Att._1-Exh._A,_Statement_of_work.doc

BU 7760 EVENT ID 0000031656

Attachment 1-Exhibit A

EXHIBIT A

STATEMENT OF WORK

The Department of General Services (DGS) Office of State Publishing (OSP) has been mandated to provide printing services to all California State Departments as requested pursuant to Government Code 14850. In order to perform such services, OSP maintains a variety of printing presses, including the Drent Gazelle 4 Forms Press. This press prints a variety of forms such as roll to roll, roll to sheet, and other printed materials for the Department of Motor Vehicles (DMV), Employment Development Department (EDD), Franchise Tax Board (FTB), and all other agencies.

1. PROJECT SUMMARY

A. The Contractor shall provide OSP equipment, delivery, installation, and testing prior to final payment of one Offset Forms Web Press with automatic roll-to-roll turret rewind splicing, eight printing units, integrated video monitoring, and register control system, variable data/barcode inkjet system, closed loop color ink monitoring system, business forms processing module, sheeter with batch stacker, and ZigZag folder, with the option of adding die-cutting, and full bleed variable print inkjet system at a later date. All products must meet or exceed Attachment 4, Specifications, 7760-BS-0209011, Offset Forms Web Press.

B. This press will be utilized to print short-and long-run single-and double-sided multi-part forms, roll-to-sheet forms, roll-to-roll forms, and perforated forms. The press must utilize process inks, spot PMS inks, MICR, OCR, custom-mixed inks, and light-emitting diode (LED) Ultraviolet (UV) inks. This press must include an integrated LED UV drying system for UV inks.

C. The equipment will be delivered and installed at the following OSP location:

Office of State Publishing

885 Riverside Parkway

West Sacramento, CA 95605

2. TERM

A. The term of this Agreement will be five (5) years to account for prolonged acceptance period. However, the cost sheet shall only reflect initial one year warranty, and two years of preventive maintenance thereafter.

B. Consistent with the terms and conditions of this Agreement, and upon mutual consent of the parties, OSP and the Contractor may execute written amendments for goods and services at purchase prices reflected on Attachment 2, Cost Worksheet.

3. PROJECT REPRESENTATIVES:

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

B. The State reserves the right to identify an OSP Designated Representative in the absence of the OSP Contract Administrator.

C. Any changes in Contractor's Contract Administrator must be immediately reported in writing to the OSP Contract Administrator.

4. QUALIFICATION REQUIREMENTS

A. Prior to providing services as outlined in this Agreement, the Contractor shall be a certified and trained professional in the printing and binding industry with knowledge of the equipment requested by OSP.

B. Work shall be performed by licensed technicians regularly employed by the Contractor and trained to work on the equipment identified herein.

5. SECURITY AND CONFIDENTIALITY STATEMENT

A. The Contractor agrees that personnel performing work under this Agreement will maintain confidentiality in premise regarding exposed written or graphic material, sensitive information, etc. The Contractor will not allow access to non-public areas to unauthorized individuals. Admittance to non-public areas is restricted only to employees of the Contractor who have been assigned to this location. Failure to adhere to this requirement will result in immediate termination.

B. The Contractor will keep in confidence and safeguard all confidential information obtained during the term of the Agreement. The Contractor agrees to protect the privacy, confidentiality, and security of all documents containing personal and confidential information. The Contractor agrees to discuss confidential information only in the workplace and only for job-related purposes and will not discuss such information outside of the workplace or within hearing of other people who do not have a need to know about the information. Contractor’s responsibility to confidentiality extends to the personnel employed by the Contractor and continues even after the Agreement has ended.

C. In the event hardware is replaced and contains sensitive data, the Contractor shall work with the DGS Information Security Office to properly dispose of expired equipment.

D. The DGS Information Security Officer may permit remote access within the continental United States for diagnostics purposes. The remote access method must comply with the following standards:

1) DGS Vendor Remote Access Security Standard (Attachment 1-Exhibit F).

2) State of California, Statewide Information Management Manual (SIMM) 5360-A, Telework and Remote Access Security Standard (2022), which can be viewed and downloaded using the following link: https://cdt.ca.gov/wp-content/uploads/2018/01/SIMM-5360A.pdf

3) State Administrative Manual (SAM) 4983.1 Cloud Computing Policy, which can be found at the following link: https://www.dgs.ca.gov/Resources/SAM/TOC/4900/4983-1.

E. Hardware and software must comply with DGS IT Infrastructure Standards and Guidelines-Public (Attachment 1-Exhibit H).

6. PERFORMANCE DETAILS

A. The Contractor shall perform all work per the California Occupational Safety and Health Administration (Cal/OSHA) standards and federal, state, and local county regulations.

B. The Contractor will provide all labor, materials, transportation, equipment, and tools necessary to perform and complete all work.

C. Contractor shall be responsible for supplying miscellaneous materials (i.e., grease, lubrication, gloves, etc.) incidental to performing service, including safety materials needed or required to perform service at no additional charge to the State.

D. Any damage to existing facilities or structures resulting from this work shall be reported immediately to the OSP Contract Administrator and be repaired to the satisfaction of the OSP Contract Administrator at the Contractor’s expense and only with prior approval of the OSP Contract Administrator.

7. SERVICE DETAILS

A. Work Days, Hours, and State Holidays

1) The State's normal business hours are: Monday through Friday, 8:00 a.m. to

5:00 p.m. (PT), excluding observed State holidays. All scheduled services under this Agreement shall be completed within normal business hours (unless approved in writing and in advance by the OSP Contract Administrator). Any unapproved hours of work will be considered performed at Contractor's own expense.

2) The Contractor will not be regularly scheduled to work on State holidays. The State holiday schedule may be subject to change. The current State holidays are New Year's Day, Martin Luther King, Jr. Day, President's Day, Cesar Chavez Day, Memorial Day, Independence Day, Labor Day, Veteran's Day, Thanksgiving Day, the day after Thanksgiving, and Christmas B. Scheduling of Work

1) Before the commencement of work, the Contractor will coordinate the performance of services with the OSP Contract Administrator to ensure no undue interference to OSP's operation.

2) During the term of this Agreement, the OSP Contract Administrator and the Contractor’s Contract Administrator shall mutually agree in writing to modify workdays or hours to reasonably accommodate the completion of work.

3) Prior to the commencement of work, the OSP Contract Administrator will contact the Contractor's Contract Administrator to discuss repair service requirements.

C. Building Security

1) The State shall have and exercise full and complete control over granting, denying, withholding, or terminating clearances for Contractor's personnel.

2) The Contractor must notify the OSP Contract Administrator upon arrival and departure from the facility.

3) The work performed under this Agreement requires that the Contractor and any of the Contractor’s employees sign in/out at the front main entrance lobby of OSP’s security desk, whereupon they will obtain an OSP visitor badge for entrance into the OSP facility. All information submitted by the Contractor or Contractor’s employees will be kept strictly confidential.

4) The Contractor shall be responsible for all costs incurred as a result of false fire alarms or other system alarms activated by the Contractor's negligence or that of its employees, material suppliers, and/or subcontractors. The OSP Contract Administrator shall issue specific security procedures to the Contractor to be followed. Violation of security requirements shall be grounds for termination of the Agreement for cause.

D. Parking

The State provides parking in front of the Building. Off-loading of equipment and materials may be performed at the Building’s loading dock if permission is obtained in advance from the OSP Contract Administrator and sufficient space is available.

E. Utilities

Water, electricity, and restroom facilities are available free of charge. However, these facilities shall be kept clean at all times and are not to be used for anything other than their intended purpose.

F. Interference

The Contractor shall make provisions to accomplish the work of this Agreement, without undue interference with the operations of the State, its tenants and visitors, or surrounding businesses and buildings.

G. Clean-Up

1) The Contractor shall keep all work areas clean and free of debris. During the progress of work, the Contractor shall clean up discarded materials at the end of each workday and remove them from the job site.

2) Any cleaning of equipment on State property requires the approval of the OSP Contract Administrator.

8. CONTRACTOR RESPONSIBILITIES

A. Contractor will not leave any open-ended/unsolved problems and will complete all work authorized before invoicing.

B. Contractor is responsible for successfully testing the Offset Forms Web Press and all components.

C. Contractor is responsible for the cost of all parts required for the warranty and maintenance of this equipment. The cost shall include parts, tax, shipping, handling, and freight. The State will not pay for fees not listed on Attachment 2, Cost Worksheet (i.e. travel, freight, trip, tax, and/or fuel surcharges, etc.).

D. Contractor shall provide assistance, service, and repair per manufacturer warranty within twenty-four (24) hours of OSP’s notification via phone and/or email.

E. If a printing tower must be replaced in part or in whole, a comparable unit or part to the affected unit or part will be provided by the Contractor at no additional cost to OSP.

F. Contractor shall have a representative/technician available by telephone and/or email in case of equipment malfunction. OSP Contract Administrator will initiate the service or technical support request, and Contractor will respond within two (2) hours of notification, at no additional cost to OSP.

G. OSP requires three (3) copies of the proper equipment operation, maintenance, and parts manuals. Contractor shall provide two (2) sets of electrical and pneumatic schematics and mechanical drawings necessary to troubleshoot purchased equipment properly. Contractor shall also provide a list of recommended spare parts to be maintained.

9. WORK DETAILS

A. Contractor shall provide all necessary personnel and equipment to complete the work outlined in the SOW.

B. Contractor shall perform all hook-ups, wiring plugs, installation, and uninstallation for the testing of purchased equipment.

C. Contractor shall perform a series of specific benchmark tests after successfully installing the equipment. See Attachment 1-Exhibit C, Benchmark Testing Offset Forms Web Press for testing formats, stocks, and minimum acceptable run speeds.

D. OSP shall provide all consumables required for benchmark testing.

E. All printed consumables required for benchmark testing shall be turned over to OSP for destruction.

10. INSTALLATION AND ACCEPTANCE

A. The State of California, OSP, agrees to furnish a suitable foundation and layout for placement of the purchased press and components. Contractor shall perform all installation activities without assistance from OSP staff. Any delays caused by improperly functioning equipment provided by the Contractor shall be corrected during installation and testing without any additional charge to OSP.

B. Contractor is required to send a “pre-installation checklist” of items to be performed by OSP at least twelve (12) weeks prior to delivery of the first piece of equipment. This information is to be sent to the attention of the OSP Contract Administrator. OSP shall confirm the equipment is expected to be shipped from the Contractors’ facility on a specific date. Any additional expenses incurred by the Contractor due to delays resulting in failure to comply with these requirements will not be charged to OSP.

C. Acceptance is defined as the state's Agreement that the equipment, hardware, and software have successfully passed acceptance testing–both benchmark and performance tests. It shall be the OSP’s sole determination as to whether a deliverable has been successfully completed and acceptable to the State. There must be an acceptance document for each deliverable before invoices can be processed for payment. An email from the OSP Contract Administrator to the Contractor’s Contract Administrator will be allowed as the acceptance document.

Acceptance criteria shall consist of the following:

1) The equipment system (equipment, hardware, and software) shall be deemed accepted by the State when the provided equipment has been installed and is meeting the requirements specified in this Agreement.

2) The equipment system has completed and met (as demonstrated to the satisfaction of the Office of State Publishing) benchmark testing requirements in Attachment 1-Exhibit C, Benchmark Testing Offset Forms Web Press.

3) Performance testing period shall be no greater than ten (10) state business days of continuous normal operation without more than two (2) hours of production delay due to any malfunction of the equipment hardware or software provided by the Contractor.

4) The equipment, hardware, and software performance must be repeatable and accomplished by the OSP Contract Administrator without intervention from Contractor staff.

D. Failed Acceptance: Should the equipment fail to meet the state's minimum conditions, requirements, or other applicable standards, specifications, or guidelines, or should the equipment not perform to the expectations of the State as specified in Attachment 1-Exhibit C, Benchmark Testing Variable Forms Press, the Contractor shall remove the equipment at the Contractor’s expense. The State will be under no obligation to purchase the equipment.

11. PREVENTIVE MAINTENANCE SERVICES

A. Contractor shall provide monthly preventive maintenance services on all equipment listed in this Agreement.

B. Preventive maintenance services shall begin after the one-year warranty period expires.

C. Preventive maintenance services shall be conducted on-site and shall include all parts and repair services at no additional cost to the State.

D. Preventive maintenance services shall include inspection of all press components and repair or replacement of worn items set forth in Attachment 1-Exhibit D, Preventive Maintenance Inspection Checklist. Contractor shall provide the completed checklist to the OSP Contract Administrator upon completion of each preventive maintenance visit.

E. If repair services are required, the on-site technician(s) shall always verify uninterrupted operational functionality for a minimum of one (1) hour or upon OSP approval and provide a written report of all repair information to the OSP Contract Administrator prior to leaving the site.

F. Preventive maintenance services shall be paid by the State at the Contractor’s rates specified in Attachment 2, Cost Worksheet.

12. CONTRACTOR-REQUIRED HARDWARE AND SOFTWARE MAINTENANCE

A. During the life of the Agreement, software and hardware manufacturer-required upgrades, updates, patches, and system configuration changes shall be at no additional cost to OSP. DGS Enterprise Technology Solutions (ETS) and the OSP primary contact must be notified in writing (emails are allowed as the communication medium) of proposed upgrades, updates, patches, or system configuration changes in accordance with the DGS ETS Change Management Policy.

B. All upgrades, updates, patches, or system configuration changes will be subject to state change management processes and user acceptance testing (UAT) by a state subject matter expert (SME) designated by the state.

C. All software and hardware covered by this Agreement must remain current and fully supported for the life of this Agreement.

D. Contractor must apply all critical and important patches within 15 to 30 days of their public release.

E. Software must execute on an operating system that will have maintenance and security patch support for the entire length of this Agreement.

F. No changes, upgrades, or patches will be implemented prior to being reviewed by ETS to determine the impact on the DGS and state networks.

G. The Contractor will perform all installation services for the upgrade, patch, or system configuration change.

H. All upgrades, patches, or system configuration changes must be made with a state subject matter expert (SME) present unless waived by ETS.

I. Contractor will provide documentation to ETS of the manufacturer and version of the installed anti-virus software and all other system changes such as patches or system upgrades and updates. ETS may, at its sole option, waive the requirement on a case-by-case basis. " If computer systems are connected to the DGS Network the anti-virus software should be DGS Microsoft Defender for malware detection and monitoring".

J. For all software and hardware proposed, the Contractor must agree to provide to OSP/ETS all copies of the documentation accompanying the product at purchase.

K. OSP recognizes that the Contractor may include third-party software within the proposed production printers. All such software must be purchased by the Contractor and licensed to OSP for continual use with the Contractor system. No such license may be accepted without the approval of OSP/ETS.

L. The Contractor staff will be primarily responsible for ensuring the proposed equipment, software, and hardware meet the DGS IT Infrastructure Standards and Guidelines-Public (Attachment 1-Exhibit H).

M. In the event hardware is replaced and contains sensitive data, the Contractor shall work with the Information Security Office to properly dispose of expired equipment following the DGS Data Retention and Destruction policy.

13. TRAINING

A. OSP will require a minimum of two (2) weeks (80 hours) on all major press system components and auxiliary equipment. The first week of training (40 hours) will be performed on the first shift (6:30 a.m. to 2:30 pm) during normal operation hours by an experienced trainer with at least three (3) years of experience operating the specific model that the vendor is offering OSP for purchase. A second 20-hour follow-up training on live job work will take place on the second shift (2:30 pm – 10:30 pm). A third 20-hour follow-up training on live job work will take place on third shift (10:30 pm – 6:30am).

B. Contractor shall also provide the same experienced press operator to train OSP employees for two (2) weeks (80 Hours) on live jobs and Benchmark acceptance testing requirements.

C. Contractor shall provide forty (40) hours of training to OSP maintenance personnel for maintenance and repair services. This training should include a complete inspection of all serviceable components of the press.

D. Contractor is responsible for contacting the OSP Contract Administrator to arrange the separate training schedules. All training sessions will be scheduled and completed within a ten (10) week period immediately after successfully completing all acceptance tests. Training hours will vary outside of regular business hours.

14. REPAIR SERVICES

A. Contractor shall provide repair services for tasks outside the scope of preventive maintenance, required to keep the equipment fully operational in accordance with manufacturer’s standards.

B. Repairs shall be paid by the State at the rates as specified in Attachment 2, Cost Worksheet.

C. Contractor shall respond to requests for repairs within one (1) business day of notification by the OSP Contract Administrator or OSP Designated Representative.

D. Contractor shall make every attempt to complete repairs the same business day. When a part(s) must be ordered that will delay completion of repairs the same working day, Contractor shall inform the OSP Contract Administrator or OSP Designated Representative immediately.

15. REPLACEMENT PARTS AND ACCESSORIES

A. This Agreement shall include Parts outside the scope of preventive maintenance, required to keep the equipment fully operational in accordance with manufacturer’s standards.

B. All Parts require a receipt when invoicing the State and will be reimbursed as specified in Attachment 2, Cost Worksheet.

C. Parts shall require actual receipt for the part when invoicing OSP. A Purchase Order or Purchase Estimate is not to be used in place of a receipt. Parts markup percentage shall be applied to the final cost of the item after taxes and shipping are calculated.

D. Parts provided by the Contractor under this Agreement shall be new, factory manufactured, or equivalent to manufacturer’s standards.

E. Replaced parts become the property of the State.

16. WORK AUTHORIZATION

A. Contractor shall submit a written estimate for repairs to the OSP Contract Administrator or OSP Designated Representative and receive an approved Work Authorization form (Attachment 1-Exhibit E), prior to performing repairs.

B. Contractor shall submit a written estimate for Replacement Parts to the OSP Contract Administrator or OSP Designated Representative and receive an approved Work Authorization form (Attachment 1-Exhibit E), prior to ordering Parts.

C. In the case of conflict between the rates identified on Attachment 2, Cost Worksheet and the rates identified on the Work Authorization form (Attachment 1-Exhibit E), the Attachment 2, Cost Worksheet shall prevail.

17. WARRANTY

A. Contractor unconditionally warrants the work performed under this Agreement conforms to the Agreement requirements. It is free of any defect in equipment, material, design furnished, or quality performed by Contractor at any tier. This warranty includes all parts and labor required. The warranty will begin on the date that all benchmark tests and acceptance period have been successfully completed.

B. This warranty shall continue for one (1) year after all benchmark tests and acceptance period have been successfully completed. This warranty includes all parts and labor at no additional cost to the State.

C. Upon written notification, Contractor shall immediately repair or replace, at Contractor's expense, work that fails to conform to the requirements of the Agreement or any defect in equipment, material, design furnished, or quality performed by Contractor or any subcontractor or supplier at any tier. In addition, Contractor shall remedy at Contractor's expense any damage to State-owned or controlled real or personal property when that damage results from Contractor's failure to conform to Agreement requirements or any defect of equipment, material, quality, or design furnished.

D. Contractor shall restore any work damaged in fulfilling the terms and conditions of this clause. Contractor's warranty for work repaired or replaced will run for one (1) year from the date of acceptance of the repair or replacement. As used in this clause, "acceptance" means the act of the State's representative by which the State assumes for itself, or as an agent of another, ownership of equipment, materials, and supplies or approves specific services as a complete performance of the Agreement.

E. The State's representative shall notify the Contractor in writing within twenty-four (24) hours after discovering any equipment failure, defect, or damage.

F. Suppose the Contractor fails to immediately remedy any failure, defect, or damage after receipt of the notice. In that case, the State shall have the right to replace, repair, or otherwise remedy the failure, defect or damage at the Contractor's expense.

G. For all warranties from subcontractors, manufacturers, or suppliers for work performed and materials furnished under this Agreement, the Contractor shall:

1) Obtain all warranties given in standard commercial practice.

2) Require all warranties to be executed, in writing, for the benefit of the State.

3) Enforce warranties for the benefit of the State.