Section_2_-_Rules_Governing_Competition.pdf

Department of General Services Printers, Multi-Functional Devices Procurement Division Event ID #: 0000000258

SECTION 2

Rules Governing Competition

2 - 1 March 7, 2016

RULES GOVERNING COMPETITION

2 - 2 March 7, 2016

2 Rules Governing Competition

2.1 Identification and Classification of IFB Requirements

2.1.1 Requirements

The State has established certain requirements with respect to bids to be submitted by prospective contractors. The use of "shall," "must," or "will" (except to indicate simple futurity) in the IFB indicates a requirement or condition which is mandatory. A deviation, if not material, may be waived by the State. A deviation from a requirement is material if the deficient response is not in substantial accord with the IFB requirements, provides an advantage to one Bidder over other Bidders, or has a potentially significant effect on the delivery, quantity or quality of items bid, amount paid to the supplier, or on the cost to the State. Material deviations cannot be waived.

2.1.2 Desirable Items

The words "should" or "may" in the IFB indicate desirable attributes or conditions, but are non-mandatory in nature. Deviation from, or omission of, such a desirable feature, even if material will not in itself cause rejection of the bid.

2.2 Bidding Requirements and Conditions

2.2.1 General

This IFB, the evaluation of responses, and the award of any resultant contract shall be made in conformance with current competitive bidding procedures as they relate to the procurement of goods and services by public bodies in the State of California. A Bidder's Final Bid is an irrevocable offer for 120 days following the scheduled date for contract award specified in Section 1.5. A Bidder may extend the offer in the event of a delay of contract award.

2.2.2 IFB Documents

This IFB includes, in addition to an explanation of the State's needs which must be met, instructions which prescribe the format and content of bids to be submitted and the model(s) of the contract(s) to be executed between the State and the successful Bidder(s).

If a Bidder discovers any ambiguity, conflict, discrepancy, omission, or other error in this IFB, the Bidder shall immediately notify the Procurement Official identified in Section 1.4, of such error in writing and request clarification or modification of the document.

Modifications will be made by addenda issued pursuant to Section 2.2.7. Notification of addenda shall be sent by email to all parties who have identified themselves as Bidders to the Procurement Official identified in Section 1.4. Insofar as practicable, the State will give such notices to other interested parties, but the State shall not be responsible therefore.

If the IFB contains an error known to the Bidder, or an error that reasonably should have been known, the Bidder shall bid at its own risk. If the Bidder fails to notify the State of the error prior to the date fixed for submission of bids, and is awarded the contract, the Bidder shall not be entitled to additional compensation or time by reason of the error or its later correction.

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2.2.3 Examination of the Work

The Bidder should carefully examine the entire IFB and any addenda thereto, and all related materials and data referenced in the IFB or otherwise available to the Bidder, and should become fully aware of the nature and location of the work, the quantities of the work, and the conditions to be encountered in performing the work. Specific conditions to be examined may be listed in IFB Section 5 and/or Section 6.

2.2.4 Questions Regarding the IFB

Bidders requiring clarification of the intent or content of this IFB or on procedural matters regarding the competitive bid process may request clarification by submitting questions, in an email or envelope clearly marked "Questions Relating to Event ID #: 0000000258", to the PO listed in Section 1.4. To ensure a response, questions must be received in writing by the scheduled date(s) given in Section 1.5. Question and answer sets will be provided to all Bidders without identifying the submitters. Any questions submitted should be crafted without revealing the name of the requestor. At the sole discretion of the State, questions may be paraphrased by the State for clarity.

A Bidder who desires clarification or further information on the content of the IFB, but whose questions relate to the proprietary aspect of that Bidder's proposal and which, if disclosed to other Bidders, would expose that Bidder's proposal, may submit such questions in the same manner as above, but also marked "CONFIDENTIAL," and not later than the scheduled date specified in the KAD, to ensure a response.

The Bidder must explain why any questions are sensitive in nature. If the State concurs that the disclosure of the question or answer would expose the proprietary nature of the proposal, the question will be answered and both the question and answer will be kept in confidence. If the State does not concur with the proprietary aspect of the question, the question will not be answered in this manner and the Bidder will be so notified.

If the Bidder believes that one or more of the IFB requirements is onerous, unfair, or imposes unnecessary constraints to the Bidder in proposing less costly or alternate solutions, the Bidder may request a change to the IFB by submitting, in writing, the recommended change(s) and the facts substantiating this belief and reasons for making the recommended change. Such request must be submitted to the PO by the date specified in the KAD, for submitting a request for change. Oral answers shall not be binding on the State.

Failure by any Bidder to raise any concern related to the solicitation requirements or a failure of a referenced internet link, by the relevant KAD will be deemed a waiver of any claim regarding the contract award relating to the solicitation requirements.

2.2.5 Bidders’ Conference

Not Applicable to this IFB

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2.2.6 Supplier’s Intention to Submit a Bid

Suppliers who want to participate in the bidding process are asked to state their intention by the date specified in the KAD, with respect to submission of bids. The State is also interested as to a supplier's reasons for not submitting a bid; as, for example, requirements that cannot be met or unusual terms and conditions which arbitrarily raise costs. Suppliers are asked to categorize their intent as follows:

• Intends to submit a bid and has no problem with the IFB requirements.

• Intends to submit a bid, but has one or more problems with the IFB requirements for reasons stated in this response.

• Does not intend to submit a bid, for reasons stated in this response, and has no problem with the IFB requirements.

• Does not intend to submit a bid because of one or more problems with the IFB requirements for reasons stated in this response.

If a supplier intends to submit a bid, the letter should include additional information identified in Section 1.6. If suppliers have indicated significant problems with the IFB requirements, the State will examine the stated reasons for the problems and will attempt to resolve any issues in contention, if not contrary to the State's interest, and will amend the IFB if appropriate. All suppliers who have submitted an intention will be advised by the State of any actions taken as a result of the suppliers' responses. If after such actions, a supplier determines that the requirements of the IFB unnecessarily restrict its ability to bid, the supplier is allowed five (5) working days to submit a protest to those IFB requirements or the State's action. Protests must be mailed or delivered to:

Street Address Deputy Director Procurement Division 707 3rd Street, 2nd Floor West Sacramento, CA 95605

Hereafter, for the purposes of the instructions of this IFB, all suppliers who have indicated their intent to submit a Final Bid are called Bidders until such time that the Bidder withdraws or other facts indicate that the Bidder has become nonparticipating. Should a Bidder not participate in a bid step, the State reserves the right to drop them from the participating Bidder list and they will not receive any further correspondence until they contact the PO to indicate that they would like further correspondence.

2.2.7 Addenda

The State may modify the IFB prior to the date fixed for Contract Award by issuance of an addendum to all Bidders who are participating in the bidding process at the time the addendum is issued, unless the amendments are such as to offer the opportunity for nonparticipating Bidders or suppliers that submitted an intention to become participating, in which case the addendum will also be sent to those parties. Addenda will be numbered consecutively. If any supplier determines that an addendum unnecessarily restricts its ability to bid, the supplier is allowed five (5) working days to submit a protest to the addendum according to the instructions contained in Section 2.2.6.

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2.2.8 Bonds

Not Applicable to this IFB

2.3 Bidding Steps

2.3.1 General

The procurement process to be used in this acquisition is composed of at least one phase of bid development. REFER TO SECTION 1.5 TO DETERMINE WHICH PHASES AND

STEPS ARE INCLUDED IN THIS IFB. REFERENCES IN THIS SECTION 2, RULES

GOVERNING COMPETITION, TO STEPS NOT INCLUDED IN SECTION 1.5 ARE NOT

APPLICABLE TO THIS IFB. There is always a Final Phase, which may include a Draft Bid and revisions, and will always include a Final Bid.

The Final Bid is a mandatory step for all Bidders; all other steps are optional. However, all Bidders are strongly encouraged to follow the scheduled steps of this procurement to increase the chance of submitting a compliant Final Bid. Costs submitted in any submission other than the Final Bid may preclude the Bidder from continuing in the process.

2.3.2 Final Phase

The purpose of the Final Phase is to obtain bids that are responsive in every respect. This phase may include a Draft Bid and will always include a Final Bid, as described below.

2.3.3 Draft Bid

A “limited” draft bid phase is included in this IFB. Submission of a Draft Bid is strongly recommended so that the Bidder may minimize the risk that the Final Bid will be deemed non-compliant. The draft bid is limited to the Price Location requirement as described in Section 6.7.4. Bidders shall provide, on the Bidder’s letterhead, the URL of their bid products’ most current publicly-available OEM price list(s) as well as a narrative describing the navigation from bidder’s current website homepage to their publically available price list webpage. Bidders should limit their draft bids to this information only.

For Draft Bids that are evaluated, the Bidder will be notified of any defects the State has noted. Draft bids received late may be reviewed if the Procurement Official believes there is enough time and resources to do so. Notifying the Bidder of defects is intended to minimize the risk that the Final Bid will be deemed non-compliant; however, the State will not provide any warranty that the Draft Bid will be evaluated even if accepted for review, or that any or all defects in the Draft Bid have been detected. Notification of defects in the Draft Bid will not preclude rejection of the Final Bid, if undiscovered defects contained in the Draft Bid are later found in the Final Bid.

2.3.4 Final Bid

The Final Bid must be complete, including all cost information, required signatures and contract language changes agreed to in writing If required in Section 8, cost data (as identified in the above referenced section) must be submitted under separate, sealed cover. Changes that appear in the Final Bid, other than correction of defects, increase the risk that the final bid may be found defective.

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2.3.5 Public Record

Final bids are public upon posting of Notice of Intent to Award. Bidders should be aware that marking a document "confidential" or "proprietary" in a final bid may exclude it from consideration for award and will not keep that document from being released after notice of intent to award as part of the public record, unless a court has ordered the State not to release the document.

2.3.6 Submission of Bids

The instructions contained herein apply to the Final Bid.

2.3.6.1 Preparation

Bids are to be prepared in such a way as to provide a straightforward, concise delineation of capabilities to satisfy the requirements of this IFB. Expensive bindings, colored displays, promotional materials, etc., are not necessary or desired. Emphasis should be concentrated on conformance to the IFB instructions, responsiveness to the IFB requirements, and on completeness and clarity of content.

This bid does not contain a draft process. Before submitting your final bid, the Bidder should carefully proof it for errors and adherence to the IFB requirements.

2.3.6.2 Bidder’s Cost

Costs for developing Bids are entirely the responsibility of the Bidder and shall not be chargeable to the State.

2.3.6.3 Completion of Bids

Bids must be complete in all respects as required by Section 8, Bid Format. A Final Bid may be rejected if it is conditional or incomplete, or if it contains any alterations of form or other irregularities of any kind. A Final Bid must be rejected if any such defect or irregularity constitutes a material deviation from the IFB requirements. The Final Bid must contain all costs required by the IFB Section 7, and Section 8setting forth a unit price and total price for each unit price item, and a total price for each lump sum price item in the schedule, all in clearly legible figures. If required in Section 8, Bid Format, cost data (as identified in the above referenced section) must be submitted under separate, sealed cover. Exhibit 11.3, Competitive Bidding and Bid Responsiveness, emphasizes the requirements of competitive bidding and contains examples of common causes for rejection of proposals. Bidders are encouraged to review this exhibit.

2.3.6.4 False or Misleading Statements

Bids which contain false or misleading statements, or which provide references which do not support an attribute or condition claimed by the Bidder, may be rejected. If, in the opinion of the State, such information was intended to mislead the State in its evaluation of the bid, and the attribute, condition, or capability is a requirement of this IFB, it will be the basis for rejection of the bid.

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2.3.6.5 Signature of Bid

A cover letter shall be created by the bidder (which shall be considered an integral part of the Final Bid) named Agreement Cover Letter, that shall be signed by an individual who is authorized to bind the bidding firm contractually and shall be submitted with the bid. The signature block must indicate the title or position that the individual holds in the firm. An unsigned Agreement Cover Letter submitted with the Final Bid shall be cause for rejection. (See Section 5.4.5.)

2.3.6.6 Delivery of Bids

Mail or deliver bids to the PO. If mailed, it is suggested that you use certified or registered mail with return receipt requested as delivery of documents is at the Bidder’s own risk of untimely delivery, lost mail, etc.

Bids must be received in the number of copies stated in Section 8 and not later than the dates and times specified in the KAD. Clearly mark one (1) copy "Master Copy." All copies of bids must be under sealed cover which is to be plainly marked "FINAL BID" for "Event ID #: 0000000258."

Bidders should be aware that marking the Final Bid “confidential” or “proprietary” may exclude it from consideration for award. Bids not submitted under sealed cover will be returned for sealing. Final Bids not received by the date and time specified in the KAD or not sealed, will be rejected. If required in Section 8, Bid Format, all cost data (as identified in the above referenced section) must be submitted under separate, sealed cover and clearly marked "COST DATA." If cost data is required to be submitted separately sealed, and is not submitted in this manner, the bid will be rejected. Bids submitted under improperly marked covers may be rejected. If discrepancies are found between two (2) or more copies of the bid, the bid may be rejected. However, if not so rejected, the Master Copy will provide the basis for resolving such discrepancies. If one (1) copy of the Final Bid is not clearly marked "Master Copy," the State may reject the bid;

however, the State may, at its sole option, select immediately after bid opening one (1) copy to be used as the Master Copy.

2.3.6.7 Withdrawal and Resubmission/Modification of Bids

A Bidder may withdraw its Final Bid at any time prior to the bid submission date and time specified in the KAD, by submitting a written notification of withdrawal signed by the Bidder authorized in accordance with Section 2.3.4.5. The Bidder may thereafter submit a new or modified bid prior to such bid submission date and time. Modification offered in any other manner, oral or written, will not be considered. Other than as allowed by law, Final Bids cannot be changed or withdrawn after the date and time designated for receipt, except as provided in Section 2.3.6.3.

2.3.6.8 Joint Bids

Joint bids are not acceptable for this solicitation.

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2.3.6.9 Rejection of Bids

The State may reject any or all bids and may waive any immaterial deviation or defect in a bid. The State's waiver of any immaterial deviation or defect shall in no way modify the IFB documents or excuse the Bidder from full compliance with the IFB specifications if awarded the contract.

2.4 Evaluation and Selection Process

2.4.1 General

Bids will be evaluated according to the procedures contained in Section 9.

2.4.2 Evaluation Questions

During the evaluation and selection process, the State may desire the presence of a Bidder's representative for answering specific questions, orally and/or in writing. During the evaluation of Final Bids, the State may ask the Bidder to clarify their submitted information but will not allow the Bidder to change their bid.

2.4.3 Errors in the Final Bids

An error in the Final Bid may cause the rejection of that bid; however, the State may at its sole option retain the bid and make certain corrections.

In determining if a correction will be made, the State will consider the conformance of the bid to the format and content required by the IFB, and any unusual complexity of the format and content required by the IFB.

2.4.3.1 If the Bidder's intent is clearly established based on review of the complete Final

Bid submittal, the State may at its sole option correct an error based on that established intent.

2.4.3.2 The State may at its sole option correct obvious clerical errors.

2.4.3.3 The State may at its sole option correct discrepancy and arithmetic errors on the basis that if intent is not clearly established by the complete bid submittal the Master Copy shall have priority over additional copies, the bid narrative shall have priority over the contract, the contract shall have priority over the cost sheets, and within each of these, the lowest level of detail will prevail. If necessary, the extensions and summary will be recomputed accordingly, even if the lowest level of detail is obviously misstated. The total price of unit-price items will be the product of the unit price and the quantity of the item. If the unit price is ambiguous, unintelligible, uncertain for any cause, or is omitted, it shall be the amount obtained by dividing the total price by the quantity of the item.

2.4.3.4 The State may at its sole option correct errors of omission, and in the following four situations, the State will take the indicated actions if the Bidder's intent is not clearly established by the complete bid.

2.4.3.5 If an item is described in the narrative and omitted from the contract and cost data provided in the bid for evaluation purposes, it will be interpreted to mean that the item will be provided by the Bidder at no cost.

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2.4.3.6 If a minor item is not mentioned at all in the Final Bid and is essential to satisfactory performance, the bid will be interpreted to mean that the item will be provided at no cost.

2.4.3.7 If a major item is not mentioned at all in the Final Bid, the bid will be interpreted to mean that the Bidder does not intend to supply that item.

2.4.3.8 If a major item is omitted, and the omission is not discovered until after contract award, the Bidder shall be required to supply that item at no cost.

2.4.3.9 The determination of whether an item is minor or major is the responsibility of the

State.

2.4.3.10 In the event an ambiguity or discrepancy between the general requirements described in Section 4 and the specific technical requirements set forth in Section 6 is detected after the opening of bids, Section 6 and the Bidder's response thereto, shall have priority over Section 4 and the Bidder's response thereto.

Refer to Section 2.2.2, regarding immediate notification to State contact when ambiguities, discrepancies, omissions, etcetera are discovered.

At the State’s sole discretion it may declare the Final Bid to be a Draft Bid in the event that the State determines that Final Bids from all Bidders contain material deviations. Bidders may not protest the State’s determination that all bids have material deviations. If all bids are declared noncompliant, the State may issue an addendum to the IFB. Should this occur, confidential discussions will be held with Bidders who are interested in continuing to be considered. Each Bidder will be notified of the due date for the submission of a new Final Bid to the State. This submission must conform to the requirements of the original IFB as amended by any subsequent addenda. The new Final Bids will be evaluated as required by Section 9, Evaluation.

2.4.3.11 If a Bidder does not follow the instructions for computing costs not related to the contract (e.g., State personnel costs), the State may reject the bid, or at its sole option, re-compute such costs based on instructions contained in the IFB. If the re-computations or interpretations, as applied in accordance with this section, result in significant changes in the amount of money to be paid to the Bidder (if awarded the contract) or in a requirement of the Bidder to supply a major item at no cost, the Bidder will be given the opportunity to promptly establish the grounds legally justifying relief from its bid.

IT IS ABSOLUTELY ESSENTIAL THAT BIDDERS CAREFULLY REVIEW THE

COST ELEMENTS IN THEIR FINAL BID, SINCE THEY WILL NOT HAVE THE

OPTION TO CORRECT ERRORS AFTER THE TIME FOR SUBMITTAL.

2.5 Award of Contract

Award of contract, if made, will be in accordance with Section 9, Evaluation, to a responsible Bidder whose Final Bid complies with all the requirements of the IFB documents and any addenda thereto, except for such immaterial defects as may be waived by the State. Award, if made, will be made in accordance with Section 2.2.1, after the scheduled date for Contract Award specified in Section 1.5; however, a Bidder may extend the offer in the event of a delay of contract award.

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The State reserves the right to determine the successful Bidder(s) either on the basis of individual items or on the basis of all items included in its IFB, unless otherwise expressly provided in the State's IFB. Unless the Bidder specifies otherwise in its bid, the State may accept any item or group of items of any bid. The State reserves the right to modify or cancel in whole or in part it’s

IFB.

If a Bidder, having submitted a Final Bid, can show that its bid, instead of the bid selected by the State, should be selected for contract award according to the rules Section 2.4, the Bidder will be allowed two (2) working days to submit a protest to the Intent to Award, according to the instructions contained in Section 2.7.1.

2.5.1 Debriefing

A debriefing may be held after contract award at the request of any Bidder for the purpose of receiving specific information concerning the evaluation. The discussion will be based primarily on the technical and cost evaluations of the Bidder's Final Bid. A debriefing is not the forum to challenge the IFB specifications or requirements.

2.6 Contractual Information:

2.6.1 Contract Form

The State has model contract forms to be used by State agencies when contracting for information technology (IT) goods and services. The model contract(s) appropriate for the specific requirements of this IFB are included in the IFB.

2.6.2 Specific Terms and Conditions

(See Exhibits 11.23, Contract Development, for contract instructions that supersede this paragraph.)

The contract to be awarded is included in the solicitation document in its final form, and any alteration by a Bidder will result in rejection of its bid.

2.6.3 Term of Contract

The State intends to retain the required goods and services for at least the period specified in Section 1.1.

2.7 Other Information

2.7.1 Alternative Protest Process

This solicitation is being conducted under the provisions of the Alternative Protest Process (PCC Section 12125, et seq.). By submitting a bid to this solicitation, the Bidder consents to participation in the Alternative Protest Process, and agrees that all protests of the proposed award shall be resolved by binding arbitration pursuant to the California Code of Regulations, Title 1, Division 2, Chapter 5 the link to the regulations is:

http://www.dgs.ca.gov/oah/GeneralJurisdiction/BidProtestRegs.aspx http://www.dgs.ca.gov/oah/GeneralJurisdiction/BidProtestRegs.aspx

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A Notice of Intent to Award for this solicitation will be publicly posted in the Procurement Division reception area and sent via facsimile to any Bidder who submits a written request for notice and provided a facsimile number.

During the protest period, any participating Bidder may protest the proposed award on the following grounds:

1. For major information technology acquisitions – that there was a violation of the solicitation procedure(s) and that the protesting Bidder’s proposal should have been selected; or

2. For any other acquisition – that the protesting Bidder’s proposal should have been selected in accordance with the selection criteria in the solicitation document.

A written Notice of Intent to Protest the proposed award of this solicitation must be received (facsimile acceptable) by the Coordinator before the close of business 5 p.m. PT on the second working day after issuing the Notice of Intent, as specified in the solicitation. Failure to submit a timely, written Notice of Intent to Protest waives Bidder’s right to protest.

Bidder is to send the notice of protest to:

Alternative Protest Process Coordinator/Dispute Resolution Department of General Services Procurement Division Purchasing Authority Management Section 707 Third Street, 2nd Floor South West Sacramento, CA 95605 Fax: 916 / 375-6226

Within seven (7) working days after the last day to submit a Notice of Intent to Protest, the Coordinator must receive from the protesting Bidder the complete protest filing including the signed, written detailed statement of protest including exhibits, filing fee and deposit or small business certification as applicable. Untimely submission of the complete protest filing waives the Bidder’s right to protest.

Protest bond requirement: bond amount for this Alternative Protest Process shall be ten

(10) percent of the contract amount as specified in the solicitation. See California Code of Regulations, Title 1, Section 1418.

2.7.2 Disposition of Proposals

All materials submitted in response to this IFB will become the property of the State of California and will be returned only at the State's option and at the Bidder's expense. At a minimum, the Master Copy of the Final Bid shall be retained for official files and will become a public record after the Notification of Intent to Award as specified in Section 1.5.

However, materials the State considers confidential information (such as confidential financial information submitted to show Bidder responsibility) will be returned upon request of the Bidder.