6-Attachment B- Scope of Work.docx

Scope of Work Attachment B RM27-2 HVAC Air Filters

1. PURPOSE

a. The purpose of this State of Utah Cooperative Contract will be for the benefit and use of all Eligible Users, which includes the State of Utah’s government departments, institutions, agencies, political subdivisions (e.g., colleges, school districts, counties, cities, etc.), and, as applicable, nonprofit organizations, agencies of the federal government, or any other entity authorized by the laws of the State of Utah to participate in State Cooperative Contracts. This contract does not guarantee any sales.

b. Any awarded contract may be modified to incorporate new technology or technological upgrades related to the Scope of Work throughout the term of the contract.

2. ANTICIPATED PRODUCTS, SERVICES, and BACKGROUND

a. It is anticipated that the awarded contractors will provide new OEM HVAC filters, and filter media, as well as the in-house and on-demand manufactured filters. Government entities will purchase off the contractor’s public/published air-filter price list/catalog minus a percent discount.

b. Currently the State of Utah has 6 State Cooperative Contracts for these services. The total usage during the previous 5 year contract term is $4,890,429.22. Purchasing does not guarantee any purchase amount under the awarded contract(s). Estimated quantities are for solicitation purposes only and are not to be construed as a guarantee.

c. The Contractor may require the Eligible User to provide information to set up a charge account with them (i.e. credit application). In such cases, the Contractor must not require the Eligible User to sign any agreement or application that contains additional terms and conditions beyond this agreement.

3. SCOPE OF WORK

a. Definitions:

i. MERV: “Minimum Efficiency Reporting Value”. A filter receives a MERV rating as determined by the American Society of Heating, Refrigeration, and Air-Conditioning Engineers (ASHRAE) [see www.ashrae.org]. MERV values vary from 1 to 16. The higher the MERV value the more efficient the filter will be in trapping airborne particles.

ii. High Capacity Filters vs Standard Capacity Filters: A High Capacity filter will have more pleats when compared to a Standard Capacity Filter in the same size and model of filter.

b. Each Eligible User is considered an individual customer. Eligible Users will be responsible for their own charges, fees, and liabilities. Contractor shall apply the charges to each Eligible User individually. The State is not responsible for any unpaid invoice.

c. Customer Service: Vendor must have one authorized representative that will be available by phone or e-mail at a minimum, during normal business hours Monday through Friday. Representative will respond to inquiries within one (1) business-day. Representative will handle all concerns related to returns, quality, and ordering.

d. Supplier must ensure all products meet all safety standards and regulations. Supplier also must communicate ALL RECALLS with client immediately.

4. PRICING INFORMATION

a. Public entities will order product on an as needed basis. The minimum order for this contract is one (1) Item (filter) at store front locations and one (1) case (filter) if shipping from plant location.

b. Contractor must provide pricing, or a way to determine pricing, for all products, services, and fees related to the scope of this agreement. Pricing will be detailed in Attachment C of this agreement.

c. Shipments shall be F.O.B. destination - with shipping charges listed as a separate line item on all quotes and invoices. The shipping charge shall not tack on additional profit dollar amounts nor exceed the actual delivery costs. The Contractor shall retain title and control of all goods until they are delivered and the contract of coverage has been completed. All risk of transportation and all related charges shall be the responsibility of the Contractor. All claims for visible or concealed damage shall be filed by the Contractor. The State will notify the Contractor promptly of any damaged goods and shall assist the Contractor in arranging for inspection. The Contractor shall ship by the best and least costly way. The State shall be made aware of all shipping charges at the time of order.

d. In the event of an emergency or rush delivery requested by the Buyer, the Buyer will pay for shipping and handling costs, if any. In the event of an emergency or rush delivery as a result of a vendor error, the vendor will pay for shipping and handling costs. Turnaround time is to be as quick as possible and flexibility/priority must be allowed for the Buyer needs.

e. Lead times, delivery dates, and any rush-shipping charges are to be clearly communicated to the entity before orders are placed.

f. Only fees and minimum quantity amounts identified in the Price sheet will be acceptable.

g. The Contractor may offer a percent (%) discount from MSRP or from the Contractor’s public pricing on any of their goods or services, in which case, the % discount is for the life of the contract and is considered a minimum discount. A catalog or public website with pricing must be available at all times for the Eligible Users to verify accurate percent discounts.

h. Quotes and invoices shall be itemized, including enough detail to confirm contracted rates are being applied.

i. All pricing and rates are guaranteed during the price guarantee period. Pricing is considered maximum pricing. After the price guarantee period is over, the Contractor may submit a request to amend the contract pricing if the following conditions are met:

i. The price guarantee period has been met.

ii. The request is made at least 30 days in advance of the expected effective date.

iii. The price adjustment must not produce a higher profit margin than the original contract pricing

iv. The request includes a thorough market analysis (e.g. data from the Producer Price Index) and/or documentation with objective data from the Contractor’s suppliers of materials or products.

The Division of Purchasing’s Contract Manager has the right to approve or deny any price adjustment requests. Pricing will remain as stated in the agreement beyond the price guarantee period until an amendment has been executed.

j. New products or services with associated pricing may be added to the contract upon approval of the Division of Purchasing’s Contract Manager. Additions, with their applicable pricing, must be incorporated via amendment.

i. Contractor may only request additions once per calendar year