RFR-Text.docx

THE COMMONWEALTH OF MASSACHUSETTS

EXECUTIVE OFFICE OF PUBLIC SAFETY AND SECURITY

Department of Correction MassCor

1 Industries Drive, Building A, Norfolk, MA 02056

Request for Response (RFR)

Document Title: Color Digital Printing Press System

COMMBUYS Bid#: BD-15-1025-DOCIF-7500-00000001496

Agency Document Number: 14-IND-7518-Press

September 8, 2014

Please Note: This is a single document associated with a complete Bid (also referred to as Solicitation) that can be found on www.COMMBUYS.com. All Bidders are responsible for reviewing and adhering to all information, forms and requirements for the entire Bid, which are all incorporated into the Bid. Bidders may also contact the COMMBUYS Helpdesk at COMMBUYS@state.ma.us or the COMMBUYS Helpline at 1-888-MA-STATE. The Helpline is staffed from 8:00 AM to 5:00 PM Monday through Friday Eastern Standard or Daylight time, as applicable, except on federal, state and Suffolk county holidays.

Document Sensitivity Level: High during development; Low once published.

Revised 04/01/2014

Table of Contents Page iv Document Sensitivity Level: High during development; Low once published.

Revised 10/1/2013 RFR Introduction and General Description

Procurement Scope and Description The Commonwealth of Massachusetts, MassCor Division, Strategic Sourcing Team (SST), of the Department of Correction is soliciting Bidders for the acquisition of a new energy efficient color digital printing press, and related maintenance, services, and supplies for the MassCor Industries Print Shop, which is located at Old Colony Correctional Center, Bridgewater, MA.

Applicable Procurement Law This Bid is issued under the following law(s):

· MGL c. 7, § 22; c. 30, § 51, § 52; and 801 CMR 21.00 (Goods and Services)

Number of awards The target maximum number of Contractors is one (1). This is a target number; the SST may award more or fewer Contracts if it is in the best interests of the Commonwealth to do so.

Adding Contractors after initial Contract award If, over the life of the Contract, the Strategic Sourcing Team (SST) determines that additional Contractors should be added, these may first be drawn from qualified companies which responded to this Bid but were not awarded contracts. If necessary to meet the requirements of the Commonwealth, the Bid may be reopened to obtain additional Quotes.

Eligible Entities Any contract resulting from this Bid will be open for use by the Department of Correction only.

Acquisition Method(s) The acquisition method(s) to acquire goods and/or services from this Bid are Outright Purchase or Term Lease.

Performance and Payment Time Frames Which Continue Beyond Duration of the Contract.

All term leases, rentals, maintenance or other agreements for services entered into during the duration of this Contract and whose performance and payment time frames extend beyond the duration of this Contract shall remain in effect for performance and payment purposes (limited to the time frame and services established per each written agreement). No new leases, rentals, maintenance or other agreements for services may be executed after the Contract has expired. Any Contract termination or suspension pursuant to this section shall not automatically terminate any leases, rentals, maintenance or other agreements for services already in place unless the department also terminates said leases, rentals, maintenance or other agreements for service, which were executed pursuant to the main Contract.

Contract Duration The expected duration of this Contract is as follows:

Initial Duration

Up to 1 year

Renewal Options

3 options to renew, up to 2 years, each option

Total Maximum Contract Duration

Up to 7 years

Estimated Value of the Contract The estimated value of purchase(s) resulting from this Bid is $400,000. The Commonwealth makes no guarantee that any commodities or services will be purchased from any Contract resulting from this Bid. Any estimates or past procurement volumes referenced in this Bid are included only for the convenience of Bidders, and are not to be relied upon as any indication of future purchase levels.

Basis for estimated dollar value for this Contract (including all options to renew) The “Estimated Value (US$)” for this Bid was based on the following:

MassCor has conducted research on the outright purchase or lease, plus maintenance, supplies and upgrades for this machine.

Estimated Procurement Calendar

Site Visit – Optional to view Print Shop space Old Colony Correctional Center, Bridgewater, MA September 26, 2014

8:00 AM – 11:00 AM

Security Clearance required

Times are Eastern Standard/Daylight Savings (US), as displayed on the COMMBUYS system clock displayed to Bidders after logging in. If there is a conflict between the dates in this Procurement Calendar and dates in the Bid’s Header, the dates in the Bid’s Header on COMMBUYS shall prevail. Bidders are responsible for checking the Bid record, including Bid Q&A, on COMMBUYS for Procurement Calendar updates.

Site Visit Site visits are available, not mandatory, on September 26, 2014, between 8:00 AM and 11:00 AM, at MassCor Printing Services, Old Colony Correctional Center, One Administration Road, Bridgewater, MA 02324. Any interested Bidder may request a site visit to view the Print Shop where the color digital printing press will be located. Please be advised that a security clearance (background check) is required of any individual entering the facility and the form is posted on COMMMBUYS, titled Authorization to Enter Form. Please complete the lines highlighted in yellow. This background check must be completed and faxed to Kenneth P. Newby at 508-279-6839 no later than 12:00 noon, September 22, 2014. It is the vendor’s responsibility to ensure that the Authorization to Enter Form was received by Kenneth Newby. He can be reached at 508-279-6852.

Written questions via the Bid Q&A on COMMBUYS The “Bid Q&A” provides the opportunity for Bidders to ask written questions and receive written answers from the SST regarding this Bid. All Bidders’ questions must be submitted through the Bid Q&A found on COMMBUYS (see below for instructions). Questions may be asked only prior to the Deadline for Submission of Questions stated in the Estimated Procurement Calendar. MassCor reserves the right not to respond to questions submitted after this date. It is the Bidder’s responsibility to verify receipt of questions.

Please note that any questions submitted to the SST using any other medium (including those that are sent by mail, fax, email or voicemail, etc.) will not be answered. To reduce the number of redundant or duplicate questions, Bidders are asked to review all questions previously submitted to determine whether the Bidder’s question has already been posted.

Bidders are responsible for entering content suitable for public viewing, since all of the questions are accessible to the public. Bidders must not include any information that could be considered personal, security sensitive, inflammatory, incorrect, collusory, or otherwise objectionable, including information about the Bidder’s company or other companies. The SST reserves the right to edit or delete any submitted questions that raise any of these issues or that are not in the best interest of the Commonwealth or this Bid.

All answers are final when posted. Any subsequent revisions to previously provided answers will be dated.

It is the responsibility of the prospective Bidder and awarded Contractor to maintain an active registration in COMMBUYS and to keep current the email address of the Bidder’s contact person and prospective Contract manager, if awarded a Contract, and to monitor that email inbox for communications from the Purchasing Department, including requests for clarification. MassCor and the Commonwealth assume no responsibility if a prospective Bidder’s/awarded Contractor’s designated email address is not current, or if technical problems, including those with the prospective Bidder’s/awarded Contractor’s computer, network or internet service provider (ISP) cause email communications sent to/from the prospective Bidder/Awarded Contractor and MassCor to be lost or rejected by any means including email or spam filtering.

Locating Bid Q&A Log into COMMBUYS, locate the Bid, acknowledge receipt of the Bid, and scroll down to the bottom of the Bid Header page. The “Bid Q&A” button allows Bidders access to the Bid Q&A page.

Electronic Quote Requirement for Bids Bidders are advised that MassCor (1) restricts submission of written questions to the Bid Q&A tool and (2) requires all responses to be submitted using the online submission tools available to active COMMBUYS account holders only, and (3) requires submission of a Supplier Diversity Program (SDP) Plan as specified in the RFR. Bidders are solely responsible to monitor this site for Bid amendments, if any. Bidders may monitor the record by frequently checking the Header Information for the list of Amendments. Bidders with active COMMBUYS accounts may also monitor the record through COMMBUYS email notification and record tracking tools enabled when a vendor acknowledges receipt of a bid. To establish a COMMBUYS account, Bidders must select the Register link on www.commbuys.com and complete the online subscription process.

Amendment Deadline The SST reserves the right to make amendments to the Bid after initial publication. It is each Bidder’s responsibility to check COMMBUYS for any amendments, addenda or modifications to this Bid, and any Bid Q&A records related to this Bid. The SST and the Commonwealth accept no responsibility and will provide no accommodation to Bidders who submit a Quote based on an out-of-date Bid or on information received from a source other than COMMBUYS.

Specifications Additional required terms appear in the Appendices to this RFR.

Bidder Qualifications All specifications in this section apply to all Bidders for the color digital printing press, supplies, maintenance and service who receive an award resulting from this RFR. The responses, as submitted, must meet or exceed all of the mandatory specifications contained within this RFR.

For the purposes of the purchase or lease of the color digital printing press, responses can be submitted by the Original Equipment Manufacturer (hereinafter referred to as "OEM) or an authorized reseller or dealer.

Company experience Years in Business All Bidders must have been in business for at least three (3) years preceding the release date of the RFR. Points may be awarded based upon the number of years in business greater than three (3) years.

In the case of vendors which have new Tax ID numbers as a result of a merger or acquisition, the SST wishes to consider the experience and qualifications of the companies which combined to create the new entity.

In the response to this section, Bidders must identify any changes to the company’s Tax ID which took place as a result of a merger or acquisition within the past 3 years. Provide a sufficient description for each merger or acquisition to enable the SST to easily determine the years of experience of the combined entity. This can be documented on Response Form A, Section 3.1.

Industry Experience All Bidders must have been in the business of offering color digital printing presses for at least three (3) years preceding the release date of the RFR. Points may be awarded based upon the number of years in industry greater than three (3) years. This can be documented on Response Form A, Section 3.1.

Financial stability including bankruptcy, litigation and contract defaults A copy of the most recent independent audit and accompanying financial statements of the provider’s financial condition demonstrating that the provider is in sound financial condition and/or that appropriate corrective actions are being taken to address and resolve any identified financial problems. This may be required annually by the Department.

The Bidder shall submit a description of any and all investigations, indictments, or pending litigation by any federal, state or local jurisdiction relating to the Bidder, any officer, director, partner or member thereof, any affiliate or any related company as well as any Contract defaults, pending actions, enforcement actions or bankruptcy on Response Form A, Section 3.5.

References and reference information and/or requirements Bidders are to provide four (4) references that reflect the largest customers and the largest state government customers on the form attached to Response Form A.

Employee requirements Qualified technicians must be certified by the OEM. Document this information in Section 3.2 of Response Form A.

MassCor reserves the right to ask for documentation from each Bidder verifying their service technician's training.

Department of Correction requirements It must be fully understood by the Bidders/Contractors that the Department of Correction and each facility have security rules and regulations that must be strictly adhered to at all times. Included in these regulations are required security clearances. It should be understood that every Contractor/employee who will present themselves at a correctional facility or on the property must have pre-approved clearance from that facility. Convicted felons are not allowed on state property. Background checks will be completed for individuals performing any work under this Contract. Upon request by the DOC, the Contractor will provide the DOC with specific information to be used to complete background checks. Contractors’ equipment, tools and vehicles may be checked, searched and approved prior to entering, prior to leaving, and at any time while in the facility or on facility grounds. In addition, a locking gas cap may be required for any vehicle entering the facility.

Commodity Specifications Functional description MassCor is soliciting Bidders for the acquisition of a new energy efficient color digital printing press, and related maintenance, services, and supplies for the MassCor Industries Print Shop, which is located at Old Colony Correctional Center, Bridgewater, MA.

The color digital printing press must be new and carry a maintenance guarantee for a period of at least seven (7) years from date of acceptance. The color digital printing press shall be in excellent working condition and shall include OEM equipment guarantee.

Color Digital Printing Press Specifications Bids only for a color digital printing press currently in production and available for sale at the time of the bid opening date for this contract may be submitted. Discontinued equipment not being actively marketed by the OEM for domestic sales should not be submitted and will not be considered. MassCor reserves the right to require OEM documentation to confirm equipment eligibility under this Contract.

It is desirable that Bidders offer the opportunity for a demonstration of a fully configured color digital printing press that meets the specifications as stated in this RFR. MassCor will supply the files to be printed. This can be documented on Response Form A, Section 4.2.

Any reference to a particular trademark, trade name, patent, design, type, specification, producer or supplier is not intended to restrict this Bid to any manufacturer or proprietor or to constitute an endorsement of any commodity or service. MassCor may consider clearly identified offers of substantially equivalent commodities and services submitted in response to such references, which can be documented on Response Form A, Section 4.11.

Specifications or Equivalent

General Specifications:

· Minimum 100 prints per minute (PPM)

· Multi-Color Print Production Device

· Duty Cycle that can handle 1.5M impressions per month Print Quality:

· Minimum of 2400 X 2400 dots per inch (DPI) print resolution

· A 5th toner station in-line with the minimum capabilities of handling clear toner for the purpose of creating watermark/security effects, highlighting elements on a page and artistic effects for resale products

· Comparable to offset print quality, as determined by MassCor

Bidders are to provide five (5) color quality samples on coated and uncoated stocks, with and without the 5th toner station, with at least one 55 grams per square meter (gsm) and one 350gsm, as well as providing two (2) booklets, one at 64gsm and one at 250gsm, both with a minimum of 20 coated sheets.

Paper Handling:

· Minimum of 4 paper trays

· All trays must handle sheet size of 7.5” X 7.5,” up to 13” X 18”

· All trays must handle coated and uncoated stock

· All trays must handle media weight from 55gsm to 350gsm

· Print engine speed must be maintained when running 55gsm to 350gsm

· Print engine speed must be maintained when running sheet size of 7.5” X 7.5,” up to 13” X 18”

Critical Operational Efficiency:

· Work flow management system/software

· Print engine speed must be maintained when using 5th toner station

· Offset Stacker must handle up to 3,000 sheets

· In-line / off-line Booklet Maker requirements:

· Print engine speed must be able to be maintained when using in line finishing

· Ability for in line head, foot and face trimming

· Ability for in line platen scoring

· Sheet Weight Range 64gsm to 250gsm

· Automatic booklet making up to 12” X 18” sheet size

· Ability to handle 20 Coated Sheets for booklet making

· Ability to insert covers in line – minimum sheet size of 7.5” X 7.5” up to 12” X 18” sheet size

Bidders are to clearly state how the automated calibration and registration approach reduces operator intervention on Response Form A, Section 4.3.

Network/System

· Able to be networked

· Built-in Network Interface: Standard Ethernet

· Built-in Network Print Controller Supports:

· Currently supported Microsoft Operating Systems

· Currently supported Apple Operating Systems

· Built-in Network Protocol: TCP/IP

· Scan to file

· Speed – 10/100 MBs Security

· Data Erase/Overwrite – ability to manually or automatically clear/overwrite

· Data Security: ability to print with authenticated access protections

Bidders are to clearly explain the network and standard security features included in their color digital printing press system on Response Form A, Section 4.4.

Maintenance Parts Obsolescence Manufacturers directly or through the designated authorized dealer must guarantee the availability of parts for the color digital printing press for a minimum period of seven (7) years from the last date of manufacture.

Performance specifications, durability, disclosures and recalls The color digital printing press and supplies must perform to the manufacturer’s specifications. If there are any recalls for any piece of equipment, parts or supplies during the term of the Contract MassCor must be notified in writing.

Approvals and standards (UL, ADA, ASTM) The following links as of the release of this Request for Response are the most current approved industry standards for equipment and services. All equipment and quality of services must meet the minimum standards listed below that are appropriate during the term of the Contract.

· Awarded Bidders product with electrical components must meet all appropriate current and future Underwriters Laboratories Inc. (UL) specifications. Bidders must submit a statement from the manufacturer stating the product offered meets or exceeds set standards and will maintain all appropriate UL standards for the term of the Contract along with the UL/Canadian Standard Association (CSA) standards.

· American’s With Disabilities Act (ADA) Standards The Bidder must identify product sampling within the manufacturer’s catalog that meets the ADA requirements on the appropriate cost sheet attachment(s).

· ASTM International, originally known as the American Society for Testing and Materials (ASTM) http://www.astm.org/ Design and Pre-Installation requirements MassCor and the Contractor must discuss and confirm in writing if there is a need for any type of special site preparation prior to accepting a purchase order. (e.g. electrical outlet, dedicated line for proper performance, ventilation, space requirements for equipment and service)

It will be the Contractor's responsibility, prior to accepting an order, to survey and review the particular installation location to ensure the existing proposed location meets the manufacturer's established installation criteria. If special installation is required, such as but not limited to rigging, the Contractor and MassCor must negotiate and agree on a cost for the special installation.

Contractors not familiar with any location are strongly advised to personally view those locations prior to accepting an order. A lack of familiarity with a delivery location will in no way relieve a Contractor from its responsibility to fulfill its Contractual obligations.

In the event that a mutually agreeable location for the equipment, meeting the manufacturer's established installation criteria, is not available, the Contractor must not accept a purchase order.

Press Installation All color digital printing press prices must include delivery and installation. The Contractor must coordinate the delivery of both their equipment and at least one month’s stock of startup supplies necessary to operate the equipment, to arrive simultaneously or within a mutually agreed upon time frame. All start up supplies must be labeled as “Start Up Supplies.”

The Contractor must affix a label or a decal to the equipment at the time of installation showing warranty period by dates, and the name, address, and telephone number of the OEM or Authorized Dealer responsible for warranty service of the equipment. The label should also identify the Model Number and the serial number/machine id number and be legible.

Post-installation The Contractor is responsible to ensure that the location where equipment was installed is cleared of any materials utilized for packing or shipping, and that such materials are recycled by the Contractor, unless mutually agreed upon by the Contractor and MassCor.

The color digital printing press shall be installed and operational by the Contractor to MassCor’s satisfaction, prior to any payment.

Operating Manual Manufacturer’s operating manuals, one hardcopy and one disk, shall be provided with delivery of equipment at no charge (one with delivery of machine and one, if requested, at a later date).

Training & Technical Support Services Upon delivery and installation of specified equipment, Contractors and/or authorized dealer must agree to provide training to personnel designated by MassCor. Operational training must be provided to personnel within MassCor until the personnel are able to operate the equipment independently, with additional training as needed throughout the term of this Contract, at no additional charge. The amount of training is determined by MassCor.

The Contractor must agree to maintain a toll-free technical support telephone line. This can be documented on Response Form A, Section 4.6. The telephone line shall be accessible to MassCor personnel who need to obtain competent technical assistance regarding the installation or operation of the Contractors equipment.

Any such training performed upon delivery or at any point throughout the duration of the Contract must also include information on all environmental features of each item, including but not limited to: energy efficiency modes and their operation, double sided copying operations and double sided default programming, extent to which any supplies and other packaging may be for recycling, remanufacturing, and the environmental and economic benefits of these features.

Service Maintenance for Purchase or Term Lease The Bidder must offer two plans for Service Maintenance options. Plan A is a maintenance plan only, just parts and labor, no supplies. Plan B is a full service maintenance plan that includes supplies and consumables not covered under Plan A. Both plans are to be completed on the cost sheets detailing what is covered. Both plans are to provide costs on a monthly basis as click charges. A click charge includes the four primary colors cyan, magenta, yellow and black (CMYK). Bidders are to state if there is an additional charge for the 5th toner station. All Maintenance Plan costs must include all materials necessary to repair and maintain equipment as detailed below. Transportation and travel costs will not be reimbursed by MassCor.

It is highly desirable that Bidders are able to invoice flat quarterly maintenance plans. Bidders are to clearly define their quarterly maintenance plans defining how the click charges are calculated and where the price breaks are and to specify all terms pertaining to quarterly maintenance plans in Response Form A, Section 4.5.

The Contractor must respond within two (2) hours after it receives written or oral notice of a service call for a breakdown in the equipment.

The Contractor must send a service technician to repair the press within four (4) hours of the service call and must repair the press on the same business day if the call is placed before 1:00 P.M. E.S.T. or D.S.T, as applicable, or provide replacement parts for the press by the next business day, regardless of geographic location. All return service calls and onsite responses shall be made during MassCor business hours unless otherwise specified by MassCor.

Standard business hours are 7:30 A.M. to 3:30 P.M, Monday through Friday, except designated Commonwealth of Massachusetts holidays.

Drum replacement, developer, toner waste units or any items that allow for proper service and maintenance for press operations by a service technician are to be included and considered part of the full service maintenance plan, and must be replaced at no charge to MassCor. If applicable, routine consumable supplies shall be billed separately from service maintenance payments.

If the equipment includes licensed software, the Contractor shall provide software support. All payments for maintenance service will be made to the Contractor.

· Meter Credits – It is desirable that Contractors will have available an operational meter credit arrangement, to allow for machine malfunctions and to compensate for extra meter clicks and related supplies, if applicable, when service technicians make test copies in servicing or repairing the machine. This provision is not intended to cover defects in copy quality, which are the result of operator errors (e.g. incorrect paper selection, operation of machine with insufficient toner). The credit must be presented to MassCor’s authorized representative at the time of service.

MassCor reserves the right to negotiate with the Contractor penalties for noncompliance with the service requirements. The following penalties are examples that MassCor has at its disposal to negotiate with the Contractor:

· Free maintenance (Plan A or Plan B) for MassCor as a result of the poor service response for a period of time and value determined by MassCor.

· Negotiated financial penalty for recurring incidents of non-performance.

· MassCor reserves the right to terminate the Contract.

Bidders are to complete the Cost Sheets titled “Service Plan A & Service Plan B.”

Supplies Bidders are to define what supplies will be provided. It is desirable that the cost of supplies, excluding paper, staples and 5th color toner, are to be included in the service maintenance costs. Supplies are to be clearly defined on the cost sheets – Plan A and Plan B, and Section 4.8 of Response Form A.

There will be a reasonable inventory of supplies of all consumables and operator replacement parts maintained at MassCor at all times, based on current shop production volume, ensuring continuous operation.

All deliveries will be Free on Board (FOB) destination standard shipping.

Supply Warranty/Performance Guarantee New, generic and remanufactured cartridges and other supply types must have a warranty according to industry standards and a shelf life/expiration date. Cartridges and other supply types must be free from defects in materials and workmanship and must consistently produce copies and/or prints of excellent quality. The Supply Contractor must repair, replace or refund any and all cartridges and other supply types, which MassCor deems unsatisfactory.

If MassCor and the Contractor agree that a supply item has caused damage to the equipment, the Contractor will pay for all costs of repair to return the equipment to operating condition. Upon receipt or determination of a defective supply item, the Contractor shall replace the defective supply item free of charge within 2 (two)-business days, or issue a credit for the next purchase.

Loaner Press MassCor has the option to exercise the request for loaner equipment if the existing color digital printing press is not operational. The loaner equipment must be of comparable or better production capability and must be available, delivered, installed and configured on site, at no extra charge. Delivery, installation, configuration and basic training must be started within twenty four (24) hours (weekends, Federal & State holidays excluded) from the time a service technician determines that the equipment cannot be repaired on site or at a time mutually agreed upon by MassCor and Contractor. Loaner equipment shall be provided at no cost, including shipment to MassCor, installation, training and returning of the loaner equipment to the Contractor. Loaners will remain in place until the equipment has been repaired, reinstalled and confirmed operational by MassCor.

Press Performance In the event that the digital color printing press is inoperative due to equipment failure, through no fault or negligence of MassCor and the total number of hours of downtime exceeds five percent (5%) of the total productive use of time for three consecutive calendar months, MassCor reserves the right to require the Contractor to replace the equipment with a like model, one year or newer model, replacement with no removal charges being assessed to MassCor. The Contractor will be notified in writing of the deficiency. After such notice, the Contractor must remove and replace the defective product(s) within ten (10) business days, at no cost to MassCor. Failure to respond in good faith may result in termination of the Contract.

The effectiveness level for any equipment is computed by the formula: subtract the total number of downtime hours divided by the total productive time in the month. Total productive time shall be computed by multiplying 6 hours per day by the number of business days in the month (weekends, Federal and State Holidays excluded). The Contractor shall supply a complete repair history on an as needed basis to MassCor using the equipment.

The Contractor shall grant a credit to MassCor for any equipment, which fails to perform at an effectiveness level of ninety five percent (95%) during any month, or out of service for more than three consecutive days. The credit shall be mutually agreed upon by MassCor and Contractor.

It is understood that equipment failure may not be attributed to the use of recycled paper and/or recycled/remanufactured supplies, as long as those products meet the specifications set by MassCor.

Press and Contractor Warranties Contractors must provide a minimum on-site warranty as follows that includes all parts and labor on the digital color printing press on Contract.

Color Digital Printing Press minimum 6 months

It is highly desirable that Contractors offer a warranty period greater than the minimum at no additional cost. All manufacturer warranties will be passed through and shall be available to MassCor. A Contractor hereby irrevocably appoints MassCor its agent and attorney in fact during the Term Lease of every item of equipment, so long as MassCor shall not be in default hereunder, for the sole purpose of asserting from time to time whatever claims and rights, including warranties of the equipment, which the Contractor may have against the manufacturer of the equipment. Please document on Response Form A, Section 4.9.

Use of the Press MassCor will not install, use, operate or maintain the color digital printing press under this Contract improperly, carelessly, in violation of any applicable law or in a manner contrary to that contemplated by this Contract. MassCor shall provide all permits and licenses, if any, necessary for the installation, operation and use of the equipment. Where MassCor is required to or exercises any right that it may have to return any item of equipment under the terms and conditions of this Contract, MassCor shall return the equipment in a condition which will permit the Contractor to be eligible for the manufacturer's or supplier's standard maintenance Contract without incurring any expense to repair or rehabilitate the equipment, normal wear and tear for the term of the Term Lease is excepted. MassCor shall keep the equipment acquired under this Contract through Term Lease free from levies, liens and encumbrances.

Relocation of Press MassCor will not move or relocate equipment without prior notice to and approval by the Contractor, which shall not be unreasonably withheld. The Contractor and MassCor shall negotiate whether MassCor or Contractor shall move the equipment, provided however; that the Contractor’s approved movement of the equipment by MassCor shall not void or affect any warranties or other responsibilities of the Contractor under this Contract. MassCor shall be responsible for any costs for restoring the equipment to its original performance including payments to the Contractor if the Contractor requires performance of on-site installation. The Contractor cannot charge MassCor for costs associated with relocation, reinstallation and confirmation that the equipment is operational if the relocation is located on MassCor’s same floor. The Contractor may negotiate with MassCor for costs associated with relocation of the equipment, reinstallation and confirmation that the equipment is operational for relocation not on MassCor’s same floor. The following are some examples of costs that are negotiable between MassCor and Contractor: special rigging needed for relocation delivery, stairway delivery for a location with no elevator access for relocation. MassCor shall not be responsible for damage caused by the Contractor during relocation of the equipment by the Contractor and the Contractor shall be responsible for any additional costs associated with restoring the equipment to its original performance. Costs for relocation of equipment must be paid for separately by MassCor as an additional service cost and as mutually agreed upon, with a purchase order.

Personal Property, Use and Inspection All Term Lease equipment under this Contract shall at all times be and remain, personal property notwithstanding that the equipment or any part thereof may be, or may hereafter become, in any manner affixed or attached to real property. A Contractor hereby covenants that its agents and assignees will not interfere with MassCor’s use of the equipment during the Term Lease so long as MassCor is not in default under a Term Lease. A Contractor shall have the right by appointment at a reasonable time during business hours to enter into and upon the property of MassCor for the purpose of inspecting the equipment.

Title, Liability, Risk of Loss and Insurance MassCor shall not hold title to equipment under a Term Lease. The Contractor (and its insurers, if any) shall bear all risk of loss or damage to the equipment. The Contractor shall hold title to all items of equipment and be fully responsible for the risk of loss and insurance costs for any loss, damage or liability associated with the equipment. MassCor shall be liable for loss or damage to the equipment due to the negligence of MassCor, theft by a state employee or for damage by natural causes. The Commonwealth is self-insured and MassCor shall not be obligated to purchase separate insurance for any Term Lease. Limitations of liability contained in any documentation submitted by a Bidder or a Contractor under this RFR or under any Term Lease executed by MassCor shall be deemed void.

Replacement or Repair of Defective Press The Contractor agrees that all equipment obtained under the Contract shall be operational and perform in accordance with standard equipment performance specifications and warranties for the equipment.

The Contractor also agrees that since the equipment purchased, or leased is essential for MassCor operations, that neither MassCor nor the Commonwealth will have any obligation to continue to pay Term Lease payments for defective equipment that cannot be repaired or replaced by the Contractor within the required periods outlined in this RFR.

Contractors shall repair any defective equipment in accordance with standard performance specifications and warranties for that equipment. Contractors shall be responsible for all repair and equipment defects and failures during the term of the Term Lease. In addition to this coverage, all equipment shall be covered by the manufacturer’s standard warranties for that equipment. If the equipment cannot be repaired within the required periods outlined in this RFR, the Contractor shall immediately replace the equipment with identical or comparable equipment. The Contractor shall be responsible for all transportation, shipping, delivery, installation costs and other costs associated with the replacement of defective equipment. The Contractor may not charge a fee, penalty or increase the Term Lease payments for replacement of defective equipment with identical or comparable equipment. If the equipment replacement must be different equipment due to a defect in the model of the original equipment, then it is the responsibility of the Contractor to honor the original Term Lease or Purchase cost of the original equipment. The Contractor is required to deliver the “Startup” Supplies defined in this RFR as well as provide a credit and pick-up for the supplies purchased for the prior defective equipment.

If the Contractor is unable to provide identical or comparable replacement equipment for the defective equipment within a reasonable time, MassCor may terminate the Term Lease and negotiate the Term Lease of Equipment from another Contractor. The Contractor shall be obligated to remove the defective equipment at no cost to MassCor. The Contractor may not penalize MassCor, accelerate Term Lease payments or make any additional charges for the termination of a Term Lease of defective equipment that cannot be repaired or replaced by the Contractor.

Equivalent loaner equipment of comparable or better production capability must be available, delivered, installed and configured for equipment that cannot be repaired on site, at no extra charge. Delivery, installation, configuration and basic training must be completed within twenty four (24) hours (weekends, Federal and State holidays excluded) from the time a service technician determines that the equipment cannot be repaired on site. Loaners will remain in place until the equipment has been repaired, reinstalled and confirmed operational by MassCor. Loaner Equipment shall be provided at no cost including shipment to MassCor’s location, installation, training, startup supplies and returning of loaner equipment to the Contractor.

Any equipment that is removed or replaced must be in compliance with Executive Order 504 at no additional charge to MassCor Upgrade or Replacement of Non-Defective Press During Period of Term Lease During the period of a Term Lease, MassCor and the Contractor may negotiate an upgrade to or replacement of equipment with a newer model, higher performance or equipment better suited to the MassCor’s business needs. MassCor shall not be charged any penalties, an acceleration of Term Lease fees, or other charges for a negotiated upgrade or replacement of Contract equipment. If there is a balance on the term lease or rental of the current equipment prior to an upgrade or replacement request, MassCor and the Contractor must negotiate the “buyout” cost that would be incorporated in the term lease payment of the upgrade or replacement equipment. Return of unused supplies as a result of this buyout must be negotiated between MassCor and the appropriate Contractor.

If buyout costs are agreed to by both parties, the buyout cost must then be detailed in writing prior to acceptance. The removal of the existing equipment and the delivery of the upgrade or replacement equipment will be at no charge to MassCor.

Modification or Alteration of Press by MassCor Upon prior written approval of the Contractor, MassCor shall have the right at its own cost and expense (which may be included under the Term Lease) of making additions, modifications or improvements to the equipment which will be included under the terms of the Term Lease as part of the color digital printing press, provided, however that:

· such remodeling, additions, modifications or improvements shall not in any way damage the equipment, cause the equipment to be used for purposes other than those authorized under the constitutional provisions and laws applicable to MassCor, or adversely affect the Contractor's title to, or the validity or perfection of any security interest of the Contractor in, the equipment; and

· the equipment, as improved (or altered upon completion of remodeling, additions or modifications made) shall be of a value not less than the value of the equipment immediately prior to the remodeling or the making of such additions, modifications or improvements; and

· MassCor may not permit any mechanic's or other lien to be established or remain against the equipment for labor or materials furnished in connection with any remodeling, substitutions, additions, modifications or improvements so made by MassCor or for any other reason without the Contractor's prior written consent; and

· the equipment warranties on the original equipment must remain valid; and

· MassCor and Contractor shall renegotiate any modifications to the Term Lease payment amounts to reflect the additions, modifications or improvements.

Prohibition of Term Lease Renewals and Return of Press at End of Term At the termination of a Term Lease the Term Lease may not be renewed or otherwise extended under its original terms and rates. In the rare event that a Term Lease needs to be extended for any reason, the Contractor and MassCor must renegotiate a short term, Term Lease that reflects the depreciated value of the equipment. A Contractor’s renewal of a Term Lease, even at the request of MassCor, without re-negotiation and reduction of the Term Lease price shall be considered a material breach by the Contractor and the Contractor shall be obligated to reimburse the Commonwealth for all Term Lease payment amounts made by MassCor which exceed the amounts that would have been charged under a re-negotiated and reduced Term Lease. It is presumed that all Term Leases negotiated under this RFR are temporary and that all Leased equipment will be returned at the end of the Term Lease. It is the responsibility of the MassCor to schedule the return of the equipment and it is the Contractor’s responsibility to pick-up the equipment within 10 business days of the scheduled return at no cost to MassCor. If the equipment is not picked-up within 10 business days of the scheduled return, a charge of $50 per business day per unit will be assessed upon the Contractor for each day the equipment remains on MassCor’s premises, which MassCor may deduct from any outstanding charges or collect if no outstanding charges exist.

Outright Purchase of Term Lease Equipment at End of Term Lease It is presumed that a Term Lease negotiated under this RFR is temporary and that Term Leased equipment will be returned to the Contractor at the end of the Term Lease. Early buy-out or purchase options during the period of the Term Lease may not be negotiated as part of any Term Lease. However, in the event MassCor wishes to purchase the equipment during the Term Lease, or at the end of the Term Lease, instead of returning the equipment, the Contractor and MassCor may negotiate the fair market value of the equipment at the time of purchase.