11._23BS0013_-_All_Exhibits.pdf

California Department of Veterans Affairs Solicitation Number: 23BS0013 Exhibit A – Scope of Work TBD

BIOHAZARDOUS MEDICAL WASTE REMOVAL SERVICE

1. INTRODUCTION/SERVICES

A. Contractor shall provide services, as specified, to the California Department of Veterans Affairs (CalVet).

Contractor shall provide services at the Veterans Home of California – Barstow (Home), located at 100 East Veterans Parkway, Barstow California 92311. Contractor shall provide all labor, materials, staff, transportation, license, permits and every other item of expense necessary, unless otherwise stated, to provide biohazardous waste pickup services. Services shall be provided at the Home, upon request and in compliance with terms of this Agreement.

B. All work shall be coordinated and approved by CalVet Contract Manager or designated representative.

Services shall be performed during business hours 8:00 a.m. to 4:00 p.m., Monday through Friday. No work is to be performed on State holidays or on an overtime basis unless prior approval is received in writing from the Contract Manager, prior to this work taking place. Any and all services performed outside the scope of this Agreement or not approved by the CalVet Contract Manager, or designated representative, shall be at the sole risk and expense of the Contractor.

C. Contractor must be able to perform the tasks associated with providing services under the scope of their license. Contractor will provide services in accordance with federal and state laws and regulations and CalVet policies.

D. Contractor is not authorized to deliver or commence performance of services as described in the agreement until written approval has been obtained from CalVet Contract Manager and the Contractor has received an executed contract from Cal Vet. Any delivery or performance of service commenced prior to the Contractor obtaining all written approvals shall be considered voluntary on the part of the Contractor.

2. MINIMUM QUALIFICATIONS

A. Contractor must be legally authorized to conduct business in the State of California.

B. All service performed under this Agreement shall be performed by qualified personnel in the employ or under the direction of the Contractor.

C. Contractor shall be licensed and permitted as a hauler for the following:

1. Contractor must be registered with the California Department of Toxic Substances Control (DTSC) as a Hazardous Waste Hauler and have an Identification Number by the DTSC for Non-RCRA hazardous waste disposal (biohazardous medical waste to include pharmaceuticals and sharps waste);

2. Contractor must have a current Environmental Protection Agency (EPA) Identification Number for Resource Conservation and Recovery Act (RCRA) pharmaceutical hazardous waste disposal per 42 United States Code (USC), Section 6901.

3. CONTRACTOR’S RESPONSIBILITIES

Contractor shall provide the following services:

A. Collect medical waste once a week from areas designated by the CalVet Contract Manager regardless of weight. Contractor shall perform services at a mutually agreed upon schedule.

B. Contractor shall notify the CalVet Contract Manager if unable to meet a scheduled pick-up and shall establish a mutually agreed-on date to provide service.

C. Contractor must be a Registered Hazardous Waste Hauler with the DTSC. If a sub-contractor is utilized to perform any service, the Contractor must provide the name, address, phone number, contact person, EPA identification number and all applicable State of California licenses and permits. All changes in sub-contractual relationship during the term of this Agreement must receive prior approval from CalVet.

D. Contractor must ensure that the California Department of Public Health (CDPH) Medical Waste

Transporter Authorization Letter is carried in each vehicle utilized under this Agreement. The driver, when requested by the Home's personnel, must make the CDPH Medical Waste Transporter Authorization

Letter available.

E. At the time of pick-up and prior to removal of containers, Contractor shall inspect medical waste packaged by the Home and immediately notify the CalVet Contract Manager or designee of necessary corrections to ensure compliance with all regulations and requirements. Contractor shall make every effort to have non-conforming waste corrected and remove all non-conforming waste prior to leaving the Home's pick-up location.

F. Unscheduled pick-ups shall be on an "as requested" basis. Price per pick-up shall be in addition to the regular pick-up. Contractor shall make special pick-ups within 24 hours of notification.

G. The Home reserves the right to increase, decrease or change services, as needed, to accommodate any unforeseen increase or decrease in the volume of waste collected. The Home will compensate the

Contactor for only actual expenditures incurred in accordance with the terms and conditions specified.

H. Contractor must have the capability to remove and dispose of the waste to a certified facility for treatment, storage and disposal of hazardous waste. Contractor shall arrange for proper pick-up, manifesting, and disposal of the waste from the Contractor's facility at no additional cost to the State.

I. Contractor shall notify the Contract Manager or designee of any citations, infractions or violations that relate to services involving Home's waste as well as any proceedings or litigation which may lead to the revocation of permits or licenses which relate to services provided under this agreement.

J. If the Contractor inadvertently picks up non-conforming or hazardous waste that is not covered under this agreement, Contractor shall notify the Contract Manager or designee within twenty-four (24) hours.

Contractor and the CalVet Contract Manager will work to resolve any issues.

4. LICENSES, PERMITS, AND CERTIFICATION REQUIREMENTS

Contractor shall ensure all licenses, permits, and certification requirements are verified and in good standing throughout the term of this Agreement.

If any licenses and/or permits expire or change during the term of this Agreement, the Contractor shall provide

CalVet with a copy of the renewed license(s) and/or permit(s) within thirty (30) calendar days. If the Contractor fails to keep all required license(s) and/or permit(s) in effect, CalVet, in addition to any other remedies it may have, may terminate this Agreement.

A. City/County Business License;

B. CDPH Medical Waste Authorization Letter;

C. State of California Division of Measurement Standard (DMS), Weigh Master License (non-fixed) issued to the Hauler/Prime Contractor;

D. State of California, Department of Motor Vehicles (DMV), Motor Carrier Permit. Contractor shall ensure that its drivers are properly licensed with DMV and have the Hazardous Materials Endorsement on their

Commercial Driver's License;

E. Proof of Contractor's satisfactory rating on the California Highway Patrol (CHP) Basic Inspection of

Terminals (BIT) Program. A copy of the inspection report or the CHP Management Informational Systems

Terminal Evaluation Record (MISTER) form are acceptable as proof;

F. Hazardous Material Transportation license issued by CHP; and

G. State of California, Department of Toxic Substance Control (DTSC) Hazardous Waste Transporter

Registration issued to the Hauler/Prime Contractor. Contractor shall carry a copy of the Hazardous Waste

Transporter Registration certificate while transporting waste. Contractor shall bear the responsibility during transportation.

5. REQUEST FOR SERVICES

Contractor shall perform service collections as specified:

A. Biohazardous Waste (except pharmaceutical waste) - as set forth in California Health and Safety Code

(HSC), Medical Waste Management Act (MWMA), Chapter 9, Containment and Storage, under no circumstances shall biohazardous waste remain on Home grounds for more than seven (7) days for Home generating 20 or more pounds of biohazardous waste per month.

B. Pharmaceutical Waste (including sharps waste) - as set forth in HSC, MWMA, Chapter 9, Containment and Storage, under no circumstances shall pharmaceutical waste remain on Home grounds for more than seven (7) days.

C. RCRA Hazardous Waste Pharmaceutical – Calvet Contract Manager or designee will inform Contractor when this type of waste needs to be collected. Notice will be provided at least 24 hours prior to the weekly scheduled pick-up of the other types of waste. Usually no more than 2 pounds of waste is generated on a monthly basis.

D. Special pick-ups - as necessary due to unforeseen circumstances.

E. Pick-up day(s) will be Monday through Friday, 8:00 a.m. – 4:00 p.m., excluding holidays and weekends.

However, pick-up day shall not have a lapse time of more than seven (7) days. Designated days and time shall be mutually agreed upon between the Contractor and the CalVet Contract Manager or designee.

6. STATEMENT OF SERVICES AND REQUIREMENTS

For the collection, removal, transportation, and disposal of infectious medical wastes, the Contractor shall comply with all requirements of the Code of Federal Regulations (CFR), Title 49, Sections 172.444, 173.386-

173.388; the State of California, Health and Safety Code (HSC), Division 104, Part 14, Medical Waste

Management Act (MWMA), et seq.; California Code of Regulations (CCR), Title 22, Division 4 and 4.5

Environmental Health; and, the Vehicle Code, Section 34500 and 34501 with applicable provisions of hazardous materials regulations adopted by the California Highway Patrol (CHP) governing containers, packing, labels, marking, vehicle placards, shipping certificates and incident reporting.

Contractor shall designate a Project Manager to be responsible for ensuring the terms, conditions, and provisions of this Agreement are met. Contractor shall notify the CalVet Contract Manager or designee within five (5) working days of a change in Project Manager.

Contractor shall maintain an active telephone line for direct communication with the CalVet Contract Manager or designee between 8:00 a.m. and 4:00 p.m., Monday through Friday.

A. Contractor's drivers and handlers of medical wastes must be:

1. Equipped with disinfectants, which meet the requirements, as defined in HSC, MWMA, Chapter 9, Sections 118295 and 118300;

2. Trained and equipped in spill clean-up, decontamination and disinfection procedures;

3. Required to wear protective gloves, coveralls, or other protective clothing or equipment while handling and transporting medical waste;

4. Carry extra bio-hazard bags, sharps containers, pharmaceutical containers, and other supplies and equipment (tongs, shovels, etc.) to repackage any waste which may spill during handling; and

5. Follow their Medical Waste Operations Plan, Injury and Illness Prevention Program, Transportation

Security Plan and implement their Medical Waste Contingency Plan, when required.

B. Transporting Vehicle shall be:

1. Cleaned and decontaminated after each use or as often as required, using accepted disinfecting methods;

2. Constructed as to provide damage resistant access and a driver's compartment that is a sealed, separated enclosure and completely enclosed.

C. At the conclusion of each service call, the Contractor shall:

1. Remove all medical waste according to the scheduled time frame specified under "Request for Service Response";

2. Clean and disinfect each storage bin, locker and/or area, if necessary;

3. Inspect all designated medical waste containers to ensure compliance with HSC, MWMA, Chapter 9, and Section 118275. The Home will conduct periodic inspections of the storage bins and lockers and its immediate area. Contractor shall immediately correct all unsanitary conditions or deficiencies noted by Home inspections;

4. Provide a complete medical waste tracking manifest, fully signed and dated, at the time of each pick up, pursuant to HSC, MWMA, Chapter 6, and Section 118040. The document shall be properly executed, signed and dated by the CalVet Contract Manager or designee and the Contractor. Only the CalVet Contract Manager or designee shall review and sign the original manifest (for billing authorization) prior to shipment of waste. Within fifteen (15) calendar days after waste pick up, a copy of the original manifest with the disposal site information section completed, shall be furnished to the

CalVet Contract Manager or designee. Invoices will be processed upon receipt by the CalVet

Contract Manager or designee of a copy of the treatment, storage and disposal facility manifest, establishing acceptance of the waste at the disposal site, and the Certificate of Disposal from the disposal facility; and

5. Within thirty (30) calendar days after medical waste pick up, the Contractor shall provide a written report of the total pounds of each category of waste picked up to the CalVet Contract Manager or designee. The categories of medical waste shall be a) Biohazardous Waste; b) Pharmaceutical

Waste, c) Sharps Waste and, d) RCRA Hazardous Waste Pharmaceutical.

7. RECORDS/REPORTS

A. Contractor shall maintain accurate records in connection with each service performed and all transactions and shall retain all records in compliance with all applicable federal, state and local laws, ordinances, rules, and regulations.

B. Contractor shall provide the Home's liaison or designee with copies of all documents relating to each service performed, medical waste tracking documents and record keeping, certificate(s) of destruction, and all other related licenses and permits required by the appropriate governmental authorities per HSC, MWMA, Chapter 6, Section 118040.

C. Contractor shall provide CalVet Contract Manager or designee with a certificate of disposal or certificate of destruction within thirty (30) days for each load shipped from the Home. Failure to provide the certificate of disposal or certificate of destruction shall result in invoices being held until certificates are received.

8. REPORTING REQUIREMENTS

A. Contractor shall provide the following reports to the CalVet Contract Manager or designee within fifteen

(15) days after the close of the reporting period. All reports shall be provided to CalVet at no additional cost.

B. Quarterly Usage Report: Shall include total weight of waste by category (bio-hazardous medical, RCRA, pharmaceutical, and sharps) collected, quantity autoclaved, quantity incinerated, and total cost for each pick-up location.

C. Semi-Annual Report for Incinerator Ash: Shall include analysis of the ashes waste characteristic to be provided to CalVet Contract Manager.

D. Annual Usage Report: Shall include an accumulated total of costs billed under this Agreement per pick-up location.

E. Annual Treatment-Disposal Facility Report (upon Contract approval to June 30): Shall include a list of all treatment and disposal facilities used for Home's waste under this Agreement.

F. Contractor shall notify the CalVet Contract Manager or designee within twenty-four (24) hours is any facility used in the service of this agreement (whether or not owned by Contractor) is not in compliance with applicable laws or regulations.

9. WASTE CONTAINER AND CONTAINMENT REQUIREMENTS

A. Contractor shall thoroughly wash, decontaminate, deodorize, and dry each reusable rigid container and lid, inside and outside, after each use and prior to delivery to the Home. Any containers and lids delivered to the Home having standing liquid, wet or objectionable odor shall not be accepted and shall be promptly replaced by the Contractor upon notice from the Home.

B. Contractor shall provide sufficient number of appropriate storage containers with lids. These containers shall be for medical, biological and pathological waste so the waste can be properly stored and packaged for the scheduled pick-ups.

C. All Contractor-furnished medical waste containers, transport containers and bio-hazard bags shall be in accordance with requirements set forth in HSC, MWMA, Chapter 9, Containment and Storage. The Home will determine the size and locations. Contractor shall provide one (1) 44-gallon red barrel container, rated to store and transport up to thirty-five (35) pounds (or equivalent rating capacity) of biohazardous medical waste and for sharps waste. Contractor shall provide one (1) 44-gallon gray container, for pharmaceutical waste. The storage containers will be delivered to the locations specified by the Home's Contract

Manager or designee.

D. Contractor shall provide EPA approved, leak-proof medical waste storage containers with tight fitting covers certified to meet or exceed State of California standards and licensing requirements.

E. Contractor shall remove full containers and replace with empty containers on a one-for-one basis.

F. Contractor shall replace any broken containers and/or provide additional containers, as needed, at no additional cost to the State.

G. Contractor shall provide the necessary bio-hazard signage and labels needed for medical waste storage and/or laboratory rooms at no additional cost to CalVet. Contractor shall ensure all designated medical waste storage areas, bins and lockers have warning signs in place. The warning signs shall be in English, "CAUTION - BIO-HAZARDOUS WASTE STORAGE AREA - UNAUTHORIZED PERSONS KEEP

OUT", and in Spanish, "CUIDADO - ZONA DE RESIDUOS - BIOLOGICOS PELIGROSOS -

PROHIBIDA LA ENTRADA A PERSONAS NO AUTORIZADAS", or other languages as determined by the Home. Warning signs shall be readily legible during daylight from a distance of at least 25 feet and in accordance with requirements set forth in HSC, MWMA, and Section 118310.

10. METHOD OF DISPOSAL

Medical waste treatment shall be by incineration, steam sterilization, microwave disinfection technology or other approved alternative treatment technology for the disposal per HSC, MWMA, Chapter 8, Treatment, and Section 118215. Contractor shall utilize those medical waste facilities on file with the State of California, CDPH, and Medical Waste Management Program:

A. INCINERATION - shall be in accordance with requirements set forth in HSC, MWMA, Chapter 8, and

Section 118215(a) (1).

B. STEAM STERILIZATION - shall be in accordance with requirements set forth in HSC, MWMA, Chapter

8, and Section 118215(2).

C. MICROWAVE TECHNOLOGY - shall be in accordance with requirements set forth by the CDPH.

11. QUALITY CONTROL MONITORING

Contractor and subcontractor(s) shall be subject to announced or unannounced CalVet inspections of their operations, records and facilities to verify compliance with services and/or provisions. This does not relieve the Contractor of the responsibility to perform internal inspections to ensure compliance and to ensure services and/or provisions are met. Contractor will submit complete copies of any federal, state or local government inspections within two (2) weeks of receipt to the CalVet Contract Manager or designee.

12. HEALTH & SAFETY

A. Contractor must perform all services in a prudent, conscientious, safe and professional manner. In the performance of services, the Contractor shall ensure that all personnel, agents, subcontractors and equipment are in compliance with all current and future safety requirements set forth in applicable federal, state and local laws and regulations.

B. Contractor shall ensure that all personnel involved in the handling and packaging of medical waste are trained, in accordance with applicable laws, rules and regulations required to properly perform the tasks, and in the areas of waste spills and general first-aid procedures. Handling and personal protective equipment shall be provided by the Contractor and be appropriate to ensure safe handling of medical waste substances.

C. Contractor shall provide the CalVet Contract Manager or designee with a copy of the Contractor's Health and Safety Plan which must address internal programs, medical/training requirements, field operation procedures, personnel responsibilities, emergency procedures and hazardous recognition and control methods. This plan must be in compliance with all federal and state hazardous material, toxic substances, medical wastes and OSHA requirements.

D. Contractor shall immediately report to the CalVet Contract Manager or designee, of any accidents or injuries that occur on Home's property during the performance of service.

13. OPERATIONAL PLAN

Contractor is required to submit an Operational Plan describing pick-up, transport, transfer, destruction and final disposal of the medical waste to the CalVet Contract Manager for review and approval. At a minimum, this plan must include the following:

A. A Spill Prevention Control and Countermeasure (SPCC) plan.

B. The primary and any secondary pick-up routes to, and departure routes from the Home.

C. The cradle-to-grave pathway, specifically, the planned routes(s) of transport, the routes to and from any storage, transfer, incineration or other processing facilities, final disposal at approved landfill facilities, and a detailed description of the planned activities at those sites.

D. The identification of those facilities, by trade name, address, phone number, hours of operation, description of operation and ownership.

E. The time required from pick-up to final disposal of waste on any given day.

F. A Contingency Plan for all conditions, including complete information on back-up facilities and procedures, loss of licenses/permits, equipment, personnel, and the conditions under which they would be implemented.

G. Contractor must inform the CalVet Contract Manager in writing within five (5) working days of any changes in the Operational Plan prior to changes taking place. Any unforeseen occurrences which result either in implementation of the Contingency Plan OR deviation from the Operational Plan must be reported to the

CalVet Contract Manager or designee within twenty-four (24) hours of occurrence.

14. DEFINITION OF TERMS

Contractor must be familiar with the requirements and definitions under the HSC MWMA for medical waste removal and disposal. The following terms will either contain the definition as defined in the HSC, MWMA or reference the Section of the HSC, MWMA. The HSC, MWMA is available at all local libraries or on the CDPH website.

Biohazard Bag - a disposable red bag that is impervious to moisture and has a strength sufficient to preclude ripping, tearing, or bursting under normal conditions of usage and handling of the waste-filled bag. A Bio-

Hazard bag shall be constructed of material of sufficient single thickness strength to pass the 165-gram dropped dart impact resistance test as prescribed by Standard D 1709-85 of the American Society for Testing and Materials and certified by the bag manufacturer. [HSC, MWMA, Section 117630]

Biohazardous Waste - as defined in the HSC, MWMA, Section 117690

Common Storage Facility- any designated accumulation area that is onsite and is used by small quantity generators otherwise operating independently for the storage of medical waste for collection by a registered hazardous waste hauler. [HSC, MWMA, Section 117640]

Container - the rigid container in which the medical waste is placed prior to transporting for purposes of storage or treatment. [HSC, MWMA, Section 117645]

Hazardous Waste Hauler - a person registered as a hazardous waste hauler pursuant to HSC, MWMA, Article

6 (commencing with Section 25160) and Article 6.5 (commencing with Section 25167.1) of Chapter 6.5 of

Division 20 and Chapter 30 (commencing with Section 66001) of Division 4 of Title 22 of the CCR.

Medical Waste - as defined in HSC, MWMA, Section 117690.

Pharmaceutical – a prescription or over-the-counter human or veterinary drug, including, but not limited to, a drug as defined in Section 109925 of the Federal Food, Drug, and Cosmetic Act, as amended, (21 U.S.C.A.

Sec. 321(g)(1)). [HSC, MWMA, Section 117747]

Sharps Container - a rigid puncture-resistant container that, when sealed, is leak resistant and cannot be reopened without great difficulty. [HSC, MWMA, Section 117750]

Sharps Waste – a device that has acute rigid corners, edges, or protuberances capable of cutting or piercing, including, but not limited to, hypodermic needles, hypodermic needles with syringes, blades, needles with attached tubing, acupuncture needles, root canal files, broken glass items used in health care such as Pasteur pipettes and blood vials contaminated with biohazardous waste, and any item capable of cutting or piercing from trauma scene waste. [HSC, MWMA, Section 117690]

Storage - the holding of medical wastes, in accordance with HSC, MWMA, Chapter 9 (commencing with

Section 118275), at a designated accumulation area, offsite point of consolidation, transfer station, other registered facility, or in a vehicle detached from its means of locomotion. [HSC, MWMA, Section 117765]

15. CALVET RESPONSIBILITIES

A. Place all empty sharps (i.e., syringes and needles) in sharps containers; place all non-empty sharps (i.e.

syringes with medicine still in them) in pharmaceutical sharps containers; all other pharmaceutical waste

(i.e. loose pills) shall be placed in pharmaceutical containers; and all bio-hazardous waste shall be placed in bio-hazard bags prior to pick-up. Sharps containers may also be placed inside a bio-hazard container.

B. Place all bio-hazardous waste, except pharmaceutical waste, in a bio-hazard container prior to scheduled pick-up.

C. Secure all sharps waste containers closed and ready for disposal to preclude loss of contents prior to scheduled pick-up.

D. Secure all pharmaceutical waste containers closed and ready for disposal to preclude loss of contents prior to scheduled pick-up.

16. WARRANTIES AND GUARANTEES

A. Contractor warrants that medical waste treatment, storage and disposal sites shall be in compliance with all applicable federal, state and local laws, rules and regulations and are suitable to receive medical waste.

B. Contractor must notify the CalVet Contract Manager or designee, in writing within three (3) calendar days with any changes of the laws or rules and regulations referred to in item A under this section or has received enforcement action from regulatory agencies and becomes unsuitable to receive the medical wastes.

C. Contractor shall notify the CalVet Contract Manager or designee in writing within three (3) calendar days if any one of the following occurs that affects the scope of work:

1. Contractor receives notice of a violation of any law, regulation, permit or license;

2. Proceedings are commenced which could lead to revocation of permits or licenses;

3. Permits, licenses or other governmental authorization are revoked;

4. Litigation is commenced against the Contractor;

5. Contractor becomes aware that its equipment or facilities are not in compliance with applicable laws, regulations, permits or licenses; or

6. Impending financial problems prior to filing for bankruptcy protection.

D. Contractor warrants that in the event of an accidental discharge of medical waste, Contractor shall, with due diligence, take immediate steps to correct the conditions as required by all federal, state and local laws, ordinance, rules, and regulations; including but not limited to Part 14, et seq. of the HSC; U.S.

Department of Transportation hazardous materials regulation Title 49 CFR; and CHP regulations. The

Contractor shall immediately notify, in writing, the CalVet Contract Manager of all details regarding the accidental discharge. Contractor shall only permit appropriate personnel within its company to make public statements or issue news releases regarding the accidental discharge. Contractor agrees that on all such occasions, CalVet will be consulted prior to issuing public statements or press releases which would identify the CalVet and/or the Home.

E. Contractor will notify the Home one (1) month prior to merger or acquisition by another company.

17. WORK AREA

While working, Contractor agrees to perform services with as little disruption as possible to the State's operations.

18. INDEPENDENT CONTRACTOR STATUS

Contractor/Providers shall be considered “Independent Contractors” in relation to CalVet and the State.

Therefore, Contractor/Providers shall not be considered employee(s) of the Home and shall not be entitled to any employee benefits from the CalVet or the State including, but not limited to, the following:

1. Premium Pay, Overtime Pay, or Holiday Pay;

2. Medical Insurance;

3. Vacation or Sick Leave;

4. Worker’s Compensation; and

5. Other employee benefits.

19. CONTACT INFORMATION

A. The project representatives during the term of this agreement will be:

CalVet Contract Manager:

Veterans Home of California - Barstow Name and Title 100 East Veterans Parkway Barstow, CA 92311

PHONE: (760) 252-XXXX

FAX: (760) 252-XXXX

Email address

B. Contractor Representative:

Company Name Representative Name and Title Street Address City, State and Zip Code

PHONE: (000) 000-0000

FAX: (000) 000-0000

Email address

Contract Representatives, addresses, and phone/fax numbers may be changed by issuing a 20-day prior written notification and shall not require a formal amendment to this Agreement. The notifying party shall provide complete contact information for the replacement Contract Representative including, name, title, mailing address, phone/fax numbers, and email address. All other changes require a formal written amendment to this agreement.

Exhibit B - Budget Detail and Payment Provisions Vendor TBD

1. STANDARD BUDGET DETAIL AND PAYMENT PROVISIONS

A. Invoicing and Payment

1. For services satisfactorily rendered, and upon receipt and approval of the invoices, the State agrees to compensate the Contractor for services rendered in accordance with the rates in Exhibit B-1.

2. Invoices shall include the Agreement Number and shall be submitted in not more frequently than monthly in arrears to:

Original Invoice Approval Copy

Department of Veterans Affairs CalVet Accounting Office 1227 “O” Street Room 402 Sacramento, CA 95814 APInvoices@calvet.ca.gov

Veteran’s Home of California – Barstow Attn: TBD 100 East Veterans Parkway Barstow, CA 92311

B. Budget Contingency Clause

1. It is mutually agreed that if the Budget Act of the current year and/or any subsequent years covered under this Agreement does not appropriate sufficient funds for the program, this Agreement shall be of no further form and effect. In this event, the State shall have no liability to pay any funds whatsoever to Contractor or to furnish any other considerations under this Agreement and Contractor shall not be obligated to perform any provisions of this Agreement.

2. If funding for any fiscal year is reduced or deleted by the Budget Act for purposes of this program, the State shall have the option to either cancel this Agreement with no liability occurring to the State, or offer an Agreement amendment to Contractor to reflect the reduced amount.

C. Prompt Payment Clause

Payment will be made in accordance with, and within the time specified in, Government Code, Chapter 4.5, commencing with Section 927.

2. SPECIAL BUDGET DETAIL AND PAYMENT PROVISIONS

Submissions of Invoices/Claims

1. All invoices/claims must be completed thoroughly and legibly, with all applicable fields completed.

Invoices/claims that are submitted to the appropriate location but have been altered, or are inaccurate, or do not provide all necessary information will not be accepted and will be returned to the Contractor for correction.

2. Any changes to this provision relating to the invoice/claim submittal process, including but not limited to an address, form, or process change, shall be an administrative change managed through the appropriate designated CalVet office and shall not require a contract amendment.

3. Contractor shall submit monthly invoices to the CalVet Contract Manager for approval and processing. Invoices/claims submitted shall include the following information in order to be considered complete and acceptable for processing, or the invoice/claim will be returned:

a) Contractor’s Company name exactly as it appears on the Payee Data Record (STD.204)

b) Contractor’s Company address, phone number and e-mail

c) Date of invoice/claim

d) Invoice/claim number

e) CalVet location where services were performed

Exhibit B - Budget Detail and Payment Provisions Vendor TBD

f) Contract/Agreement Number

g) Date(s) of Service

h) Total dollar amount being billed

i) First and Last name of Contractor or Provider performing services, if applicable

j) Contractor’s or Provider’s Classification, whichever is applicable

3. CONTRACTOR OVERPAYMENTS

A. If the State determines that an overpayment has been made to the Contractor, the State will seek recovery immediately upon discovery of the overpayment by: (a) calling the Contractor’s accounting office to request a refund of the overpayment amount, or (b) offsetting subsequent Contractor payments by the amount of the overpayment if Contractor repayment or credit is not received within thirty (30) days from the date of notice.

B. If Contractor discovers it has received an overpayment, Contractor must notify the State and refund the overpayment immediately.

Exhibit D – Special Terms and Conditions TBD

1. EXCISE TAX

The State of California is exempt from Federal Excise Taxes, and no payment will be made for any taxes levied on employees' wages. The State will pay for any applicable State of California or local sales or use taxes on the services rendered or equipment or parts supplied pursuant to this Contract. California may pay any applicable sales or use tax imposed by another state.

2. STATUTORY AND REGULATORY PROVISIONS

A. This Contract shall be governed and construed in accordance with all applicable statutory and regulatory provisions including, but not limited to:

1) Title XVIII of the Federal Social Security Act

2) Title XIX of the Federal Social Security Act

3) Chapters 7 and 8 (commencing with Section 14000), Part 3, Division 9, Welfare and Institutions Code

4) Division 3, Title 22, California Code of Regulations (CCR)

5) Health and Safety Code Section 1340 et seq.

6) All applicable Federal provisions which regulate the administration of health care programs and budget revisions, as contained in the Code of Federal Regulations (CFR), Title 42, and Title 45, Part 74, Title 42 United States Code, Sections 1395 et seq. and 1396 et seq.

7) Sub-chapter 13 (commencing with Section 6800), Chapter 4, Part 1, Title 17, CCR; and

8) All other applicable laws and regulations.

B. Any provision of this Contract in conflict with the applicable laws and regulations is hereby amended to conform to the provisions of those laws and regulations. Such amendment of the Contract shall be effective on the effective date of the statutes or regulations necessitating it, and shall be binding on the parties even though the amendment may not have been reduced to writing and formally agreed upon and executed by the parties. If, due to amendment in laws of regulations, Contractor is unable or unwilling to comply with the provisions of the amendment(s), State or Contractor may terminate this Contract in accordance with the Termination provision of this Contract.

3. EXAMINATION AND AUDIT

A. Contractor shall allow the State and its related entities, the Comptroller General of the United States, Department of Justice (DOJ), and the Bureau of Medi-Cal Fraud, or their duly authorized representatives, to inspect or otherwise evaluate the quality, appropriateness, and timeliness of services performed under this Contract, and to inspect, evaluate, and audit any and all books, records, and facilities maintained by the Contractor and Subcontractors pertaining to services under this Contract at any time during normal business hours.

B. Contractor shall be subject to the examination and audit of the State Auditor for a period of three (3) years after final payment under this Contract in accordance with Government Code, Section 85467.7. The examination and audit shall be confined to those matters directly connected with the performance of the contract, including, but not limited to, the costs of administering the Contract.

C. Books and records include, but are not limited to, all physical records originated or prepared pursuant to the performance under this Contract, including working papers, reports, financial records, and books of account, Medical Records, prescriptions files, Subcontracts, and any other documentation pertaining to medical and non-medical services for residents of the Home. Upon request, at any time during the term of this Contract, the Contractor shall furnish any record or copy.

4. RESOLUTION OF DISPUTES

A. The Contractor may dispute and appeal a decision or action by the State arising out of the Interpretation or administration of this Contract. A written dispute notice shall be submitted to the Contract Manager within thirty (30) calendar days from the date the Contractor receives notice of the decision or action in dispute.

The Contractor’s dispute notice shall state the following, based on the most accurate information available to the Contractor:

1) That it is a dispute pursuant to this Section.

2) The date, nature, and circumstances of the conduct, which is the subject of dispute.

3) The names, telephone numbers, function, and activity of each contractor, subcontractor, State official, or employee involved in or knowledgeable about the conduct.

4) The identification of any documents and the substance of any oral communications involved in the conduct. Copies of all identified documents shall be attached.

5) The reason why the Contractor is disputing the conduct.

6) The cost impact to the Contractor directly attributable to the alleged conduct, if any.

7) The Contractor’s desired remedy.

B. The State and the Contractor agree to try to resolve all contractual issues by negotiation and mutual agreement at the Contract Manager level. The parties recognize that the implementation of this policy depends on open-mindedness, and the need for both sides to present adequate supporting information on matters in question. The Contract Manager, in a written decision stating the factual basis for the decision, will decide any disputes concerning performance of this Contract. Before issuance of the Contract Manager’s decision, informal discussions between the parties by the individuals who have not participated substantially in the matter in dispute will be considered by the parties in efforts to reach mutual agreement.

C. The Contract Manager will render a decision or request additional substantiating documentation from the Contractor within thirty (30) days of receipt of the Contractor’s appeal. A copy of the decision will be provided to the Contractor. The decision shall be final and conclusive unless, within thirty (30) days from the date of the decision, the Contractor files a written appeal addressed to the Undersecretary, California Department of Veterans Affairs.

D. The Undersecretary’s decision shall be final and conclusive unless the decision is arbitrary, capricious, grossly erroneous or if any determination of fact is unsupported by substantiating evidence. The Undersecretary’s decision will be in writing and may encompass facts, interpretations of the Contract, and determination or application of law. The Contractor may, prior to the Undersecretary’s decision, present oral or documentary evidence, and arguments in support of the Contractor’s appeal. The decision will either:

1) Find in favor of the Contractor, in which case the Undersecretary may:

a) Countermand the earlier conduct which caused the Contractor to file a dispute; or

b) Reaffirm the conduct and, if there is a cost impact sufficient to constitute a change in obligations pursuant to the payment provisions, direct the State to comply with that Section.

2) Deny the Contractor’s dispute and, where necessary, direct the manner of future performance; or

3) Request additional substantiating documentation in the event the information in the Contractor’s dispute or appeal is inadequate to permit a decision to be made under paragraphs (1) or (2) above, advise the Contractor as to what additional information is required, and establish how that information will be furnished. The Contractor shall have thirty (30) days to respond to the Undersecretary’s request for further information. Upon receipt of this additional requested information, the

Undersecretary will have thirty (30) days to respond with a decision. Failure to supply additional information required by the Undersecretary within the time period specified above shall constitute waiver by the Contractor of all claims.

E. Attorney’s fees and costs for any dispute or subsequent trial shall be borne by the respective parties.

Both parties waive trial by jury, and any trial in superior or municipal court shall be by a judge alone. Any litigation arising out of this Contract shall be conducted in a California Court pursuant to California law.

F. Contractor shall continue with the responsibilities under this Contract during any dispute.

5. AGENCY LIABILITY (Applies only to Federally Funded Contracts)

The Contractor warrants by execution of this Contract, that no person or selling agency has been employed or retained to solicit or secure this Contract upon Contract or understanding for a commission, percentage, brokerage, or contingent fee, excepting bona fide employees or bona fide established commercial or selling agencies maintained by the Contractor for the purpose of securing business. For breach or violation of this warranty, the State shall, in addition to other remedies provided by law, have the right to annul this Contract without liability, paying only for the value of the work actually performed, or otherwise recover the full amount of such commission, percentage, brokerage, or contingent fee.

6. POTENTIAL SUBCONTRACTORS

For all Agreements, with the exception of Interagency Agreements and other governmental entities/auxiliaries exempt from bidding, nothing contained in this Contract or otherwise shall create any contractual relation between the State and any subcontractors, and no subcontract shall relieve the Contractor of Contractor’s responsibilities and obligations hereunder. The Contractor agrees to be as fully responsible to the State for the acts and omissions of its subcontractors and of persons either directly or indirectly employed by any of them, as it is for the acts and omissions of persons directly employed by the Contractor.

The Contractor's obligation to pay its subcontractors is an independent obligation from the State’s obligation to make payments to the Contractor. As a result, the State shall have no obligation to pay or enforce the payment of any moneys to any subcontractor.

7. INSURANCE REQUIREMENTS

A. Upon contract award, contractor must furnish to the State an original certificate(s) of insurance stating that the contractor has the following types of coverage, if applicable:

1) Commercial General Liability: Combined Single Limit (CSL) for no less than $1,000,000 per occurrence for bodily injury and property damage. The policy must include coverage for liabilities arising out of premises, operations, independent contractors, products/completed operations, personal & advertising injury, and liability assumed under an insured contract. This insurance shall apply separately to each insured against whom claim is made or suit is brought subject to the contractor’s limit of liability.

2) Professional Liability: (Applies to any contract in which the work is of a professional nature such as, but not limited to, physicians, architects, engineers, accountants, or consultants) Covering any damages caused by an error, omission, or any negligent acts. Limits of not less than $1,000,000 per occurrence and $3,000,000 aggregate.

3) Automobile Liability (Applies to any contract in which the contractor will likely use a vehicle to complete the project or drive a vehicle onto State property): Limits of not less than $1,000,000 per accident. Such insurance shall cover liability arising out of an automobile including owned, hired, and non-owned autos.

a) MCS90 endorsement on the Automobile policy (required whenever contractor will be transporting Hazardous materials i.e. Pest Control and Waste contracts.)

4) Pollution Liability/Environmental Impairment Liability (Applies only to Pollution Contracts – i.e. Pest Control and Waste Contracts): In addition, the certificate evidencing general liability must include evidence of one of the following if applicable to the service:

a) Pesticide/Herbicide Endorsement, OR

b) An endorsement deleting the general liability pollution exclusion, OR

c) A separate environmental/pollution liability policy with limits not less than $1,000,000 covering bodily injury and property damage from pollution and related clean-up costs incurred arising out of the work or services to be performed under this contract.

5) Workers’ Compensation (Mandatory for all Contractors who have at least one employee): Contractor shall maintain workers’ compensation and employer’s liability coverage for all its employees who will be engaged in the performance of the contract, including special coverage extensions where applicable. Contractor shall furnish a certificate for Workers’ Compensation issued by an insurance carrier licensed to write Workers’ Compensation insurance in the State of California, including the name of the carrier and the date of expiration of insurance, or a Certificate of Consent to Self-Insure issued by the Department of Industrial Relations.

6) Fidelity Bond/Crime Insurance: (Applies only to contracts handling State money or securities – i.e.

Armored Car Service Contracts) Contractor shall maintain Employee Dishonesty and, when applicable, Inside/Outside Money & Securities coverages for state-owned property in the care, custody and control of the Contractor. Coverage limits shall not be less than the amount scheduled in the contract. The policy shall include as Contractor. Coverage limits shall not be less than the amount scheduled in the contract. The policy shall include as loss payee the California Department of Veterans Affairs

7) The certificate(s) of insurance shall be on an ACORD form, or equivalent, and must show “occurrence” coverage. The certificates of insurance must also contain all of the following provisions:

a) Name and address of the insurance company, policy number, and beginning and ending dates of the policy.

b) Statement that the insurer will not cancel the insured’s coverage without 30 days prior written notice to the State.

c) Statement that the State of California, its officers, agents, employees, and servants are included as additional insured on the policy, but only insofar as the operations under this contract.

8) Contractor agrees that any insurance herein provided shall be in full force and effect at all times during the term of the contract. In the event said insurance coverage expires at any time during the term of this contract, Contractor agrees to provide, at least ten (10) days prior to said expiration date, a new certificate of insurance evidencing insurance coverage as provided for herein for not less than the remainder of the term of the contract, or for a period of not less than one (1) year. In the event contractor fails to keep in effect at all times insurance coverage herein provided, State may, in addition to any other remedies it may have, terminate the contract upon the occurrence of such event, subject to the provisions of the contract.

9) Contractor shall notify the State within five (5) days if any insurance coverage identified in the contract is altered in any way.

8. RIGHT TO TERMINATE

A. The State reserves the right to terminate this Contract subject to thirty (30) days written notice to the Contractor. Contractor may submit a written request to terminate this Contract only if the State should substantially fail to perform its responsibilities as provided herein. However, the Contract can be immediately terminated for cause. The term “for cause” shall mean that the Contractor fails to meet the terms, conditions, and/or responsibilities of the contract. In this instance, the contract termination shall be effective as of the date indicated on the State’s notification to the Contractor.

B. This Contract may be suspended or cancelled without notice, at the option of the Contractor, if the Contractor or State’s premises or equipment are destroyed by fire or other catastrophe, or so substantially damaged that it is impractical to continue service, or in the event the Contractor is unable to render service as a result of any action by any governmental authority.

9. FORCE MAJEURE

Neither party shall be liable to the other for any delay in or failure of performance, nor shall any such delay in or failure of, performance constitute default, if such delay or failure is caused by “Force Majeure.” As used in this section, “Force Majeure” is defined as follows: Acts of war and acts of god such as earthquakes, floods, and other natural disasters such that performance is impossible.

10. EVALUATION OF CONTRACTOR

Performance of the Contractor under this Agreement will be evaluated. The evaluation shall be prepared on Contract/Contractor Evaluation Sheet (STD 4), and maintained in the Agreement file. For consultant agreements, a copy of the evaluation will be sent to the Department of General Services, Office of Legal Services, if it is negative and over $5,000.

11. SB/DVBE PARTICIPATION

In accordance with requirements set forth by the State, the CalVet shall enforce all laws, rules, and regulations pertaining to this program. It is the Contractors responsibility to provide CalVet with all required documents as outlined in this agreement. The CalVet reserves the right to contact each SB and DVBE identified by the Contractor to verify compliance. Failure to meet SB/DVBE requirements under Exhibit B, and Exhibit C (GTC 04/2017), paragraphs 19.a and 19.b. may deem the Contractor to be non-responsible and rejected from future bid and contract opportunities with the CalVet.

12. LICENSES AND PERMITS

The Contractor shall be an individual or firm licensed to do business in California and shall obtain at his/her expense all license(s) and permit(s) required by law for accomplishing any work required in connection with this…