CTR061345_Contract_Documents.pdf

DocuSign Envelope ID: FC9EA0C4-AA9B-4945-8631-C3B9002D5128

July 25, 2022

July

CTR061345

25 22

Rev. 04/2020

Procurement

STATE OF ARIZONA

ARIZONA DEPARTMENT OF TRANSPORTATION

1739 W. Jackson St., Ste. A Phoenix, AZ 85007

REQUEST FOR PROPOSAL

SOLICITATION NUMBER: BPM004292

DESCRIPTION: ECD Drivers License Security Software

QUESTIONS: Inquiries regarding the solicitation are to be submitted online through the State’s e-Procurement system, Arizona Procurement Portal (APP) (https://app.az.gov/) using the Discussion Forum tab.

OFFERORS ARE STRONGLY ENCOURAGED TO READ THE ENTIRE SOLICITATION.

Tiffany Connell Procurement Officer Phone: 602-712-8544 Email: tconnell2@azdot.gov

This solicitation is issued in accordance with A.R.S. §41-2534 and A.A.C. R2-7-C301 et seq., Competitive Sealed Proposals.

“An Equal Opportunity Agency”

The Arizona Department of Transportation, in accordance with the provisions of Title VI of the Civil Rights Act of 1964 (78 Stat. 252.42 U.S.C. §§ 2000d-4) and the Americans with Disabilities Act (ADA), hereby notifies all bidders that it will affirmatively ensure that any contract entered into pursuant to this advertisement, disadvantaged business enterprises will be afforded full and fair opportunity to submit bids in response to this invitation and will not be discriminated against on the grounds of race, color, national origin in consideration for an award.

Persons that require a reasonable accommodation based on language or disability should contact ADOT’s Procurement Office by phone (602) 712-2089. Requests should be made as early as possible to ensure the State has an opportunity to address the accommodation.

Las personas que requieran asistencia (dentro de lo razonable) ya sea por el idioma o discapacidad deben ponerse en contacto con ADOT (602) 712-2089.

https://app.az.gov/ mailto:tconnell2@azdot.gov

TABLE OF CONTENTS

Solicitation No: BPM004292 Available online at

SECTION PAGE

Notice 1

Table of Contents 2

Scope of Work 3

Special Terms and Conditions 16

Uniform Terms and Conditions 33

EXHIBITS

1 - Title VI/Non-Discrimination Assurances Appendix A 43

2 - Title VI/Non-Discrimination Assurances Appendix E 44

3 - Usage Report 45

SCOPE OF WORK

https://app.az.gov

1. INTRODUCTION AND BACKGROUND

1.1. The Arizona Department of Transportation, Enforcement and Compliance Division, hereinafter referred to as the Department, is seeking offers from qualified firms or individuals, hereinafter referred to as the

Contractor, for facial recognition software services (“facial recognition software services”, or “FR

Services”) for use in conjunction with the credential issuance process to help eliminate fraudulent identity activities. The Department first implemented the use of facial recognition software in April of

2015. Every image captured for an Identification Card or Driver's License is verified against ADOT's database of approximately 7.5 million active ID/DL records with approximately 30+ million images. The average daily image processing volume is 5,000, with a peak of 10,000 images. The utilization of this software helps ensure the integrity of every credential issued by the Department in addition to helping the State of Arizona comply with the Real ID Act of 2005 by enhancing the security and fraud prevention standards utilized by the agency.

1.2. The Department is seeking proposals for facial recognition software services, wherein the Contractor provides such services from an outsourced (Cloud Hosted) solution and that includes all necessary installation, implementation, testing, hardware and software operation and support to provide the facial recognition software services.

2. CONTRACTOR’S MINIMUM QUALIFICATIONS

The Contractor shall meet the following minimum qualifications:

2.1. Minimum of at least three (3) years’ experience operating and supporting a facial recognition software system.

2.2. Minimum of three (3) facial recognition software systems currently deployed in US public sector agencies, with an initial image enrollment of at least 5,000,000 images.

2.3. The Contractor shall have key personnel to assign with proven experience and expertise in the implementation and maintenance of facial recognition software services.

3. GLOSSARY OF TERMS

Acronym Description

1:1 One to One

1:N One to Many

1:R One to Record

ADOT Arizona Department of Transportation

DL/ID Driver’s License / Identification

ITG Information Technology Group

MVD Motor Vehicle Division

N:N Many to Many

SOC 2 Service Organization Control 2

TLS Transport Layer Security

4. CONTRACTOR (CLOUD) HOSTED SOLUTION

4.1. The facial recognition software services shall be housed on infrastructure that is managed by the

Contractor with its Cloud provider. The Contractor would be responsible for procuring and managing all necessary hosting services and connectivity, as well as their updating as necessary. Cloud based solutions shall support scalable production based images within a permanent test environment.

4.2. Cloud Hosted Maintenance

4.2.1. The Contractor in conjunction with its Cloud provider shall be responsible for all repairs, maintenance for software, all necessary hosting services, and connectivity required to provide the facial recognition software services to the Department.

5. CONTRACTOR SOFTWARE MAINTENANCE

5.1. All planned/scheduled facial recognition software services downtime (periods of time that the facial recognition software services are not available to the Department, as a result of scheduled contractor/cloud provider maintenance) shall be scheduled with the Department at least two (2) weeks in advance.

5.2. All planned/scheduled downtime for maintenance shall be performed after hours of business, which are

Monday through Friday 5:00 A.M. to 6:00 P.M. MST, excluding recognized State holidays and/or mandated furlough days. Any unscheduled service interruption of facial recognition software services to the Department that exceeds the service-levels described in the Scope of Work shall result in the imposition of liquidated damages to be described in section Severity Levels/Liquidated Damages.

5.3. During the term of the contract, the Contractor shall be responsible for implementation, installation and maintenance of the facial recognition software updates to new versions, facial recognition algorithm enhancements, facial recognition software services enhancements/upgrades, service packs, hotfixes and patches, and shall be provided at no additional cost to the Department, as necessary for providing the facial recognition software services in addition to providing technical support to Department users.

6. CONTRACTOR SUPPORT

6.1. The Contractor shall assume responsibility for the following:

6.1.1. Providing technical support;

6.1.2. Facial recognition software services maintenance, and repairs;

6.1.3. Required upgrades to facial recognition software;

6.1.4. Hosting services infrastructure, as necessary for providing the facial recognition software services;

6.1.5. Maintenance includes technical support to Department users.

6.2. The Contractor shall provide a toll free number and email address that will be available 24 hours a day, 7 days per week, to answer technical questions. During the hours of business, which are Monday through Friday 5:00 A.M. to 6:00 P.M. MST, excluding recognized State holidays and/or mandated furlough days, unlimited consultation and troubleshooting support will be provided. When submitting problems or questions to the Contractor’s technical support team, the Department will provide the Department name, contact name, telephone number and e-mail address.

6.3. The Contractor shall provide access not only to their technical support or toll free number, but will also provide access to the necessary issue resolution personnel who can answer specific account questions and/or perform troubleshooting activities addressing all services provided within the contract. The Contractor shall provide tracking, analytics, and reporting for all support services.

6.4. Routine implementation of patches and/or fixes for the Contractor’s solution shall not interrupt the availability of facial recognition software services to the Department during normal business hours.

6.5. Performance Criteria

6.5.1. General Availability

6.4.1.1 The facial recognition software services shall be available 24 hours a day, 7 days per week, excluding pre-determined, by the Department, scheduled downtime for maintenance to be performed after hours.

6.5.2. Problem Reporting/Tracking/Resolution

6.5.2.1. The performance standards specified within this document are of particular importance to the Department. Their purpose is twofold:

6.5.2.1.1. To define the service levels that must be maintained to meet the

Department’s commitment to other Government Agencies, and most important, the public at large, and;

6.5.2.1.2. To provide a basis for ensuring the Department is receiving adequate value from the Contractor’s products and services.

6.5.2.2. Performance standards serve little purpose unless they can be monitored and tracked. As part of the contract, the Contractor shall perform data collection and reporting processes for monitoring and measuring their performance against contractual obligations. Service-level reports shall be accessible to the Department on demand. Additional report requirements shall include the ability for the Department to produce ad hoc performance reports. Performance report data shall be maintained for a period of five years.

6.5.2.3. The Contractor shall have problem handling procedures in place for tracking the facial recognition software services. These procedures shall include how problems will be reported and documented, and the method(s) employed to determine Problem Severity levels for the prioritization and resolution of problem types.

6.5.3. Severity Levels/Liquidated Damages

6.5.3.1. Every reported problem shall immediately be assigned a severity level according to the reported business risk and potential impact of the problem. The severity level determines how quickly the problem shall be resolved or escalated. The Contractor shall provide a severity level categorization and resolution time schedule to include a severity level Fee Amount in the following schedule (Refer to Table 1 Severity/Response/Communicate/Resolution Table attachment).

6.5.3.2. Table 1 Severity/Response/Communicate/Resolution Table

Severity Response

Time Communicate

Action Plan Resolution

Time Liquidated Damages per

Occurrence

1 min min hr Fee Amount if resolution time missed, plus additional fee % for each additional hour over resolution time.

2 min min hr Fee Amount if resolution time missed, plus additional fee % for each additional hour over resolution time.

3 min hr hr Fee Amount if resolution time missed, plus additional fee % for each additional hour over resolution time.

6.5.3.3. Table 2 Severity Level Assignment

Severity 1 Entire facial recognition software services are not available to the Department.

Severity 2 Significant portion of the facial recognition software services are not available to the Department.

Severity 3 Limited portion of the facial recognition software services are not available to the Department.

6.5.3.4. Table 3 Response/ Resolution Time

Response time The time elapsed between the report of a problem and the time it takes a technical support person to acknowledge, via phone or email, the issue with the tracking number.

Action Plan Diagnosis of issue and recommended plan of resolution.

Resolution time

The total time required to identify, diagnose, restore and permanently resolve the problem. All problems will remain open until satisfactory restoration of all the facial recognition software services are available to the Department and acceptance is affirmed by the Department.

6.5.4. Daily Processing Requirements

6.5.4.1. Daily Processing requirements are required to be followed. Failure to meet the

Daily Process requirements may result in liquidated damages to be determined in Table 4 Minimum Performance Requirements. The Contractor shall provide a severity level Fee Amount in the following schedule. The Contractor may agree or propose alternative language that is fair and practical. The schedule shall include the following elements:

6.5.4.2. Table 4 Process Requirements Minimums Definitions

Image Enrollment for New Images

Statistics on enrollment success rate shall be documented with any reasons for failure to enroll included. Images meeting the quality standards incorporated in ISO/IEC 19794-5:2011 shall automatically enroll at a rate of 97% or better.

Image Comparison for new Images

The facial recognition software services shall allow the Department to input ad-hoc images and conduct 1:N searches on a scheduled or on-demand basis. The results should be available between 5–10 seconds and shall not exceed 25 seconds. These results shall also be in a searchable format.

6.5.4.3. Table 4 Minimum Performance Requirements

Requirement Performance

Measure Occurrence

Liquidated Damages per Occurrence

Image Enrollment for New Images

>97% Daily Fee Amount if resolution time missed, plus additional fee % for each additional hour over resolution time.

Image Comparison for new Images

<10 Seconds - >5 Seconds Not to Exceed 25 seconds

Daily Fee Amount if resolution time missed, plus additional fee % for each additional hour over resolution time.

7. FACIAL RECOGNITION GENERAL REQUIREMENTS

7.1. The facial recognition software services shall be delivered and fully operational within no more than six

(6) months after receipt of notice to proceed and shall provide the following:

7.1.1. Support enrollment of approximately 30 million+ images.

7.1.2. Support enrollment of an average of 5,000 and peak of 10,000 new images each business day.

7.1.3. Support capacity to enroll 100% of daily applicant volume and run the facial comparison for all new images near real time.

7.1.4. Conduct the enrollment and processing of images from a queue accrued during the period of time between transfer of systems. The number of images is not defined due to the unknown variables of time and volume that will overlap between the possible discontinuation of the current systems and the implementation of its replacement.

7.2. The facial recognition software services shall support a core of approximately forty (40) concurrent users. The facial recognition software services shall be capable and scalable to accommodate additional users in the future.

7.2.1. The facial recognition software services shall allow for enrollment of still images, scanned images, and video surveillance frames and shall be able to use images of varying quality levels such as:

7.2.1.1. varied lighting conditions;

7.2.1.2. small image sizes (300 x 300 pixels);

7.2.1.3. low JPEG image quality.

7.3. Connectivity to the Department

7.3.1. To interface to the facial recognition software services, the Department anticipates that we will need to utilize an External Proxy. To connect to the External Proxy, the Department anticipates that we will utilize a Client ID and a set of Credentials to authenticate against the proxy to obtain an access token. Once authenticated, we anticipate that the vendor will call the APIs as required to perform updates for FR transactions.

7.3.2. For user authentication the services/software shall provide MFA integration capabilities (for

ex. SAML, OAuth2) the Agency currently utilizes OKTA as its integration partner. Also the services shall provide support for user based access controls and role based access controls.

7.3.3. All connectivity should be over HTTPS/TLS 1.2 or 1.3 (older versions are not acceptable within the State’s security policies and procedures).

8. IMAGE ENROLLMENT

8.1. The Contractor shall provide enrollment services to enroll approximately 30 million+ images.

8.2. Contractor must specify the length of time required to complete initial enrollment in the proposal. If additional time is needed, then the Contractor must notify the Department in writing with justification of why the initial time frame may not be met.

8.3. The facial recognition software services shall provide a manual enrollment process for any records that are rejected in the automated enrollment process (i.e., “failure to enroll” records). A report of all rejected errors shall be provided at time of occurrence.

9. DAILY PROCESSING PROCEDURES

9.1. Image Enrollment for New Images

9.1.1. The facial recognition software services shall be capable of enrolling all digital images captured by the Department on a daily basis (an average of 5,000 and a peak of 10,000 new images each business day).

9.1.2. Statistics on enrollment success rate shall be documented with any reasons for failure to enroll included. Images meeting the quality standards incorporated in ISO/IEC 19794-5:2011 shall automatically enroll at a rate of 97% or better.

9.1.3. The facial recognition software services shall provide a manual enrollment process for any records that are rejected in the automated enrollment process (i.e., “failure to enroll” records).

9.1.4. Any transfer of the images and customer information files shall utilize REST services.

Processing entails enrollment, 1:1 matching, 1:R matching, 1:N matching and report generation.

9.2. Image Comparison for New Images

9.2.1. The facial recognition software services shall be capable of performing 1:R comparisons for all digital images captured by the Department on a daily basis (an average of 5,000 and peak of 10,000 new images each business day), using the new image against previously stored image(s) for the same customer number. The facial recognition software services shall identify any absolute and suspect non-matches in the 1:R string of images. The results shall be in a searchable format.

9.2.2. The facial recognition software services shall be capable of comparing daily images (an average of 5,000 and peak of 10,000 new images each business day) to every other image in the enrolled database (1:N). Where comparisons meet or exceed a mutually agreed upon match threshold, the facial recognition software services shall generate a candidate match list that is sorted from “most likely” to “least likely”. The results shall be in a searchable format to be specified in the Contractor’s proposal.

9.2.3. The facial recognition software services shall provide the ability for the Department to configure the image match threshold when and if the Department finds this to be necessary.

9.2.4. The facial recognition software services shall allow the Department to input ad-hoc images and conduct 1:N searches on a scheduled or on-demand basis. The results should be available between 5–10 seconds and shall not exceed 25 seconds. These results shall also be in a searchable format.

9.3. Output of Comparisons

9.3.1. The output provided by the facial recognition software services, resulting from the comparison process, shall include the following:

9.3.1.1. A file of customer numbers for all images that passed both the 1:R and 1:N comparisons

9.3.1.2. A queue of images that failed the 1:1 or 1:R comparison (absolute and suspect non-matches)

9.3.1.3. A queue of images that failed the 1:N comparison (absolute and suspect matches).

9.4. Exceptions Processing

9.4.1. The facial recognition software services shall allow for multiple levels of exceptions review with different access roles and update authorities.

9.4.2. The facial recognition software services shall support at minimum two investigator roles and access levels: level 1 and level 2. The role of level 1 is to either clear an exception or pass the exception to the level 2 queue for review. The role of level 2 is to either clear an exception placed in the level 2 queue, or mark it for investigation.

9.4.3. The facial recognition software services shall have the functionality that the first level of the inspection process (level 1) requires a minimum two-person approval for clearing an exception. Using a one or two-person approval process shall be controlled by the system administrator.

9.4.4. When using the two-person level 1 approval process, the facial recognition software services shall:

9.4.4.1. Allow for the level 1 investigator role to have permissions to view any exceptions and either pass to a second level 1 investigator for confirmation of no-fraud or pass to a level 2 investigator for review.

9.4.4.2. Allow the second level 1 investigator to clear an exception if the first level 1 investigator has marked the exception as no-fraud and they agree that no fraud exists. If the second level 1 investigator does not agree that the exception should be cleared, the exception is automatically passed to the level 2 queue.

9.4.5. When using the one-person level 1 approval process, the level 1 investigator role shall have permissions to view any exceptions and either clear the exception or pass to a level 2 investigator for review.

9.4.6. The facial recognition software services shall allow the level 2 investigator to either clear an exception or place it in the investigation queue.

9.4.7. The facial recognition software services shall present level 2 investigators with the full set of records identified as exceptions.

9.4.8. The facial recognition software services allow a level 2 investigator to filter on given information when viewing exceptions in order to narrow the search for matches.

9.4.9. The facial recognition software services shall allow for a level 2 investigator to query a record returned as a possible match to run a 1:N comparison against all photos on the database.

9.4.10. The facial recognition software services shall bypass the level 1 investigator process and go straight to the level 2 queue if the photo matches a photo that has been flagged as potential fraud.

9.4.11. The facial recognition software services must provide an escalation bypass option for all processing levels.

10. INVESTIGATOR SUPPORT

10.1. The facial recognition software services shall provide, as assigned by the facial recognition software services Administrator, user-based access and user-based roles to data and functionality. The access assigned by the facial recognition software services Administrator shall include the ability to:

10.1.1. Manage investigator workload and case assignments based on investigator resources, volumes, priority, etc.

10.1.2. Query the database for specific records to use within a comparison

10.1.3. Execute comparisons to identify duplicate images within a database

10.1.4. Perform searches using predetermined demographic data (e.g. age, gender, height, date of birth, eye color) to filter the comparison database

10.1.5. Support a status flag within records in the database to indicate suspected fraud

10.1.6. Approve for DL/ID issuance

10.1.7. Input and read investigation notes/comments; produce, view, print, and schedule reports

10.1.8. Capability to generate a photo lineup based on comparable descriptors

10.1.9. Option to add mug photos under their own section and capability of running both photo rays when selected.

10.1.10. Option for mobile application to allow searches using a cell phone during search warrants, traffic stops, ports, etc.

10.2. The facial recognition software services shall have the ability to manually set and reset the matching threshold for interactive comparisons, which are accessible by individual investigators during:

10.2.1. Progressive searching of suspected duplicate licenses

10.2.2. Investigation of externally uploaded images

10.2.3. Investigations of duplicate DL/IDs discovered by law enforcement.

10.3. The facial recognition software services user interface should be easy and simple to operate, so occasional users can use the facial recognition software services with minimal training.

10.4. For each image on the summary view, the facial recognition software services shall provide a side-by-side view of the initial candidate image with a view of the candidate exceptions to support detailed evaluation of potential fraud. All images of both the probe and the candidate shall be displayed when required. The facial recognition software services shall also provide the ability to overlay the initial candidate image with the potential exceptions.

10.5. The side-by-side view and overlay view of facial images shall include with each image, the following related data, and images:

10.5.1. Driver License Number

10.5.2. Customer Number

10.5.3. Height

10.5.4. Weight

10.5.5. Date of Birth

10.5.6. Eye Color

10.5.7. Match Score

10.5.8. Gender

10.5.9. Data from Previous Investigations.

10.6. The facial recognition software services shall support progressive searching by using one of the match candidates within the results view as a new initial candidate image in a new interactive comparison.

This function shall enable investigators to broaden their investigation to find additional duplicate licenses or identification cards that may exist.

10.7. The facial recognition software services shall facilitate collaboration during investigation of suspected fraud by allowing users to input and share information within one investigation, and automatically link the data with other investigations involving the same individuals.

10.8. The facial recognition software services shall provide a function to generate printed dossiers with required ADOT disclaimers, and other supporting documents that include images and data for use during formal investigation and/or adjudication activities.

10.9. The facial recognition software services shall provide a function to generate a watch list, which shall be included in a 1:N search. The watch list is used if a person does not exist in the database or identity cannot be determined.

11. CASE MANAGEMENT

11.1. The facial recognition software services shall provide case management functionality that includes but not limited to the following:

11.1.1. Case assignment and tracking

11.1.2. Add manual case number assignment to include unit designator from a dropdown box

11.1.3. Add and view notes

11.1.4. Provide audit trail capability of user who inserted, edited or deleted notes

11.1.5. Case activity reporting

11.1.6. Records purge capabilities based on the date case is closed.

12. REPORTS – GENERAL

12.1. The facial recognition software services shall include reporting functionality. The reporting functionality should be optimized for each aspect of the Facial Recognition Program, including but not limited to the following:

12.1.1. All aspects of the enrollment and matching processes

12.1.2. Analytic and tracking reports

12.1.3. Executive summary information.

12.2. Facial Recognition Software Services Reports

12.2.1. The facial recognition software services shall provide configurable reports of facial recognition software services activities and comparison results which enable the independent evaluation of facial recognition software services performance along with all activities of the facial recognition software services (timestamps, operators, actions).

Examples include but are not limited to the following:

Department Required Reports:

12.2.1.1. Activity reports by user which will contain all activity by that user to serve an as audit trail

12.2.1.2. All cases, including status, date created, etc.

12.2.1.3. All cases by investigator, including status, date created, days outstanding, etc.

12.2.1.4. Ad hoc report capability

Optional Reports desired by the Department:

12.2.1.5. Reporting that is sorted by investigator level (level 1 vs. level 2)

12.2.1.6. Scheduled and on-demand reporting for both pre-defined and ad-hoc reports

12.2.1.7. A report to detail the number of credentials that were sent to print and the number that were flagged as exceptions

12.2.1.7.1 User reports detailing the time the facial recognition software services was accessed, user identification, and the amount of time the facial recognition software services was in use

12.2.1.7.2. Reports detailing enrollment and matching statistics

12.2.1.7.3. Workload and case assignment reports that identify

12.2.1.7.4. Caseload reports including totals by status for each investigator

12.3. Comparison Reports

12.3.1. Comparison reporting results required by the Department will be organized as a list which includes key details that support grouping and sorting for efficiency. Typical details will include but are not limited to the following:

12.3.1.1. Driver License Number

12.3.1.2. Customer Number

12.3.1.3. Gender

12.3.1.4. Height

12.3.1.5. Weight

12.3.1.6. Date of Birth

12.3.1.7. Eye Color

12.3.1.8. Match Score

12.3.1.9. Data from Previous Investigations.

13. DOCUMENTATION AND TRAINING

13.1. Facial Recognition Software Services Documentation

13.1.1. The Contractor shall supply high-level documentation, including detailed documentation of the connections between Contractor’s facial recognition software services and the Department’s system. The Department requires that at least one (1) hardcopy of this documentation be supplied along with one (1) electronic copy. At a minimum, this documentation shall include:

13.1.1.1 Overview of the facial recognition software services software/hosting infrastructure, and connectivity with the Department.

13.1.1.2. Overview of the automatic image enrollment process.

13.1.1.3. Overview of the manual image enrollment process.

13.1.1.4. Overview of the 1:1 comparison process.

13.1.1.5. Overview of the 1:R comparison process.

13.1.1.6. Overview of the 1:N comparison process.

13.1.1.7. Overview of the N:N comparison process.

13.1.1.8. Detailed functional requirement specifications.

13.1.1.9. Detailed interface specifications.

13.1.1.10. Acceptance test documentation.

13.1.2. Updates to the documentation shall be provided as needed or upon request by the Department. Original documentation and any updates shall be provided in Microsoft Word format (docx), or other readable format designated by the Department.

13.2. User Manual

13.2.1. The User Manual shall include the following items, at a minimum:

13.2.1.1. Overview of the facial recognition software services

13.2.1.2. Sample screens and reports

13.2.1.3. Step by step guide on how to manually enroll an image

13.2.1.4. Description of the different sub-menus

13.2.1.5. Step by step guide on how to perform 1:1, 1:R and 1:N comparisons

13.2.1.6. Step by step guide on how to use the case management system

13.2.1.7. Step by step guide on printing reports

13.2.1.8. Facial recognition software services reports and a description of the data elements

13.2.1.9. Adding users and setting permissions and passwords

13.2.1.10. Additional facial recognition software services administrator functions

13.2.1.11. Troubleshooting guide for software issues or problems and where to call for resolution

13.2.1.12. Reference tables

13.2.1.13. Error messages

13.2.1.14. Index.

13.3. Training and Knowledge Transfer

13.3.1. Training and knowledge transfer services consist of providing training for the Department’s technical and application user staff on the functions and features of the proposed facial recognition software services. Delivery methods may include a combination of classroom style, computer-based, individual or other appropriate means of instruction. The Contractor shall at a minimum provide the following training and knowledge transfer services:

13.3.1.1. Subject to the Department’s review and approval, the Contractor shall develop and document procedures that meet training requirements.

13.3.1.2. The Contractor shall develop and document training requirements that support the ongoing provision of the facial recognition software services, including refresher courses as needed and instruction on new functionality.

13.3.1.3. The Contractor shall provide on-site training and documentation materials on the full and complete use of the software and applications provided under this contract.

13.3.1.4. The Contractor shall provide training to the Department in the use of the facial recognition software services at a time determined by the Department.

13.3.1.5. The Contractor shall provide training when substantive technological changes as defined by the Department (e.g., new functionality) are introduced into the Department’s environment, to facilitate full exploitation of all relevant functional features.

13.3.1.6. The Contractor shall provide follow-up training on an as-needed basis, and be available for questions via phone or email throughout the term of the contract.

13.3.1.7. The Contractor shall provide an electronic copy of training materials for the facial recognition software services.

14. DISASTER RECOVERY

14.1. The Contractor shall continually maintain a disaster recovery plan and shall provide the plan for review by the Department upon request.

SPECIAL TERMS AND CONDITIONS

1. CONTRACT TERM

1.1. The term of any resultant contract shall commence on the effective day of award and shall continue for a period of twelve months (12) thereafter, unless terminated, cancelled or extended as otherwise provided herein.

2. CONTRACT EXTENSION

2.1. By mutual written contract amendment, any resultant contract may be extended for supplemental periods of up to a maximum of forty-eight (48) months.

3. ELIGIBLE AGENCIES

3.1. This contract shall be for the exclusive use of the Arizona Department of Transportation.

4. NON-EXCLUSIVE CONTRACT

4.1. This contract shall be for the sole convenience of the Department. The Department reserves the right to obtain like goods or services from another source when necessary. The Off-Contract Purchase Authorization and subsequent procurement shall be consistent with the Arizona Procurement Code.

5. ORDERING PROCESS

5.1. The Department shall issue a purchase order to the Contractor. Each purchase order must cite the contract number. This purchase order shall be the only document required for the Department to order and the Contractor to deliver the material and/or service.

5.2. Any attempts to represent any material and/or service not specifically awarded as being under contract is a breach of the contract and a violation of the Arizona Procurement Code. Any such action is subject to the legal and contractual remedies available to the State inclusive of but not limited to contract cancellation, suspension and/or debarment of the Contractor.

6. SHIPPING TERMS

6.1. Delivery shall be F.O.B. Destination to the location designated herein. Contractor shall retain title and control of all goods until they are delivered. All risk of transportation and related charges shall be the responsibility of the Contractor. All claims for visible or concealed damage shall be filed by the Contractor. The Department will notify the Contractor promptly of any damaged goods and shall assist the Contractor in arranging for inspection.

7. DELIVERY

7.1. Deliveries shall be completed In accordance with the requirements of the contract. Delivery of the product does not constitute acceptance.

8. INVOICING and PAYMENT

8.1. Separate invoices are required for each shipment of product or delivery of service and shall include at a minimum:

● Department Location’s Name and Address

● Vendor Name, Remit to Address and Contact Information

● Contract Number

● Purchase Order Number

● Invoice Number and Date

● Date the items were shipped to the Department

● Contract Line Item Number

● Line Item Description or Item or Service

● Quantity Purchased

● Line Item Unit of Measure

● Price per Unit and Total per Unit

● Catalog or Other Discount (if applicable)

● Net Unit Price and Total per Unit (if applicable)

● Applicable taxes

● Applicable Shipping/Freight Charges

● Total Invoice Amount Due

8.2. Invoices not sent to the proper address, or not containing the necessary and required information may delay payment. A Contractor whose payments are delayed due to improper invoicing shall make no claim against the Department or the State for late or finance charges.

8.3. The Department will make every effort to process payment for the purchase of product within thirty (30) calendar days after the Department has conducted the necessary reviews, inspections and acceptance as described herein.

8.4. The Department acceptance date will be the valid date for starting the thirty (30) calendar day payment period.

8.5. Payment due dates, including discount periods, will be computed from the date of acceptance or date of correct invoice (whichever is later) to the date the Department’s warrant is mailed.

9. ESTIMATED USAGE

9.1. The Department anticipates considerable usage under this contract. The Department reserves the right to increase or decrease actual quantities ordered as circumstances may require. No guarantees are made concerning actual purchases under this contract.

10. PRICE REDUCTION

10.1. A price reduction adjustment may be offered at any time during the term of a contract and shall become effective upon notice through a written contract amendment.

11. PRICE INCREASE

11.1. The Department will review fully documented requests for price increases for any contract which will or has been in effect for twelve (12) months. The request shall be submitted no less than 60 days prior to the contract renewal date. The Contractor shall provide fully documented information which supports the price increase request. Fully documented means that the request shall present detailed information and calculations that make it clear how the claimed increase has an impact on the contract unit prices. All assumptions regarding cost factors that have an impact on the requested increase shall also be clearly identified and justified. The requested price increase must be based upon a cost increase that was clearly unpredictable at the time of the offer and can be shown to directly affect the price of the item concerned. Any price increase adjustment request prior to the time of contract extension will be a factor in the extension review process. The Department will determine whether the requested price increase or an alternate option, is in the best interest of the State.

12. SAFETY STANDARDS

12.1. Items supplied under this contract shall comply with all current applicable safety standards and regulations including the Occupational Safety and Health Standards of the State of Arizona Industrial Commission, the National Electric Code and the National Fire Protection Association Standards.

13. WARRANTY

The Contractor warrants:

13.1. That all services performed hereunder shall conform to the requirements of this contract and shall be performed by qualified personnel in accordance with the highest professional standards.

13.2. That all items furnished hereunder shall conform to the requirements of this contract and shall be free from defects in design materials and workmanship. Any defects of design, workmanship or materials shall be fully corrected by the Contractor (including parts and labor) without cost to the

13.3. The warranty period on workmanship and materials shall be based on a minimum of twelve (12) months from the time of acceptance by the Department.

14. CURRENT PRODUCTS

14.1. All products supplied under this contract shall be in current and ongoing production; shall have been formally announced for general marketing purposes; shall be a model or type currently functioning in a user (paying customer) environment and capable of meeting or exceeding all specifications and requirements set forth in the contract.

15. PRODUCT DISCONTINUANCE

15.1. In the event that a product or model is discontinued by the manufacturer, the Department at its sole discretion may allow the Contractor to provide a substitute for the discontinued item. The Contractor shall request authorization to substitute a new product or model and provide the following:

15.1.1. A formal announcement from the manufacturer that the product or model has been discontinued.

15.1.2. Documentation from the manufacturer that names the replacement product or model.

15.1.3. Documentation that provides clear and convincing evidence that the replacement meets or exceeds all specifications required by the original solicitation.

15.1.4. Documentation that provides clear and convincing evidence that the replacement will be compatible with all the functions or uses of the discontinued product or model.

15.1.5. Documentation confirming that the price for the replacement is the same as or less than the discontinued product or model.

16. CONTRACT ADMINISTRATION

16.1. The Contractor shall contact the assigned Procurement Officer for guidance or direction in matters of contract interpretation or questions regarding the terms, conditions or scope of the contract.

17. NOTICES

17.1. All notices, requests, demands, consents, approvals, and other communications which may or are required to be served or given hereunder (for the purposes of this provisions collectively called “Notices”), shall be in writing and shall be sent by certified United States mail, return receipt requested, or by any other method that provides evidence of receipt, addressed to the party or parties to receive such notice as follows:

a. If intended for the State, to:

Arizona Department of Transportation, Procurement Group

1739 W. Jackson Street, MD 100P Phoenix, Arizona 85007-3276

b. If intended for the Contractor, to the address as identified in the Contractor’s electronic vendor profile.

17.2. Or to such other address as either party may from time to time furnish in writing to the other by notice hereunder. Any notice so mailed shall be deemed to have been given as of the date such notice is received as shown on the return receipt. Furthermore, such notice may be given by delivering personally such notice, if intended for the State, to the Arizona Department of Transportation, Procurement Officer and, if intended for the Contractor, to the person named on the Offer & Contract Award of this contract, or to such other person as either party may from time to time furnish in writing to the other by notice hereunder. Any notice so delivered shall be deemed to have been given as of the date such notice is personally delivered to the other party.

18. CANCELLATION FOR POSSESSION OF WEAPONS ON ADOT PROPERTY

18.1. This contract may be cancelled if Contractor or any subcontractors or others in the employ or under the supervision of the Contractor or subcontractors is found to be in possession of weapons.

18.2. Possession of weapons (firearms, explosive device, knife or blade of more than three inches, or any other instrument designed for lethal or disabling use) is prohibited on ADOT property.

18.3. Further, if the Contractor or any subcontractors or others in the employ or under the supervision of the Contractors or subcontractors are asked by an ADOT official to leave the ADOT property, they are advised that failure to comply with such a request shall result in cancellation of the contract and anyone who refuses, whether armed or not, is subject to prosecution under A.R.S. § 13-1502, "Criminal trespass in the third degree; classification."

19. INDEMNIFICATION CLAUSE

19.1. To the fullest extent permitted by law, Contractor shall defend, indemnify, and hold harmless the

State of Arizona, and its departments, agencies, boards, commissions, universities, and any jurisdiction or agency issuing permits for any work included in the project, and their respective directors, officers, officials, agents and employees (hereinafter referred to as "Indemnitee") from and against any and all claims, actions, liabilities, costs, losses, or expenses, (including reasonable attorney's fees), (hereinafter collectively referred to as "Claims") arising out of actual or alleged bodily injury or personal injury of any person (including death) or loss or damage to tangible or intangible property caused, or alleged to be caused, in whole or in part, by the negligent or willful acts or omissions of Contractor or any of Contractor's directors, officers, agents, employees, volunteers or subcontractors. This indemnity includes any claim or amount arising or recovered under the Workers' Compensation Law or arising out of the failure of Contractor to conform to any federal, state or local law, statute, ordinance, rule, regulation or court decree. It is the specific intention of the parties that the Indemnitee shall, in all instances, except for Claims arising solely from the negligent or willful acts or omissions of the Indemnitee, be indemnified by Contractor from and against any and all Claims. It is agreed that Contractor will be responsible for primary loss investigation, defense and judgment costs where this indemnification is applicable. This indemnification will survive the termination of the above listed contract with the Contractor.

19.2. This indemnity shall not apply if the contractor or sub-contractor(s) is/are an agency, board, commission or university of the State of Arizona.

20. INSURANCE

20.1. The Contractor shall furnish Certificate(s) of Insurance inclusive of the following requirements to the Department. Certificate(s) shall be received within 5 calendar days of notification of contract award by the Procurement Officer.

20.2. Insurance Requirements

20.2.1. Contractor and subcontractors shall procure and maintain, until all of their obligations have been discharged, including any warranty periods under this Contract, insurance against claims for injury to persons or damage to property arising from, or in connection with, the performance of the work hereunder by the Contractor, its agents, representatives, employees or subcontractors.

20.2.2. The Insurance Requirements herein are minimum requirements for this Contract and in no way limit the indemnity covenants contained in this Contract. The State of Arizona in no way warrants that the minimum limits contained herein are sufficient to protect the Contractor from liabilities that arise out of the performance of the work under this Contract by the Contractor, its agents, representatives, employees or subcontractors, and the Contractor is free to purchase additional insurance.

20.2.3. Minimum Scope and Limits of Insurance

Contractor shall provide coverage with limits of liability not less than those stated below.

● General Aggregate $2,000,000

● Products – Completed Operations Aggregate $1,000,000

● Personal and Advertising Injury $1,000,000

● Damage to Rented Premises $50,000

● Each Occurrence $1,000,000

a. The policy shall be endorsed, as required by this written agreement, to include the State of Arizona, and its departments, agencies, boards, commissions, universities, officers, officials, agents, and employees as additional insureds with respect to liability arising out of the activities performed by or on behalf of the Contractor.

b. Policy shall contain a waiver of subrogation endorsement, as required by this written agreement, in favor of the State of Arizona, and its departments, agencies, boards, commissions, universities, officers, officials, agents, and employees for losses arising from work performed by or on behalf of the Contractor.

20.2.4. Business Automobile Liability

Bodily Injury and Property Damage for any owned, hired, and/or non‐ owned automobiles used in the performance of this Contract.

● Combined Single Limit (CSL) $1,000,000

a. Policy shall be endorsed, as required by this written agreement, to include the State of Arizona, and its departments, agencies, boards, commissions, universities, officers, officials, agents, and employees as additional insureds with respect to liability arising out of the activities performed by, or on behalf of, the Contractor involving automobiles owned, hired and/or non‐ owned by the Contractor.

b. Policy shall contain a waiver of subrogation endorsement as required by this written agreement in favor of the State of Arizona, and its departments, agencies, boards, commissions, universities, officers, officials, agents, and employees for losses arising from work performed by or on behalf of the Contractor.

20.2.5. Workers’ Compensation and Employers’ Liability

• Workers’ Compensation Statutory

• Employers’ Liability o Each Accident $1,000,000 o Disease – Each Employee $1,000,000 o Disease – Policy Limit $1,000,000

a. Policy shall contain a waiver of subrogation endorsement, as required by this written agreement, in favor of the State of Arizona, and its departments, agencies, boards, commissions, universities, officers, officials, agents, and employees for losses arising from work performed by or on behalf of the Contractor.

b. This requirement shall not apply to each Contractor or subcontractor that is exempt under A.R.S. § 23‐901, and when such Contractor or subcontractor executes the appropriate waiver form (Sole Proprietor or Independent Contractor).

20.2.6. Technology Errors & Omissions Insurance

● Each Claim $2,000,000

● Annual Aggregate $2,000,000

a. Such insurance shall cover any, and all errors, omissions, or negligent acts in the delivery of products, services, and/or licensed programs under this contract.

b. Coverage shall include copyright infringement, infringement of trade dress, domain name, title or slogan.

c. In the event that the Tech E&O insurance required by this Contract is written on a claims‐made basis, Contractor warrants that any retroactive date under the policy shall precede the effective date of this Contract and, either continuous coverage will be maintained or an extended discovery period will be exercised for a period of two (2) years, beginning at the time work under this Contract is completed.

20.2.7. Additional Insurance Requirements

The policies shall include, or be endorsed to include, as required by this written agreement, the following provisions:

20.2.7.1. The Contractor's policies, as applicable, shall stipulate that the insurance afforded the Contractor shall be primary and that any insurance carried by the Department, its agents, officials, employees or the State of Arizona shall be excess and not contributory insurance, as provided by A.R.S. § 41‐621 (E).

20.2.7.2. Insurance provided by the Contractor shall not limit the Contractor’s liability assumed under the indemnification provisions of this Contract.

20.2.8. Notice of Cancellation

Applicable to all insurance policies required within the Insurance Requirements of this Contract, Contractor’s insurance shall not be permitted to expire, be suspended, be canceled, or be materially changed for any reason without thirty (30) days prior written notice to the…