IFB D27 024 Solicitation.pdf

HAWAII STATE DEPARTMENT OF EDUCATION

PROCUREMENT AND CONTRACTS BRANCH

AUGUST 18, 2026

INVITATION FOR BIDS

Number IFB D27-024

SEALED BIDS

TO

PROVIDE RENEWAL OF ORACLE SOFTWARE UPDATE LICENSE AND SUPPORT

FOR THE HAWAII STATE DEPARTMENT OF EDUCATION

STATEWIDE

will be received through the State of Hawaii eProcurement System (HIePRO) at https://hiepro.ehawaii.gov/welcome.html until 4:30 p.m., Hawaii Standard Time (HST) on

SEPTEMBER 1, 2026

Offerors interested in responding to this electronic solicitation must be registered on the HIePRO (https://hiepro.ehawaii.gov/welcome.html) in order to participate in this procurement. Registration is free.

Once registered, Offerors can login to view and respond to the HIePRO solicitation.

Questions relating to this solicitation may be directed to Sharon Makabe, Procurement and Contracts Support Specialist, at telephone (808) 675-0130, via facsimile (808) 675-0133, or via email at sharon.makabe@k12.hi.us.

https://hiepro.ehawaii.gov/welcome.html mailto:sharon.makabe@k12.hi.us

PROVIDE RENEWAL OF ORACLE SOFTWARE UPDATE LICENSE AND SUPPORT

FOR THE HAWAII STATE DEPARTMENT OF EDUCATION STATEWIDE

IFB D27-024

IFB D27-024 OF-1

OFFER PAGE OF-1

Exact Legal Name of Offeror, including “dba” or “division” of a corporation (furnish the exact legal name of the entity under which an awarded contract, if any, will be executed):

Address:

Principal Place of Business

(may not be a P.O. Box):

Mailing Address (only if different):

Payment Address (only if different)

Offeror’s Primary Contact Person:

Name

Title

Telephone Number Fax Number

Email Address

Federal Tax Identification Number:

State of Hawaii General Excise Tax License Number:

Type of Business Entity (check one):

Sole Proprietor Partnership Corporation Joint Venture Limited Liability Company Other

Names of all Offeror’s parent, affiliate and subsidiary organizations:

Offeror is either:

A Hawaii business incorporated or organized under the laws of the State of Hawaii; OR

A Compliant Non-Hawaii business incorporated or organized under the laws of the State of on (date) _____________, and, if applicable, registered with the State of Hawaii Department of Commerce and Consumer Affairs Business Registration Division to do business in the State of Hawaii.

The undersigned has carefully read and understands the terms and conditions specified herein and hereby submits the following offer to provide the goods and/or perform the work specified herein, all in accordance with the true intent and meaning thereof, and further that the Offeror shall comply with all terms, conditions and requirements of the solicitation. The undersigned further understands and agrees that by submitting this offer, 1) the undersigned is declaring the undersigned’s offer is not in violation of Chapter 84, Hawaii Revised Statutes, concerning prohibited State contracts, and 2) the undersigned is certifying that the price(s) submitted was (were) independently arrived at without collusion.

Authorized (Original in ink) Signature Name (printed)

Title Date

The following offer is hereby submitted:

OFFEROR:

Item Number Product Description

Customer Service

Identifier License Level and/or Type Start Date End Date

Quantity (A)

Unit Bid Price* (B)

Total Bid Price (A multipled by B)

Oracle Database Enterprise Edition – Processor Perpetual Software Update License and Support

14525771 Full Use 1/1/2027 12/31/2027 10

Oracle Database Standard Edition – Processor Perpetual Software Update License and Support

14525771 Full Use 1/1/2027 12/31/2027 8

Oracle Internet Application Server Enterprise Edition - Processor Perpetual Software Update License and Support

14525771 Full Use 1/1/2027 12/31/2027 8

TOTAL SUM BID PRICE (Items 1 through 3)

*Unit Bid Price shall include labor, equipment, materials, transportation, overhead, profit, all applicable taxes and any other incidental and operational expenses incurred in the performance of all obligations hereunder. Bid price shall be the all-inclusive cost to the STATE and no other charges will be honored. In case of error in extension of bid price, unit bid price shall govern. Offeror shall bid on all items to qualify for award. See Special Conditions Number 11. Bid Price.

OFFER PAGE

IFB D27-024 OF-2

SPECIFICATIONS

IFB D27-024 S-1

SPECIFICATIONS

OVERVIEW

The Office of Information Technology Services (OITS) Enterprise Systems Branch is seeking to renew Oracle Software Update License and Support for existing perpetual licenses under Customer Support Identifier (CSI) 14525771. The requested Contract period is January 1, 2027 through December 31, 2027, with no option to renew. Billing frequency will be quarterly in arrears.

SCOPE AND GENERAL SPECIFICATIONS

The Contractor shall renew Oracle Software Update License and Support for the following existing processor perpetual licenses:

Product Description

CSI

Number License Level and/or Type Start Date End Date Quantity

Oracle Database Enterprise Edition

– Processor Perpetual Software Update License and Support

14525771 Full Use 01/01/2027 12/31/2027 10

Oracle Database Standard Edition – Processor Perpetual Software Update License and Support

14525771 Full Use 01/01/2027 12/31/2027 8

Oracle Internet Application Server Enterprise Edition - Processor Perpetual Software Update License and Support

14525771 Full Use 01/01/2027 12/31/2027 8

SPECIAL CONDITIONS SC-1

SPECIAL CONDITIONS

GENERAL INFORMATION

1. Addenda and Interpretations

Discrepancies, omissions, or questions related to this solicitation shall be communicated in writing to the Hawaii State Department of Education, Procurement and Contracts Branch (PCB) via facsimile at (808) 675-0133 or e-mail to sharon.makabe@k12.hi.us for interpretation and must be received no later than seven (7) calendar days prior to the date fixed for the close of bids.

Interpretation(s), if any, and any supplemental instructions will be in the form of written addenda that will be made available to all HIePRO registered Offerors prior to the date fixed for the close of bids. Failure of any Offeror to receive any such addenda or interpretations shall not relieve the Offeror of any obligation under this solicitation. All addenda issued shall be incorporated into the resulting contract.

2. Scope

Work under this agreement shall consist of renewing Oracle software update license and support for the Hawaii State Department of Education Statewide and shall be in accordance with these Special Conditions, the attached Specifications, and the State of Hawaii’s General Conditions AG-008 (latest revision).

All electronic information technology developed or provided under this Contract or procurement shall comply with the applicable requirements of the Hawaii Electronic Information Technology Disability Access Standards (Access Standards). The Access Standards can be found on the State of Hawaii, Office of Enterprise Technology Services website at https://ets.hawaii.gov.

3. Contract Administrator

For purposes of this Contract, Jonathan Chee, Interim Director or their successor, is designated Contract Administrator (CA). The CA can be contacted by telephone at 808-564-9427, via facsimile at 808-586- 3227, or via e-mail at jonathan.chee@k12.hi.us.

The CA is responsible for:

3.1. the terms, conditions, quantities, specifications, scope of services, other contract terms, and all decisions relating to the Contract;

3.2. monitoring the CONTRACTOR’s work, documenting that CONTRACTOR maintains the required insurance coverage (if applicable), resolving contract disputes and discrepancies, evaluating the work of the CONTRACTOR, assuring the services or goods are delivered as required in the Contract, and processing payment for services rendered; and

3.3. notifying the Hawaii State Department of Education, PCB in the event of change in scope of work, change in the performance period, increase or decrease in total compensation, and/or changes in any other contract terms.

Notwithstanding the responsibilities set forth hereinabove, any coordination of services falling outside those articulated above shall remain with the head of the purchasing agency, as set forth in the attached General Conditions (see General Conditions, paragraph 1, entitled "Coordination of Services by the

STATE.").

The CA has designated Joanne Tachikawa, Data Processing Specialist of the Office of Information Technology Services (OITS), Enterprise Systems Branch (ESB) as Point of Contact (POC) for this Contract. As such, the POC, or their successor, should be the initial contact on all matters related to this mailto:sharon.makabe@k12.hi.us https://ets.hawaii.gov/wp-content/uploads/2025/01/Hawaii-Electronic-Information-Technology-Disability-Access-Standards.pdf https://ets.hawaii.gov/wp-content/uploads/2025/01/Hawaii-Electronic-Information-Technology-Disability-Access-Standards.pdf https://ets.hawaii.gov/ mailto:jonathan.chee@k12.hi.us

SPECIAL CONDITIONS SC-2

Contract. The POC can be contacted by telephone at 808-564-9445, via facsimile at 808-586-3227, or via e-mail at joanne.tachikawa@k12.hi.us.

4. Contract Period

This Contract shall commence January 1, 2027 and shall end on December 31, 2027, subject to availability of funds as specified in the General Conditions.

OFFEROR INFORMATION

5. Offeror’s Authority to Bid

The STATE will not participate in determinations regarding an Offeror’s authority to sell a product or perform a service. If there are any questions or doubts regarding an Offeror’s right or ability to obtain and sell a product or to render a service, the Offeror should resolve those issues prior to submitting a bid. If the Offeror’s offer meets specifications and is acceptable and the bid price submitted is the lowest bid, the Contract will be awarded to that Offeror.

6. Offeror Qualifications

In addition to meeting legal and any other requirements of this solicitation, Offeror must meet these qualifications to be considered for award.

A. Authorized Distributor or Reseller

At the time of bidding, Offeror shall be an authorized distributor or reseller of Oracle software license and support renewals. As evidence of this, Offeror may be requested to provide documentation from the manufacturer which verifies Offeror’s status as an authorized distributor or reseller. Offeror shall provide the information requested on the Exhibit A.

B. Personnel

Offeror shall designate at least one (1) employee as the STATE point of contact (POC) for this Contract. This individual shall be based in the State of Hawaii and available during regular business hours, 7:45 a.m. to 4:30 p.m. Hawaii Standard Time (HST), Monday through Friday excluding State of Hawaii holidays, and shall be capable of answering questions, resolving problems, and providing sales, ordering, and follow-up assistance.

Offeror shall provide the information requested on the Exhibit A.

Failure on the Offeror's part to meet these requirements may result in rejection of bid. These requirements must remain in effect during the entire contract period. Failure to maintain these requirements may result in cancellation of award.

7. Responsibility of Offerors

Offeror is advised that if awarded a contract under this solicitation, Offeror must furnish proof of compliance with the requirements of HRS § 103D-310(c), as a pre-requisite to receiving a contract:

7.1. Chapter 237, General Excise Tax Law;

7.2. Chapter 383, Hawaii Employment Security Law;

7.3. Chapter 386, Workers’ Compensation Law;

7.4. Chapter 392, Temporary Disability Insurance;

7.5. Chapter 393, Prepaid Health Care Act; and

7.6. Chapter 103D-310(c), Certificate of Good Standing (COGS) for entities doing business in the

State of Hawaii.

mailto:joanne.tachikawa@k12.hi.us

SPECIAL CONDITIONS SC-3

Offeror should refer to the “Contract Execution” provision for further information regarding the above-mentioned requirements.

BID PREPARATION

8. Offer Page OF-1

Offeror is requested to submit the bid under the company’s exact legal name as registered with the Department of Commerce and Consumer Affairs, if applicable, and to indicate exact legal name in the appropriate space on Offer Page OF-1. Failure to do so may delay proper execution of the Contract.

The authorized signature on the hard copy Offer Page OF-1 shall be an original signature in ink. Ink signatures are not required for electronic submission of a bid on HIePRO. The submission of the bid on HIePRO shall indicate the Offeror’s intent to be bound.

9. Taxable Transaction

Unless the HRS exempts a person from paying the applicable general excise tax, work to be performed under this solicitation is a business activity taxable under Chapter 237, HRS and Chapter 238, HRS, where applicable. Both out-of-state and Hawaii-based companies are advised that the gross receipts derived from this Contract are subject to the general excise tax imposed by Chapter 237, HRS, at the current rate and, where applicable, to tangible property imported into the State of Hawaii for resale, subject to the applicable use tax imposed by Chapter 238, HRS.

Information on the Hawaii State Taxes administered by the Department of Taxation is available online at https://tax.hawaii.gov.

10. Tax Exempt Transaction

If, however, an Offeror is a person exempt by the HRS from paying the general excise tax and therefore not liable for the taxes on this solicitation, Offeror shall state its tax exempt status and cite the HRS chapter or section allowing the exemption.

For evaluation purposes, pursuant to HRS § 103D-1008, a tax-exempt bid submitted in response to a solicitation shall be increased by the applicable retail rate of general excise tax and the applicable use tax. Under no circumstance shall the dollar amount of the award include the aforementioned adjustment.

11. Bid Price

Unit Bid Price shall include labor, equipment, materials, transportation, overhead, profit, all applicable taxes and any other incidental and operational expenses incurred in the performance of all obligations hereunder. Bid price shall be the all-inclusive cost to the STATE and no other charges will be honored.

In case of error in extension of bid price, unit bid price shall govern. Offeror shall bid on all items to qualify for award.

12. Authorized Distributor or Reseller

Offeror may be requested to provide documentation from the manufacturer which verifies Offeror’s status as an authorized distributor or reseller. If requested by the STATE, Offeror shall provide documentation with their Exhibit A within three (3) working days from the STATE’s request.

13. Offeror Information

Offeror shall provide information regarding its STATE’s point of contact on the Exhibit A. Exhibit A shall be provided within three (3) working days from the STATE’s request.

https://tax.hawaii.gov/

SPECIAL CONDITIONS SC-4

14. Liability Insurance

Work included under this agreement requires the provision of liability and property damage insurance, to remain in full force and effect during the life of this Contract. Offeror shall refer to the Liability Insurance clause for additional information regarding this requirement. Accordingly, Offeror should consider these insurance requirements when preparing their offer.

15. Offer Guaranty

An offer guaranty (bid bond) is not required for this IFB.

16. Restrictive Specifications

Specifications for the item have been researched and found to meet all necessary requirements and set a standard of quality. In accordance with § 3-122-13, HAR, the Office has obtained approval to purchase this item using restrictive or brand name specification. It is the Hawaii State Department of Education’s intention to restrict Offerors to only the manufacturer named; other manufacturer’s products are not acceptable.

BID SUBMITTAL

17. Submission of Bid

Offers will be received through the State of Hawaii eProcurement System (HIePRO) Public Procurement Notices Website at https://hiepro.ehawaii.gov/welcome.html no later than the date and time stated on the HIePRO.

Submission of a bid shall constitute an incontrovertible representation by the Offeror of compliance with every requirement of this IFB, and that the IFB documents are sufficient in scope and detail to indicate and convey reasonable understanding of all terms and conditions of performance of the work.

Before submitting a bid, each Offeror must:

1. examine the solicitation documents thoroughly for defects and questionable or objectionable material. Solicitation documents include this IFB, any attachments, plans referred to herein, and any other relevant documentation. Comments must be submitted in writing and received by the Hawaii State Department of Education, PCB no later than seven (7) calendar days prior to the date fixed for the close of bids. This will allow for issuance of addenda, if necessary.

2. become familiar with state, local, and federal laws, ordinances, rules, and regulations that may in any manner affect cost, progress, or performance of the work.

All bids shall be made through the HIePRO (https://hiepro.ehawaii.gov/welcome.html) on the solicitation document(s) available on the HIePRO. Offers shall be completed in accordance with the solicitation instructions, and addenda, if any.

The Specifications, Special Conditions, General Conditions and other documents referenced in or attached to the offer shall be considered a part of the offer submitted, whether or not attached to the offer at the time of submission. Such documents shall not be altered in any way; any alterations so made by the Offeror may result in rejection of the offer.

Offers will be received only until the hour and date set for the close of bids. Unless otherwise stated, Offeror shall submit only one (1) offer. If more than one offer is submitted, all offers shall be rejected for that item.

SPECIAL CONDITIONS SC-5

Hard copies of ALL ORIGINAL OFFER PAGES AND ANY OTHER APPLICABLE DOCUMENTS AS STATED IN THE SOLICITATION must also be received by the Hawaii State Department of Education, Procurement and Contracts Branch, 94-275 Mokuola Street, Room 200, Waipahu, Hawaii 96797, within five (5) working days after the bid closing date.

18. Confidential Information

If an Offeror believes that any portion of Offeror’s proposal contains information that should be withheld as confidential, then the Hawaii State Department of Education, PCB should be so advised in writing.

Offeror shall request in writing nondisclosure of designated trade secrets or other proprietary data to be confidential. Such data shall accompany the bid, be clearly marked, and shall be readily separable from the bid in order to facilitate eventual public inspection of the non-confidential portion of the bid.

Pursuant to § 3-122-58, Hawaii Administrative Rules (HAR), the head of the purchasing agency or designee shall consult with the Department of the Attorney General and make a written determination in accordance with Chapter 92F, Hawaii Revised Statutes (HRS). If the request for confidentiality is denied, such information shall be disclosed as public information, unless the Offeror appeals the denial to the Office of Information Practices in accordance with HRS § 92F-42(12).

19. Certification of Independent Cost Determination

By submitting a bid in response to this solicitation, Offeror certifies as follows:

19.1. The costs in this IFB have been arrived at independently, without consultation, communication, or agreement with any other Offeror, as to any matter relating to such costs for the purpose of restricting competition.

19.2. Unless otherwise required by law, the costs which have been quoted in this IFB have not been knowingly disclosed by the Offeror prior to award, directly or indirectly, to any other Offeror or competitor prior to the award of the Contract.

19.3. No other attempt has been made or will be made by the Offeror to solicit or implore any other person or firm to submit or not to submit a bid in response to this IFB for the purpose of restricting competition.

20. Acceptance of Bid

Acceptance of bid, if any, will be made within sixty (60) calendar days after the close of bids and the prices quoted by the Offeror shall remain firm for the sixty (60) day period.

BID EVALUATION

21. Disqualification of Offers

Any one or more of the following causes will be considered as sufficient for disqualification of the offer:

1. Hard copy offer not signed by an authorized individual.

2. More than one offer from an Offeror under the same or different names.

2.1 Legally distinct Offerors such as subsidiaries or jointly-owned companies may submit offers and these offers may be accepted for evaluation and award if such Offerors submit with their offer a certificate of non-collusion which affirms that the offer is made freely and without collusion with another Offeror.

SPECIAL CONDITIONS SC-6

2.1.1 Legally distinct Offerors such as subsidiaries or jointly-owned companies shall submit business registration information indicating that the entities were not created after the IFB was released.

3. Evidence of collusion among Offerors or prices obviously unbalanced, lack of responsibility and cooperation as shown by past work, being in arrears on existing contracts with the State of Hawaii, or defaulting on previous contract(s).

4. Lack of proper equipment and/or sufficient experience to perform the work contemplated.

5. Offer received after specified deadline for close of offers.

6. Evidence of any noncompliance with any applicable law, any unauthorized additions or deletions, of submission of conditional offer, incomplete offer, or irregularities of any kind which may make the offer incomplete, indefinite, or ambiguous as to its meaning.

22. Method of Award

Award, if made, shall be to the responsive, responsible Offeror submitting the lowest estimated Total Sum Bid Price (Items 1 through 3). Offeror must bid on all items to qualify for award.

In case of error in the extension of the total bid price, the unit bid price shall govern.

23. Protest

Pursuant to HRS § 103D-701 and § 3-126, HAR, “Legal and Contractual Remedies”, an actual or prospective offeror who is aggrieved in connection with the solicitation or award may submit a protest.

Any protest shall be submitted in writing to the Hawaii State Department of Education’s Chief Procurement Officer, c/o the Procurement Office at the Waipahu Civic Center, 94-275 Mokuola Street, Room 200, Waipahu, Hawaii 96797.

A protest shall be submitted in writing within five (5) working days after the aggrieved person knows or should have known of the facts giving rise thereto; provided that a protest based upon the content of the solicitation shall be submitted in writing prior to the date set for receipt of offers. Further provided that a protest of an award or proposed award shall be submitted within five (5) working days after the posting of award.

The award(s), if any, resulting from this solicitation shall be posted on the HIePRO and shall be posted on the Hawaii Awards and Notices Data System (HANDS) website at https://hands.ehawaii.gov/hands/awards.

CONTRACT EXECUTION

24. Contract Award

CONTRACTOR receiving award(s) of $25,000 or more shall be required to enter into a formal written contract. Performance bonds are not required for this IFB. Upon execution of contract, the Hawaii State Department of Education will issue a fully executed copy to the CONTRACTOR. No work will be undertaken by the CONTRACTOR prior to the commencement date specified on the Contract. The STATE is not liable for any work, contract costs, expenses, loss of profits, or any damages whatsoever incurred by the CONTRACTOR prior to official starting date.

25. Responsibility of CONTRACTOR

CONTRACTOR shall furnish proof of compliance with these requirements of § 3-122-112, HAR:

1. Chapter 237, General Excise Tax Law;

2. Chapter 383, Hawaii Employment Security Law;

3. Chapter 386, Workers’ Compensation Law;

https://hands.ehawaii.gov/hands/awards https://hands.ehawaii.gov/hands/awards https://hands.ehawaii.gov/hands/awards

SPECIAL CONDITIONS SC-7

4. Chapter 392, Temporary Disability Insurance;

5. Chapter 393, Prepaid Health Care Act; and

6. One of the following:

1. That CONTRACTOR is registered and incorporated or organized under the laws of the State of Hawaii (hereinafter referred to as a “Hawaii business”); or

2. That CONTRACTOR is registered to do business in the State of Hawaii (hereinafter referred to as a “compliant non-Hawaii business”).

The CONTRACTOR may demonstrate compliance by submitting an original consolidated CERTIFICATE OF VENDOR COMPLIANCE issued via the online system, “Hawaii Compliance Express.” Detailed information about the system and regarding this online application process can be viewed at:

https://vendors.ehawaii.gov/hce/.

26. Hawaii Compliance Express.

A Certificate of Vendor Compliance may be obtained through the Hawaii Compliance Express (HCE).

This service allows CONTRACTORs to register online through a simple wizard interface at https://vendors.ehawaii.gov/hce/. The Certificate of Vendor Compliance provides current compliance status as of the issuance date, satisfies requirements of HRS § 103D-310(c), and is therefore acceptable for contracting purposes. CONTRACTORs that elect to use HCE services are required to pay an annual registration fee of (at least) twelve dollars ($12.00).

27. Timely Submission of All Certificates

The above certificates should be applied for and submitted to the Hawaii State Department of Education, PCB as soon as possible. If a valid certificate is not submitted on a timely basis for award, an offer otherwise responsive and responsible may not receive the award.

28. Failure to Execute Contract

Normally, award shall be made within sixty (60) calendar days after the close of bids but in no case will award be made until all necessary investigations are made. After award is made, failure on the CONTRACTOR’s part to execute a contract as required within ten (10) calendar days (or such further time as the Superintendent may allow) after the Offeror has received the Contract for execution shall be just cause for the annulment of the award. The Superintendent reserves the right to cancel or reject this solicitation or all offers in whole or in part when it is in the best interest of the STATE or to award the Contract to the next lowest Offeror or may publish another call for tenders, if the lowest bid is non-responsive to the STATE’s needs.

29. Availability of Funds

This Contract is subject to the availability of funds. Pursuant to HRS § 103D-309, except in certain circumstances, no contract entered into by the STATE and the CONTRACTOR shall be binding or of any force unless the Chief Financial Officer (CFO) certifies that there is an available unexpended appropriation or balance of an appropriation over and above all outstanding contracts sufficient to cover the amount required by the Contract.

If the Contract requires for performance and/or payment in more than one fiscal year (July 1 to June 30), the CFO may certify only that portion of the total funds allocated to satisfy the STATE’s obligations for payments in the current fiscal year. In such event, the STATE will not be liable for the unpaid balance beyond the end of the current fiscal year, and the availability of funds in excess of the amount certified shall be contingent upon future appropriations or special fund revenues. All partially-funded contracts shall be enforceable only to the extent that funds are certified as available. The STATE agrees to notify the CONTRACTOR of such non-allocation at the earliest possible time. The STATE shall not be https://vendors.ehawaii.gov/hce/ https://vendors.ehawaii.gov/hce/

SPECIAL CONDITIONS SC-8

penalized in the event this provision is exercised. This provision is not meant to permit the STATE to terminate the Contract to acquire similar goods or services from a third party.

30. Liability Insurance

The CONTRACTOR shall maintain in full force and effect, during the life of this Contract, liability and property damage insurance. This insurance shall protect the CONTRACTOR and the CONTRACTOR’s subcontractors, if any, from claims for damages for personal injury, accidental death and property damage which may arise from operations under this Contract, whether such operations be by the CONTRACTOR or by a subcontractor or anyone directly or indirectly employed by either of them. If any subcontractor is involved in the performance of the Contract, the insurance policy or policies shall name the subcontractor as additional insured.

As an alternative to the CONTRACTOR providing insurance to cover operations performed by a subcontractor and naming the subcontractor as additional insured, CONTRACTOR may require subcontractor to provide its own insurance which meets the requirements herein. It is understood that a subcontractor's insurance policy(ies) are in addition to the CONTRACTOR’s own policy or policies.

The following minimum insurance coverage(s) and limit(s) shall be provided by the CONTRACTOR, including its subcontractor(s) where appropriate:

• Commercial General Liability: $2,000,000 aggregate (Occurrence Form) $1,000,000 combined single limit per occurrence for bodily injury and property damage.

• Automobile Liability: $1,000,000 per accident (Combined Single Limit)

• Cyber Insurance: $1,000,000 per claim and

$2,000,000 per annual aggregate

General liability and automobile liability policies required by this Contract, including a subcontractor's policy, shall contain the following clauses:

1) "It is agreed that any insurance maintained by the State of Hawaii will apply in excess of, and not contribute with, insurance provided by this policy."

2) “The State of Hawaii is added as an additional insured as respects to operations performed for the State of Hawaii.”

Cyber Insurance CONTRACTOR shall procure, at its own cost and expense, Privacy and Network Security (Cyber) insurance with minimum limits of $1,000,000 each claim and in the aggregate, for any security breach, including privacy violations, information theft, damage to or destruction of electronic information, intentional and/or unintentional release of private information, alteration of electronic information, extortion and network security, including any act or omission that compromises either the security, confidentiality or integrity of personal information in CONTRACTOR's care, custody or control, or for which CONTRACTOR is responsible under this Contract, or the physical, technical, administrative or organizational safeguards put in place by CONTRACTOR or its authorized personnel that relate to the protection of the security, confidentiality or integrity of Personal Information. Such coverage shall name the State of Hawaii as an additional insured.

The minimum insurance required shall be in full compliance with the Hawaii Insurance Code throughout the entire term of the Contract, including supplemental agreements. Each insurance policy shall be written by 1) an insurance company licensed to do business in the State of Hawaii, or 2) if not licensed by

SPECIAL CONDITIONS SC-9

the State of Hawaii, an insurance company which meets the requirements of § 431:8-301, Hawaii Revised Statutes.

Upon CONTRACTOR’s execution of the Contract, the CONTRACTOR agrees to deposit with the STATE certificate(s) of insurance necessary to satisfy the STATE that the insurance provisions of this Contract have been complied with and to keep such insurance in effect and the certificate(s) therefore on deposit with the STATE during the entire term of this Contract, including those of its subcontractor(s), where appropriate. Upon request by the STATE, CONTRACTOR shall be responsible for furnishing a copy of the policy(ies).

Failure of the CONTRACTOR to provide and keep in force such insurance shall be regarded as material default under this Contract, entitling the STATE to exercise any or all of the remedies provided herein.

The procuring of such required insurance shall not be construed to limit CONTRACTOR's liability hereunder nor to fulfill the indemnification provisions and requirements of this Contract. Notwithstanding said policy(ies) of insurance, CONTRACTOR shall be obligated for the full and total amount of any damage, injury, or loss caused by the CONTRACTOR, its employees, officers, or agents, in connection with this Contract.

CONTRACTOR shall notify the STATE, via written notice within twenty-four (24) hours should any of the insurance policies evidenced on its Certificate of Insurance form be cancelled, limited in scope, or not renewed upon expiration.

PERFORMANCE OF CONTRACT

31. Authority of the Hawaii State Department of Education

The Hawaii State Department of Education shall decide all questions which may arise as to the work performed, as to the manner of such performance, as to the interpretation of any term, condition or provision, as to the applicability and interpretation of any law, rule or regulation, policies and procedures, as to compensation, or additional reason to service, and as to any other matter which may arise under the Contract. The decision of the Hawaii State Department of Education in such matters shall be final provided that decision is not in violation of law and not arbitrary, capricious or characterized by abuse of discretion.

32. Relief Available to STATE

In addition to all rights and remedies available to the STATE provided in this Contract or otherwise provided under law, if the CONTRACTOR is in non-compliance with contract requirements, the STATE may:

32.1. Suspend Payments – Temporarily withhold or disallow all or part of the billing cost and/or payments pending correction of a deficiency or a non-submission of a required deliverable by the CONTRACTOR;

32.2. Suspend Referrals – Suspend referrals to the CONTRACTOR should the

CONTRACTOR fail to comply with any of the requirements or other term(s) or condition(s) of this Contract and, further, the STATE may maintain the suspension of referrals until such time as the deficiency or non-compliance is corrected and the CONTRACTOR’s corrective actions are determined to be acceptable by the STATE; and

32.3. Seek Reimbursement – Seek reimbursement from the CONTRACTOR or withhold future payments for any funds paid to the CONTRACTOR subsequent to a determination that such was unauthorized, fraudulently obtained, or inappropriately billed.

SPECIAL CONDITIONS SC-10

32.4. Seek Market Value – In the event the CONTRACTOR fails, refuses or neglects to perform the services in accordance with the requirements of these Special Conditions, the Scope of Services or the General Conditions, the STATE reserves the right to purchase, in the open market, a corresponding quantity of the services specified herein and to deduct from any monies due or that may thereafter become due to the CONTRACTOR, the difference between the price named in the Contract and the actual cost to the STATE. In case any money due the CONTRACTOR is insufficient for said purpose, the CONTRACTOR shall pay the difference upon demand from the STATE.

The STATE may also utilize all other remedies provided by law.

33. Confidentiality Obligations

While performing under this Contract, the CONTRACTOR may receive, be exposed to or acquire confidential information. Such information may include names, addresses, telephone numbers, birthdates, social security numbers, medical information, and other educational, student, or personal employment information. The information may be in written or oral form, fixed in hard copy or contained in a computer database or computer readable form. Hereinafter, such language shall be collectively referred to as “Confidential Information.”

The CONTRACTOR, including its employees, agents, representatives, and assigns shall abide by the following with regards to Confidential Information: (i) They shall not disclose to any unauthorized party any Confidential Information, except as specifically permitted by the STATE and subject to the STATE’s limitations on confidentiality of information and relevant legal requirements of the State to include, but not limited to the Family Educational Rights and Privacy Act (FERPA). Permission will be granted through a formal written agreement concerning the disclosure of personally identifiable information (PII) from student education records, signed by the STATE and the CONTRACTOR, and must be provided as an attachment to this Contract; (ii) They shall only permit access to Confidential Information to employees, agents, representatives, and assigns having a specific need to know in connection with performance under this Contract; and (iii) They shall advise each of their employees, agents, representatives, and assigns of their obligations to keep such Confidential Information confidential in compliance with all relevant state and federal laws.

CONTRACTOR, its employees, agents, representatives, or assigns shall ensure the security of the Confidential Information. The CONTRACTOR shall provide the STATE with a list of individuals (by name and position) who are authorized to handle the Confidential Information (hereinafter referred to as “Authorized Handlers”). Authorized Handlers shall ensure the security of the Confidential Information.

Only Authorized Handlers shall have access to the Confidential Information, which will be kept on password protected computers with the hard copy documents kept in a locked file cabinet.

CONTRACTOR shall ensure that procedures exist to prohibit access to the Confidential Information by anyone other than an Authorized Handler.

CONTRACTOR will be responsible for safeguarding the confidentiality of all Confidential Information it receives from the STATE and shall safeguard and protect such documents from unauthorized use, handling, or viewing. CONTRACTOR shall be liable to the STATE and to any person whose records the CONTRACTOR receives custody of under this Contract for records protection for any unpermitted release, viewing, or loss of such records. CONTRACTOR shall assume liability responsibility for records protection and for the inappropriate or unlawful release of Confidential Information. CONTRACTOR shall return all documents containing Confidential Information upon completion of the services CONTRACTOR is contracted to provide under this Contract.

33.1. Prior Written Approval: CONTRACTOR may not i) share, ii) publish, or iii) distribute Confidential Information or any other data received under this Contract without the prior written approval of the STATE.

33.2. In the event of termination of this Contract, CONTRACTOR shall return to STATE all

Confidential Information, including student information, received under this Contract and

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further agrees to destroy any and all copies of, or references to, any Confidential Information, including student information, shared by STATE as a result of this Contract.

CONTRACTOR shall certify in writing that all such copies have been destroyed or returned to the STATE.

34. Exclusion of Specific Workers

The STATE reserves the right to require the CONTRACTOR to remove an employee, agent, subcontractor or volunteer (Worker) from performing work under this Contract. The Contract Administrator shall notify the CONTRACTOR in writing and this exclusion of a specific Worker(s) shall take effect as indicated on the notice. The CONTRACTOR may appeal this decision to the Contract Administrator, in writing within ten (10) working days of receipt of the notice. Removal of the Worker(s) shall remain in effect pending the outcome of the appeal. This provision shall not infringe upon the right of the CONTRACTOR to employ the removed individual, but shall apply to any work requiring interaction with the STATE, its employees or students.

35. Records Retention

Should the CONTRACTOR be aware of or be made aware of any dispute, disagreement, or request relating to the files, books, or records prior to their destruction, the CONTRACTOR shall retain the files, books, and records until said dispute, disagreement, or request has been fully resolved, including any potential lawsuits or appeals. Said files, books, and records may thereafter be destroyed upon obtaining the agreement of the STATE.

36. Federal Funds

The following serves to supplement provision 18 of the General Conditions, entitled “Federal Funds”:

36.1. Contracts for more than the simplified acquisition threshold, which is the inflation adjusted amount determined by the Civilian Agency Acquisition Council and the Defense Acquisition Regulations Council (Councils) as authorized by 41 U.S.C. 1908, must address administrative, contractual, or legal remedies in instances where contractors violate or breach contract terms, and provide for such sanctions and penalties as appropriate.

36.2. All contracts in excess of $10,000 must address termination for cause and for convenience by the non-Federal entity including the manner by which it will be effected and the basis for settlement.

36.3. Davis-Bacon Act, as amended (40 U.S.C. 3141-3148). When required by Federal program legislation, all prime construction contracts in excess of $2,000 awarded by non- Federal entities must include a provision for compliance with the Davis-Bacon Act (40 U.S.C. 3141-3144, and 3146-3148) as supplemented by Department of Labor regulations (29 CFR Part 5, “Labor Standards Provisions Applicable to Contracts Covering Federally Financed and Assisted Construction”). In accordance with the statute, contractors must be required to pay wages to laborers and mechanics at a rate not less than the prevailing wages specified in a wage determination made by the Secretary of Labor. In addition, contractors must be required to pay wages not less than once a week. The non-Federal entity must place a copy of the current prevailing wage determination issued by the Department of Labor in each solicitation. The decision to award a contract or subcontract must be conditioned upon the acceptance of the wage determination. The non-Federal entity must report all suspected or reported violations to the Federal awarding agency.

The contracts must also include a provision for compliance with the Copeland “Anti- Kickback” Act (40 U.S.C. 3145), as supplemented by Department of Labor regulations (29 CFR Part 3, “Contractors and Subcontractors on Public Building or Public Work Financed in Whole or in Part by Loans or Grants from the United States”). The Act https://www.govinfo.gov/link/uscode/41/1908 https://www.govinfo.gov/link/uscode/40/3141 https://www.govinfo.gov/link/uscode/40/3141 https://www.govinfo.gov/link/uscode/40/3141 https://www.govinfo.gov/link/uscode/40/3146 https://www.ecfr.gov/current/title-29/part-5 https://www.govinfo.gov/link/uscode/40/3145 https://www.ecfr.gov/current/title-29/part-3

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provides that each contractor or subrecipient must be prohibited from inducing, by any means, any person employed in the construction, completion, or repair of public work, to give up any part of the compensation to which he or she is otherwise entitled. The non- Federal entity must report all suspected or reported violations to the Federal awarding agency.

36.4. Contract Work Hours and Safety Standards Act (40 U.S.C. 3701-3708). Where applicable, all contracts awarded by the non-Federal entity in excess of $100,000 that involve the employment of mechanics or laborers must include a provision for compliance with 40 U.S.C. 3702 and 3704, as supplemented by Department of Labor regulations (29 CFR Part 5). Under 40 U.S.C. 3702 of the Act, each contractor must be required to compute the wages of every mechanic and laborer on the basis of a standard work week of 40 hours. Work in excess of the standard work week is permissible provided that the worker is compensated at a rate of not less than one and a half times the basic rate of pay for all hours worked in excess of 40 hours in the work week. The requirements of 40 U.S.C. 3704 are applicable to construction work and provide that no laborer or mechanic must be required to work in surroundings or under working conditions which are unsanitary, hazardous or dangerous. These requirements do not apply to the purchases of supplies or materials or articles ordinarily available on the open market, or contracts for transportation or transmission of intelligence.

36.5. Rights to Inventions Made Under a Contract or Agreement. If the Federal award meets the definition of “funding agreement” under 37 CFR § 401.2 (a) and the recipient or subrecipient wishes to enter into a contract with a small business firm or nonprofit organization regarding the substitution of parties, assignment or performance of experimental, developmental, or research work under that “funding agreement,” the recipient or subrecipient must comply with the requirements of 37 CFR Part 401, “Rights to Inventions Made by Nonprofit Organizations and Small Business Firms Under Government Grants, Contracts and Cooperative Agreements,” and any implementing regulations issued by the awarding agency.

36.6. Clean Air Act (42 U.S.C. 7401-7671q.) and the Federal Water Pollution Control Act (33

U.S.C. 1251-1387), as amended—Contracts and subgrants of amounts in excess of $150,000 must contain a provision that requires the non-Federal award to agree to comply with all applicable standards, orders or regulations issued pursuant to the Clean Air Act (42 U.S.C. 7401-7671q) and the Federal Water Pollution Control Act as amended (33 U.S.C. 1251-1387). Violations must be reported to the Federal awarding agency and the Regional Office of the Environmental Protection Agency (EPA).

36.7. Debarment and Suspension (Executive Orders 12549 and 12689)—A contract award

(see 2 CFR 180.220) must not be made to parties listed on the governmentwide exclusions in the System for Award Management (SAM), in accordance with the OMB guidelines at 2 CFR 180 that implement Executive Orders 12549 (3 CFR part 1986 Comp., p. 189) and 12689 (3 CFR part 1989 Comp., p. 235), “Debarment and Suspension.” SAM Exclusions contains the names of parties debarred, suspended, or otherwise excluded by agencies, as well as parties declared ineligible under statutory or regulatory authority other than Executive Order 12549.

36.8. Byrd Anti-Lobbying Amendment (31 U.S.C. 1352)—Contractors that apply or bid for an award exceeding $100,000 must file the required certification. Each tier certifies to the tier above that it will not and has not used Federal appropriated funds to pay any person or organization for influencing or attempting to influence an officer or employee of any agency, a member of Congress, officer or employee of Congress, or an employee of a member of Congress in connection with obtaining any Federal contract, grant or any other award covered by 31 U.S.C. 1352. Each tier must also disclose any lobbying with https://www.govinfo.gov/link/uscode/40/3701 https://www.govinfo.gov/link/uscode/40/3702 https://www.govinfo.gov/link/uscode/40/3704 https://www.ecfr.gov/current/title-29/part-5 https://www.ecfr.gov/current/title-29/part-5 https://www.govinfo.gov/link/uscode/40/3702 https://www.govinfo.gov/link/uscode/40/3704 https://www.govinfo.gov/link/uscode/40/3704 https://www.ecfr.gov/current/title-37/section-401.2#p-401.2(a) https://www.ecfr.gov/current/title-37/part-401 https://www.govinfo.gov/link/uscode/42/7401 https://www.govinfo.gov/link/uscode/33/1251 https://www.govinfo.gov/link/uscode/33/1251 https://www.govinfo.gov/link/uscode/42/7401 https://www.govinfo.gov/link/uscode/33/1251 https://www.ecfr.gov/current/title-2/section-180.220 https://www.ecfr.gov/current/title-2/part-180 https://www.federalregister.gov/executive-order/12549 https://www.govinfo.gov/link/uscode/31/1352 https://www.govinfo.gov/link/uscode/31/1352

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non-Federal funds that takes place in connection with obtaining any Federal award. Such disclosures are forwarded from tier to tier up to the non-Federal award.

PAYMENT

37. Invoicing

CONTRACTOR shall submit original invoice to the following address:

Hawaii State Department of Education Office of Information Technology Services Enterprise Systems Branch 650 Iwilei Road, Suite 332 Honolulu, Hawaii 96817 Attention: Joanne Tachikawa

Invoice should reference both the Contract number and the solicitation number.

38. Payment

HRS § 103-10, provides that the STATE shall have thirty (30) calendar days to make payment after receipt of the invoice or satisfactory delivery of the goods or satisfactory performance of the services. For this reason, the STATE may reject any bid submitted with a condition requiring payment within a shorter period. Further, the STATE may reject any bid submitted with a condition requiring any interest payments greater than that allowed by HRS § 103-10, as amended.

The STATE will not recognize any requirement established by the CONTRACTOR and communicated to the STATE after award of the Contract, which requires payment within a shorter period or any interest payment not in conformance with statute.

The final payment under the Contract shall be for services performed and/or goods delivered during the billing period just prior to the Contract anniversary date.

In addition to the requirements set forth in the General Conditions, the following shall accompany the final payment invoice:

1. A valid (not over 2 months old) and original Tax Clearance Certificate (TCC) must accompany the final payment invoice. In accordance with HRS § 103-53, all CONTRACTORs must provide a TCC from the State of Hawaii Department of Taxation and the U.S. Internal Revenue Service as a prerequisite to receipt of final payment.

2. The Certification of Compliance for Final Payment (DOE Form-22) with an original signature of an authorized representative of the CONTRACTOR.

3. In lieu of the above, the CONTRACTOR may submit an original Certificate of Vendor Compliance as issued via the online system, also referred to as “Hawaii Compliance Express”. Details regarding this online application process may be viewed at:

https://vendors.ehawaii.gov/hce/.

APPROVALS

39. State of Hawaii’s General Conditions

The Special Conditions shall serve to supplement the General Conditions; both documents remain part of the Contract with full force and effect.