RFP Documant.pdf

REQUEST FOR BID

Statewide Remanufactured Toner and Ink

Products

RFB#28282-CN

Issued Date: April 12, 2019 Responses Due: May 7, 2019 at 2:00 PM CDT

Statewide Remanufactured Toner and Ink Products

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Table of Contents

1 INTRODUCTION AND PURPOSE

1.1 DEFINITIONS

1.2 PURPOSE AND SCOPE OF THE REQUEST FOR BID

1.2.1 Overview of Procuring Agency, Background and Objectives

1.3 CONTRACT TERM

1.4 MODIFICATIONS OF CONTRACT

1.5 ORDER OF PRECEDENCE

1.6 COOPERATIVE PURCHASING SERVICES

1.7 RESPONDING TO BID REQUIREMENTS

2 BIDDER QUALIFICATIONS AND REQUIREMENTS

2.1 Qualification and Requirements - Years in Business

2.2 Qualification and Requirements - Ordering Methods

2.3 Qualification and Requirements - eCommerce Systems

2.4 Qualification and Requirements - Dedicated Account Manager

3 MANDATORY REQUIREMENTS

3.1 MANDATORY TECHNICAL REQUIREMENTS

3.1.1 Technical Requirements - eCommerce Systems

3.1.2 Technical Requirements - eCommerce Systems - Jaggaer Supplier Network

3.1.3 Technical Requirements - eCommerce Systems - Dedicated Technical Support

3.1.4 Technical Requirements - eCommerce Systems - Punchout Catalogs

3.1.5 Technical Requirements - eCommerce Systems - UNSPSC and NIGP Commodity Codes

3.1.6 Technical Requirements - eCommerce Systems - Specific requirements for Shop@UW

3.1.7 Technical Requirements - Current Production

3.1.8 Technical Requirements - Product Specifications

3.1.9 Technical Requirements - Cartridge Performance

3.1.10 Technical Requirements - Warranties, Defective Products and Failure Rates

3.1.11 Technical Requirements - Densitometer

3.1.12 Technical Requirements - Packaging

3.2 MANDATORY PERFORMANCE AND SUPPORT REQUIREMENTS

3.2.1 Performance and Support Requirements - Blocking of Items

3.2.2 Performance and Support Requirements - Fill Rate Accuracy

3.2.3 Performance and Support Requirements - Product Warranty

3.2.4 Performance and Support Requirements - Recycling of "Spent" Cartridges

3.2.5 Performance and Support Requirements - Quarterly Business Reviews

3.2.6 Performance and Support Requirements - Customer Satisfaction Surveys

3.2.7 Performance and Support Requirements - Orientations and Trainings

3.2.8 Performance and Support Requirements - Response Time

3.2.9 Performance and Support Requirements - Orders

3.2.10 Performance and Support Requirements - Catalogs

3.2.11 Performance and Support Requirements - Shipping, Delivery and Receiving Requirements

3.2.12 Performance and Support Requirements - Reporting

3.2.13 Performance and Support Requirements - Product Promotions/Marketing

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3.2.14 Performance and Support Requirements - Random Product Sampling

3.2.15 Performance and Support Requirements - Return Policy

3.2.16 Performance and Support Requirements - New and Discontinued Items

3.2.17 Performance and Support Requirements - Contract Audits

3.2.18 Performance and Support Requirements - Payment Terms

4 SPECIAL TERMS AND CONDITIONS OF BID

4.1 Special Terms and Conditions - Liquidated Damages

4.2 Special Terms and Conditions - Sample Contract

4.3 Special Terms and Conditions - Background Checks

4.4 Special Terms and Conditions - Access to Secure Facilities

4.5 Special Terms and Conditions - Cancellation and Termination

4.6 Special Terms and Conditions - Insurance

4.7 Special Terms and Conditions - Safety Data Sheets

4.8 Special Terms and Conditions - Tobacco-Free Environment

4.9 Special Terms and Conditions - Fraternization/Agency Work Rules

5 COST STRUCTURE AND COST SHEETS

5.1 METHOD OF BID

5.2 COST SHEET INSTRUCTIONS

5.2.1 COST SHEET A: CORE ITEMS

5.2.2 COST SHEET B: PERCENTAGE OFF LIST (NON-CORE ITEMS)

5.2.3 COST SHEET C: INCENTIVES

5.3 REQUESTING PRICE ADJUSTMENTS

6 BID PROCEDURE AND INSTRUCTIONS

6.1 CALENDAR OF EVENTS

6.2 CORRESPONDENCE, CLARIFICATIONS AND QUESTIONS

6.3 REASONABLE ACCOMMODATIONS

6.4 WISCONSIN eSUPPLIER PORTAL REGISTRATION

6.5 BIDDER CONFERENCE

6.6 SUBMITTING A BID

6.7 ELECTRONIC BID SUBMITTAL (STRONGLY PREFERRED)

6.8 HARD COPY BID SUBMITTAL

6.9 EMAILED BIDS

6.10 FORMAT OF BID RESPONSE

6.11 INCURRING COSTS

7 BID ACCEPTANCE AND AWARD

7.1 BID OPENING

7.2 BID REVIEW

7.3 BID ACCEPTANCE

7.4 METHOD OF AWARD

7.5 BIDDER REFERENCES/CLIENT LIST

7.6 USE OF SUBCONTRACTORS

7.7 SUPPLIER DIVERSITY

7.7.1 MINORITY-OWNED BUSINESS ENTERPRISE

7.7.2 VETERAN-OWNED BUSINESS

7.7.3 DISABLED VETERAN-OWNED BUSINESS

7.7.4 WOMAN-OWNED BUSINESS ENTERPRISE

7.8 DEBARMENT

7.9 AWARD NOTIFICATION

8 REQUIRED FORMS

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1 INTRODUCTION AND PURPOSE

State agencies may at their discretion order remanufactured toner and/or ink cartridges from a mandatory statewide contract that results from this Request for Bid.

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1.1 DEFINITIONS

For the purposes of this Request for Bid and resulting Contract(s), the following definitions of terms shall apply, unless otherwise indicated.

Agency:

an office, department, agency, institution of higher education, association, society or other body in state government created or authorized to be created by the constitution or any law, which is entitled to expend moneys appropriated by law, including the legislature and the courts, but not including an authority.

Authorized Users:

includes any State Agency, University of Wisconsin campus, or other state or local public body authorized to use Contracts, as established in §§ 16.70 (1b), (1e), (2), (4) and (8), 16.73 and 66.0301 of the Wisconsin Statutes and § PRO-D-30 of the State Procurement Manual.

ARO: "means" after receipt of order.

ASTM: means American Society of Testing and Materials International

Authorized User: means any State agency, board, commission, UW-Campus or cooperative purchasing entity

Bid:

a price quotation specifically given to a prospective purchaser by a prospective seller;

a Bid is an offer to sell. For the purposes of this RFB, a Bid includes all requisite forms, response completed as instructed.

Bidder: a person or firm that responds to this Request for Bid.

Bureau: State Bureau of Procurement

Catalog:

the term used to describe the bidder's full product line that the bidder is willing to provide to Authorized Users.

Commodity:

a tangible article of trade or item of merchandise; goods, products, materials, supplies, or finished products. A Commodity is not a Service for purposes of this RFB, but a Commodity may include incidental or related Services.

Compatible Cartridge:

means an ink or toner cartridge that is not manufactured by the original equipment manufacturer but will work in the same way that an OEM cartridge would. Also known as a

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Contract:

the written agreement between the successful Bidder and the State covering the commodities and services to be performed pursuant to this RFB.

Contract Administrator:

the Agency employee responsible for oversight of the implementation, administration, and completion of the Contract.

Contractor:

the person or entity that has been awarded the Contract as a result of this Bid, and who is required to provide equipment, materials, supplies, contractual services, or leasing real property to, the Procuring Agency.

Contract Manager:

the employee of an Agency responsible for 1) resolving contractual matters that cannot be resolved with the Contract Administrator; and

2) facilitating and/or completing all official actions under the Contract including but not limited to amendments, renewals and termination.

Cooperative Purchasing:

Wisconsin Statutes (s.16.73, Wis. Stats.)

establishes authority to allow Wisconsin Municipalities to purchase from State contract. A "municipality" is defined as any county, city, village, town, school district, board of school directors, sewer district, drainage district, vocational, technical and adult educational district, or other public body having the authority to award public contracts.

Federally recognized Indian Tribes and bands in this state may participate in cooperative purchasing.

Core Item:

an item which is most commonly used and are offered to the State at deeper discounts than a standard percentage off published catalog prices. Core item lists are reviewed quarterly and additions or deletions of products shall be mutually agreed upon by the DOA Contract Manager and the Contractor.

CST: Central Standard Time cXML:

commerce eXtensible Markup Language. A protocol based upon XML, intended for communication of business documents between procurement applications, e-commerce hubs and suppliers.

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Defect Rate:

for the purposes of the contract resulting from this RFB the Defect Rate is calculated by dividing the number of defective cartridges in a time period by the total number of cartridges shipped during that same time period.

Defective Cartridge:

for the purposes of the contract resulting from this RFB, a consistently defective cartridge is one with a reported defective rate of three percent (3%) or more over the course of three

(3) consecutive months.

Department: Department of Administration

Disabled Veteran Owned Business (DVB):

a business that has been certified by the Department of Administration under §16.283, Wis. Stats.

DOA: Department of Administration e-Commerce:

Also known as, e-procurement, The business to business purchase or sale of supplies and services through the internet as well as other information and networking systems, such as EDI (electronic data interchange) or ERP (Enterprise Resource Planning).

End User:

individual employee of an Authorized User.

May be used interchangeably with Authorized User.

Fill Rate:

calculated as a sum of products filled and delivered divided by the total sum of products ordered by the delivery date specified on any purchase order, or on-line order, or within one

(1) business day after receipt of the order (ARO) unless the item is blocked.

F.O.B.: Free on Board

Full Catalog:

means the Bidder's catalog of products plus any products that the bidder sources directly.

The Bidder's "full catalog" includes all products that are available on the Bidders ordering system within the scope of this procurement.

IEC:

means the International Electrotechnical Commission of the International Organization for Standardization.

ISO: means International Organization for Standardization.

ISTA: means International Safety Transit Authority

ITC: means International Imaging Technology

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Council

Market Basket:

refers to a list of the most frequently purchased toner and ink products. A market basket has been developed as a tool to determine contract award.

MDS: UW Materials Distribution Services

Minority Business Enterprise (MBE):

a business that has been certified by the Department of Administration under §16.287, Wis. Stats.

Municipality:

any Wisconsin county, city, village, town, school district, board of school directors, sewer district, drainage district, vocational, technical and adult education district, or any other public body having the authority to award public Contracts (s. 16.70(8), Wis.

Stats.).

Notice of (Intent to) Award:

a writing issued by the Procuring Agency notifying all Bidders of the Procuring Agency's intent to award of a Commodity Contract to the successful Bidder(s), or in the case of Services, the Procuring Agency's intent to award a Contract to the successful Bidder(s).

Non-Core Item:

is an item which appears as part of the Contractors, overall product offering, and are within scope of the contract, but do not appear on the State's Core Item list. These items receive a fixed discount off the Contractor's commercially available published catalog/price list. The discount offered is a fixed discount which remains in effect for the entire length of the contract.

OEM Cartridge:

means an original equipment manufacturer (OEM) cartridge is an ink or toner cartridge made by the original printer manufacturer.

Also known as a genuine cartridge.

Page Yield:

refers to the number of print pages which can typically be expected from an inkjet or laser cartridge using ISO Standards. Refer to ISO/IEC 24711, ISO/IEC 19752 and ISO/IEC 19798 for information on the standard.

Purchasing Card (P-card):

a charge card issued to an authorized state employee through the Department of Administration, State Bureau of Procurement's Purchasing Card Contract.

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Price File:

means an electronic file that is used to govern contract prices for all items in the Bidder's full catalog. Price files contain information for each item that includes, at a minimum, a manufacturer number, contractor's item/SKU number, item description, unit of measure, current catalog price, discount percentage, Core or non-core designation and comment field. Additional data elements may be added upon mutual agreement between the DOA Contract Manager and Contractor.

Procurement Specialist:

the individual responsible for overseeing and administering the procurement process for a Bid.

Procuring Agency: The State Agency conducting the purchasing transactions

Punchout:

an e-procurement software application that makes it possible for a buyer to access a supplier's website from within the buyer's own procurement application. The buyer leaves ("punches out" from) their company's system and goes to the supplier's web-based catalog to locate and order products, while their application transparently maintains connection with the web site and gathers pertinent information.

Remanufactured Cartridge:

means a printing cartridge to which the following service has been performed: the disassembly of the cartridge, inspection, cleaning and adjustment of all components, repair where necessary, replacement of worn or damaged parts, reassembly and testing of the remanufactured cartridge, and, where applicable, removal of the remaining toner, replacement of the toner supply, and, refurbishing the organic photoreceptor cell (OPC) or replacing the OPC with a new or aftermarket cell. The cartridge contains all brand-new parts except for the existing cartridge casing.

RFB: Request for Bid

Shop@UW:

is an e-commerce system used mainly by UW- Madison, but is available to any UW-System campus. It includes a business-to-business cXML partnership between the Contractor's

Page 9 RFB#28282-CN electronic commerce (e-commerce) system and Shop@UW eCommerce system (currently Jaggaer).

Specification:

a descriptive statement of the physical, functional and performance characteristics of the commodity or service required by the Procuring Agency. A Specification may be a description of the physical or functional characteristics, or of the nature of a supply. It may include a description of any requirement for inspecting, testing or preparing a supply item for delivery, or the necessary performance criteria. When used throughout this RFB, this term is used interchangeably with the term "requirement".

STMC: means the Standardized Test Methods Committee

WISBuy:

is the State of Wisconsin eCommerce system used mainly by State agencies but is available to cooperative purchasing groups as well. It includes a business-to-business cXML partnership between the Contractor's electronic commerce (eCommerce) system and WISBuy eCommerce system (currently Jaggaer).

mailto:Shop@UW

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1.2 PURPOSE AND SCOPE OF THE REQUEST FOR BID

The Department of Administration, requests Bids for the purchase of remanufactured toner and ink products and intends to use the results of this process to award and administer a mandatory statewide contract for remanufactured toner and ink products which must be utilized by State agencies and University of Wisconsin (UW) campuses.

Cooperative purchasing groups may also use the contract which results from this bid.

The needs and current operations of Authorized Users of this contract generally fall into two different business models for ordering remanufactured toner and ink.

Traditional Business Model provides State agencies the ability to place orders online (on Contractor's website reflecting State pricing), via fax and/or via telephone. All options must be available to Authorized Users. Payment options include the State's purchasing card (P-Card) as well as purchase orders. Delivery of product is made to multiple locations throughout the State of Wisconsin.

e-Commerce Model provides an e-commerce system which includes a business-to-business cXML partnership between the contractor's electronic commerce system and an e-commerce system provided by Jaggaer.

OEM and compatible toners and inks are not part of the scope of this bid and shall not be sold to the State under the contract resulting from this bid.

1.2.1 Overview of Procuring Agency, Background and Objectives The Department of Administration (DOA), State Bureau of Procurement (Bureau) performs administrative and executive functions for the State of Wisconsin. The Bureau will administer the contract resulting from this RFB.

1.3 CONTRACT TERM

This Contract will run for an initial two (2) year period. The State and the Contractor, upon written mutual agreement, may renew the Contract for up to an additional three (3) one-year periods. The Contract shall be effective on the date it is executed by the State.

If no formal Contract is executed, the effective date of the Contract is the date of the purchase order.

The RFB documents, the awarded Bidder's response as accepted by the State and any purchase order related to this RFB shall become the Contract between the parties unless a separate Contract is executed.

1.4 MODIFICATIONS OF CONTRACT

The Contract shall not be used for purchasing commodities or services outside of the general scope and intent of the original Request for Bid. Any modifications made to the Contract shall fall within the scope of the Bid and be rendered in writing and signed by both parties or they will be void.

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1.5 ORDER OF PRECEDENCE

In the event of Contract award, the contents of this RFB (including all attachments), RFB addenda and revisions, the Bid response from the successful Bidder as accepted by the Procuring Agency, and any additional terms agreed to in writing by the parties shall be incorporated into the Contract. Failure of the successful Bidder to accept these elements into the Contract will result in the cancellation of the Contract award.

In the event of conflict with the incorporated elements of the Contract, the following order of precedence will prevail:

• Final Signed Contract with clarifications included

• Bid Response as accepted by the State of Wisconsin

• Request for Bid #28282-CN

If the Official Purchase Order serves as the final Contract, in the event of a conflict with the incorporated elements of the Contract, the following order of precedence will prevail:

• Official Purchase Order

• Bid Response as accepted by the State of Wisconsin

• Request for Bid #28282-CN

1.6 COOPERATIVE PURCHASING SERVICES

Commodities and services may be made available to Municipalities upon agreement of the Contractor. Where requested by the State, and agreed to by the Contractor(s), Municipalities shall be able to obtain the commodities and services procured under the Contract at the same rates agreed to by the Procuring Agency and the Contractor. The Contractor shall be responsible for confirming the status of potential Municipalities with the Procuring Agency and providing appropriate documentation and support and reporting Contract usage by Municipalities.

Bidder must complete Section 5: Wisconsin's Cooperative Purchasing Service on APPENDIX A: BIDDER REQUIRED FORM (DOA-3832) which is included in the Supporting Documents.

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1.7 RESPONDING TO BID REQUIREMENTS

Mandatory Bidder qualifications and/or requirements in this RFB document must be minimally met without exception; failure to meet such will disqualify your Bid. Before the award of any Contract, the Department of Administration shall be satisfied that the Bidder has sufficient qualified resources available for performing the work described in this Bid. It is the Bidder's responsibility to acquaint the Department of Administration with these qualifications by submitting appropriate or supporting documentation.

Certain qualifications/Specifications will be presented by the State as itemized questions that require an affirmative response from you that you can meet them (i.e.

"yes/no" prompt; drop down menu; required attachment). Other requirements may be presented in a grouped manner (e.g. "Does your company meet requirements 2.1-2.8").

For any (itemized or grouped) requirements that you cannot meet, you must check "no" and provide a supplemental document as an attachment to explain.

Failure to meet a qualification will disqualify your Bid. However, in the event that no Bidder is able to meet an individual mandatory requirement, the State reserves the right to continue the review of Bids and to select the Bid that most closely meets the requirements specified in this RFB.

2 BIDDER QUALIFICATIONS AND REQUIREMENTS

All requirements in this section are mandatory and the proposer must meet them.

Conditions of the RFB that include the word "must" or "shall" describe a mandatory requirement. All specifications as defined as mandatory minimum requirements unless otherwise stated. The State reserves the right to delete any specifications or conditions of the RFB. Failure to meet a mandatory performance requirement may disqualify your bid. The RFB document, any amendments, addenda and the awarded Bidder's bid as accepted by the State shall become the contract.

Please Note: There are Bid Factors that relate to each of the requirements in this section. Bid Factors can be seen and responded to in the eSupplier Portal if submitting a bid electronically. If submitting a paper bid, Bid Factors can be downloaded from the Supporting Documents and included with your paper bid submission.

2.1 Qualification and Requirements - Years in Business

Bidder must be in the business of remanufacturing and/or distributing remanufactured toner and ink products and must have done so for, at a minimum, the past five (5) years. Mergers, acquisitions and business name changes of a bidder, with proper documentation, will be taken into consideration for the purposes of determining the five (5) year minimum requirement.

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2.2 Qualification and Requirements - Ordering Methods

Bidder must have the ability to accept orders by all of the following ordering methods:

• on-line secure website

• eCommerce system (i.e., WISBuy and Shop@UW, etc.)

• Toll free phone number

• Fax

All prices shown in all of the Bidder's ordering systems must be the same.

Authorized Users shall be responsible for placing their own orders. DOA and each agency will determine the ordering method which will be used for their agency.

On-line ordering capability must be available to all Authorized Users within thirty (30) days of a fully executed contract.

2.3 Qualification and Requirements - eCommerce Systems

Bidder at the time of bid and at no additional cost to the State must have the immediate capability to initiate an ecommerce enablement directly with Jaggaer or a third party Jaggaer enablement company.

See Section 3.1 MANDATORY TECHNICAL REQUIREMENTS for more detailed information on the specifications necessary to meet this Qualification and Requirement.

2.4 Qualification and Requirements - Dedicated Account Manager Contractor must provide a dedicated Account Manager who is available to answer questions or concerns within 24 hours of initial contact. Contractor must also provide a replacement contact should the dedicated account manager be unavailable. If the dedicated Account Manager will be unavailable, the Contractor must notify the DOA Contract Manager a minimum of 24 hours in advance of scheduled absence and provide alternative contact information (i.e. name, email, telephone, etc.). The alternative contact must be able to act on behalf of the dedicated account manager.

3 MANDATORY REQUIREMENTS

All requirements in this section are mandatory and shall be met at no additional cost above the pricing provided in the Bid.

3.1 MANDATORY TECHNICAL REQUIREMENTS

Please Note: There are Bid Factors that relate to this requirement. Bid Factors can be seen and responded to in the eSupplier Portal if submitting a bid electronically. If submitting a paper bid, Bid Factors can be downloaded from the Supporting Documents and included with your paper bid submission.

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3.1.1 Technical Requirements - eCommerce Systems

The State of Wisconsin and the University of Wisconsin - Madison, in keeping with best practices in procurement, inventory control and cost management, have moved to eprocurement systems known as WISBuy (P-card Marketplace and eCatalog) and Shop@UW.

Both of these procurement systems require their own support and each procurement system may have unique requirements. Authorized Users are able to place and track orders more efficiently, monitor overall purchasing and inventory usage and assure contractual obligations are abided by. At the direction of the DOA Contract Manager, the Contractor will work with the Knowledge Management, Improvement and Training (KIT) Section of the State Bureau of Procurement and with UW-Madison staff to enable and support each eprocurement system within ninety (90) days of a fully executed contract.

3.1.2 Technical Requirements - eCommerce Systems - Jaggaer Supplier Network The Contractor shall join the Jaggaer Supplier Network and shall use Jaggaer's Supplier Portal to import the Contractor's punchout catalogs and pricing into the Jaggaer system.

For more information on the Jaggaer Supplier Network visit www.jaggaer.com or call 800-233- 1121.

If at any time during the life of the contract, the State moves to a new eCommerce provider other than Jaggaer, the Contractor shall work with the new provider as necessary to enable catalogs. This shall be done at no additional cost to the State.

3.1.3 Technical Requirements - eCommerce Systems - Dedicated Technical Support The Contractor must provide a dedicated Technical Contact for WISBuy and a dedicated Technical Contact for Shop@UW. The Contractor may achieve this by providing one dedicated staff member responsible for technical support for both WISBuy and Shop@UW or the Contractor may provide two dedicated staff members (one for each ecommerce system). These Technical Contacts will assist with eprocurement system enablements and shall address, on an on-going basis, any issues with the Contractor catalog, order transmission, or any other technical issues.

These individuals are different than the Dedicated Account Manager described in Section 2.4. The names and contact information for the Technical Contacts shall be provided at time of contract negotiations.

All Contractor staff must respond to all communications within twenty-four (24) hours of contact during normal business hours.

If the on-line ordering system must be down for routine maintenance, which would affect the availability of the system to authorized users, the State Contract Manager and authorized users must be notified at least 72 hours prior to the system down time. In the event of unexpected downtime, the State Contract Manager and authorized users must be notified within two (2) hours of system failure.

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3.1.4 Technical Requirements - eCommerce Systems - Punchout Catalogs The Contractor, must agree to enable, at no additional cost to the State or UW-Madison, customized punchout catalogs within WISBuy and Shop@UW. The punchout catalogs will be based on contract pricing and must be able to be integrated with WISBuy and Shop@UW as a standard punchout via Commerce eXtensible Markup Language (cXML). The Contractor shall have ninety (90) days, from contract start date to deliver and have fully operational punchout sites for both WISBuy and Shop@UW.

Punchout catalogs will only include products that the State and/or University has determined are part of the contract. Products not part of the contract will be blocked at the SKU and/or category level or will be formally added as additional products are in compliance with the contract. The State/University reserves the right to require SKU blocking as necessary where other contractual requirements or restrictions demand it.

All Contractor provided pricing in any catalogs shall be contract pricing inclusive of shipping, handling, fees and charges of any sort.

Punchout catalog content will be updated as necessary in compliance with the contract.

If a price conflict between the agreed upon contract price and the price shown in the punchout catalog, the State/University will only pay the lower price.

Except as otherwise set forth herein, each party shall be responsible, at its own expense, for:

• Developing, operating and maintaining its Sites

• Acquiring and maintaining its server hardware and software (of obtaining third-party hosting services) for its respective sites

• Maintaining internet connectivity

Contractor hereby grants to the State/University a limited, non-exclusive, royalty-free right to link to and access the Supplier Sites from Shop@UW and WISBuy, subject to the terms and conditions herein and any Jaggaer relationship solely for the purpose of permitting Authorized Users to Contractor product information and permitting Authorized Users to order Contractor's goods.

The State and/or University reserves the right to convert from a punchout catalog to a hosted catalog at anytime during the contract duration if it is deemed to be in the best interest of the State/University. This conversion would be made at no additional cost to the State.

The State and/or University reserves the right to change from Jaegger to a new ecommerce supplier at anytime during the contract duration if it is deemed to be in the best interest of the State/University. The Contractor agrees to work with the new provider as necessary to enable catalogs. This would be done at no additional cost to the State.

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3.1.5 Technical Requirements - eCommerce Systems - UNSPSC and NIGP Commodity Codes Contractor will support and adhere to the use of the United Nations Standard Product and Services Code (UNSPSC). UNSPSC versions are driven by Jaggaer for the vendors and are upgraded every year. The State/University reserves the right to migrate to future versions of the UNSPSC and the Contractor will be required to comply with the migration effort. All line items, goods or services provided under the resulting Contract must be associated to a UNSPSC code. All line items must be identified at the most detailed UNSPSC level indicated by segment, family, class and commodity. More information about the UNSPSC is available at: http://www.unspsc.org and http://www.

unspsc.org/FAQs.asp#howdoesunspscwork.

Contractor shall also support and adhere to the use of the National Institute of Government Procurement Codes (NIGP). The State/University reserves the right to migrate to future versions of the NIGP and the Contractor will be required to comply with the migration effort. All line items, goods or services provided under the resulting contract must be associated to both NIGP and UNSPC codes. More information about the NIGP can be found at www.nigp.org.

3.1.6 Technical Requirements - eCommerce Systems - Specific requirements for Shop@UW The following technical requirements are unique to Shop@UW and must be provided by the Contractor at no additional cost.

• Contractor must be able to accept an electronic order (EDI or cXML) from Shop@UW through the Jaggaer Order Manager Interface. Bidder must comply with Jaggaer's format and reception instructions.

• Contractor must issue electronic invoices and credits using cXML or EDI through the Jaggaer eSettlement process. Contractor must comply with Jaggaer's format and submission instructions.

• All invoices and credits for Shop@UW orders must be sent electronically (cXML) directly through the Jaggaer eSettlement process. If an invoice is not sent electronically in cXML, MDS shall not be obligated to pay for that order until it is sent electronically. Any adjustments to the invoice must be made in the cXML file.

• Contractor agrees to provide functionality (quote to order) allowing for special quotes to be entered within Shop@UW. This functionality will be documented with full written instructions provided that can be delivered to Customers as a "User Guide" or online help for how this process would work on the Contractor Punch-out site.

• Contractor, at time of contract negotiations, must sign APPENDIX D: UW-MADISON

SAMPLE AGREEMENT.

http://www.unspsc.com/ http://www.unspsc.org/FAQs.asp#howdoesunspscwork http://www.unspsc.org/FAQs.asp#howdoesunspscwork http://www.nigp.org/

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3.1.6.1 Technical Requirements - eCommerce Systems - Shop@UW - Invoicing and Payment Methods Invoicing Supplier is required to invoice University via cXML directly through the SciQuest eSettlement process. Supplier must comply with SciQuest's format and submission instructions. The format and submission requirements are available from SciQuest upon request.

Payment Supplier has the option to continue receiving paper checks or to enroll in either the US Bank PaymentPlus or ACH (Automated Clearing House) payment models by contacting UW Madison Accounting Services Accounts Payable Department at 608-262-5748.

The US Bank PaymentPlus system requires the Supplier to accept payments via the VISA card network for settlement of invoices. Normal processing fees apply.

3.1.6.2 Technical Requirements - eCommerce Systems - Shop@UW - Customer Support

(a) University Duties. The University shall provide the first contact and system support assistance to Customers on all functionality and use issues for Shop@UW (including links to Supplier Site). When known, the University shall promptly notify Supplier of any such issues relating to Catalog, the Supplier Site and/or other Supplier materials/systems.

(b) Supplier Duties. Supplier shall provide all customer and sales support relating to the Catalog, Supplier Goods and Supplier Sites in a manner consistent with the customer and sales support that Supplier provides to any customers regardless of ordering and payment methods.

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3.1.6.3 Technical Requirements -eCommerce Systems - Shop@UW - University Marks/Supplier Marks The University will grant the non-exclusive right to utilize the University Mark in conjunction with but limited to the punch-out website. All other uses of University Marks shall be subject to prior approval on a case by case basis by the University.

Supplier acknowledges the University's right, title and interest in and to the University Marks and the University's exclusive right to use and license the use of University Marks, the Supplier agrees not to claim any title to the University Marks or any right to use the University Marks except as permitted by this Agreement. Supplier shall include all notices and legends with respect to the University's trademarks, trade names, or copyrights as are or may be required by applicable federal, state, and local trademark and copyright laws or which may be reasonably requested by the University. Upon termination of this Agreement, all rights to University Marks conveyed by the University to Supplier shall cease. University specifically reserves any and all right to the University Marks not specifically granted to Supplier.

Supplier grants to the University the right to use Supplier's trademarks, logos, trade names, and service Marks for the purpose of promoting the Shop@UW "punch-out" program to the University.

(a) Grant of License. Supplier hereby grants the University a non-exclusive, royalty-free:

(i) license to use, copy and display the Catalog, any information contained therein and the Supplier Marks for the purposes of permitting Customers to access information about and order Supplier Goods from the Catalog and (ii) if Supplier is using a Punch- Out Catalog, right to link to and access the Punch-Out Catalog on the Supplier Site from Shop@UW, for the purposes of permitting Customers to access the Supplier Website and permitting Customers to order Supplier Goods.

(b) Technology Rights. Each party acknowledges that the technology embodied in the other party's Site may be patented or patentable inventions, trade secrets, copyrights and other Intellectual Property Rights ("Intellectual Property Rights") owned by the other party and its applicable licensors. These Intellectual Property Rights will not be shared with any other third parties without discussion and agreement between the parties, or as required by Wisconsin law.

(c) University Rights. The University Intellectual Property Rights include all Marks owned or licensed, and displayed, by the University on Shop@UW. As between the parties, the University shall be the sole owner of or, with respect to any items licensed by the University, shall retain all rights to Shop@UW and all Intellectual Property Rights associated with Shop@UW, including any modifications, updates, enhancements, or upgrades to any of the foregoing, as well as any Order Data generated or collected on such site (collectively, the "University Materials"). Except as provided herein, Supplier shall not, without the University's prior written approval, copy or use in any way, in whole or in part, any University Materials. Any permitted copies of such property, in whole or in part, alone or as part of a derivative work, shall remain University's sole property. Supplier agrees to reproduce and include the University's copyright, Page 19 RFB#28282-CN trademark, and other proprietary rights notices on any permitted copies of the University Materials, including, without limitation, partial copies and copied materials in derivative works. Supplier shall not copy or reproduce any third-party copyrighted or trademarked materials, which appear on or are otherwise associated with Shop@UW without the prior written consent of University. Detailed sales information related to transaction conducted in Shop@UW remain the property of the University.

3.1.7 Technical Requirements - Current Production

The State will not allow, during the term of the contract, any cancellation of products without an equal and acceptable replacement approved by the DOA Contract Manager.

The Contractor must communicate the discontinuation of any product(s) to the DOA Contract Manager in writing within five (5) business days of its effective discontinuation.

The Contractor will also work with the DOA Contract Manager to identify and implement alternate options that will maintain or reduce the costs associated with the replacement.

Upon request, the Contractor must provide a report of all discontinued products and their applicable replacements.All items shall be current production products.

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3.1.8 Technical Requirements - Product Specifications

All products sold under the Contract resulting from this RFB must meet or exceed the following:

• Current guidelines and standardized test methods as adopted by the Standardized Test Methods Committee (STMC). A list of certified STMC companies can be found at the International Imaging Technology Council (ITC) website.

• Manufacturer's OEM specifications as to yield, density and package integrity.

Yield shall be determined by use of a standard pattern that features 5% coverage (Reference ASTM F 1856, Practice to Determining Toner Usage for Printer Cartridges).

• All current and applicable industry standards for quality and performance.

Upon request, the Contractor shall provide written certification that its manufacturing process meets or exceeds the current standards adopted by the American Society of Testing and Materials (ASTM).

Each cartridge shall be provided with installation and maintenance instructions. In addition, each cartridge and the outside carton shall be clearly marked with the Contractor's name, date of remanufacturing and the country of origin.

Remanufactured cartridges must follow a remanufacturing process which includes, but is not limited to the following:

• assessment to determine if the cartridge can be remanufactured

• complete disassembly of toner cartridge to thoroughly clean and check all internal and external components against the original manufacturer's specifications.

• Replacement of all worn, damaged, defective or end of life-cycle components, including but not limited to, the drum, corona wire assembly (chemically cleaned or replaced), wiper blade, fuser wand and primary change roller (PCR). Replacement seals with an OEM type heat seal, card seal or pressure sensitive seal.

• Replacement of any parts not meeting OEM specifications or the latest guidelines adopted by the STMC for remanufactured cartridges. All replacement parts must meet or exceed current OEM standards.

• Filling of toner cartridges meeting OEM specifications or the lasted guidelines adopted by the STMC for remanufactured cartridges.

• NO cartridges shall be "Drilled and filled". "Split hopper" cartridges will not be considered unless there is no alternative of remanufacturing them.

• All ink and toner used in the remanufacturing process must be first quality.

• A toner hopper/seal separator which meets or exceeds OEM standards shall be inserted to prevent spillage of toner during shipping.

• Exterior surfaces must be thoroughly cleaned with all traces of old labels removed entirely.

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• Contractor must test all cartridges before shipping as part of the remanufacturing process to insure accordance with above standards and guidelines.

Compatible Cartridges The State will not accept "compatible" cartridges. For the purposes of this RFB and the resulting contract a "compatible" cartridge means an ink or toner cartridge that is not manufactured by the original equipment manufacturer but will work in the same way that an OEM cartridge would. Also known as a generic or alternative cartridge.

Any contractor which provides "compatible" cartridges as substitutes for remanufactured will be in contract breach which may result in contract termination.

If it is in the best interest of the State, in response to future changes in the market and/or product availability, the State reserves the right to negotiate the incorporation of compatible cartridges into the contract resulting from this bid. Subject to negotiation and mutual agreement, the Contractor agrees to this. This change will not be made if the change would have provided a significant advantage to any bidder over another bidder at the time the bid was originally awarded.

3.1.9 Technical Requirements - Cartridge Performance

All products must be capable of performing at an effectiveness level in accordance with manufacturer's specifications and advertised data sheets.

Toner and Ink cartridge yields shall follow the standards as outlined in the ISO/IEC 24711, ISO/IEC 19752 and ISO/IEC 19798. Where the Department and/or the Contractor becomes aware of page yields that are consistently below OEM standards, the Contractor must propose an acceptable alternative product. All alternate products must have the same specifications and be of equal or greater quality than the replaced product.

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3.1.10 Technical Requirements - Warranties, Defective Products and Failure Rates Bidder shall guarantee its products to be free from defect in materials and workmanship, given normal use and care, for a period of at least one (1) year from the date of purchase.

Upon request, Bidder must provide all warranty information to the Authorized User.

All replacement products must be sold at or lower than the price of the product being replaced.

Defective Cartridges All communications from Authorized Users concerning defective cartridges must be responded to by Contractor and a plan of action determined within four (4) business hours of reporting defective cartridge to Contractor. Acceptable methods of communication include e-mail, phone call or in person by a technician on site.

Where the Department and/or the Contractor becomes aware of consistently defective cartridge (s), the Contractor must propose an acceptable alternative product. All alternative products must have the same specifications and be of equal or greater quality than the replaced product.

Any toner/ink cartridge found defective shall be replaced free of charge regardless of the amount of toner or ink remaining in the cartridge.

All defective cartridges will be returned to the Contractor at the Contractor's expense. The Contractor shall supply pre-paid mailing labels or shall pick up the cartridge(s) at the location of toner/ink delivery.

Replacement cartridges shall be properly marked as replacements and identified with the original purchase order number. All replacement cartridges must be delivered on the next business day and shall be provided at no cost to the State.

If the State has continued uncorrected problems with a specific part number, or if the page yields are consistently below OEM standards or approved manufactured toner/ink industry standards, the State may remove the toner/ink cartridge from the contract and reserves the right to procure the toner/ink for an alternate source.

Upon request, Contractor shall furnish documentation identifying the current and expected failure rate of any product sold under the Contract.

If the toner defect rate, for all cartridges utlized within a six-month period exceeds three percent (3%), the State reserves the right to cancel the contract.

Printer Warranty, Damage and Repair Bidder shall warrant that the use of remanufactured cartridges shall not void any manufacturer's warranty on the equipment which it is used (e.g. printer, fax machine, multi-functional device).

In the event that an Authorized User suspects that a remanufactured cartridge has caused damage, abnormal wear or deterioration to equipment, Contractor shall provide on-site, a competent, factory-trained and authorized technician at their own expense to perform diagnostic testing and equipment repair within eight (8) business hours of initial notification. If equipment is beyond the point of repair due to a defective cartridge, Contractor shall bear the cost of replacing the equipment. Replacement equipment shall be in place and operational within 2 business days. If Contractor's estimated time to repair or replace damaged equipment will not

Page 23 RFB#28282-CN meet the immediate business needs of the Authorized User, the Authorized User reserves the right to procure an alternate provider to repair or replace the equipment and bill the Contractor for the cost of repair or replacement.

3.1.11 Technical Requirements - Densitometer

Using the Bid Factor associated with this requirement, the Contractor shall provide verification that the company (or the remanufacturing company) has a densitometer, test printers and documented operational procedures to perform on-site toner cartridge testing. If Contractor does not have a densitometer, test printers or documented operating procedures, Contractor shall provide detailed information regarding its ability (or the manufacturer's) ability to adequately test cartridges to the STMC standard.

Please Note: There are Bid Factors that relate to this requirement. Bid Factors can be seen and responded to in the eSupplier Portal if submitting a bid electronically. If submitting a paper bid, Bid Factors can be downloaded from the Supporting Documents and included with your paper bid submission.

3.1.12 Technical Requirements - Packaging

Toner cartridge packaging shall be:

• in accordance with standard, commercially acceptable methods such as guidelines determined by the International Safe Transit Association (ISTA)

• packaged in an anti-static, moisture proof bag and either heat sealed or zip locked

• placed in a protective cradle prior to being packaged in an external carton/box to protect the cartridge from damage during shipping

• be constructed to permit users to re-package used/empty cartridges for return to the

Contractor

• Installation and Maintenance instruction sheet shall be included in each package

• All packing lists and all packaging (including the outside carton) must include the manufacturer's name, country of origin, date of remanufacture and a use-by date for shelf life and inventory purposes.

3.2 MANDATORY PERFORMANCE AND SUPPORT REQUIREMENTS

All the requirements in this section are mandatory and shall be met at no additional cost above the pricing provided in the Bid.

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3.2.1 Performance and Support Requirements - Blocking of Items The Contractor must have the ability to block items in their ordering systems which are part of other mandatory State Contracts and/or out of the contract scope.

Contractor must inform Authorized Users that they are not allowed to purchase any blocked items on the contract.

If requested by an Authorized User and approved by the DOA Contract Manager, blocked items may be unblocked on an item by item basis.

If requested by the State, the Contractor must provide reports, both summary and detail, of transactions/history of blocked items. Report format to be determined at the time of the request from the State.

Contractor shall not sell any new OEM toner or ink products and/or "compatible" toner products on the contract resulting from this RFB.

3.2.2 Performance and Support Requirements - Fill Rate Accuracy The Contractor shall maintain an order filled and delivered rate of 98% or greater on all orders. The order filled and delivered rate is calculated as a sum of products filled and delivered divided by the total sum of products ordered by the delivery date specified on any purchase order, or on-line order, or within one (1) business day after receipt of the order (ARO) unless the item is backordered.

For example: 1,000 products filled and delivered divided by 1,015 products ordered = 98% Fill Rate Accuracy

The Contractor shall submit to DOA a quarterly report in Microsoft Excel that details the order accuracy and fill rate. ( See Section 3.2.12 Reporting Requirements).

If the Fill Rate falls below 98% for three consecutive months and the Contractor fails to provide valid justification for not maintaining the 98% fill rate, the State may seek Liquidated Damages as outlined in Section 4.1.

3.2.3 Performance and Support Requirements - Product Warranty The Contractor shall guarantee its products to be free from…