notice: ofredasisoLariop- 2 Encry►ption/GPU,•iD 4uthorization Godes 5. 'Whcn Encr,,2tion/CPU IcImtification' (ID) authorization codes are required to -operate the Seftulare Products, the 'Contractor wia,—, cedes, to the State with delivery of the Software. b. -it case of au inoperative c?,rj as defined is paragraph 1c. above; Contactor will, prnldde a temporary enct}!ption/CPiI M anthorizatioa code to the :State for use.on.a temporarily authorized CPU until .the d-�sisaated CPU is retnmed to Operation. C. 'Wber? :changes 1n :designated CPUs oDru%_ the,t;tate --% ]]otlf3i the Contractor Z!1a telephone and/or faCS mi1C/C U]rll'lAI ,such change. Upon renizipt .of .such notice;; Contractor-win,issue ".ilia telephone: and/or facsimile/e--mail io .the State Within ? ^ hourE, a teaporaryr eac+�+ption 3D -authorization code or use bn the designated -CPU until suoh time as •apermanentzode is assigned. 3 Pees and Charges U.-Don, acceptance: of Wftwara by State_ k accordance meth Parzraphs S herein and the'Statc-Mant of W014 State Will pay the. lir, se f e or rac rring :charg;e for the 50fM,are 2rDducts as set fbrth in Statement of WDrl: Charges wM commence on the Acceptance D ate as established in the Sratement.of WorL M. t Contractor shall render invoices for rer.urri g charges .or single charges in thsmonth foil D ylagr'the month in which the rbug :s accrue. DGS.PracurementDivision SOFTC'i'4=- Spr'CLA.LTRONTSIO1'S P.age-1 .01/21/03 ST'A TE MODEF.r [t ainten'anDe The foLovving 'terms and conditions are: supersedad end replacad by any alternate. or inconsistent txims and condiro;s•ir:' the Statement of Troi_k. a. The zorrection of any residual -errors in any Soft rare Product tUet may be discovared by Contractor or by the State will be considered maintenance. Such maintenance —will be perfo_+•med by Contractor v;itbout additional cbm.-e• foz the duration of this con LLact Suspected ezrDrs discovered by the'State in the Sofftware Pxoduets wit -I be h:-ndivd by the foil Dw4,+za pr6cedures: 1) A lisfin9 of the ouipuz and c copy of the identical i1PLt data it,- r12C �* e-readable corm u1i1i be submitted to Cpnimato_r along -with a comuleted copy of the appropriate ConII, actor ]n-rmation Ioxm and, if appropriate; a lis 'no of the contents of the m.eanory of the CPU, at she time the error condition was noted. Z) Errors -in the Sofmrare Pro duct -as veri?ied by Contractor -,will be corrected by providing a nevi copy .of said Software Product,(ox of they afzectedpprtions) k machine-readack form. ,3) The Contractor shail atte mpt to correct Sof ire 1 roduat errors a2d'in areasonable time. b. Contractor will be' .a-vailable to assist the State in isolating and correcting error conditions caused by the State's . particular Hardivare o= Dpera kg System the Statement of Work C. If Contractor is called upon by State to correct an error caused by Stnte's nagHgence, modification by State, State supplied data, ]Machine or •oprratdr failure, or due to any othei cause not inherent in the original Software Products, Contractor res.en,as the right to charge State.for sucb sM'ke on a time and tnati.rial basis, ox-rates in accordance vztly 'the .Statement of �� ork, 5 A=,eptaftm of Softwara a. Commercial Sofmar— :kaaptmce of •Commpreial Sofrvrare will•be •govelned by the ti ms .and conditions of the ' license a�eement ga�rer�ng ,such �p+'ty,�are. , �3. Custom Software. Ualess Dthem ise prpadded in the Statemmt:-of 'Work. accIptaace proaodures. for Custom. Softwire gill be as set forth .in :this subsection (b). 'the, State shall be dv=' Pd to have accepted each Costar 5os'tware Product ,(i) upon its issuance vx'wr tton notice of such.a.cceptence. •or.(U) sb.V •(6D) days,after the lustallation")Date, unless at or before tbat -time the :State ,gives Contractor v,�ritten notice .of rejection (collpciively, "Acceptance. No payment for custom software will be -due Irfbre Ace ptance theraoy e�;ceptto.the eixientrequred byprograss payment tezonsin, the Stater�ent..af 'Work. Any Mice of rejection, uiL s plain.bow, the C=tom8.ofr%v= : Prp8nct iails;Yo _substantanl y oonfozm. to the functional andperfam ance sneeincarons of Ills Ccn ci. Cpntractdr j"n i+pon receipt of'such notice, investigate the reported •deficiency and.erercise reasonable':best efiorts'to remedy itpzomptly. The'State, inits; role discretion, will'bave the option to re performs the .acceptance test, 'If the Contractor is unable to rettsedy,the deficiency u>ithiu (6D) days of notice o£;ej ec•tion, the State Aallhave the option of,aampting, substitute Software, temvnatina for dafault the portion of the Contract that relates to su.cb .Custom S oft At or teiminating this Contmet in its entirety for deflult. DGSPrpcuremeatD.ivisloa SOFTF§'4F .SPECL4T pRC�ISIOhS, Page3 011"V03 .STATE 1\10DEL 6 Right To'Gopyr or Modify a, A —My Soft+%..ere• Product pro -;.-idmd bNr Contractor in be copied, in %vhole or is paM L printed or machine-readable fora :for use by the State aNdtb the d:signated CPU, to performs one-time besohmuk tesrs,'for arohiv4l or emergency restart pu-p oses,•to replace a worn copy, to understand the contents of stic•L machine readable material, or to motif the Saftv,axe Product as provided belay, provided, however, that no.more than the number of panted conies and mac ;„e__e dwblr copies as specified in llrq Siatament of Nvill be in e,.i.stence under this Contract at any one I'lime :without prior -written consent from Contractor. Such consent sal not be. unreasonably witbhald by the Contractor. The orig naL anal y copies of the Software Product, in whole or in part wl;ich ate made here ender shall be The property of the Contractor. i b. The Stare agrees to peep• any such copies and the original ai em-a i ^ y designated State location,exmpt that the Stwe may transport or transmit a ;copy of the original of -any Soft late Product'to anotber Stare location iorbaclrup use when required vy CPU maMmotion., provided the .ropy or the orira;xial is destroyed or returned to she designated location when the malfrmrtion is cosreatecl.. G. The State may monit, :any a.ox p e;rbonal -computer 'So mare Product, .ir �.achine-readable fors, :bi ids pwn use and merge. it into othm program, mamrial, provided that norhing iu this sub -section c) will be.cons=ed to contreaiet the tens of any separate applicable third party license eb eement. Any poition of. the Software Product inclum' din any m.rged program material shall be used only orahe.desimated CPUs and. shall be subject to the terms and conditions of this Contract. 7 Future-Ralaasss Unless othenNase speoifi.cally provided •in fEis Contract. or the Statement of�i701:X •if improved versions .of any Soft% are Product axe developeeb 'Cqz actor, and zre: anade' available to other Iicensees,'they wiu be made.available to the State ai -the State's -option at a price no greater than. the Contract price plus •a price increase prop orHonate .to the increasE from the li.stprice q the original version to tbat of the nev,; version, if any. If the Solffivare Product has no list price, such price increase Kill be proportionate to the increase in avarage price ixomthe ori ginal to the new version, if any,:es' estimated b3, the Contractor in good zatth. , DGS Pxomremze tID vision SOFMAU SPFCLkLPR0'�7MjONS Page3 ti/21103 13 STA .TE MODEL 'F O BE USED VkgTE1 TEE GEINMRA-L PRDVISIONS -- I` . ICE VELOP L ND : CIaTJDE A ST.A.TEIVENT OF NWORK I Liquidated Damage a, Gwneral In the event that. the -Contractor-fails to deliver in accordance with the Contract requirements, the parties zerea that the delay.- aU interfere'wiib the: proper implementation of thr State's prom ams, to the loss'and damage of the State. From the nature of the case, it-,Mouldbe ippraotkable•aad.extremely difficult to ft the actual damages.su,stained,inthe event. of any such .delay. 7h-- State and Contractor, therefore, presume that in the event of any such delay the amount of damage -which will be sustained f'r om a deli.}, will. bethe amounts set forth'in the Statement of 'Work, and the State and the Contactor agree chat iai. •thr; zirent of any such delay, the Contractor -shall pay such amo.=T_s as liquidated damags and not as a penalty,. �-mounts d=, the State .ar ligpidated damages luny be. dedv.cted.by the.State from any money payable to the Contractor. Tha Statz snaU aotify the Cnntraetor in uaitina of any claim for liquidated' dama-Ses pursuant to this paragraph on ox before the date State, deducts such sums from money payable to the Contractor. b. T' :, e of Delit,ery i7 :Contractor Will be liable for any liquidated damages for late perforx umm (including late delivery) ,snacified in the 'Statement of Work if .Comrmotorfails to provide anv subiect sm-ndot.or.deliver.anyi subject Delive=able, ready for nisi in substantial .coafozmance wit its speciEeatims, on or before the Delivery -Pates in:hhe Statemcmi of Work. -Unless -otherwise specined in the 'Stat=ae t of Woil- ,(�) ,such ]iqudaied.aamages -will stand. in lieu of all othcr . damages. -for such late perfbm=ge Or nonpexformanee; 'and (B) if the C:o=artpI .fails to ;provide a sp=tvaare . Delii+e able'USted in the: Statement pf Vi'or1. by. the specified Delivery Date, but prpvides suitable substitution of sofa*pare acceptable to the State;]iquidated damages shall.not.apply tothelisted,City=areD.eLverable. hi The State•-.vM pay additional.zmneta*,,coxapensation.for•`Mly= performanor.to the extent specifiCaLy -Called for is .the Statement of Work. 2 Title to Equipment Unless Dfhmm se specifiLd.in the Statement of WorL title to the P,quipment shall remaia•ia the Contractor -and MkgaS, if .any. until such time 'as successfiil aecepiance. testing has been achieved, Title to .a special feature installed on a'lulachine and for vihirh only a sin.ele installation oharge was paid shall pass to the State m po .additional .charge, together with title to theMR.O izie on v,=hich it was ins r_ 1c;C . DGSProcrirem:aitDit>ision PURCELLSE.SPDQ4L PR.OVISIO1<S Pa:;e1 01./21/03 � � fi , ACT .>~ USr i 3 Price Darline (Applicabie.tr> Third Paf ty Contraciors) Prices quoted Shall be the maxti-nun for the ion act period subject to 341=• price escalation provisions reaected in the Statement of "Work. Rmyevez, should a. price decline be annoutced by the xnanufact arer afttr contract award, but prior to a third part, contractor taking' title to the Equipment, and SbDu d the third paM, contractor be the recipient of this r<iznufaciurer's pr;ce decline, it shell be passed -on in total to the State b . 31 the.tl?ird party contractor. Any interest, id*ance: qr other changes based on :she ;contract price• 1a�il be zecomputcd us�n� the on_mzal bid rates an' 0 d;iierences V,z also .be passed to the State in. total. 4 trice Decline •(AppliGabla to Manufacturers) Prices .q_uoted shall be the xn dniaum for the contract period subject to any price escalation provisions reflected in .the Statement of IATO it. However, .should a -price decline be emnouared by the manufacturer after contract awards but prior to -the State taking. title to the Equipments it shall be passed on in total to the State by the manufacturer. Any interest, finance; or other charges based ob tbe: contract gripe will be recomputed Using the original bid rates, and the differences vM also be passed to the State in total DCSProcerernentDfS*islan 1'LC1i4SE•SPl✓CI4T PRQSMdltS 01/�l/OS CITY CLERK'S OFFICE INTEROFFICE MEMORANDUM DATE: March 23, 2010 TO: Steve Towles, Chief of Police Martha Valenzuela, Director of Business Services & Personnel FROM: Willard Yamaguchi, City Clerk V1 RE: Resolution No. 2010-42 - A Resolution of the City Council of the City of Vernon Approving and Authorizing the Expenditure of 2008 State Homeland Security Grant Funds and Asset Forfeiture Funds for the Purchase of a Computer Server and Related Software for the Police Department's Automatic License Plate Reader Systems Transmitted herewith is a copy of Resolution No. 2010-42 referenced above, which was approved by City Council on. March 22, 2010. Thank you. WY: dj c: Rory Burnett Masami Higa Alex Kung Joaquin Leon Purchasing Department Resolution No. 2010-42, 10,059 Agreement No. 09-111 AECEIVED MAR 16 2010 CITY CLERK'S OFFICE STAFF REPORT PURCHASING DEPARTMENT DATE: March 16, 2010 L TO: Honorable Mayor and City Councils L FROM: Martha Valenzuela, Director of Business Services/Personnel RE: Police Department Requisition No(s) 0005597 & 0005598 Purpose The purpose of this Staff Report is to obtain permission from you and the City Council to issue purchase orders to Hewlett-Packard for (1) Hewlett- Packard ProLiant DL385 G6 Small Form Factor Server, and to Insight Public Sector for (1) MSelect SQL Server Standard ED 2008 Single Language software and (15) MSelect SQL CAL 2008 Device Single Language software packages, for the requested Server. Background In a memo to Chief Steve Towles dated February 4, 2010 (see attached), Captain Daniel Calleros advised "...the current server does not have the capability for future expansion should additional ALPR systems be deployed'. The existing server is over (5) years old, and will continue to be utilized for the ALPR systems in use. The department currently has a total of (5) ALPR systems, (4) mobile units and (1) stationary unit mounted on the traffic signal pole located at the intersection of Bandini Boulevard and Sunol Avenue. The department does have plans to purchase more ALPR systems, once grant funding becomes available. With the anticipated purchase of more units, the server storage capacity must be able to accommodate the additional systems. The purchase of the secondary server will accomplish this. The approximate cost of the HP server is $13,876.81 (cost includes sales tax, excludes freight charges if any). The approximate cost for the software is $2,402.32 (cost includes sales tax). The suggested vendor for the software purchase, Insight Public Sector, Inc., is the preferred vendor by our Information Technology department for software purchases. Andrei Yermakov (Information Technology Manager) advised Insight is an authorized distributor of Microsoft software. This vendor provides the software under a multi -state contract which allows them to sell the requested software, at a discounted price. Mr. Yermakov has reviewed this requested expenditure, and approves the request. Recommendation Purchasing recommends that purchase orders be issued to Hewlett- Packard and Insight Public Sector for the requested items. The department advised that the purchase orders must be issued before March 31st, in order to comply with the grant funding criteria. Purchasing is requesting that this item be included on the Council agenda scheduled for March 22, 2010. Fiscal Impact There is no fiscal impact to the City. The total cost for both expenditures totals $16,279.13, The department was awarded grant funds in the amount of $7,979.00 from the SHSGP FY 08** grant, which will be applied to the cost of the server. The remaining $8,300.13 will be obtained from the department's Asset Forfeiture account. Attachments *ALPR — Automatic License Plate Reader **SHSGP FY 08 — State Homeland Security Grant Program (Fiscal Year 2008) MEMORANDUM PURCHASING DEPARTMENT DATE: February 18, 2010 >CV' TO: Donal O'Callaghan, City Administrator FROM: Martha Valenzuela, Director of Business Services/Personn RE: Police Department Requisition No(s) 0005597 & 0005598 Attached for your review are Police Department Requisition No(s) 0005597 for Hewlett-Packard and 0005598 for Insight Public Sector. The department is requesting to purchase (1) Hewlett-Packard ProLiant DL385 G6 Small Form Factor Server, for their ALPR* system. The department is also requesting (1) MSelect SQL Server Standard ED 2008 Single Language software and (15) MSelect SQL CAL 2008 Device Single Language software packages, for the requested Server. In a memo to Chief Steve Towles dated February 4, 2010 (see attached), Captain Daniel Calleros advised "...the current server does not have the capability for future expansion should additional ALPR systems be deployed". The existing server is over (5) years old, and will continue to be utilized for the ALPR systems in use. The department currently has a total of (5) ALPR systems, (4) mobile units and (1) stationary unit mounted on the traffic signal pole located at the intersection of Bandini Boulevard and Sunol Avenue. The department does have plans to purchase more ALPR systems, once grant funding becomes available. With the anticipated purchase of more units, the server storage capacity must be able to accommodate the additional systems. The purchase of the secondary server will accomplish this. The department obtained three price quotations for the server (see attached). The department has selected the quotation received from Hewlett-Packard, because "the HP server has a more efficient processor and the hard drive storage expandability is far beyond that of the Dell server" There are other key factors justifying the department's selection of the HP server, as mentioned in the attached memorandum from Capt. TZECIJVED- FEB 1 8 2010 B: pa 3.-10 Calleros. The approximate cost of the HP server is $13,876.81 (cost includes sales tax, excludes freight charges if any). The software necessary for the new server is the MSelect SQL Server Standard edition 2008 single language software. In addition, the (15) CAL 2008 Device software packages will allow client (staff) computers to connect to the Microsoft SQL server software. The suggested vendor for the software purchases is Insight Public Sector, Inc., which is the preferred vendor by our Information Technology department for software purchases. Andrei Yermakov (Information Technology Manager) advised Insight is an authorized distributor of Microsoft software. This vendor provides the software under a multi -state contract which allows them to sell the requested software, at a discounted price. The approximate cost for the software is $2,402.32 (cost includes sales tax). The total cost for both expenditures totals $16,279.13. The department was awarded grant funds in the amount of $7,979.00 from the SHSGP FY 08** grant, which will be applied to the cost of the server. The remaining $8,300.13 will be obtained from the department's Asset Forfeiture account. Purchasing is recommending the approval of these requests, and the issuance of two purchase orders to Hewlett-Packard and Insight Public Sector, Inc., Attachments *ALPR — Automatic License Plate Reader **SHSGP FY 08 - State Homeland Security Grant Program (Fiscal Year 2008) IP-D-:=T Q-ue-t�- MEMORANDUM TO: Chief Towles FROM: Daniel Calleros, Captain SUBJECT: Funding Request for the Automatic License Plate reader System Server DATE: 2/4/2010 Purpose The purpose of this memorandum is to request the use of asset forfeiture funds to offset the costs associated with the purchase of a server and related software for the Automatic License Plate Reader (ALPR) system. Facts In 2008, we participated in the State Homeland Security Grant Program (SHSGP) FY 08 to obtain funding for the purchase of a computer server for the ALPR system. The server currently in use to house ALPR data has been in use for numerous years and is beyond the recommended service life (over 5- years). In addition, the current server does not have the capability for future expansion should additional ALPR systems be deployed. At the time we submitted for the SHSGP funding, the police department had one mobile ALPR system in operation and we were awaiting approval for three additional mobile ALPR systems.using funds provided through the Chemical Buffer Zone Grant Program (CBZP). We submitted for the server funding based on the specifications of a server that would be sufficient to cover data collected by four mobile units. As a result of our grant fund request, we received approval in the amount of $7,979.00 for the purchase of a new ALPR server. Analysis Since receiving grant funding approval for the server, we have added a fixed ALPR system and deployed the three mobile units obtained with CBZP grant funds, totaling 5 units. In addition, we are also considering the purchase of additional ALPR systems in the future as grant funding permits. Because of the possibility of adding additional ALPR systems in the future, we re-evaluated the server storage capacity for future growth. I contacted PIPS Technology (ALPR vendor) and obtained server and software specifications based on the number of ALPR systems in operation and the consideration for future expansion. With the specifications provided by PIPS IT staff, Captain Rodino as well as Ernesto Smith from the City IT department reviewed the information and obtained quotes for a new server. There were three server quotes obtained with the recommended PIPS specifications. The server quotes ranged from $17,420.37 to $12,491.56, which includes sales tax and shipping. The two lower end quotes were obtained from Dell and HP Servers. In reviewing the quotes with Captain Rodino, we found that the Dell and HP servers have similar capabilities and meet the specifications recommended by PIPS. Although the price for the HP server is higher than the Dell (difference of $1,385.25), the HP server has a more efficient processor and the hard drive storage expandability is far beyond that of the Dell server. The cost for the HP server is $13,876.81 (with sales tax). The ability to add more hard drive space will be a significant factor should the police department purchase additional ALPR systems in the future. For example, to increase the hard drive storage capacity for the Dell server, the hard drives will need to be replaced with higher storage capacity drives. To accomplish the upgrade in storage capacity,.data from the old hard drives will need to be transferred to the new drives, which can be a timely process given the amount of data to be transferred. Also, with the Dell product there is a limitation in the size capacity of hard drives. The HP server product does not require the transfer of data when there is an upgrade in hard drive space. To increase hard drive space additional drives are added to the available expansion ports. There is up to 16 expansion ports that can be used for additional hard drive space. Depending on the capacity of hard drives selected, the HP server can be built to store up to 7 terabytes of storage capacity. - In addition to the server purchase, Client Access. License (CAL) is also required for a SQL sever 2008. CAL is software license that permits client computers to connect to Microsoft server software. Each user and device connecting to the. SQL server must have a CAL. Currently we have 5 devices connected to the server and on the average we can have up to 6 users (including dispatchers) if all ALPR units are deployed (total 11). Given this scenario of users and devices, we will need to purchase at least 15 CALs to operate SQL server. PIPS IT staff recommended the purchase of a SQL server CPU which will provide unlimited connections to the server. The cost for the purchase of an unlimited connection CPU is $4,107.70 (including sales tax). In speaking with Ernesto Smith about the cost for a CPU, he suggested purchasing the SQL standard 2008 with CALs of five (5). SQL standard CALs are purchased in segments of five (5). Purchasing SQL standard with 15 CALs will be sufficient for our current number of devices/users and will also allow for up to 4 more ALPR devices and/or users. The cost for 15 CALs is $2402.32. The only disadvantage with this method is that CALs will balance out once we reach about 20-25 users and/or devices on the SQL server. I do not believe we will reach this capacity in the very near future. However, should we expand the number of users and devices we can include the cost of purchasing unlimited SQL connections the. next time we apply for ALPR grant funding. We will be submitting for ALPR grant funding in the coming weeks with participation in the Urban Area Security Initiative (UASI) grant program. Recommendation Based on the information provided by PIPS IT staff, Captain Rodino, and Ernesto Smith, I recommend the purchase of the HP server at a cost of $13,876.81 (with sales tax), as well as the SQL standard CAL at $2,402.32. Purchasing the HP server will enhance our ability to store ALPR data as well as the ability to add ALPR systems in the future. Also purchasing the standard CALs in segments of five will reduce our cost by $1,705.38, rather than purchasing the unlimited connections. The total cost of this project is $16,279.13, which includes shipping and tax. Since the cost exceeds the amount obtained from grant funding, I request to utilize asset forfeiture funds to off -set the cost of $8,300.13. Attachments: • Three server quotes • Quote from Insight for the SQL standard CALS 2 I RogMstr Requisition Master Report Page: 4 2/17/2010 9:13:36AM CITY OF VERNON Document #: 6988 Date: 02/11/2010 Year: 2010 Requisition #: 0005597 Description: LICENSE PLATE READER SYSTEM SERVER Requestor: ROBERTSON, DANITA Requested for: CALLEROS, DANIEL Apprvl Queue: pd it Group: drobertson Combine: N Current Aprv: JAUNZEMIS, DOLORES Lvl: 4 Prev: TOWLES, STEVEN PO Type: reg Confirming: N PO #: Blanket exp: $Limit - PO: Tran: Contact: DEBBY NICKENS Phone: (323) 583-8811 x110 Text Code: Restock: N Department: 1031 Order Placement: Purchasing `" Requisition Item Type Item Code Whse Quantity Units Unit Cost Extension g 1.00 ea 12,644.02000 12,644.02 Tax cd: s Comm cd: 1099 box: FA? N Fund Typ: Allow partial: Y Allow backorder: Y HP ProLiant DL385 G6 Small Form Factor Server Account(s) Project Account(s) Acct % Amount E 011.2031.860000 E 106005.6050.6130 63.10 7,979.00 E 011.4031.860000 36.90 4,665.02 Account(s) Project Account(s) Acct % E 011.4031.860000 100.00 Amount 1,232.79 Total: 13,876.81 Page: 4 Approver: ANDREI YERMAKOV LA: 2 In:2/16/2010 8:17:07AM Out:2/16/2010 1:11:59PM Action: app Approver: STEVEN TOWLES LvI: 3 In:2/16/2010 1:11:59PM Out: 2/16/2010 2:04:37PM Action: app Page: 5 Page 1 of 3 Calleros, Daniel From: jrodino@covpd.org Sent: Thursday, February 04, 2010 9:16 AM To: Calleros, Daniel ONLINE PRICE QUOTATION Quote Number: 4715180 Quote Name: LPR Server 02-04-2010 Today's Date : 2/4/2010 5:15:34 PM Quote Created Date : 2/4/2010 5:14:51 PM Created By: jrodino@covpd.org Contract: CA - STATE OF CALIFORNIA (WSCA/NASPO) (B27164-CA) Product availability and product discontinuation are subject to change without notice. The prices in this quotation are valid for 30 days from quote date above. Please include the quote number and contract from this quote on the corresponding purchase order. items/description part no unit price qty ext price -Configurable- HP ProLiant DL385 G6 Base $12,644.02 1 $12,644 Q2LL Small Form Factor Server HP ProLiant`DL385 G6 Server 572431-B21 Six -Core AMD OpteronT Processor Model 570117-L21 2427 (2.2GHz, 75W ACP) HP 32GB Reg PC2-5300 4x8GB Memory 408855-32G Six -Core AMD OpteronT Processor Model 570117-B21 2427 (2.2GHz, 75W ACP) HP 32GB Reg PC2-5300 4x8GB Memory 408855-32G Microsoft@ Windows@ Server 2008 R2 589255-B21 OS Enterprise Edition 10 CAL Not Pre - installed Software HP P410/512 BBWC Smart Array 462864-B21 Controller HP 146GB 3G Hot Plug 2.5 SAS Dual 504062-B21 Port 15,000 rpm Enterprise Hard Drive HP 146GB 3G Hot Plug 2.5 SAS Dual 504062-B21 Port 15,000 rpm Enterprise Hard Drive HP 30OGB 6G Hot Plug 2.5 SAS Dual 507127-B21 Port 10,000 rpm Enterprise Hard Drive HP 30OGB 6G Hot Plug 2.5 SAS Dual 507127-B21 Port 10,000 rpm Enterprise Hard Drive 2/4/2010 Page 2 of 3 HP 30OGB 6G Hot Plug 2.5 SAS Dual 507127-1321 Port 10,000 rpm Enterprise Hard Drive HP 30OGB 6G Hot Plug 2.5 SAS Dual 507127-1321 Port 10,000 rpm Enterprise Hard Drive RAID 5 drive set with online spare 339780-1321 (requires matching 4 hard drives) HP 10OGB Logical Size Setting 436007-1321 HP Slim 12.7mm SATA DVD Optical 481041-1321 Drive 2 HP 120OW 12V Hotplug ACC Power 500172-2PS Supplies HP Redundant Hot -Plug Fans Included Two Broadcom 5709 (4 Ports) Included 2 HP 1.83m 10A C13-UL US Power AF556A-XX2 Cords Integrated Lights -Out 2 (iL02) Included Management 3 years parts, labor and onsite service Included (3/3/3) standard warranty. Certain restrictions and exclusions apply. SubTotal: $12,644.02 Total: $12,644.02 Estimated Lease Cost: $409.54 f The terms and conditions of the CA - STATE OF CALIFORNIA (WSCA/NASPO) will apply to any order placed as a result of this inquiry, no other terms or conditions shall apply. To access the HP Public Sector Online Store where this quote was c 1'2 , 6 4 c. " 0 2 x httpI/gem.compaq.com/gemstore/entry asp?SitelD=12069 -9 - 7 5 1 232 ° 79*+ * The estimated lease cost is the monthly payment amount for a leas before 3/6/2010 with a term of 36 months and a fair market value pur 1 9 2 3 2'- 7 g.,1- of the lease term. This and other leasing and financing options are w Packard Financial Service Company (HPFSC) or one of its affiliates i : 1 3 s 876 ` 8 1 # and state and local customers in the U.S. and subject to credit approval and execution of standard HPFSC documentation. Fees and other restrictions may apply. This is not a commitment to lease. Rates and payments are subject to change at any time without notice. Leasing and financing options for Federal governmental agencies (subject to a $50,000 minimum) are available from Hewlett-Packard Company. For more information, call Hewlett- Packard Financial Services Company at 1-888-277-5942 and talk to a financial services representative who specializes in supporting government and education entities. HP is not liable for pricing errors. If you place an order for a product that was incorrectly priced, we will cancel your order and credit you for any charges. In the event that we inadvertently ship an order based on a pricing error, we will issue a revised invoice to you for the correct price and contact you to obtain your authorization for the additional charge, or assist you with return of the product. If the pricing error results in an overcharge to you, HP will credit your account for the amount overcharged. This quotation may contain open market products which are sold in accordance with HP's Standard Terms and Conditions. HP makes no 2/4/2010 Find a Laptop, Notebook, Desktop, Server, Printer, Software, Service, Monitor or TV at ... Page 1 of 3 From: DellOnlineSales@Dell.com[mailto:DellOnlineSales@Dell.com] Sent: Thursday, January 28, 2010 4:34 PM To: Information Technology Subject: Dell Computer - Saved Quote Information 1009644400715 Dear Ernesto Smith: An E-Quote containing computer equipment from Dell Computer Corporation has been saved in your name at the Dell Online Store. The E-Quote will be held for 30 days to allow for completion of the order. Per your request, this E-Quote has been forwarded to the following recipients: Your Comments: To retrieve this E-Quote: 1. Log on to your Premier page for City of Vernon 2. Click into your online store.. 3. Select "Retrieve" E-Quote from the top section of the page. 4. Select E-Quote Number: 1009644400715 Premier.dell.com log -in: http://premier.dall.com A read-only view of this E-Quote is provided below E-Quote Information E-Quote number: 1009644400715 Old E-Quote number: 1010788804936 E-Quote name: PIPs Server Description: For PIPs Server Customer Name: City of Vernon E-quote Name PIPs Server E-Quote Description For PIPs Server Saved By: Ernesto Smith Phone Number: (323) 583-8811 - 241 cov_it@ci.vernon.ca.us Purchasing Agent: Saved On: Thursday, January 28, 2010 Notes/Comments: Expires On: Saturday, February 27, 2010 Additional Comments`. Premier Page Name City of Vernon Ship to Address: Bill to Address: Information Technology City of Vernon 4305 Santa Fe Ave Vernon, CA 90058 (323) 583-8811 241 Description PowerEdge Energy Smart 2970 Date & Time: January 29, 2010 12:33 AM CST SYSTEM COMPONENTS PowerEdge Energy Smart 2970 Qty 1 Quad Core AMD OpteronTm 2381 HE, 2.5GHz, Unit Price $11,396.20 4x512K Cache, HT1, Energy Smart, Windows ServerG 2008 R2, Enterprise Edition, Includes 10 CALs Catalog Number: 84 W1923_ES Product 2/1/2010 Find a Laptop, Notebook, Desktop, Server, Printer, Software, Service, Monitor or TV at Page 2 of 3 Module Description Code Sku Id Quad Core AMD OpteronTM [224- PowerEdge 2970 2381 HE, 2.5GHz, 4x512K 297TE2 57671 1 Cache, HT1, Energy Smart Windows Server® 2008 R2, [421- Operating System Enterprise Edition, Includes 10 WS10EE 1620] 11 CALs Additional Quad Core AMD OpteronTM 2381 HE, 2.5GHz, 4x512K 2PT25 [317- 2 Processor Cache, HT1 12271 Memory 64GB (8x8GB), 667MHz, Dual 64G2D6D [317- 3 Ranked 1105] TCP/IP Offload Engine Enablement LOM NICs are TOE Ready TOE [430- 2968] 6 146GB 15K RPM Serial -Attach [341- Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 146A525 89711 8 Drive Primary Controller PERC 6/I, x8 Backplane, Integrated P61X8 [341- 57351 9 Floppy Drive No Floppy Drive with Filler Panel NFD [341- 3078] 10 Dual Embedded Broadcom@ [430- Network Adapter NetXtreme 115708 Gigabit OBNIC 1764] 13 Ethernet NIC Dell Remote Access Card, 5th 313- Remote Management Generation for PowerEdge DRAC5 3923] 14 Remote Management [313- CD/DVD Drive DVD-ROM Drive, SAT DVD 6769] [313- 16 9471] Bezel Active ID Bezel BEZEL [313- 4946] 17 Backplane 1x8 Backplane for 2.5-inch Hard 1X825HE [341- 18 Drives, Energy Smart 4888] Electronic System [310- 87761 Documentation Documentation, OpenManage EDOCSD [330- 21 DVD Kit with DMC 5280] 146GB 15K RPM Serial -Attach [341- 2nd Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 146A525 89711 23 Drive Hard Drive Integrated SAS/SATA RAID 1/RAID 5, PERC 5/i Integrated, MSR1R5 [341- 27 Configuration PERC 6/i Integrated 4581] Chassis Rack Chassis w/Sliding RapidNersa Rails and Cable RPVERSA [310- 28 Configuration Management Arm,Universal 7412] [970- 8133] [982- 5830] Hardware Support 4Yr Basic Hardware Warranty [986- 2/ 1 /2010 Find a Laptop, Notebook, Desktop, Server, Printer, Software, Service, Monitor or TV at ... Page 3 of 3 Services Repair: 5x10 HW-Only, 5x10 5867] NBD Onsite [986- U40S 5868] 29 [990- 7219] Power Supply Energy Smart Non -Redundant NRPSE [330- 2058] 36 Power Supply NEMA 5-15P to C13 Wall Plug, [310- Power Cords 125 Volt, 15 AMP, 10 Feet (3m), 3MNEMA 8509] 38 Power Cord 3000B 10K RPM Serial -Attach [341- 4th Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 3000A25 8503] 51 Drive 3000B 10K RPM Serial -Attach 1341- 5th Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 300GA25 8503] 52 Drive 3000B 10K RPM Serial -Attach [3[34141 - 6th Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 3000A25 53 Drive 3000B 10K RPM Serial -Attach [341- 3rd Hard Drive SCSI 3Gbps 2.5-in HotPlug Hard 3000A25 8503] 54 Drive TOTAL: $11,396.20 Sub -total $11,396.20 Shipping & Handling $29.99 Tax" $1,065.37 *Exemptions reflected in final checkout page only Total Price $12,491.56 Thanks for shopping on the Dell Online Store and for using our E-Quote service. We hope you find it useful in making your purchase and will continue to think of Dell.com for all of your computing needs. Sincerely, Dell Online Sales 2/1/2010 OE400SPS _.. CD4;cam 800594.4239 SALES QUOTATION BLWZ461 9145049 2/2/2010 SHIP TO: BILL TO: CITY OF VERNON ERNESTO SMITH Attention To: ERNESTO SMITH 4305 S SANTA FE AVE 4305 S SANTA FE AVE Accounts Payable VERNON , CA 90058-1714 VERNON , CA 90058-1714 Contact: ERNESTO SMITH 323.583.8811 Customer Phone 9323.583.8811 Customer P.O. # HP SERVER 2 Net 30 Days-Govt SANDY KANARDY 877.571.7064 FedEx Ground State/Local 1 1842802. HP CTO ONLY PROLIANT DL385 G6 1,177.04 1,177.04 Mfg#: FIO-572431-B21 Contract: MARKET 1 1779168 HP 2427 DL385G6 PROC KIT 542.63 542.63 Mfg#: CPR-570117-B21 Contract: MARKET 1 174758E HP 48GB FBD PC2-5300 6X8GB KIT 5,486.24 5,486.24 Mfg#: CPR-413015-48G Contract: MARKET 1 1935173 HP CTO ONLY W2008 R2 ENT 10CAL NPI 2,505.71 2,505.71 Mfg#: FIO-589255-1321 Contract: MARKET 1 1680867 HP P410/512 BBWC SMART ARRAY CNTRL 691.26 691.26 Mfg#: CPR-462864-B21 Contract: MARKET 2 1723312 HP 146GB PLUG SAS 15K SFF DP HD 572.56 1,145.12 Mfg#: CPR-504062-B21 Contract: MARKET 4 1723330 HP 30OGB 6G PLUG SAS 10K SFF DP HD 598.49 2,393.96 Mfg#: CPR-507127-B21 Contract: MARKET 1 160442 . HP CTO ONLY DRIVE CAGE RAID 0.05 0.05 Mfg#: FIO-339780-B21 Contract: MARKET 1 1604425 HP CTO ONLY LOGICAL SETTING 100GB 0.05 0.05 Mfg#: FIOA36007-B21 Contract: MARKET 1 1538650 HP DVD-ROM SATA 8X INT 5.25" SLIM 99.74 99.74 Mfg#: CPR-481041-B21 Contract: MARKET 2 1775601 HP 120OW 12V HOT PLUG PWR SUPPLY 751.11 1,502.22 Mfg#: CPR-500172-2PS Contract: MARKET 2 1560517. HP CTO 1.8M 10A C13 POWER CORD 27.92 55.84 Mfg#: FIO-AF556A-XX2 Contract: MARKET SUBTOTAL 15,599.86 FREIGHT 299-52 TAX 1,520.99 THE RIGHT TECH NO LOGY. RIGHT AWAY,TrA Please remit payment to: CDW Government CDW Government RegMstr Requisition Master Report Page: 6 2/17/2010 9:13:36AM CITY OF VERNON Document #: 6990 Date: 02/11 /2010 Year: 2010 Requisition #: 0005598 Description: ALPR SERVER SOFTWARE . Requestor: ROBERTSON, DANITA Requested for: CALLEROS, DANIEL Apprvl Queue: pd it Group: drobertson Combine: N Current Aprv: JAUNZEMIS, DOLORES Lvl: 4 Prev: TOWLES, STEVEN PO Type: reg Confirming: N PO #: Blanket exp: $Limit - PO: Tran: Contact: DEBBY NICKENS Phone: (323) 583-8811 x110 Text Code: Restock: N Department: 1031 Order Placement: Purchasing RegiLis►iio Item a . 7 _ f Type Item Code Whse Quantity Units Unit Cost Extension g 1.00 ea 585.40000 585.40 Tax cd: s Comm cd: 1099 box: FA? N Fund Typ: Allow partial: Y Allow backorder: Y Insight Part ID #M243625: MSelect SQL Server Standard Ed 2008 Single Lang Account(s) Project Account(s) Acct % E 011.4031.860000 100.00 RFQ: N Encumber: Y Vendor: 003606 INSIGHT PUBLIC SECTOR, INC Selected: Y Order from: 22721 E. MISSION AVENUE LIBERTY LAKE, WA 99019 Pay to: 22721 E. MISSION AVENUE LIBERTY LAKE, WA 99019 FOB Point: Desired: Required: Bill to: 01 ATTN: ACCOUNTS PAYABLE 4305 SANTA FE AVE VERNON, CA 90058 Ship to: city 4305 SANTA FE AVE. VERNON, CA 90058 Ship -via: Instructs: Requisition Item Account(s) Project Account(s) Acct % E 011.4031.860000 100.00 Amount 585.40 Amount 1,603.50 Page: 6 RegMstr Requisition Master Report Page: 7 2/17/2010 9:13:36AM CITY OF VERNON Document #: 6990 (Continued) Requisition #: 0005598 Account(s) E 011.4031.860000 Project Account(s) Acct % Amount 100.00 213.42 Total: 2,402.32 Requisition Approval His#ory Approver: JIM RODINO Lvl: 1 In:2/11/2010 9:27:32AM Out:2/16/2010 8:16:23AM Action: app Approver: ANDREI YERMAKOV Action: app Approver: STEVEN TOWLES Action: app Lvl: 2 In:2/16/2010 8:16:23AM Lvl: 3 In: 2/16/2010 1:14:37PM Out: 2 / 16/2010 1:14: 37 P M Out:2/16/2010 2:05:05PM Page: 7 Insight Public Sector FEIN 36-3949000 t 22721 E Mission Duns 827968483 InsighLiberty Lake, WA 99019 Cage 575H6 To: ERNESTO SMITH From: OTHER US GOVf TEAM ipswest@insight.com 888-231-4641 - Phone 480-760-6128 - Fax Quote #: 13194530 Quote #: 13194530 Quote date: 3-Feb-10 Prepared by: Johanna Tuttle Thank you for the opportunity to quote on the following products. All prices are subject to change without notice and are exclusive of taxes, duties, or tariffs. For order placement, or if you have any additional questions please contact your Insight dedicated representative. Purchase orders are received via fax or e-mail and should be made out to Insight Public Sector, Inc. We look forward to helping you in the future. The information herein is confidential. Billto No: 205387 B CITY OF VERNON S CITY OF VERNON 1 4305 SANTA FE AVE H 4305 SANTA FE AVE L Vernon, CA 90058 1 Vernon, CA 90058 L US P US T T Attn: INFORMATION TECHNOLOGY DIVISION Line No Insight Part Mft Part ID Part Description Qty Unit Price Ext Price ID 1 M243625 228-08720 MSelect SQL Server Standard Ed 2008 Single Lang 1 585.40 585.40 '- K2 M24€i4b= 359D619(6;,pflSelecX.SQLCAL200S>Deuiee:CALSmgleLang. ;:15 10690,;_-, 1,fiO3.50 — Key Subtotal: 2,188.90 - Non -returnable Freight: 0.00 Item will ship direct from manufacturer's warehouse Handling Fee: 0.00 t Taxable Subtotal: 2,188.90 - Non-shippable/invoice only part 9.75 /o Tax: 213.42 - This part requires a contract before an order may be placed 2z402 USD` s Total: Please note - tax and freight are estimates only Unless otherwise agreed by Insight in writing, payment is due 30 days from date of invoice. For a full copy of Insight's terms and conditions, which shall be in effect unless otherwise agreed by Insight in writing, go to https://shop.insight.com/contenUen-us/termsofsale.asp Page 1 of 1 This,,software will be used for the operation of the HP server being purchased with grant and asset forfeiture funds (Requisition #0005597).