CTR056589_Contract_Document.pdf

Contract Document Contract No.

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Part 2: Scope, Pricing and Terms and Conditions Part 2: Scope, Pricing and Terms and Conditions 1

Section 2-A: Scope of Work 3 Introduction/Background 3 General Requirements 3 Media Relations Requirements 4 Media Relations - As Needed Services 6 Travel Industry Marketing Requirements 8 Travel Industry Marketing - As Needed Services 9

Section 2-B: Pricing Document 12 Compensation 12 Pricing 12 Funding 13 Invoicing 13 Payments 14

Section 2-C: Special Terms and Conditions 16 Definitions of Terms 16 Contract Interpretation 17 Contract Administration and Operation 19 Costs and Payments 23 Contract Changes 24 Risk and Liability 24 Warranties 28 State’s Contractual Remedies (No Modifications to Uniform Terms and Conditions Section) 29 Contract Termination (No Modifications to Uniform Terms and Conditions Section) 29 Contract Claims 29 General Provisions for Products (No Modifications to Uniform Terms and Conditions Section) 30 General Provisions for Services 30 Data and Information Handling 31 Information Technology Work (No Modifications to Uniform Terms and Conditions Section) 32

Section 2-D: Uniform Terms and Conditions 33

Contract Document Page 1 of 41

Available online at app.az.gov

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Definition of Terms 33 Contract Interpretation 33 Contract Administration and Operation 34 Costs and Payments 36 Contract Changes 36 Risk and Liability 37 Warranties 38 State’s Contractual Remedies 39 Contract Termination 39 Contract Claims 41 Arbitration 41 Comments Welcome 41

Contract Document Page 2 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Section 2-A: Scope of Work

1. Introduction/Background

a. The Arizona Office of Tourism (AOT) was established as an agency of the State of Arizona in 1975. AOT functions as a destination marketing organization to promote all of Arizona as a single travel destination. AOT’s mission is to strengthen and expand Arizona’s economy through travel and tourism promotion. It is AOT’s desire to award full time representation contracts for both Travel Industry Marketing and Media Relations, however due to restrictions surrounding COVID19 and border closures, AOT is currently operating international marketing on a part-time basis.

b. AOT has had trade and media relations representation in Mexico since the mid 1990’s. Expenditures in this market for services during State Fiscal Year 2019 were approximately $200,000. However, there is not a guarantee of the quantity of services to be delivered under this contract.

c. The objective of this Contract is to cost-effectively increase Mexican visitation and spending in Arizona by increasing travel trade, media and consumer awareness about the state’s unique offerings through 1) assisting tour operators and travel agents to develop and promote group and individual tour programs to Arizona and 2) assisting media in publishing stories about Arizona as a world class destination.

i. According to international visitor volumes for Arizona as reported by Tourism Economics, Mexico continues to be a strong inbound market for Arizona; ranking number one for international inbound travel for five years in a row (2014-2019).

2. General Requirements

a. Office: The Contractor shall maintain an office in Mexico with a dedicated Account Manager and staff who shall be responsible for the AOT account.

b. Account Manager: AOT prefers that the Contractor assigns a dedicated account manager for travel industry marketing and a separate account manager for media relations. It is the expectation that the same account manager shall be assigned to the AOT account for a minimum of 24 months. If the account manager changes for any reason prior to the end of that time period, the Contractor shall organize and be financially responsible for ensuring the new account manager receives training equal to or better than that provided by AOT.

c. In-Market Representation: The Contractor shall promote travel to all parts of the state including but not limited to;

major cities, rural areas, national and state parks, and areas of natural beauty, cultural and historical importance.

d. Strategy Meeting: The Contractor, including the company principal and account manager(s), shall meet with key AOT staff to develop a strategic plan for Arizona in the Mexican market. This 2-day meeting shall take place at the contractor’s office in Mexico. If COVID-19 travel restrictions are in place this meeting may take place via Zoom. This meeting shall occur as soon as possible after award, but no later than 60 days after award.

e. Market Overview: On a regular basis (either annually or every other year), the Contractor shall travel to Arizona to present a market overview to constituents from around the State. This presentation may take place at the Arizona Governor’s Conference on Tourism or a similar event. Dates for the presentation will be provided by AOT no later than January for the following fiscal year. In addition to the presentation, the Contractor shall attend a familiarization tour lasting no more than five nights. All travel expenses will be reimbursed at State of Arizona domestic per diem rates located at https://gao.az.gov/travel/welcome-gao-travel. Dates for FY 2022 are August 2-4, 2021 and plans for a post familiarization tour are TBD due to COVID-19.

f. Tourism Database: The Contractor shall have a comprehensive travel industry and/or media database already compiled at the time of contract award. The database shall include at a minimum: contact name, affiliation, email address, physical address, phone number and background information.

Contract Document Page 3 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

g. AOT Database Management: The Contractor shall compile and manage a database that is updated monthly and includes contact names, company names, physical addresses and e-mail addresses of all requests for information and/or materials sent and leads generated and broken down into the following three categories: trade, media and consumers. This database and its electronic records shall remain the full property of the State of Arizona and shall not be distributed without permission. The database and its electronic records shall be returned to AOT at the conclusion of each contract year in a format approved by AOT.

3. Media Relations Requirements

a. Media Leads: The Contractor shall conduct proactive media outreach to print, broadcast and online media in the

Mexico market. From this outreach, a minimum of 24 new media leads shall be generated each year and added to the database. These leads must be qualified media that have the potential to cover Arizona. A summary of new media leads shall be provided in each monthly report.

b. Fulfillment: The Contractor shall provide information on Arizona in response to requests from the media and consumers. AOT will provide collateral for inquiries and requests contingent on availability. AOT will reimburse the shipping costs for the collateral listed below on a monthly basis with the appropriate back-up documentation.

i. Arizona Official Travelers Guide

ii. Arizona Official State Map

iii. Access to images in the Arizona Office of Tourism online photo library

iv. Film footage with scenes from around the state in HDProRes format

v. Destination video

c. Individual Media Visits and Group Press Trips: AOT conducts group press trips each fiscal year whose participants include one journalist from each key market. AOT also hosts journalists on individual media visits. The Contractor must qualify and organize a minimum of ten journalists annually for individual and group media tours to Arizona.

Qualified journalists are those who are on an assignment to produce an article that will be published within 18 months of the trip in a publication whose target market, reader demographics and circulation meet the requirements of AOT.

Only print and online writers are allowed on group media tours. Film crews and radio broadcasters can be accommodated on individual media tours. AOT shall approve all qualified journalists submitted by the Contractor.

i. The Account Manager shall make all arrangements within Mexico including, but not limited to; identifying and confirming qualified attendees, arranging international flights from Mexico to Arizona and all pre-trip preparations. Any costs incurred must be pre-approved by AOT. AOT and hosting communities will coordinate all arrangements in Arizona including itinerary development and ground transportation.

ii. The Account Manager shall actively work with airlines to generate free or discounted air tickets for press trips when possible.

iii. The Account Manager shall follow up with all press trip participants to confirm generated coverage has appeared. All generated coverage shall be included in the monthly report.

iv. The Account Manager shall follow up with all participants and report back overall opinions of the Arizona trip through an online survey tool provided by AOT.

v. All costs associated with the tours must be pre-approved by AOT and will be reimbursed to the Contractor.

Any cost that is not pre-approved may not be reimbursed by AOT.

d. Clipping Service: The Contractor shall conduct an on-going clipping service of articles related to Arizona in print publications, online publications, social media platforms, professional travel blogs, radio and television broadcasts.

The clippings (or copies) shall be supplied to AOT each month along with advertising equivalency and circulation, viewership and/or audience. Metrics for tracking social media posts will be agreed upon individually based on channels used. Advertising equivalency in USD shall be based solely on advertising rates without the use of multipliers.

Contract Document Page 4 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

e. Annual Editorial Calendar: The Contractor shall provide an annual (12 month) editorial calendar, 30 days prior to the start of AOT’s fiscal year (July 1 - June 30) with topics to be covered each month for newsletters, press releases and social media that are relevant and strategic to reach AOT’s Mexico market goals.

f. Social Media: The Contractor shall leverage AOT’s existing English speaking social media channels to translate content and promote Arizona in market.

i. AOT currently has a Facebook channel in the Mexico market that the Contractor will be responsible for content, translation and promotion.

ii. The Contractor shall include in the monthly report metrics pertaining to AOT’s Mexico Social Media channels including:

1. Reach (organic, paid and viral);

2. Post interactions, (number of Likes, Comments and Shares);

3. Click through and conversion rates; and

4. Key influencers and brand ambassadors interacting with AOT’s social channels.

g. Electronic Newsletter: The contractor shall create, using original content, an electronic newsletter, (e-newsletter) and distribute it to key media contacts at a minimum of 6 and maximum of 12 times per year. The e-newsletter shall, at a minimum, cover 4-6 topics per newsletter and include photos, quotes and opportunities to click through to other Arizona destinations and suppliers. The Contractor shall provide a review of distribution of the e-newsletter as a component of the monthly report. The review shall include the following:

i. Total number sent

ii. Number of opens

iii. Number of bounce-backs

iv. Number of opt outs

v. Number of click-throughs to each link.

h. Reports

i. Invoicing: The Contractor shall submit a monthly invoice including all required reports and necessary back-up documentation no later than the 5th business day of each month for the previous month.

Transaction fees or finance charges incurred by the Contractor shall be considered a cost of doing business and shall not be subject to reimbursement. Each invoice shall clearly mark the exchange rate used in calculating the USD equivalent. The exchange rate may be either the exchange rate as of the date of the invoice or the exchange rate as of the date the cost was incurred. Exchange rates used shall be those as listed on the website: www.oanda.com.

ii. Monthly Reports: The Contractor shall submit a monthly report via email no later than the 5th business day of each month for the previous month. The report shall include the following information:

1. Fulfillment inquiries including contact name, company affiliation, physical address, email address, type of inquiry (consumer, media representative, etc.), items requested and follow up action, if required.

2. Overview of media calls to include contact name, company affiliation, physical address, email address and summary of discussion and follow up action, if required.

3. Overview of generated media leads to include contact name, company affiliation, physical address, email address and summary of discussion and follow up action, if required.

4. Update of generated and non-generated published articles and broadcasts, including a brief 2-3 sentence summary in English, advertising equivalency in USD and circulation, viewership and/or audience. For generated coverage, the Contractor shall define how it was generated (i.e. media call, press release, press trip, etc.)

Contract Document Page 5 of 41 http://www.oanda.com

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

5. Summary of special projects and meetings.

6. Summary of social media along with key statistics for the month.

7. Copy of electronic newsletters and/or media releases along with key statistics in the months that an e-newsletter or media release is distributed.

8. Market trends in Mexico that relate to the tourism industry.

9. Any other information deemed relevant to the contract.

4. Media Relations - As Needed Services

a. The Contractor shall provide the following services if required and authorized by AOT based on each fiscal year’s priorities and budget.

i. Escorted Press Trips: The Account Manager shall organize and escort group press trips to Arizona, with a minimum of six and a maximum of eight qualified and AOT pre-approved writers and/or influencers plus the account manager and driver. Qualified writers are those who are on an assignment to produce an article that will be published within 18 months of the trip in a publication whose target market, reader demographics and circulation meet the requirements of AOT.

1. The Account Manager shall make all arrangements within Mexico including, but not limited to identifying and confirming qualified attendees, arranging international flights from Mexico to Arizona and all pre-trip preparations. AOT and hosting communities will coordinate all arrangements in Arizona including developing the itinerary and arranging ground transportation. All travel costs must be pre-approved by AOT prior to booking.

2. The Account Manager shall actively work with airlines to generate free or discounted air tickets for press trips when possible.

3. The Account Manager shall follow up with all participants and report back overall opinions of the Arizona trip through an AOT pre-approved online survey tool.

4. All costs associated with the tours must be pre-approved by AOT and will be reimbursed to the Contractor.

ii. Trade Shows: The Account Manager shall assist with and attend key tradeshows on behalf of the Arizona Office of Tourism.

1. The Account Manager shall assist AOT with on-site logistical support including booth set-up and collateral shipping, delivery, display and distribution. AOT will directly handle all arrangements and payments associated with show registration and booth construction.

2. The Account Manager shall set up an aggressive schedule of appointments with media representatives who have the potential to cover Arizona. The appointment schedule must be forwarded to AOT for approval, no less than 10 business days prior to the commencement of the tradeshow and should include contact name and email address, company bio, website address (if appropriate), specific areas of interest and summary of previous conversations.

3. The Account Manager shall execute follow-up with each appointment and provide AOT with a detailed report to include items such as overview of event, contacts and recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

iii. Media Missions: The Account Manager shall coordinate, conduct and accompany a comprehensive multi-day mission within Mexico for a delegation of Arizona partners. A mission is defined as a series of appointments, an event, and/or series of events that provides opportunities for the delegation of Arizona partners to meet with and educate media representatives.

1. The Account Manager and AOT shall work together to develop a mission strategy, including format, schedule and attendee targets, based on market goals and Arizona delegation partners in

Contract Document Page 6 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007 attendance. The Account Manager shall conduct sufficient outreach to ensure the target quantity of qualified media professionals attend appointments and/or events.

2. The Account Manager shall coordinate all aspects of the mission including, but not limited to, scheduling appointments, selecting a venue(s), coordinating all food and beverage details, distributing invitations, handling RSVPs, organizing and stuffing gift/collateral bags and all other event related tasks. All pre-approved costs associated with the mission will be reimbursed by AOT.

3. The Account Manager shall coordinate travel arrangements for the Arizona delegation including hotel and transportation reservations (not including overseas flights). Payment for these arrangements will be handled by each delegate directly. All travel expenses must fall within the State of Arizona international per diems, which can be found at https://gao.az.gov/travel/welcome-gao-travel.

4. The mission schedule including appointments must be forwarded to AOT for approval, no less than 10 business days prior to the commencement of the media mission and should include contact name and email address; company bio, and website address (if appropriate); specific areas of interest and summary of previous conversations.

5. The Account Manager shall provide AOT a detailed report, to include items such as overview of event, contacts, photos of journalists/writers that the delegation met with during the mission, recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

iv. Protocol Missions: The Contractor shall coordinate and accompany a comprehensive multi-day mission for a delegation of Arizona officials including but not limited to the Governor of Arizona, other political leaders, State of Arizona Agency Directors and/or community leaders. A mission is defined as a series of appointments, an event, and/or series of events that provides opportunities for the delegation of Arizona officials to meet with local leaders.

1. The Contractor, AOT and other partners shall work together to develop format and schedule, based on mission goals and Arizona delegation officials in attendance.

2. The Contractor shall coordinate all logistical arrangements for the Arizona delegation including but not limited to international and in-country flights, ground transportation, hotels, meals, cultural exchange and interpreters. Payment for these arrangements will be handled by each delegate directly. All travel expenses must fall within the State of Arizona international per diems, which can be found at https://gao.az.gov/travel/welcome-gao- travel.

3. The Contractor shall provide security contacts for each of the logistical arrangements to the Arizona Department of Public Safety.

4. The Contractor shall coordinate any required event venues including selecting a venue(s), coordinating all food and beverage details, distributing invitations, handling RSVPs, organizing and stuffing gift/collateral bags, any necessary on-site coordination and all other event related tasks. All pre-approved costs associated with the mission will be reimbursed by AOT.

5. The Contractor shall coordinate appointments for the Arizona delegation with key media, travel industry and economic development contacts. The schedule for the Protocol Mission including all events, appointments and logistical arrangements shall be provided to AOT for approval, no less than 10 business days prior to the commencement of the mission

6. The Account Manager shall provide AOT a detailed report, to include items such as overview of event, contacts and recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

Contract Document Page 7 of 41 https://gao.az.gov/travel/welcome-gao-travel

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

v. Strategic Brand Partnerships: Contractor shall identify integrated travel industry and public relations promotional opportunities to support the development and placement of the Arizona brand.

1. These strategic brand partnerships could be any activity that promotes a specific type of consumer (golfer, birdwatcher, spa-lover) in a non-traditional tactic. In the past, the AOT has partnered with high end luxury brands to promote Arizona as a premier travel destination. A report of the results of any program shall be produced at the end of each project within fifteen business days after completion. Ongoing results will be reported in monthly reports. A minimum of two proposals shall be presented to the AOT each fiscal year.

vi. Media Releases: The Account Manager shall write and distribute news and feature releases every other month (6 per year) throughout Mexico and upload into the AOT TravMedia account. Release topics are to be strategic, relevant and approved by AOT prior to distribution. A copy of the release shall be sent with the monthly report in which it was distributed.

5. Travel Industry Marketing Requirements

a. Marketing Plan: The Contractor(s) shall prepare and submit an annual marketing plan on or before December 1st of each year for the following fiscal year (July 1st – June 30th). The marketing plan shall include at a minimum: annual objectives, tactics to meet the objectives and budget, including AZ product being sold by tour operators and where there is opportunity to grow the product.

b. Fulfillment: The Contractor shall provide information on Arizona in response to requests from the travel industry and consumers. AOT will provide collateral for inquiries and requests contingent on availability. AOT will reimburse the shipping costs for the collateral listed below on a monthly basis with the appropriate back-up documentation.

i. Arizona Official Travelers Guide

ii. Arizona Official State Map

iii. Access to images in the Arizona Office of Tourism online photo library

iv. Film footage with scenes from around the state in HDProRes format

v. Destination video

c. Electronic Newsletter: The contractor shall create, using original content, an electronic newsletter, (e-newsletter) and distribute it to key media contacts a minimum of 6 and maximum of 12 times per year. The e-newsletter shall, at a minimum, cover 4-6 topics per newsletter and include photos, quotes and opportunities to click through to other Arizona destinations and suppliers. The Contractor shall provide a review of distribution of the e-newsletter as a component of the monthly report. The review shall include the following:

i. Total number sent

ii. Number of opens

iii. Number of bounce-backs

iv. Number of opt outs

v. Number of click-throughs to each link.

d. Destination Trainings: The Contractor shall present educational programs on the State of Arizona tourism product to qualified groups of travel agents, tour operators and airline reservations and sales staff throughout Mexico. Qualified groups are those groups which are already selling products to Arizona and need assistance training their reservations staff or other sales staff. The Contract shall present a minimum of 12 annually. At AOT’s direction these trainings may take place either in-person or in a virtual format. All material presented shall be approved by AOT prior to use. The Contractor shall provide a report to AOT which will include the details on the audience, material covered and any other information deemed relevant as part of the monthly report. AOT reports the number of trainings as a Key Performance Indicator (KPI) and will set the number for each fiscal year.

Contract Document Page 8 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

e. Reports

i. Invoicing: The Contractor shall submit a monthly invoice including all required reports and necessary back-up documentation no later than the 5th business day of each month for the previous month.

Transaction fees or finance charges incurred by the Contractor shall be considered a cost of doing business and shall not be subject to reimbursement. Each invoice shall clearly mark the exchange rate used in calculating the USD equivalent. The exchange rate may be either the exchange rate as of the date of the invoice or the exchange rate as of the date the cost was incurred. Exchange rates used shall be those as listed on the website: www.oanda.com

ii. Monthly Reports: The Contractor shall submit a monthly report via email no later than the 5th business day of each month for the previous month. The report shall include the following information:

1. Fulfillment inquiries including contact name, company affiliation, physical address, email address, type of inquiry (consumer, tour operator, travel agent, etc.) and items requested.

2. Overview of sales calls including contact name, company affiliation, physical address, email address, and summary of discussion.

3. Overview of generated qualified leads.

4. Summary of destination training(s) given, including key contact, location, and attendees.

5. Summary of special projects and meetings and any follow up items.

6. Copy of the electronic newsletter along with e-newsletter statistics in the months an e- newsletter is distributed.

7. Market trends in Mexico that relate to the tourism industry.

8. Any other information deemed relevant to the contract.

iii. Annual Report: The Contractor shall provide an inventory of all current products in a "Product Inventory Report" featuring Arizona being offered by Mexican tour operators on an annual basis. This annual report shall be submitted in a format approved by AOT. If the Contractor does not have an acceptable format, AOT will provide one. The inventory shall include an executive summary along with the following:

1. A complete listing of all Mexican tour operators that offer Arizona products in their brochures, on their website or in any other capacity.

2. For each operator, a company background and description along with the product manager name and contact details including address, phone number, email address and company website.

3. For each operator, a list of the receptive companies used.

4. For each operator, the number and types of itineraries (FIT, fly/drive, motorcoach, etc.) that feature

Arizona products.

5. For each operator, the hotel listings and optional activities/tours offered by the community.

6. For each operator, scanned brochure and website pages that include Arizona products.

6. Travel Industry Marketing - As Needed Services

a. The Contractor shall provide the following services if required and authorized by AOT based on each fiscal year’s priorities and budgets.

i. Escorted Familiarization (FAM) Tours: The Account Manager shall organize and escort tour operator familiarization trips to Arizona, with a minimum of six and a maximum of eight qualified Mexican trade representatives plus the account manager and driver. A qualified trade representative is defined as a person working for a qualified company who develops packages and/or sells, or has the intent to sell Arizona travel products.

1. The Account Manager shall make all arrangements within Mexico including but not limited to identifying and confirming qualified attendees, arranging international flights from Mexico to Arizona

Contract Document Page 9 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007 and all pre-trip preparations. The AOT and other hosting communities will coordinate all arrangements in Arizona including developing the itinerary and coordinating the ground transportation. Final participants must be approved by AOT.

2. The Account Manager shall actively work with airlines to generate free or discounted air tickets for FAM tours when possible.

3. The Account Manager shall follow up with all participants and report back overall opinions of the Arizona trip through an online survey tool provided by AOT.

4. All costs associated with the tours must be pre-approved by AOT and will be reimbursed to the Contractor.

ii. Trade Shows: The Account Manager shall assist with and attend key tradeshows on behalf of AOT.

1. The Account Manager shall assist AOT with on-site logistical support including booth set-up and collateral shipping, delivery, display and distribution. AOT will directly handle all arrangements and payments associated with show registration and booth construction.

2. The Account Manager shall set up an aggressive schedule of appointments with trade representatives who have the potential to cover Arizona. The appointment schedule must be forwarded to AOT for approval, no less than 10 business days prior to the commencement of the tradeshow and should include contact name and email address; company, summary and website address (if appropriate); specific areas of interest and summary of previous conversations.

3. The Account Manager shall execute follow-up with each appointment and provide AOT with a detailed report to include items such as overview of event, contacts and recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

iii. Sales Missions: The Account Manager shall coordinate, conduct and accompany a comprehensive multi-day mission for a delegation of Arizona partners to key cities in Mexico. A mission is defined as a series of appointments, an event, and/or series of events that provides opportunities for the delegation of Arizona partners to meet with and educate trade representatives.

1. The Account Manager and AOT shall work together to develop a mission strategy, including format, schedule and attendee targets, based on market goals and Arizona delegation partners in attendance. The Account Manager shall conduct sufficient outreach to ensure the target quantity of qualified travel trade professionals are in attendance at appointments and/or events.

2. The Account Manager shall coordinate all aspects of the mission including, but not limited to;

scheduling appointments, selecting the venue(s), coordinating all food and beverage details, distributing invitations, handling RSVPs, organizing and stuffing gift/collateral bags and all other event related tasks. All pre-approved costs associated with the mission will be reimbursed by AOT.

3. The Account Manager shall coordinate travel arrangements for the Arizona delegation including hotel and transportation reservations (not including overseas flights). Payment for these arrangements will be handled by each delegate directly. All travel expenses must fall within the State of Arizona international per diems, which can be found at https://gao.az.gov/travel/welcome-gao-travel

4. The mission schedule including appointments must be forwarded to AOT for approval, no less than 10 business days prior to the commencement of the sales mission and should include contact name and email address; company, summary and website address (if appropriate); specific areas of interest and summary of previous conversations.

Contract Document Page 10 of 41 https://gao.az.gov/travel/welcome-gao-travel

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

5. The Account Manager shall provide AOT a detailed report, to include items such as overview of event, contacts and recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

iv. Cooperative Marketing Campaigns: Account manager shall work with wholesale tour operators, airline partners and industry associations to support the development, placement and marketing of Arizona travel products. Any qualified programs that could be produced for AOT and/or cooperatively with these suppliers should be researched and proposed to the AOT. Direct mail pieces, in-store promotions and electronic marketing campaigns are examples of suitable cooperative marketing programs. A report of the results of any program shall be provided to the AOT within fifteen business days after completion of each project.

Ongoing results will be reported in monthly reports. A minimum of two proposals shall be presented to the AOT annually.

v. Strategic Brand Partnerships: Contractor shall identify integrated travel industry and public relations promotional opportunities to support the development and placement of the Arizona brand.

1. In the past AOT has partnered with airlines such as American Airlines to create unique opportunities to promote the Arizona brand. A report of the results of any program shall be produced at the end of each project within fifteen business days after completion. Ongoing results will be reported in monthly reports. A minimum of two proposals shall be presented to the AOT annually.

vi. Protocol Missions: The Contractor shall coordinate and accompany a comprehensive multi-day mission for a delegation of Arizona officials including but not limited to the Governor of Arizona, other political leaders, State of Arizona Agency Directors and/or community leaders. A mission is defined as a series of appointments, an event, and/or series of events that provides opportunities for the delegation of Arizona officials to meet with local leaders.

1. The Contractor, AOT and other partners shall work together to develop format and schedule, based on mission goals and Arizona delegation officials in attendance.

2. The Contractor shall coordinate all logistical arrangements for the Arizona delegation including but not limited to international and in-country flights, ground transportation, hotels, meals, cultural exchange and interpreters. Payment for these arrangements will be handled by each delegate directly. All travel expenses must fall within the State of Arizona international per diems, which can be found at https://gao.az.gov/travel/welcome-gao- travel.

3. The Contractor shall provide security contacts for each of the logistical arrangements to the Arizona Department of Public Safety.

4. The Contractor shall coordinate any required event venues including selecting the venue(s), coordinating all food and beverage details, distributing invitations, handling RSVPs, organizing and stuffing gift/collateral bags, any necessary on-site coordination and all other event related tasks. All pre-approved costs associated with the mission will be reimbursed by AOT.

5. The Contractor shall coordinate appointments for the Arizona delegation with key tourism industry contacts and key economic development contacts. The schedule for the Protocol Mission including all events, appointments and logistical arrangements must be forwarded to AOT for approval, no less than 10 business days prior to the commencement of the mission.

6. The Account Manager shall provide AOT a detailed report, to include items such as overview of event, contacts and recommendations, follow up and fulfillment. This report shall be provided within 5 business days following the event.

End of Section 2-A

Contract Document Page 11 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Section 2-B: Pricing Document

1. Compensation

a. Contractor will be compensated based on the pricing provided for satisfactorily carrying out its obligations under the Contract. Pricing shall be defined based on all numbers submitted in accordance with the referenced Solicitation.

2. Pricing

a. Pricing All Inclusive

i. Pricing is all-inclusive, including any ancillary fees and costs required to accomplish the Scope of Work and all aspects of Contractor’s offer as accepted by the State. Details of service not explicitly stated in the Scope of Work or in Contractor’s Offer, but necessarily a part of, are deemed to be understood by the Contractor and included herein. All administrative, reporting, or other requirements, all overhead costs and profit and any other costs toward the accomplishment of the requirements in the Contract are included in the pricing provided.

b. Price Increases

i. The State Procurement Office may review a fully documented request for a price increase. The requested increase shall be in writing and be based upon a cost increase to the contractor that was clearly unpredictable at the time of the offer and is directly correlated to the price of the product concerned.

Contractor must provide conclusive evidence of a need for any price increases such as being substantiated by the Producer Price Index, Consumer Price Index, or similar pricing guide.

1. Initial Contract prices will be honored for one year after award of the Contract.

2. All written requests for price adjustments made by the contractor shall be initiated thirty (30) days in advance of any desired price increase to allow the State sufficient time to make a fair and equitable determination to any such requests. This may be waived upon proper documentation demonstrating the urgency of the request.

3. All price adjustments will be implemented by a formal contract change order. State shall determine whether the requested price increase or an alternate option is in the best interest of the State.

c. Price Reductions

i. Price reductions shall be immediately passed along to the State and may be submitted in writing to the State for consideration at any time during the Contract period. The contractor shall offer the State a price reduction on the Contract product(s) concurrent with a published price reduction made to other customers. State at its own discretion may accept a price reduction. The price reduction request shall be in writing and include documentation showing the actual reduction of cost.

d. Additional Charges

i. Any charges or fees not delineated in the Contract may not be added, billed, or invoiced under the Contract.

All additional work shall be approved by the State in advance and be in accordance with the contract rate.

e. Price Quotes

i. The State requires that the Contractor acknowledge via email any request for a price quote they receive from an Eligible Agency within 24 hours of receiving this request. In this acknowledgement email the Contractor can also provide a price quote if possible. If it is not possible to provide a price quote within that 24-hour period, then the Contractor is required to give the Eligible Agency an estimated date by when the Contractor will provide a price quote to the Eligible Agency.

ii. Contractor shall also provide quotes for each service requested to the private landowner.

Contract Document Page 12 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

3. Funding

a. No particular funding considerations apart from the Uniform Terms and Conditions “Availability of Funds” have been identified as of the Solicitation date.

4. Invoicing

a. INVOICES GO TO BUYING ENTITY. Contractor shall submit all billing notices or invoices to the ordering Eligible

Agency at the address indicated on the applicable Order document. Contractor shall also provide invoices for each completed service to the private landowner.

b. INVOICE ATTACHMENTS. Invoices must be accompanied by all sign in and out sheets.

c. MINIMUM INVOICE REQUIREMENTS. Every invoice must include the following information:

Item Required

Bill-to name and address ⚫

Contractor name and contact information ⚫

Remit-to address ⚫

State contract number ⚫

Order number (typically the APP PO #) ⚫

Invoice number and date ⚫

Date the items shipped or services performed ⚫

Applicable payment terms ⚫

Contract line item number ⚫

Contract line item description ⚫

Quantity delivered or performed ⚫

Line item unit of measure ⚫

Item price ⚫

Extended pricing ⚫

Discount off list or catalog ⚫

Taxes (as a separate invoice line item) ⚫

Upcharge shipping/freight, etc. (as a separate invoice line item) Materials Only

Contract Document Page 13 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Total invoice amount due ⚫

d. NO INVOICE WITHOUT AUTHORIZATION. Contractor shall not seek payment for any:

i. Materials or Services that have not been authorized on an acknowledged Order;

ii. Expediting, overtime, premiums, or upcharges absent State’s express prior approval; or

iii. Materials or Services that are the subject of a Contract Amendment or Change Order that has not been fully signed.

e. PRE-INVOICE REVIEW. Shortly before the Contractor is scheduled to submit each invoice, the parties’ representatives shall meet informally to review any issues relevant to that upcoming invoice so that the formal invoice process is thereby facilitated and made more efficient.

f. SUBMITTING INVOICES. If it is required by the ordering Eligible Agency, the Contractor shall submit an invoice using the form provided or required by that ordering Eligible Agency. Every invoice must be accompanied by all supporting information and documentation required by the Contract and applicable laws. Invoices shall be submitted for each work day the services are provided within 24 hours of the date worked.

g. DEFECTIVE INVOICES. Without prejudice to its other rights under the Contract or further obligation to Contractor, the ordering Eligible Agency may, at its discretion, reject any materially defective invoice.

i. The ordering Eligible Agency shall notify Contractor within 5 (five) business days after receipt if it determines an invoice to be materially defective.

ii. Invoices will be deemed automatically rejected upon delivery if they:

1. are sent to an incorrect address;

2. do not reference the correct State contract number;

3. are payable to any Person other than the Contractor; or

4. have incorrect data or line items listed

5. The ordering Eligible Agency will have no obligation to pay against a defective invoice unless and until the Contractor has re-submitted it free of defects.

5. Payments

a. PAYMENT. The applicable Eligible Agency shall pay undisputed amounts due to Contractor within the time period specified in subparagraph “Payments” of the Special Terms and Conditions. For more information please also refer to subparagraph “Payments” of the Uniform Terms and Conditions.

b. JOINT CHECKS OR DIRECT PAY. The applicable Eligible Agency may, but is under no obligation to, pay by joint check or to pay directly to any Subcontractor or other creditor to whom any portion of Contractor’s requested payment is owed.

c. RECOVERY OF OVERPAYMENT. If applicable Eligible Agency Buyer determines that an overpayment has been made to Contractor on any prior invoice, it shall inform Contractor of the amount and date of the overpayment and may deduct the overpaid amount from amounts then or thereafter due to Contractor.

d. PURCHASING CARD. The applicable Eligible Agency may pay invoices for some or all Orders, at its discretion, using a purchasing card, credit card, debit card, warrant, federal wire, etc. Any and all fees related to payment using a Purchasing Card are the responsibility of the Contractor. Unless otherwise stated in the Contract there will be no additional fees or increase in prices associated with this method of payment.

e. AUTOMATED CLEARING HOUSE. The applicable Eligible Agency may pay invoices for some or all Orders through an Automated Clearing House (ACH). In order to receive payments in this manner from Eligible Agencies, Contractor must complete an ACH Vendor Authorization Form (form GAO-618) within 30 (thirty) days after the effective date of the Contract. The form is available online at: https://gao.az.gov/afis/vendor-information

Contract Document Page 14 of 41 https://gao.az.gov/afis/vendor-information

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

f. Contractor shall cooperate with the State by providing the State information including, but not limited to, Contractor’s bank information to support the State’s selected means of payment. The Contractor shall not charge the State an amount to recover any convenience fee, discount fee, processing fee or service fee related to the acceptance of the State’s payment.

g. Unless otherwise specified in the Contract, the Contractor shall offer as standard payment terms a discount of 2% for payments made within 10 days and full payment due in 30 days (generally referred to as “2/10, net 30”).

End of Section 2-B

Contract Document Page 15 of 41

CTR056589

Description:

Mexico Travel Industry Marketing and Media Relations Representation Services

Arizona Department of Administration State Procurement Office

100 N. 15th Ave., Suite 402 Phoenix, AZ 85007

Section 2-C: Special Terms and Conditions The Special Terms and Conditions modify the Uniform Terms and Conditions and its Appendices. It can modify them by replacing, deleting, appending to, or revising the text of an existing provision or by inserting a new paragraph into an existing article. No other document modifies or adds to the Uniform Terms and Conditions, except as may subsequently be otherwise and expressly agreed and incorporated by Contract Amendment.

1. Definitions of Terms

a. Acceptance: “Acceptance” means the document headed “Offer and Acceptance Form” bearing the State contract number once Procurement Officer has signed it to signify (1) State’s formal acceptance of the Accepted Offer and (2) the formation of the Contract. For clarity of intent, the foregoing is not to be confused with the term “acceptance” used throughout the Contract in the context of delivery, inspection, etc.with respect to Materials or Services.

b. Accepted Offer: If State did not request a Revised Offer, then “Accepted Offer” means the Initial Offer. If the State did request a Revised Offer but not a Best and Final Offer, then “Accepted Offer” means the latest Revised Offer. If the State requested a Best and Final Offer, then “Accepted Offer” means the Best and Final Offer.

c. Arizona Procurement Code; A.R.S.; A.A.C. : “Arizona Procurement Code, “A.R.S.,” and “A.A.C.” are each defined in the Instructions to Offerors.

d. Arizona TPT: “Arizona TPT” means Arizona Transaction Privilege Tax. For information, refer to the Arizona Department of Revenue (DOR) website at: https://www.azdor.gov/business/transactionprivilegetax.aspx.

e. Attachment: “Attachment” means any item that: the Solicitation required Offeror to submit as part of the relevant Offer (e.g. Initial Offer, Revised Offer, or BAFO); was attached to an Offer when submitted; and was included in the Accepted Offer.

f. Pricing Document: “Pricing Document” means Section 2-B of Part 2 of the Solicitation Documents, provided that, if there is no such Section in the Contract, then “Pricing Document” is to be construed as referring to whatever item in the Contract contains the contracted pricing and payment provisions.

g. Contract Amendment: "Contract Amendment" means a document signed by the Procurement Officer that has been issued for the purpose of making changes to the Contract after execution.

h. Contract Terms and Conditions: “Contract Terms and Conditions” means the Special Terms and Conditions and these Uniform Terms and Conditions taken collectively.

i. Contractor: “Contractor” means the Person identified on the Accepted Offer who has entered into a Contract with State.

j. Contractor Indemnitor: “Contractor Indemnitor” means Contractor or any of its owners, officers, directors, agents, employees, or…