CTR078895_Contract_Documents.pdf

Nathanael Hudson

Procurement Manager

10/8/2025

Table of Contents

Contract No.: CTR078895

Description: Arizona Out-of-School Time Grant Program

Rev. 03-2025, v12

CONTRACTOR IS STRONGLY ENCOURAGED TO READ THE ENTIRE CONTRACT.

Table of Contents

Scope of Work 3

Exhibit A - Quarterly Narrative Report 9

Exhibit B - Disbursement Request and Financial Report 10

ADES Special Terms and Conditions 11

Uniform Terms and Conditions 33

Attachment 1 - Certification Regarding Lobbying 48

Attachment 2 - Participation in Boycott of Israel 49

Attachment 3 - Certification Regarding: Debarment, Suspension, Ineligibility and Voluntary Exclusion 50

Attachment 4 – Forced Labor of Ethnic Uyghurs Ban 52

Attachment 5 – Affirmation of Central Registry Background Checks 53

Scope of Work

1. ADES Mission and Vision Statements

1.1 ADES Mission: To strengthen individuals, families, and communities for a better quality of life.

1.2 ADES Vision: A thriving Arizona.

1.3 CCSD Mission: The ADES Child and Community Services Division helps individuals and families address immediate needs for safety, shelter, food and housing while building generational well-being and economic independence through quality Child Care and early intervention services that help children and parents thrive.

2. Purpose

2.1 Purpose Statement: To provide assistance to Arizona’s Out-of-School Time (OST) Child Care

Providers as delineated in Senate Bill 1743 (https://www.azleg.gov/legtext/57leg/1R/laws/0241.pdf), Sec. 6. Title 41, chapter 14, article 1, Arizona Revised Statutes, as amended.

2.2 Legal Authority:

2.2.1 A.R.S. § 41-1954(A)(6) provides ADES, hereafter referred to as the Department, the authority to contract and incur obligations within the general scope of its activities and operations.

2.2.2 A.R.S. §41-1954(A)(1)(b) provides ADES with authority to administer individual and family services.

2.3 Funding: ADES is the designated funding holder with funding made available through the

Human Services Act: 2025-2026, Senate Bill 1743, Section 41-1970, page 10 lines 33-45 and page 11 lines 1-42. Total Funding shall not exceed $3,000,000 from Contract effective date through June 30, 2026.

3. Service Description

3.1 Taxonomy Definition:

Program Development: A service that implements a new service(s), improves, expands or integrates an existing service(s).

Child Care (H017-EB): A service that provides supervised planned care for children during a portion of a 24-hour day.

3.2 Actual Service Description:

The Contractor will serve as an intermediary for ADES to implement, manage, and maintain the Arizona Out-of-School Time (OST) Grant Program (Grant Program). The Grant Program supports OST Child Care for children who are at least five (5) and not older than twelve (12) years of age and who require Child Care either when the children are out of school, or during periods of time when school instruction is not being conducted. The goal is to increase the number of eligible pupils with access to OST Child Care, increase access to and the affordability of Child Care for children and their families, and reduce the cost of Child Care to participating families by at least two-thirds (⅔).

https://www.azleg.gov/legtext/57leg/1R/laws/0241.pdf

3.3 Service Eligibility Requirements/Target Population:

3.3.1 Arizona OST Programs that meet the definition of Eligible Grantee, and that agree to:

3.3.1.1 Award Child Care slots to Eligible Pupils.

3.3.2 At least thirty (30) percent of grant monies shall be allocated to Eligible Grantees in rural communities, which may be used in any location in this state if there are insufficient grant applications from rural communities.

3.4 Background: As delineated in Senate Bill 1743

(https://www.azleg.gov/legtext/57leg/1R/laws/0241.pdf), Sec. 6. Title 41, chapter 14, article 1, Arizona Revised Statutes, as amended, the Grant Program fund has been established consisting of legislative appropriations. Senate Bill 1743 requires that ADES establish the Grant Program for children who are at least five (5) and not older than twelve (12) years of age and who require Child Care either when the children are out of school or during periods of time when school instruction is not being conducted which will enable employers to attract and retain a talented workforce.

4. Definitions

4.1 Arizona Department of Economic Security (ADES or Department): The Arizona state agency that works with families, community organizations, advocates and state and federal partners to realize the collective vision that every child, adult, and family in the state of Arizona will be safe and economically secure.

4.2 Child and Community Services Division (CCSD): The subdivision of the ADES that helps individuals and families address immediate needs for safety, shelter, food and housing while building generational well-being and economic independence through quality Child Care and early intervention services that help children and Parents thrive.

4.3 Child Care: The compensated service that is provided to a child who is unaccompanied by a

Parent or guardian during a portion of a twenty-four (24) hour day (A.R.S. §46-801[4]). For the purpose of the Grant Program, the Child Care services being provided shall be limited to before school, after school, or during the periods of time when school instruction is not being conducted.

4.4 Eligible Grantee: A nonprofit organization, public school and public or private Child Care Provider that has demonstrated experience providing Child Care before school, after school or during periods of time when school instruction is not being conducted.

4.5 Eligible Pupils: Children who are at least five (5) and not older than twelve (12) years of age and who reside in a household where the gross household income totals $150,000 or less per year.

4.6 Out-of-School Time (OST): The period of time when students are not actively attending school, encompassing before school, after school or during periods of time when school instruction is not being conducted.

4.7 Outreach: Efforts made to connect with and engage a specific audience, to share information, offer services and build relationships. It can involve various communication methods such as phone calls, emails, social media, or in-person events.

https://www.azleg.gov/legtext/57leg/1R/laws/0241.pdf

4.8 Parent: A biological parent, step parent, legal guardian, foster parent, or someone acting in place of a parent.

4.9 Program(s): Entities that offer OST Child Care to School-Age Children in Arizona.

4.10 School-Age Children: Generally refers to individuals ages five (5) to twelve (12) years of age.

4.11 Statewide: All geographic areas throughout the State of Arizona.

5. General Requirements

The Contractor shall:

5.1 Offer services Statewide with an emphasis on rural communities.

5.2 Conduct Outreach to OST Programs eligible for grant funding.

5.2.1 Ensure efforts are focused on the recruitment of Eligible Grantees in rural communities.

5.3 Meet with the ADES monthly to review the budget, Grant Program implementation, and outreach to OST Programs in rural communities.

5.4 Submit all required reporting documents as outlined in Section 7, Reporting Requirements.

5.5 Administer the Grant Program to accommodate OST Child Care for Eligible Pupils, through actions including, but not limited to:

5.5.1 Collaborating with ADES to develop policies, procedures and compliance measures that are necessary to implement the Grant Program including a mechanism to remove a noncompliant grantee;

5.5.2 Developing an annual grant application process;

5.5.3 Providing grants to assist with the costs of Child Care to Eligible Grantees who participate in the Grant Program; and

5.5.4 Monitoring Eligible Grantees to ensure Grant Program and fiscal compliance.

5.5.4.1 Fiscal compliance includes, but is not limited to, ensuring that Eligible Pupils who receive ADES Child Care Assistance expend ADES Child Care Assistance funds before Child Care payments are made to Eligible Pupils through the Grant Program to an Eligible Grantee.

5.6 Develop metrics to measure the success of the Grant Program.

5.7 Allocate at least thirty percent (30%) of grant monies for Eligible Grantees in rural communities, which may be used in any location in Arizona if there are insufficient grant applications from rural communities.

5.8 Increase the number of Eligible Pupils with access to OST Child Care.

5.9 Increase access to, and the affordability of, Child Care for children and their families.

5.10 Collaborate with ADES to develop a process for collecting data that:

5.10.1 Ensures that the Grant Program funds reduce the cost of Child Care to participating families by at least two-thirds (⅔), and

5.10.2 Reflects how the Grant Program has enabled employers to attract and retain a talented workforce.

6. Payment for Services

The parties agree as follows:

6.1 Administrative Reimbursement

6.1.1 The Contractor shall submit invoices on a monthly basis for reimbursement of allowable administrative costs solely to initiate or administer the Grant Program.

6.1.2 ADES shall reimburse the Contractor within thirty (30) calendar days of receipt of a complete and accurate invoice.

6.1.3 The Contractor’s administrative costs shall not exceed five (5) percent of the total contract.

6.2 Disbursement of Eligible Grantee Funds

6.2.1 Upon execution of this Contract, ADES shall provide payment to the Contractor on a monthly basis for allowable program activities, contingent upon the Contractor’s submission of required documentation.

6.2.2 By the 10th calendar day of each month, the Contractor shall submit a disbursement request for approved Eligible Grantees as outlined in Section A of Exhibit B.

6.3 Supplemental Disbursement

6.3.1 The Contractor may request supplemental disbursement outside the monthly schedule in cases of urgent programmatic need. Such requests must include written justification and are subject to ADES approval.

7. Reporting Requirements

The Contractor shall:

7.1 Submit to ADES detailed financial data and programmatic reports in a format prescribed by

ADES, identifying expenditures to date, program activities, and performance metrics.

7.1.1 Financial reports must include the following as outlined in Section B of Exhibit B:

7.1.1.1 A list of approved Eligible Grantees and the amounts allocated to each,

7.1.1.2 Verification that Grantees meet eligibility requirements, and

7.1.1.3 Cumulative funding obligations made to Eligible Grantees.

7.1.2 Programmatic reports must include the following:

7.1.2.1 Total number of children served by age and by county,

7.1.2.2 Locations of the OST programs, listed by county, and

7.1.2.3 Number of sustained Child Care slots supported by the Grant Program.

7.1.3 Timeline:

7.1.3.1 The financial report must be submitted by the 10th of each month or as needed.

7.1.3.2 The programmatic report must be submitted by the last day of each month.

7.1.4 All Grant Program reports must include the following certification statement: "I hereby certify that, to the best of my knowledge, the information and data presented in each report (e.g., monthly, financial, quarterly, programmatic, narrative etc.) for the Out-of- School Time Grant Program is complete and accurate."

7.1.5 ADES reserves the right to withhold approval of future program activities or to impose additional requirements if reports are incomplete.

7.2 Collaborate with ADES to develop the format for reporting data on a quarterly basis. Quarterly data reports will be submitted to ADES and will include, but not be limited to, the following:

7.2.1 The total number of children who are served by the Grant Program, categorized by age of the child and the county where the child is served.

7.2.1.1 The information provided pursuant to this paragraph may not include any information that identifies, or can be used to identify, a child.

7.2.1.2 The data must show that Grant Program funds reduce the cost of Child Care to participating families by at least two-thirds (⅔).

7.2.1.3 The data must reflect how the Grant Program has enabled employers to attract and retain a talented workforce.

7.2.2 Other data as requested by ADES.

7.3 Submit a Quarterly Narrative Report to ADES. (Exhibit A) summarizing data and information collected as required in Section 7 including, but not limited to:

7.3.1.1 Outreach efforts including outreach to rural programs,

7.3.1.2 Successes and challenges, and

7.3.1.3 Activities to monitor Grant Program and fiscal compliance.

7.4 On or before June 30, 2026 and each year thereafter, the Contractor shall submit an annual report to ADES consisting of a roll-up of data included in the Quarterly Narrative Report and data reports.

7.4.1 The Contractor’s annual report will be submitted by ADES to Arizona’s Governor, President of the Senate, Speaker of the House of Representatives, and the Secretary of State.

8. Notices and Correspondence

8.1 The Contractor shall submit the required certificate of insurance and policy endorsements within ten (10) calendar days of a contract award and shall maintain valid insurance, including policy renewals, on file in the ADES certificate of insurance tracking portal, myCOI.

8.1.1 Upon execution of contract, the Contractor shall register with www.mycoitracking.com to submit Certificates of Insurance,Accord form and Endorsements within 10 business days, as listed in the Special Terms and Conditions.

8.1.2 Compliant copies of the Contractor’s insurance documents shall be kept on file in the Arizona Procurement Portal.

8.1.3 Updated copies of the Contractor’s Certificate of Insurance, Accord form and Endorsements are required to be submitted within 10 calendars of expiration/renewal to www.mycoitracking.com.

8.1.4 Submit all correspondence and questions regarding insurance to:

myCOI 8520 Allision Pointe Blvd.

Ste 223 PMB 49940 Indianapolis, IN 46250 www.mycoitracking.com Phone: (888) 692-6448 ext. 105

8.2 Notices, correspondence, reports and invoices from the Contractor to ADES should be sent to:

By email: dcccontracts@azdes.gov

Or by mail:

Arizona Department of Economic Security Child and Community Services Division Attention: Contract Management Specialist 1789 W. Jefferson Street Mail Drop 85C1 Phoenix, AZ 85007 http://www.mycoitracking.com/ mailto:dcccontracts@azdes.gov

Exhibit A – Quarterly Narrative Report

Exhibit A - Quarterly Narrative Report

This report must be submitted to dcccontracts@azdes.gov within fifteen (15) business days at the end of each quarter.

Please describe outreach efforts and outcomes that have occurred during this reporting period.

Outreach to ADES contracted OST Programs:

Outreach to OST Programs in rural communities:

Other Outreach efforts this quarter:

Please explain successes.

Overall successes:

Describe the impact the OST Grant had on Eligible Grantees:

Describe the impact the OST Grant had on the families enrolled in the grant program (including parents' ability to obtain and/or maintain employment):

Explain challenges and opportunities for improvement, along with the process used to measure them.

Overall Challenges:

Concerns from OST Programs:

Concerns from eligible families enrolled in the grant program:

Grant implementation and monitoring:

Describe activities completed this quarter to monitor Eligible Grantees to ensure grant program and fiscal compliance:

Additional comments:

mailto:dcccontracts@azdes.gov

Exhibit B – Disbursement Request and Financial Report

Description: Arizona Out-of-School Time Grant Program

Rev. 03-2025, v12

Exhibit B - Disbursement Request and Financial Report

Contractor Name:

Date Submitted:

Section A: Disbursement Request

Item Current Request Cumulative to Date Total Award Remaining Balance

Disbursements to Eligible Grantees

Section B: Financial Report

Approved Eligible Grantee

Amount Allocated This Request

Cumulative Allocations to Date

Verification of Eligibility (Y/N)

Comments

Subtotal $ $

ADES Special Terms and Conditions

1. Definition of Terms

In addition to the Uniform Terms and Conditions, Section 1, the following shall apply:

1.1 “Award Date” The date this Contract is executed by the Department. This may or may not be the same date as the “Effective Date” which is the date specified on the Offer and Acceptance or Signature Page.

1.2 “Client Specific Referral” Services or activities for which a referral has been made for a client by an authorized representative of the Department.

1.3 “Contract Amendment” means a written document signed by the Procurement Officer that is issued for the purpose of making changes in the Contract.

1.4 “Department” The Arizona Department of Economic Security (ADES), unless otherwise indicated.

1.5 “Effective Date” The date the Contractor is to start delivering services. The Effective Date is specified on the Offer and Award or Signature Page.

1.6 “Equipment” All vehicles, furniture, machinery, electronic data processing (EDP) equipment, software and all other equipment costing $10,000.00 or more, including all normal and necessary expenses incurred to make the equipment ready for its intended use (e.g., taxes, freight, installation, assembly and testing charges, etc.), and with a useful life of greater than one (1) year.

Equipment as used herein does not include real property (e.g., land, building, structures, or facilities’ improvements).

1.7 “May” or “may” Indicates something that is not mandatory but permissible.

1.8 “Purchase Order” also known as “Purchase Authorization” or “Release Order” is an authorized document to procure goods or services.

1.9 “Shall or “shall” “Must” or “must” Indicates a mandatory requirement. Failure to meet these mandatory requirements may result in the rejection of a proposal as non-responsive.

1.10 “Should” or “should” Indicates something that is recommended but not mandatory. If the Contractor fails to provide recommended information, the State may, at its sole option, ask the Contractor to provide the information.

1.11 “Vulnerable adult” An individual who is eighteen (18) years of age or older who is unable to protect himself from abuse, neglect or exploitation by others because of a physical or mental impairment.

Vulnerable adult includes an incapacitated person as defined in A.R.S. §14-5101.

2. Advertising, Publishing and Promotion of Contract

In addition to the Uniform Terms and Conditions, Section 3.6, the following shall apply:

2.1 The Contractor shall provide to the Department for review and approval all reports or publications

(written, visual or sound) which are funded or partially funded under this Contract, a minimum of fifteen (15) calendar days prior to public release. All reports and publications whether written, visual or verbal shall contain the following statement:

2.1.1 “This program was funded through a contract with the Arizona Department of Economic

Security. Points of view are those of the author and do not necessarily represent the official position or policies of the Department.”

3. Assignment

In addition to the Uniform Terms and Conditions, Section 5.3, the following shall apply:

3.1 Merger, Reorganization or Change of Ownership

3.1.1 A proposed merger, reorganization or change in ownership of the Contractor shall require prior written approval of the Department and may require an assignment of this Contract documented by a Contract Amendment. The Department may terminate this Contract pursuant to the Termination clauses of this Contract, if the Contractor does not obtain prior written approval or the Department determines that the change in ownership is not in the best interest of the State.

3.1.2 The Contractor shall submit a detailed merger, reorganization and/or transition of ownership plan to the Department, for review at least sixty (60) days prior to the effective date of the proposed change.

3.2 This Contract is voidable and subject to immediate cancellation by the Department upon the

Contractor becoming insolvent, or filing proceedings in bankruptcy or reorganization under the United States Code, or assigning any right(s) or obligations under this Contract without the prior written consent of the Department.

4. Audit

In addition to the Uniform Terms and Conditions, Section 3.3, the following shall apply:

4.1 In compliance with the Federal Single Audit Act (31 U.S.C. § 7501-7506 as may be amended), Contractors designated as sub-recipients shall comply with the Uniform Administrative Requirements, Cost Principles, and Audit Requirements for Federal Awards as prescribed in 2 C.F.R. § 200.

4.2 Audits of non-profit corporations receiving Federal or State monies are required pursuant to Federal or State law and shall be conducted as provided in 31 U.S.C. § 7501-7506, and A.R.S. § 35-181.03, as may be amended, and any other applicable statutes, rules, regulations, and standards.

4.3 In accordance with A.R.S. § 35-214, the Contractor shall retain and shall contractually require each subcontractor to retain all data, books and other records (“records”) relating to this Contract for a period of five (5) years after completion of this Contract, except if the Contractor is subject to Health Insurance Portability & Accountability Act of 1996 (Public Law 104-191) in which case such records shall be retained for six (6) years. All records shall be subject to inspection and audit by the State at reasonable times. Upon request by the Department or the Attorney General’s Office, the Contractor shall produce the original of any or all such records.

5. Authorization for Services

5.1 Authorization for performance of services under this Contract shall be made only upon the issuance of a duly authorized Purchase Order (also referred to as “Purchase Authorization” or “Release Order”). The Purchase Order will indicate this Contract number and the dollar amount of funds authorized. The Contractor shall only be authorized to perform services up to the amount on the Purchase Order. The Department shall not have any legal obligation to pay for services in excess of the amount indicated on the Purchase Order.

5.2 No further obligation for payment shall exist on behalf of the Department unless:

5.2.1 The Purchase Order is changed or modified with an official procurement change order, and/or

5.2.2 An additional Purchase Order is issued for purchase of services under this Contract.

6. Reserved

7. Certification of Cost or Pricing Data

By submittal of the offer, the Contractor is certifying that, to the best of the Contractor’s knowledge and belief, any cost or pricing data submitted is accurate, complete, and current as of the date submitted or other mutually agreed upon date. Furthermore, the price to the State shall be adjusted to exclude any significant amounts by which the State finds the price was increased because the cost or pricing data furnished by the Contractor was inaccurate, incomplete, or not current as of the date of certification. Such adjustment by the State may include overhead, profit, or fees. The certifying of cost or pricing data does not apply when contract rates are set by law or regulation.

8. Certification Regarding Lobbying

In addition to the Uniform Terms and Conditions, Section 7.11, the following shall apply:

8.1 The Contractor shall comply with P.L. 101-121, Section 319 (31 U.S.C. section 1352) as may be amended, and 29 C.F.R. Part 93 as may be amended which prohibit the use of federal funds for lobbying and which state, in part: Except with the express authorization of Congress, the

Contractor, its employees or agents, shall not utilize any federal funds under the terms of this contract to solicit or influence, or to attempt to solicit or influence, directly or indirectly, any member of Congress regarding pending or prospective legislation. Indian tribes, tribal organizations and any other Indian organizations are exempt from these lobbying restrictions with respect to expenditures that are specifically permitted by other federal law.

8.2 The Contractor agrees by submittal of the Certification Regarding Lobbying form, in compliance with 49 C.F.R. Part 20.

9. Code of Conduct

The Contractor shall avoid any action that either creates or result in the appearance of its having:

9.1 Divulging or made an inappropriate use of information gathered or discovered pursuant to the performance of its duties under this Contract;

9.2 Acted on behalf of the State without appropriate authorization;

9.3 Provided favorable or unfavorable treatment to anyone;

9.4 Made a decision on behalf of the State that exceeded its authority, could result in partiality, or have a political consequence for the State;

9.5 Misrepresented or otherwise impeded the efficiency, authority, actions, policies, or adversely affected the confidence of the public or integrity of the State; or

9.6 A loss of impartiality when advising the State.

10. Competitive Bidding

If the Contractor is authorized to purchase the supplies and equipment itemized in this Contract for utilization in the delivery of contract services, this Contractor shall procure all such supplies and equipment at the lowest practicable cost and shall purchase all non-expendable items having a useful life of more than one (1) year and an acquisition cost of $1,000 or more, through generally accepted and reasonable competitive bidding processes. Any procurement in violation of this provision shall be considered a financial audit exception.

11. Compliance with Applicable Laws

In addition to the Uniform Terms and Conditions, Section 7.6, the following shall apply:

11.1 In accordance with A.R.S. § 36-557 as may be amended (Purchase of community developmental disabilities services; application; contracts; limitation), as applicable, all recipients of contract services shall have all of the same specified rights as they would have if enrolled in a service program operated directly by the State.

11.2 The Contractor shall comply with the requirements related to reporting to a peace officer or child protective services incidents of crimes against children as specified in A.R.S. §13-3620 as may be amended.

11.3 The Contractor shall comply with all applicable State and Federal statutes and regulations. This shall include A.R.S. § 23-722.01 as may be amended relating to new hire reporting, A.R.S. § 23-

722.02 as may be amended relating to wage assignment orders to provide child support, and A.R.S. § 25-535 as may be amended relating to administrative or court-ordered health insurance coverage for children.

11.4 The Contractor shall comply with the Administrative Simplification rules in Title II of the Health

Insurance Portability and Accountability Act of 1996 (P.L. 104-191) and all Federal regulations that are applicable to the operations of the Contractor by the dates required by the implementing Federal regulations as well as all subsequent requirements and regulations as published.

12. Confidentiality

12.1 The Contractor shall observe and abide by all applicable State and Federal statutes, rules and regulations regarding the use or disclosure of information including, but not limited to, information concerning applicants for and recipients of contract services. To the extent permitted by law, the Contractor shall release information to the Department and to the Attorney General's Office as required by the terms of this Contract, by law or upon their request.

12.2 The Contractor shall comply with the requirements of Arizona Address Confidentiality Program, A.R.S. §41-161 et. seq. The Department will advise the Contractor as to applicable policies and procedures the Department has adopted for such compliance.

13. Contract Term and Option to Extend

13.1 The term of the resultant Contract shall be effective the date specified on the Offer and Acceptance or Signature Page and shall remain in effect for one (1) year or as otherwise specified by this Contract, unless terminated, cancelled, or extended as otherwise provided herein.

13.2 The State has no obligation to extend or renew this Contract. However, the State shall have the right, at its sole option, to renew this Contract in accordance with any extensions the State may receive for supplemental periods up to a maximum Contract term of five (5) years. In the event that the State exercises such right, all terms, conditions and provisions of the original Contract shall remain the same and apply during the renewal period with the exception of price. The Contractor shall agree that the price stated in the original Contract shall apply unless otherwise allowed.

13.3 Any extension or renewal must be made prior to the end of this Contract period specified in this

Contract.

13.4 The Contractor shall not provide services prior to Contract term commencing or after the termination date of this Contract. There shall be no billable activity outside of this Contract effective dates except as otherwise authorized by the Department in writing.

14. Cooperation with the Department’s Investigation

All Contractors, providers, vendors and volunteers shall cooperate fully and truthfully with any Department investigation, including but not limited to an Investigation by Division or Internal Affairs. Failure to adhere to this condition may result in ADES taking all such actions it deems appropriate, including removal of Contractor personnel and/or witness from working with the Department clients up to termination of this Contract with the Department.

15. Data Sharing Agreement

15.1 When determined by the Department that sharing of confidential data will occur with the Contractor, the Contractor shall complete the ADES Data Sharing Request Agreement and submit the completed Agreement to the ADES Program Designated Staff prior to any work commencing or data shared. A separate Data Sharing Request Agreement shall be required between the Contractor and each DES Program sharing confidential data.

15.2 The Data Sharing Request Agreement is located at: http://des.az.gov/documents-center. In the

“Search” field type “Data Sharing” and click “Apply”. The search will produce the following results:

15.2.1 Document Number J-119-Single (For requests involving a single division or program).

16. Evaluation

16.1 The Department may evaluate, and the Contractor shall cooperate in the evaluation of, contract services. Evaluation may assess the quality and impact of contract services, either in isolation or in comparison with other similar services, and assess the Contractor's progress and/or success in achieving the goals, objectives and deliverables set forth in this Contract.

16.2 As requested by the Department, the Contractor shall participate in third-party evaluations relative to Contract impact in support of Department goals.

17. E-Verify

In addition to the Uniform Terms and Conditions, Section 3.12, the following shall apply:

17.1 The Contractor warrants compliance with all Federal immigration laws and regulations relating to employees and warrants its compliance with Section A.R.S. § 23-214(A) as may be amended.

17.2 A breach of a warranty regarding compliance with Federal and State immigration laws and regulations shall be deemed a material breach of this Contract and the Contractor may be subject to sanctions up to and including termination of this Contract.

17.3 Failure to comply with a State audit process to randomly verify the employment records of contractors and subcontractors shall be deemed a material breach of this Contract and the Contractor may be subject to sanctions up to and including termination of this Contract.

17.4 The Department retains the legal right to inspect the papers of any employee who performs work under this Contract to ensure that the Contractor or subcontractor is complying with the warranty above.

http://des.az.gov/documents-center

18. Fair Hearings and Service Recipients' Grievances

18.1 The Contractor shall advise all applicants for and recipients of contract services of their right, at any time and for any reason, to present to the Contractor and to the Department any grievances arising from the delivery of contract services, including, but not limited to, ineligibility determination, reduction of services, suspension or termination of services, or quality of services. The Department may assert its jurisdiction to hear the grievance or refer the matter to the appropriate authority.

18.2 The Contractor, whenever authorized by law, shall maintain a formal system acceptable to and approved by the Department for reviewing and adjudicating grievances by service recipients or subcontractors arising from this Contract.

19. Federal Immigration and Nationality Act

In addition to the Uniform Terms and Conditions, Section 3.11, the following shall apply:

19.1 By entering into this Contract, the Contractor warrants compliance with the Federal Immigration and Nationality Act (FINA) and all other Federal immigration laws and regulations related to the immigration status of its employees. The Contractor shall obtain statements from its subcontractors certifying compliance and shall furnish the statements to the Procurement Officer upon request.

These warranties shall remain in effect through the term of this Contract. The Contractor and its subcontractors shall also maintain Employment Eligibility Verification forms (I-9) as required by the U.S. Department of Labor's Immigration and Control Act, for all employees performing work under this Contract. I-9 forms are available for download at USCIS.GOV.

19.2 The State may request verification of compliance for any Contractor or subcontractor performing work under this Contract.

20. Fees and Program Income

Unless specifically authorized in this Contract, the Contractor shall impose no fees or charges of any kind upon recipients for contract services.

21. Indemnification and Insurance

21.1 Indemnification Clause

21.1.1 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, officers, officials, agents, and employees (hereinafter referred to as “Indemnitee”) from and against any and all claims, actions, liabilities, damages, losses, or expenses (including court costs, attorneys’ fees, and costs of claim processing, investigation and litigation) (hereinafter referred to as “Claims”) for bodily injury or personal injury (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 its owners, officers, directors, agents, employees or subcontractors.

This indemnity includes any claim or amount arising out of, or recovered under, the Workers’ Compensation Law or arising out of the failure of such 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. In consideration of the award of this contract, the Contractor agrees to waive all rights of subrogation against the State of Arizona, its officers, officials, agents, and employees for losses arising from the work performed by the Contractor for the State of Arizona.

21.1.2 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.

21.2 Insurance Requirements

21.2.1 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.

21.2.2 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.

21.3 Minimum Scope and Limits of Insurance

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

21.3.1 Commercial General Liability (CGL) – Occurrence Form

Policy shall include bodily injury, property damage, and broad form contractual liability coverage.

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

21.3.1.1 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.

21.3.1.2 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.

21.3.2 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

21.3.2.1 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.

21.3.2.2 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

21.3.3 Workers’ Compensation and Employers' Liability

Workers' Compensation Statutory Employers' Liability

Each Accident $1,000,000 Disease – Each Employee $1,000,000 Disease – Policy Limit $1,000,000

21.3.3.1 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

21.3.3.2 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).

21.3.4 Professional Liability (Errors and Omissions Liability)

Each Claim $2,000,000 Annual Aggregate $2,000,000

21.3.4.1 In the event that the professional liability 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 that 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.

21.3.4.2 Policy shall cover professional misconduct or wrongful acts for those positions defined in the Scope of Work of this contract.

21.4 Additional Insurance Requirements

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

21.4.1 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).

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

21.5 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 State of Arizona. Within two (2) business days of receipt, Contractor must provide notice to the State of Arizona if they receive notice of a policy that has been or will be suspended, canceled, materially changed for any reason, has expired, or will be expiring. Such notice shall be sent directly to the Department and shall be mailed or emailed to (Arizona Department of Economic Security C/O: myCOI, 1075 Broad Ripple Ave, Suite 313, Indianapolis, IN 46220 or support@myCOItracking.com).

21.6 Acceptability of Insurers

Contractor’s insurance shall be placed with companies licensed in the State of Arizona or hold approved non-admitted status on the Arizona Department of Insurance List of Qualified Unauthorized Insurers. Insurers shall have an “A.M. Best” rating of not less than A- VII. The State of Arizona in no way warrants that the above-required minimum insurer rating is sufficient to protect the Contractor from potential insurer insolvency.

21.7 Verification of Coverage

Contractor shall furnish the State of Arizona with certificates of insurance (valid ACORD form or equivalent approved by the State of Arizona) evidencing that Contractor has the insurance as required by this Contract. An authorized representative of the insurer shall sign the certificates.

21.7.1 All such certificates of insurance and policy endorsements must be received by the State before work commences. The State’s receipt of any certificates of insurance or policy endorsements that do not comply with this written agreement shall not waive or otherwise affect the requirements of this agreement.

21.7.2 Each insurance policy required by this Contract must be in effect at, or prior to, commencement of work under this Contract. Failure to maintain the insurance policies as required by this Contract, or to provide evidence of renewal, is a material breach.

21.7.3 All certificates required by this Contract shall be sent as instructed by the requesting

Department. The State of Arizona project/contract number and project description shall be noted on the certificate of insurance. The State of Arizona reserves the right to require complete copies of all insurance policies required by this Contract at any time.

21.8 Subcontractors

Contractor’s certificate(s) shall include all subcontractors as insureds under its policies or Contractor shall be responsible for ensuring and/or verifying that all subcontractors have valid and collectable insurance as evidenced by the certificates of insurance and endorsements for each subcontractor. All coverages for subcontractors shall be subject to the minimum Insurance Requirements identified above. The Department reserves the right to require, at any time throughout the life of this Contract, proof from the Contractor that its subcontractors have the required coverage.

21.9 Approval and Modifications

The Contracting Agency, in consultation with State Risk, reserves the right to review or make modifications to the insurance limits, required coverages, or endorsements throughout the life of this contract, as deemed necessary. Such action will not require a formal Contract Amendment but may be made by administrative action.

21.10 Exceptions

In the event the Contractor or subcontractor(s) is/are a public entity, then the Insurance Requirements shall not apply. Such public entity shall provide a certificate of self-insurance. If the Contractor or subcontractor(s) is/are a State of Arizona agency, board, commission, or university, none of the above shall apply.

22. IT 508 Compliance

Unless specifically authorized in this Contract, any electronic or information technology offered to the State of Arizona under this Contract shall comply with A.R.S. § 18-131 and § 18-132 as may be amended and Section 508 of the Rehabilitation Act of 1973, which requires that employees and members of the public shall have access to and use of information technology that is comparable to the access and use by employees and members of the public who are not individuals with disabilities.

23. Levels of Service

23.1 If the Contractor determines service recipient eligibility, the Contractor shall maintain and regulate the units or services set forth in this Contract to ensure continuity and availability of services to eligible persons during the term of this Contract and during any transition to a subsequent contractor.

23.2 The Department makes no guarantee to purchase specific quantities of goods or services, or to refer eligible persons as may be identified or specified herein. Further, it is understood and agreed that this Contract is for the sole convenience of the Department and that the Department reserves the right to obtain like goods or services from other sources when such need is determined necessary by the Department.

23.3 Any administration within the Department may obtain services under this Contract.

23.4 Contract services may be moved or expanded to other site locations within the geographic area awarded only by a written Contract Amendment.

23.5 The Department makes no guarantee to purchase all of the service units authorized or to provide any number of referrals. If quantities of units are specified, they are estimates only and the Department may decrease and/or increase them by providing written notice to the Contractor.

23.6 When the method of compensation for the service is Fixed Price with Price Adjustment, this

Contract may be amended, by mutual agreement, to purchase additional services by increasing this Contract’s itemized service budget and/or budget summary.

24. Limited English Proficiency

The Contractor shall ensure that all services provided are culturally relevant and linguistically appropriate to the population to be served following the ADES Policy, Limited English Proficiency, DES 1-01-34. To ensure compliance, the policy may be obtained at the following location: https://des.az.gov/digital-library/limited-english-proficiency.

25. Non-Availability of Funds

In addition to the Uniform Terms and Conditions, Sections 4.5 and 4.6, the following shall apply:

In accordance with A.R.S. § 35-154, every payment obligation of the State under this Contract is conditioned upon the availability of funds appropriated or allocated for payment of such obligation. If funds are not allocated and available for the continuance of this Contract, this Contract may be terminated by the https://des.az.gov/digital-library/limited-english-proficiency https://des.az.gov/digital-library/limited-english-proficiency

State at the end of the period for which funds are available. The Director of the Department shall have the sole and unfettered discretion in determining the availability of funds. No liability shall accrue to the State in the event this provision is exercised, and the State shall not be obligated or liable for any future payments or for any damages as a result of termination under this paragraph.

26. Non-Discrimination

In addition to the Uniform Terms and Conditions, Section 3.2, the following shall apply:

26.1 Unless exempt under Federal law the Contractor shall comply with Title VII of the Civil Rights Act of 1964 as amended. Contractor shall comply with the Age Discrimination in Employment Act. The Contractor shall comply with the Rehabilitation Act of 1973, as amended, which prohibits discrimination in the employment or advancement in employment of qualified persons because of physical or mental handicap. The Contractor shall comply with the requirements of the Fair Labor Standards Act of 1938, as amended.

26.2 The Contractor shall comply with Title VI of the Civil Rights Act of 1964, which prohibits the denial of benefits of or participation in contract services on the basis of race, color, or national origin. The Contractor shall comply with the requirements of Section 504 of the Rehabilitation Act of 1973, as amended, which prohibits discrimination on the basis of disability in delivering contract services;

and with Title II of the Americans with Disabilities Act, and the Arizona Disability Act, which prohibit discrimination on the basis of physical or mental disabilities in the provision of contract programs, services and activities.

26.3 The following shall be included in all publications, forms, flyers, etc. that are distributed to recipients of contract services:

26.3.1 “Under Titles VI and VII of the Civil Rights Act of 1964 (Title VI and VII) and the Americans with Disabilities Act of 1990 (ADA) Section 504 of the Rehabilitation Act of 1973 and the Age Discrimination Act of 1975, (AzCASE) prohibits discrimination in admissions, programs, services, activities or employment based on race, color, religion, sex, national origin, age, and disability. The (AzCASE) must make a reasonable accommodation to allow a person with a disability to take part in a program, service, or activity. Auxiliary aids and services are available upon request to individuals with disabilities. For example, this means that if necessary, the (AzCASE) must provide sign language interpreters for people who are deaf, a wheelchair accessible location, or enlarged print materials. It also means that the (AzCASE) will take any other reasonable action that allows you to take part in and understand a program or activity, including making reasonable changes to an activity.