CTR079003_Contract_Document.pdf

ATTACHMENT 1

OFFER AND ACCEPTANCE

OFFER

TO THE STATE OF ARIZONA:

The undersigned hereby offers and agrees to perform in compliance with all terms, conditions, specifications and amendments of this solicitation and any written exceptions in the Offer. Signature also acknowledges receipt of all pages indicated in the Table of Contents.

Hi-Lite Airfield Services, LLC.

Offeror (Company) Name

20128 NY-12F

Address

Watertown, NY, 13601 City, State, Zip nicholas.lynn@hi-lite.com Email Address son Authorized to Sign Offer

Kelly J Spinner. Vice President Printed Name and Title

Vice President Title

Nicholas Lynn, Estimator Contact Name and Title

9/25/2025 Date iXl By checking this box, Offeror is certifying that it is exempt from the requirements regarding the forced labor of ethnic Uyghurs and boycott of Israel because of one of the following: Contractor is a Sole proprietorship, has fewer than ten (10) employees; or is a non-profit organization.

nicholas lynn@bHite com (315)583-6111 Contact Email Address Contact Phone Number

CERTIFICATION: By signature in the above, Offeror certifies that it:

1. Will not discriminate against any employee or applicant for employment in violation of any Federal anti-discrimination laws, rules, regulations or executive orders, [Arizona] State Executive Orders 2023-09, 2023-01, 2009-09 or A.RS. §§ 41-1461 through 41- 1465;

2. Has not given, offered to give, nor intends to give at any time hereafter any economic opportunity, future employment, gift, loan, gratuity, special discount, trip, favor, or Service to a public servant in connection with the submitted offer. Failure to provide a valid signature affirming the stipulations required by this clause will result in rejection of the Offer. Signing the Offer with a false statement will void the Offer, any resulting contract, and may be subject to legal penalties under law;

3. Complies with A.RS.§ 18-132 when offering electronics or information technology products, Services, or maintenance;

4. Has submitted this Offer as a firm offer for 180 days following the Solicitation due date and time per the Instruction to Offerors.

Any extensions to the Offer Acceptance Period shall be made in accordance with A.AC. R2-7-C310;

5. Did not and will not involve collusion or other anti-competitive practices; and

6. Is not debarred from, or otherwise prohibited from, participating in any contract awarded by federal, state, or local government;

7. Does not participate in, and agrees not to participate in during the term of the contract, a boycott of Israel in accordance with

A.RS.§ 35-393 et seq. (Unless exempt)

8. Does not participate in the use of forced labor of ethnic Uyghurs as described in A.RS. § 35-394. (Unless exempt)

ACCEPTANCE OF OFFER

The offer is hereby accepted.

The Contractor is now bound to sell the Materials or Services listed by the attached Contract and based upon the Solicitation, including all terms, conditions, specifications, amendments, etc., and the Contractor's Offer as accepted by the State.

The Contract shall henceforth be referred to as Contract No.

The effective date of the Contract is __________________ _

The Contractor is cautioned not to commence any billable work or to provide any Material or Service under this Contract until Contractor tor receives purchase order, contract release document, or written notice to proceed.

State of Arizona Awarded this _________ _

Solicitation No: BPM007118 Available online at https://apo.az.gov day of __________ _ 20 ----

Amar Greasham Procurement Manager

Procurement officer signature

Docusign Envelope ID: 8F3B0A22-1150-4D6B-8794-9F50E8557024

October 7th, 2025

25October7

CTR079003

Rev. 03/2025

STATE OF ARIZONA

ARIZONA DEPARTMENT OF TRANSPORTATION

1655 W. Jackson St., MD 100P

Phoenix, AZ 85007

INVITATION FOR BID

SOLICITATION NUMBER: BPM007118

DESCRIPTION: Airport Pavement Management System (APMS) Construction at 7 Airports

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.

Danyelle Ellington Senior Procurement Officer Phone: 602-712-8519 Email: dellington@azdot.gov

This solicitation is issued in accordance with A.R.S. §41-2533 and A.A.C. R2-7-B301 et seq., Competitive Sealed Bidding.

“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) 712-7466. 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) 712-7466.

https://app.az.gov/

TABLE OF CONTENTS

Solicitation No: BPM007118 Available online at

SECTION PAGE

Notice 1

Table of Contents 2

Specifications 3

Special Terms and Conditions 11

Uniform Terms and Conditions 21

EXHIBITS

1 - Title VI/Non-Discrimination Assurances Appendix A 39

2 - Title VI/Non-Discrimination Assurances Appendix E 40

3 – Work Details 41

4 – Payment Bond 43

5 – Performance Bond 44

6 - Safety Program Plan Requirements 45

7 -Asbestos Statement 46

8 -Daily Work Report 47

9 - Subcontractor Questionnaire 48

10 - Application and Certificate of Payment – ADOT APMS Program 49

11 - MPD Billing Summary and Reimbursement Form 50

12 - General Provisions (Division I) Attached in APP

13 - Plans & Special Provisions (Division II) Attached in APP

14 - Technical Provisions (Division III) Attached in APP

SPECIFICATIONS

1. Statement of Need

1.1. Pursuant to the Arizona Procurement Code, A.R.S. §41-2501 et seq., the State of Arizona Department of Transportation (Department), has a requirement for Airport Pavement Management System (APMS) Construction at 4 Airports in Arizona.

2. Introduction and Background

2.1. The Department seeks to promote safe airport operations and to ensure all types, kinds, and classes of aeronautical use exists to the benefit of the public. The Airport Pavement Management Systems (APMS) program aids with maintaining airport facilities across the State and aligns with the vision of the Aeronautics Group to provide an airport system that accommodates demand, supports economic and transportation needs, and maximizes funding resources.

3. General Requirements

3.1. The Contractor shall follow all Airport and FAA (Federal Aviation Administration) rules and regulations and comply with the minimum requirements for construction activity on airports.

3.2. The Contractor shall furnish all necessary labor, tools, equipment, mobilization, materials, supplies, and traffic control services and devices, necessary to effectively perform the required services in accordance with the provided specifications and plans. The Department will not pay for mileage or travel time.

3.3. The Contractor shall perform greater than 51% of the work assigned. The volume of work performed by Subcontractors shall not exceed 49% of the total awarded for each Airport location unless waived by the Department.

3.4. All work is on active airports and airfield safety shall be of primary consideration when putting together the bid package.

3.5. Work Included & Locations

3.5.1. See Exhibit 3, Work Details.

3.6. Record Drawing

3.6.1. In the event the Contractor deviates from the exact requirements of the drawings and/or work specifications of this contract, the Contractor shall continually update one set of drawings to reflect actual materials, dimensions and locations used to complete the work thereunder. At the completion of the work thereunder, the Contractor shall submit to the architect the completed and detailed Record Drawings, formerly known as “As-Builts” for use in maintenance operations and for future work.

3.7. Environmental Quality

3.7.1. The Contractor is required to comply with all applicable standards, orders or requirements issued under Section 206 of the Clean Air Act (42 U.S.C. 1857 (h), Section 508 of the Clean Water Act (22 U.S.C. 1268), Executive Order 11728 and Environmental Protection Agency regulations (40 CFR Part 15) or most current.

Violations shall be reported to the Arizona Department of Environmental Quality and U.S.E.P.A. Assistant Administrator Enforcement (EN-229). Any fines, penalties, etc., regarding Environmental violations will be the sole responsibility of the Contractor.

3.8. Asbestos

3.8.1. Upon Completion, the Contractor shall provide a completed Exhibit 7, Asbestos

Free Certification validating that no materials containing asbestos were used in this project. Final payment shall not be processed until this certification is received.

Should it be determined that asbestos containing materials were used for this project, the Contractor shall be liable for all costs associated with, but not limited to, removal of, disposal of, and any fines or legal actions associated with using asbestos containing materials.

3.9. Advisory Circulars

3.9.1. During work performance, the Contractor shall comply with requirements from the

Advisory Circulars from the U.S. Department of Transportation Federal Aviation Administration, 150/5370-2G, Operational Safety on Airports During Construction AND 150/5210-5D, Painting, Marking, and Lighting of Vehicles used on an Airport, and shall be incorporated into this solicitation. The FAA Advisory Circular be obtained from the following website:

https://www.faa.gov/airports/resources/advisory_circulars/

4. Specific Requirements

4.1. Work Details

4.1.1. The work shall conform to the requirements of the General Provisions (Division I), the

Special Provisions (Division II), the Technical Provisions (Division III), Project Plans and the other Requirements which are a part of these specifications. All Provisions can be found in the solicitation documents in the Arizona Procurement Portal (APP).

4.1.2. For airports with multiple projects, the Contractor shall bid for all projects at an airport;

the Contractor cannot break bids up by the list of individual projects. See Exhibit 3, Work Detail, for the list of projects.

4.2. Project Completion Requirements

4.2.1. Construction timelines are listed in Exhibit 3, Work Detail, from the date of commencement of construction. The Contractor shall complete all awarded Airport projects under this Contract with final closeout within one (1) calendar year from commencement of construction. The Contractor shall submit a project timeline and schedule that details all work to be completed under the contract per the time specified. All projects shall be scheduled and completed as soon as feasible upon receiving Notice to Proceed, with consideration of weather and airport operations.

https://www.faa.gov/airports/resources/advisory_circulars/

4.3. Work Schedule

4.3.1. The Contractor shall provide the Department with a work schedule and an estimated start work date and work completion date prior to beginning an assignment of work.

The Contractor shall examine any special Project Phasing and Special Work Hours mentioned in the Special Provisions (Division II) that may be denoted in the Construction Plans prior to completing the bid. See Exhibit 3, Work Detail.

4.3.2. If not specifically defined in the Construction Plans, all work activities shall be performed only during daylight hours, Monday through Friday, excluding official State Holidays, unless otherwise approved by the Department.

4.3.3. Significant changes in the Contractor's schedule must be submitted in writing to the

Department’s Representative and shall be accompanied by a proposed revised schedule. Upon written approval by the Department, the Contractor may implement the revised schedule.

4.3.4. The Contractor shall adhere to the approved work schedule and shall complete all work during the calendar week in which it is scheduled unless circumstances occur which are beyond the control of the Contractor. If the Contractor falls behind schedule at any time, additional workers shall be assigned at no additional cost to the Department until the work is back on schedule.

4.4. Maintenance & Protection of Traffic

4.4.1. All traffic control shall be maintained through the work area and protected in accordance with the requirements of the Special Provisions in these specifications.

4.4.2. These specifications address only minimum standards for traffic control. If any conditions exist, which in the judgment of the Department or Department’s Representative that requires additional or special traffic control methods or signing, such traffic control shall be supplied by the Contractor at no additional cost to the Department. All traffic control and traffic control devices shall be furnished by the Contractor and must be in place prior to the commencement of work.

4.4.3. The Contractor shall provide a traffic control plan for each location along with a detailed schedule showing the work activities and duration for approval by the Department. Work shall not begin until traffic control has been established according to the approved plan. Any changes to the accepted Traffic Control Plan must be submitted forty-eight (48) hours in advance of scheduled work operations (weekends and holidays excluded).

4.5. Safety, Sanitary & Health Conditions

4.5.1. Contract specifications require all Contractor employees to wear OSHA approved hard hats, high-visibility OSHA approved safety vests, steel-toed footwear, and full-length pants at all times while working within the project areas.

4.5.2. The Contractor shall provide and maintain in a neat and sanitary condition such accommodations for the use of the contractor's employees as may be necessary to comply with the requirements and regulations of the Arizona State Department of Health Services or other authorities having jurisdiction therein.

4.5.3. Attention is directed to Federal, State and local laws, rules and regulations concerning construction safety and health standards. The contractor shall not require any workers to work in surroundings or under conditions that are unsanitary, hazardous or dangerous to their health or safety.

4.6. Equipment

4.6.1. The Contractor shall provide and maintain during the entire period of this contract, equipment sufficient in number, operational condition and capacity to efficiently perform the work and render the services required by this contract. This includes sufficient "back-up" equipment to provide uninterrupted service when equipment breakdown occurs.

4.6.2. The Contractor's vehicles and mobile equipment shall be clearly marked with company name and/or logo and an identification number.

4.6.3. Vehicles used on this project shall be equipped with amber rotating beacons or strobe lights or airport flags. Rotating amber beacon lights shall be equal to code three, 6105 rectangular and/or 550 round for uniformity. All equipment shall be equipped with a backup alarm.

4.7. Suspension of Work

4.7.1. The Contractor shall suspend operations if weather or airport conditions are such that work operations cannot be carried out in a safe and effective manner, or will pose an environmental hazard. If such suspension occurs, the Contractor shall immediately notify the Contract Administrator or their designated representative.

4.7.2. The Department or Department Representative may suspend work operations at any time, when in their judgment, present or impending weather conditions are such that the work cannot be carried out in a safe and effective manner.

4.7.3. The Department or Department Representative shall immediately suspend operations when work performance is observed in violation of safety rules, regulations or practices. Violation of safety rules, regulations or practices may be considered grounds for termination of the contract.

4.8. Brand Name or Equivalent

4.8.1. There are currently a number of products that have been determined, through evaluation and/or testing, to be equivalent to the requirements of these specifications.

The listing of these brands is not intended to limit or restrict competition. Rather, it is to set the standard quality, design, performance and characteristics of the products herein specified. Any bid which proposes products that are of equal quality, type of material, design and performance will be considered if sufficient evidence and information is given to establish it as an equal, and the Department determines the product to be an equal to the named brand and these specifications.

4.8.2. A listing of the products which have performed acceptably and meet FAA standards are as follows:

Description Brand Name

Asphalt Systems, Inc. (ASI)

GSB-88

Crafco Roadsaver 221 or 201 or approved equivalent

Maxwell Maxwell ElastoFlex 650 or approved equivalent

PavePrep Stress Relief Interlayer or approved equivalent

Round-Up Pro Post-emergent herbicide with a surfactant approved equivalent

Trillin Pre-emergent herbicide or approved equivalent

5. Contractor’s Responsibilities

5.1. Invoices shall be submitted using the provided MPD Billing Summary and Reimbursement

(BSR) form in such a way that payment may be completed no more than monthly and no less than quarterly. The MPD Billing Summary and Reimbursement Request Form (BSR), Exhibit 11, must be used to submit invoicing.

5.2. The BSR Billing Report must be completed in its entirety and must be signed. The BSR cannot be processed unless the MPD tracking number is included, and the purchase order number must be the most recent active purchase order number. A single PDF package, assembled in the order with the Billing Report as the first page in landscape format, followed by all required forms of the BSR and then with all other support documentation, and named according to the file naming convention:

5.2.1. {AgencyName INVxxxx MPD0NNN-YY DateSubmitted.pdf} shall be submitted to

Aeroinvoice@azdot.gov.

5.3. The Contractor shall attend the post award meeting and meetings scheduled by Kimley Horn.

The Contractor shall submit the following documents for each site location prior to the scheduled post award meeting.

5.3.1. Safety Plan: Contractor’s Safety Plan Requirements, Exhibit 6.

5.3.2. Personnel List: List with the names and telephone numbers of key personnel and On-

Site Supervisor(s) who will be accountable for day-to-day decisions.

mailto:Aeroinvoice@azdot.gov

5.3.3. Construction Schedule: Preliminary construction schedule questions regarding work request responsibility, procedure, and processing; Airfield Safety; Traffic Control Plan submission; Daily Work Reports, Exhibit 8; Schedule; Airport Coordination; and other concerns of the Contractor and Department shall be addressed at the pre-construction conference.

5.4. Contractor Requirements

5.4.1. The Contractor shall carry on their operations in such a manner that damage is not inflicted to existing grounds, utilities, Navaids, lights, signs, or other structures. The Contractor shall repair or replace any airport property damaged by work operations at their own expense and as directed by the Department. If the damage has to be repaired or replaced by the Department, the cost of such work shall be deducted from the contractor's final payment. Charges for work performed by the Department shall be at the then-current ADOT rate for labor, materials and equipment. No payment shall be made to the Contractor until all damage has been repaired or replaced.

5.4.2. The Contractor and Contractor's employees are strictly prohibited from operating or advertising any commercial enterprise or activity on any premises that are the subject of this contract, except as may be provided under other contracts to which the Department is a signatory, per ARS § 28-7053.

5.5. Contractor’s Employees

5.5.1. All persons engaged in performance of work under this contract shall be, unless otherwise approved by the Department, direct bona fide employees of the contractor and shall not be leased employees, sub-contractors, or independent contractors. The Department may require verification of the nature of employment of the employees.

This requirement is not intended to preclude the use of sub-contractors for specialty services such as traffic control services.

5.5.2. The Contractor shall provide mentally alert, physically fit, adequately trained and qualified employees to ensure contracted services progress in a safe, orderly and timely manner.

5.5.3. Contractor employees and other individuals are prohibited from having firearms or weapons in their possession while on duty or performing the contracted services as stated herein while on airport property.

5.6. Supervision

5.6.1. An On-Site Supervisor shall be in the work area at all times when work operations are taking place. The On-Site Supervisor shall have authority to make decisions concerning day-to-day operations and shall assist the Department's Representative in making on-site inspections and in coordinating other operational requirements. The On-Site Supervisor shall be competent in all matters relating to the specific job tasks, including required licenses and certifications, traffic control plans, devices, services, and safety required under this contract. The On-Site Supervisor shall also possess a copy of this contract and any amendments thereto when performing work under any resultant contract.

5.6.2. The On-Site Supervisor shall possess a means of communications with the Department or the Department’s Representative in advance of and while performing any work under this contract. This form of communication may be cellular telephone or mobile radio.

5.6.3. The On-Site Supervisor shall be certified in First Aid and Cardio-Pulmonary

Resuscitation (CPR). OSHA Regulations, (Standards 29 CFR), First Aid and Medical attention. Code of Federal Regulations, 29 §§CFR 1926.23 and 1926.50(c).

Verification of these shall be provided with the Contractor’s Safety Plan (Exhibit 6) at the time of award.

5.7. Language Requirements

5.7.1. The Contractor's On-Site Supervisor and any workers required to interact with the public, such as Flaggers, must be literate and fluent in the English language. This is not meant to require that all Contractor personnel speak, read and write English.

Some tasks may require only the on-site supervisor, crew leader or a crewmember to speak, read and write English. This requirement is necessary due to the following reasons that include, but are not limited to:

5.7.1.1. Warnings and emergencies and hazards

5.7.1.2. Preparation of reports

5.7.1.3. Communication with Department personnel

5.7.2. Due to the significance of the above listed reasons, the English requirement is being made with the intent that communications between the Contractor representatives and Department personnel and between the Contractor representative and the public will be understood.

5.8. Reports

5.8.1. The Contractor shall prepare a Daily Work Report, Exhibit 8, and other reports as required, and deliver them to the Department. These reports may be modified at any time to meet the needs of the Department.

5.8.2. The Daily Work Report, Exhibit 8, shall include, but is not limited to, the following:

date, beginning and ending site locations, names of employees, work schedules, truck(s) identification number, and the total number of tonnage per day.

5.8.3. Details of unusual activity or occurrences (accidents, vandalism, lost and found articles, etc.) that take place at the work site shall also be documented in the report.

This information may include: name, address, physical description, age, license plate number, vehicle descriptions, etc., of victims, suspects and witnesses. Additional information may include circumstances, time, location, etc., regarding the situation.

This requirement does not remove nor relieve parties from filing police report(s) for any incidents described above.

6. Department’s Responsibilities

6.1. Acts of Nature

6.1.1. The Department will be responsible for all damage to Department property caused by acts of nature. If the damage is so severe that extended closure of the roadway is necessary, the Contractor's duties and compensation may be suspended for the closure period.

6.2. Inspection

6.2.1. The Department shall perform periodic inspections to ascertain Contractor's compliance with contract requirements.

6.3. Work Acceptance

6.3.1. The Department or Department’s Representative shall decide all questions, which may arise as to the quality and acceptability of any work performed under the contract. Work shall be completed in a responsible and professional manner and in accordance with the specifications, schedules, test plans or performance and operating standards, which are incorporated in the work assignment.

SPECIAL TERMS AND CONDITIONS

1. CONTRACT TERM

The term of any resultant contract shall commence on the effective day of award and shall continue for a period of fifteen (15) months thereafter, unless terminated, cancelled or extended as otherwise provided herein.

2. CONTRACT EXTENSION

By mutual written contract amendment, any resultant contract may be extended for supplemental periods of up to a maximum of six (6) months.

3. ELIGIBLE AGENCIES

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

4. NON-EXCLUSIVE CONTRACT

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

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.

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. INVOICING and PAYMENT

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

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.

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.

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

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.

7. ESTIMATED USAGE

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.

8. PRICE REDUCTION

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.

9. CONTRACT ADMINISTRATION

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.

10. SAFETY STANDARDS

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.

11. NOTICES

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 1655 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.

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.

12. CANCELLATION FOR POSSESSION OF WEAPONS ON ADOT PROPERTY

The Contractor or any subcontractors are prohibited from having weapons in their possession or on their person within the building. Weapons shall be stored securely, consistent with A.R.S. § 13- 3118, in the Contractor’s or any subcontractor’s vehicle if there are no storage amenities available at the ADOT facility. 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.

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 except in the manner stated above.

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."

13. ACCURACY OF WORK

The Contractor shall be responsible for the accuracy of the work and shall promptly make all the necessary revisions or corrections resulting from errors and omissions on the part of the Contractor without additional compensation. Acceptance of the work by the Department shall not relieve the Contractor of the responsibility for subsequent correction of any such errors and clarification of ambiguities.

14. INDEMNIFICATION

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.

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.

15. INSURANCE REQUIREMENTS

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

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.

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.

Minimum Scope and Limits of Insurance

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

i) Commercial General Liability (CGL) – Occurrence Form

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

• General Aggregate $5,000,000

• Products – Completed Operations Aggregate $5,000,000

• Personal and Advertising Injury $5,000,000

• Damage to Rented Premises $50,000

• Each Occurrence $5,000,000

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.

ii) 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) $5,000,000

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

iii) 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

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).

iv) Contractors Pollution Liability

For losses caused by pollution conditions that arise from the operations of the Contractor as described in the Scope of Services section of this Contract.

• Per Occurrence $1,000,000

• General Aggregate $2,000,000

a. Coverage must be identified specific to the operations as described in the

Scope of Services in this Contract.

b. Must include coverage for pollution losses arising out of completed operations.

c. Pollution coverage must apply to all locations utilized for the acceptance, storage, or disposal of any hazardous materials.

d. The policy is to be written on an “occurrence” basis with no sunset clause. In the event that the Pollution 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. That either continuous coverage will be maintained, or an extended discovery period will be exercised, for a period of ten (10) years beginning at the time this Contract is terminated.

e. Pollution coverage must apply to all phases of the work described in the Scope of Services in this Contract.

f. The policy shall include coverage for bodily injury, sickness, disease, mental anguish, or shock sustained by any person, including death and medical monitoring costs.

g. The policy shall include coverage for property damage, and physical damage to, or destruction of, tangible property including the resulting loss of use thereof, clean-up costs, and the loss of use of tangible property that has not been physically damaged or destroyed including diminution in value.

h. For losses that arise from the facility, coverage shall apply to sudden and non-sudden pollution conditions including the discharge, dispersal, release or escape of smoke, vapors, soot, fumes, acids, alkalis, toxic chemicals, liquids or gases, waste materials or other irritants, contaminants or pollutants, into or upon land, atmosphere, or any watercourse or body of water which results in cleanup costs, bodily injury or property damage.

i. The policy shall include coverage for environmental damage including physical damage to soil, surface water, ground water, plant, or animal life, caused by pollution conditions and giving rise to cleanup costs.

j. The policy shall include defense including costs, charges and expenses incurred in the investigation, adjustment or defense of claims for such compensatory damages.

k. The policy shall include coverage for asbestos and lead, mold, with no exclusions.

l. The policy shall include Non-Owned Disposal Site coverage.

m. 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.

n. The 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 the Contractor.

Additional Insurance Requirements

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

I. 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).

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

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, emailed, hand delivered or sent by facsimile transmission to (State Representative’s Name, Address & Fax Number).

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.

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.

I. 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.

II. 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 of contract.

III. The certificate shall state that the insurance applies to any and all work performed for or on the behalf of the State of Arizona/ADOT shall be noted on the certificate of insurance.

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.

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.

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.

16. KEY PERSONNEL

It is essential that the Contractor provides adequate experienced personnel, capable of and devoted to the successful accomplishment of work to be performed under this contract. The Contractor must agree to assign specific individuals to the key positions.

The Contractor agrees that, once assigned to work under this contract, key personnel shall not be removed or replaced without written notice to the Procurement Officer. The Contractor shall immediately notify the Procurement Officer of key personnel changes. Replacement personnel shall be of substantially equal ability and qualifications. All key personnel changes are subject to the written concurrence of the Procurement Officer prior to any billable work being performed.

17. LICENSES, PERMITS, CERTIFICATIONS

Contractor, at their expense, shall maintain in current status without any violations, complaints, or suspensions during the term of this contract all Federal, State and Local licenses, permits and certifications required for the operation of a business conducted by the Contractor.

18. PAYMENT BOND

The Contractor shall be required to furnish non-revocable security for the protection of all persons supplying labor and material to the Contractor or any subcontractor for the performance of any work related to the contract. Payment security shall be in the amount of 100% of the total contract price and be payable to the State of Arizona.

Payment security shall be in the form of a payment bond, certified check or cashier’s check.

All payment bonds must be executed on a form substantially equivalent to Exhibit 4.

19. PERFORMANCE BOND

The Contractor shall be required to furnish non-revocable security binding the Contractor to provide faithful performance of the contract in the amount of 100% of the total contract price, payable to the State of Arizona.

Performance security shall be in the form of a performance bond, certified check or cashier’s check. This security must be in the possession of the Department within the time specified or ten days after notice of award if no period is specified. If the Contractor fails to execute the security document as required, the Contractor may be found in default and the contract terminated by the Department. In case of default the Department reserves all rights.

All performance bonds must be executed on forms substantially equivalent to Exhibit 5.

20. SUBCONTRACTORS

It is essential that the Contractor provides adequate experienced subcontractors, capable of and devoted to the successful accomplishment of work to be performed under this contract.

The Contractor agrees that, once assigned to work under this contract, subcontractors shall not be removed or replaced without written notice to the Procurement Officer. The Contractor shall immediately notify the Procurement Officer of subcontractor changes. Replacement subcontractors shall have substantially similar qualifications and experience. All subcontractor changes are subject to the written concurrence of the Procurement Officer prior to any billable work being performed.

21. POST AWARD MEETING

At the discretion of the Department, the Contractor, at their expense, shall attend and participate in post award meetings as scheduled by the Procurement Officer.

UNIFORM TERMS AND CONDITIONS

1. Definition of Terms. As used in this Solicitation and any resulting Contract, the terms listed below are defined as follows:

1.1. “AI” means the science and engineering of making machines capable of performing tasks that are typically associated with human intelligence, such as learning and problem-solving, and includes without limitation: AI systems, classic AI, external AI, generative AI, and large language model (LLM) AI.

1.2. “Attachment” means any item the Solicitation which requires the Offeror to submit as part of the Offer.

1.3. “Contract” means the combination of the Solicitation, including the Instructions to Offerors, the Uniform and Special Terms and Conditions, and the Specifications and Statement or Scope of Work; the Offer and any Best and Final Offers; and any Solicitation Amendments or Contract Amendments.

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

1.5. “Contractor” means any person who has a Contract with the State.

1.6. “Data” means recorded information, regardless of form or the media on which it may be recorded. The term may include technical data and computer software.

The term does not include information incidental to contract administration, such as financial, administrative, cost or pricing, or management information.

1.7. “Days” means calendar days unless otherwise specified.

1.8.…