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1 COMMONWEALTH OF Pennsylvania DEPARTMENT OF GENERAL SERVICES GSSSO-79 (Rev. 11/99) CONTRACT NUMBER: INVITATION FOR BIDS - BID PROPOSAL FOR SALES OF SURPLUS STATE PROPERTY TYPE OF PROPERTY CN WASTEPAPER RECYCLING LOCATION of the PROPERTY: Harrisburg/Capitol Complex area BID OPENING DATE: August 29, 2006 COMMONWEALTH OF PENNSYLVANIA DEPARTMENT OF GENERAL SERVICES Bureau of Procurement Forum Place, 6 th Floor 555 Walnut St Harrisburg, PA BID OPENING TIME: 10:30 am NAME, ADDRESS, TELEPHONE NUMBER AND FAX NUMBER OF THE PROPERTY AGENT: Robin Depetro Bureau of Procurement 555 Walnut St, Forum Place Harrisburg, Pa fax ITEM NO. DESCRIPTION OF THE PROPERTY Wastepaper including all of the following: 1. Office paper (sorted office paper) (delivered loose) 2. Corrugated Containers (delivered loose) 3. News #6 (delivered loose) 4. Old Magazines (delivered loose) 5. Telephone Directories (delivered loose) 6. Turnpike tickets from Turnpike Commission 7. Compactor for corrugated paper and collection of that paper from the State Prison, Camp Hill, PA SPECIAL REQUIREMENTS Bidder must submit the following with their bids or no later than two business days after notification from the Department of General Services to furnish the information. Failure to submit this information prior to the second business day after notification shall result in rejection of the bid: 1. The specific delivery point(s) for the wastepaper. 2. Acknowledgement that the bidder will be prepared to accept delivery of each of the types of wastepaper from the Commonwealth as of September 1, Acknowledgement that the bidder's facility is capable of receiving paper from Commonwealth trucks--compactor trucks which require a protected floor area with ceiling clearance of 25 feet and a box van with a bed height of 45 inches. 4. A description of the bidder's paper processing facility, including plans for building or refitting. 5. Description of site security. In order to be eligible for award of this Contract, a bidder's delivery location must be within a twenty (20) mile radius of the Capitol Complex in Harrisburg, PA. DOCUMENTS INCORPORATED BY REFERENCE In addition to this document, the following terms, conditions and specifications are included by reference in this Invitation For Bids: 1. General Conditions and Instructions to Bidders For The Sale of Surplus State Property 2. Standard Contract Terms and Conditions for the Sale of Surplus State Property 3. Special Contract Terms and Conditions for Contract Number CN Commonwealth Agency Wastepaper Contract #CN Bid Sheet 5. Instructions For Completing the Commonwealth Agency Wastepaper Contract # CN Bid Sheet. 6. Delivery receipt Check here if continued on page 2 Bidder's Name Street Address BOND CHECK WITNESSED OPENING CERT CASHIERS TREAS. City and State Zip Code $ Federal I.D. No. Social Security No. For G.S. Bidder Contact Person For Treas. Telephone No. Fax No. Address

2 SPECIAL CONTRACT TERMS AND CONDITIONS CONTRACT SCOPE/OVERVIEW: This Contract (No ) will cover the requirements of Waste Paper Recycling for the Capitol Complex/ Harrisburg area. ORDER OF PRECEDENCE: These Special Contract Terms and Conditions supplement the Standard Terms and Conditions for The Sale of Surplus State Property, GSSSo-81, and The General Conditions and Instructions To Bidders for the Sale of Surplus State Property, GSSSO-80. To the extent that these Special Contract Terms and Conditions conflict with the other stated contract terms and conditions, these Special Contract Terms and Conditions shall prevail. Notwithstanding the provisions set forth in GSSSO-80, General Conditions and Instructions to Bidders For the Sale of Surplus State Property, Paragraph 2, Questions, any questions concerning conditions and instructions in the IFB and any questions concerning the property must be directed to the Department of General Services, Bureau of Procurement, to the attention of the Commodity Specialist referenced on the cover sheet of the IFB. Notwithstanding the provisions set forth in GSSSO-81, Standard Contract Terms and Conditions for the Sale of State Surplus Property, Paragraph 5, Removal of Purchased Property, and Paragraph 8, Estimated Quantities, all references to Commonwealth Property Agent shall be replaced with Commodity Specialist. Notwithstanding the provisions set forth in GSSSO-81, Standard Contract Terms and Conditions for the Sale of State Surplus Property, Paragraph 12, Inspections, the reference to State Surplus Property Division shall be replaced with Bureau of Procurement. Notwithstanding the provisions set forth in GSSSO-81, Standard Contract Terms and Conditions for the Sale of State Surplus Property, Paragraph 17, Contract Controversies, the Contractor must file a written notice of controversy or claim with the contracting officer, Bureau of Procurement, Department of General Services and the contracting officer shall make a written determination. TERM OF CONTRACT: The Contract shall commence on the Effective Date no earlier than September 1, 2006 and expire on August, PROPOSAL FORMS: Bidders are cautioned to return all sheets of this Invitation To Bid (ITB). Contractors may not bid on portions only of this ITB; otherwise, the bid may be rejected. Prices quoted shall be in United States currency CONTRACT RENEWAL: The Commonwealth, with the mutual consent of Contractor, shall have four (4) successive options to renew the term of the Contract for a period of one (1) year each, which shall begin respectively at the expiration of the then current term, upon the same terms, covenants, and

3 conditions, provided, however, that the Contract has not been terminated. Notice of the election by the Commonwealth to exercise each option hereunder shall be given to Contractor in writing at least one hundred twenty (120) days prior to the expiration of the then current term, provided, however, that the Commonwealth's right to exercise any option hereunder shall not expire unless and until Contractor has given the Commonwealth (after Contractor's consent has been obtained) written notice of the Commonwealth's failure to timely exercise its option and fifteen days opportunity from the Commonwealth's receipt of the notice to cure the failure. OPTION TO EXTEND: The Department of General Services reserves the right, upon notice to the Contractor, to extend the Contract or any part of the Contract for up to three (3) months upon the same terms and conditions. This will be utilized to prevent a lapse in Contract coverage and only for the time necessary, up to three (3) months, to enter into a new contract. PRE-PROPOSAL CONFERENCE: There will be no pre-proposal conference for this ITB. If there are any questions, please forward them to the commodity specialist, rdepetro@state.pa.us. CALENDAR OF EVENTS: These dates are tentative. Wastepaper Recycling- Harrisburg/ Capitol Complex Area Event Date RFQ-ITB package is posted to the Dept. of General Services (DGS) website. 8/01/2006 Sample Requests for toll tickets can be submitted during this time. All requests must be submitted via to: rdepetro@state.pa.us Site Vist Requests can be submitted during this time(camp Hill SCI pickup location via to: rgimble@state.pa.us, Turnpike Commission Bldg. via to: tnichols@paturnpike.com) 8/01-8/11/2006 Deadline to submit Questions via to: rdepetro@state.pa.us 8/15/2006 Answers to Supplier Questions will be posted to DGS website. Bidders, please monitor website for all communications regarding ITB. Deadline to submit ITB to the Issuing Office at the address stated in the "Please Return Quotation To" section of the ITB. 8/18/2006 8/25/2006

4 DEFINITIONS: Wastepaper- includes toll booth tickets, sorted office paper, corrugated containers, magazines and telephone books Sorted Office paper- mailings, copier paper, file stock, envelopes, printers waste, etc. This does not necessarily meet standard specifications of sorted office paper Gaylord boxes- approximately a 4 x 4 x 3 collapsible cardboard box for transport and storage of waste paper COMMONWEALTH OF PENNSYLVANIA CONFIDENTIAL DOCUMENT REQUIREMENTS: While performing the services described herein, Contractor agrees to comply with the following requirements: All Commonwealth wastepaper (excluding corrugated paper, newspaper, telephone books and magazines) shall be treated as CONFIDENTIAL by Contractor and shall not be divulged or made known in any manner to any person. Contractor must guarantee that the paper will be secured from the time of delivery to Contractor or from the time of collection by contractor until it is rendered illegible by the recycling process. Upon bid submittal, the Contractor must submit, in writing, explaining a security plan to ensure confidentiality. In the event the material is not processed immediately upon receipt, it will be securely stored in an area to which only authorized employees have access. Contractor must define authorized employees and provide the commonwealth with a current list of those employees. In the event the material is sold to another firm, this clause must be included in the sales contract. DELIVERY CONDITIONS FOR WASTEPAPER: Contractor agrees to accept delivery of wastepaper from the Commonwealth. For the purpose of the Contract, wastepaper shall be defined as sorted office paper, corrugated containers, news #6, telephone books and magazines. The wastepaper will be delivered to Contractor under the following conditions: (A) The Commonwealth will deliver wastepaper to facilities operated by Contractor between the hours of 7:00 AM and 2:00 PM, Monday through Friday. (B) Prior to unloading, all Commonwealth delivery vehicles will be weighed at Contractor's facility to which the paper has been delivered on certified scales. After the vehicle is unloaded, it will be weighed a second time to determine the weight of the delivered wastepaper. All deliveries will be recorded and weight verification reported by means of Commonwealth Standard Form STD-497 (See Attachment A). (C) Contractor agrees that the Commonwealth delivery vehicle will be emptied within an hour of its arrival at contractor's facility. If the contractor exceeds this allotted time period, the contractor will submit a check as payment to the Commonwealth at the rate of $35.00/hour, billed every quarter hour.

5 (D) Contractor guarantees that all wastepaper will be sold or transferred for reuse or recycling, and under no circumstances will the Commonwealth's wastepaper be subject to incineration or land-fill disposal. (E) Contractor will provide the Commonwealth with approximately cubic-yard corrugated storage ("gaylord") boxes or similar containers at no cost to the Commonwealth for the purpose of storage and transport of paper from Commonwealth locations to Contractor. CONTRACTOR PICK-UP PROVISIONS: Contractor agrees to transport, on an on-call basis, wastepaper from Commonwealth locations in the Harrisburg area to Contractor's facility(ies). The Commonwealth will notify the Contractor using a telefax request. Commonwealth employees will load trucks provided by Contractor. Prior to unloading, The contractor will weigh the vehicle at Contractor's facility with the paper on certified scales. After the vehicle is unloaded, it will be weighed a second time to determine the weight of the delivered wastepaper. All deliveries will be recorded and weight verification reported by means of Commonwealth Standard Form STD-497 (See Attachment A). The contractor also agrees to collect and transport turnpike toll booth tickets from the Turnpike Commission Building located at 700 Eisenhower Blvd., Middletown, Pa. The contact person for The Turnpike building is the Ticket Systems Auditor, Thomas Nicholson,at: tnichols@paturnpike.com or phone at: ext The contractor will provide wheeled toter containers (approximately 90 gallons each) for storage and transport purposes; approximately 12 toters are required at a time; therefore, 12 empty containers are to be delivered with every collection, generally twice a week. Bidders are welcome to inspect the Commission building prior to bidding. COMPACTOR/CONTAINER & COLLECTION FOR CAMP HILL SCI PROVISIONS: The contractor will provide one unit, type to be determined by the contractor for the purposes of compacting corrugated cardboard from this facility. The contractor agrees to collect the corrugated cardboard generated at Camp Hill SCI, located at 2500 Lisburn Rd, Camp Hill, from a non-secure location adjacent to the facility warehouse. Pick-up frequency will be agreed upon by contractor and Camp Hill SCI. Camp Hill SCI contact person is the Business manager, Bob Gimble at rgimble@state.pa.us or phone at LEASE OF (2) BALERS FOR THE FARM SHOW COMPLEX The contractor will provide two balers to the complex site. The balers shall be available for Commonwealth use for the duration of this contract or until a time that the Commonwealth no longer requires the balers within the life of this contract. The Farm Complex is located at 2301 North Cameron Street, Harrisburg, Pa. BID EVALUATION: A single contractor will be awarded this contract. The Total Bid Price of a bid will be calculated as follows:

6 The Commonwealth's expected delivery costs together with the bidder's bid collection charges will be subtracted from the estimated gross payment as bid by the bidder. The estimated gross payment is the sum of the dollar values for each of the types of paper. The expected delivery costs are the number of trips by the respective Commonwealth trucks times the number of miles to and from the bidder's facility times the cost per mile for the respective trucks. There is one set of costs for the first 15 miles and an additional set for miles in excess of 15. The bidder's bid collection charge is the sum of the three collection prices times the respective estimated number of collections to be made annually by the bidder. Line #27 of the Paper Contract Bid Form will generate the actual bid price used for bidder comparison. CONTRACT REPORTING a. Contractor shall be required to maintain and furnish monthly reports. These monthly reports must contain, at least, the following: -generating agency -paper class (sorted office, corrugated or News #6) -monthly weight amount receipted -price (derived as stated in contract) -date of report b. Contractors will be responsible for completing the Surplus Property Receipt (Attachment A) c. All weight slips, Surplus Receipts and monthly reports should be sent to: -Michelle Thrush, procurement -Department of General Services Forester Street,Room 46G Harrisburg, PA d. A copy of the monthly report (either aggregated or not) should be sent to both of the following persons. The report can be ed or mailed to the listed addresses: rdepetro@state.pa.us or mailed to: Robin DePetro, wastepaper commodity specialist Department of General Services Forum Place 6 th floor 555 Walnut StHarrisburg, PA And jrarig@state.pa.us or mailed to: John Rarig, recycling coordinator Department of General Services G-51, 2221 Forster St. Harrisburg, PA 17125

7 PAYMENT: Contractor shall pay the Commonwealth for all the wastepaper it receives from the Commonwealth under the Contract as follows: 1. Contractor shall utilize the first issue of each month in which wastepaper is received of the Official Board Markets Yellow Sheet publication, by taking the low dollar amount of each wastepaper category stated below from the Yellow Sheet index, the Buffalo market, and multiplying it by the percentage set forth in the bid to arrive at the amount per ton Contractor shall pay the Commonwealth for all wastepaper received by Contractor from the Commonwealth. 2. Payment for wastepaper received in any given month is due by the 30th day of the following month. A late charge of 1.5% per month will be applied if payment is not received within this period. 3. Contractor shall utilize thedelivery Reciept/Invoice (See Attachment A) forms and weight slips to compute the weight by type of all wastepaper received in a given month. 2. Contractor shall make all checks payable to the Commonwealth of Pennsylvania. The contractor will send payment, copies the approved totals forms, weight slips, pick-up orders, and Contractor worksheets used to compile the total amount due the Commonwealth, to: Department of General Services Bureau of Supplies and Surplus Operations State Surplus Property Division PO Box 1365, Harrisburg, PA COMMUNICATIONS: All official communications between the parties hereto shall be in writing and directed to: -The Contractor address ( as specified in the Bid Invitation) -The Chief of Surplus Property Division P.O. Box Forester Street, Harrisburg, PA The Commodity Specialist, Waste Paper Recycling address (as specified in contract)

8 Department of General Services GSSSO-81 Rev. 2/20/01 STANDARD CONTRACT TERMS AND CONDITIONS FOR THE SALE OF STATE SURPLUS PROPERTY If an award is made to a Bidder, the awarded Bidder shall receive an official notice of award. The awarded Bidder (Contractor) shall purchase the awarded items in accordance with these Standard Contract Terms and Conditions For the Sale of State Surplus Property: 1. TERM OF CONTRACT The term of the Contract shall commence on the later of the Effective Date (the date the notice of award is sent to the Contractor after the contract has been executed by the Department of General Services and all approvals required by Commonwealth contracting procedures have been obtained) or the Commencement Date specified in the Contract. The Contract shall, subject to the other provisions of the Contract, end on the later of: a) payment in full for the awarded item(s); b) pick-up and removal of the awarded item(s) by the Contractor; or c) the date identified in the Contract. The Contract shall not be a legally binding contract until after a copy of the official notice of award has been sent to the Contractor. 2. INDEPENDENT CONTRACTOR In performing its obligations under the Contract, the Contractor will act as an independent contractor and not as an employee or agent of the Commonwealth. 3. COMPLIANCE WITH LAW The contractor shall comply with all applicable federal and state laws and regulations and local ordinances in performing its obligations under the Contract. 4. ENVIRONMENTAL PROVISIONS In performing its obligations under the Contract, the Contractor shall minimize pollution and shall strictly comply with all applicable environmental laws and regulations. 5. REMOVAL OF PURCHASED PROPERTY Contractor shall furnish all labor and transportation, and pay for all costs for the removal of the purchased property. The Contractor shall notify the Property Agent, identified on the front of the Invitation For Bids Bid Proposal, prior to removal of the purchased property. The employee or agent of the Contractor, who will remove the purchased property, shall provide the Property Agent or his representative with proper identification and authorization from the Contractor and shall sign a receipt at the time of removal of the purchased property. 1

9 Department of General Services GSSSO-81 Rev. 2/20/01 6. PAYMENTS Payment for the purchased property must be made by certified check, bank cashier s check or money orders, payable to the Commonwealth of Pennsylvania. Personal checks, company checks or cash are not acceptable. 7. ACTUAL QUANTITIES When the Invitation For Bids Bid Proposal specifies actual quantities, the Contractor will receive an invoice for the total amount of the items awarded to the Contractor. The Contractor will then be required to make final payment within ten (10) days from the date of the invoice. Upon receipt of the final payment, the Commonwealth will authorize the buyer, in writing, to take title to and remove the property. All property must be removed from sale site within ten (10) days after such authorization. Property which is not removed within the ten (10) day period will be regarded as abandoned and the Commonwealth shall have the right to dispose of it as it so desires. In addition, the Commonwealth will retain the following percentages of the final payment: $.01 through $ % of the final payment; $ through $ % of the final payment; and $ and up 30% of the final payment. 8. ESTIMATED QUANTITIES a. When the Invitation For Bids Bid Proposal specifies estimated quantities, it shall be understood and agreed that any quantities listed in the Contract are estimated only and may be increased or decreased in accordance with the actual quantities of the property which become surplus to the Commonwealth and that the Commonwealth in accepting any bid or portion thereof, contracts only and agrees to sell only the property in such quantities as represent the actual quantities of the property which become surplus to the Commonwealth. b. When the Invitation For Bids Bid Proposal specifies estimated quantities, the Commonwealth shall require the Contractor to pay an additional 50% of the total amount (based on the estimated quantities) within ten (10) days as additional security. Upon receipt of the additional security, the Commonwealth will authorize the Contractor to remove the purchased property. The property shall be removed within ten (10) days from receipt of the authorization and weighed, counted or measured under the surveillance of the Commonwealth Property Agent or representative. Actual quantities or amounts shall be certified in writing by the Commonwealth Property Agent or representative and forwarded to the Department of General Services where a final invoice will be prepared and forwarded to the Contractor for payment. Final payment shall be made within ten (10) days from the date of the invoice. Property which is not removed within the ten (10) day period will be regarded as abandoned and the Commonwealth shall have the right to dispose of it as it so desires. In addition, the Commonwealth will retain the following 2

10 Department of General Services GSSSO-81 Rev. 2/20/01 Percentages of the final payment as liquidated damages: $.01 through $ % of the first payment; $ through $ % of the final payment; and $ and up 30% of the final payment. 9. OVERDUE PAYMENT PENALTY AFTER 30 DAYS, UNPAID INVOICES WILL BE SUBJECT TO A 1 ½% INTEREST CHARGE PER MONTH. THE INTEREST WILL ONLY BE CHARGED TO THE OVERDUE PRINCIPLE. 10. SALES TAX All sales of State Surplus property are subject to the Pennsylvania retail sales tax unless an exemption certificate is filed by the buyer with the State Surplus Property Division, Department of General Services. 11. STATUS OF THE PROPERTY ALL STATE SURPLUS PROPERTY IS SOLD ON A AS IS, WHERE IS BASIS. THE DESCRIPTION OF EACH ITEM HAS BEEN COMPILED TO THE BEST OF THE COMMONWEALTH S KNOWLEDGE AND BELIEF, HOWEVER, THE COMMONWEALTH EXTENDS NO GUARANTEE OR WARRANTY AS TO PROPERTY S CONDITION AND THERE ARE NO WARRANTIES, EXPRESSED OR IMPLIED, INCLUDING, BUT NOT LIMITED TO THE IMPLIED WARRANTIES OF MERCHANTABILITY AND FITNESS FOR PARTICULAR PURPOSE. All bidders are invited and urged to inspect the property prior to the submission of bids. The Commonwealth will not furnish labor or equipment for the purpose of such inspections. Under no circumstances, will a refund or adjustment be made because of the failure of surplus property to meet the standards expected by the Contractor for the failure of the Contractor to inspect the property prior to sale. 12. INSPECTIONS The Department of General Services, State Surplus Property Division, reserves the right to inspect the Contractor s premises prior to award and at any time during the term of the Contract. 13. HOLD HARMLESS Contractor shall be responsible for and agrees to indemnify and hold harmless the Department of General Services from damages to property or injuries (including death) to any person(s), including Contractor employees or agents by any other losses, damages, expenses, claims, demands, suits and actions by any party against the Commonwealth in connection with the performance by the Contractor under this Contract. 14. INSURANCE The Contractor shall, at its expense, procure and maintain during the term of the Contract, the following types of insurance, issued by companies acceptable to the 3

11 Department of General Services GSSSO-81 Rev. 2/20/01 Department and authorized to conduct such business under the laws of the Commonwealth of Pennsylvania. a. Worker s Compensation Insurance for all of the Contractor s employees and those of any subcontractor, engaged in work at the site of the project as required by law. b. Public liability and property damage insurance to protect the Commonwealth, and the Contractor, and any and all subcontractors from claims for damages for personal injury (including bodily injury), sickness or disease accidental death and damage to property, including loss of use resulting from any property damage, that may arise from the activities performed under this Contract or the failure to perform under this Contract, whether such performance or nonperformance be by the Contractor, by any subcontractor, or by anyone directly or indirectly employed by either. The limits of such insurance shall be in an amount not less than $500,000 each person and $2,000,000 each occurrence, personal injury and property damage combined. Such policies shall be occurrence rather than claims-made policies and shall name the Commonwealth of Pennsylvania as an additional insured. The insurance shall not contain any endorsements or any other form designated to limit and restrict any action by the Commonwealth, as an additional insured, against the insurance coverage in regard to work performed for the Commonwealth. Prior to commencement of the work under the Contract and during the term of the contract, the Contractor shall provide the Department with current certificates of insurance. These certificates shall contain a provision that the coverages afforded under the policies will not be cancelled or changed until at least thirty (30) days written notice has been given to the Department. 15. DEFAULT a. The Commonwealth may, in addition to its other rights under the Contract, declare the Contractor in default by written notice thereof to the Contractor, and terminate (as provided in Paragraph 16, Termination Provisions) the whole or any part of the Contract for any of the following reasons: 1) Failure to remove the purchased property within the time period specified in the Contract or as otherwise specified; 2) Improper removal of the purchased property; 3) Failure to pay for the purchased property within the time period specified in the contract; 4) Insolvency or bankruptcy; 4

12 Department of General Services GSSSO-81 Rev. 2/20/01 5) Assignment made for the benefit of creditors; 6) Failure to protect, to repair, or to make good any damage or injury to Commonwealth property. b. In the event that the Commonwealth terminates the Contract in whole or in part as provided in Subparagraph a. above, the Commonwealth may sell, upon such terms and in such manner as it determines, the purchased property and the Contractor shall be liable to the Commonwealth for any reduction in the purchase price of the purchased property. c. The rights and remedies of the Commonwealth provided in this paragraph shall not be exclusive and are in addition to any other rights and remedies provided by law or under the Contract. d. The Commonwealth s failure to exercise any rights or remedies provided in this paragraph shall not be construed to be a waiver by the Commonwealth of its rights and remedies in regard to the event of default or any succeeding event of default. e. Following exhaustion of the Contractor s administrative remedies as set forth in Paragraph 17, the Contractor s exclusive remedy shall be to seek damages in the Board of Claims. 16. TERMINATION PROVISIONS The Commonwealth has the right to terminate the Contract for any of the following reasons. Termination shall be effective upon written notice to the Contractor. a. TERMINATION FOR CONVENIENCE: The Commonwealth shall have the right to terminate the Contract for its convenience if the Commonwealth determines termination to be in its best interest. The Contractor shall pay for all property removed by the Contractor prior to the effective date of the termination, but in no event shall the Contractor be entitled to recover loss of profits. b. TERMINATION FOR CAUSE: The Commonwealth shall have the right to terminate the Contract for Contractor default upon written notice to the Contractor. The Commonwealth shall also have the right, upon written notice to the Contractor, to terminate the Contract for other cause as specified in the Contract or by law. If it is later determined that the Commonwealth erred in terminating the Contract for cause, then, at the Commonwealth s discretion, the Contract shall be deemed to have been terminated for convenience under the subparagraph 16.a. 5

13 Department of General Services GSSSO-81 Rev. 2/20/ CONTRACT CONTROVERSIES In the event of a controversy or claim arising from the Contract, the Contractor must, within six months after the cause of action accrues, file a written notice of controversy or claim with the Director, Bureau of Supplies and Surplus Operations, Department of General Services for a determination. The Director shall send his/her written determination to the Contractor. The decision of the Director shall be final and conclusive unless, within thirty (30) days after receipt of such written determination, the Contractor files a claim with the Commonwealth Board of Claims. Pending a final judicial resolution of a controversy or claim, the Contractor shall proceed diligently with the performance of the Contract in a manner consistent with the interpretation of the Director and the Commonwealth shall compensate the Contractor pursuant to the terms of the Contract. 18. ASSIGNABILITY AND SUBCONTRACTING a. Subject to the terms and conditions of this Paragraph 17, the Contract shall be binding upon the parties and their respective successors and assigns. b. The Contractor shall not subcontract with any person or entity to perform all or any part of the work to be performed under the Contract without the prior written consent of the Department of General Services, which consent may be withheld at its sole and absolute discretion. c. The Contractor may not assign, in whole or in part, the Contract or its rights, duties, obligations, or responsibilities hereunder without the prior written consent of the Department of General Services, which consent may be withheld at its sole and absolute discretion. d. For the purposes of the Contract, the term assign shall include, but shall not be limited to, the sale, gift, assignment, pledge, or other transfer of any ownership interest in the Contractor provided, however, that the term shall not apply to the sale or other transfer of stock of a publicly traded company. e. Any assignment consented to by the Department of General Services shall be evidenced by a written assignment agreement executed by the Contractor and its assignee in which the assignee agrees to be legally bound by all of the terms and conditions of the Contract and to assume the duties, obligations, and responsibilities being assigned. f. A change of name by the Contractor, following which the Contractor s federal identification number remains unchanged, shall not be considered to be an assignment hereunder. The Contractor shall give the Department of General Services written notice of any such change of name. Department of General Services 6

14 GSSSO-81 Rev 2/20/ NONDISCRIMINATION/SEXUAL HARASSMENT CLAUSE During the term of the Contract, the Contractor agrees as follows: a. In the hiring of any employees for the manufacture of supplies, performance of work, or any other activity required under the Contract or any subcontract, the Contractor, subcontractor shall or any person acting on behalf of the Contractor or subcontractor shall not by reason of gender, race, creed, or color discriminate against any citizen of this Commonwealth who is qualified and available to perform the work to which the employment relates. b. Neither the Contractor nor any subcontractor nor any person on their behalf shall in any manner discriminate against or intimidate any employee involved in the manufacture of supplies, the performance of work or any other activity required under the Contract on account of gender, race, creed, or color. c. The Contractor and any subcontractors shall establish and maintain a written sexual harassment policy and shall inform their employees of the policy. The policy must contain a notice that sexual harassment will not be tolerated and employees who practice it will be disciplined. d. The Contractor shall not discriminate by reason of gender, race, creed, or color against any subcontractor or supplier who is qualified to perform the work to which the contract relates. e. The Contractor and each subcontractor shall furnish all necessary employment documents and records to and permit access to its books, records, and accounts by the contracting officer and the Department of General Services Bureau of Contract Administration and Business Development for purposes of investigation to ascertain compliance with the provisions of this Nondiscrimination/Sexual Harassment Clause. If the Contractor or any subcontractor does not possess documents or records reflecting the necessary information requested, it shall furnish such information on reporting forms supplied by the contracting officer or the Bureau of Contract Administration and Business Development. f. The Contractor shall include the provisions of this Nondiscrimination/Sexual Harassment Clause in every subcontract so that such provisions will be binding upon each subcontractor. g. The Commonwealth may cancel or terminate the Contract, and all money due or to become due under the Contract may be forfeited for a violation of the terms and conditions of the Nondiscrimination/Sexual Harassment Clause. In addition, the agency may proceed with Department of General Services 7

15 GSSSO-81 Rev. 2/20/01 Debarment or suspension and may place the Contractor in the Contractor Responsibility File. 20. CONTRACTOR INTEGRITY PROVISIONS a. For purposes of this clause only, the words confidential information, consent, contractor, financial interest, and gratuity shall have the following definitions: 1) Confidential Information means information that is not public knowledge, or available to the public on request, disclosure of which would give an unfair, unethical, or illegal advantage to another desiring to contract with the Commonwealth. 2) Consent means written permission signed by a duly authorized officer or employee of the Commonwealth, provided that where the material facts have been disclosed, in writing, by prequalification, bid, proposal, or contractual terms, the Commonwealth shall be deemed to have consented by virtue of execution of this agreement. 3) Contractor means the individual or entity that has entered into the Contract with the Commonwealth, including directors, officers, partners, managers, key employees and owners or more than a five percent interest. 4) Financial Interest means: a) Ownership of more than a five percent interest in any business; or b) Holding a position as an officer, director, trustee, partner, employee, or the like, or holding any position of management. 5) Gratuity means any payment of more than nominal monetary value in the form of cash, travel, entertainment, gifts, meals, lodging, loans, subscriptions, advances, deposits of money, services, employment, or contracts of any kind. b. The Contractor shall maintain the highest standards of integrity in the performance of the Contract and shall take no action in violation of state or federal laws, regulations, or other requirements that govern contracting with the Commonwealth. c. The Contractor shall not disclose to others any confidential information gained by the virtue of the Contract. 8

16 d. The Contractor shall not, in connection with this or any other agreement with the Commonwealth, directly or indirectly, offer, confer, or agree to confer any pecuniary benefit on anyone as consideration for the decision, opinion, recommendation, vote, other exercise of discretion, or violation of a known legal duty by any officer or employee of the Commonwealth. e. The Contractor shall not, in connection with this or any other agreement with the Commonwealth, directly or indirectly, offer, give, or agree or promise to give to anyone any gratuity for the benefit of or at the direction or request of any officer or employee of the Commonwealth. f. Except with the consent of the Commonwealth, neither the Contractor nor anyone in privity with him or her shall accept or agree to accept from, or give or agree to give to, any person, any gratuity from any person in connection with the performance of work under the Contract except as provided therein. g. Except with the consent of the Commonwealth, the Contractor shall not have a financial interest in any other contractor, subcontractor, or supplier providing services, labor, or material on this project. h. The Contractor, upon being informed that any violation of these provisions has occurred or may occur, shall immediately notify the Commonwealth in writing. i. The Contractor, by execution of its bid and by the submission of any bills or invoices for payment pursuant thereto, certifies, and represents that he or she has not violated any of these provisions. j. The Contractor, upon the inquiry or request of the Inspector General of the Commonwealth or any of that official s agents or representatives, shall provide, or if appropriate, make promptly available for inspection or copying, any information of any type or form deemed relevant by the Inspector General to the Contractor s integrity or responsibility, as those terms are defined by the Commonwealth s statutes, regulations, or management directives. Such information may include, but shall not be limited to, the Contractor s business or financial records, documents or files of any type or form which refer to or concern the Field. Such information shall be retained by the Contractor for a period of three years beyond the termination of the Contract unless otherwise provided by law. k. For violation of any of the above provisions, the Commonwealth may terminate this and any other agreement with the Contractor, claim liquidated damages in an amount equal to the value of anything received in breach of these provisions, claim damages for all expenses incurred in obtaining another Contractor to complete performance Department of General Services GSSSO-81 Rev 2/20/01 9

17 hereunder, and debar and suspend the Contractor from doing business with the Commonwealth. These rights and remedies are cumulative, and the use or nonuse of any one shall not preclude the use of all or any other. These rights and remedies are in addition to those the Commonwealth may have under law, statute, regulation, or otherwise. 21. CONTRACTOR RESPONSIBILITY PROVISIONS a. The Contractor certifies, for itself and all its subcontractors, that neither the Contractor, nor any subcontractors, nor any suppliers are under suspension or debarrment by the Commonwealth or any governmental entity, instrumentality, or authority and, if the Contractor cannot so certify, then it agrees to submit a written explanation of why such certification cannot be made before proceeding to perform under the Contract. The Commonwealth reserves the right to cancel the Contract without liability if the Contractor cannot so certify and the Commonwealth is not satisfied with the explanation b. The Contractor also certifies, in writing, that, as of the date of its execution of the bid/contract, it has no tax liabilities or other Commonwealth obligations. c. The Contractor s obligations pursuant to these provisions are ongoing from and after the award date of the Contract through the termination date thereof. Accordingly, the Contractor shall have an obligation to inform the Commonwealth if, at any time during the term of Contract, it becomes delinquent in the payment of taxes, or other Commonwealth obligations, or if it or any of its subcontractors are suspended or debarred by the Commonwealth, the federal government, or any other state or governmental entity. Such notification shall be made within 15 days of the date of suspension or debarrment. d. The failure of the Contractor to notify the Commonwealth of its suspension or debarrment by the Commonwealth, any other state, or the federal government shall constitute an event of default of the Contract with the Commonwealth. e. The Contractor agrees to reimburse the Commonwealth for the reasonable costs of investigation incurred by the Office of State Inspector General for investigations of the Contractor s compliance with the terms of this or any other agreement between the Contractor and the Commonwealth, which results in the suspension or debarrment of the Contractor. Such costs shall include, but shall not be limited to, salaries of investigators, including overtime; travel and lodging expenses; and expert witness and documentary fees. The Contractor shall not be responsible for investigative costs for investigations that do not result in the Contractor s suspension or debarrment. Department of General Services GSSSO-81 Rev. 2/20/01 10

18 f. The Contractor may obtain a current list of suspended and debarred Commonwealth contractors by either searching the internet at or contacting the Department of General Services Office of Chief Counsel 603 North Office Building Harrisburg, PA Telephone No. (717) FAX No. (717) AMERICANS WITH DISABILITIES ACT a. Pursuant to federal regulations promulgated under the authority of The Americans With Disabilities Act, 28 C.F.R et seq., the Contractor understands and agrees that it shall not cause any individual with a disability to be excluded from participation in the Contract or from activities provided for under the Contract on the basis of the disability. As a condition of accepting this contract, the Contractor agrees to comply with the General Prohibitions Against Discrimination, 28 C.F.R , and all other regulations promulgated under Title II of The Americans With Disabilities Act which are applicable to all benefits, services, programs, and activities provided by the Commonwealth of Pennsylvania through contracts with outside contractors. b. The Contractor shall be responsible for and agrees to indemnify and hold harmless the Commonwealth of Pennsylvania from all losses, damages, expenses, claims, demands, suits, and actions brought by any party against the Commonwealth of Pennsylvania as a result of the Contractor s failure to comply with the provisions of subparagraph a above. 23. COVENANT AGAINST CONTINGENT FEES The Contractor warrants that no person or agency has been employed or retained to solicit or secure the Contract upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, except bona fide employees or bona fide established commercial agencies maintained by the Contractor for the purpose of securing business. For breach or violation of this warranty, the Commonwealth shall have the right to terminate the Contract without liability or in its discretion to deduct from the Contract price or consideration, or otherwise recover the full amount of such commission, percentage, brokerage, or contingent fee. 24. APPLICABLE LAW The Contract shall be governed by and interpreted and enforced in accordance with the laws of the Commonwealth of Pennsylvania (without regard to any conflict of laws provisions) and the decisions of the Pennsylvania courts. The Contractor consents to Department of General Services GSSSO-81 Rev. 2/20/01 11

19 the jurisdiction of any court of the Commonwealth of Pennsylvania and any federal courts in Pennsylvania, waiving any claim or defense that such forum is not convenient or proper. The Contractor agrees that any such court shall have in personam jurisdiction over it, and consents to service of process in any manner authorized by Pennsylvania law. 25. INTEGRATION The Contract is comprised of the Invitation For Bids Bid Proposal, and all documents referenced in the Invitation For Bids Bid Proposal, and constitutes the entire agreement between the parties. No agent, representative, employee or officer of either the Commonwealth or the Contractor has authority to make, or has made, any statement, agreement or representation, oral or written, in connection with the Contract, which is any way can be deemed to modify, add to or detract from, or otherwise change or alter its terms and conditions. No negotiations between the parties, nor any custom or usage, shall be permitted to modify or contradict any of the terms and conditions of the Contract. No modifications, alterations, changes, or waiver to the Contract or any of its terms shall be valid or binding unless accomplished by a written amendment signed by both parties. All such amendments will be made using the appropriate Commonwealth form. 12

20 Department of General Services GSSSO-80 Rev. 2/20/01 GENERAL CONDITIONS AND INSTRUCTIONS TO BIDDERS FOR THE SALE OF SURPLUS STATE PROPERTY 1. SUBMISSION OF BIDS: a. Bids are requested for the item(s) described in the Invitation for Bids-Bid Proposal for the Sale of Surplus State Property form and the documents referenced on the form (collectively called the IFB). Bidders must complete the IFB Form, including: name and address of Bidder, federal identification number or social security number; Bidder contact person; telephone number; fax number and address. Bid prices must be typewritten or in ink. Bidders must properly sign the IFB Form in ink. Bids which are priced or signed in pencil will be rejected. b. The IFB, as well as the other documents required by the IFB (collectively referred to as the Bid ), shall be enclosed and sealed in an envelope which is clearly marked Bid and includes the assigned contract number. It is the responsibility of each Bidder to ensure that its Bid is received at the Department of General Services Bid Opening Room (shown on the cover sheet) prior to the date and time set for the opening of Bids, regardless of medium used. If a Bidder decides to mail in its Bid, the Bidder should allow adequate time for delivery. No Bid shall be considered if it arrives at the Department of General Services Bid Opening Room (shown on the cover sheet) after the date and time set for Bid opening. In the event that, due to inclement weather, natural disaster, or other cause, the Commonwealth offices are officially closed on the date scheduled for Bid opening, the Bid opening date shall be automatically postponed until the next Commonwealth business day, unless the Bidders are otherwise notified by the Department of General Services. The Bid opening time shall remain the same. c. Bids must be firm. If a Bid is submitted with conditions or exceptions or not in conformance with the terms and conditions referenced in the IFB, it shall be rejected. The Bid shall also be rejected if the items offered by the Bidder are not in conformance with the specifications as determined by the Department of General Services. 2. QUESTIONS: Any questions concerning conditions and instructions in the IFB must be directed to the Department of General Services, to the attention of the Chief, Surplus State Property Division. Any questions concerning the property should be directed to the Property Agent referenced on the cover sheet of the IFB. 3. BIDDER S REPRESENTATION AND AUTHORIZATION: a. Each Bidder, by making its Bid, understands, represents, and acknowledges that:

21 1) The Bidder has read and understands the terms and conditions of the IFB and the Bid is made in accordance with those terms and conditions. 2) The item(s) offered in the Bid will be in conformance with the specifications referenced on the IFB without exceptions. 3) The price(s) and amount of the Bid have been arrived at independently and without consultation, communication, or agreement with any other contractor, bidder, or potential bidder. 4) Neither the price(s) nor the amount of the Bid, and neither the approximate price(s) nor the approximate amount of the Bid, have been disclosed to any other firm or person who is a bidder or potential bidder, and they will not be disclosed before Bid opening. 5) No attempt has been made or will be made to induce any firm or person to refrain from bidding on the contract, or to submit a bid higher than the Bid, or to submit any intentionally high or noncompetitive bid or other form of complementary bid. 6) The Bid is made is good faith and not pursuant to any agreement or discussion with, or inducement from, any firm or person to submit a complementary or other noncompetitive bid. 7) To the best of the knowledge of the person signing the Bid for the Bidder, the Bidder, its affiliates, subsidiaries, officers, directors, and employees are not currently under investigation by any governmental agency and have not in the last four years been convicted or found liable for any act prohibited by State or Federal law in any jurisdiction, involving conspiracy or collusion with respect to bidding on any public contract, except as disclosed by the Bidder in its Bid. 8) Neither the Bidder, nor any subcontractors, nor any suppliers are under suspension or debarment by the Commonwealth, or any governmental entity instrumentality, or authority, and if the bidder cannot so certify, then it shall submit, along with the Bid, a written explanation of why such certification cannot be made. 9) To the best of the knowledge of the person signing the Bid for the Bidder, and except as otherwise disclosed by the Bidder in its Bid, the Bidder has no outstanding, delinquent obligations to the Commonwealth including, but not limited to, any state tax liability not being contested on appeal or other obligation of the Bidder that is owed to the Commonwealth. 10) The Bidder has not, under separate contract with the Department of General Services, made any recommendations to the Department of General Services concerning: the IFB, the sale of 2

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