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HomeMy WebLinkAboutStaff Report 2502-4214CITY OF PALO ALTO CITY COUNCIL Monday, April 14, 2025 Council Chambers & Hybrid 5:30 PM     Agenda Item     7.Approval of Professional Services Contract No. C25191690 with InfoSend in an Amount Not to Exceed $2,344,573 to Provide Utilities Bill Print and Mailing Services for a Term of Five Years; CEQA Status - Not a Project. City Council Staff Report From: City Manager Report Type: CONSENT CALENDAR Lead Department: Utilities Meeting Date: April 14, 2025 Report #:2502-4214 TITLE Approval of Professional Services Contract No. C25191690 with InfoSend in an Amount Not to Exceed $2,344,573 to Provide Utilities Bill Print and Mailing Services for a Term of Five Years; CEQA Status - Not a Project. RECOMMENDATION Staff recommends that Council approve and authorize the City Manager or designee to execute Contract No. C25191690 (Attachment A) with InfoSend for integrated bill printing, mailing, archiving, disaster recovery services, utility bill redesign, and the implementation of electronic bill presentment for a term of five years and a total not-to-exceed amount of $2,344,573, including $2,131,430 for basic services and $213,143 for additional services. EXECUTIVE SUMMARY The City’s current bill print system, managed through Pitney Bowes, has become outdated, limiting both operational efficiency and scalability. The existing system only generates bills in a printable format, leaving the Utilities Department, in partnership with Administrative Services and Information Technology, to manage the printing, sorting, and mailing process in-house. This manual process is time-consuming, resource-intensive, and prone to errors involving significant resources. The proposed contract will enable the Utilities Department to modernize its billing processes, enhance bill design, improve operational efficiency, and provides disaster recovery. Approving this contract will modernize utility billing, reduce long-term costs, and align with the City of Palo Alto Utilities (CPAU) strategic goals for operational efficiency and customer service improvements. Approximately 50% of the contract cost is directly related to postage. To the extent customers move to paperless bills, actual costs under this contract will reduce. The City is taking a multi- prong approach to reduce the number of physical bills and associated postage costs. Since 2023, the number of paperless only customers has almost doubled from 5,100 to 9,725 due to the new default paperless only setting for new customer registration in the utilities customer account portal MyCPAU. The City is working on another campaign to convert the remaining 14,000 electronic bill customers who are also receiving a physical bill to paperless only. BACKGROUND ANALYSIS •InfoSend is CIS agnostic and has interfaced with more than 50 different CIS platforms, including SAP. •Supports application programing interface to CPAU’s online portal by Smart Energy Water (SEW). •Operates five regional production facilities to ensure with CPAU’s disaster recovery requirements. •Manufactures and supplies required envelopes and paper stock to mitigate supply chain issues, therefore reducing material costs. Key benefits of the contract include: •Ensuring compliance with industry standards and regulations for utility billing. •Reducing the internal workload by outsourcing print, mail, and data management functions. •Handling over 31,000 monthly bill statements and bill inserts, ensuring accurate and timely delivery for both residential and commercial customers. •Introducing a redesigned utility bill that enhances communication, improving readability, and integrating digital billing options. •Addressing future scalability by transitioning the department towards automation and smart meter integration. •Providing disaster recovery, data security, and business continuity features to mitigate risks and ensure uninterrupted services. It will take approximately twelve weeks to implement the transition of the bill printing and mailing from the City’s in-house services to InfoSend depending on availability of City staff and InfoSend resources for data conversion, interface development, system integration, and testing. The proposal bid range came in between $460,931- $1,428,810 which included specific tasks. InfoSend was the lowest cost proposal and was awarded the contract. Staff negotiated additional and optional tasks including postage, postage deposit, archiving and storage, bill redesign, and bill inserts. Summary of Solicitation Process Proposal Description RFP 191690 Proposed Description Utilities Bill Print Proposed length of project 60 months Number of Vendors Notified 3145 Numbers of proposal packages downloaded 26 Total Days to respond to proposal 21 Calendar Days Number of Proposals Received 3 but 1 deemed nonresponsive Proposal Bid Range1 for Contract $460,931 - $1,428,810 (annually) Public Link to Solicitation https://procurement.opengov.com/portal/palo-alto- ca/projects/104489 FISCAL/RESOURCE IMPACT This recommendation has no financial impact for Fiscal Year 2025 as the Utilities Department will continue to use the current bill print system during the twelve-week implementation process for InfoSend. Funding previously collected in the Technology Fund for utility bill printing system replacement will be used to cover the costs of implementation. Given the twelve week implementation timeline, funding adjustments for this contract will be subject to City Council approval as part of the annual budget process. The InfoSend costs will be broken down as shown in Table 1 across the five-year contract period: Table 1: InfoSend Contract FY 2026 FY 2027 FY 2028 FY 2029 FY 2030 Total Utility Printing $87,700 $89,835 $92,083 $94,416 $96,897 $460,931 Postage $180,150 $198,165 $217,982 $239,780 $263,758 $1,099,834 Post-Award Negotiated Services $54,040 $10,238 $10,749 $11,287 $11,852 $98,166 Bill Inserts $94,500 $94,500 $94,500 $94,500 $94,500 $472,500 Additional Services $41,639 $39,274 $41,531 $43,998 $46,701 $213,143 Total $458,029 $432,011 $456,845 $483,980 $513,708 $2,344,573 The Utilities Department spends approximately $660,000 annually for bill printing and mailing services. These costs are currently paid to the internal service funds: Printing and Mailing Fund ($530,000) and Technology Fund ($130,000). Approximately $200,000 in annual savings is anticipated once this new contract is implemented offset by remaining services from the Printing & Mail services adhoc. The Utilities Department will continue to rely on the Printing and Mailing services for non-scheduled and one-time print jobs such as Proposition 218 rate notices, water quality reports, late and disconnection notices, and customer letters. The utility bill printing and bill insert costs under InfoSend are comparable to the charges from the City’s internal Technology and Printing and Mailing Funds. The InfoSend contract provides new services such as disaster recovery, bill redesign, and technical support. The contract also frees up staff time in IT, Printing and Mailing, and Utilities to perform more valued added work than printing, sorting, and mailing bills. 1 Proposal Bid Range does not include U.S. Postage and bill inserts costs STAKEHOLDER ENGAGEMENT ENVIRONMENTAL REVIEW ATTACHMENTS APPROVED BY: Professional Services Rev. Oct 16,2024 Page 1 of 57 CITY OF PALO ALTO CONTRACT NO. C25191690 AGREEMENT FOR PROFESSIONAL SERVICES BETWEEN THE CITY OF PALO ALTO AND INFOSEND, INC. This Agreement for Professional Services (this “Agreement”) is entered into as of the 10th day of March, 2025 (the “Effective Date”), by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and INFOSEND, INC., a California Corporation, located at 4240 E. La Palma Avenue Anaheim, CA 92807-1816 (“CONSULTANT”). The following recitals are a substantive portion of this Agreement and are fully incorporated herein by this reference: RECITALS A. CITY intends to print and mail utility bill print (the “Project”) and desires to engage a consultant to provide integrated bill printing and mailing services in connection with the Project (the “Services”, as detailed more fully in Exhibit A). B. CONSULTANT represents that it, its employees and subconsultants, if any, possess the necessary professional expertise, qualifications, and capability, and all required licenses and/or certifications to provide the Services. C. CITY, in reliance on these representations, desires to engage CONSULTANT to provide the Services as more fully described in Exhibit A, entitled “SCOPE OF SERVICES”. NOW, THEREFORE, in consideration of the recitals, covenants, terms, and conditions, in this Agreement, the parties agree as follows: SECTION 1. SCOPE OF SERVICES. CONSULTANT shall perform the Services described in Exhibit A in accordance with the terms and conditions contained in this Agreement. The performance of all Services shall be to the reasonable satisfaction of CITY. SECTION 2. TERM. The term of this Agreement shall be from the effective date of this agreement through December 31, 2030 unless terminated earlier pursuant to Section 19 (Termination) of this Agreement. An extension option for a period up to an additional two years (until December 31, 2032) is available if both parties agree through an amendment to this Agreement. SECTION 3. SCHEDULE OF PERFORMANCE. Time is of the essence in the performance of Services under this Agreement. CONSULTANT shall complete the Services within the term of this Agreement and in accordance with the schedule set forth in Exhibit B, entitled “SCHEDULE OF PERFORMANCE”. Any Services for which times for performance are not specified in this Agreement shall be commenced and completed by CONSULTANT in a reasonably prompt and timely manner based upon the circumstances and direction communicated to the CONSULTANT. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 2 of 57 CITY’s agreement to extend the term or the schedule for performance shall not preclude recovery of damages for delay if the extension is required due to the fault of CONSULTANT. SECTION 4. NOT TO EXCEED COMPENSATION. The compensation to be paid to CONSULTANT for performance of the Services shall be based on the compensation structure detailed in Exhibit C, entitled “COMPENSATION,” including any reimbursable expenses specified therein, and the maximum total compensation shall not exceed Two Million One Hundred Thirty-One Thousand Four Hundred Twenty-Nine Dollars and Fifty Cents ($2,131,429.50). The hourly schedule of rates, if applicable, is set out in Exhibit C-1, entitled “SCHEDULE OF RATES.” Any work performed or expenses incurred for which payment would result in a total exceeding the maximum compensation set forth in this Section 4 shall be at no cost to the CITY. Optional Additional Services Provision (This provision applies only if checked and a not-to-exceed compensation amount for Additional Services is allocated below under this Section 4.) In addition to the not-to-exceed compensation specified above, CITY has set aside the not- to-exceed compensation amount of Two Hundred Thirteen Thousand One Hundred Forty-Two Dollars and Ninety-Five Cents ($213,142.95) for the performance of Additional Services (as defined below). The total compensation for performance of the Services, Additional Services and any reimbursable expenses specified in Exhibit C, shall not exceed Two Million Three Hundred Forty-Four Thousand Five Hundred Seventy- Two Dollars and Forty-Five Cents ($2,344,572.45), as detailed in Exhibit C. “Additional Services” means any work that is determined by CITY to be necessary for the proper completion of the Project, but which is not included within the Scope of Services described at Exhibit A. CITY may elect to, but is not required to, authorize Additional Services up to the maximum amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall provide Additional Services only by advanced, written authorization from CITY as detailed in this Section. Additional Services, if any, shall be authorized by CITY with a Task Order assigned and authorized by CITY’s Project Manager, as identified in Section 13 (Project Management). Each Task Order shall be in substantially the same form as Exhibit A-1, entitled “PROFESSIONAL SERVICES TASK ORDER”. Each Task Order shall contain a specific scope of services, schedule of performance and maximum compensation amount, in accordance with the provisions of this Agreement. Compensation for Additional Services shall be specified by CITY in the Task Order, based on whichever is lowest: the compensation structure set forth in Exhibit C, the hourly rates set forth in Exhibit C-1, or a negotiated lump sum. To accept a Task Order, CONSULTANT shall sign the Task Order and return it to CITY’s Project Manager within the time specified by the Project Manager, and upon authorization by CITY (defined as counter-signature by the CITY Project Manager), the fully executed Task Order shall become part of this Agreement. The cumulative total compensation to CONSULTANT for all Task Orders authorized under this Agreement shall not exceed the amount of compensation set forth for Additional Services in this Section 4. CONSULTANT shall only be compensated for Additional Services performed under an authorized Task Order and only up to the maximum amount of compensation set forth for Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 3 of 57 Additional Services in this Section 4. Performance of and payment for any Additional Services are subject to all requirements and restrictions in this Agreement. SECTION 5. INVOICES. In order to request payment, CONSULTANT shall submit monthly invoices to the CITY describing the Services performed and the applicable charges based upon Exhibit C or, as applicable, CONSULTANT’s schedule of rates set forth in Exhibit C-1. The information in CONSULTANT’s invoices shall be subject to verification by CITY. CONSULTANT shall send all invoices to CITY’s Project Manager at the address specified in Section 13 (Project Management) below. CITY will process and pay invoices within thirty (30) days of receipt of an acceptable invoice. SECTION 6. QUALIFICATIONS/STANDARD OF CARE. All Services shall be performed by CONSULTANT or under CONSULTANT’s supervision. CONSULTANT represents that it, its employees and subcontractors, if any, possess the professional and technical personnel necessary to perform the Services required by this Agreement and that the personnel have sufficient skill and experience to perform the Services assigned to them. CONSULTANT represents that it, its employees and subcontractors, if any, have and shall maintain during the term of this Agreement all licenses, permits, qualifications, insurance and approvals of whatever nature that are legally required to perform the Services. All Services to be furnished by CONSULTANT under this Agreement shall meet the professional standard and quality that prevail among professionals in the same discipline and of similar knowledge and skill engaged in related work throughout California under the same or similar circumstances. SECTION 7. COMPLIANCE WITH LAWS. CONSULTANT shall keep itself informed of and in compliance with all federal, state and local laws, ordinances, regulations, and orders that may affect in any manner the Project or the performance of the Services or those engaged to perform Services under this Agreement, as amended from time to time. CONSULTANT shall procure all permits and licenses, pay all charges and fees, and give all notices required by law in the performance of the Services. SECTION 8. ERRORS/OMISSIONS. CONSULTANT is solely responsible for costs, including, but not limited to, increases in the cost of Services, arising from or caused by CONSULTANT’s errors and omissions, including, but not limited to, the costs of corrections such errors and omissions, any change order markup costs, or costs arising from delay caused by the errors and omissions or unreasonable delay in correcting the errors and omissions. SECTION 9. COST ESTIMATES. If this Agreement pertains to the design of a public works project, CONSULTANT shall submit estimates of probable construction costs at each phase of design submittal. If the total estimated construction cost at any submittal exceeds the CITY’s stated construction budget by ten percent (10%) or more, CONSULTANT shall make recommendations to CITY for aligning the Project design with the budget, incorporate CITY approved recommendations, and revise the design to meet the Project budget, at no additional cost to CITY. SECTION 10. INDEPENDENT CONTRACTOR. CONSULTANT acknowledges and agrees that CONSULTANT and any agent or employee of CONSULTANT will act as and shall be deemed at all times to be an independent contractor and shall be wholly responsible for the manner in which CONSULTANT performs the Services requested by CITY under this Agreement. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 4 of 57 CONSULTANT and any agent or employee of CONSULTANT will not have employee status with CITY, nor be entitled to participate in any plans, arrangements, or distributions by CITY pertaining to or in connection with any retirement, health or other benefits that CITY may offer its employees. CONSULTANT will be responsible for all obligations and payments, whether imposed by federal, state or local law, including, but not limited to, FICA, income tax withholdings, workers’ compensation, unemployment compensation, insurance, and other similar responsibilities related to CONSULTANT’s performance of the Services, or any agent or employee of CONSULTANT providing same. Nothing in this Agreement shall be construed as creating an employment or agency relationship between CITY and CONSULTANT or any agent or employee of CONSULTANT. Any terms in this Agreement referring to direction from CITY shall be construed as providing for direction as to policy and the result of CONSULTANT’s provision of the Services only, and not as to the means by which such a result is obtained. SECTION 11. ASSIGNMENT. The parties agree that the expertise and experience of CONSULTANT are material considerations for this Agreement. CONSULTANT shall not assign or transfer any interest in this Agreement nor the performance of any of CONSULTANT’s obligations hereunder without the prior written approval of the City Manager. Any purported assignment made without the prior written approval of the City Manager will be void and without effect. Subject to the foregoing, the covenants, terms, conditions and provisions of this Agreement will apply to, and will bind, the heirs, successors, executors, administrators and assignees of the parties. SECTION 12. SUBCONTRACTING. Option A: No Subcontractor: CONSULTANT shall not subcontract any portion of the Services to be performed under this Agreement without the prior written authorization of the City Manager or designee. In the event CONSULTANT does subcontract any portion of the work to be performed under this Agreement, CONSULTANT shall be fully responsible for all acts and omissions of subcontractors. SECTION 13. PROJECT MANAGEMENT. CONSULTANT will assign Matt Schmidt, Email: Matt.s@infosend.com as the CONSULTANT’s Project Manager to have supervisory responsibility for the performance, progress, and execution of the Services and represent CONSULTANT during the day-to-day performance of the Services. If circumstances cause the substitution of the CONSULTANT’s Project Manager or any other of CONSULTANT’s key personnel for any reason, the appointment of a substitute Project Manager and the assignment of any key new or replacement personnel will be subject to the prior written approval of the CITY’s Project Manager. CONSULTANT, at CITY’s request, shall promptly remove CONSULTANT personnel who CITY finds do not perform the Services in an acceptable manner, are uncooperative, or present a threat to the adequate or timely completion of the Services or a threat to the safety of persons or property. CITY’s Project Manager is Anthony Enerio, Utilities Department, Customer Service Division, 250 Hamilton Avenue Palo Alto, CA, zipcode: 94301, Telephone: (650)329-2621. CITY’s Project Manager will be CONSULTANT’s point of contact with respect to performance, progress and execution of the Services. CITY may designate an alternate Project Manager from time to time. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 5 of 57 SECTION 14. OWNERSHIP OF MATERIALS. All work product, including without limitation, all writings, drawings, studies, sketches, photographs, plans, reports, specifications, computations, models, recordings, data, documents, and other materials and copyright interests developed under this Agreement, in any form or media, shall be and remain the exclusive property of CITY without restriction or limitation upon their use. CONSULTANT agrees th at all copyrights which arise from creation of the work product pursuant to this Agreement are vested in CITY, and CONSULTANT hereby waives and relinquishes all claims to copyright or other intellectual property rights in favor of CITY. Neither CONSULTANT nor its subcontractors, if any, shall make any of such work product available to any individual or organization without the prior written approval of the City Manager or designee. CONSULTANT makes no representation of the suitability of the work product for use in or application to circumstances not contemplated by the Scope of Services. SECTION 15. AUDITS. CONSULTANT agrees to permit CITY and its authorized representatives to audit, at any reasonable time during the term of this Agreement and for four (4) years from the date of final payment, CONSULTANT’s records pertaining to matters covered by this Agreement, including without limitation records demonstrating compliance with the requirements of Section 10 (Independent Contractor). CONSULTANT further agrees to maintain and retain accurate books and records in accordance with generally accepted accounting principles for at least four (4) years after the expiration or earlier termination of this Agreement or the completion of any audit hereunder, whichever is later. SECTION 16. INDEMNITY. 16.1. To the fullest extent permitted by law, CONSULTANT shall indemnify, defend and hold harmless CITY, its Council members, officers, employees and agents (each an “Indemnified Party”) from and against any and all demands, claims, or liability, including death or injury to any person, property damage or any other loss, including all costs and expenses including attorney’s fees, experts fees, court costs and disbursements (“Claims”) resulting directly from to the negligence or willful misconduct in performance or nonperformance by CONSULTANT, its officers, employees, agents or contractors under this Agreement, regardless of whether or not it is caused in part by an Indemnified Party. 16.2. Notwithstanding the above, nothing in this Section 16 shall be construed to require CONSULTANT to indemnify an Indemnified Party from a Claim arising from the active negligence or willful misconduct of an Indemnified Party that is not contributed to by any act of, or by any omission to perform a duty imposed by law or agreement by, CONSULTANT, its officers, employees, agents or contractors under this Agreement. 16.3. The acceptance of CONSULTANT’s Services and duties by CITY shall not operate as a waiver of the right of indemnification. The provisions of this Section 16 shall survive the expiration or early termination of this Agreement. SECTION 17. WAIVERS. No waiver of a condition or nonperformance of an obligation under this Agreement is effective unless it is in writing in accordance with Section 29.4 of this Agreement. No delay or failure to require performance of any provision of this Agreement shall constitute a waiver of that provision as to that or any other instance. Any waiver granted shall apply solely to the specific instance expressly stated. No single or partial exercise of any right or remedy will preclude any other or further exercise of any right or remedy. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 6 of 57 SECTION 18. INSURANCE. 18.1. CONSULTANT, at its sole cost and expense, shall obtain and maintain, in full force and effect during the term of this Agreement, the insurance coverage described in Exhibit D, entitled “INSURANCE REQUIREMENTS”. CONSULTANT and its contractors, if any, shall obtain a policy endorsement naming CITY as an additional insured under any general liability or automobile policy or policies. 18.2. All insurance coverage required hereunder shall be provided through carriers with AM Best’s Key Rating Guide ratings of A-:VII or higher which are licensed or authorized to transact insurance business in the State of California. Any and all contractors of CONSULTANT retained to perform Services under this Agreement will obtain and maintain, in full force and effect during the term of this Agreement, identical insurance coverage, naming CITY as an additional insured under such policies as required above. 18.3. Certificates evidencing such insurance shall be filed with CITY concurrently with the execution of this Agreement. The certificates will be subject to the approval of CITY’s Risk Manager and will contain an endorsement stating that the insurance is primary coverage and will not be canceled, or materially reduced in coverage or limits, by the insurer except after filing with the Purchasing Manager thirty (30) days’ prior written notice of the cancellation or modification. If the insurer cancels or modifies the insurance and provides less than thirty (30) days’ notice to CONSULTANT, CONSULTANT shall provide the Purchasing Manager written notice of the cancellation or modification within two (2) business days of the CONSULTANT’s receipt of such notice. CONSULTANT shall be responsible for ensuring that current certificates evidencing the insurance are provided to CITY’s Chief Procurement Officer during the entire term of this Agreement. 18.4. The procuring of such required policy or policies of insurance will not be construed to limit CONSULTANT’s liability hereunder nor to fulfill the indemnification provisions of this Agreement. Notwithstanding the policy or policies of insurance, CONSULTANT will be obligated for the full and total amount of any damage, injury, or loss caused by or directly arising as a result of the Services performed under this Agreement, including such damage, injury, or loss arising after the Agreement is terminated or the term has expired. SECTION 19. TERMINATION OR SUSPENSION OF AGREEMENT OR SERVICES. 19.1. The City Manager may suspend the performance of the Services, in whole or in part, or terminate this Agreement, with or without cause, by giving ten (10) days prior written notice thereof to CONSULTANT. If CONSULTANT fails to perform any of its material obligations under this Agreement, in addition to all other remedies provided under this Agreement or at law, the City Manager may terminate this Agreement sooner upon written notice of termination. Upon receipt of any notice of suspension or termination, CONSULTANT will discontinue its performance of the Services on the effective date in the notice of suspension or termination. 19.2. In event of suspension or termination, CONSULTANT will deliver to the City Manager on or before the effective date in the notice of suspension or termination, any and Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 7 of 57 all work product, as detailed in Section 14 (Ownership of Materials), whether or not completed, prepared by CONSULTANT or its contractors, if any, in the performance of this Agreement. Such work product is the property of CITY, as detailed in Section 14 (Ownership of Materials). 19.3. In event of suspension or termination, CONSULTANT will be paid for the Services rendered and work products delivered to CITY in accordance with the Scope of Services up to the effective date in the notice of suspension or termination; provided, however, if this Agreement is suspended or terminated on account of a default by CONSULTANT, CITY will be obligated to compensate CONSULTANT only for that portion of CONSULTANT’s Services provided in material conformity with this Agreement as such determination is made by the City Manager acting in the reasonable exercise of his/her discretion. The following Sections will survive any expiration or termination of this Agreement: 14, 15, 16, 17, 19.2, 19.3, 19.4, 20, 25, 27, 28, 29 and 30. 19.4. No payment, partial payment, acceptance, or partial acceptance by CITY will operate as a waiver on the part of CITY of any of its rights under this Agreement, unless made in accordance with Section 17 (Waivers). SECTION 20. NOTICES. All notices hereunder will be given in writing and mailed, postage prepaid, by certified mail, addressed as follows: To CITY: Office of the City Clerk City of Palo Alto Post Office Box 10250 Palo Alto, CA 94303 With a copy to the Purchasing Manager To CONSULTANT: Attention of the Project Manager at the address of CONSULTANT recited on the first page of this Agreement. CONSULTANT shall provide written notice to CITY of any change of address. SECTION 21. CONFLICT OF INTEREST. 21.1. In executing this Agreement, CONSULTANT covenants that it presently has no interest, and will not acquire any interest, direct or indirect, financial or otherwise, which would conflict in any manner or degree with the performance of the Services. 21.2. CONSULTANT further covenants that, in the performance of this Agreement, it will not employ subcontractors or other persons or parties having such an interest. CONSULTANT certifies that no person who has or will have any financial interest under this Agreement is an officer or employee of CITY; this provision will be interpreted in accordance with the applicable provisions of the Palo Alto Municipal Code and the Government Code of the State of California, as amended from time to time. CONSULTANT agrees to notify CITY if any conflict arises. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 8 of 57 21.3. If the CONSULTANT meets the definition of a “Consultant” as defined by the Regulations of the Fair Political Practices Commission, CONSULTANT will file the appropriate financial disclosure documents required by the Palo Alto Municipal Code and the Political Reform Act of 1974, as amended from time to time. SECTION 22. NONDISCRIMINATION; COMPLIANCE WITH ADA. 22.1. As set forth in Palo Alto Municipal Code Section 2.30.510, as amended from time to time, CONSULTANT certifies that in the performance of this Agreement, it shall not discriminate in the employment of any person due to that person’s race, skin color, gender, gender identity, age, religion, disability, national origin, ancestry, sexual orientation, pregnancy, genetic information or condition, housing status, marital status, familial status, weight or height of such person. CONSULTANT acknowledges that it has read and understands the provisions of Section 2.30.510 of the Palo Alto Municipal Code relating to Nondiscrimination Requirements and the penalties for violation thereof, and agrees to meet all requirements of Section 2.30.510 pertaining to nondiscrimination in employment. 22.2. CONSULTANT understands and agrees that pursuant to the Americans Disabilities Act (“ADA”), programs, services and other activities provided by a public entity to the public, whether directly or through a contractor or subcontractor, are required to be accessible to the disabled public. CONSULTANT will provide the Services specified in this Agreement in a manner that complies with the ADA and any other applicable federal, state and local disability rights laws and regulations, as amended from time to time. CONSULTANT will not discriminate against persons with disabilities in the provision of services, benefits or activities provided under this Agreement. SECTION 23. ENVIRONMENTALLY PREFERRED PURCHASING AND ZERO WASTE REQUIREMENTS. CONSULTANT shall comply with the CITY’s Environmentally Preferred Purchasing policies which are available at CITY’s Purchasing Department, hereby incorporated by reference and as amended from time to time. CONSULTANT shall comply with waste reduction, reuse, recycling and disposal requirements of CITY’s Zero Waste Program. Zero Waste best practices include, first, minimizing and reducing waste; second, reusing waste; and, third, recycling or composting waste. In particular, CONSULTANT shall comply with the following Zero Waste requirements: (a) All printed materials provided by CONSULTANT to CITY generated from a personal computer and printer including but not limited to, proposals, quotes, invoices, reports, and public education materials, shall be double-sided and printed on a minimum of 30% or greater post-consumer content paper, unless otherwise approved by CITY’s Project Manager. Any submitted materials printed by a professional printing company shall be a minimum of 30% or greater post-consumer material and printed with vegetable-based inks. (b) Goods purchased by CONSULTANT on behalf of CITY shall be purchased in accordance with CITY’s Environmental Purchasing Policy including but not limited to Extended Producer Responsibility requirements for products and packaging. A copy of this policy is on file at the Purchasing Department’s office. (c) Reusable/returnable pallets shall be taken back by CONSULTANT, at no additional cost to CITY, for reuse or recycling. CONSULTANT shall provide documentation from the facility accepting the pallets to verify that pallets are not being disposed. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 9 of 57 SECTION 24. COMPLIANCE WITH PALO ALTO MINIMUM WAGE ORDINANCE. CONSULTANT shall comply with all requirements of the Palo Alto Municipal Code Chapter 4.62 (Citywide Minimum Wage), as amended from time to time. In particular, for any employee otherwise entitled to the State minimum wage, who performs at least two (2) hours of work in a calendar week within the geographic boundaries of the City, CONSULTANT shall pay such employees no less than the minimum wage set forth in Palo Alto Municipal Code Section 4.62.030 for each hour worked within the geographic boundaries of the City of Palo Alto. In addition, CONSULTANT shall post notices regarding the Palo Alto Minimum Wage Ordinance in accordance with Palo Alto Municipal Code Section 4.62.060. SECTION 25. NON-APPROPRIATION. This Agreement is subject to the fiscal provisions of the Charter of the City of Palo Alto and the Palo Alto Municipal Code, as amended from time to time. This Agreement will terminate without any penalty (a) at the end of any fiscal year in the event that funds are not appropriated for the following fiscal year, or (b) at any time within a fiscal year in the event that funds are only appropriated for a portion of the fiscal year and funds for this Agreement are no longer available. This Section shall take precedence in the event of a conflict with any other covenant, term, condition, or provision of this Agreement. SECTION 26. PREVAILING WAGES AND DIR REGISTRATION FOR PUBLIC WORKS CONTRACTS. 26.1. This Project is not subject to prevailing wages and related requirements. CONSULTANT is not required to pay prevailing wages and meet related requirements under the California Labor Code and California Code of Regulations in the performance and implementation of the Project if the contract: (1) is not a public works contract; (2) is for a public works construction project of $25,000 or less, per California Labor Code Sections 1782(d)(1), 1725.5(f) and 1773.3(j); or (3) is for a public works alteration, demolition, repair, or maintenance project of $15,000 or less, per California Labor Code Sections 1782(d)(1), 1725.5(f) and 1773.3(j). SECTION 27. CLAIMS PROCEDURE FOR “9204 PUBLIC WORKS PROJECTS”. For purposes of this Section 27, a “9204 Public Works Project” means the erection, construction, alteration, repair, or improvement of any public structure, building, road, or other public improvement of any kind. (Cal. Pub. Cont. Code § 9204.) Per California Public Contract Code Section 9204, for Public Works Projects, certain claims procedures shall apply, as set forth in Exhibit F, entitled “Claims for Public Contract Code Section 9204 Public Works Projects”. This Project is not a 9204 Public Works Project. SECTION 28. CONFIDENTIAL INFORMATION. 28.1. In the performance of this Agreement, CONSULTANT may have access to CITY’s Confidential Information (defined below). CONSULTANT will hold Confidential Information in strict confidence, not disclose it to any third party, and will use it only for the Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 10 of 57 performance of its obligations to CITY under this Agreement and for no other purpose. CONSULTANT will maintain reasonable and appropriate administrative, technical and physical safeguards to ensure the security, confidentiality and integrity of the Confidential Information. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to its employees, agents and subcontractors, if any, to the extent they have a need to know in order to perform CONSULTANT’s obligations to CITY under this Agreement and for no other purpose, provided that the CONSULTANT informs them of, and requires them to follow, the confidentiality and security obligations of this Agreement. 28.2. “Confidential Information” means all data, information (including without limitation “Personal Information” about a California resident as defined in Civil Code Section 1798 et seq., as amended from time to time) and materials, in any form or media, tangible or intangible, provided or otherwise made available to CONSULTANT by CITY, directly or indirectly, pursuant to this Agreement. Confidential Information excludes information that CONSULTANT can show by appropriate documentation: (i) was publicly known at the time it was provided or has subsequently become publicly known other than by a breach of this Agreement; (ii) was rightfully in CONSULTANT’s possession free of any obligation of confidence prior to receipt of Confidential Information; (iii) is rightfully obtained by CONSULTANT from a third party without breach of any confidentiality obligation; (iv) is independently developed by employees of CONSULTANT without any use of or access to the Confidential Information; or (v) CONSULTANT has written consent to disclose signed by an authorized representative of CITY. 28.3. Notwithstanding the foregoing, CONSULTANT may disclose Confidential Information to the extent required by order of a court of competent jurisdiction or governmental body, provided that CONSULTANT will notify CITY in writing of such order immediately upon receipt and prior to any such disclosure (unless CONSULTANT is prohibited by law from doing so), to give CITY an opportunity to oppose or otherwise respond to such order. 28.4. CONSULTANT will notify City promptly upon learning of any breach in the security of its systems or unauthorized disclosure of, or access to, Confidential Information in its possession or control, and if such Confidential Information consists of Personal Information, CONSULTANT will provide information to CITY sufficient to meet the notice requirements of Civil Code Section 1798 et seq., as applicable, as amended from time to time. 28.5. Prior to or upon termination or expiration of this Agreement, CONSULTANT will honor any request from the CITY to return or securely destroy all copies of Confidential Information. All Confidential Information is and will remain the property of the CITY and nothing contained in this Agreement grants or confers any rights to such Confidential Information on CONSULTANT. 28.6. If selected in Section 30 (Exhibits), this Agreement is also subject to the terms and conditions of the Information Privacy Policy and Cybersecurity Terms and Conditions. SECTION 29. MISCELLANEOUS PROVISIONS. 29.1. This Agreement will be governed by California law, without regard to its conflict of law provisions. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 11 of 57 29.2. In the event that an action is brought, the parties agree that trial of such action will be vested exclusively in the state courts of California in the County of Santa Clara, State of California. 29.3. The prevailing party in any action brought to enforce the provisions of this Agreement may recover its reasonable costs and attorneys’ fees expended in connection with that action. The prevailing party shall be entitled to recover an amount equal to the fair market value of legal services provided by attorneys employed by it as well as any attorneys’ fees paid to third parties. 29.4. This Agreement, including all exhibits, constitutes the entire and integrated agreement between the parties with respect to the subject matter of this Agreement, and supersedes all prior agreements, negotiations, representations, statements and undertakings, either oral or written. This Agreement may be amended only by a written instrument, which is signed by the authorized representatives of the parties and approved as required under Palo Alto Municipal Code, as amended from time to time. 29.5. If a court of competent jurisdiction finds or rules that any provision of this Agreement is void or unenforceable, the unaffected provisions of this Agreement will remain in full force and effect. 29.6. In the event of a conflict between the terms of this Agreement and the exhibits hereto (per Section 30) or CONSULTANT’s proposal (if any), the Agreement shall control. In the event of a conflict between the exhibits hereto and CONSULTANT’s proposal (if any), the exhibits shall control. 29.7. The provisions of all checked boxes in this Agreement shall apply to this Agreement; the provisions of any unchecked boxes shall not apply to this Agreement. 29.8. All section headings contained in this Agreement are for convenience and reference only and are not intended to define or limit the scope of any provision of this Agreement. 29.9. This Agreement may be signed in multiple counterparts, which, when executed by the authorized representatives of the parties, shall together constitute a single binding agreement. SECTION 30. EXHIBITS. Each of the following exhibits, if the check box for such exhibit is selected below, is hereby attached and incorporated into this Agreement by reference as though fully set forth herein: EXHIBIT A: SCOPE OF SERVICES EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER EXHIBIT B: SCHEDULE OF PERFORMANCE EXHIBIT C: COMPENSATION EXHIBIT C-1: SCHEDULE OF RATES EXHIBIT D: INSURANCE REQUIREMENTS EXHIBIT E: INFORMATION PRIVACY POLICY Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 12 of 57 EXHIBIT F: CYBERSECURITY TERMS AND CONDITIONS THIS AGREEMENT IS NOT COMPLETE UNLESS ALL SELECTED EXHIBITS ARE ATTACHED. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 13 of 57 CONTRACT No. C25191690 SIGNATURE PAGE IN WITNESS WHEREOF, the parties hereto have by their duly authorized representatives executed this Agreement as of the date first above written. CITY OF PALO ALTO ____________________________ City Manager APPROVED AS TO FORM: __________________________ City Attorney or designee INFOSEND, INC. Officer 1 By: ________________________________ Name: ______________________________ Title: _______________________________ Officer 2 By: ________________________________ Name: ______________________________ Title: _______________________________ Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Russ Rezai President CEO Mahmood Rezai Professional Services Rev. Oct 16,2024 Page 14 of 57 EXHIBIT A SCOPE OF SERVICES CONSULTANT shall provide the Services detailed in this Exhibit A, entitled “SCOPE OF SERVICES”. Notwithstanding any provision herein to the contrary, CONSULTANT’s duties and services described in this Scope of Services shall not include preparing or assisting CITY with any portion of CITY’s preparation of a request for proposals, request for qualifications, or any other solicitation regarding a subsequent or additional contract with CITY. CITY shall at all times retain responsibility for public contracting, including with respect to any subsequent phase of this project. CONSULTANT’s participation in the planning, discussions, or drawing of project plans or specifications shall be limited to conceptual, preliminary, or initial plans or specifications. CONSULTANT shall cooperate with CITY to ensure that all bidders for a subsequent contract on any subsequent phase of this project have access to the same information, including all conceptual, preliminary, or initial plans or specifications prepared by CONSULTANT pursuant to this Scope of Services. 2.1 BILL RE-DESIGN CONSULTANT shall offer bill redesign services with the goals of improving the ability to find information, increase the ability to read and use the bill, show payment plans, and maximize communication between the City of Palo Alto and its utility customers. It should be a value-added service or an additional alternate to the proposal for purchase at a later date. Pricing should reflect the cost for the service as an alternate, or value add, immediately and be valid for 90 days from the closing date of the proposal. CONSULTANT should include pricing for the service at 6 months and at 12 months from the execution of the contract. 2.2 POSTAGE RATE All postage costs will be incurred initially by the Service Provider and billed at cost to the City of Palo Alto monthly. The CONSULTANT will provide a monthly manifest detailing the total bills printed, mailed and the dollars billed to the City for postage services. 2.3 DATA PROCESSING The CONSULTANT shall provide comprehensive data processing services, including securely transferring print XML files via SFTP for processing, and reading, processing, and printing data from these files. The CONSULTANT must validate data by checking balances and addresses on each invoice, identify any data mismatches, and provide detailed reports on discrepancies. The CONSULTANT must accept multiple XML files for reprocessing after error corrections and enable users to log in to verify invoices in the repository. Additionally, users should be able to upload documents or inserts, select which to send with invoices and store historical details of these documents. The CONSULTANT must distinguish between residential and commercial invoices, prevent duplicate file processing, and allow users to delete invoices with appropriate access controls. All bills, including nightly XML files and corrected XMLs, must be generated, vaulted, and made available for processing and review on the same day. 2.4 BILL PRINTING The CONSULTANT shall configure the remittance stub to ensure compatibility with remittance processing equipment and software. The CONSULTANT must be capable of printing bills in the requested color and format and consolidating multiple bills for the same address. The Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 15 of 57 CONSULTANT should also print additional requested documents, distinguish between electronic and paper bills, and attach the Utilities and Community Announcements (UCA) to vaulted bills. The CONSULTANT is required to print and mail the UCA and bill inserts along with the customer's bill, print graphs, charts, barcodes, and tables, and support double-sided or single-sided printing. They must also handle various fonts, font sizes, and special characters, and suppress or pull bills based on utility rules or requests. Additionally, the CONSULTANT must provide a National Change of Address (NCOA) or Address Change Service (ACS) Move update report, including customer name, account number, previous address, and updated address. 2.5 PORTAL The CONSULTANT's portal must allow users to select bills by invoice number, contract account, date range, or address, and download multiple invoices simultaneously. Users should also be able to email invoices as required. Additionally, it should offer reporting capabilities, ad hoc document upload, bill insert upload, and exception handling processes. The portal must display daily job progress and updates, retain data for up to 10 years, and provide bills in PDF format with all logos, images, graphs, and charts for archived documents. 2.6 MATERIALS The CONSULTANT will use the following paper stock: paper is 8.5” x 11”, with perforation for the return stub, 24# white paper stock, . Outbound envelope will be #10 window envelope (9.5” x 4.125”); Return envelope will be #9 (8.875” x 3.875”)The CONSULTANT must provide the ability to print inserts, newsletters, or other notices to be included with regular mailings. The CONSULTANT must be able to perform intelligent/selective inserting based on customer type or other parameters provided in the data (i.e residential customers, commercial customers). The CONSULTANT must be able to optionally print 8.5x11” inserts “on demand”. These inserts must print inline with the bills and letters as additional pages and folded and inserted by the mail inserter instead of being printed and folded separately. On demand insert printing should be available to support simplex and duplex printing, black or grayscale printing, and full-color printing. 2.7 PRINTING REQUIREMENTS The city requires the bill inserts be 100% recycled paper content according to the environmental purchasing policy (POLICY AND PROCEDURES 1-20/ASD), where possible. The following requirements apply to all City print and copy jobs executed under this contract: CONSULTANT shall use paper that is 100% recycled/recyclable where possible for offline printed inserts. CONSULTANT shall recycle, at a minimum, waste paper from their operations. CONSULTANT shall use waste minimization practices in providing services to the City su ch as double-siding print and copy jobs, reducing and reusing packing and packaging supplies, and sizing print jobs to reduce overage. Other measures such as those outlined in the Environmental Purchasing Policy. CONSULTANT shall stock and utilize frequently used paper grades that contain the minimum recycled content for each paper category as outlined in the United States Environmental Protection Agency (EPA) Comprehensive Procurement Guidelines (CPG) for printing and writi ng papers (https://www.epa.gov/smm/comprehensive-procurement-guidelines-paper-and-paper- products). These guidelines specify minimum post-consumer and recovered fiber content and are summarized in the table below. CONSULTANT is responsible for ensuring that print and copy Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 16 of 57 jobs are in compliance with the current CPG standard. Post- Consumer and Recovered Fiber Specification Summary Table Item Notes Specification Multi-purpose office paper Business papers such as bond, electrostatic, copy, duplicator, and reproduction CPG Standard of  minimum 30% post-consumer recycled content Offset Used for commercial printing direct mail, technical documents, and manuals CPG Standard of  minimum 30% post-consumer recycled content Carbonless Used for multiple-impact copy forms CPG Standard of  minimum 30% post-consumer recycled content Specialty Papers Business papers such as bond, electrostatic, copy, duplicator, and reproduction CPG Standard of  minimum 30% post-consumer recycled content Coated Printing Papers Used for flyers, advertisements, posters, magazines, etc. CPG Standard of  minimum 10% post-consumer recycled content Note: If minimum requirements stated above are unavailable to certain print products, CONSULTANT shall not deviate from these specifications without prior approval from the City department. CONSULTANT will label recycled-content print products as such whenever possible. Letterhead, envelopes, and business cards will include post-consumer recycled content and be labeled with the % post-consumer recycled content. Workmanship Expectations: All work shall be completed in a satisfactory, efficient, and professional manner utilizing high quality standards. All composition must be neat and produce a clear, clean, sharp, and even impression. Materials shall be returned at no cost to the City, if typesetting is incorrect, ink colors are inconsistent, or trapping is not correct. The CONSULTANT shall be responsible for corrections and revisions resulting from its own errors or misunderstandings. 2.8 INTERFACE The CONSULTANT must support third-party integrations, allowing the SEW portal to retrieve invoices for customer accounts and integrate with the IC web. The system should integrate with the SAP IS-U system and handle 50 concurrent requests to the portal for invoice PDFs from MyCPAU and SAP IC-Web. Retrieval and rendering of invoices in the portal should not exceed four seconds. 2.9 PRINT REVIEW Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 17 of 57 The CONSULTANT should enable the utility to review and approve sample bills online before printing and mailing, including a summary report detailing the number of bills, residential vs. commercial, and other specified requirements. 2.10 USPS PRESORT AND MAIL Bills should be mailed the next business day they are received, processed and printed. The CONSULTANT must use a DMU or be enrolled in USPS Seamless Acceptance, mail via presorted First-Class mail, and use the USPS Full-service Intelligent Mail Barcode. Automation discounts must be passed on to the agency, and the CONSULTANT must provide NCOALink or ACS move update services. The CONSULTANT should offer proof of USPS delivery, match multiple bills to the same address, prepay the postage, and provide outbound USPS tracking data. The CONSULTANT must produce mail proximate to the Agency to achieve within 1-2 days delivery and produce/deliver from a California facility. 2.11 INFRASTRUCTURE The CONSULTANT must provide a test site to verify new changes during the contract period and support changes either by the CONSULTANT or users as required, including format, logo, or address changes. The CONSULTANT should at least have three environments Dev, Test, and Prod to support the software services. 2.12 REPORTING The CONSULTANT must generate reports delineating the daily count of residential versus commercial invoices, the number of bills received for processing, the number of bills printed, the instances of suppressions, the breakdown of postage presort including actual rates, the utilization and count of inserts, and the total monetary value of bills contained within the data file. Additionally, the CONSULTANT is mandated to implement robust error reporting mechanisms throughout various stages of the operation, including file processing, bill printing, posting, and any other relevant processes. These reporting requirements are crucial for ensuring accountability, transparency, and adherence to regulatory standards within the context of the data processing services sought through this RFP. 2.13 DATA CONVERSION/MIGRATION The CONSULTANT should store data for the last five years from the existing vault, making it available for users to download, email, or interface with other systems. Bills must be available in PDF format with all logos, images, graphs, and charts for archived documents. 2.14 USER MANAGEMENT The CONSULTANT's portal should define different user roles and allow actions per role, supporting approximately 75 concurrent users at a minimum. 2.15 CUSTOMER SUPPORT CONSULTANT customer support must be available for user access issues and data/file processing errors, with access via portal, email, or phone. Post-go-live support must include 30 days of immediate support with documented problem tracking and status. The CONSULTANT should provide ongoing support options and associated pricing. 2.16 PROJECT MANAGEMENT The CONSULTANT shall list the scope of work, assigning responsibility to the City or Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 18 of 57 CONSULTANT, ongoing project management must include activities ensuring compliance with contract terms, ongoing coordination, weekly status meetings, updated project schedules, monthly status reports, milestone plans, and necessary project meetings. The CONSULTANT must also create and maintain an issue log for each project phase/task. 2.17 BACKUP The CONSULTANT must have a daily backup available in case of server issues, with a written procedure for restoring services in the event of failure. 2.18 TEST AND TRAINING The CONSULTANT must have a daily backup available in case of server issues, with a written procedure for restoring services in the event of failure. 2.19 PRIVACY COMPLIANCE Data must be housed in the US or Canada. The CONSULTANT shall list their data centers. The CONSULTANT must complete a CONSULTANT Information Security Assessment (VISA) and comply with the City’s Information and Privacy Policy, SaaS Security and Privacy Terms, and provide applicable compliance documents. 2.20 ERROR HANDLING The CONSULTANT must monitor daily file processing and track errors, notifying users and deciding on the best course of action. 2.21 SECURITY COMPLIANCE The CONSULTANT must describe alignment with ISO 27001 or NIST 800-53 standards. The CONSULTANT shall describe the process of data encryption used in transit (via Network media) and at rest. 2.22 DISASTER RECOVERY AND BUSINESS CONTINUITY The CONSULTANT must provide an overview and written document of their DRBC planning. 2.23 SERVICE LEVEL AGREEMENT (SLA) The CONSULTANT must provide an SLA agreement, which will be reviewed and re-negotiated upon contract renewal, clearly defining terms between the CONSULTANT and the department and between IT and the CONSULTANT. 2.24 OPEN DATA AND DATA LIBERATION All system data must be exportable and machine-readable, including metadata. The City will own the data under a hosting agreement, and the CONSULTANT must provide a transition plan in the event we discontinue services within 5 years or at the end of the contract term with roles, responsibilities, and associated costs. 2.25 QUALITY CONTROL The CONSULTANT must provide a comprehensive Quality Control Plan ensuring error-free data, printing and mailing processes. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 19 of 57 2.26 SYSTEM CAPABILITY The CONSULTANT must detail their system's capability to handle changes such as updates to PO Boxes or mailing addresses, specifying the process for updating this information. Additionally, they must differentiate between changes that users can independently execute and those requiring CONSULTANT intervention. Furthermore, CONSULTANTs must outline existing validation processes within their system and any anticipated new validation requirements for the project, providing details on their integration. The CONSULTANT purchases the postage needed to mail THE City’s documents on the day of mailing. The postage charges are later invoiced to the City based on the City’s payment terms. The CONSULTANT requires the City to submit a postage deposit prior to the first mailing to facilitate the payment terms. This amount will remain in deposit for the duration of the Agreement. Upon Agreement expiration or termination the City must pay in full any outstanding invoices from the CONSULTANT for payables created under this Agreement; the postage deposit will be refunded within fifteen (15) days of the date that the last open invoice is paid. The postage deposit amount is calculated by multiplying the estimated number of mail pieces per month by the current 5-Digit pre-sorted first class postage rate. The postage deposit amount due is: 31,000 mail pieces per month x $0.545 x 2 = $33,790.00 The postage deposit is subject to ongoing review and may be adjusted at any time to account for changes to Client average mailing volume or changes to USPS postage rates with at least thirty (30) days’ written notice to Client. 1 DATA PROCESSING 1.1 CONSULTANT should be able to SFTP the print XML file for processing Mandatory 1.2 CONSULTANT should be able to read ,process and print the data from XML file Mandatory 1.3 CONSULTANT should be able to validate the data by checking the balances,address per invoice on the XML Mandatory 1.4 CONSULTANT should be able to identify any data mismatches and send a report for the same Mandatory 1.5 CONSULTANT should have the ability to accept multiple XML's for reprocessing after error correction Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 20 of 57 1.6 CONSULTANT should have the ability for users to login and verify the invoices in the repository Mandatory 1.7 CONSULTANT should have the ability for user to upload documents or inserts and choose the one to be sent along with the invoices. Mandatory 1.8 CONSULTANT should have the ability to store historical details for the uploaded documents and inserts Mandatory 1.9 CONSULTANT must identify residential vs commercial invoices and process them accordingly. Mandatory 1.10 CONSULTANT system should be able to identify duplicate files and avoid any duplicate file processing Mandatory 1.11 CONSULTANT system should have the ability to allow users to delete any invoice as required (Requires access controls) Mandatory 1.12 Bills ( Nighlty XML and the corrected XML's) should be generated ,vaulted and available on the same day for processing and review Mandatory 2 REPORTING 2.1 CONSULTANT should have the ability to generate the reports with the a) daily count residential vs commercial; b)Number of bills received for processing c)Number of bills printed d)Number of suppressions e)Postage presort breakdown including actual rates f)Inserts used and insert counts g)Total $ value of bills contained in data file Mandatory 2.2 Reporting be by route as well Nice to have 2.3 CONSULTANT should have error reporting during file processing , bill printing, posting etc., Mandatory 3 BILL PRINTING 3.1 CONSULTANT must configure remittance stub making sure it works with remittance processing equipment and software Mandatory 3.2 CONSULTANT should have the ability to print bills in color and format requested Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 21 of 57 3.3 CONSULTANT should have the ability to identify and combine multiple bills going to the same addresses Mandatory 3.4 CONSULTANT should have the ability to print any additional documents as requested. Mandatory 3.5 CONSULTANT should have the ability to identify ebills vs paper and print only paper bills Mandatory 3.6 CONSULTANT should have the ability to attach the UCA to the vaulted bills Mandatory 3.7 CONSULTANT should print and mail UCA and bill inserts along with customer's bill Mandatory 3.8 CONSULTANT should be able to print graphs, charts,barcodes, tables as required Mandatory 3.9 CONSULTANT should be able to print either double sided/ one sided Mandatory 3.10 CONSULTANT should have the ability to print multiple fonts , font sizes and special characters as required Mandatory 3.11 CONSULTANT should have the ability to suppress or pull bills based on utilitiy rules or requests (for ex : no prints for ebills or bill generated in error etc) Mandatory 3.12 CONSULTANT must provide an National Change of Address (NCOA) or Address Change Service (ACS) Move update report that includes customer name, account number, previous address, updated (new) address Nice to have 4 PORTAL 4.1 CONSULTANT portal should have the ability to allow users to select bills either by a) invoice number b) Contract Account c) Date range d) Address Mandatory 4.2 CONSULTANT should have the ability for users to download multiple invoices in one step Mandatory 4.3 Users should have the ability to email the invoices as required Must have 4.4 Portal should have change control and change history available for all additions, changes and deletions performed on the bills. Mandatory 4.5 Portal should have reporting capabilities Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 22 of 57 4.6 Portal should have adhoc document upload, bill insert upload and exception handling processes Mandatory 4.7 Portal should display daily job progress, updates etc., Mandatory 4.8 CONSULTANT should have data retention of upto 10 years of data Mandatory 4.9 Bills should be available in pdf format with all the logos, images,graphs and charts for all the archived documents Mandatory 5 INTERFACE 5.1 CONSULTANT should have the ability to allow 3 party integrations. ( Allow SEW portal to retrieve invoices to display on customer's account as well as integrate with IC web ) Mandatory 5.2 CONSULTANT system should integrate with SAP IS-U system Mandatory 5.3 Should be able to process 50 concurrent requests to the portal for invoice PDFs from the City’s MyCPAU and SAP IC-Web (due to the expected integration between MyCPAU/SAP IC-Web and the new CONSULTANT’s portal) Mandatory 5.4 Retrieval and rendering of invoices in the portal should take no longer than 4 seconds. Mandatory 6 CHANGE REQUIREMENTS 6.1 CONSULTANT should have a test site to verify any new changes implemented during the duration of the contract Mandatory 6.2 CONSULTANT should have the ability and support available to perform changes either by CONSULTANT or user as required ; Changes for example in format or logo or address Mandatory 7 DATA CONVERSION / MIGRATION 7.1 CONSULTANT should be able to store data for the last 5years from the existing vault and available for users to download or email as required and also available for interfaces Mandatory 7.2 Bills should be available in pdf format with all the logos, images,graphs and charts for all the archived documents Mandatory 8 USER MANAGEMENT Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 23 of 57 8.1 CONSULTANT portal should have the ability to define different user roles and option to choose the actions per role Mandatory 8.2 Portal should support approximately 75 concurrent users (minimum) Mandatory 9 CUSTOMER SUPPORT 9.1 CONSULTANT customer support should be available for any user access issues. Data and file processing errors. Mandatory 9.2 User should be able to reach customer service via portal or email or phone Mandatory 9.3 After go live support: 30 days fire-fighting support after go live with documented problems tracking and status 9.4 On-going CONSULTANT support: The CONSULTANT shall provide their different support options and its associated pricing 10 ERROR HANDLING 10.1 CONSULTANT should monitor file processing on each day and keep track of any errors in file processing Mandatory 10.2 CONSULTANT should have the ability to track , identify errors. Mandatory 10.3 CONSULTANT should notify users of the errors and decide on the best course of action for the file Mandatory 11 PRINT REVIEW 11.1 CONSULTANT should provide the ability for the utility to review and approve sample bills onlince before bills are printed and mailed. A report summary should be included detailing number of bills, res vs commercial and other spcified utility requirements. Mandatory 12 PROJECT IMPLEMENTATION 12.1 Listed scope of work with assigned responsibility to City or CONSULTANT. Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 24 of 57 12.2 Ongoing Project Management: This will include project management activities and ensure the full compliance with the contract scope of work, terms and conditions, ongoing project coordination, weekly status meetings, weekly updated project schedule, ongoing project coordination, weekly status meetings, weekly updated project schedule, monthly status reports and project meetings as appropriate. Mandatory 12.3 Project meetings: Coordinate, prepare and actively participate in meetings related to tasks. Prepare and distribute agendas and minutes for the meetings. Anticipate weekly ½ hour status meetings, in addition to whatever meetings are necessary to the completion of tasks. This task will also include creating and maintaining an issue log for each phase/task of the project. Mandatory 12.4 Project Schedule: The CONSULTANT must create a project schedule with tasks and project milestone dates which will be tracked throughout the project. Mandatory 12.5 CONSULTANTs must describe their proposed project management tools and their proposed tools and approach for managing project documentation. Mandatory 12.6 Training Plan: The CONSULTANT shall produce a Training Plan to include specific training activities and a training schedule. It will be structured to provide initial training to staff designated by the City. Mandatory 12.7 Staff Training: The CONSULTANT will provide training to staff designated by the City. The CONSULTANT shall deliver all training materials used in the training to the City when all planned training is completed. Mandatory 12.8 Key Team Members: CONSULTANT must demonstrate the expertise of each key team member proposed for this project. The CONSULTANTCONSULTANT must describe the role of each key member and provide the following: 1. Resume of each key team member Mandatory 13 BACKUP 13.1 CONSULTANT should have backup available in case of any server issues Mandatory 13.2 Data should be backedup on a daily basis Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 25 of 57 13.3 The CONSULTANT shall provide a written procedure of possible points of failure to restore the proposed solution back to service in the event of failure Mandatory 14 MATERIALS 14.1 CONSULTANT must support the following paper stock: <paper is 8.5” x 11”, with perforation for the return stub, 24# white paper stock, > Mandatory 14.2 CONSULTANT must be able to provide: Outbound envelope will be #10 window envelope (9.5” x 4.125”) envelope with security tint ; Return envelope will be #9 (8.875” x 3.875”) Mandatory 14.3 If envelopes are obtained from a 3rd party, CONSULTANT must describe its approach to mitigating supply chain issues and price spikes. Mandatory 14.4 CONSULTANT must provide the ability to print inserts, newsletters or other notices to be included with regular mailings. Mandatory 14.5 CONSULTANT must agree to receive shipments of inserts and store/warehouse all forms and envelopes used to process agency bills. Mandatory 14.6 CONSULTANT must be able to perform intelligent/selective inserting based on customer type or other parameters provided in the data. Mandatory 14.7 CONSULTANT must be able to optionally print 8.5x11” inserts “on demand”. These inserts must print inline with the bills and letters as additional pages and folded and inserted by the mail inserter instead of being printed and folded separately. On demand insert printing should be available to support simplex and duplex printing, black or grayscale printing, and full color printing. Mandatory 15 USPS PRESORT AND MAIL 15.1 Bills should be mailed the next day the XML is processed and printed Mandatory 15.2 CONSULTANT must either produce and deliver mail to the USPS from a DMU (Detached Mail Unit), or be enrolled in USPS Seamless Acceptance. Mandatory 15.3 CONSULTANT must mail via presorted First-Class mail to maximize postal discounts. Mandatory 15.4 CONSULTANT must use the USPS Full-service Intelligent Mail Barcode for all outgoing mail pieces. Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 26 of 57 15.5 CONSULTANTs must pass on the automation discount per mail piece applied by the USPS for all Full-service IMB barcoded mail pieces. Mandatory 15.6 CONSULTANT must provide the NCOALink or ACS move update service and report updates electronically. Mandatory 15.7 CONSULTANT must be able to provide proof of delivery to the USPS on an as-requested basis. Mandatory 15.8 CONSULTANT must be able to match multiple bills destined to the same customer and mailing address in the same batch (also known as “house-holding”). Matched bills must be inserted into one appropriate size envelope and metered first-class separately, and delivered to the USPS at the same time as all other bills are delivered. Mandatory 15.9 CONSULTANT must prepay for postage on agency behalf and confirm the agency will only be billed for actual postage used on a monthly basis. Mandatory 15.10 CONSULTANT must be able to optionally provide outbound USPS tracking data for individual mail pieces. Mandatory 15.11 CONSULTANT must provide an interface in its online account management portal to facilitate searching for and viewing tracking data for individual mail pieces. The tracking data source must come from the USPS (IMb Tracing data). Mandatory 15.12 CONSULTANT must be able to optionally provide inbound USPS tracking data for mail that customers have remit back to the Agency. This data must be viewable in an online interface and tie back to the outbound mail piece. In addition, the CONSULTANT must be able to report a total balance for the estimated payments contained in the remitted mail on a daily basis. Mandatory 15.13 CONSULTANT must produce the mail in a location proximate to the Agency that is able to achieve 1-3 day delivery from the USPS. Mandatory 15.14 CONSULTANT must produce and deliver to the USPS from a California facility. Mandatory 16 BID REQUIREMENT Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 27 of 57 16.1 Listed scope of work with assigned responsibility to City or CONSULTANT Mandatory 16.2 Detailed proposed schedule with estimated dates and milestones Mandatory 17 TEST AND TRAINING REQUIREMENT 17.1 The CONSULTANT shall provide Curriculum for UAT Mandatory 17.2 The CONSULTANT shall provide UAT test scripts Mandatory 17.3 The CONSULTANT shall provide Training curriculum for end-users Mandatory 17.4 The CONSULTANT shall provide Training curriculum for administrators Mandatory 17.5 The CONSULTANT shall provide post training and support documentation Mandatory 17.6 The CONSULTANT shall provide a point of contact for training follow-up Mandatory 18 SAAS REQUIREMENT 18.1 Data shall be housed in the US and/or Canada soil Mandatory 18.2 The CONSULTANT shall provide a list of their data centers Mandatory 19 PRIVACY COMPLIANCE 19.1 The CONSULTANT shall complete CONSULTANT Information Security Assessment (VISA), and acknowledge and agree to comply with the additional security compliance requirements resulting from the VISA (See attachment G) Mandatory 19.2 The CONSULTANT shall formally acknowledge and agree to comply with the City’s Information and Privacy Policy (See attachment G) Mandatory 19.3 CONSULTANT shall formally acknowledge and agree to comply with the City’s Saas Security and Privacy Terms and Conditions prior to entering into the contract (See attachment G) Mandatory 19.4 CONSULTANT shall agree to provide applicable compliance documents as required by the product/solution being purchased Mandatory 20 SECURITY COMPLIANCE 20.1 The CONSULTANT shall describe how the proposed system aligns with either: ISO 27001 (Information Security Management Systems) or NIST 800-53 Standards (Security and Privacy Controls for Information Systems) Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 28 of 57 20.2 The CONSULTANT shall describe the process of data encryption used in transit (via Network media) Mandatory 20.3 The CONSULTANT shall describe the process of data encryption used at rest (when stored on the server and at the backup stations) Mandatory 21 DISASTER RECOVERY AND BUSINESS CONTINUITY 21.1 Cloud application: The CONSULTANT shall provide an overview, written document of their DRBC planning Mandatory 22 SERVICE LEVEL AGREEMENT 22.1 SLA will be reviewed and re-negotiated when the contract is up for renewal Mandatory 22.2 SLA between the CONSULTANT and the department must be clearly defined using the CONSULTANT’s template. Mandatory 22.3 SLA between IT and the CONSULTANT must be clearly defined using the CONSULTANT’s template. Mandatory 24 OPEN DATA REQUIREMENT 24.1 All system data should be exportable and machine readable to support open data environment. Mandatory 24.2 Exportable data should include metadata (set of data that describes and gives information about other data) Mandatory 25 DATA LIBERATION 25.1 The City will own the data under a hosting agreement Mandatory 25.2 The CONSULTANT shall provide a transition plan (e.g., in the event we discontinue the service) with roles and responsibilities clearly defined and associated costs if any. Mandatory 26 QUALITY CONTROL 26.1 CONSULTANT must have in place and provide as part of the response a comprehensive Quality Control plan for ensuring the data, printing and mailing is error free. Please describe. Mandatory 27 System Capability Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 29 of 57 27.1 The CONSULTANT must detail their system's capability to handle changes such as updates to PO Boxes or mailing addresses, specifying the process for updating this information. Mandatory 27.2 The CONSULTANT must differentiate between changes that users can independently execute and those requiring CONSULTANT intervention. Mandatory 27.3 The CONSULTANTs must outline existing validation processes within their system and any anticipated new validation requirements for the project, providing details on their integration. Mandatory Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 30 of 57 Agreements with an Additional Services amount) EXHIBIT A-1 PROFESSIONAL SERVICES TASK ORDER CONSULTANT shall perform the Services detailed below in accordance with all the terms and conditions of the Agreement referenced in Item 1A below. All exhibits referenced in Item 8 are incorporated into this Task Order by this reference. CONSULTANT shall furnish the necessary facilities, professional, technical and supporting personnel required by this Task Order as described below. CONTRACT NO. OR PURCHASE ORDER REQUISITION NO. (AS APPLICABLE) 1A. MASTER AGREEMENT NO. (MAY BE SAME AS CONTRACT / P.O. NO. ABOVE): 1B. TASK ORDER NO.: 2. CONSULTANT NAME: 3. PERIOD OF PERFORMANCE: START: COMPLETION: 4 TOTAL TASK ORDER PRICE: $__________________ BALANCE REMAINING IN MASTER AGREEMENT/CONTRACT $_______________ 5. BUDGET CODE_______________ COST CENTER________________ COST ELEMENT______________ WBS/CIP__________ PHASE__________ 6. CITY PROJECT MANAGER’S NAME & DEPARTMENT:_____________________________________ 7. DESCRIPTION OF SCOPE OF SERVICES (Attachment A) MUST INCLUDE: ▪ SERVICES AND DELIVERABLES TO BE PROVIDED ▪ SCHEDULE OF PERFORMANCE ▪ MAXIMUM COMPENSATION AMOUNT AND RATE SCHEDULE (as applicable) ▪ REIMBURSABLE EXPENSES, if any (with “not to exceed” amount) 8. ATTACHMENTS: A: Task Order Scope of Services B (if any): _____________________________ I hereby authorize the performance of the work described in this Task Order. APPROVED: CITY OF PALO ALTO BY:____________________________________ Name __________________________________ Title___________________________________ Date ___________________________________ I hereby acknowledge receipt and acceptance of this Task Order and warrant that I have authority to sign on behalf of Consultant. APPROVED: COMPANY NAME: ______________________ BY:____________________________________ Name __________________________________ Title___________________________________ Date ___________________________________ Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 31 of 57 EXHIBIT B SCHEDULE OF PERFORMANCE All work as specified in Exhibit “A” Scope of Services shall be scheduled by the City’s Project Manager on an ongoing basis for the term of this agreement. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 32 of 57 EXHIBIT C COMPENSATION CITY agrees to compensate CONSULTANT for Services performed in accordance with the terms and conditions of this Agreement, and as set forth in the budget schedule below. Compensation shall be calculated based on the rate schedule attached as Exhibit C-1 up to the not to exceed budget amount for each task set forth below. CITY’s Project Manager may approve in writing the transfer of budget amounts between any of the tasks or categories listed below, provided that the total compensation for the Services, including any specified reimbursable expenses, and the total compensation for Additional Services (if any, per Section 4 of the Agreement) do not exceed the amounts set forth in Section 4 of this Agreement. CONSULTANT agrees to complete all Services, any specified reimbursable expenses, and Additional Services (if any, per Section 4), within this/these amount(s). Any work performed or expenses incurred for which payment would result in a total exceeding the maximum amount of compensation set forth in this Agreement shall be at no cost to the CITY. BUDGET SCHEDULE TASK NOT TO EXCEED AMOUNT Year 1 NOT TO EXCEED AMOUNT Year 2 NOT TO EXCEED AMOUNT Year 3 NOT TO EXCEED AMOUNT Year 4 NOT TO EXCEED AMOUNT Year 5 Task 1 (Utility Postage) $180,150 $198,165 $217,981.50 $239,779.65 $263,757.62 Task 2 (Postage Deposit) $33,790 Task 3 (Utilities Services) $21,600 $22,680 $23,820 $24,990 $26,250 Task 4 (Utilities Material $21,100 $22,155 $23,262.75 $24,425.89 $25,647.18 Task 5 (Archiving and Storage) $9,750 $10,237.50 $10,749.38 $11,286.84 $11,851.19 Task 6 (Bill Redesign) $10,500 Task 7 (Utilities Inserts) $45,000 $45,000 $45,000 $45,000 $45,000 Task 8 $45,000 $45,000 $45,000 $45,000 $45,000 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 33 of 57 (Public Works Inserts) Task 9 (City Manager Inserts) $42,000 $42,000 $42,000 $42,000 $42,000 Task 10 (Other Dept Inserts) $7,500 $7,500 $7,500 $7,500 $7,500 Sub-total for Services $416,390 $392,737.50 $415,313.63 $439,982.38 $467,005.99 Reimbursable Expenses (if any) $0 $0 $0 $0 $0 Total for Services and Reimbursable Expenses $416,390 $392,737.50 $415,313.63 $439,982.38 $467,005.99 Additional Services (if any, per Section 4) $41,639 $39,273.75 $41,531.36 $43,998.24 $46,700.60 Maximum Total Compensation $458,029 $432,011.25 $456,844.99 $483,980.62 $513,706.59 Total Maximum Compensation Year 1- Year 5 $2,344,572.45 REIMBURSABLE EXPENSES CONSULTANT’S ordinary business expenses, such as administrative, overhead, administrative support time/overtime, information systems, software and hardware, photocopying, telecommunications (telephone, internet), in-house printing, insurance and other ordinary business expenses, are included within the scope of payment for Services and are not reimbursable expenses hereunder. Reimbursable expenses, if any are specified as reimbursable under this section, will be reimbursed at actual cost. The expenses (by type, e.g. travel) for which CONSULTANT will be reimbursed are: NONE up to the not-to-exceed amount of: $0.00. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 34 of 57 EXHIBIT C-1 SCHEDULE OF RATES CONSULTANT’s schedule of rates is as follows: Print and Mail Quantity Fee Rate Data Processing Fee (includes print and eBill) 20,000-30,500 monthly .072 Print Fee 4/1 Included in above Paper 20,000-30,500 monthly .015 #10 Outgoing Envelope- InfoSend Standard 20,000-30,500 monthly .023 #9 Return Envelope- InfoSend Standard 20,000-30,500 monthly .020 Total Printed Package .130 Postage Quantity Fee Rate USPS Postage Estimate 20,000-30,500 monthly .593 (with an approximate 10% increase annual) NCOA Updates 625 .3 Postage deposit for Net 30 $33,245 Archive and Bill Presentment API Quantity Fee Rate Print Image Archive - 36 months retention for customer-facing portal 30,500 .021 Print Image Archive API connection 100 Drop Ship Print Quantity Fee Rate Folding Rate N/A .01 Insert Rate N/A .01 Service Hours Fee Rate Professional Service Rate Per hours $175 Design Service Rate Per hours $95 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 35 of 57 InfoSend Data Processing, Print and Mail Pricing Detail Year 1 Document Production Summary Utility Bills & Notices Package includes: one printed page up to 4/4 ink, InfoSend outgoing #10 envelope, InfoSend #9 return envelope $0.13 per document Utility Bills & Notices Package includes: one printed page up to 4/4 ink, custom printed outgoing #10 envelope, custom printed #9 return envelope $0.139 per document Finished mail pieces are delivered to the USPS within one (1) business day. If electronic PDF samples (proofs) are requested then the mailing will be completed within one day of sample approval. File upload deadline for next-day mailing is 3:00PM local time at the production facility designated for your account. If samples are required then they must be approved by 5:30PM local time for the file to be mailed by the next business day. The below provides the components of the summary price given above. All pricing is based on “Client Volume Assumptions” listed below and excludes applicable sales tax. Data Processing Setup Fee - Express PDF Input Files $Waived Setup Fee – Data Only Input Files $Waived Document Re-Design Fee $Waived during implementation Data Processing Fee (per document) $0.01 Printing and Mailing Service Utilility Bill Printing & Mailing Fee per Page with up to 4/4 Ink $0.062 USPS Postage Pass-through A postage deposit will be required prior to starting service. Print Color Options (colors per side) * $0.057 for up to 2/2 printing $0.062 for up to 4/4 printing Inline Insert Print Fee* $0.057 Black printing $0.062 Color printing Batch Fee (per mailing batch under 200 mail pieces) $5.00 Excess Pages Handwork Surcharge (per mail piece) $0.35 Address Updates – per “hit” (address that gets updated) $0.30 NCOA $0.30 ACS *Prices assume normal ink/toner coverage for business documents. Flood coating the entire page in color or other types of ext remely high coverage designs may cost more or not be technically feasible. Extremely high coverage designs can cause content to bleed through to the other side of the page or to cause the page to curl too much to work properly with high-speed mail inserting equipment. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 36 of 57 Materials Standard 8.5” x 11” Paper Stock (per sheet) $0.015 Standard Double Window Outgoing #10 Envelope $0.023 Standard Single Window Return #9 Envelope $0.020 Outgoing Flat Envelope – used for mail pieces with excess pages $0.17 Custom Printed Optional Outgoing #10 Envelope $0.027 Custom Printed Optional #9 Envelope $0.025 Insert Services InfoSend Produced Quoted based on specification Envelope Messaging (Snipes) Quoted based on specification Electronic Inserts $0.01 Inserting Fee Fee to insert an InfoSend produced or Client provided marketing or informational insert. Client provided (drop-shipped) inserts must be professionally packaged and ready for usage. If folding is required then additional fees apply based on folding requirements. Minimum fee is $0.01 per insert for folding. If inserts are not professionally packaged and damaged in shipment or require additional labor to prepare for inserting then additional fees can apply. Per item fee assumes the insert will be included in all mail pieces. Selective inserting is available but requirements must be reviewed on a case by case basis to determine if additional fees will apply for setup and handling. $0.01 per insert Optional Document Services Print Image Archiving (Per Document Image), with included USPS mail tracking $0.008 - For 12 Months of Retention $0.015 - For 24 Months of Retention $0.021 - For 36 Months of Retention $0.026 – For 48 Months of Retention $0.0325 – For 60 Months of Retention Print Image Archive API Monthly Support Fee $100.00 Final Doc Transfer (FDT) Option 1: $0.008 per document. One PDF will be provided per batch with multiple documents in it. InfoSend standard batch file format provides account and page numbers for each record in the batch. Option 2: $0.01 per document. Each document will be provided in a separate PDF file. A custom batch file format can be provided if the InfoSend standard format will not work. Professional Services Rate (per hour) $175.00 Returned Mail Handling $0.35 per reported returned mail piece Remit Tracking $50 monthly support fee Client Volume Assumptions Customers Contacted or Billed Monthly 30,000 - Printed Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 37 of 57 EXHIBIT D INSURANCE REQUIREMENTS CONSULTANTS TO THE CITY OF PALO ALTO (CITY), AT THEIR SOLE EXPENSE, SHALL FOR THE TERM OF THE CONTRACT OBTAIN AND MAINTAIN INSURANCE IN THE AMOUNTS FOR THE COVERAGE SPECIFIED BELOW, AFFORDED BY COMPANIES WITH AM BEST’S KEY RATING OF A-:VII, OR HIGHER, LICENSED OR AUTHORIZED TO TRANSACT INSURANCE BUSINESS IN THE STATE OF CALIFORNIA. AWARD IS CONTINGENT ON COMPLIANCE WITH CITY’S INSURANCE REQUIREMENTS AS SPECIFIED HEREIN. REQUIRED TYPE OF COVERAGE REQUIREMENT MINIMUM LIMITS EACH OCCURRENCE AGGREGATE YES YES WORKER’S COMPENSATION EMPLOYER’S LIABILITY STATUTORY STATUTORY STATUTORY STATUTORY YES GENERAL LIABILITY, INCLUDING PERSONAL INJURY, BROAD FORM PROPERTY DAMAGE BLANKET CONTRACTUAL, AND FIRE LEGAL LIABILITY BODILY INJURY PROPERTY DAMAGE BODILY INJURY & PROPERTY DAMAGE COMBINED. $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 YES AUTOMOBILE LIABILITY, INCLUDING ALL OWNED, HIRED, NON-OWNED BODILY INJURY - EACH PERSON - EACH OCCURRENCE PROPERTY DAMAGE BODILY INJURY AND PROPERTY DAMAGE, COMBINED $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 $1,000,000 YES PROFESSIONAL LIABILITY, INCLUDING, ERRORS AND OMISSIONS, MALPRACTICE (WHEN APPLICABLE), AND NEGLIGENT PERFORMANCE ALL DAMAGES $1,000,000 YES THE CITY OF PALO ALTO IS TO BE NAMED AS AN ADDITIONAL INSURED: CONSULTANT, AT ITS SOLE COST AND EXPENSE, SHALL OBTAIN AND MAINTAIN, IN FULL FORCE AND EFFECT THROUGHOUT THE ENTIRE TERM OF ANY RESULTANT AGREEMENT, THE INSURANCE COVERAGE HEREIN DESCRIBED, INSURING NOT ONLY CONSULTANT AND ITS SUBCONSULTANTS, IF ANY, BUT ALSO, WITH THE EXCEPTION OF WORKERS’ COMPENSATION, EMPLOYER’S LIABILITY AND PROFESSIONAL INSURANCE, NAMING AS ADDITIONAL INSUREDS CITY, ITS COUNCIL MEMBERS, OFFICERS, AGENTS, AND EMPLOYEES. I. INSURANCE COVERAGE MUST INCLUDE: A. A CONTRACTUAL LIABILITY ENDORSEMENT PROVIDING INSURANCE COVERAGE FOR CONSULTANT’S AGREEMENT TO INDEMNIFY CITY. II. THE CONSULTANT MUST SUBMIT CERTIFICATES(S) OF INSURANCE EVIDENCING REQUIRED COVERAGE AT THE FOLLOWING EMAIL: PURCHASINGSUPPORT@CITYOFPALOALTO.ORG III. ENDORSEMENT PROVISIONS WITH RESPECT TO THE INSURANCE AFFORDED TO ADDITIONAL INSUREDS: A. PRIMARY COVERAGE WITH RESPECT TO CLAIMS ARISING OUT OF THE OPERATIONS OF THE NAMED INSURED, INSURANCE AS AFFORDED BY THIS POLICY IS PRIMARY AND IS NOT ADDITIONAL TO OR CONTRIBUTING WITH ANY OTHER INSURANCE CARRIED BY OR FOR THE BENEFIT OF THE ADDITIONAL INSUREDS. Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 38 of 57 B. CROSS LIABILITY THE NAMING OF MORE THAN ONE PERSON, FIRM, OR CORPORATION AS INSUREDS UNDER THE POLICY SHALL NOT, FOR THAT REASON ALONE, EXTINGUISH ANY RIGHTS OF THE INSURED AGAINST ANOTHER, BUT THIS ENDORSEMENT, AND THE NAMING OF MULTIPLE INSUREDS, SHALL NOT INCREASE THE TOTAL LIABILITY OF THE COMPANY UNDER THIS POLICY. C. NOTICE OF CANCELLATION 1. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR ANY REASON OTHER THAN THE NON-PAYMENT OF PREMIUM, THE CONSULTANT SHALL PROVIDE CITY AT LEAST A THIRTY (30) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. 2. IF THE POLICY IS CANCELED BEFORE ITS EXPIRATION DATE FOR THE NON-PAYMENT OF PREMIUM, THE CONSULTANT SHALL PROVIDE CITY AT LEAST A TEN (10) DAY WRITTEN NOTICE BEFORE THE EFFECTIVE DATE OF CANCELLATION. EVIDENCE OF INSURANCE AND OTHER RELATED NOTICES ARE REQUIRED TO BE FILED WITH THE CITY OF PALO ALTO SENT TO THE FOLLOWING EMAIL: PURCHASINGSUPPORT@CITYOFPALOALTO.ORG Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 39 of 57 EXHIBIT E INFORMATION OF PRIVACY Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 40 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 41 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 42 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 43 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 44 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 45 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 46 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 47 of 57 EXHIBIT “F” CYBERSECURITY TERMS AND CONDITIONS In order to assure the privacy and security of the personal information of the City's customers and people who do business with the City, including, without limitation, CONSULTANTs, utility customers, library patrons, and other individuals and companies, who are required to share such information with the City, as a condition of receiving services from the City or selling goods and services to the City, including, without limitation, the Software as a Service services provider (the "Consultant") and its sub contractors, if any, including, without limitation, any Information Technology ("IT") infrastructure services provider, shall design, install, provide, and maintain a secure IT environment, described below, while it renders and performs the Services and furnishes goods, if any, described in the Statement of Work, Exhibit B, to the extent any scope of work implicates the confidentiality and privacy of the personal information of the City's customers. The Consultant shall fulfill the data and information security requirements (the "Requirements") set forth in Part A below. A "secure IT environment" includes (a) the IT infrastructure, by which the Services are provided to the City, including connection to the City's IT systems; (b) the Consultant's operations and maintenance processes needed to support the environment, including disaster recovery and business continuity planning; and (c) the IT infrastructure performance monitoring services to ensure a secure and reliable environment and service availability to the City. "IT infrastructure" refers to the integrated framework, including, without limitation, data centers, computers, and database management devices, upon which digital networks operate. In the event that, after the Effective Date, the Consultant reasonably determines that it cannot fulfill the Requirements, the Consultant shall promptly inform the City of its determination and submit, in writing, one or more alternate countermeasure options to the Requirements (the "Alternate Requirements" as set forth in Part B), which may be accepted or rejected in the reasonable satisfaction of the Information Security Manager (the "ISM"). Part A. Requirements: The Consultant shall at all times during the term of any contract between the City and the Consultant: (a) Appoint or designate an employee, preferably an executive officer, as the security liaison to the City with respect to the Services to be performed under this Agreement. (b) Comply with the City's Information Privacy Policy: (c) Have adopted and implemented information security and privacy policies that are documented, are accessible to the City, and conform to ISO 27001/2 – Information Security Management Systems (ISMS) Standards. See the following: http://www.iso.org/iso/home/store/catalogue_tc/catalogue_detail.htm?csnumber=42103 http://www.iso.org/iso/iso_catalogue/catalogue_tc/catalogue_detail.htm?csnumber=50297 (d) Conduct routine data and information security compliance training of its personnel that is appropriate to their role. (e) Develop and maintain detailed documentation of the IT infrastructure, including software versions and patch levels. (f) Develop an independently verifiable process, consistent with industry standards, for performing professional and criminal background checks of its employees that (1) would permit verification of Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 48 of 57 employees' personal identity and employment status, and (2) would enable the immediate denial of access to the City's confidential data and information by any of its employees who no longer would require access to that information or who are terminated. (g) Provide a list of IT infrastructure components in order to verify whether the Consultant has met or has failed to meet any objective terms and conditions. (h) Implement access accountability (identification and authentication) architecture and support role- based access control ("RBAC") and segregation of duties ("SoD") mechanisms for all personnel, systems, and Software used to provide the Services. "RBAC" refers to a computer systems security approach to restricting access only to authorized users. "SoD" is an approach that would require more than one individual to complete a security task in order to promote the detection and prevention of fraud and errors. (i) Assist the City in undertaking annually an assessment to assure that: (1) all elements of the Services' environment design and deployment are known to the City, and (2) it has implemented measures in accordance with industry best practices applicable to secure coding and secure IT architecture. (j) Provide and maintain secure intersystem communication paths that would ensure the confidentiality, integrity, and availability of the City's information. (k) Deploy and maintain IT system upgrades, patches and configurations conforming to current patch and/or release levels by not later than one (1) week after its date of release. Emergency security patches must be installed within 24 hours after its date of release. (l) Provide for the timely detection of, response to, and the reporting of security incidents, including on-going incident monitoring with logging. (m) Notify the City within one (1) hour of detecting a security incident that results in the unauthorized access to or the misuse of the City's confidential data and information. (n) Inform the City that any third party service provider(s) meet(s) all of the Requirements. (o) Perform security self-audits on a regular basis and not less frequently than on a quarterly basis, and provide the required summary reports of those self-audits to the ISM on the annual anniversary date or any other date agreed to by the Parties. (p) Accommodate, as practicable, and upon reasonable prior notice by the City, the City's performance of random site security audits at the Consultant's site(s), including the site(s) of a third-party service provider(s), as applicable. The scope of these audits will extend to the Consultant's and its third- party service provider(s)' awareness of security policies and practices, systems configurations, access authentication and authorization, and incident detection and response. (q) Cooperate with the City to ensure that to the extent required by applicable laws, rules and regulations, and the Confidential Information will be accessible only by the Consultant and any authorized third-party service provider's personnel. (r) Perform regular, reliable secured backups of all data needed to maximize the availability of the Services. Adequately encrypt the City of Palo Alto's data, during the operational process, hosted at rest, and the backup stage at the CONSULTANTs' environment (including CONSULTANT's contracting organization's environment). (s) Maintain records relating to the Services for a period of three (3) years after the expiration or earlier termination of this Agreement and in a mutually agreeable storage medium. Within thirty (30) days after the effective date of expiration or earlier termination of this Agreement, all of those records relating to the performance of the Services shall be provided to the ISM. (t) Maintain the Confidential Information in accordance with applicable federal, state, and local data and information privacy laws, rules, and regulations. (u) Encrypt the Confidential Information before delivering the same by electronic mail to the City and or any authorized recipient. (v) Provide Network Layer IP filtering services to allow access only from the City of Palo Alto's IP address to the CONSULTANT environment (primarily hosted for the City of Palo Alto). (w) Offer a robust disaster recovery and business continuity (DR-BCP) solutions to the City for the systems and services the CONSULTANT provides to the City. (x) Provide and support Single Sign-on (SSO) and Multifactor Authentication (MFA) solutions for Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 49 of 57 authentication and authorization services from the "City's environment to the CONSULTANT's environment," and CONSULTANT's environment to the CONSULTANT's cloud services/hosted environment." The CONSULTANT shall allow two employees of the City to have superuser and super-admin access to the CONSULTANT's IT environment, and a cloud-hosted IT environment belongs to the City. (y) Unless otherwise addressed in the Agreement, shall not hold the City liable for any direct, indirect or punitive damages whatsoever including, without limitation, damages for loss of use, data or profits, arising out of or in any way connected with the City's IT environment, including, without limitation, IT infrastructure communications. (z) The Vendor must provide evidence of valid cyber liability insurance policy per the City’s EXHIBIT “D” INSURANCE REQUIREMENTS. Part B. Alternate Requirements: Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 50 of 57 EXHIBIT F INFORMATION PRIVACY POLICY Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 51 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 52 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 53 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 54 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 55 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 56 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A Professional Services Rev. Oct 16,2024 Page 57 of 57 Docusign Envelope ID: 3F5ADF21-C8B9-4900-B13D-EF21998DB58A