0000000010_Envelope_IFB.docx

Form GSOP S5-PIN (01-05)

STATE OF CALIFORNIA

DEPARTMENT OF GENERAL SERVICES – PROCUREMENT DIVISION

Invitation For Bid

DUE DATE

02/05/2016 Responses must be delivered to the Procurement Division before 2:00 PM on the Due Date

SUPPLIER NAME AND ADDRESS

EVENT ID:

0000000010

5897TANT: Read attached General Provisions carefully before bidding. AGENCIES QUALIFYING AS A SMALL BUSINESS ARE CONTINED IN S

01/14/2016

PAGE

____ % CASH DISCOUNT FOR

PAYMENT WITHIN ____ DAYS

SEE REQUIRED PAYMENT DATE OF THE GENERAL PROVISIONS PARAGRAPH 30.

SHIP TO:

As Specified

ARE YOU CLAIMING PREFERENCE

AS A CALIFORNIA CERTIFIED SMALL BUSINESS?

YES NO

IF YES, MANUFACTURER?

YES NO

ARE YOU A NON-SMALL BUSINESS CLAIMING AT LEAST 25% SMALL BUSINESS SUBCONTRACTOR PREFERENCE?

YES NO

DGS/PROCUREMENT DIVISION

Attn: Bid Room (EVENT ID: 0000000010) 707 3rd Street, 2nd Floor West Sacramento, CA 95605

FOR FURTHER INFORMATION, CONTACT:

BUYER: Darren Furgerson

PHONE: (916) 441-9626

EMAIL: darren.furgerson@dgs.ca.gov

NAME (PRINT)

TITLE

SIGNATURE DATE

SECTION 14835 ET SEQ. OF THE CALIFORNIA GOVERNMENT CODE REQUIRES THAT A 5% PREFERENCE BE GIVEN TO BIDDERS WHO QUALIFY AS A SMALL BUSINESS OR BIDDERS WHO QUALIFY AS A NON-SMALL BUSINESS CLAIMING AT LEAST 25% CALIFORNIA CERTIFIED SMALL BUSINESS PARTICIPATION. FOR REQUIREMENTS SEE TITLE 2, CALIFORNIA CODE OF REGULATIONS, SECTION 1896, ET SEQ. THE REQUIREMENTS FOR NONPROFIT VETERAN SERVICE AGENCIES QUALIFYING AS A SMALL BUSINESS ARE CONTAINED IN SECTION 999.50 ET SEQ. OF THE MILITARY AND VETERANS CODE

PHONE

EMAIL

FEDERAL EMPLOYER IDENTIFICATION NUMBER

Bidder offers and agrees if this response is accepted within 45 calendar days from the date of opening to furnish all of the items upon which prices are quoted, at the prices set opposite each item, delivered at the designated point(s) by the method of delivery and within the times specified above and subject to the attached General Provisions. DECLARATIONS UNDER PENALTY OF PERJURY: By signing above, with inclusion of the date of signature, the above signed bidder DECLARES UNDER PENALTY OF PERJURY under the laws of the State of California as follows: (1) (STATEMENT OF COMPLIANCE). The above signed has complied with the non-discrimination program requirements of Government Code 12990 and Title 2, California Administrative Code Section 8103, and such declaration is true and correct. (2) the National Labor Relations Board declaration set forth in Paragraph 43 of the General Provisions is true and correct. (3) If a claim is made for the small business preference, the information set forth within is true and correct.

(75-04) PD Reference Only

Envelopes, Recycled Paper

1. SCOPE

This solicitation covers the estimated three (3) year requirements of the Office of State Publishing (OSP) only for ENVELOPES, RECYCLED PAPER. The contract resulting from this solicitation will be mandatory for the OSP.

The term of the contract resulting from this solicitation will be for three (3) years. The contract will contain two (2) extension options for one year or portion thereof. If a mutual agreement for a contract extension cannot be met, the contract may be terminated at the end of the current contract term and/or contract extension.

CURRENT CONTRACT

The historical value based on expenditures from the current mandatory statewide contract # 1-12-75-04 for ENVELOPE, RECYCLED PAPER is approximately $3.3 million over three years.

QUANTITIES

Quantities shown for each line item on Attachment 1 – Pricing Worksheet are estimations for evaluation purposes only. The estimated quantities are based upon anticipated purchasing for a three (3) year period. Actual purchasing may vary from this pattern. The State will not guarantee that these quantities will be purchased. Consequently, there is no guaranteed dollar value for this contract. The State will not be obligated to purchase contractor’s excess inventory if actual purchases vary from the anticipated purchasing pattern. The State reserves the right to order more or less of any line item in this solicitation.

BIDDER QUESTIONS

All bidders are encouraged to carefully review all pages of this solicitation. All questions, comments, and concerns should be immediately directed to the buyer in writing within at least four (4) working days prior to bid due date. All questions and/or concerns should be sent via email to Darren.Furgerson@dgs.ca.gov.

Any bidder’s failure to raise concerns, in writing, related to the solicitation requirements or failure to report an incorrect referenced internet link within at least four (4) working days prior to the bid due date will be deemed a waiver of the bidder’s right to protest any decision for contract award relating to the solicitation requirements.

CLARIFYING INFORMATION

At the State’s option prior to award, bidders may be required to submit additional written clarifying information. Failure to submit requested information may result in your bid being considered non-responsive.

STATE OF CALIFORNIA ENVIRONMENTALLY PREFERABLE PURCHASING (EPP)

The State of California, Department of General Services, Procurement Division (DGS PD) is responsible for the implementation of Environmentally Preferable Purchasing (EPP) as mandated by the California Public Contract Code (PCC), Chapter 6, Sections 12400-12404, and supported by the Governor’s Executive Order S-20-04. By signing the Completed Bid Response form, the bidder is certifying that the products or services offered under this solicitation are in compliance with PCC section 12404.

The law requires “the procurement or acquisition of goods and services that have a lesser or reduced effect on human health and the environment when compared with competing goods and services that serve the same purpose”. Also, the procurement process must consider, to the extent feasible, the product’s associated impacts from the product’s raw materials acquisition, production, manufacturing, packaging, distribution, reuse, operation, maintenance, disposal, energy efficiency, product performance, durability, and safety as well as the needs of the purchaser, and cost.

ATTACHMENTS

The following list identifies the applicable documents for this solicitation:

· Attachment 1 – Pricing Worksheet

· Attachment 2a – Envelopes, Recycled Paper, Specification # 7530-3077 dated 11/02/15, 6 pages

· Attachment 2b – Envelope Diagrams 1-24

· Attachment 2c – State of California Specification 3990-01A-01 dated January 2001 (3 pages) Pallets, Wooden, Size 2, Type 2

· Attachment 3 – Contract Reporting Data

· Attachment 4 – Customer Reference Form N/A

· Attachment 5 – Bidder Declaration Form (GSPD-05-105) REV 08/09

· Attachment 5a – Commercially Useful Function (CUF) Worksheet

· Attachment 6 – California Disabled Veteran Business Enterprise (DVBE) Program Requirements REV 09/03/09

· Attachment 7 – California Disabled Veteran Business Enterprise (DVBE) Bid Incentive Instructions REV 09/03/09

· Attachment 8 – Disabled Veteran Business Enterprise (DVBE) Declaration Form (STD. 843) REV 05/06

· Attachment 9 – Postconsumer-Content Certification (CIWMB 74) REV 04/07

· Attachment 10 – Darfur Contracting Act

· Attachment 11 – Alternative Protest Process Regulations

BIDDER INSTRUCTIONS

The Bidder Instructions (rev 11/09/2011) applicable to this solicitation are located at the link below:

http://www.documents.dgs.ca.gov/pd/modellang/GSPD451-110911.pdf

GENERAL PROVISIONS

The General Provisions (rev 06/08/2010) applicable to this solicitation are located at the link below:

http://www.documents.dgs.ca.gov/pd/modellang/GPnonIT060810.pdf

METHOD OF AWARD

This solicitation shall be awarded on an "All or None" basis to the lowest responsive and responsible bidder meeting all administrative and technical requirements, terms, and conditions of this solicitation.

PRICING STRUCTURE

Not applicable to this solicitation

LINE ITEMS

All products to be offered as part of the contract resulting from this solicitation shall be listed on Attachment 1 – Pricing Worksheet. Bidders are required to provide the following proposed product information for each line item (in the yellow cells provided on Attachment 1):

· UNSPSC Code

· Manufacturer Part Number (OEM #)

· Manufacturer (OEM)

· Bidder’s product Stock Keeping Unit Number (SKU#)

· Item Description

· List Price/MSRP

· Contract Unit Price

Note: Please refer to the Worksheet Key tab for field definitions.

SPECIFICATIONS

All products offered must conform to the attached specifications (Attachment 2a) entitled Envelopes, Recycled Paper, Specification # 7530-3077 dated 11/02/15, 6 pages. The attached diagrams (Attachment 2b) are for information only and are not to scale.

For the purpose of this bid, if your company would like to offer a product that is close to specification but does not meet specification, you must submit specifications for the products and detail the deviations on page 17 of this bid. The State will allow additional time for testing these deviated envelopes and will determine if the deviation is allowable.

DESCRIPTIVE LITERATURE

If bidding product that deviates from specification #7530-3077, Bidders are required to submit complete descriptive literature with their bid response. Descriptive literature shall be annotated to specify dimensions, brand, model, deviation from specification and Contract Line Item Number (CLIN). Failure to submit literature may result in your bid being considered non-responsive.

FACTORY AUTHORIZED DISTRIBUTOR

Not applicable to this solicitation

SAMPLES

This commodity will be sampled and inspected for compliance to specification as deemed necessary. Sampling and inspection by attributes will be in accordance with American National Standards Institute/American Society for Quality, ANSI/ASQ Z1.4-2003, Sampling Procedures, and Tables for Inspection by Attributes. An inspection lot is defined as one delivery to one agency at one time.

A. MINOR DEVIATION SAMPLE REQUIREMENT

The State shall require samples of offered products which have minor deviations to aid in its determination of award. The bidder shall provide 30,000 samples of each line item requested by the State, at no cost to the State, within 15 working days from receipt of notice from the State. Notice may be made by phone, fax, e-mail, or commercial overnight carrier. The bidder will be given one opportunity to submit the samples. Failure to submit requested samples will result in your bid being considered non-responsive.

B. MOCK UP SAMPLES:

The contractor may be required to submit three (3) mockup sample envelopes per line item for approval within seven (7) calendars days after notification. If the sample is not within specification, the contractor will only be given one chance to submit compliant samples within fifteen (15) calendar days.

C. PRE-PRODUCTION SAMPLES

Upon request from the State, the contractor shall deliver 5,000 envelopes within fifteen (15) working days after notification by the agency.

D. PRE-PRODUCTION PRODUCT PERFORMANCE TEST

For machineability of the envelopes, a test run of up to 5,000 envelopes of each style may be required after the initial approval and before production. Performance test shall be comprised of running samples in quantity of no less than 2,500 letter/500 booklet envelopes on well-maintained equipment (Mass Mail and/or Jets) for three (3) passes. Any pass that has one or more jams caused by envelope(s) will be considered failure. Contractor may witness the test and should provide remedy plan to resolve the failure within 10 working days or a pre-defined period mutually agreed by agency and contractor. Should the contractor fail to resolve the failure and offer the compliant products in three (3) attempts, it would be considered a breach of contract and subject to General Provisions paragraph 26 entitled “Rights and Remedies of State for Default”.

RANDOM SAMPLE COMPLIANCE REVIEW

The State has the option of randomly sampling offered products after award from any order to ensure compliance to contract requirements. Any products failing random sample review will be replaced by the supplier(s) free of charge and re-evaluated by the State. The State has the option of removing listed line items that fail random sample compliance review. Notice may be made by phone, fax, email, or commercial overnight carrier. Failure to submit requested information may be considered a breach of contract and subject your company to General Provisions paragraph 26 entitled “Rights and Remedies of State for Default”.

PRICES

All prices shall be noted on Attachment 1 – Pricing Worksheet. Prices shall be all inclusive. Only the prices/charges submitted in the bid response shall be included in the awarded contract. No other fees can be charged to the customer.

Bidders shall submit one (1) hard copy and one (1) electronic copy (on a CD-ROM or a flash drive in Microsoft Excel format) of the completed Attachment 1 – Pricing Worksheet with the bid response. If a discrepancy occurs between the hard copy and the electronic copy, the hard copy will take precedence. Failure to submit the Attachment 1 – Pricing Worksheet with your bid response shall result in your bid being considered non-responsive.

Note: Please refer to the Worksheet Key tab for field definitions and additional completion instructions.

For the purposes of this solicitation only, all bid pricing shall be valid for ninety (90) calendar days after bid opening date. This language hereby supersedes the 45 calendar days as indicated on page 1 of the solicitation.

PRICING WORKSHEETS

Attachment 1 – Pricing Worksheet contains the price sheets that the bidders shall use to enter pricing/discounts for this solicitation.

Regardless of packaging (#32 of this bid) all line items will be priced at “per 1000”.

PRICE ADJUSTMENTS

All prices shall be firm fixed for the contract term, including any optional year extensions, unless a price adjustment is granted.

A. Frequency/Guidelines:

Price adjustments will only be acknowledged in accordance with the following guidelines:

1. Price adjustments will not be made during the first six (6) months of the contract.

2. Price adjustments after the first six (6) months may only be requested no more than once within a six (6) month period.

3. Upon approved price adjustment, price adjustments will not be accepted for a period of 6 (6) months from the last approved price adjustment effective date.

4. Price adjustments may only be requested when the cost of finished products based on the U.S. Bureau of Labor Statistics Product Price Index (PPI) for Envelopes, WPU09150636 has increased no less than 3 percent.

5. No price increase/decrease shall apply to quantities ordered from the contract prior to the effective date of the price adjustment. No retroactive contract price adjustments will be allowed.

6. Accepted price adjustments shall be for a minimum period of twelve (12) months from the approved price adjustment effective date.

7. The State reserves the right to decrease prices in the same manner as price increase adjustments.

B. Request Process:

Price adjustment requests will be processed as follows:

1. Any price adjustment request must be in writing and must be received 30 calendar days prior to the requested adjustment date. If a Contractor fails to request a price adjustment 30 calendar days prior to the requested adjustment date, the price adjustment, if accepted, will be effective within 30 calendar days after the State receives the written request.

2. Price adjustments requests must include:

a. A copy of the appropriate PPI identified above illustrating the relevant percent increase/decrease.

b. An Excel spreadsheet detailing the requested adjustment to the contract line item(s). The spreadsheet should include the Contract Line Item Number (CLIN), current State Contract Price, percent increase/decrease, and adjusted State Contract Price for each contract line item(s).

3. Price adjustment, if granted, will be made in accordance with the percentage change to the appropriate PPI identified above. The percentage difference between: a) the latest final base PPI at the time of contract award, and; b) the latest final PPI issued at the time of the price adjustment request, will determine the maximum allowable adjustment to the current State Contract Price(s). Only final PPI data will be used to adjust contract pricing. PPI data issued by the U.S. Bureau of Labor Statistics may be revised for up to four months after the original release date before being considered final.

Additional price adjustments within the contract term including extensions, if granted, will be made in accordance with the percentage change to the appropriate PPI identified above. The percentage difference between: a) the new base PPI, calculated from the last approved price adjustment effective date, and; b) the latest final PPI issued at the time of the price adjustment request, will determine the maximum allowable adjustment to the current State Contract Price(s).

Upon receipt of such notice, the State reserves the right to:

0. Accept the adjustment as competitive with the general market price at that time; or

0. Negotiate proposed price adjustments. Note: The State will notify the Contractor, in writing, its desire to negotiate. The State will have ten (10) working days to complete negotiations; or

0. Deny adjustment request and continue with current State contract prices; or

0. Cancel the contract’s unpurchased balance without prejudice, effective upon written notice from the State.

Note: If negotiations fail to produce any agreement, the State reserves the right to exercise Options 4a or 4d with an effective date no later than ten (10) working days after unsuccessful negotiation.

C. Price Adjustment Examples:

1) After the first year, a price increase is requested for a contract with term of three years.

Price Adjustment Request #1:

Requested price adjustment period: 9/1/2009 through 8/31/2011

Process:

Result:

Adjusted price for contract term 9/1/2009 through 8/31/2010 is $1.68 per box.

2) 12 months after the first price increase, a second price increase request is submitted.

Price Adjustment Request #2:

Requested price adjustment period: 9/1/2010 through 8/31/2011

Process:

Adjusted price for contract term 9/1/2010 through 8/31/2011 is $1.76 per box.

A. Request Process:

Price adjustment requests will be processed as follows:

a. A copy of the applicable Index illustrating the relevant percent increases/decreases.

b. An Excel spreadsheet detailing the requested adjustment to the contract line item(s). The spreadsheet should include the Contract Line Item Number (CLIN), current State Contract Price, percent increase/decrease, and adjusted State Contract Price for each contract line item(s).

3. Price adjustment, if granted, will be made in accordance with the percentage change to the appropriate agreed upon index. The percentage difference between: a) the latest final base index at the time of contract award, and; b) the latest final index issued at the time of the price adjustment request, will determine the maximum allowable adjustment to the current State contract price(s). Only final index data will be used to adjust contract pricing.

Additional price adjustments within the contract term including extensions, if granted, will be made in accordance with the percentage change to the agreed upon index. The percentage difference between: a) the new base index, calculated from the last approved price adjustment effective date, and; b) the latest final index issued at the time of the price adjustment request, will determine the maximum allowable adjustment to the current State contract prices

Upon receipt of such notice, the State reserves the right to:

a. Accept the adjustment as competitive with the general market price at that time; or

b. Negotiate proposed price adjustments. Note: The State will notify the Contractor, in writing, its desire to negotiate. The State will have ten (10) working days to complete negotiations; or

c. Deny adjustment request and continue with current State contract prices; or

d. Cancel the contract’s unpurchased balance without prejudice, effective upon written notice from the State.

Note: If negotiations fail to produce any agreement, the State reserves the right to exercise Options 4a or 4d with an effective date no later than ten (10) working days after unsuccessful negotiation.

B. Price Adjustment Example:

Scenario:

Requested price adjustment period: 9/1/2009 through 8/31/2011

Process:

Adjusted price for contract term 9/1/2009 through 8/31/2011 is $1.76 per box.

NON CORE CATALOG PRICING ADJUSTMENTS AND APPENDICES

Not applicable to this solicitation.

PRICE DECLINES

The contractor shall immediately notify the State Contract Administrator of all manufacturers’ price declines and the State shall receive full benefit of such declines, effective on the date of manufacturer’s public announcement.

SALES TAX

Sales tax is not to be included in the bid response or on Attachment 1 – Pricing Worksheet. If awarded the contract, sales tax should be added at time of invoicing. The sales tax rate applied should be based on the rate of the area where the product is to be delivered. If Federal Excise Tax applies, bidder shall list the amount and submit information with bid response.

MINIMUM ORDER

The minimum order shall be one pallet for each envelope.

CONTRACTOR ORDERING INFORMATION

By signing and submitting this solicitation, the bidder agrees to accept orders by facsimile, e-mail or U.S. Mail. Bidders must list below business address, facsimile, and e-mail address to which orders should be sent:

Company Name:

Street Address:

City, State, and Zip:

E-Mail Address:

Contact (if applicable):

ORDERING PROCEDURE

Departments shall submit a complete Purchasing Authority Purchase Order (STD. 65) directly to the contractor or complete the Purchase Order process in Fi$Cal. The Purchasing Authority Purchase Order (STD. 65) shall contain, at a minimum, the following information:

1. Agency Order Number (Purchase Order Number)

2. Agency Billing Code

3. Purchasing Authority Number

4. Leveraged Procurement Number (Contract Number)

5. Agency Name

6. Item Number

7. Quantity

8. Unit

9. Description and Contract Line Item Number (CLIN), if applicable

10. Unit Price

11. Extension Price

The contractor shall not accept incomplete orders from OSP.

ORDER RECEIPT CONFIRMATION

The contractor must confirm receipt of the purchase order, either via e-mail or facsimile, within 48 hours of receipt. Order Receipt Confirmation to each ordering agency shall include the following information:

1. Ordering Agency Name

2. Agency Order Number (Purchase Order Number)

3. Total Cost

4. Anticipated Delivery Date

DELIVERY

Delivery for orders placed against the contract resulting from this solicitation shall be in accordance with the following:

A. Locations For OSP, Delivery shall be made to the Department of General Services, OSP in Sacramento, California.

B. Schedule:

Delivery of ordered product shall be completed in full within ten (10) calendar days after receipt of an order (ARO) for line items 101-108, and 114-129. Delivery shall be completed in full within twenty-one (21) calendar days ARO for line items 109-113. It will be the Contractor’s responsibility to check with OSP for their specific delivery hours before delivery occurs. The Contractor must notify OSP within 12 hours of scheduled delivery time, if delivery cannot be made within the time frame specified on the Order Confirmation.

Note: In accordance with paragraph 15 of the General Provisions entitled “Delivery”, the contractor shall strictly adhere to the delivery terms and completion schedule as specified in this solicitation. Failure to comply with the delivery requirements, as stated, may be considered a breach of contract and subject the contractor to General Provisions 26, entitled “Rights and Remedies of the State for Default”.

FREE ON BOARD (F.O.B.) DESTINATION

For the purposes of this solicitation, all prices offered shall be F.O.B. destination; freight prepaid by the Contractor, to the ordering organization's receiving point. Responsibility and liability for loss or damage for all orders shall remain with the Contractor until final inspection and acceptance, when all responsibility shall pass to the ordering organization, except the responsibility for latent defects, fraud, and the warranty obligations.

DISTRIBUTION PLAN

Bidders are requested to submit a Distribution Plan with their bid response. The Distribution Plan should be the bidder’s written plan for distribution of the products. The plan must clearly show distribution from the manufacturer(s) to the end user, including all points in between specific to this resulting contract only, and the role that you as the contractor of record will play in the distribution. This plan should clearly identify all parties, including any subcontractor, Disabled Veteran Business Enterprises (DVBE) and/or Small Business (SB) participants, involved in the execution of this contract and their responsibilities.

MATERIAL SAFETY DATA SHEET

Not applicable to this solicitation.

PACKAGING, PACKING AND MARKING

All shipments must comply with General Provisions (rev 06/08/2010), Paragraph 12 entitled “Packing and Shipment”. The General Provisions are available at: http://www.documents.dgs.ca.gov/pd/modellang/GPnonIT060810.pdf .

Exterior packaging is to show the contents and the order numbers (see Marking). All packaging is to conform to the applicable freight classifications, Surface Transportation Board, and/or postal regulations, and is to be of a quality to assure final deliver without damage to the contents.

All packaging and shipping shall conform to applicable Federal and State Regulations and conform to good commercial practices. The gross weight of each shipping carton shall not exceed 50 pounds. All shelf boxes and shipping cartons shall be of adequate crush strength to accommodate double stacking of pallets and be reusable for repackaging.

A. Envelopes shall be packaged as specified below:

Class 1 - Commercial & Official Envelopes

· Shelf Box: All envelopes shall be packed in 500 per shelf box, on long edge with the flaps folded, the open side of the envelope up (towards top of box) and facing the same direction.

· Shipping Carton: Envelope numbers 9 (including MCC 150018 and MCC 150071), 10 and 11 shall be packed with five (5) shelf boxes per shipping carton. Over size cartons holding 5 shelf boxes will not be acceptable.

Class 2 - Booklet Envelopes

· Shelf Box: Booklet envelopes shall be packaged on long edge, flaps folded, 500 per shelf box for 6” x 9-1/2” and smaller envelopes and 250 per shelf box for larger envelopes. Envelopes shall be packed all facing the same direction and flap folded with folded edge up.

· Shipping Carton: Booklet envelope numbers 91/2 (MCC 150024) and 10 (MCC150043) shall be packaged 2 or 4 shelf boxes per shipping carton.

Class 3 - Open End (Catalog & Clasp) Envelopes:

· Catalog Envelopes shall be packaged on long edge, 250 or 500 per shipping carton with the flaps folded. Catalog envelopes shall be packed all facing the same direction and flap up.

· Clasp Envelopes shall be packaged on long edge (NOT flat in the box), 250 per box, reversed every 50 with flaps extended.

Custom Window Envelopes, 6" x 9.5", MCC # 150061:

· Shelf Box: All envelopes shall be packed in 500 per box, on long edge with the flaps folded, the open side of the envelope up (towards top of box) and facing the same direction.

· Shipping Carton: Envelopes shall be packed with five (5) boxes per shipping carton.

Custom Window Envelopes, 9" x 12", MCC # 150062:

· Shipping Carton: Booklet envelopes shall be packed 500 per carton, on long edge, flaps folded, and 250 per corrugated cardboard section divider. There does not need to be a self-contained box that can be removed with the 250 envelopes inside. Instead, the cardboard section divider is required to reinforce the shipping carton and reduce the possibility of any crushing of the 9” x 12” envelopes inside the carton.

Custom Window Envelopes, 9" x 12", MCC# 150107:

· Booklet envelopes shall be printed and folded in half on long edge, front side outwards.

All Classes:

· All packaging and shipping shall conform to applicable Federal and State Regulations and conform to good commercial practices.

· The gross weight of each shipping carton shall not exceed 50 pounds.

· All shelf boxes and shipping cartons shall be of adequate crush strength to accommodate double stacking of pallets and be reusable for repackaging.

B. PALLETIZING:

· All shipments shall be palletized.

· Pallets shall comply with the State of California Specification 3990-01A-01, dated January 2001 of three (3) pages, Pallets, Wooden, Size 2, Type 2 (42” X 42”). (Attachment 2c) (Section 5 does not apply to this procurement.)

· The cartons shall be interlocked stacked, and/or plastic film wrapped; or, if the cartons are not interlocked stacked, or plastic film wrapped, a corrugated fiberboard sheet, shall be placed between each tier and the pallet load banded four ways to minimize shifting of the cartons.

· There shall be no overhang (carton extending past the edge of the pallet) of shipping cartons.

· The cartons shall be stacked no more than 4 cartons high and shall be capable of being double stacked without any crushing of cartons.

· Maximum height of loaded pallet (including pallet) shall be 5 feet.

· The cartons shall be protected from cutting, crushing or breaking resulting from banding pressure.

· The cartons shall be palletized such that the pallet load contents can be identified from any of the four sides.

· All cartons on a single pallet shall contain the same identical product.

C. MARKING:

· A packing slip shall accompany each shipment.

· Each pallet load shall be identified with the manufacturer’s lot number.

· Each shipping carton shall be marked on one end with the name of manufacturer, description, size, sub weight, color, quantity, MCC number, and purchase order and/or contract number.

· Lettering on labels shall be upper case, 3/8 inch height minimum and printed or stenciled in bold type.

RECALL PROCEDURES

The contractor shall provide recall notification, regardless of level, in writing to the State Contract Administrator and each ordering agency through the most expedient method possible. The notices, at a minimum, shall include a complete product description and/or identification, contract number, delivery order number and disposition instructions. The contractor shall issue replacement of product or credit for any product removed or recalled. Each ordering agency shall have the option of accepting either replacement product or credit in exchange for recalled/removed products.

MANUFACTURER’S QUALITY ASSURANCE PROGRAM

The manufacturer-processor of Envelopes shall have established a formal written Quality Assurance Program for the control number identification, sampling, inspection, testing and documentation of the quality of raw materials, production process, and finished product. If required, this program shall be available for review by the State during the bid evaluation period and throughout the contract term.

A. DEFECTS:

A defective box of envelopes may be any of the following, but is not limited to:

· Count: Count is not within the count tolerance, -0, +0 envelopes per box

· Envelopes upside down or placed in a uniform reverse methodology in the carton

· Curled envelopes

· Envelopes not jogged properly

· Envelopes with marks or spots

· Glued together envelopes

· Boxes or shipping containers of envelopes that have been crushed

· Boxes or shipping containers that are not reusable for repackaging

· Envelopes that deviate in any manner from the specification and the drawings

It is the policy of OSP to return all defective materials to the contractor; however, it is not always possible to detect defective envelopes until they are actually running on the press. When defective envelopes cause equipment malfunctions and/or slower production speed, OSP will invoice the contractor for the lost production time cost at the then current industry standard rate as published by the Printing Industries of Northern California (PINC) and/or the Printing Industries of America (PIA).

INVOICING REQUIREMENTS

The contractor is to render invoices as instructed on individual orders. The contractor’s invoice must include at a minimum:

1. Contractor’s name, address and telephone number

2. Leveraged Procurement Number (Contract Number)

3. Agency Order Number (Purchase Order Number)

4. Line Item Number

5. Quantity purchased

6. Contract Unit Price and Extension

7. State sales and/or use tax

8. Prompt payment discounts/cash discounts, if applicable

9. Totals for each order

The State’s obligation to make payment pursuant to the contract is subject to availability of appropriation funds. Receipt of a Purchasing Authority Purchase Order (STD. 65) or Purchase Order in Fi$Cal under this contract is proof of funds for that order.

CAL-CARD PAYMENT

Bidders will check one of the following:

|_| The bidder WILL accept the State's CAL-Card Visa Credit Card for order payments.

|_| The bidder WILL NOT accept the State's CAL-Card Visa Credit Card for order payments.

CONTRACTOR RESPONSIBILITY:

1. Contractor shall perform all deliveries to OSP in a safe and professional manner. Contractor's equipment shall be in good working order and all personnel shall be trained in safety measures to preclude accidents endangering personnel or property.

2. Contractor must commit to delivery as requested, at time stated on accepted orders, through the term of the contract.

3. Contractor shall provide office and personnel resources for responding to requests, including telephone coverage weekdays during the hours of 8:00 AM through 5:00 PM (PT).

4. Contractor shall assign a Contract Manager to act as a contact for all contract-related issues. Provide Contractor Contract Manager information below:

Contract Manager Name:

Street Address:

City, State, and Zip:

E-Mail Address:

REPORTING REQUIREMENTS:

The following reports are required to be submitted by the contractor in accordance with the instructions outlined below. Reports must contain at a minimum, but not limited to, the data elements identified in Attachment 3 - Contract Reporting Data.

Note: Reports are to be submitted even when there is no activity for the reporting period.

A. Contract Usage Report:

The Contractor shall provide an electronic Contract Usage Report to the State Contract Administrator on a monthly basis. The Contract Usage Report shall detail all invoiced purchases (from State Departments and/or local governmental agencies) against the contract during the specified reporting period.

The Contract Usage Report shall be provided to the State Contract Administrator, in Excel format via email or via U.S. Mail on a CD-ROM, by the 15th day following the ending of the reporting period (previous calendar month).

B. SB/DVBE Participation Report:

The Contractor shall provide an electronic SB/DVBE Participation Report to the State Contract Administrator on a monthly basis. The SB/DVBE Participation Report shall detail all payments to Small Business (SB) and/or Disabled Veteran Business Enterprise (DVBE) subcontractors during the specified reporting period.

The SB/DVBE Participation Report shall be provided to the State Contract Administrator, in Excel format via email or via U.S. Mail on a CD-ROM, by the 15th day following the ending of the reporting period (previous calendar month).

C. Aging Debt Report:

The Contractor shall provide an electronic Aging Debt Report to the State Contract Administrator on a monthly basis. The Aging Debt Report must contain the outstanding invoices by State Department for the specified reporting period.

The Aging Debt Report shall be provided to the State Contract Administrator, in Excel format via email or via U.S. Mail on a CD-ROM, by the 15th day following the ending of the reporting period (previous calendar month).

D. Ad Hoc Reporting The Contractor shall have the ability to provide ad hoc reporting capabilities at no cost to the State. The Contractor shall permit and provide access to all data that pertains to any procurement action taken by an ordering agency or the State as a whole. The State or ordering agency may make copies of procurement data in any form and the use of such data shall not be restricted. Dependent on future reporting requirements, the State may ask that certain reports become standard and delivered to the State on a monthly or quarterly basis.

INCENTIVE FEE FOR SALES TO LOCAL GOVERNMENTAL AGENCIES

Not applicable to this solicitation.

RESPONSIBLE BIDDER

The Department of General Services may require bidder(s) to submit evidence of their qualifications at such times, and under such conditions, as it may require. The question of whether a particular bidder is a responsible bidder involves an evaluation of the bidder’s experience, facilities, reputation, financial resources, and other factors existing at the time of contract award. Being placed on the State bid list, shall not preclude the State from determining that the bidder is not a responsible bidder. If determined to be not a responsible bidder, your bid will be rejected.

CUSTOMER REFERENCES

Not applicable to this solicitation.

SELLER PERMIT

Bidders must provide their California retailer’s seller’s permit or certification of registration and, if applicable, the permit or certification of all participating affiliates, issued by California’s State Board of Equalization (BOE), pursuant to all requirements as set forth in Sections 6487, 7101 and Sections 6452.1, 6487.3, 18510 of the Revenue and Taxation Code, and Section 10295.1 of the Public Contract code. In order to expedite the process of verifying the validity of the permit, provide the BOE permit number in the space provided below (or attach a copy of the permit with your bid.)

Retailer’s Seller’s Permit Number: __________________________________

Note: Award will be conditional on providing seller permit information prior to award.

DECLARATION FORMS

All bidders must complete the Bidder Declaration GSPD-05-105 (Attachment 5) and include it with the bid response. When completing the declaration, bidders must identify all subcontractors proposed for participation in the contract. Bidders awarded a contract are contractually obligated to use the subcontractors for the corresponding work identified unless the State agrees to a substitution and it is incorporated by amendment to the contract.

Bidders who have been certified by California as a DVBE (or who are bidding rental equipment and have obtained the participation of subcontractors certified by California as a DVBE) must also submit a completed Disabled Veteran Business Enterprise Declaration Form STD 843 (Attachment 8). All disabled veteran owners and disabled veteran managers of the DVBE(s) must sign the form(s). Should the form not be included with the solicitation, contact the State contracting official or obtain a copy at the following website: www.documents.dgs.ca.gov/pd/poliproc/STD-843FillPrintFields.pdf. The completed form should be included with the bid response.

BIDDER PREFERENCES AND INCENTIVES

This solicitation provides for the following optional bidder preferences and incentives:

A. Small Business Preference B. Non-Small Business Subcontractor Preference C. Disabled Veteran Business Enterprise (DVBE) Incentive D. Target Area Contract Preference Act (TACPA) Preference

All certified firms must perform a “commercially useful function” in the performance of the contract as defined in Government Code section 14837(d)(4).

Commercially Useful Function (CUF): Bidders must describe compliance with CUF requirement for each certified supplier (Bidder or subcontractor) on Attachment 5A, Commercially Useful Function (CUF) Worksheet. Bidders must complete one (1) worksheet for each certified supplier.

Completed worksheets must be submitted with the bid. At the State’s option, Bidders may be required to submit additional written clarifying information regarding CUF. Failure to submit the requested written information, as specified, may be grounds for rejection of the bid. If the bid involves the use of subcontractors for a portion of the contract, the Bidder must:

1. Explain how the Bidder, as the prime contractor, will manage and control the work of the subcontractor(s).

2. Explain the roles assigned to the prime contractor and subcontractor(s) during the execution of the contract

A. Small Business Preference A five percent (5%) bid preference is available to bidders certified as a small business per Government Code 14835 et seq. If applicable, claim the preference in the box on the right hand side of the first page of this solicitation.

Bidders claiming the small business preference must be certified by California as a small business. Completed certification applications and required support documents must be submitted to the Office of Small Business and DVBE Services (OSDS) no later than 5:00 p.m. on the bid due date, and the OSDS must be able to approve the application as submitted.

The Small Business regulations, located in the California Code of Regulations (Title 2, Division 2, Chapter 3, Subchapter 8, Section 1896 et seq.), concerning the application and calculation of the small business preference, small business certification, responsibilities of small business, department certification, and appeals can be viewed at http://www.dgs.ca.gov/pd/Programs/OSDS.aspx.

B. Small Business Nonprofit Veteran Services Agencies (SB/NVSA) SB/NVSA prime bidders meeting requirements specified in the Military and Veterans Code Section 999.50 et seq. and obtaining a California certification as a small business are eligible for the five percent (5%) small business preference. If applicable, claim the preference in the box on the right hand side of the first page of this solicitation. Small business nonprofit veteran services agencies (SB/NVSA) claiming the small business preference must possess certification by California prior to the day and time bids are due. Questions regarding certification should be directed to the OSDS at (916)375-4940.

C. Non-Small Business Subcontractor Preference A five percent (5%) bid preference is available to a non-small business claiming twenty-five percent (25%) California Certified small business subcontractor participation. If applicable, claim the preference in the box on the right hand side of the first page of this solicitation.

D. Disabled Veteran Business Enterprise (DVBE) Program Requirements and DVBE Incentive:

The State has established goals for Disabled Veteran Business Enterprises (DVBE) participating in state contracts as outlined in the California DVBE Program Requirements packet (Attachment 6.)

To be considered responsive, bidders must complete and return Attachment 5, Bidder Declaration Form GSPD-05-105 (08/09) and Attachment 8, DVBE Declaration Form STD.843 (5/2006), as applicable. Failure to complete and submit all required forms with the bid, that fully document and meet the DVBE program requirement, may cause the bid to be rejected.

This solicitation provides an incentive for DVBE participation. The California DVBE Program Requirements packet (Attachment 6) includes information about the DVBE incentive.

E. Target Area Contract Preference Act (TACPA) Preference This solicitation provides for the optional TACPA preference. Bidders are not required to apply for this preference. Denial of the TACPA preference request is not a basis for rejection of the bid.

Bidders desiring to claim the TACPA preference are encouraged to carefully review the forms, requirements, and submittal instructions located at http://www.dgs.ca.gov/pd/Programs/DisputeResolution.aspx. Bidders must complete and submit all applicable preference program forms to be considered for a preference.

The State as part of its evaluation process reserves the right to verify, validate, and clarify all information contained in the bid. This may include, but is not limited to, information from bidders, manufacturers, subcontractors and any other sources available at the time of bid evaluation. Bidder refusal to agree to and/or comply with these terms, or failure to provide additional supporting information at the State’s request may result in the denial of the preferences requested.

Contracts awarded with the applied preference will be monitored throughout the life of the contract for compliance with statutory, regulatory, and contractual requirements. The State will take appropriate corrective action and apply sanctions as necessary to enforce the preference program.

Any questions regarding the TACPA preference should be directed to the Department of General Services, Procurement Division at (916) 375-4609.

PAYEE DATA RECORD

Bidder(s) to be awarded this contract will be required to complete and sign a Payee Data Record (STD 204) before contract award. The Payee Data Record (STD 204) is available at: http://www.documents.dgs.ca.gov/dgs/fmc/pdf/std204.pdf.

POSTCONSUMER-CONTENT CERTIFICATION

State agencies are required to report purchases in many product categories. In order to comply with those requirements, bidders are required to complete and return the Postconsumer-Content Certification form CIWMB 74 (Attachment 9) with their bid response. At the State’s option prior to award, bidders may be required to submit additional written clarifying information.

DARFUR CONTRACTING ACT

Public Contract Code Sections 10475 -10481 applies to any company that currently or within the previous three (3) years has had business activities or other operations outside of the United States. For such a company to bid on or submit a proposal for a State of California contract, the company must certify that it is either a) not a scrutinized company; or b) a scrutinized company that has been granted permission by the Department of General Services (DGS) to submit a proposal.

A scrutinized company is a company doing business in Sudan as defined in Public Contract Code section 10476. Scrutinized companies are ineligible to, and cannot, bid on or submit a proposal for a contract with a State agency for goods or services (Public Contract Code (PCC) Section 10477(a)), unless written permission from the Director of DGS to bid on this procurement has been granted (PCC Section 10477(b)). A copy of this written authorization must be submitted with the bid or the bid will be considered non-responsive.

Bidders are required to submit a completed Attachment 10 – Darfur Contracting Act Certification Form if their company currently or within the previous three (3) years has had business activities or other operations outside of the United States. Bidders must submit the completed form with the bid response or within five (5) working days from receipt of notice from the State.

Note: Attachment 10 is not required for companies who have not, within the previous three years, had any business activities or other operations outside of the United States.

According to the information above, initial the line below if Darfur does NOT apply to your company:

TAX DELINQUENCY

Per AB1424, Chapter 455, the State Board of Equalization on a quarterly basis, and the Franchise Tax Board, at least twice each calendar year, will make available a list of the 500 largest tax delinquencies

Pursuant to the Public Contract Code section 10295.4, effective July 1, 2012, persons or companies identified as the largest tax delinquents by the FTB or BOE are ineligible to enter into any contract with the state for non-IT goods or services.