FINAL SPECIFICATIONS w NTB HWY ME 26 006.pdf

STATE OF HAWAII

DEPARTMENT OF TRANSPORTATION

HIGHWAYS

HONOLULU, HAWAII

SPECIAL PROVISIONS, SPECIFICATIONS, PROPOSAL, AND CONTRACT

FOR

FURNISHING AND DELIVERING OF ADOPT-A-HIGHWAY SUPPLIES

TO HIGHWAYS DISTRICT OFFICES AND BASEYARDS

PROJECT NO. HWY-ME-26-006

ISLANDS OF HAWAII, KAUAI, LANAI, MAUI, MOLOKAI, AND OAHU

NTB-1

NOTICE TO BIDDERS

Hawaii Revised Statutes (HRS), Chapter 103D

The receiving of bids for FURNISHING AND DELIVERING OF

ADOPT-A-HIGHWAY SUPPLIES TO HIGHWAYS DISTRICT OFFICES AND

BASEYARDS, ISLANDS OF HAWAII, KAUAI, LANAI, MAUI, MOLOKAI, AND

OAHU, PROJECT NO. HWY-ME-26-006, will begin as of the HIePRO Release Date.

Bidders shall register and submit complete bids through HIePRO only. Refer to the following

HIePRO link for important information on Vendor Registration:

https://hiepro.ehawaii.gov/welcome.html.

The solicitation, specifications, proposal, and additional documents designated or incorporated by reference shall be available in HIePRO.

HIePRO OFFER DUE DATE AND TIME is August 4, 2026, at 2:00 p.m., Hawaii

Standard Time (HST). Bidders shall submit and upload the complete proposal to HIePRO prior to the offer due date and time. Proposals received after said due date and time shall not be considered. Any additional support documents explicitly designated as confidential and/or proprietary shall be uploaded as a separate file to HIePRO. Bidders shall not include confidential and/or proprietary documents as part of their proposal. The record of each bidder and their respective proposal shall be open to public inspection. FAILURE

TO UPLOAD THE PROPOSAL TO HIePRO SHALL BE GROUNDS FOR REJECTION.

The scope of work consists of furnishing and delivering Adopt-A-Highway supplies to

Highways District Offices and Baseyards on the Islands of Hawaii, Kauai, Lanai, Maui, Molokai, and Oahu on an open end, “as-needed” basis.

NTB-2

All Request for Information (RFI) questions and Substitution Requests shall be submitted in HIePRO no later than July 13, 2026, at 2:00 p.m., HST. RFI questions received after the stated deadline shall not be addressed. Substitution Requests received after the stated deadline shall not be considered. Verbal RFI(s) shall not receive a response. All responses to RFI questions shall be provided for clarification and information only and issued by formal addendum. Any amendments to the solicitation shall be made by formal addendum and posted in HIePRO.

If there is a conflict between the solicitation and information stated in the responses to

RFI questions, the solicitation shall govern and control, unless as amended by formal addendum.

Campaign contributions by State and County Contractors. Contractors are hereby notified of the applicability of HRS § 11-355 which states that campaign contributions are prohibited from specified State or County government contractors during the term of the contract if the contractors are paid with funds appropriated by a legislative body. For more information, contact the Campaign Spending Commission at (808) 586-0285.

Protests. Any protest of this solicitation shall be submitted in writing to the Director of

Transportation, in accordance with HRS § 103D-701 and Hawaii Administrative Rules § 3-126.

The Equal Employment Opportunity Regulations of the Secretary of Labor implementing

Executive Order 11246, as amended, shall be complied with on this project.

The U.S. Department of Transportation Regulation entitled “Nondiscrimination in

Federally Assisted Programs of the U.S. Department of Transportation”, Title 49, Code of

Federal Regulations (CFR), Part 21, is applicable to this project. Bidders are hereby notified that the Department of Transportation shall affirmatively ensure that the contract entered into pursuant to this advertisement shall be awarded to the lowest responsible bidder without

NTB-3

discrimination on the grounds of race, color, national origin, or sex (as directed by

23 CFR Part 200).

For additional information, contact Mindy Kimura, Project Manager, by phone at

(808) 260-5783, or by email at mindy.k.kimura@hawaii.gov.

The State reserves the right to reject any or all proposals and to waive any defects in said proposals in the best interest of the public.

ROBIN K. SHISHIDO

Deputy Director of Transportation for Highways

HIePRO RELEASE DATE: July 2, 2026

HWY-ME-26-006 6/26/2026

-1-

TABLE OF CONTENTS

Page No.

Special Provisions ......................................................................................................... SP-1 - SP-6

Specifications (Serv.)

Section 1 Definition and Terms ............................................................... 1-1 - 1-4

Section 2 Proposal Requirements and Conditions ................................ 2-1 - 2-3

Section 3 Award and Execution of Contract.......................................... 3-1 - 3-4

Section 4 Scope of Work........................................................................... 4-1 - 4-3

Section 5 Control of Work ................................................................. 5-1 - 5-2

Section 6 Control of Material and Equipment ..................................... 6-1 - 6-3

Section 7 Legal Relations and Responsibility....................................... 7-1 - 7-4

Section 8 Prosecution and Progress ................................................... 8-1 - 8-7

Section 9 Payment .............................................................................. 9-1 - 9-2

Section 10 Furnishing and Delivering of Adopt-A-Highway Supplies ………...................................... 10-1 - 10-17

Appendices

Appendix A Estimated Annual Quantities …………...................................... A-1 – A-2

Appendix B Sample – Invoice …………………..…………………............... B-1

Proposal ……………………...…………………………………………………….. PF-1 – PF-5

Proposal Schedule ………………………………………………………….. PF-6 – PF-20

Forms

Sample Contract .............................................................................................. KF-1 – KF-3

HIGHWAYS

HONOLULU, HAWAII

SPECIAL PROVISIONS

SP-1

SPECIAL PROVISIONS

The specifications contain herein are amended as follows:

A. SECTION 1 – DEFINITIONS AND TERMS shall be amended as follows:

1. 1.33 SUBCONTRACTOR is amended by deleting it and replacing it with the following:

“1.33 SUBCONTRACTOR – An individual, partnership, firm, corporation, or joint venture, or other legal entity, as licensed or required to be licensed under Chapter 444, Hawaii Revised Statutes, as amended, which enters into an agreement with the Contractor to perform a portion of the work.”

2. 1.38 WORKING DAY shall be amended in its entirety to read as follows:

“1.38 WORKING DAY - Every day, except Saturdays, Sundays, State holidays as applicable and as observed.

Normal working days and hours for the project are defined as Monday through Friday, 8:30 A.M. to 3:00 P.M. Hawaii Standard Time, except for State Holidays.

State holidays are as follows:

New Year's Day (The first day in January) Dr. Martin Luther King, Jr. Day (The third Monday in January) President's Day (The third Monday in February) Prince Jonah Kuhio Kalanianaole Day (The twenty-sixth day in March) Good Friday (The Friday preceding Easter Sunday) Memorial Day (The last Monday in May) King Kamehameha Day (The eleventh day in June) Independence Day (The fourth day in July) Statehood Day (The third Friday in August) Labor Day (The first Monday in September)

General Election Day (The first Tuesday in November following the first Monday of even numbered years)

Veterans Day (The eleventh day in November) Thanksgiving Day (The fourth Thursday in November) Christmas Day (The twenty-fifth day in December)

State Holiday schedules can be obtained online at:

http://dhrd.hawaii.gov/state-observed-holidays/”

SP-2

3. Add the following new subsections:

“1.39 HAWAII ePROCUREMENT SYSTEM (HIePRO) – The State of Hawaii eProcurement System for issuing solicitations, receiving proposals and responses, and issuing notices of award.”

1.40 ENGINEER – The respective District Engineer, acting directly or through their duly authorized representatives, who are responsible for the District engineering supervision of operations and other highway matters."

B. SECTION 2 – PROPOSAL REQUIREMENTS AND CONDITIONS shall be amended as follows:

1. 2.3 DELIVERY OF PROPOSALS is amended by replacing the entire subsection with the following:

“2.3 DELIVERY OF PROPOSALS – Bidders shall submit and upload the complete proposal to HIePRO prior to the bid opening date and time.

Proposals received after said due date and time shall not be considered. Any additional support documents explicitly designated as confidential and/or proprietary shall be uploaded as a separate file to HIePRO. Bidders shall not include confidential and/or proprietary documents with the proposal.

The record of each bidder and respective bid shall be open to public inspection.

Original (wet ink, hard copy) proposal documents are not required to be submitted. Contract award shall be based on evaluation of proposals submitted and uploaded to HIePRO.

FAILURE TO UPLOAD THE COMPLETE PROPOSAL TO HIePRO

SHALL BE GROUNDS FOR REJECTION OF THE BID.

If there is a conflict between the specification document and the HIePRO solicitation, the specifications shall govern and control, unless otherwise specified.”

2. 2.4 WITHDRAWAL OF PROPOSALS is amended by replacing the entire subsection with the following:

“2.4 WITHDRAWAL OF PROPOSALS – Bids may be modified or withdrawn prior to the bid opening date and time. Withdrawal or revision of proposal shall be completed, and submitted and uploaded to HIePRO prior to the bid opening date and time.”

3. 2.5 PUBLIC OPENING OF PROPOSALS is not applicable.

SP-3

C. SECTION 4 – SCOPE OF WORK shall be amended as follows:

1. 4.5 PRICE ADJUSTMENT is amended by adding the following paragraph to the end of the subsection:

"No price increase adjustment shall be allowing during the first twelve (12) month term of the contract. The Contractor may submit a price increase adjustment request prior to the renewal of each subsequent twelve (12) month term for items(s) awarded provided proper and formal justification is submitted to the State to substantiate the price adjustment."

2. Add the following new subsections:

“4.7 CONTRACT TO BE INDEFINITE QUANTITY/ “AS-NEEDED” – The requirement for materials to be furnished and delivered by the Contractor will be on an indefinite quantity/ “as-needed” basis as called for in these specifications at the applicable unit price bid during the term of this contract, including any extensions, and in such quantities as required by the State. The unit price shall be applicable and binding under the terms of this contract.

Payment for furnishing and delivering of the materials shall be paid by a purchasing card (pCard) or Purchase Order.”

D. SECTION 6 – CONTROL OF MATERIAL AND EQUIPMENT shall be amended as follows:

1. 6.1 DEFECTIVE MATERIALS is amended as follows:

The first sentence of 6.1 DEFECTIVE MATERIALS shall be replace with the following:

"6.1 DEFECTIVE MATERIALS – All materials damaged, spoiled, or not conforming to the requirements of the specifications or the special provisions shall be considered defective and all such materials shall be rejected and the Contractor shall be responsible for replacing the defective materials."

2. 6.2 TRADE NAMES AND ALTERNATIVES is amended as follows:

The first paragraph of A. QUALIFICATION BEFORE BID OPENING shall be replaced with the following:

“A. QUALIFICATION BEFORE BID OPENING – When the specifications and/or plans specify one or more manufacturer's brand names of materials or equipment to indicate a quality, style, appearance, or performance, the bidder will be assumed to have based its bid on one of the specified named products, except where such proprietary product are specified, alternate brands may be qualified if found equal or better by the Department. The bidder shall submit a request to the

SP-4

Department for review and approval at the earliest date possible. As specified in the Notice to Bidders, all requests shall be posted as a question in HIePRO under the “Question and Answer” tab. Supporting documents for specific request shall be emailed to the Project Manager specified in the Notice to Bidders. Request must be posted in HIePRO and supporting documents received by the Project Manager no later than twenty-one (21) calendar days before the bid opening date.”

3. 6.2 TRADE NAMES AND ALTERNATIVES is amended as follows:

The first sentence of the second paragraph of A. QUALIFICATION BEFORE BID OPENING shall be replaced with the following:

“It shall be the responsibility of the bidder to submit sufficient evidence based upon which a determination can be made by the Department that the alternate brand is a qualified equivalent.”

E. SECTION 8 – PROSECUTION AND PROGRESS shall be amended as follows:

1. 8.6 LIQUIDATED DAMAGES shall be amended by adding the following paragraphs to the end of the subsection:

“If the Contractor finds it impossible for reasons beyond their control to furnish and deliver materials within the specified delivery time, the Contractor shall verbally notify the District Office's or Baseyard's Point of Contact of the forthcoming delay. The Contractor shall then make a written request to the District Office's or Baseyard's Point of Contact for an extension of time setting forth therein the reasons which the Contractor believes will justify the granting of its request. Extensions for the furnishing and delivery of materials shall be considered only with written notice prior to the delivery deadline. Written requests will not be considered without a copy of the factory order, factory confirmation of order, and documents substantiating that the cause(s) for delay is, in fact, beyond the control of the Contractor. The State may extend the time for the furnishing and delivery of materials in such extension as the conditions justify. The extended time for completion shall then be in full force and effect the same as it were the original time for completion.

The Contractor shall be obligated to furnish and deliver the materials as awarded in accordance with the terms and conditions stated herein. If the Contractor is unable to deliver the materials as stated under this contract, and the State does not grant a delivery extension, it shall be the Contractor's responsibility to obtain prior approval for the delivery of an acceptable substitute at the unit price as stated. It shall be the Contractor's responsibility to obtain such substitute.

SP-5

Failure to comply with the requirements of this contract shall result in liquidated damages sustained by the State. The following assessments will be made against the Contractor as liquidated damages:

a. $25.00 for each and every working day for the failure of the Contractor to satisfactorily furnish and deliver the materials in whole or in part as specified herein.

b. Liquidated damages, if assessed, shall be deducted from payment due or to become due to the Contractor.

If the Contractor consistently needs to substitute materials or refuses to substitute materials, the Engineer reserves the right to terminate the contract and/or initiate suspension and debarment procedures pursuant to Chapter 3-126, Legal and Contractual Remedies, Hawaii Administrative Rules."

F. SECTION 9 – PAYMENT shall be amended as follows:

1. 9.2 PROGRESS PAYMENTS – shall be amended in its entirety to read as follows:

"The furnishing and delivery of materials under this contract shall be paid for by pCard or Purchase Order based on the Contractor's invoice for the type and amounts of materials provided at the contract unit prices, and if necessary, adjusted to account for any liquidated damages.

The Contractor shall forward the original invoice to the respective District Office or Baseyard who will process for payment.

Refer to Section 10.9 – Basis for Payment, of the Specifications.

No payment shall be construed as the acceptance of defective work or latent defects to the furnishing and delivery of materials.

To expedite processing of all payments for services rendered, the Contractor shall forward copies of the invoice to the following respective address (refer to Specifications Section 10.2(D)1 – Delivery Locations for the respective addresses of the participating District Offices and Baseyards):

Department of Transportation, Highways Recipient District/Baseyard Recipient District/Baseyard Address City, HI Zip Code

SP-6

Each invoice shall include but not limited to the following information:

(a) Contractor’s Name, Address, and Phone Number.

(b) Contract Number, Project Number, Project Title, and Purchase Order No.

(c) Recipient District Office/Baseyard, Address, and Phone Number.

(d) Invoice No., Date, and Due Date.

(e) List of the type and number of items delivered to the recipient District

Office/Baseyard.

(f) Deductions, as applicable, shall be included in the invoices and subtotals and labeled as such below:

i. Liquidated Damages — as specified in Subsection 8.6 Liquidated

Damages of the Special Provisions."

Refer to the Sample Invoice details as shown in Appendix B.

SPECIFICATIONS

Mtls. & Serv.

1-1 1/22/04

SECTION 1 - DEFINITION AND TERMS

Whenever the following pronouns are used in these specifications, or in any documents or instruments where these specifications govern, the intent and meaning shall be interpreted as follows:

1.1 ADDENDA - A written document which may be issued by the

Director during the bidding period involving changes to the specifications and plans, if any, which shall be considered and made a part of the contract.

1.2 AIRPORTS DIVISION - Airports Division, Department of

Transportation, State of Hawaii.

l.3 AWARD - The written acceptance of a proposal by the State.

1.4 BIDDER - Any individual, partnership, corporation or

other legal entity, or combination thereof, submitting a proposal for the work contemplated, acting either directly or through a duly authorized representative.

1.5 CALENDAR DAY - Every day shown on the calendar. If no

designation of calendar or working day is made, “day” shall mean calendar day.

1.6 CHANGE ORDER - A written order issued by the Director to

the Contractor requiring the contract work to be performed in accordance with a change or changes that may involve an adjustment in contract time and price or requiring performance of any unforeseen work essential to complete the contract.

1.7 CONTRACT - The written agreement between the State and

the Contractor setting forth the obligations of the parties thereunder, including, but not limited to, the performance of the work, the furnishing of labor and materials, and the basis of payment.

The contract includes the (1) notice to bidders, (2) proposal, (3) contract form and contract bond, (4) specifications, (5) special provisions and plans, if any, (6) addenda, (7) notice to proceed, and (8) change orders and agreements that are required to complete the work, all of which constitute one instrument.

1.8 CONTRACT BOND - The approved form of security, executed

by the Contractor and its Surety or Sureties, guaranteeing the completion of the work in accordance with the terms of the contract, and guaranteeing full payment of all claims for labor, materials, and supplies used or incorporated in the work.

1-2 1/22/04

1.9 CONTRACT TIME - The number of working days or calendar

days allowed for completion of the contract, including authorized time extensions.

If a calendar date is specified as the date of completion in lieu of the number of working days or calendar days, the contract shall be completed by that date.

In case the contract is for a specified period of time, the contract time shall be for said specified period of time.

1.10 CONTRACTOR - The individual, partnership, corporation

or other legal entity, or combination thereof, contracting with the State for performance of the prescribed work.

1.11 DEPARTMENT - The State Department of Transportation.

1.12 DIRECTOR - The Director of Transportation, acting

either directly or through the Director's duly authorized representative.

1.13 EQUAL OR APPROVED EQUAL - Whenever this term is used in

the specifications and plans, if any, it means a brand or article pre-qualified in accordance with Section 6.2 Trade Names and Alternates and which may be used in place of the one specified.

1.14 H.A.R. or HAR - Hawaii Administrative Rules.

1.15 H.R.S. or HRS - Hawaii Revised Statutes.

1.16 HARBORS DIVISION - Harbors Division, Department of

Transportation, State of Hawaii.

1.17 HIGHWAYS DIVISION - Highways Division, Department of

Transportation, State of Hawaii.

1.18 HOLIDAYS - The days which are set apart and established

as State holidays pursuant to Section 8-1, H.R.S.

1.19 INSPECTOR - The Director's authorized representative

assigned to make detailed inspections of contract performance and materials supplied.

1.20 NOTICE TO BIDDERS - The public announcement, as

required by law, inviting proposals for the work to be performed or materials to be furnished.

1-3 1/22/04

1.21 NOTICE OF FINAL ACCEPTANCE - Written notice from the

Director to the Contractor that the entire contract has been completed in all respects in accordance with the specifications and plans, if any, and any changes thereof previously approved by the Director.

1.22 NOTICE TO PROCEED - Written notice from the Director to

the Contractor advising the Contractor of the date on which he is to begin the prosecution of the work.

1.23 PLANS - The contract drawings approved by the Director

which show the location, character, dimensions and details of the work to be done and shall be a part of the contract.

1.24 PROCUREMENT OFFICER - The Director's duly authorized

representative including project managers, project engineers and contract administrators assigned to prepare, evaluate and administer contracts for the purchasing of goods and services.

1.25 PROPOSAL (OR BID) - The offer of a bidder, on the

prescribed form, to perform the work and to furnish the labor and materials at the prices quoted.

1.26 PROPOSAL FORM - The approved format prepared by the

Department or a facsimile thereof on which bids for the work must be prepared and submitted. (Reasonable facsimile acceptable for bidding.)

1.27 PROPOSAL GUARANTY - The security furnished with a

proposal to guarantee that the bidder will enter into the contract and furnish all other requirements if the bidder's proposal is accepted.

1.28 QUALIFICATION QUESTIONNAIRE - The specified forms on

which the bidder shall furnish required information as to the bidder's ability to perform and finance the work.

1.29 S.L.H. or SLH - Session Laws of Hawaii.

1.30 SPECIAL PROVISIONS - Revisions to the specifications.

The specific clauses setting forth conditions or requirements peculiar to the project under consideration which are not thoroughly or satisfactorily stipulated in these specifications.

1.31 SPECIFICATIONS - The directions, provisions, and

requirements pertaining to the method and manner of performing the work and to the quantities and qualities of materials to be furnished under the contract.

1.32 STATE - The State of Hawaii.

1-4 1/22/04

1.33 SUBCONTRACTOR - An individual, partnership, corporation, other legal entity, or any combination thereof, that enters into an agreement with the Contractor to perform a portion of the work for the Contractor.

1.34 SUPERINTENDENT - The Contractor's representative who is

responsible for and in charge of the work.

1.35 SURETY - The corporation, partnership or individual, other than the Contractor, executing a bond furnished by the Contractor and guaranteeing performance by the Contractor.

1.36 TITLES (OR HEADINGS) - The titles or headings of the

Sections herein are intended for convenience of reference and shall not be considered as having any bearing on their interpretation. Unless otherwise indicated, whenever the word "Section" is used, reference is being made to a Section in these specifications.

1.37 WORK - The furnishing of all labor, materials, equipment, and other incidentals necessary or convenient for the successful completion of the project and the execution of all the duties and obligations imposed by the contract.

1.38 WORKING DAY - Any day, except Saturdays, Sundays and

State holidays.

Matls. only

2-1 3/1/2019

SECTION 2 - PROPOSAL REQUIREMENTS AND CONDITIONS

2.1 PROPOSAL FORMS - All proposals shall be made on forms

furnished by the Department. All proposals shall give the prices proposed in the spaces provided and shall be signed by the bidder, who shall fill out all blanks in the proposal form as therein required.

2.2 REJECTION OF PROPOSALS CONTAINING ALTERATIONS, ERASURES,

OR IRREGULARITIES - Proposals may be rejected if they show any alterations of form, additions not called for, conditional bids, incomplete bids, erasures, or irregularities of any kind.

When proposals are signed by any agent, other than the officer or officers of a corporation authorized to sign contract on its behalf or a member of copartnership, a Power of Attorney must be on file with the Department prior to opening bids or shall be submitted with the proposal;

otherwise, the proposal may be rejected as irregular and unauthorized.

Members of a joint venture may be requested to supply the Department with a copy of their joint venture agreement or each member of the joint venture may be required to sign the proposal.

2.3 DELIVERY OF PROPOSALS - Each proposal shall be placed, together with the proposal guaranty, when required, in an envelope and sealed and so marked as to indicate the identity of the project, the name and address of the bidder, and other required information and then delivered as indicated in the Notice to Bidders. Proposals will be received up to the time fixed in the Notice to Bidders for the opening of bids.

2.4 WITHDRAWAL OF PROPOSALS - Any proposal may be withdrawn

at any time prior to the time fixed in the Notice to Bidders for the opening of proposals upon the filing of a written request therefor with the Department, executed by the bidder or his duly authorized representative. The withdrawal of a proposal shall not preclude a bidder from submitting a new proposal.

2.5 PUBLIC OPENING OF PROPOSALS - Proposals will be opened

and read publicly at the time and place indicated in the Notice to Bidders. Bidders or their authorized agents are invited to be present.

2.6 DISQUALIFICATION OF BIDDERS - Any of the following

reasons may be considered as being sufficient grounds for the disqualification of a bidder and the rejection of his proposal or proposals.

2-2 3/1/2019

A. More than one proposal for the same work from an individual, firm, or corporation under the same or different name.

B. Evidence of collusion among bidders. Participants in such collusion will receive no recognition as bidders for any future work of the Department until such participant shall have been reinstated as a qualified bidder.

C. Evidence of assistance from a person who has been an employee of the agency within the preceding two years and who participated while in State office or employment in the matter with which the contract is directly concerned, pursuant to Section 84-15, HRS.

D. Lack of proposal guaranty.

E. Unsigned proposal or proposal not signed in ink by person or persons legally authorized to submit a proposal on behalf of the bidder.

2.7 MATERIAL GUARANTY - The bidder may be required to

furnish a complete statement of the origin, composition and manufacture of any or all materials to be used in the prosecution of the work, together with samples. Such samples may be subjected to tests to determine their quality and fitness for the work.

2.8 OUT-OF-STATE BIDDERS - Pursuant to Section 103D-1008, Hawaii Revised Statutes, on out-of-state purchases where the bidder or vendor is an out-of-state vendor, not doing business in the State, the bid price of such out-of-state vendor, for the purpose of determining the lowest price bid, shall be increased by the applicable retail rate of general excise tax and the applicable use tax. The lowest responsible bidder, taking into consideration the above increases, shall be awarded the contract, but the contract amount of any contract awarded shall be the amount of the bid offered and shall not include the amount of said increases.

Such increases will not be applied in case an out-of-state vendor specifies in its bid that its bid price includes said general excise tax; the bidder will be required to pay said general excise tax and use tax in case the bidder is awarded the contract.

2-3 3/1/2019

2.9 TAX REQUIREMENTS - Work to be done under this contract

is a taxable transaction and the bidder receiving the award for this work will be required to pay the State of Hawaii General Excise Tax (GET) and the State of Hawaii use Tax.

Additional information regarding the tax rates may be obtained from the Department of Taxation (DOTAX) website at http://tax.hawaii.gov/geninfo/countysurcharge/

If awardee is an out-of-state bidder not holding a

Hawaii GET License, the awardee will have to obtain a Hawaii GET License and pay all taxes due to obtain a tax clearance required before final contract payment is made by the State.

To obtain the tax clearance applications, see subsection 3.1.A. Tax Clearance of these Specifications.

Vendors may apply for either a regular or a one-time GET

License. Information on applying for a GET License may be found at http://tax.hawaii.gov/geninfo/get/ http://tax.hawaii.gov/geninfo/countysurcharge/ http://tax.hawaii.gov/geninfo/get/

3-1 Mtls. Only r3/1/24

SECTION 3 - AWARD AND EXECUTION OF CONTRACT

3.1 AWARD OF CONTRACT - The State reserves the right to reject any and all proposals and to waive any defects as may be deemed to be in the best interest of the public.

The award of contract, if it be awarded, shall be made within sixty (60) calendar days after the opening of bids to the lowest responsive and responsible bidder whose proposal complies with all the prescribed requirements. The Department may request the bidders to allow the Department to consider the bids for the issuance of an award beyond the sixty (60) calendar day period.

Agreement to such an extension shall be made by a bidder in writing. Only bidders who have agreed to such an extension shall be eligible for the award. No response to request shall mean bidder shall no longer be eligible for award.

Requirement for award. The Bidder, as proof of compliance with the requirements of section 103D-310(c), HRS, upon award of a contract made pursuant to section 103D-302, HRS, shall provide the documents listed below. The documents shall be submitted promptly to the Department. If a valid certificate/clearance is not submitted on a timely basis upon award, the Bidder may be deemed non-responsible.

A. Tax Clearance.

Pursuant to section 103D-310(c), 103-53 and 103D-328, HRS, the bidder shall submit a tax clearance certificate from the State of Hawaii Department of Taxation (DOTAX) and the Internal Revenue Service (IRS), subject to section 103D-328, HRS, current within six months of issuance date.

FORM A6, TAX CLEARANCE CERTIFICATE, is available at the following website:

https://tax.hawaii.gov/

To receive DOTAX Forms by fax or mail, phone (808)587-4242 or 1-800-222-3229.

The application for the Tax Clearance Certificate is the responsibility of the bidder. Bidder shall submit directly to the DOTAX or IRS. The approved certificate may then be submitted to the Department.

https://tax.hawaii.gov/

3-2 Mtls. Only

B. Certificate of Compliance.

Pursuant to section 103D-310(c), HRS, the bidder shall submit a certificate of compliance for Hawaii Employment Security Law (Chapter 383, HRS), Workers’ Compensation Law (Chapter 386, HRS), Temporary Disability Insurance (Chapter 392, HRS), and Prepaid Health Care Act (Chapter 393, HRS), from the State of Hawaii Department of Labor and Industrial Relations (DLIR), current within six months of issuance date.

Form LIR#27, Application for Certificate of Compliance with section 3-122-112, HAR, is available at the following website:

https://labor.hawaii.gov/

Contact the DLIR Unemployment Insurance Division at (808) 586-8926 for additional information.

Inquiries regarding the status of a LIR#27 Form are available from the DLIR Disability Compensation Division at (808)586-9200.

The application for the Certificate of Compliance is the responsibility of the bidder.

Bidder shall submit directly to the DLIR. The approved certificate may then be submitted to the Department.

C. Certificate of Good Standing.

Pursuant to section 103D-310(c), HRS, the bidder shall submit a certificate of good standing from the business registration division (BREG) of the State of Hawaii Department of Commerce and Consumer Affairs (DCCA), current within six months of issuance date, to demonstrate it is either:

(1) incorporated or organized under the laws of the State; or

(2) registered to do business in the State as a separate branch or https://labor.hawaii.gov/

3-3 Mtls. Only division that is capable of fully performing under the contract.

A Hawaii business that is a sole proprietorship, is not required to register with the BREG, and therefore not required to submit a certificate of good standing. Bidders are advised of costs associated with registering and obtaining a Certificate of Good Standing from the DCCA.

To purchase a Certificate of Good Standing, go to On-Line Services at the following website:

https://cca.hawaii.gov/

The application for the Certificate of Good Standing is the responsibility of the bidder.

Bidder shall submit directly to the DCCA. The approved certificate may then be submitted to the Department.

D. IN LIEU OF the certificates referenced in subsection A, B, and C, bidder may make available proof of compliance through a state procurement office designated certification process.

3.2 CANCELLATION OF AWARD - The State reserves the right to

cancel the award of any contract any time before the execution of said contract by all parties without any liability to the successful bidder or any other bidder.

3.3 EXECUTION OF CONTRACT - The contract shall be executed

by the successful bidder and returned, together with the contract bonds, when required, within ten (10) days after the award of the contract or within such further time as the Director may allow after the bidder has received the contract for execution.

Pursuant to Section 103D-309, H.R.S., the contract shall not bind the State in any way unless said contract has been fully and properly executed by all the parties thereto and the Comptroller has endorsed thereon a certificate that there is available an unexpended appropriation over and above all outstanding contracts, sufficient to cover the amount required by the contract.

3.4 FAILURE TO EXECUTE CONTRACT - Failure to execute the

contract and file acceptable bonds, when required, within https://cca.hawaii.gov/

3-4 Mtls. Only ten (10) days after the award of the contract, or within such further time as the Director may allow, shall be cause for the cancellation of the award and the forfeiture of the proposal guaranty. Award of the contract may then be made to the next lowest responsible bidder.

4-1 1/22/04

SECTION 4 - SCOPE OF WORK

4.1 WORK TO BE DONE - The work to be done is described in

the Section(s) following Section 9 of these specifications.

4.2 PERFORMANCE OF WORK - The Contractor shall employ, so

far as possible, such methods and means in carrying out his work so as not to cause any interruption, disturbance, or interference with the public.

In case the Contractor is performing work in a building, the Contractor shall conduct the work in such a manner so as not to cause any interruption, disturbance, or interference with the business activities of the tenants in the building.

4.3 EXTRA WORK - New and unforeseen items of work will be

classed as extra work when they cannot be covered by any of the various items for which there is a bid price.

4.4 CHANGES AND CLAIMS FOR ADJUSTMENT

A. Change order. By a written order, at any time, and without notice to any surety, the procurement officer may, subject to all appropriate adjustments, make changes within the general scope of this contract in any one or more of the following:

1. Drawings, designs, or specifications, if the goods to be furnished are to be specially manufactured for the State in accordance therewith;

2. Method of shipment or packing;

3. Place of delivery;

4. Changes in the work within the scope of the contract; or

5. Changes in the time of performance of the contract that do not alter the scope of work.

B. Adjustments of price or time for performance. If any change order increases or decreases the contractor's cost of, or the time required for, performance of any part of the work under this contract, whether or not changed by the order, an adjustment shall be made and the contract modified in writing accordingly. Any adjustment in contract price made pursuant to this clause shall be determined in accordance with the price adjustment clause of this contract. Failure of the parties to agree to an adjustment shall not excuse the contractor from proceeding with the contract as changed, provided that the procurement officer promptly and duly make the provisional adjustments in payment or time for performance as may be reasonable. By proceeding with the work, the contractor shall not be deemed to have

4-2 1/22/04 prejudiced any claim for additional compensation, or an extension of time for completion.

C. Time period for claim. Within thirty (30) days after receipt of a written change order under subsection

(a) unless the period is extended by the procurement officer in writing, the contractor shall file notice of intent to assert a claim for an adjustment. Later notification shall not bar the contractor's claim unless the State or county is prejudiced by the delay in notification.

D. Claim barred after final payment. No claim by the contractor for an adjustment hereunder shall be allowed if notice is not given prior to final payment under this contract.

E. Other claims not barred. In the absence of a change order, nothing in this clause shall be deemed to restrict the contractor's right to pursue a claim as under the contract or for breach of contract.

4.5 PRICE ADJUSTMENT

Any adjustment in contract price pursuant to a clause in this contract shall be made in one or more of the following ways:

A. By agreement on a fixed price adjustment before commencement of the pertinent performance or as soon thereafter as practicable;

B. By unit prices specified in the contract or subsequently agreed upon;

C. By the costs attributable to the event or situation covered by the clause, plus appropriate profit or fee, all as specified in the contract or subsequently agreed upon;

D. In such other manner as the parties may mutually agree; or

E. In the absence of agreement between the parties, by a unilateral determination by the procurement officer of the costs attributable to the event or situation covered by the clause, plus appropriate profit or fee, all as computed by the procurement officer in accordance with generally accepted accounting principles and applicable sections of chapters 3-123 and 3-126 of the Hawaii Administrative Rules.

4-3 1/22/04

4.6 VARIATION IN QUANTITY

Upon agreement of the parties, the quantity of goods or services or both specified in this contract may be increased by a maximum of ten (10) percent provided (1) the unit prices will remain the same except for any price adjustments otherwise applicable and (2) the procurement officer makes a written determination that such an increase will either be more economical than awarding another contract or that it would not be practical to award another contract.

1/22/04 5-1

SECTION 5 - CONTROL OF WORK

5.1 AUTHORITY OF DIRECTOR - The Director shall decide all

questions which may arise as to the quality or acceptability of materials furnished and work performed, the manner of performance and rate of progress of the work, and compensation for work performed, interpretation of the contract and fulfillment of the contract on the part of the Contractor. The Director shall have authority to enforce and make effective such decisions and orders which the Contractor fails to carry out properly and diligently. The decision of the Director shall be final.

5.2 COORDINATION OF PLANS, SPECIFICATIONS AND SPECIAL

PROVISIONS - These specifications, plans, special provisions, and all supplementary documents are essential parts of the contract, and a requirement occurring in one is as binding as though occurring in all. They are intended to be complementary and to describe and provide for a complete work.

5.3 CLAIMS AND DISPUTES - The Contractor may give notice in

writing to the procurement officer for claims that extra compensation, damages, or an extension of time for completion is due the Contractor for one or more of the following reasons:

A. Requirements not clearly covered in the contract, or not ordered by the procurement officer as an extra work;

B. Failure between the State and the Contractor to agree to an adjustment in price for a contract change order issued by the State; or

C. An action or omission on the part of the procurement officer requiring performance changes within the scope of the contract.

The Contractor shall continue with performance of the contract in compliance with the directions or orders of the procurement officer, but by so doing, the Contractor shall not be deemed to have prejudiced any claim for additional compensation, damages, or an extension of time for completion; provided:

A. The notice in writing be given:

1. Before the commencement of the work involved, if at that time the Contractor knows of such requirements or the occurrence of such actions or omissions; or

2. Within thirty (30) calendar days after the

1/22/04 5-2

Contractor knows of such requirements or the occurrence of such action or omission if the Contractor did not have such knowledge before the commencement of the work; or

3. Within thirty (30) calendar days after receipt of the written contract change order that was not agreed upon by both parties; or

4. Within such further time as may be allowed by the procurement officer in writing.

B. The notice shall clearly state the Contractor's intention to make claim and the reasons why the Contractor believes that additional compensation, changes or an extension of time may be remedies to which the Contractor is entitled; and afford the procurement officer every facility for keeping records of the actual cost of work. Failure on the part of the Contractor to give such notification or to afford the procurement officer proper facilities for keeping strict account of actual cost shall constitute waiver of the claim for such extra compensation. The filing of such notice by the Contractor and the keeping of costs by the procurement officer shall not in any way be construed to prove the validity of the claim.

The procurement officer will review the notice and render a decision. The procurement officer's decision shall be final and conclusive unless, within thirty (30) calendar days from the date of the decision, the Contractor mails or otherwise furnishes a written appeal to the Director. The decision of the Director shall be final. Later notification of such claims shall not bar the Contractor's claim unless the State is prejudiced by the delay in notification. No claim by the Contractor for an adjustment hereunder shall be allowed if notice is not given before final payment under this contract. Any adjustment in the contract price made pursuant to this clause shall be determined according to Section 4.5 - Price Adjustment.

The provisions of this Section shall not be construed as establishing any claims contrary to the terms of Section 4.4

- Changes and Claims for Adjustment.

Nothing herein contained, however, shall excuse the Contractor from compliance with any rules of law precluding any state officers and any Contractors from acting in collusion or bad faith in issuing or performing contract change orders which are clearly not within the scope of the

6-1 1/22/04

SECTION 6 - CONTROL OF MATERIAL AND EQUIPMENT

6.1 DEFECTIVE MATERIALS - All materials not conforming to

the requirements of these specifications or the special provisions shall be considered defective and all such materials, whether in place or not, shall be rejected. They shall be removed immediately from the site of the work, unless otherwise permitted by the Director. No rejected materials, the defects of which have been subsequently corrected, shall be used until approval in writing has been given by the Director. Upon failure on the part of the Contractor to comply promptly with any order to remove and replace defective materials, the Director may remove and replace defective material and to deduct the cost of removal and replacement from any monies due or to become due the Contractor.

6.2 TRADE NAMES AND ALTERNATES - For convenience in

designation on the plans or in the specifications, certain equipment or articles or materials may be designated under a trade name or the name of a manufacturer and its information catalogue. The use of alternate equipment or an article or material which is of equal quality and of the required characteristics for the purposes intended will be permitted, subject to the written approval of the Director, in accordance with the following requirements:

A. QUALIFICATION BEFORE BID OPENING - When the specifications and/or plans specify one or more manufacturer's brand names of materials or equipment to indicate a quality, style, appearance, or performance, the bidder will be assumed to have based its bid on one of the specified named products, except where such proprietary product are specified, alternate brands may be qualified if found equal or better by the Director.

Bidders requesting qualification of alternate proprietary products must submit a request to the Director for review and approval at the earliest date possible, but in any event, such request must be received at the Contracts office not later than ten (10) days before the bid opening date, not including the bid opening date.

It shall be the responsibility of the bidder to submit sufficient evidence based upon which a determination can be made by the Director that the alternate brand is qualified. The evidence shall be transmitted with a covering letter which shall list the evidence submitted and the items for which the substitution is requested.

If the evidence accompanying a request for substitution is insufficient to qualify a particular

6-2 1/22/04 model, the request shall be denied provided that further evidence may be submitted to qualify the item five (5) days prior to the bid opening date if the initial request was made prior to the deadline set above.

B. SUBSTITUTION AFTER BID OPENING - Substitution of material or equipment will not be allowed after the bid opening date except under the following unforeseen circumstances:

1. If a specified or pre qualified item is delayed by a lengthy strike in the factory or other unforeseeable contingency beyond the control of the Contractor which would cause an abnormal delay in the project completion.

2. If a specified or pre qualified item is found to be unusable due to change or other circumstances.

3. If the Contractor is willing to provide a more recently developed or manufactured item of material or equipment of the same manufacturer which the Director determines to be equal or better than the one specified or pre-qualified.

A substitution request, regardless of reason, shall be fully explained in writing by the Contractor and shall include its justification for said request, the quantities and unit prices involved, quotations and such other documents as are deemed necessary to support the request. Any savings in cost will accrue to the State and any additional cost for the substituted items will be paid by the Contractor.

The burden of proof as to the comparative quality and suitability of alternate equipment, articles, or materials shall be upon the bidder or Contractor and bidder or Contractor shall furnish, at its own expense, all information necessary or related thereto as required by the Director. The Director shall be the sole judge as to the comparative quality and suitability of alternate equipment, articles or materials and the Director's decisions shall be final.

The above shall not be construed to mean that substitution for brand name specified materials and equipment will be allowed; the Director reserves the right to deny any request he deems irregular or not in the best interest of the State.

6-3 1/22/04

6.3 ASSIGNMENT OF ANTITRUST CLAIMS FOR OVERCHARGES FOR GOODS

AND MATERIALS PURCHASED

A. Vendor and purchaser recognize that in actual economic practice, overcharges resulting from antitrust violations are in fact usually borne by the purchaser.

Therefore, vendor hereby assigns to purchaser any and all claims for such overcharges as to goods and materials purchased in connection with this order or contract, except as to overcharges which result from antitrust violations commencing after the price is established under this order or contract and which are not passed on to the purchaser under an escalation clause.

B. Contractor and owner recognize that in actual economic practice, overcharges resulting from antitrust violations are in fact usually borne by the owner.

Therefore, contractor hereby assigns to owner any and all claims for such overcharges as to goods and materials purchased in connection with this order or contract, except as to overcharges which result from antitrust violations commencing after the price is established under this order or contract and any change order. In addition, contractor warrants and represents that each of its first tier suppliers and subcontractors shall assign any and all such claims to owner, subject to the aforementioned exception.

SECTION 7 - LEGAL RELATIONS AND RESPONSIBILITY

7.1 LAWS TO BE OBSERVED - The Contractor shall comply with

all federal, state, city and county laws, ordinances, rules and regulations which in any manner affect those engaged or employed in the work, the materials used in the work, and the conduct of the work.