ITB397 Pre-Printed Security Certificates.doc

STATE OF IDAHO

DEPARTMENT OF HEALTH AND WELFARE

Invitation to Bid (ITB) ITB397 Pre-Printed Security Certificates Date of Issuance: 03/14/2024

TABLE OF CONTENTS

3ITB Administrative Information

PURPOSE

GENERAL INFORMATION, solicitation instructions and standard terms and conditions

INQUIRIES

BACKGROUND

SPECIFICATIONS

COST

BILLING PROCEDURE

SUBMISSION REQUIREMENTS

AWARD

Acceptance

Delivery

Price Adjustment Clause

Insurance Requirements

Records Maintenance

Audit Rights

8ATTACHMENT 1 - Specifications

14ATTACHMENT 2 - MODIFICATION AND EXCEPTION FORM

ITB Administrative Information

ITB Lead:

Steve Barclay

Senior Buyer

Steve.barclay@dhw.idaho.gov

By Conference Call Only

The Department is conducting Virtual Electronic Bid Openings instead of in-person Public Bid Openings.

1 PURPOSE

The purpose of this ITB is to obtain a Contractor who can provide Pre-Printed Security Certificates (Safety Paper, Banknote, or Security Paper) with an Optical Variable Device (hologram).

2 GENERAL INFORMATION, solicitation instructions and standard terms and conditions The ITB Lead is the only contact for this Solicitation. All correspondence regarding this ITB must be in writing. In the event that it becomes necessary to revise any part of this ITB, amendments will be posted at IPRO. It is the responsibility of the Bidder to monitor IPRO for any updates or amendments. Any oral interpretations or clarifications of this ITB must not be relied upon. All changes to this ITB must be in writing and posted at IPRO to be valid. Alternate Bids are not not allowed.

3 INQUIRIES

Questions must be submitted using the Q & A Board in IPRO on the left-hand side. QUESTIONS MUST BE RECEIVED BY 11:59:59 P.M. Mountain Time ON THE DATE LISTED IN THE ITB ADMINISTRATIVE INFORMATION section. Official answers to all questions will be posted on the Q & A Board on IPRO as an amendment to this ITB.

Any requests for modifications regarding the State of Idaho Standard Contract Terms and Conditions found at (Contract Terms and Conditions) must be submitted in writing, using Attachment 2, Modification and Exception, and uploaded in IPRO on the Supplier Attachment page by the deadline identified in the ITB Administrative Information section. The State will not consider proposed modifications to these requirements after the date and time set for receiving questions. Proposed modifications and exceptions to requirements, terms or conditions must contain the following:

1. The rationale for the specific requirement being unacceptable to the party submitting the question (define the deficiency).

2. Recommended verbiage for the State’s consideration that is consistent in content, context, and form with the State’s requirement that is being questioned.

3. Explanation of how the State’s acceptance of the recommended verbiage is fair and equitable to both the State and to the party submitting the question.

The State has sole discretion to determine if the modifications or exceptions submitted by a Bidder would result in a material change or otherwise threaten the integrity of the procurement process. Pursuant to IDAPA 38.05.01.084, the State may only negotiate non-material modifications or exceptions. Modifications or exceptions which the State determines to be material, or which otherwise threaten the integrity of the procurement process, will not be accepted or negotiated. In the event that the Bidder has conditioned its Bid on the State’s acceptance or negotiation of its proposed modifications or exceptions, and the modifications or exceptions are deemed material, the Bidder will be given the opportunity to retract the proposed modifications or exceptions from its Bid. Failure to do so will result in the Bidder’s Bid being found non-responsive, after which it will receive no further consideration.

Non-material modifications or exceptions may be negotiated with the apparent successful Bidder, at the discretion of the State; however, the State must have the right to reject any and all such modifications and or exceptions, and to instruct the Bidder to amend its Bid and remove the modifications and or exceptions. Failure to do so may result in the State finding the Bid non-responsive.

Except as otherwise provided in the solicitation document, including the State of Idaho Standard Contract Terms and Conditions (updated May 2021), the State will not consider modifications or exceptions to the requirements, terms, or conditions which are proposed after the Closing Date.

4 BACKGROUND

The Department uses Pre-Printed Security Certificates with an Optical Variable Device (hologram) to produce certified copies of records of vital events that occur in the State of Idaho. Certificate information is printed on the paper using standard office equipment and toner. The image printed on this type of paper provides proof of authenticity to the recipient.

5 SPECIFICATIONS

See SPECIFICATIONS (Attachment 1)

6 COST

Provide your fully burdened Total Cost on the Items page in IPRO.

7 BILLING PROCEDURE

The Contractor must provide an invoice copy upon delivery. The invoice must be submitted no later thirty (30) calendar days after delivery.

The Contractor must provide the following information with each invoice:

IPRO Contract number (and name of project/product, if appropriate) and Agency PO number Identification of billing period

Total amount billed for the billing period

Detailed description of services/products provided and associated # of hours/$ amounts, as appropriate

Name of authorized individual and contact information for Contractor Invoices and reports are to be submitted to:

Agency Contact Person: Program Manager – Vital Records Services

Agency Name: Idaho Department of Health and Welfare; Public Health – Bureau of Vital Records and Health Statistics

Address: 450 W. State Street 1st Floor Boise, ID 83720

8 SUBMISSION REQUIREMENTS

8.1 Bid Submission Method Bids must be submitted electronically through IPRO. The Department will not accept hardcopy (manual) submissions. Supporting documents can be uploaded in IPRO on the Supplier Attachment page.

All Bidders participating in a Solicitation issued through IPRO must establish an account in the IPRO system as it is necessary in order to process and award the resulting Contract(s). It is free to establish an account and only takes a few minutes.

Enter your Total Cost on the Items page in IPRO. It must be entered prior to the deadline established in the ITB ADMINISTRATIVE INFORMATION section above.

8.2 Signature Page Bids must be accompanied by a signed State of Idaho Signature Page. This page is attached in the IPRO Questions page.

8.3 Trade Secrets

If your Bid contains trade secret information which you have identified, you must also submit a redacted copy of the Bid (in electronic format, with the word “redacted” in the file name) with all trade secret information removed or blacked out; as well as a separate document containing a complete list (per the instructions in the three (3) paragraphs directly below) of all trade secret information which was removed or blacked out in the redacted copy. Redacted file must be submitted in IPRO on the Supplier Attachment page.

Paragraph 28 of the Solicitation Instructions to Vendors describes trade secrets to “include a formula, pattern, compilation, program, computer program, device, method, technique or process that derives economic value, actual or potential, from not being generally known to, and not being readily ascertainable by proper means by other persons and is subject to the efforts that are reasonable under the circumstances to maintain its secrecy.” In addition to marking each page of the document with a trade secret notation (as applicable; and as provided in Paragraph 28 of the Solicitation Instructions to Vendors), Bidders must also:

Identify with particularity the precise text, illustration, or other information contained within each page marked “trade secret” (it is not sufficient to simply mark the entire page). The specific information you deem “trade secret” within each noted page must be highlighted, italicized, identified by asterisks, contained within a text border, or otherwise clearly delineated from other text/information and specifically identified as a “trade secret.”

Provide a separate document entitled “List of Redacted Trade Secret Information” which provides a succinct list of all trade secret information noted in your Bid; listed in the order it appears in your submittal documents, identified by Page #, Section #/Paragraph #, Title of Section/Paragraph, specific portions of text/illustrations; or in a manner otherwise sufficient to allow the State’s procurement personnel to determine the precise text/material subject to the notation. Additionally, this list must identify with each notation the specific basis for your position that the material be treated as exempt from disclosure.

9 AWARD

Award will be made to the responsive responsible Bidder with the lowest Total Cost.

Award will be “All or None” to the responsive, responsible bidder with the lowest Total Cost meeting all of the requirements of the ITB. Bidders that do not bid on all items will not be considered for award. Multiple or alternate bids will not be accepted. Bidders that include multiple or alternate bids may be found non-responsive.

10 Acceptance

The items delivered under the Contract will be inspected prior to acceptance. The determination of what is or is not acceptable will be solely at the discretion of the Department.

If an item is rejected the Contractor may, at the option of the Department, have one (1) calendar week to correct the defect(s) (at the Contractor’s expense) or, at the Contractor’s option a replacement of the same class or equivalent, which meets all the minimum specifications and requirements of this bid may be substituted within a reasonable amount of time, not to exceed two (2) calendar weeks.

If substitution items are offered, a sample, at no charge, may be required in order to determine if the items offered meet specifications.

11 Delivery The delivery of the initial order must be within six (6) weeks after the proof is accepted and only after a verbal or written request is made by the Department detailing the amount needed. Subsequent orders must be sent within five (5) weeks after the verbal or written request is received from the Department.

11.1 All documents printed must be delivered under security conditions and clearly marked for inside basement delivery.

11.2 All cartons must be shipped F.O.B. destination pre-paid and allowed for inside basement delivery at the following address: Idaho Department of Health and Welfare, Bureau of Vital Records and Health Statistics, 450 W. State Street, Boise, Idaho 83702-5450.

11.3 All color proofs, samples, and specimens must be submitted by registered FIRST CLASS MAIL, bonded courier, or Contractor’s sales representative by personal delivery, at the Contractor's expense.

11.4 The finished certificate forms must be shipped via a bonded carrier in a sealed container. This seal is only to be broken by an authorized representative of the Department. Returned receipts must be furnished. Extreme precautions must be taken to ensure that cartons are not crushed by the weight of boxes in this order or other shipped items. The transporting truck must have a lift gate to enable the off-loading of the paper at the Department’s 450 W. State Street Boise, ID address.

11.5 The Contractor must contact the Vital Records Program at the Idaho Bureau of Vital Records and Health Statistics at (208) 334-6604 or (208) 334-5982 twenty-four (24) hours prior to delivery for final delivery instructions.

12 Price Adjustment Clause Costs shall remain firm throughout the first year of the Contract, unless otherwise agreed to by the Department and modifications will only be considered under extenuating circumstances.

13 Insurance Requirements Within five (5) business days of notification of award (or such other time as designated by the Purchasing Activity), the apparent successful Bidder must provide certificates of insurance required herein and must maintain the insurance during the life of the Contract. There are no provisions for exceptions to this requirement. Failure to provide the certificates of insurance within the five (5) business day period may be cause for your Bid to be declared non-responsive or for your Contract to be cancelled.

For the term of the Contract, the Contractor must maintain in force, at its own expense, the following insurance.

· Commercial General Liability Insurance and, if necessary, Commercial Umbrella Liability Insurance with a limit of not less than one million dollars ($1,000,000) each occurrence. Insurance required by this section must name the State of Idaho, Department of Health and Welfare as an additional insured.

· Workers' Compensation Insurance which includes Employer Liability Insurance and must comply with Idaho Statutes regarding Workers' Compensation in the amount of: $100,000 per accident; $500,000 disease policy limit; and $100,000 disease, each employee.

If any of the liability insurance required for this Contract is arranged on a "claims-made" basis, "tail coverage" will be required at the completion or termination of this Contract for a duration of twenty-four (24) months thereafter. Continuous "claims-made" coverage will be acceptable in lieu of "tail-coverage" provided the retroactive date is on or before the effective date of this Contract or twenty-four (24) months "prior acts" coverage is provided. The Contractor will be responsible for furnishing certification of "tail coverage" or continuous "claims-made" coverage.

Insurance required by this section must be policies or Contracts of insurance issued by insurers approved by the Department. Insurance certificates must provide for thirty (30) days' prior written notice to the Department of cancellation or material change of such insurance.

The Contractor must further ensure that all policies of insurance are endorsed to read that any failure to comply with the reporting provisions of this insurance, except for the potential exhaustion of aggregate limits, must not affect the coverage(s) provided to the State of Idaho, Department of Health and Welfare.

Send updated certificates to: DHWInsurance@dhw.idaho.gov 14 Records Maintenance

The Contractor must maintain or supervise the maintenance of all records necessary to properly account for all payments made to the Contractor pursuant to the Contract. These records must be retained by the Contractor for at least three (3) years after the Contract terminates, or until all audits initiated within the three (3) years have been completed, whichever is later.

15 Audit Rights

The Contractor agrees to allow State and Federal auditors and State purchasing staff access to all the records relating to this Contract, for audit, inspection, and monitoring of services or performance. Such access will be during normal business hours or by appointment.

ITB397 Pre-Printed Security Certificates ATTACHMENT 1 - Specifications TC "ATTACHMENT 1--specifications" \f C \l "1"

1. CERTIFICATE SIZE

1.1 Certificate form must be 8.5" (width) x 11" (length).

2. CERTIFICATE DOCUMENT

2.1 The certificate form must be single sheet.

2.2 The certificate must be twenty-eight-pound (28 lb.) basis weight. White offset paper compatible with Intaglio process; no optical brighteners; Ultraviolet (UV) dead paper. At a minimum, the paper must have a useful life of seventy-five (75) years. Subject to meeting these requirements, the paper may be recycled or 100% PCW.

2.3 The certificate must have a genuine multi-tone fourdrinier watermark or equivalent which says: “Official Vital Record” and contains artwork which can be viewed from front and back of the document. Watermark must be reserved for the exclusive use of this type of steel engraved safety paper only. No simulated or artificial watermark, either printed or overprinted will be accepted. Artwork to be agreed upon by the State Registrar and Contractor.

2.4 The paper must be coated on one (1) side to enhance toner adhesion to paper fibers. Fiber damage must occur when attempts to remove toner, abrasion or erasure occur. Toner adhesion technology must be applied during the paper manufacturing process. No deviations will be accepted.

2.5 The paper must contain chemical reagents that react with the five (5) recognized families of chemicals used for alteration. Those families are: bleaches, polar solvents, non-polar (A-polar) solvents, acids and alkalis. The chemical reaction must be visible from both sides of the sheet when alterations are attempted on either side.

2.6 The Intaglio steel plate printed documents must be acceptable for processing on electrostatic copying equipment, for processing on laser printers meeting the heat requirements of the printer, and for processing on a microfilm reader/printer and include physical properties to accept and hold the image recorded. Certificate forms must have fine line banknote Intaglio steel plate printing in one (1) color and surface printing in fluorescent erasure-sensitive ink.

3. SECURITY PRINTING

3.1 The certificate form must have fine line banknote Intaglio steel plate printing: one (1) color face must include a fine line lathe work border. A lathe work border must be consistent with certificates previously issued by the Department. Left and right border widths must measure approximately .341” inches, top height must measure approximately .723” inches, and bottom height must measure approximately .371” inches. (Samples must be available upon request).

3.2 The engraved border must include the words, “STATE OF IDAHO” and "CERTIFICATION OF VITAL RECORD," centered on the top edge of the border above the title line centered in white ink in the top border and the words, "ANY ALTERATION OR ERASURE VOIDS THIS CERTIFICATE," must be centered in white ink in the bottom border. The “STATE OF IDAHO” and "CERTIFICATION OF VITAL RECORD," and “ANY ALTERATION OR ERASURE VOIDS THE CERTIFICATE” lines must be incorporated into the Intaglio steel plate without exceptions. Within the engraved border, vendor must include artwork to depict the Idaho State flower, the Syringa.

3.3 The engraved border must include latent image letters "V" to the left and "R" to the right, in positive-negative treatment, to appear, on the certificate as part of the lathe work border and must appear only when viewed from a prescribed angle. The images should not be able to be photographed or copied by conventional printing processes.

3.4 The State of Idaho Seal (cycloid without fine lines) must be engraved in the lower left corner and the hologram on the lower right corner of the form for added security. The state seal shall measure one and one quarter inch (1 1/4") in diameter.

3.4.1 The State of Idaho seal will be provided to the successful Contractor by the Department.

3.5 The border ink color must be blue in color.

3.6 A line of Intaglio micro-printing of the letters "VITAL RECORD" must be repeated to appear as a ruled line when viewed without magnification.

3.7 Visible and invisible fluorescent fibers must be randomly distributed and instantly detectable under black ultraviolet (UV) light. Visible fluorescent fibers must be red and blue in color and invisible fluorescent fibers must be yellow or blue.

3.8 The overall prismatic underprint must be printed with fluorescent erasure-sensitive oil base ink with "VOID" feature to deter color reproduction and to render evident any attempts to alter by mechanical or chemical means.

3.9 Face text material and the signature of the State Registrar must be surface printed in black ink. The words, "STATE OF IDAHO, IDAHO DEPARTMENT OF HEALTH AND WELFARE, BUREAU OF VITAL RECORDS AND HEALTH STATISTICS," must be centered on three (3) lines at the top of the form below the border as provided in the sample. The words, "This is a true and correct reproduction of the document officially registered and placed on file with the IDAHO BUREAU OF VITAL RECORDS AND HEALTH STATISTICS," followed by the words, "DATE ISSUED" with a line following it and the signature of James B. Aydelotte underlined and the words, "JAMES B. AYDELOTTE, STATE REGISTRAR," will be placed at the bottom of the form above the border as shown in the enclosed sample. The "DATE ISSUED _________" must appear at the exact, same location as the sample with the same amount of space above the line following it as there is presently. Additionally on the bottom above the microprinted, "Vital Record”, must be the words, "This copy is not valid unless prepared on engraved border displaying state seal and signature of the Registrar.” Based on revision or Contract changes, a revision date must be printed near the bottom border of the paper.

3.10 A paper sample and Dylux proof copy must be submitted to the Department for evaluation and approval prior to printing.

3.11 The delivery of the finished product will not be accepted if the proof samples have not been approved.

3.12 The camera-ready copy must be returned by the authorized sales representative or by registered mail to the Department upon completion of required camera work. Invoices will not be processed until the camera-ready copy has been received by the Department.

4. BARCODE NUMBERING

4.1 A consecutive nine (9) digit barcode number must be printed on the back of the document. The entire bar code must be eleven (11) characters with one (1), six (6) pointed star (asterisk) at the beginning and one (1) at the end with the nine (9) digit number in between.

4.1.1 Final placement will be determined after discussions with the successful bidder.

4.2 The barcode image height must be .3125” (5/16) inch.

4.3 The barcode total height including human readable font must be .4375 (7/16) inch.

4.4 The density must be 7.594 characters per inch at a ratio of 2.4.

4.5 The Contractor must guarantee that there are no missing or duplicate numbers. A missing number list will not be acceptable.

4.6 The starting certificate number must be 002143001 (all numbers including zeros must print). Subsequent orders must begin with the next number in sequence after the last number of the previous order.

5. OPTICAL VARIABLE DEVICE (HOLOGRAM)

5.1 An Optical Variable Device (i.e., a “Hologram”) must be affixed directly to the Vital Record Certificate which will act as a further deterrent to counterfeiting attempts. The targeted or registered image must have multiple optical device features combined into the final Optical Variable Device. These features must include, but not be limited to the following:

5.1.1 The Holographic foil will have a permanent adhesive on the back which will heat-fuse to the paper making removal impossible.

5.1.2 The Holographic foil will be considered a two-dimensional foil image and will utilize a holographic design which will produce a three-dimensional and dynamic effect.

5.1.3 The Holographic foil will utilize a combination of metallic and transparent layers to reflect light.

5.2 The visibility of the optically variable feature must be determined under outdoor daylight illumination and indoor illumination using a cool white fluorescent light source, as typical in office lighting conditions and a tungsten light source using the unaided eye.

5.3 The existing Mountain Bluebird Hologram shall be required and may have to be secured from the previous Contractor. Any additional cost to reproduce the hologram must be burdened by the Contractor. The Department will provide samples upon request.

5.4 These specifications are intended to duplicate the current holographic foil currently in use.

6. MANUFACTURING SECURITY

6.1 The paper must be manufactured within the United States or Canadian borders in a secure, locked down mill utilizing a fenced perimeter, security gates, security cameras, secure entry process and guards. The Contractor must have on-premise dandy roller production for watermarking. It is recommended that the paper manufacturer be a member of North American Security Products Organization (NASPO) and follows the recommended Chain of Custody protocols.

6.2 All documents must be printed within the continental United States under secure conditions entirely on the premises of the printer.

6.3 All work, plates and materials must be kept in a locked vault.

6.4 During the set up and the actual printing process, all spoilage must be stored in a locked scrap box. When filled, the material must be shredded or incinerated on the premises under bonded supervision. Certification showing compliance must be provided to the Department.

6.5 OUTSIDE PERIMETER SECURITY

6.5.1 The fire door must have a break alarm for local alert in the event of exit.

6.5.2 Uniform locking devices must be on all outside doors, i.e., alarm systems.

6.5.3 A log must be kept for all visitors entering the office or manufacturing area.

6.5.4 The receiving and loading platform must be arranged to prohibit truck drivers or delivery personnel from entering plant.

6.5.5 All production areas must have limited access.

6.6 INSIDE PLANT SECURITY

6.6.1 The plant must be guarded by full-time guard force during operating hours and have video surveillance twenty-four (24) hours a day, seven (7) days a week.

6.6.2 Printing plates must be produced under maximum security conditions and stored in vaults when not in use.

6.6.3 Work must be stored in controlled vaults requiring dual access entry.

6.6.4 A shipping manifest must be developed, and cartons pulled in sequential order and carried on pallets directly to the trucks.

6.6.5 Inks which are not commercially available must be formulated, mixed and destroyed on premises.

6.6.6 Prior to making an award or at any time during the term of the Contract the Department reserves the right to verify manufacturing security by an inspection of the plant during normal business hours.

7. PACKAGING

7.1 Certificates must be shrink wrapped in sets of five hundred (500).

7.1.1 Certificates must not be shrink wrapped until dry to prevent curling.

7.2 Certificates must be packed in cartons of uniform size and equal quantities of no more than two thousand (2,000) sheets per carton and not to exceed forty-two pounds (42 lbs.) gross weight each. Cartons must be packed horizontally, full, and uniformly so that documents remain stable inside boxes.

7.3 The end and one (1) short side of each carton must have, at least, the following on the label:

7.3.1 Document:

7.3.2 Quantity:

7.3.3 Starting and Ending Numbers:

8. OVERRUN

8.1 Printing overrun in excess of ten percent (10%) will not be accepted.

8.2 Any overruns must be in full case lots.

9. SAMPLES

9.1 The Contractor must provide, at no additional cost, thirty (30) “SPECIMEN” samples in addition to the quantity required on each order. These must be packaged and delivered by the sales representative, or with each order when delivered. These samples will have the word “SPECIMEN” printed in half inch (½”) open block letters in red ink.

9.2 The Contractor must supply at no additional cost, for the initial order and any change orders only, one (1) additional case of two thousand (2,000) forms imprinted with the bar code 00000000 in the sequential number block and the word “SPECIMEN” in large bold letters printed across the face of the documents that are to be delivered to the Department.

10. SUBCONTRACTORS

10.1 The Contractor is allowed to use subcontractors under this Contract.

10.2 The Contractor is responsible for any work or product that is produced and delivered to the Department under the Contract whether produced solely or in part by the Contractor or Subcontractor.

10.3 The Contractor must be the sole point of contact regarding any and all contractual matters. The Department will only pay the Contractor and will not pay Subcontractors directly.

10.4 Any Subcontractor must operate within the US or Canada.

ITB397 Pre-Printed Security Certificates ATTACHMENT 2 - MODIFICATION AND EXCEPTION FORM TC "ATTACHMENT 2 -- MODIFICATION AND EXCEPTION FORM" \f C \l "1" Instructions: Complete this form and include with your ITB submittal if you are proposing modifications or exceptions to any of the requirements, terms, or conditions included in the ITB, including any documents incorporated by reference (Standard Contract Terms and Conditions). See ITB Section 3 for a full explanation of the process surrounding Bidder-proposed modifications and exceptions.

Bidders must specifically address any and all proposed modifications and exceptions. Blanket requests to negotiate requirements, terms, or conditions will not be considered. Bidders must provide an explanation as to why the requirement, term, or condition should be considered non-material. Bidder must also provide a reason for the proposed modification or alternative language, specifically addressing the issues itemized in ITB Section 3.

The determination of materiality will be made at the State’s sole discretion. Non-material modifications or exceptions may be negotiated with the apparent successful Bidder, at the discretion of the State, and as otherwise provided in ITB Section 3.

ITB

Section ITB Requirement, Term, or Condition Reason Requirement, Term, or Condition Should be Considered Non-Material

or Exception

ITB397 Pre-Printer Security Certificates ITB397 Pre-Printer Security Certificates