HomeMy WebLinkAbout0255.091I
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BUDG[f11-92
Hay 9, 1991
HOMORABLE ClrY COUNCIL
city o~ Pslo Alto
Attention: Finance iIlnd PUblic Works Committ.ee
Members ot the Council:
Report. in. vieC
As staff reported to council in September 1990 (CHR~S1S:0J, the
vendor who was processing utility bill payments discontinued
service as of October 31 .. 1990.. 'I'he Finance OepartJDent began
processing utility bill remittances on November 1, 1990. On
DeCe.aWer 17, 1990 council approved the funding .for staff to
CGntinue utility payaent processing operations throuqh June 30,
1991. This allowed staff time to evaluate alternatives and
recommend a permanent solution~
staff has completed its reviev of alternatives and recommends that
the council approve the purchase of a Unisys 5-4Q table top system
from Standard Register, ana ~uthorize two half-time positions to
operate the system.
Mek,qroupO
Since 1975, the city has contracted with outside aqencies to
provide utility remittance pror.essinq Clockbox) services. Process
inq of utility payments is an essential service to the City,
involving over $100 million each year.. outside agencies previously
provided a cost-effective method of rapid processinq and deposit of
payments. The lockbox service included pickup of payments mailed
to a post office. box, processinq and microfilming of payments,
endorsing and depositing checks into a city bank account, and
transmitting a coaputer tape of payment information to credit the
appropriate individual customer accounts.
CMR:2SS:91
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During the 1970'., the City contracteo:! with its bank, Crocker
National BanJc, for lockbox servic8-a. In 1982 (CMR: 315: 2), starf
recommended,. and Council approved, a banlc:inq service agreement with
crocker National 8ank~ A major factor in that decision 'Was the
locl<box processing. In April Hal (CHR,236,3), staff reported that
Crocker National Bank bad made a decision to discontinue the
lockbox service~ This sudden decision to discontinue service 'With
little warninq forced staft to quickly find a new outside vendor -
National Data corporation (HOC).
After only six years, in Auqust 1989, National Oata Corporation
also discontinued service 'With little Yarning. Again, staff was
forced to quickly find a ~e'W outside vendor --Datalift.
Datalift, the City's most recent lockbox contractor, notified the
City on Septeaber 4, 199(l, tbat it would permanently close its
facility on October 31, 19~'0. When Datallft discontinued service I
it stated that it vas not possible tor IS vendor to provide the City
of Palo Alto with the level of service requested for such IS low fee
($66,000 per year). staff recommended in-house processing to allow
the smooth continuation of utility bill processinq, vhile examining
possible long-term solutions. The Finance Department 'Was given the
responsibilIty for payment processing.
Finance staff established a Palo Alto post office box in Sept~r
1990 and hired three full-time temporary employees in October to
process the payments. After receiving training,. the new staff
beqan processinq utility payaents on November 1, 1990. On Oecember
17, 1990, the council approved $86,400 to fund operations through
June 30, 1991.
8eqpired SerYie• Level
Utilitie.s staff is very concerned with making sure a permanent
solution provides a hiqh level of service that will be dependable
for a long time. Since 1975, the city bas contracted 'With outside
agencies at cost-effective rates; however, the service has SUffered
trom frequent interruption. utilities staff has also experienced
difficu1ty in making sure outside vendors provide a high level of
serviu.
In 1983, service from Crocker National Bank deteriorated as they
discontinued the lockbox sarvice. Aqain in 1989, Utilities staff
found difficulty in maintaininq adequate service from National Data
Corporation, as they wound down their operation.
During the first six months of operation by Datalift, the Utilities
Departaent spent a great deal of staff time workinq with the vendor
to reduce the. number of non-processible items. In the beqinninq,
the vendor forwarded any ite.s where the customer's check and bill
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did not match, roughly 100 per day, bac~: to the City for process
inga By the end of the contract, the vendor was processing all
items as required by the contract.
Three exa.ples of service-level issues illustrate the difficulty of
operating a satisfactory utility bill processinq system:
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The City of Palo Alto receives payments of approximately $100
.lIlion annually. Whicb roughly equates to 20,000 checks per
.onth. Of the 20 .. 000 checks, approximately 10 percent or
2,000 checks carry a dollar amount that is not equal to the
customer's bill. Kost can still be processed, because they
are either partial payments or several cheekS totallnq the
amount ot the bill. However, on average, 200 payments per
.onth simply 00 not contain needed vital intoraation such as
the custollter account nw:a):)er. These. aust be .fcrwarded to city
personnel who must look up the infoI'lllAtion through City
records ..
A second issue is the tiae required to post payments.. Under
a lockbox system, after the checks are deposited in the bank,
the vendor produces a computar tape 'With the information
necessary to post the payment to the customer account.. On
averaqe, it takes several days for this information to reach
the Information Resources Department before posting the
payment to the utility billinq system. The Utilities Depart
ment expressed frustration with the lockbox system, because
even though the money was in the bank, the customer service
representatives had to wait several days to conf irm the
payment poatinq. The utilities Department has expressed
concern that the delays involved constitute an unacceptably
low level of service for customers wbo expect to rece! ve
~ediate credit when their check is depoSited.
o A third concern is the mail location and transit time prior to
entering payment information t:o the customer account. In the
past, vendors have required that mail be sent to a post office
box in another city. Crocker Bank and National Data Corpora
tion used a San Francisco post office box and Datalift used an
Oakland post office box.. Palo Alto citizens prefer to see a
Palo Alto box on their bills, but this would have required the
vendor to collect pa:, .... ents in Palo Alto and transport thQD to
a processing center in another City.
There are essentially two ways to provide a lonq-term solution.
The City could either contract with another vendo~ for the service,
or purchase machinery and hire permanent staff to continue an in
house operation. Staff has explored both possibilities.
CMR.255:91 J
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On Febr.la..ry 22, 1991, staff isoued a Notice Inviting Sealed
Proposals (Attachment AJ and a Notice Invitinq Sealed Bids
(Attacbllent B). Each mailing reference.d the other so that all
respondinq fi~B understood that the City ~ould ultimately select
only one solution from all the propoaala~ Processing proposals.
were received from seven firms: Alpha Beta Oata Service, B~inks,
Cheek processinq, Inc., Pata processing and Accounting Services,
rntertec, Multiple Processing, Inc., and security Pacific Bank.
Equi~ent bids were receive~ from four firms: Intelliqent Vision
lmaqe systems, Inc .• NCR Corporation, Standard Register, and System
Innovators, Inc.
Representatives from the Finance, utilities and Information
Resources Departments reviewed the proposals based on level of
service l experience, atabiilt71 location l cost I and agreement to
the p~ints and compliance with the information requested.
'rely.i. oJ outSide Vendor aDd In-Bouse opera\ioD
All of the vendor proposals offered the same service as previously
supplied by out'5ide vendors. All of the equipment proposals
offered the same level of service currently supplied by the in
house processing, but recommended the use of equipment to reduce
the need for personnel. In-house processinq bas clear advantages
~ver an outside vendor in terms of the level of service criteria,
stability, location l and compliance with City requirement~.
Howev&r l outside vendors have somewhat of an advantage in terms of
experienee l and would cost less than in-housa processing.
Level of Service:
The utilities Department reports that the number of customer
c01D.plaints has been dra:mat.ically reduced since the payment process
ing operation was brought in-house on November 1. CUstomer
accounts have been updated Dore frequently and with increased
accuracy.. One rea.son for -t.he. incr-eased accuracy is that City
e~ployees can immediately resolve problems on confusing payments,
while the outside vendors must return these items to the City for
resolution.. In instances where payments arg both late and confus
inq to the payment proce5sors~ City personnel can identify the
problem immediately and significantly reduce the chance. that a
customer will have a problem. Alternatively, outside vendors are
required to forward the. paper work to the city for research which
can cause significant delays and risk service termination.
The in-house operation can process all payments, while the outside
vendor will need to return at least 200 items per month.. CUstomer
accounts can be updated immediate.ly by an in-house processing
operation, while it .ay be necessary to wait several days to update
customer accounts with an outside processor.
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Stability:
Clearly, the City of Palo Alto is a stable organization which will
be able to provide t;..his service as lonq liS it is needed. In light
of the recent experience with outside vendors, who have withdrawn
from this line of business (including strong banks which risk
mergers and changes in aanaqement policy), the staff would need to
be assured that an outside vendor would offer this service for a
10nq tilDe.
Location:
Both the city of Palo Alto and some of the new ~utside vendors can
operate with a loeal post office box~ neqatinq the need to
transport payments to another ci ty. Hcrwever, sOllie of the stronger
outside vendors would need to have payments transported to San
Francisco, Sacramento, or even Los Angele&.4
The citizens of Palo Alto prefer a loc'al post office box. While
outside vendorIF' could pick up payments from the Palo Al to post
ot'fice bole and transport them to another city, this would cause
delays in the processinq time, incur additional cost and introduce
an elament of risk that pa~ents coul~ be lost in transit.
Experience;
The aost highly considered outside vendors have several years of
experience in processing utility payments, and the City of Palo
Alto would be one of several accounts. In the past, this would
have been a stronger reason for using an outside vendor. However,
for the last six months, staff has operated this service itself;
and according to the Otilities Depart.ent, the level ot service
froa the new city function has been higher than from previous,
experienced vendors.
Cost:
The seven cost proposals tor lockbox processing from outside
vendors ranged from a low of $52,000 per year to a high of $167,000
per year. The lowest proposal of $52.000 was trom a new company
that has no equipment yet and has no established record. Staff
felt the new compacy could not assure the Ci ty it could provide the
required high le~l of service. The two hiqhest proposals were
rejected since they vera from firms seekinq to enter the field. Of
tha remaining four firms, the two ranked highest on service and
reliability by the committee were Check Processing ($65,000 per
year) and Security pacific Bank ($72,000 per year).
The cost of equipment bids for an in-house operation ranged frem
$56,000 to $117,000. The lowest bid was a proposal to use three
workstations similar to the current Finance Oepartment operation,
C!IR: 255: 91 5
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bUt atatt concluded that would require three people and would not
be ccat-effective~ The highest bid offered a. system. that staff
felt v.s too elaborate tor the City's needs~ The other two bids
recommended the Onisys S-40 table-top system. The $-40 remittance
processing systea automatically feeds, reads, endorses, encodes,
balances, sort., captions data and transmits paper-based transac
tions. The 5-40 thus meets the required standards for an in-house
operation; it would cost $63,000. Of the two vendors, standard
Register in San Francisco ia preferred over the other ven4or, who
refused to provide a performance bond and is located in Phoenix,
Ari~ona, which is farther away for .aintenanc~ and troubleshooting.
In order to provi!3:e the in-house service and lIaintain internal
controls, it would be necessary to hire t~o half-time people. TWO
hillf-time people operating in tho IIOrninq could easil}" make the
bank deposit the same day ~ would allow the City to estahlish
better internal controls (two people counting depoSits), as well as
provide basic service in cases of vacation or illness. (One full
time person could oper;ate the machinery but 'Would have trouble
making the bank deposit in time for the bank processing).
For the in-house solution those tvo balf-time positions would cost
approximately $45,000 per year for salaries and benefits. There
would be additional annual costs for supplies" utilities, mainte
nance, and other .iscellaneous expenses or app~oximately $20,000
per yea~. This assumes the operation will stay &t 425 Bryant (the
old Palo Alto Board of Realtors building, Which is owned by the
utilities Departaent). Finally., there would be a one-time cost tor
a microfil.er of $5,OOO~ Therefore" the total e~ense, including
up-front purchase of the equipment" would be $133,000 for the first
year and approximately $65,000 for future years.
At $65,000 per year Cexcludi.:r}9 equipment), the in-house operation
would cost the same each ye~r as the Check Processing service, and
$1,000 less than the security Pacific service per year. The
additional first-year cost of $68,000 for t.he equipment means the
in-bouse operation is more expensive by that one-time expenditure.
However, the City can control future costs. This is important
since the bids for this type of operation bave varied dramatically
(Security Pacific's current bid is approxiaately one-half of its
prior estimate); and the previous vendors have indicated a major
reason they ceased operations vas an inability to cover expenses at
low contract prices. Datalift was charqinq $66., 000 when they
ceased operation and stated the low price was a major factor in
their decision to cease operations.
Tbe annual cost of an in-house operation ($65,000) is the sa~e as
the le.ast expensive acceptable outside vendor.. Staff believes that
a hiqher level of service and continuity from an in-house operation
are worth the udditional $68,000 cost ot bUying the equipment~
CMR:255:91
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The statf tor the utility bIll proce •• l09 in-bouse operation will
continue to be part ot the Finance Oepartaent, but the purpose o.t
t.h~ operat.ion i. tiJ s;upport the utilitie. Oep.srtm.ent. Thc.refore,
the t1tl1ities Department 'Will need to re~se the Finance
Departaent for services rendered.. l'Undlnq tor the operatinq costs
would thus be included in the Finance Department budget for 1991-
9~. to be tully reimbursed duri09 the year by the Utilities
Department. The purchase of the capital equipment would be throuqh
the utilities 1991-92 elP.
staff recosmends that the City Council approve the purchase of a
tJnisys S-40 table top system. froll Standard Reg-iater. Tvo addition
al halt-tiBIe elIP1oyee.a, and the fundinq for .iacellaneous expenses,
vill be included in the 1991-~l budgEt.
~~itted'
Director 'of Pinance
Related staff Reports:
Attachments
ClIR: 255: 91
CMR 515 0
CMR 519 0
CMR 579 0
CMR 60C 0
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CITY OF PALO ALTO
PURCHASING/CONTRACTING
P.O. BOX 10250
PALO ALTO, CA 94303
IfDfI£I rmTln Spr.m PROJOIltLS
c;ayp LITTIR -lNt'f J: Date: February 22# 1991
~II. The city of Palo Alto requests a proposal for~
Processing utility Bill Remittances
Tbe Proposer shall respond to all require.ents in accordance with
the te~ and eonditions~ the Project Tasks and requirements, and schedules in Part I -II Derein.
The biMer shall be required to:
(e)
fil
agree with terms and conditions of the contract documentsi
provide .anaqement, reports" analysis, plans, and cos~s marketing ana presentatIons 1n accordance vith the proposai
d~entsa
be licens8d with the. state of California, if required, by this
project; qive experience and financial qualifications;
slqp the prQP9sal;
be knovl~eable of state lay and local Ordinancesi
be able to .eet insurance requirements;
~nd meet oth~ requirements as specified.
Date proposals are due in CITY F~chasing Office:
3100 Pt'" TU,a4ay. larch 1'. 1"1
The proposal and accompanyi~g documents shall be submitted
sealed envelope addressed ana.arked as fo11ows:
in a
-PrOP ••• ing utility 1111 ,,.itt.pce,n
KAIL TO:
CITY OF PALO ALTO PUrchasing , Contract
250 Hamilton Avenue
PO Box 10250
Palo Alto, CA 94303
Admin.
DELIVER TO:
CIT\, OF PALO ALTO
(Propos~ls are received by
~~has~ng, 1st Floor,
C.1.Vl.C ctr~, Palo _Alto, CAl
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CITY OF PALO ALTO
COUI LlnIJ -,au :r
DliL' 01' OOJdUi't
Part I Cover Letter
Bid Signature Page
Acl<nowled<Jeaent of Addendum(s)
Part II Instruction to Proposers, and
Teras , condition.
Certification of Hon-~iacriaination
Experience and Financial In~ormation
Part III -Project Description, proposal
Requirements, Subaittal In~ormation
Attachment A -Sample Utility Bill
Att.acluaent B -Insur.ance Requirements
DEFIIUTIOHS;
Page
1-2
3
4
5-10
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13-17
.-Purchas8 order-ia an aqreement or contract and is r.eteren ::ed
herein AS P.O., Aqreeaent, or Contract. The P.O. will include the
TerJU. and Conditions of this document an<: all attachments,
drawinqs, specifications, exhibits.
"·Seller," -consultant,· ·Vendor .. • ·Contractor," ·Supplier,"
-Proposer .. --Bidder,-are synonyaous herein .
• ·CITY-aeans City o~ Palo Alto •
• ·SPECIFlCATIONS· or -RVQUIREMENTS· indicate the directions,
provisiona, standards and criteria contained herein.
pro1aq\ ,OpiAi.tratigp
The contract will be administered by the project manager Mr. Lalo
Perez of Treasury Division. All questions and matters related to
the project shall be brought to the attention of the project
manager. Be can be reached at 415/329-2675.
Issued by:
Ken M. Baskins, Manager
Purchasing/Contract Administration
City of Palo Alto Civic center
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CITY OF PALO ALTO
ID '1Q'DDU' -PMT J
PROpoSER'S SIGNATUBE ~
The u.."l<1eraiqned hereby certifies that .. directly or indirectly, they
or their re~reBentativ.8 and aqents bave not been collusive with
other part~eB interested in this request for proposaL This
Aqreoent toqether 1Ii'1 th all ExhibIts, and Proposal documents, to be
inclUded with the ensuing purchase order agreement to be issued,
shall ccnstltute the entire Aqreement between the parties~
Proposer is a:
________ ,Californla Corporation, or a
________ 'corporation under the laws of the State ot ______________ ___
with bead offices located at.~· ____________________________________ __
and offices in california at ~(~A~~~t~.~c~b~a~aa~~e~n~d~um~',~t~n~e~c~e~6~6~a~r~y~)-------
________ SOle Proprietorship, or a
====,partnership (list namea of partners; state which partner or partners are .... nagl"9 partner(s). (Attach addendum).
________ ,other (Attach a~endum specifying details).
Date"c! ________ 19 __ Name of Proposer (company)
Siqnature of Officer/owner
Printed Name of Siqnatory
Title
Address of Proposer
Tax 1.0. NumJ:>er CitY6 State, zip of Bidder
Fac.iiile Number Telephone Number
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CITY OF PALO ALTO
""PPM «a) -PAU I
AClNtM EPGEMEtn' Of ADPENOOH (S)
DW:'ill9 the request tor proposal process there may be changes to the
.R7P t:Joc\ments which would. require an addendWl. To assure that all
bidders rece! ve the update or change addendum." the following
acknowledgement and sign-off is required.
NOTE: Failure to ezecute the following .ay be considered
as an irregularity in the bid. Receipt of the
following addendUll(s) issued during tbe time of
bidding is acknowledqed, and. the information
contained therein has been considered in the
. preparation of this bid.
AddendUII No. (None_I. (1 __ 1. (2_1. (3_). (4 __ ). (5 __ )
(Check appropr ia te space)
Signature of Proposer
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CITY OF PALO ALTO
tJ'nD£PXQlI ro UOpoaIR.S ym 'l'1JUlI • C9II>;t!XOHS -nu 11
HrsTRUCTIOHS TO PROpgsgs;
A, PrqposAl Foaat; As part ot the contract documents, proposals
shall be in accordance with the following ins~ructions and project
requirements (Part III) to receive consideration:
i.e unless otherwis~ called for, an original plus four (4)
ggpiAa of the Proposal Format, typewritten or printed in ink and
completely tilled out with signature, is required. The completed
fora shall be without interlineation, alterations, or erAsures, and
shall be in the CITY's requested forms/tormat where the cost of all
services required are covered~
2.0 Proposals sball not contain any modification ot the work
or services to be done. Alternative proposals a~e acceptable when
called tor. Exceptions to requirements must De clearly identified
in writing with full explanations in area provided or on additional
paqea.
2.1 When requested, the proposer shall furnish a statement of
financial responsibility and eKPerience in required proposal.
2.2 Before submitting a proposal, the proposer shall examine
and read the enclose~ documents, visit the site of the service to
be provided if' applicable, ant! be informed as to all existing
coNii tiona and limitations.
B. Interpretation;
1aO If any person contemplating the submittal of a proposal
for the proposed project is in doubt as to the proposal procedures,
such PROPOSER should contact the Manaqel'" of Purchasing , contract
Administration ..
2.0 If any person is in doubt as to the true meanjnq of any
part of the plans, speCifications, or other proposed contract
docuaents, or finds discl'"epancies in, or omissions from the
drawinqs or specificati~ns or scope ot work, he will request that
the project MAnager provide a written interpretation or correction
thereof.
3.0 Tbe proposer submitting the request will be responsible
for its prompt delivery. Any interpretation ot" correction of the
proposed. documents wi 11 be made only by addendum receiving a set of
c1ocuments.. The Council will not be responsible for any other
explanations or interpretations of the proposed documents.
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CITY OF PALO ALTO
DlmpC'J"DQ to n cPOS -NI1) TUIII , C91tDJ'I 1 Q1f' -'Nfl II
c. Interest of pROpoSER: At all tiaeB the consultant shall be
deeae4 tc be an independent contractor and the consultant is not
authorized to bind the City to any contracts or other obligations.
7n acceptinq ensuing agreements proposer certifies that no one who
has or will have any tinancial interest under the issued Aqreement#
is an officer or employee of crTY.
D, PropOser, IDterelite4 in More Than One BlP; No person, firm or
corporation sball be allowed to make or file or be interested in
a!Jre than one RFP for tbe same work or services unless alternative
proposals are called for.
L..... A4dandW!i Any addendWl issued duri1'lg' the request for
proposal process shall be indicated in the RFP response and shall
be made a part of the Agreement.
p. Opening of Prappslle; All RFP's, regardless of any
irregularities or informalities, will be opened and only the ~
of the Proposer publicly read aloud at the time and place set torth
herein.
1. Proposers, or their representatives and other interested
persons may be present at the opening and readinq of all RFP's:.
2. If any RPP or lJeC\l.ri ty furnished there .. ! th is observed to
be irregular or 1nforwal, the facts will be noted and publicly
announced at the time or readinq thereof.
G. Award Qr Rejection of &FPCs):
1.0 The Contract viII be awarded to the most responsible
proposer. However, any or all RFP"s may be rejected. Tbe proposal
request aay be re-advertised or the services accomplished by the
ClTY. The CITY also reserves the right to waive any informality or
irreqular 1 ty in any RFP and to award a greements on an item
(service) by item basis and, where specified or deemed appropriate.
2.0 Upon failure of the proposer to whom the contract is
awarded to execute the contract and tile any required documents,
the awarding authority may, in its discretion" award the contract
to the next responsible proposer, or upon failure of such proposer
to execute the contract and return the appropriate documents within
the designated time, to the third responsible proposer" it any
there be.
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CITY OF PALO ALTO
UUIDtlC'IIOII IfO QogD' urn IpK. , CONDITIon -'MT 11
~ OiapytAa: In case of discrepancy between vords and figures
When evaluating these proposals, the words sh~ll prevail;
provided, however, that the CITY reserves the right to construe any
Rl"'P according to ita true intent where it contains a patent
llistalte.
J. Withdrawal o( PropoBol: Iuly proposer may withdraw a proposal,
either personally or by telegraphic or written request, at any ti~e
prior to the sc::hed1.l1ed closing tiM for receipt of RFP' 5 ~ No con
sultant aay withdraw for a period Of sixty (60) days after the
t~ and date set for openinq thereof.
J. Indemnit.y; The successful PROPOSER hereby agrees to
lndesnlt:y, de:ten~ and hold. harmles.s CITY, its officers, agents, and
employees frOD! any and all deunds, claims or liability of any
nature, including wrongful death, caused by or arising out of
PROPOSER's, its officers', aqents' or employees' negligent acts,
error6~ or omissions, or willful misconduct, or conduct for which
the lav i_poses strict liability on the proposer in performance of
or nonperforaance of the Aqreeaent.
selected shall be required to unconditionally
warrant that it shall use sound and professional principles and
practices in accordance with the highest deqree of skill and care
as tbose observed by national firms of established gOOd reputation
as well as the current normally acca-pted industry standards, in the
performance of services required herein. The performance of its
personnel shall also reflect their best professional knowledge,
skill and judqement.
2.0 It any failure to meet the fore-going warranty appears
within the agreement period the CITY may terminate the agreement
and require reimbursement of all ~xpenses necessary to replace or
restore such services. The CITY shall be required to document all
such expenses and proposer's warranty for defective or negligently
perforaed services shall be li3ited to the cost of re-performinq
such services.
L. fer. of Agregment; The term of the this Agreement shall be
for -1L .onths with renewal of the Agreement each 12 month period
ccntinqent on;
1. C city of Palo Alto council approval of each current years'
budget which inCludes funds allowing the Aqreementj
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CITY OF PALO ALTO
nrIDQs:r:l9l!1l TO 110101 .. UP !DM8 .. COGIJtmlB -'M,. xx
2.0 The Vendor .eeting the established Teras' Conditions of
the Agreement;
.3 ~ 0 The mutual aqrBI'Dle.nt of parties to continue the agreement
with:
3 .. 1 satisfactory compliance by the Vendor with the
establlsbed certificates of insurance, licensing',
permits., and other requireaents of the Aqreement CRFP);
3.2 cost of proposal to CITY and maintenance of price
with the cost per unit fixed over the contract period;
3.3 and mutual negotiations oontirminq extension ot the
aqreemant for the remainill9 period.
x, SUbcontracting; Should any PROPOSER cont~;Dplate
subcontractinq any part of the work or services covered by the
specifications" they sball submit with their proposal a description
0% the wor~ or service to be done under such subcontracts together
with the noe of the propos-ed subcontractors who shall perfona. any
part of tile ... orl<.
N. Inspection and AUdit: VENDOR shall furnish CITY with every
reasonable opportunity ~or CITY to aseertain that the services of
VENDOR .are beinq performed in accordance with the requirements and
intentions of tbe Aqreement. All records., files, tapes and other
.aterials in VENDOR'S possession which relate in any way to the
VENDOR's performance of the Aqreellllent shall be available for
inspection by CITY st~ff., or CITY's agent., at any time, upon
reasonable prior notifi~ation~ VENDOR shall lndicate where the
various records., files, or tapes ~ill be held durinq the term of
the Aqreement ~
o. Inyoicing and Verification of cost$; The VENDOR shall be
paid out of the proceeds of the bond sale., or the VENDOR shall
subDit an invoice one year after the date ot the contract.
InVoices with proper documentation, references, and pricing as
outlined herein shall be .u~itted to the CITY of Palo Alto, P.O.
Box 10250, Palo Alto., CA 94303.
Attention; (Project Manager -see -Coyer Letter-page 21.
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ClTV OF PALO ALTO
lIIDtlCTtOU '10 ,aopospa UP DBKI • COJ!I)ITI0I8 -rUT IX
P. ChAngeSj The Agreement shall not be assigned or transferred
without tbe 'Written consent ot the CITY.. No changes or variations
of any kind are authorized without a Signed ~ ·change order-or
other aaendJtent to the iSSUed AqreE'Qent ..
at Terpination;
1.0 In the event City elects to BUSpend services under this
aqreement, CITY shall in ~itinq, notify the VENDOR one (1) vee): in
advance of the suspension date; this notification shall indicate
the anticipated suspension period. Any reilllbursement shall be
liaited to the vendor's reasonable costs incurred as a direct
result of the suspension and Sh411 be subje.ct to verification. The
vmmoR shall resume pertorwance of Services without delay in
accordance with this Agreement when so notified by CITY in writing.
2.0 Either party shall have tile rlgbt to terminate Aqrepment
tor their convenience, in Whole or in part, upon 90 days written
notice. In the event of such termination. Vendor shall promptly
cOllply wit..b the directions contained in such notice and shall,
subject to direction, take action as may be necessary to terminate
the Services and minimize its costs and liability with respect to
the terminated. Services.. An equitable adjustment in the price of
this Aqreement for additional costs incurred by Vendor as a direct
result of such ter.ination will be negotiated.
R. Taxes; Except where specifically provided, the proposal
pric~(s) shall include all tederal, state~ and local sales, use,
excise, transportation; privilege, occupational~ and other taxes
applicable to service, materials or equipment furnished under the
ensuill9 Agreement or by Vendor's payroll. The Vendor agrees to
indemnify and save the CITY harmless fro~ and against any liability
for any such taxes, or payroll premiums and contributions.
s. Governing Ie2!!!w; The laws of the State of California shall
govern any agreements entere~ pursuant to this Notice.
T. Pr0p9sa.l.-LUll Unless receipt of this Request For proposal
(RFP) is acknowledged, in the fora of a letter or a -no bid,-the
consultant's nA!llle may be removed from the applicable mailing list.
Mailing lists are maintained solely as an accommodation to
PROPOSERs. A -No Bid-response aay be submitted on company
letterbead or via FAX. Purchasinq's FAX: (41S) 329-2468.
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CITY OF PALO ALTO
Ur I:nttra Agxap,nt: This document &nd its part., exhibits,
drayinga, and other related documents represents the entire
Aqr-..t between the parties with respect to the purebase of
..rvicea. _tU1&18 or equipaent ""feb _y be the subject of any
ensuing contract or agreement~ Any conflict vith these Taras •
COnditions or any prior agreements, representations, statements,
naqoti.~l0n8 and undertakings Whether oral or written are
superseded bereby.
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CITY OF PAW ALTO
cgzXlXQtl911 01' MQI-DI8CRXtmp.tXOll -PAll" Xl
Certification of Non-Discrimination
As prop06er of qooda or aerviee.. to the city of PalQ Alto, the firs
liated below certifies that it <Soes not diBcriainate in its
eaployaent with re<jards to r&ce, religion, creed or n~tional
origin; that it i. in compliance with all Pederal, State and local
<!irectives and executive orQ1n>s regard.ing non-diacrl.ination in
Ulployment; and that it aqress to dealonstrate positively and
aggressivRly the principle of equal opportunity in employment.
The VENDOR agrees specifically:
1.0 TO establish or observe employment policies which
affirmatively promote opportunities tor minority persons at
all job levels.
2.0 To communicate this policy 'tOo aJ 1 persons concerned,
including all company employees, outside recruitlnq servlce!O ...
especially those servinq .inority communities" and to the
minority communities at larqe.
3.0 To take affinLative steps to hire minority employees
within the company.
Fir.~ ______________________________________________________ __
Officer Siqninq: _____________ Oate: ______ _
Siqnatura _____________________________ ~ __ ___
Please include any add.itional information availa.ble regarding equal
opportunity employaent programs now in effect within your cmzlpany.
Note! Depending upon projeot, additional forms for Affirmative
Action or ralated requireJ1llants may be requested. Refer to the
specifie&tions or Requirements (part III.) of documents.
11
CITY OF PALO ALTO
UlPlll91 up ITPE)" PIlOIIOr.,:I01I -UB7 II
Experience & Financial Information
The fol.lovinq are exlUlP1es o.t stateJllents of e:xperience and
financial qualifications of proposer vhi~h are require4 as a part
ot the propoaal. Tbe i~to~tion is certified correct by signature
herein.
!lallA of Company:
1. HoW many years bave you Clone business under the name a):)ove?
2. Bow many years experience have you had which is similar in
nature to the work covered in the proposal?
3. Provide references of contracts aatistactorily comp1eted in
the last three (3) years:
xyr TYPe af Bertie ••
Locatio .. of/&Z>4
cor.t.raqt !'?unt c9Uapy n.qenpv
{Please provide addi~ional sheets)
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CITY OF PALO ALTO
DOJIC7 DJSCltIHIOX. RIOUX',!,,"' uP SDBJIInAI, IJrlO -PART III
1. 1ftBODtJC'l10Jl:
Tbe City of Palo Alto requests proposals .for processing:
utility bill reaittances (lockbax).
tbe City of Palo Alto is located approxi.ately 3S miles south
of San Francisco in Santa clara County. and has a population
ot approximately 57,000 with about 30,000 utility customers.
The City provides a full ran9e. of aunicipal services, in
addition to operating its own municipal electric, water, gas,
wastewater, storm drain and refuse utilities~
2.. !'GraP9!!!,,"
The City contracted with an outside agency to provide utility
rell:ittance processinq service (lockbo~) :fro. 1975 to 1990.
Sinoe November 1990 I the City has. been processing 'the pay»;e.nts
in-bouse. This is due to the last vendor's decision to cease
operations. in the re.ittance. procesai!)CJ inaustry .. Palo Alto's
transactions of utility bill remittances nw:aber approximately
28 .. 600 per month. The City .ails the invoices on a daily
(business day] basis throuqhout the month.
,. DISCBIPS'IDII 01' RBOtlIUP 'pnCl'1
contracted company shall provide the following r~ittance
processing services to the City of Palo Alto.
a. Mailed re~ittances shall be picked up at regular
intervals each busine.ss day {rom a desiqnated post office
box rented by the city. CUrrently a Palo Alto Main Post
Office Box is rented by the city.
b. Work with the city to :make sure the mail is always
available, this ~y include renewing the City's caller
box each year and hilling the city accordingly.
c~ Open utility bills receivables (Attachment -A-is a copy
of tbe utility bill) and process daily according to City
speci.f!cations.
d. All unprocessable checks and documents bearing notes or
comments will be forwaraed daily to the city.
e. EnCoding and microfilming of checks processed.
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CITY OF PALO ALTO
no.tIC'I ppcaxnlQB, g90raDtlllTS MD 'myg:ftAL 1170 .. PAR'! tIl
t. Data entry onto maqnetic tape ot the receivabl~s~
tDr procEssing in HP 3000/949 systell~ The vendor Jliay
work with the City to find another system acceptabl.e to
the City. incll.ldit\9 the capability to electronical1y
trans.it re.ittance to the City's HP 3000/949 system.
g. Delly report qeneration of data ent.ry infor.ation.
h. Daily (business day) delivery of processed utility bill
receivables, .aqnetic tape, customer documentation, daily
reports to the City of Palo Alto.
i. Caily (bUsiness day} deposit of cheCks to the bank.
j. storage of microfil_ documentatlQn~
It.. The vendor lIust use deposit slips and endorsement plates
Vbich are ~patibl.e with the City's bank. The City is
currently usinq Security Pacific Bank~
1. Autoaated capture of remittance data.
All ~iddBrs are encouraqed to contact the project Danager to
disCUSS the current operations and visit the current
facilities. The project manager will attempt to provide any
acSditional information any proposer may need to alloW vendors
to reco ... nd the .ost cost effective operations4
f, _ DOP2''&L 8JJBVTTU. llBOUIJl.EKEH'fS
The city expects all firms submitting proposals
understand the current la.ws. of tbeir -tield4
sbou~d include the fol1owinq:
to thoroughly
The proposal
a. Given the information in this RFPII' oIIdvice on how your
firm could best assist the city_ Include whether your
fira will bid for partial or full services.
b. A list of the services which you wouldi propose to
provide_
c. A discussion of the experience and depth of your firm as
it relates to this project along with similar inf"oraaticn
regardinq the individuals who would be assigned to this
account 4
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e.
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CITY OF PALO ALTO
Reference .. on similar work, please provide a list of city
or government agencies where you have provided this
service.
A standard contract form for services.
f. The required City forms from Parts I and II completed.
q. A statament of fees broken down by components that would
be charged for the services listed in this request for
proposal along with any factors which would .edify those
fees it greater or lesser services were required.
h. Costa should be identified by components of fees tor
services such as:
i) Remittance per item processed:
ii) Non-processable items or other items returnee:: to
the city;
iii) State and local taxes per item where applicable:
iv) Daily delivery to the City, postaqe or freight
cha.rqes;
v) Any other fee not mentioned.
i.. Contracted vendor selected .for the processinq I must
provide the city 'With 1S.'":.idence of insurance coverage
acceptable to City's Risk Kanaqer inc.luding casualty,
liability and workers' compensation insurance, including
the .ini.wns specified in the form attached bereto
(Attachaent "B").
j. The term of this Aqreement shall continue for 36
consecutive months and shall be contingent upon:
jL City of Palo Alto Council a.pproval of current
years' budqet 'Which includes funds allowing the
Aqreementi
j2. The Consultants' ability to meet the established
Terms and Conditions, and scope of the Agreement as
required;
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CITY OF PAW ALTO
Uo.tlCZ PMCPlftJOX· ''90:r:p''P'' UP 8DB11,nJJ. X]fFQ -PM,. Xll
5.
j3. The. IN.tual aqreeaent of parties to continue the
contract with:
1. satisfactory compliance by the Consultant
inclu4i~ the established certificates of
insurance, licensing, peraits, and other
requirements ot the Agreement (RFP);
ii. cost of proposal to CITY to maintenance ot
priCJ!/ratesj
iii. and autual negotiations confirminq extension
ot the agreement tor the remaininq period.
~f your fi~ is interested in providing this service, please
sllbai t a proposal not 1a ter than Karch 19 , 1991 3: 00 p .11.
Propo .... ls and tour copies Bust be subllitted to the Purchasing
Division located on the tirst floor of the Civic center at 250
Ba.l1ton Avenue, Palo Alto, california 9430~. YOYr proposal
should be sealed 1n a package or envelope sho'Winq your fir.'s
nuae and address -Proc8ssinq utility Bill RMiittances· and the
proposal due dat.~ Late proposals will be rejected.
BlLlCTroJI caI'D II
This request lor proposal 1& being issued at the same tiJile as
a Notice for Proposale on equipment to automate the current
manual process. The City staff will eva~uate and consider
both possibilities. The City reserves the riqht to select the
proposal or alternatives whicb are in the best interest of the
city. Staff will aake the decision and recommend to Council
for approval.
The selection or the tin~l solution viiI be subject to review
and approval by the City Council and it wi 11 be based on the
fOll~~inq critaria,
a. Organization, size, structure, and financial stability of
fin~
b. Agreement to points and co~plianc~ with the intormation
requested within the RFP.
c. Qualifications and availability of statf to be assigned,
noting persons with prlaary and secondary responsibility.
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CITY OF PALO ALTO
PBD.lICf DUC'TMIQI. !MQDD ... ' uP 'owanN, :r:17O -PART tXI
••
d. The proposed tea relatl,"e to the aervices to be provided.
Please include a fee 8ched~le for this project and a fee
schedule for services that aay be required for other
project ...
,..,..A.'lrtl 'CUPOLI
RQqUest for proposal i.sued
Proposals due.
Evaluation of proposals~
Selection of firm.
pebruary 22, 1991
March 19, 1991
Karch, 1991
April. 1991
The City of Palo Alto reserves the right to reject any and all
proposals or any portion thereof. This request for proposal
i. ::,e1nq iSSUed at the saae tiae as II notice for proposal on
a remittance prooessinq syst_. This request for proposal is
subject to the selec;tion procedures of the Palo Altc city
Policy and Procedures. Accordir..qly, final ae-lection will be
based upon QVerall capability to perform services and not
exclusively upon cost of services. Upon .election of the
successful proposal and fira ¢ffering proceasinq utility bill
remittance services, the City will negotiate the final
agreeaent ..
If you have any questions regarding this request or need more
information, please contact Lalo Perez at 4151329-2675.
LP;ec
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'.-',
st&.IECT TO LATE:·PAYMENTCKAAGE OF 1.1 ... FHOT PAlO IY t2-24-IICt
999-033508-6 90
OLD PABR BLDG-GAS EN SVC Cc ~
2~423351 CA 94301
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1121-1
PLEASE PAY
__ .....: ___ ~" _____ ~ ___ ~O!!'?'_~~_~'!'~_~_~_~'? ____ . ________ _
CITY OF PAl!O ALTO ,m, rnES '1 ""----""''''''~-, '-II 1 n..I ., _ fa.: 1lU!!M!l!8 oma: :sa-~"1
"_25BRYAN'I' S1' """""' ....... R 999-033508-6
SEWER
REI'IISE
~"10-31-90 TO"11-29-90 : . CITY ." .
10.00
11.35
90
....... DROUGHT RATE sa-!t:OULE NOW IN EFFECT ......
YQURMOHTH\.Y BASCLINE CONSUMPTION ALLOWANCE 1$ 2 CCF.
(I CCF=748 GALLONS) Wi: FtECOMMENO
TaceS THS AMOUJriT. NEW
FOR i1LLItG ASSlST AHC£,
COHSDIYE, C.IdL
DI\OOGKT.
11
12-
1-90
2-90
3-90
lI e 90
5-90
6~90
7-90
8-90
9-90
10-90
.... ,. .... "'~ ..... ", ~,,~ ..
. saMCE llA"I'S. ~ 2 9
BAL FWD
TOTAL DUE
l
1. 7~
$.04
$.03
$.03
$.04
$.03
$.25
$.7_
12-0~c90
0:00 .,
,00
161. 89
26.3
.2
10.3
......,4 -~.-.""'-'--~">--M
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O CIty ot Palo Alto 0 • AnACHMENT B
Insurance Requirements tor ConfTacfors
CONTRAC1OrRS 10 THE CITY Of PALO A!.1Q, AT THEIA SOLE EXPENSE, SHALL OBTAIN AND MAINTAIN INSU~ FOR THE TEFIM
OF THE CON'TRACt. COHTRACTORS WILL BE P'EOlJIRED TO PROVIDE A CERTIFlCATE EVIDENCING THE INSURANCE AND NAMING
THe-CITY AS AN ADOmONAl [NSUAED.
THE CERf1AC,fJ'E OF INSURANCE MUST BE COMPLETED AND EXeCUTED BY AN AUTHORIZED AEPFIEGEN1ATNE OF THE CQf.4PAf',I'.,
PROVIDING INSURANCE. FIlED YwiTH THE CITY, AND APPROVED 8'1' THE ClTY"S ArSK MANAGER BEFORE THE CONTFlACr WILL
BE CONSIDEREO COMPLETE AS RESPECTS INSURANCE.
THIS INSTRUCTION SHEET SHOUlD BE GIVEN. TO YOUR ~NSURANCE AGEN17BRO+<£R WITH THE FlEOUIAED CERTifICATE FORM.
RETURN THE COMPlETED CERl1F1CUE 10 THE CITY OF PAlO ALlO CONTRAI.."'TING DEPARTME:NT.
THE INSURANCE COVERAGES CHECKiaD BELOW ARE RIEQUlRED FOP THIS CONTRACT.
~ ~ UABtUTV 1HCt.U0I~·
• PfJlSONAL .....,..,
• B~ FOf:IN PROPERTY ~E
• Bl.ANKET CON"Tl'VCTUAl..
• FiRE LEGAl ~BVTY
STATUlOR'r'
scm,-'! ltOUR'(
PRoPERTY CANAGE
SOCIlV I'NJUFIV • P-RO~(FITV
THE CIT'( Of' PAlO Al..10 IS TC Bf NAMED A$ AlII AtlOmOMAL INWJlIEO
NO IN$UIAAIIICE CSI'T"IFlI;.II: fQ:QUIftS)
A... The City aI PaIo.AAo. lis oIJ"QB, ag.ntI and empkyees are n.amecI as add"iliMi1J iM-Ured. bLJ1 Qf"1~ a 10 -.oA: per"fotmed IJnder oontrad. Salod t:OYeJagI!
.as '10 a.. cay 01 PU:l Nto, etc., shai be primary CO\I'8f8Q8, Wlthovl cfl!eI agaJnst Crty's l!"KislirY,l irtsLlronce arn:l artr 0IheI'" insu~ ~ied by the CIt)'
beil'lQ «:rooMS InsI.nnce on'<,.
B. Wtwe IN woriI; irwoIves !1JlIding, paYing.~. dl"il~ng, or othllr lJ~derground woOl.. tt1e po(fCY il\d~es dHtrudiCo d wires. ~~it-&.. pipes, malns,
Of OCher JimiIar property Of tnt ~Ulin connectJon lhefeWtI.h below 100 surface or the t;l,ol.on~ wnel"er owned by third parties of It*' City al Palo Mo.
C. Whef9 !he -.cnt iJWoIves ~. ~ ~.,. .,. ~ in !he .;;mou.,ts. above.
0. The poiq' Irdudes ... ~ or 1tUrd" p-ovision.
E Dedo"Ctib'" a-IS,OOO,OOO mucI be h!aI$8CI ancI.are.subject 10 appro,oa[
F. ..-...en poIIdes are ~ or cIWIQed" durin; IN period of ~e as staled herein ill SI.IC" a moJIn,* IS '10 al".ea thi$ CenifieaIe. ttoltty (30) dap
written 1Idk:e WIll bemai1eodIlotheCityaliPUcMe.Riskt.laJ1<l9e1.".P.O.Bw:1025O.PaIoAAo.C .. .Il1omia 94a03.
G, n. iabUiIy ~ porrcy ndWft • oonlIaCIuallIa~1ttJ Il"l6otWmenl p.'"OIIidln!j irlstlrane:e co...erage !oJ con1rac:b'"" &grEJemenI1t! indamnHy ~ Crty.
H..' "Tbe CI:MIf1I98 IIftOnied un6M Ihe pok:ies is JIUt:Iged "Itt an 1hfI Rlm~ d tM pallc~ tlesignaleo tlen!\n and m&etS ;P ;~ ptOV'i$ioM ~ '101' ~n.
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ATTACIKKT B
CITY OF PAW ALTO
el:" OJ' 1'&1.0 .l.L'l'O
PURCHASING/CONTRACTIN~
P.O. BOX 10250
PALO AL'I'O, CA 94303
_tCl om,'" 'WID Itp.
Date: February 22, 1991
aagOOCM"!!ft8 I
Tbe City of Palo Alto request. a bid for the furnishing of:
Bidders shall respond to all requirements in accordance with
the terms and conditions, the:t~roject tasks, its requirements, and
the sc;hedulea in .Parts I -.II herein.
prpject Administration
The ccntract will be administered by the project manager, Lalo
Perez of the Treasury Division. All questions and matters related
to the proiect shall be brouqht to Cle attention of the project
~ger. Phon.: (415) 329-2~75
sealed propooala shall be delivered to the
Purchas1ng • COntract Administration Division, 1st Floor, Civic Center
or
Hailed to: Purchasinq Division
250 Hamilton Avenue, P.O. Box 10250
Palo Alto, CA 94303
The bid and accompanying documents sball be submittea in a sealea
envelope a~essea and .arked as tollows:
-Beaittaoge Processing Syatem-
Bids Must be received betore:
fURsa,X' 3:00 p •••• Karch 19. 1"1
Bids are 9PEned at the above time/date in the Council Confe~ence Room at the Civic Center,. 250 Ram!lton Ave., Palo Alto. Any bids
received after the scheduled closing time for receipt of bids shall
not be accepted and sball be returned to the bidder unopened.
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CITY OF PALO ALTO
'M' r -COYIR LlTTD
The Bidder shall respond to all labor materials, and equipment needs for thia project, and have the ability to provide required
bonda" insurance or other dOC1l]1l,ents in accordance witfi the
&peclricationa and schedules herein~
The bidder, in accordance with the Terms , Conditions of the
~ld docUments in ac~rdance with the .pecific~tions and schedules
berein.
(al
(bl
agree with teras &: conditione of the contract
dOcWIent8i
provide labor, equipment, and lItaterials in accordance with the contract docu..ents;
submit. bid pr~sal guarantee and r~ired bondst
be a licensed contractor with the state or california if r~ired by this project·
9ive e~erlence and ~inancial qualifications;
siqn the prop'osal;
be -knowleaqe.able ot state law and local Ordinances;
•• et insurance requireaents, if reQ¥ired; and
Jaeet other requirements as specified.
If your fira is interested in providing the service and materials
described berein...t..please subait: a pr~sal not later than March 19,
1991 3:00 p~.~ rroPQsals and four c~ies must be sub~i~ted to the PUrchasing Di~i.ion located on the first floor of the Civic Center at 250 Balillton Avenue, Palo Alto, california 94301. Your proposal
should be sealed in a packaqe or envelope showinq your firm's name
and address -Reaittance Processing system" and tbe proposal due date. Late proposlllB will be rejected.
DILl 01 conllTl;
Part I Cover 1A!tter-..................................... Pages 1 -.l
Price Page... • . . ............ • • . . • . . . . . .. ..... to
Part H Instruction to Bidders, and Terms &
Conditions ............................ Paqes
Certification ot Non-discri.ination .... Page Experience. Financial QUalifications.Pages
Biader's Si~ature paqe and
Addendum Acknowled9e.ent.~ ... ~ ......... Pa9es
• Price Page to be included witb bid proposal documents. specifications.
Part HI -Project Oescription, Requirements and
5 -11
12
13-14
15-16
See
submittal In~o.~~ ................... ~.Paqe 17 -
Attachments: A
8
C
-Performance Bond (SlllIple) -utility Bill (Sample)
-Xnsuranee Requireaents
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CITY OF PALO ALTO
DII'f . .[~_L"""'D:l",IIi6-___________________ _
DR'nrtrXOJIR'
.-Proie.ct .Manaqer-shall be the person na.es to act in such
capacity by the CI~ and shall be the authorized agent designated
to provide inspection and answers to technical questions as well as any questions concerninq the 8peci.fications;O
.-Seller-, ·Vendor-I -Bidder-, -Proposer-, • Contractor-I ·company·,
·SUpplier-, are aynonyaoua herein •
• -Equipaant-, -MAterial,s)--Product-, ·Supplies-, ·Parts·, are
aynonyaous, equal, or com£ined berein •
• ·ern-Mans the city of palo Alto and any references in the
CITY"s standard Spec~fications or CalTrans standard Specification
to the ·stat.-, or -Depa..rtaent-, shall be deellled to refer to the
CITY •
• ·SPECIPICATIONS· or -REQQlREKENTS· indicate the directions, provisions, standards arid criteria contained herein,"
CIn COIITACTS.
COJI'l'RAC'l' CIII BD) PROCESS l:DO.nnOJ"
PUrCbasinq , Contract Administration:
Kathy !..ee
Phone: 415/329-2178
Ken Haskins
Phone: 415/329-2300
PROJIIC'r COftAC'rB'
Project Manager: ~lO Perez
Phone: 415/329-267
Issued by:
Ken K. Baskins Manager PUrchaBi~{Confract Adainistration City o~ Pa 0 Alto Civic Center
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CITY OF PALO ALTO
lIlT I -,nel DU
Pricing to be included in the Bidder'. Proposal dOCUl!lents.
Rote.: Vendor auet attAch page(s} tor any explanations, options, or price infor.at1on~
Eatiaated delivery date to be included for each piece of
equipaent.
State paPle.nt terms in bid docWllents eubd tted. (Include
ApplIcable Discounts}
Include any additional Intoraation required for ~t!"ns or
alt«rnative8 or accessories not covered above in the bid docu.ents to be submitted.
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CITY OF PALO ALTO
J[QIJIXCI IlU'DPm "!trlp Brps -PM! I'
I. INSTRUCTIONS TO BIDDERS:
contract documents, bids shall be ~~t~··~,e·-~oilowjng instructions in order to receive
coniildei,iiH,Oii
l~O unless otherwise called for, an original plus ~ copies of the. Bf::! Fora document4' t~written or printeo1n
ink and completely filled out w~th signature, is required.
The co~le~ed rorm shall be wi~out interlineation
alterations 1 or erasures, and shall be on CITY provided
forujfoZ'aaT; where the cost of all items requested is
coveri&d ..
2.0 Bids &hall not contain any modification of the work
to :be done. Alternative propc?sals are acceptable when
called for. Exceptions to specifications .use be clearly
identified in writi1'9 with full explanations in area
provided or on additional paqes.
2.1 When requested, the bidder CCONTRACTORl shall furnish a statement of financial responsibillty and
experience on CITY forms~
2.. Before BUbmittinq • bid, the bidder shall
exaaine and read the A~eement documents, visit the
site of the work it ap'pllcable~ and be 1nformed as
to all existing condit~ons and limitations.
c. IA_urlpea, Tbe CONTRACTOR shall maintain such insurance as
w~ll cover arid include the entire obligation asswaed in any
purchase order issued as well as such insurance as will protect
bidder trom claims and liability under worker's Compensation Acts~
personal liability, prope.z:t~ damage, and all otfler claims for aaaagers, inclUding ~r8onal ~njury, and death which may arise from
ope;-atlona under the issued agreElDent. For additional intormation contact cl ty of Palo Al to Risk Management Department. Phone:
(415) 329-2:f94.
or warranty r~ired by the specifications ~~;I~~~~~~~~~~~~The faithful performance of the contract Sealed Bids shall be secured by an
of ~ of the bid price with sureties
(See-attachment A for sample).
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CITY OF PALO ALTO
'ALII> Ilpt -"M' II
addition to any warrantr offered by SELLER~ the included as part of th s bid unless excepted or or by addendum aqreed to by the Froject Manaqer:
1.0 llif0tl!~n~ -CONTI<ACTOR warrants that the EQlTI~ or wI perform in accordance with the
pe:r~oraance requirements. set forth herein and that the
EQUlPKENT or XATERIALS have been desiqned and aanufactured
so as to conform tQ the Specifications and bid documents
contained hereln~
further warrants
good material and
w111 be fit and
3.0 ~lIllufll~lIref'" WuXa'lty -CONTRACTOR sball provide ond pass Welff; &1 manUfacturer's warranties. In addition,
VENDO shall quarantee these warranties through their
effective. dates and shall comply with any stated requirements tor repair, service, or replacement~
4.0 ~ct Correet.iolL -part.s a~d Labo..:;: -In the event of a breacn of any otthe warrant-le.s OUtlined above in -E
warranty· durinq the WARRANTY PERIOD" CONTRACTOR shall
without Pndue delay repair" replace or modify the
EQUIPMENT/MATERIALS so as to correct said warranty breach.
~~~~~~~;-State all warranty periods for basic
N" accessories and workmanship belov:
(0: InC ue 1n Bl.d dOCUiIent If attachilient or addl.€ional pages
are required.)
6~O ~ITX May ~epAtr -The CITY shall have the right to
effec rel?alr 0 any and all defects if CONTRACTOR shall
have prevlously authorized such action or" in the CITY/s
reasonable commercial judgement CONTRACTOR be unable or qnvillinq to effect the repair. In the event, that CITY
elects to take this action it shall be entitled to deduct
from any amounts owing to CONTRACTOR the direct and.
.incidental coats incurred in remedying the breach of
warranty Should CITY _ake such deduction costs, CITY will
furnish its bills, invoices and other documentation as it
may have in its possession or request. CITY/s action to
eff"ect cure of any warranty breach shall not relievQ
possession on request. CITY's action to effect cure of any warrantr breach shall not relieve CONTRACTOR of any of its obligat ons hereunder or under the uniform CommercIal Code
except to the extent that CITY's repair effort shall have
directly caused further defects in the EQUIPMENT.
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CITY OF PAW ALTO
Iot;yql %1YUU'Q 'Dllp BlpS -PART II
7.0 Hgt~" ~ ~~~~ -CITY shall 'live CONTRACTOR procpt notice 0 ali eo Is known to it., either v-s.rbaIly to
CONTRACTOR'. on aita representative or telephonically to
CONTRACTOR'. customer service representative. upon receipt ot such verbal or telephonic not:1c..!, SELLER shall promptly
and without undue delay notify CIT I of its intentIons (in
writing or bY work order) and preferences to et~ect repair
of the EQUIPlIENT or MATl!RlALS.
8.0 ff'tdi~ -The invalidity in whole or in part of any condi on o£-this Agreement, includinq the terms of this
warranty, sball not effect the validity ot other conditions. The remedies herein reserved shall be cumulative and additional to any other remedies in law or
in equity. No waiver of a breacn of any provision of this
AqreeBent shall constitute a waiver of any other breach of such provision.
I, XpapaptiOD aDd , •• ,lug;
1.0 The CXTY shall have the riqht to inspect and test all
thE EQUIPMEIIT PRODUCT. MATERIALS. aMI or SERVICES
delivered or !nstalled prior to the payment for such
materials and services a
2.0 Acceptance or rej ection o~ the EQUIPMENT IMATERIALS
shall be made as pz:omptly as practicable by the CITY after deliv~ or insta~lati~.L...!!..oweverl.. failure to in~pect and
accept or rei.at EQtTI.t".f'l.ta'iC"J." and .1.NSTALLATIONS sliall not
relieve the cbNTRACTOR from responsibility for compliance
ldtb the s~ifications, order requirements and warranties
nor ~se liability on CITY I AnY of the materials or
services rejected by the CITY shall De at the CONTRAcroR's
risk and expense ana shall not thereafter be tendered for
acceptance without the CITY's written consent. Nothinq
here~n shall relieve CONTR}..CTOR from the obligation to malce
full. and ad~ate testing and inspection of goods and
serv~ces soldlhereunder.
laO Payment shall not constituta final acceptance.
Reference paragraph "Eo. Warranty·, above.
~ l"ta~ty; In the event of a breach or alleged breach of any of
e 8 warranties VENDOR shall, at its own eXJ?e.l}se, def£1ld any
suit or proceeding brouqbt against CITY and shall tully protect and
IndeaniCy CITY against liabl1ity, cost, recove~ or other expense
in or re.sultinq .trolt such suit. or clai. of inrrinqement. CITY
shall give prompt notice in writinq of any notice or claim or such
suit aM CITY agrees to cooperate with VENDOR to enable it to make
such defense.
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CITY OF PALO ALTO
JlO'fIeJ tm'ZIfQ BALm l:rpS -PART I I
It Bpart PUJ.II Unless otherwise aqreed., sixty (60) days prior to
ipaen a as required. by the specit~cation, COl.'TRACTOR agrees t.o supp:t'y CITY wiC1 a recommended Spare Parts List for the
equipment or material/product furnished. In addition, should
COII'I'RACTOR no longer aupport this EQUIPMENT beyond. five (5) year
period, SELLAR agrees -to supply CITY with all mantlfacturer's
arawings or _ parts debli1., (In ac.idition to the _~~cificatioT'
herein" 80 that City w111 De able to maintain the VQUIPMENT.
x. eIlie'! '~4.~tt Manufactured items and/or fab~icated ass les s ec 0 QP.eratlon under pressure, operat~on bY'
connection to an electric source, or operation 1nvolving a connection to a manufactured, natural, or LP qas source shall be
constructed and approved in accordance 'With any state or Local r~ireaents tor labeling or re-examinatlon listi~ or
identification aarking of the lIppropriate sa.fety standard
crq.-nization~ FUrther, all items rurn~shed by the successful
bidder shall •• et all requirements of the Occupational Safety and
Health Act (OSBA) and state, local, and federal r~irements
relati~ to clean air, water pollution, and hazardous waste
requlat~ons ~
.r~ ~"1u!o1og1~1 DeV.iC>~.D~" VENDOR shall pr-omptly advise CITY o areasonay avai~e eCbnological advances WhIch are known
or become: known to VENOOR of the course of perfol'Jlance of its
obligations under the ensuinq Contract which may result in the
EQOl:PMENT havinq added value (i. e. better performance des iqn, aaterial~ longer useful life~ etc~J to CITY~ Should CITY elect to
incorporate such advances it shall do so by issuing a chanqe order
by Purchase Order.
'fu;;co ~Jlt.r.C!!tiDq; Should any CONTltACTOR contemplate
s nfi'iCiiiq any part of the work covered by the specifications
and as authorized DY law they shall submit 'With their bid a
description of the 'Work to be done under subcontracts toqether 'Wi th
the name of the pro~sed subcontractors who shall perform: each part
of the work, (see Experience and Financial Qualifications· pages
berein) •
L. witlf,raval O{ ~ bi4: '~y bidder may withdraw a bid, either
personaLLY or bY -a egraphic or written request~ at any time prior
to the schedulea clos1.ng time for receipt of b~ds. No bicSder lUay
withdraw a bid for a period ot sixty (60J days after the time ana
date set for ope.ning thereof.
Me .i44~' y~tef.mte4 fB More Ib~ ope ,14: No person, firm 9r oor,poratiOn S i1 be al owed to D e or~le or be interested ~n
more than one bid for the same EOUIPMENT/MATERIALjPRODUC'i' or work
unless alternative bids are called for. A person, firm, or
corporation who has submitted a proposal to a Didder or who has
quoted price on materials to a biader is not thereby disqyalified
fro. s~ittinq a sub-proposal or quoting prices to other bidders.
~ '44'~I Any addendum issued during the time of bidding shall cover n tb:e l:Iid a:K1 shall ba made a part of the contract
(Reference -Acknowledgement of Addendum-J
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CITY OF PAW ALTO
lIO'llCi DIVX'U!Q BQLID I'PS -PM' IX
0:;r opa~'i of 8idr' All biela, regardle .. of any irrequlariU". or l' oraa e~L,,-V1 1 be openea ana publicly read at the time and place set ro~ herein.
1.0 In cases Wbere only one bid is received for a contract,
BUch bids viII be PUblicJ.y ~ned and read aloud. Bidders, or
their representat"ives and other interested persons say be present at the opening and reading of all bids.
2.0 The public readinq o~ each bid will include at least the
following,
2.1 Na.e of bidder, and 2.2 the total amount of the bid.
3.0 If any bid or sec~rity furnished therewith is observed to irregular or infor.al, the facts will be noted and publicly
announced at the time or reading tbereof.
~ Pi~t~ Yn case of discrepancy between words and fiqures, e wars s'1 prevail; provided, hoyever 1 that the CITY reserves
the riqht to construe any': bid according to ts true intent where it
contains a patent mist.:ilte. All claims by CONTRACTOR regarding
extra work, charges, delay or other disputes arisinq out of this
~eeme.nt must be submit~ed to CITY in writing to the project
_ger! within ten (.10) worldl19 days after the ciai. was evident,
deacrib ng in detail the nature and value of the disputed work ~r
claia.
Qano!t!aqLllt:1 Unless receipt of this Invitation for Bid is a iii I ~n the form o.f oS bid or a -no bid-, the vendor's name
aay be rellOved from the applicable mailing list .. Mailing lists are
mal.ntained solely as an accommodation to bidders. Response I:ay be
on ~y letterhead.
A,
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CITY OF PALO ALTO
JI!lfX'G "'blD BIPI -PAl! II
!:.".-~ ~rr-U!?!,!T,:i tle to Equip;n&nt purchased pursuant to these tel"ll1S '~l ahall remain in VENOOR until the Acceptance Date..! at
shall pass to the CITY.. VENOOR ahall furnish I.;I-T'{
:~~~~~~~~~~:~ir~ sta~e of California docu.ents required as well reqt!eated by CITY to enable f"t to perfect
the EQUIPMENT.
~~~~~~~~~~:~~;~~~~~:~~~~~~~~due the CONTRACTOR under be paid upon the receipts
ica.b""l.e, pr10r to receiv.l.nq and furnish satisfactory
incurred herein have been
invoice with completion
l~Q Invoicea with proper documentation L refe.reneesJ. and pricinq a8 outlined hereIn shall be submit~ed to t.~e C~TY of
Palo AltoL P.O. Box 10250, Palo Alto, CA 94303. Attention: -Project aanaqer-.
:~;~~~~~~1~c;dl~ocument and ensuing PUrchase Order and hereunder shall in all respects be ~;v:~fr~~i:~ accordance with the laws of tne state
!, secii,catiru I: t:Yf"ifc'Dt.: Reference is hereby ~ade to 1;.he pee lea.Lon ,. a 4Chl1ients for further de'talls, WhlCh
tQgether with this notice I and if applicable (construction)i the Ciey'a Standard specifica~ions datea-1972, as amended, sha 1 be
considerG a P.art of this contract or any agreement or contract
made pursuant hereto.
" nUt' ~cept as may be specifically provided to the contrarr In any 0 the contract documents, the contract price includes 41
federal, state, and local sales., use., excise transportation, p~!Yik~" occupational, and other taxes applici!b~e to ma"terials or
EQUI . /HA.'l'ElUALS furnished or 'Work performed. under the contract
or CONTRACTOR'S payr:oll. The COt.""TRAC'l'OR shall indemnify and save
the CITY harmless from and aqai~st any liability for any such
taxes,1 or payroll pre.miUlAs and contribut:ions~
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CITY OF PALO ALTO
IIOUC:I D'!Jrrw 'DTrlP .rga -PM' XI
~ ""!Jt.rI ~~~I This document and its exhibits drawings, o er raa~ contract documents l represent Ute entire.
aqr.-ent between the ~i •• with resP:ec~ to the purchase and sale of the equ1paant ... installatioRS ... materials, suppl~e8, or services.
All prior agr.~t .... representations, statemenfa, negotiations and undertaking_ whether oral or written and hereby superseded.
IIIID 07 allC'uoa'
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CITY OF PALO ALTO
mrr.%CI,"OI or JlQX-P:Z:SCROODnOX -rAU II
Certification of Non-Discrimination
certification of Bon-Discriaination by Suppliers:
As euppll.rs of goods or services to the city of Palo Alto, the fir. ~l.ted below certifies that it does not discriminate in its
elIplo~t with ~lNards to race! religion, creed or national or1gin-that it 1. in compliance v th all Federal state and local
directlv •• and axecutive orders r~.rdinq nGn-discrimination in
eaploy-.nt.. and that it au-eea to doonstrate. positively and aggressively the principle of equal opportunity in employment_
The CONTRACTOR aqrees specifically:
1.0 To establi&b or observe employment ~licies whiCh
affirmatively promote opportunities for minority persons at
all j Db levels_
2.0 To cOlilllunicate this policy to all persons concerned,
ir~luding all company employees, outside recruiting services,
especially those serving minority communities, and: to the
minority communities at larqe.
3.0 To take affir.ative steps to hire minority employees
"i thIn the company. Flrm ____________________________________________ ___
Officer signingi ________________________ ~p~at~e~! ____________ __
siqnature. ______________________________________________ __
Please include any additional information available regarding equal opportunity eaployment programs now in effect within your company.
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CITY OF PALO ALTO
Experience & Financial Information
The tollowinq .re exaaples ot Itatements of experience and
financial qualifications ot contractor which are requl.red as a part ot the bid. The intonation is certitied correct by signature
her. in.
Name of Coapany:
1.
2.
J.
4.
How many years have you done business under the name abo ..... e?
Bow -.any years experience have_ you had Which is similar in
nature to the-work covered in tlie )::1a?
Provide references of contracts satisfactorily completed in
the last three (3) years:
~tiOD of/aD4
XtI,r-IYP, of lqUiMtpt contract: MAAA~ cqeP'U'Aq'M.1,
(please provlde add1tlonai sheets)
Provide .. list of the plant(s} and/or loc"tioD(s) owne" by the
CONTRACTOR Which is avaflab"}.e for maintenance and rel--.... lrs for
the proposed EQOIPHENT as .ay be required herein:
Property !ro'tion Hours of operation
an OI'PAl.O.u.~
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CITY OF PALO ALTO
IIPPXgcl !'D 'rp'CIAL tx-mpY!TzOJf • nu xx
5. Does your fira provide mobile repair service? (Describe)
{please provide addItional sheets ~f necessary)
str8COJ£tRACTOB 1){fQBKA1 ION
rhe tollovj..nq is the name and location ot the lI.i11# shop or office of each subcontractor who will ~fora any work or labOr, furnish
accessories, or re.nder services to the unaereiqned concerninq the
EQUIPMENT cont .... plated I1Y this propoaal .. nd the portion of the "ork
which viII be done, or tlie eat~oTY of equipDent or accessory to be furnisbed, by each subcontractor.
Location
(please provIde aaa~t~onal Sheets ~f necessary)
(signature of CONTRACTOR tor abOve: Pages 1 • 2)
(company)
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CITY OF PALO ALTO
IrD .rp"TQBI - ' .. ! XI
HIPPER'S SIGNATURE PAGE
Tbe undersiqned hereby certiU ... that, directly or indirectly, they
or their representatIve. and aqenta have not been collusive with
other parties interested in this request for propos5.1. Ttli.
~nt tog-ether with all ZXhibita, and Proposal docuJIlents, to be
inclUded with the ensuinq purchase order agreement to be issued,
shall constitute the entire Aqreament between the p&rt!as.
Proposer is Ii:
______ ~Calitornia Corporation, or ..
________ ,~orporation under the laws of the State of ______________ _
with head office. located at ________________________________ ___
ot~ices in call~ornla at.~~~~~~~~~ .. r,""'~oc~VT--------(Xttach addendum it necessary) ________ SOle Proprietorship, or a
and
====,partnership (list naaes ot partners; state wbich partner or partners are aanaqlnq partner(s). (Attach addendum).
_______ ,other (Attach acidendUJI specifyinq details).
Dated ___________ .19 __ _ Name of Proposer (ColOpany)
Signature of Officer/OWner
Printed Name of Signatory
Title
Address of Proposer
'lax 1 .. D .. Number city, state, Zip of Bidder
Facsimile Number Te~ephone Number
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CITY OF PALO ALTO
apppptDICI' -IU! rl
Durinq the request for proposal process there may be changes to the
Rl'P cIocuaents which would require an acSdendua~ To assure that all
bicSders receive the update or cluanqe addendum, the following
acknowledga.ent and sign-off is required.
IIOTE: Failure to execute the following .ay be considered
as an irregularity in the bid. Receipt of the
following addendUII (s) issued during the time of
bidding Is acknowle.dqed.. and the inforaation
contained therein has been considered in the
preparation of this bid~
Addend_ 110. (lfone_l, (1 __ ), (2 __ ), (3 __ ), (4 __ ). (5 __ )
(Checlc appropriate space)
Signature of Proposer
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CITY OF PAW ALTO
Do.zwc:% plGB;lftIOX, RIQOtRIKIITI UP 'QBJ(irn.J, illlC -PUJ III
IMPROVDIElITS TO OPERATIONS OF TREASURY UTILITY PROCESSING CENTER
The. City ot Palo Alto requests proposals for a remittance
processil19 system" that will improve the operations of the
utility bill processing center.
2. M£'9!I9P'IP'
The City contracte4 with several outside aqencies to provide
utility remittance processing services (lockbox) from 1975 to
~990. Since November 1990, the City has been processing the
paYJUlnta in-bouse. This is due to the lac,;t vendor's decision
to cease operation!l in the x'emittance processing industry.
palo Alto's transactions of utility bill remittances (see
Attacluaent B for sample) number approximately 28.,60<1 per
~th. The city .ails the invoices on a daily (business day}
basi. throuqhout the IIOnth.
It 18 a requir ....... t that all parties responding to this
request ror proposal sball have reviewed the current process
and bid on the appropriate equipment and service to JIlake the
operations efficient as well as cost effective.
All bidders are eneouraqed to eont6ct the project manager to
diacuaa the current operations and visit the current
facilities. The project sanager Lalo Pere., (415) 329-2675
will atteapt to provide any additional information any
proposer aay need to allow ve.nclors to recommend the :most cost
effective operatiDns.
J. M'P'Ift orp,TIOII
At 8:00 a ••• every business day a City employee picks up the
.. 11 (averaqe of 1300 items) from the Palo Alto Main Post
Office. By the end of the day all .on1es are ~2posited into
the city bank account.
After picking up the aail, the City employee takes it to the
proc. .. inq center at 425 Bryant street (Palo Alto). The
envelope_ are opened with an OIu.tion 106 letter opener and put
into batch •• of fifty ('0) items.
Staff veri ti.. that the checks and the "tubs lila tch. Then all
cbeck8 ar. -..nully endorsed. One person adds the 10-key tape
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CITY OF PALO ALTO
D03IC! DUCl1 MXO •• RIOOU'P"1ITI MP 'PBJIXnAL :nqo -PART III
on the checks and another person runs the 10-key tape on the
stube. :If tim. allows 1 the ebeck8 are encoded. CUrrently the
banJc. charges 9 cents per it" not e.ncoded and S cents per
encoded ito. The enoodirn) is 'Worth 4 cents. per item. The
deposit slip Is prepared and the checks are taken to the bank.
After the bank deposit, the individual items are entered into
th .. Cash payment System which in turn will update the utility
Billinq Systelll to allow the City to reduce the customers
account by the uount of the payment. This, data entry
requires the entry ot-the account number and the amount paid.
currently the date entry is entered through an HP 150 via
.adea and it takes two people several hours e&~h day.
The proposed equipment must be cOM .. "atible lfith the City's
HP3000/949 system.
Please inclicate your answer by checkinq the proper column or by
answering the queation separately for sections A~l through A.2.9.
Alternatives and clarifications to the equipment and/or services
required IlUSt be described within the bid submitted. Include
literature or brochures for suggested equipment.
A. SPECIFIC SYSTEM REQUlREKENTS
A. 1 HardWare
Yea llo SORTER
1. Remittance processor must be desiqned for use in
office environment not requiring special power
requireaents and not producing excessive sound O~
heat output.
2. Sorter module must have a minimum Of tour (4)
pockets tor sorting checks, stubs and: error and
exception items.
3. Journal printer should produce a I!.aster list of all
transactions and edits processed each day, an audit
by batch, and pocket total reports for each pocke.t.
4. Dally journal reports and check pocket reports for
bank deposit should be printed on separate
printers.
CITY 01' .A.LO AL"1O_ ..... ...., ... __ 1.8
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CITY OF PALO ALTO
DO.TJeIl pgaaxnlQJf. PMPUP'ft' MD SDn"a.' U!lO -PM!, III
".1.2
yes No
.5. Reaittanc:e processor should include options tor
pocket add-one and an automatic feeder module~
1. Provide .tandar~ -Ie-key· operator input keyboard.
2. Provide optional alpha-numeric keyboard that is
pluq coapatible with numeric keyboard.
3. Providtii fully moveable keyboard to allow for both
riqht and left handed operators.
OCR/IIlCR
.1. Muet be capable of reading optical character font
OCR " and Maqn.tic Ink Character Recoqnition (JlICK)
£-138 font.
2. Document OCR/JlICR readers shall be operator
adjustable in read beight. Heiqht adjustment as a
.ln~u. shall be in II range of 1/2-to 3-from the
bott.,. of the docuaent.
l. OCR ability to read no less than eighty (80)
character diqits per scan line.
... Display an image of any characters in the scan line
which cannot be read by the station's OCR reader.
5. Ability to read OCR scan lines with alpha-numeric
data.
6. Do yo-u reco1Olend. the city consider any technology
other than OCR/KICR. (If yes" please provide
Intoraatlon on the alternative).
Ra.ittance Processor
CRT
1. A visual display must be provided for operator
interactions that is easy to read, displaying large
font characters of information.
2. Error detection is hiqhliqhted for immediate
recoqnition by operator. The system should provide
a CRT for visual communication with the operator to
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CITY OF PALO ALTO
'!MI£' puCNnlOlf. JMIl"'!'"' up StJBI[J"" nRP -PMT III
A.l. 3.
Yes No
display
actions.
displayed
indiC<lted
·can't reads-and to guide operator
Any ·can't read-items should be
on the CRT with the problem. character
:or easy identification.
S'1'ORAGE
1. Software should reside on a hard disk.
2. Data aCC\m.ulation storage capacity should be a hard
disk with a. mini.um of 10 meqabytes of a.vailable
space after all programs are loaded.
1. The remittance processor .ust have the ability to
trans.it data via local area network to a data
assimilator/concentrator.
ENCODE AND ENDORSE
1. The remittance processor Blust have an operator
proqrammable endorser capable of meeting federal
deposit requirements as outlined in Federal
Requlation ee.
2. The remittance processor .ust have a HcrCR encoder
that will encode all ABA star.dard fields on checks.
PC act as a Data Assimilator/Concentrator
1. Provide the ability to interface electronically to
the HP 3000/949 via a PC.
2. .Include a lI1ethod. for automatic self recovery of
system in case of power failure.
3. Provide the ability
utilizinq flexible
capabilities.
to transmit data to mainframe
data communication protocol
4.. Include the ability to -hot key· to a mainframe
session and: display customer infor.ation or host
session on the operators screen.
20
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CITY OF PALO ALTO
"n.mM PUCllnxQX. BlQVnnm' UP '08IlJ:ftAL 'UO -1AU' III
5. Present and. inc 1 ude a. s tl'"eaming tape system to
backup the hard disk.
6. Provide at least one (1) Centronic parallel port
interface ..
7. Provide at least two (2) RS232C serial port
interface ..
Pl .... anaw.r &.1.3 ,I -10) aD4 &.1.4 (1 -3) qu •• tion. in d.tail.
A .. 1..3 Continued
8. Indicate if the d.ata assimilator/concentrator is
386/486 Intel based Dicropr~essor.
9. Indicate the data assiallator/concentrators ability
to automatically and electronically dawn load and
proceS8 frlD the mainfriUle a atop file to be
tr&nsaitted to any other network de7ice.
10. Describe your use of either non volatile RAM or
uninterruptible battery protected RAM.
SYSTEI! PlUlITER
1. Describe the printer recommended aDd its ability to
accept large capacity paper trays.
2. Describe the printer's ability to support use o.f
multiple paper trays.
3. Indicate if the printer bas the ability to
interface to the systa. via either an RS232C or
parallel connection.
A.i. S Summary of DesirecS Hardware
1 ~ Reai ttance Proces Bar
a. Automatic feeder
b. Hand-drop feeder
c. 10-Key keyboard
d. Alpha-numeric keyboard
e. Large font characters on display
f. OCR/KICR read capaci ty
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CITY OF PALO ALTO
no.zwr DUCBlnt01l. .,OUI.DIIT' Nm ImplJ:'I'DL IJllQ -PM" I t I
g.
h.
1.
j.
k.
1. •• n.
Proqraaaable endorser
MIa encodar
Audit trail imprinting device
SOrt pocI<ete
Printers (journal, batcb and deposit lists)
Bard drive data storage
Floppy disk data backup method
Ability to transmit to ~ta Assimilator/Concentrator
2. Data Assiailator/Concentrator
Note:
a.
b.
c.
d.
e.
f.
Alpha-nllll2eric keyboard
HArd drive storaqe
IBM PC/AT compatible floppy disk access
CRT
Cormect to REmittance processor, ISH compatible pc's ... and
mainfrUle
Tape backup system capability
The city wants the option to use its own HP-PC's Vectras
and BP printers.
A.2 SYSTEM SOFTWARE
Yes
A.?l
No The
PROCESSING
prog;!'"_ Bust:
1. Allow operator to process
power encodinq mode.
transactions using the
2. Alloy operator to process transactions using the
reading and key or trom-the-envelope.
3. Allow operator to process: single stub/single
check, multiple stubs/sinqle cbeck, single
stub/:multiple checks, stubs only and checks only
tranuctions with capability ot immediate error
correction.
4. Allow the operator to process using the integrated
extraction mode.
5. Provide a data output file in the current format
required by the city of Palo Alto data processinq
systea.
22
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CITY OF PALO ALTO
nOJlC'J" pg<:aln:IOI, 11OVI!l!fI1I'IIs AIID SDKlT'l'AL IJIlO -PM-r III
10.2.2
Yes No
10.2.3
Yes No
~
6.. Must have the ability to program for future
application" •
7. Must be capable of reading one of multiple amounts
on the OCR line.
8. KuRt have operator capability to determine
batch size or, in the alternative, be
reprograaaed to chanqe maximum batch size.
:ma.ximWil
easily
9. Must be capable or printing more than one copy of
the audit trail or other system reports.
10. MUst print a combined audit trail/endorsement line
on the back of the stub and check (Batch I, 4 -Diqi t
Transaction #, Date I Account #, AlIount Paid) to
mee.t lt89 cc requ irements ..
11.
12.
13.
1.
1.
Must read McrCR line and encode checks.
Must provide operator statistical/productivity
reports, batch llstinqs, partial pay and .ultiple
transaction reports as well .as ca.sh letter reports.
~st provide the capability to continue processinq
it data ,assimilator/concentrator system is down.
SECURITY
SysteD must provide for security for each system
function by individual pas~_crd.
EDITING
System sust be able to process
transaction types in the same batch
singles and multiples transactions in
batch).
different
(inter:aix
the same
2. SOftware must provide audit trail on all edits.
3. Application software must allow editing and
balancing before batch is transmitted to the data
assill.ilator/concentrator ..
23
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CITY OF PALO ALTO
DOJIC! pUCBXrna. BmpulKlJl'Jl' AlP 'PlKT",» IUO -1M! XII
Yea No
Yes No
4. Sylite.m lIlust allow for back dating of batches and/or
transactions to record re.ceipts as. ot the date
receiVed even if processed on subsequent date with
IlUdi t trail of date entered.
5. Verify all transaction code selections aqainst a
look-up table to insure accuracy_
6. Data assimilator/concentrator must allow
editing, post transport proeessinq
tranrmia.ion to host computer ..
AUDiT TRAIL
batch
before
1. Audit trail data lmprinted on documents and cbecks
.ust provide at least date, batcb number, sequence
nUJlbers, operator number, and account number as
required by the City of Palo Alto.
Allow for the cancellation of a multiple or sinqle
out-ot-balance transaction. The lIIachine·s audit
trail .ust reflect cancellation of processed
transactions.
11..2.5 REPORTS
1. The system must provide printed batch summary and
batch detail reports, operator statistics reports,
machine statistic reports, deposit cutot£ report,
partial pay transaction reports, lDultiple
transaction balance report, consolidated processinq
report (to consolidate information among aultiple
macbines), consolidated cash letter report and
8.C'.tivity log report such as but not limited to:
a~ Exceptions control -providing data on
the total items processed, the nU1llber and
percent ot unreadable characters, and the
number of validation ~ printing
failures.
b. Batch number -providing the total
used as the input to the
re.ader/sorter, the accumulated
amount
check
total
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CITY OF PALO ALTO
PlQJICT PUCUPUOlI', IIQVlRIIlPITI UP '!lR!xnu. Xpo -JUT III
c.
d.
e.
f.
q.
b.
L
j.
do lIar aaount read frOlll. the checks sorted
by the aystem for the batch f and an out
of-proof condition.
Daily sUlI1III&r)' -providinq nWilber of items
processed in all batches durinq
processinq day and dollar total amount.
Batcb Audit -providing batcb and item
nuaber with the work date, operator
number(.) , number of payments and
docuJaents in batcb, dollar total of
batch, time of co.pletion of batch.
BaM: To't-~l -providing item an<l dollar
totals ;0 each bank along 'With total
deposit ,'ollars by sorter run.
Day Total providing an accumulat~
dollar tota .. .for each poc;ket/paas sort of
each bank .. B\1b-totals for each run during
the process i'l'l9 d.ay, and day totals of
items .lS.nd dtJlla~a for each bank alonq
with summary ~ota15.
Interrupted Transaction -provicli"9 the
batch sequence and account nWD.ber for the
last document processed at the tillle of
interruption.
Systu activity -providinq, p.rior to
closing, tha status of batches,
indic&ting if a batch is either in
process, suspense or va it inq to be
released.
Work Performance -providing operator(s)
numb~, nu.be.r of items, processinq rate
per hour and t i.e elapsed.
Deposit Letter -providing deposit data
tor all or any speci~ic batches or sorted
checks by pocket/pess combination or tor
all batcbes tor a qiven pocket/pass
coml>ination.
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CITY OF PALO ALTO
Do.lI£' P'IeBlnlQX. UaUl'DD'S NIP '011:.11'7& Inc -'1M%' XII
Yes No
11..2.7
Yes No
1.
2.
11..2.8
1.
2.
k~ Check Balancing providinq either
auto ... ticall}~ durinq each run.. or on
daaand, date in both report and. work
sheet tOrB SUfficient to reconcile out
of-balance batcbes of checks troll the
check sorter.
SORTING
Provide additional .ort capabilities
cba.nqe at address, sort of stubs, run
with batch for .icrofiilainq, and othsr
require<! by the City of Palo Alto.
STOP FILE
such as;
envelopes
sorts as
The. system must be able to receive., via data
communications, input tor stop files, aonitor and
compare transactions against the stop file and not
procesl5 the transaction if a match is found. The
number of such aocount nUlllbers stored mIst not be
less than four thOUSand (4,000) before noticeable
system degradatIon.
Maintain the stop file in direct access sUllU'Aary
Vben comparing values.
BACKUP , RESTORE
The software shall include a utility program for
use in copying data from the operational disk to
floppy disk or magnetic reel tape, or QIC tape Lor
backup purpos.s.
Include a fe~ture for restart and recovery whenever
a catastrophic tailure, such as a loss of power or
equipment tailure. occurs ~ The procedures will
enable the operator to recover t.b.e data already
processed. The detail lister will provide an audit
trail of any restart/recovery.
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CITY OF PALO ALTO
nonqr PUCBtHIO •• 'agrn'DPT' NIP 'UDrlTAL IftO -PAAT III
3. Provide aethod for adding data to the data base
when the re.lttance processors have been in a stand
alone basis.
2.
The system must verify the check digit currently in
use by the City of Palo Alto. Further
clarification viii be providec:S to the successful
vendor.
Propose a m~thod to integrate all devices on the
network to allow future growth, to use the data:
assimilator/concentrator fo~ other source
applications, data assi.ilatlon and file transrers.
3. Provide advice on the timing and structure for the
implementation of your system.
4. The City will like for equipment to be delivered
F.O.B. Palo Alto.
5.. The City expects the vendor to set-up the equipment
provide the training of employees and manuals.
5. PlOPOIIL amognu. RIOpIIIXlllT'
The City expects aU firms submitti1l9 proposals
understand the current laws of their field.
should include the following:
to thoroughly
The proposa I
a. Given the information
questionnaire and advise
the City.
in this RFP, complete the
bow your .firm could best assist
h. A discussion of the experience and depth of your :tina as
it relates to this project alonq vita'1 si.iIar information
regarding the individuals Who vould be assignee to this
acoount.
c. A description of ho~ the proposed equipment would assist
in the operations and the services your fina would
provide.
d. A standard contract form for relatec:S services and
products.
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CITY OF PALO ALTO
e ~ A stat_ant of tees broken down by cOMponents that would
be charged for the services and equipment listed in this
request for proposal along with any factors Which would
aodity thoae fees it greater or lesser services or
equipaent were required.
f.. COntracted vendor selected must provide. the City with
evidence of insurance coverage acceptable to City's Risk
Manager including casualty, liability and workers'
COIIpensatioh insurance, includinq the minimums specified
in the tora attached hereto (Attachment ·C-J ..
CJ. Provide the location of the Service center that 'Would
cover the City, its bours of repairs, a contact person
and their pbone number.
Ii. 1""a'IOM arran
This request tor proposal is beinq iSSUed at the same time as
a Notice tor Proposal for services for Processing utility Bill
Remittance. The city will consider both possibilities. The
City reserves the riqht to select the proposals or
alternatives v!lich are in the best interest of the city~
Staff will make. the decision and recommend to Council for
approval.
The selection of the tinal solution will be subject to review
and approval by the city Council and it will be based on the
following criteria.
a. Orqanizatlon, siT-I!-, structure, and financial stability of
tiro..
b. Aqreeaent to points and compliance 'With the information
requested within the REF.
c. Qualifications and availability of staff to be assiqned l notinq persons with primary and secondary responsibility.
d. The proposed fee relative to the services and equipment
to be provided. Please inClude a tee schedule for this
project and a fee schedule for services that may be
required for other associated projects.
",-1
CITY OF PALO ALTO
nOJIm' P'IMItnroJf· IIOOtB'""T B M'J) 'qprnAL nrro -1M' tIJ
7 • Ull'AUD 'CI!J$P!!LI
Request for proposal issued.
Proposals due~
Evaluation of propo&a18~
selection ot vendor.
February 22, 1991
March 19, 1991
March, 1991
April, USl
The City of Palo Alto reserves the right to reject any and all
proposals or portion thereof. This request for proposal is
beil19 issued at the same time as a Notice of Proposal for the
Processing of utility Bill Rellittances. This request for
proposal i. subject to the a~lection procedures of the Palo
Alto City Policy a.."Id ProcQdures. Accordingly, final selection
will be based upon overall cap~~ility to perform services and
not exclusively upon cost of services. Upon selection of the
SUOO8Ssful institution offering processing utility bill
remittance services, the city will neqotiate the final
agrea.ent.
rt you have any questions regarding this request or need more
information, please contact Lalo Perez at 415/329-2675.
29
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A'ft'ACJDUUII! A
ern or PALO AL'I'O
Q91'T'P!CTQR" 'IlllMM!'cl JKOO)
WHEREAS, the city council of the City of Palo Alto, State of
California (hereinafter referred to as ·City·) and =-~=>~~~07
, (bereinafter referred to as ·Principal-J
have. entered 1nto an agreament dated
and identified as __ ~ __ ~~ ____ ~ __ ~~~ __ ~~~~~~~~~
wbich ia bereby referred to and made a pllrt hereof wbereby
Principal agrees to install and complete certain desiqnated public
ilDprovements; and.
WHEREAS J said Principal Is required under the terms of said
agreement to furnish a bond for the faithful performance. of said
aqreement.
NOW, THEREFORE .. said Principal and
~ ________ ~~ __ ~ __ ~ __ ~ ____ ~~~ __ ~~ __ ~~ ___________ • as Surety,
incorporated under the laws of the State of
are held and firaly bound unto city in the penal sum of
~~~~~~~~~~~~~~oo= Dollars ($ ), for the payment wbereo:f principal and Surety bind t.. ... emselves, their
heirs, executors, admini.trators, successors and assigns, jointly
and several1y, firm1y by these pre&ents~
The condition of this obligation is such that if the Principal,
Principal's heirs, executors, administrators, successors or assiqns
sha11 promptly and faithfully keep and perform the covenants,
conditions and provisions of the above-mentioned agreement and any
alteration thereof, with or without notice to the Surety, and if
Principal shall satisfy 611 claims and dema..'lds incurred UOOE'·r such
aqreement and shall fully indemnity, def2nd and hold harmless the
City, its officers, aqents, and employees from all claims, demands
or liabilities Which may arise ~y reason of Principals's failure to
do so, and shall reimburse and repay the City all outlay and
expenses Which the City may incur in making good any default, then
this obligation shall be null and void; otherwise, it shall remain
in full torce and effect.
As part ot the obligations secured hereto, and in addition to the
face amount specified therefore, there shall be included costs and
reasonable expenses and fees, including reasonable attorney's fees
j,ncurred by the City in successfully enforcing such obligations,
all to be taxed as costs and included in any judgement rendered4
The Sur~ty hereby stipulates and aqrees that no change, extension
ot time, alteration or addition to the terms or the agreement o~ to
the work to be performed thereunder or the specifications
accompanying the same, shall in any way affect its obliqations on
this bond, and it does bereby waive notice ot any such change,
Pg. 1 of 2
•
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exten810n of time. alteration or addition to the terms of the
agreement or to ~~e work or the speclticationa~
Dr wrI'HESS WHEREOF, this Instrwa.ent has been duly executed by the
Principal and Surety above named. on I 19 __
APPROVED AS TO FORK'
City Att.orney
anTi or CALlf'01UI'U COOJftt or _____ _
PRlNCIPAL,~ ____ ~ _____ ~ __ ~
(Type cOIIlpany Nalle)
BY' ______________________ __
Its' ______________________ ___
SURETY,~~~~~~~~~~~-(Type Company Name)
PHONE NVMBER' ______________ _
BY' __________ _
Its' ______________________ ___
Oa , beLoH ., pe.r.onaU,. appear.cl known to ..
to be the • of the corporation tbat ezec\Oited. the withi%!
~nt.. kna.rn to _ t.o :b4I tho perlfOfII who:! e:n:;!utac:. t:ta within ir.atrwaant 00
blahal%" of tba eorporat.1on therein ~I and aclmowledgltd to _ that .l.Il;h
corporation ~cutacs the within inlrtrument purauant to ita bylaw .. or ... reaolution
of it. ~ of" dir8Ctor.~
RotAry PubliC' for the State of C41ifcrnia
srA'l'I: OF CALIPOUIA <:OUJrrY OP _____ _
On btI.for. _ .. p!l.Z'SO%1&llr appeared. known to
_ to ~ the , of the corpcutiOQ that e.ecuted the within
~, lmowu to _ to b. the penon who 1lX8CUtad the within inatrument on
behalf o.f the corporatioa tharein nu.d,. and acknowledged to %lie that aucb
corporation e.xacut.e4 the within inetrumcimt ,pur.u&l'\t to it. bylaW'8 or a re.olution
ot it. board of du.ctor ••
Rotary Public for the State of california
Pq. 2 of 2
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1121-1
...... ct TO t.An-l'A'f'MENT CJ(ARGE OF 1. , ... F NOT" PAID BY 12-241-'0
~~9-03350a-6 90 PLEASE PAY
$l61.a~
OLOD ~P~A~B~Ri.:.LD<3-ClA~ EN SVC !II cc ~
CA 9~301
i
~-~-~~-~~-~-~-~~------------
crrY OF PALO ALTO U'T1LinEs "'" 2ICI ~M..NlO N.J!l CIoIICAM MS:ll • "El.: ~ omcxS!llo1.1 ---........... ,."..,-
SEWER
REFUSE
'11-89
12-89
1-90
2-90
3-90
4":90
5-90
6~90
7-90
8-90
9-90
10-90
10.00
11.35
90
BAL FWD
99~-03350a-6
29
..12-.04 c 90
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.00
rOTALrD~UE~ __ ~~~"
\ 161.8 9 1
$.25
$.711
26.3
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City 01 Palo Allo ~lTACHM[iiT c
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Insurar.cie Requlremenh !Of Conlra ... ors
CONT'FtACTQFlS '10 1HE CITY OF PA.lO AlJ'O, AT THEIR SOLE EXPENSE, SHAll OBTAIN AND MAINTAIN INSURANCE FO~ THE TEAM
OF THE CONTRACT. CON'T'RAC'1Oi=IS WlU BE ~EOUIRED 10 PROVIDE ~ CEA'TlACATE EVIDENCING THE INSUAANCe A.ND NAMI NG
THE COY AS AN AOOrl'JONAlINSURED.
THE CERI'FICJU"E Of INSVRANC£ MUST BE COMPLETED AND EXECUTEO BY AN AUTHORIZED FtEPAESENTATlVE OF THE COMPANY
PAC7o/IDINQ I:H$UFWllCE, FILED WITH" THE CITY, AND APPROVED BY THE" CITY'S AjSK MANAGER 9e:~OR.e-THE CONTRACT Will
SE CONSIDERED COMPLETE r.s RESPs;!S INS URANCE.
THIS INSTRUCTION SHEET SHOlA.O BE GIVEN 10 'lOUR INSURANCE AGENTIBROKER WITH TH E RECUrRED CEATIFICATE FORM.
RETURN THE COUPlE"!'EO CEFmFICATE 10 THE CITY OF PALO ALlO CONTRACTING DEPARTME NT.
THE lKSURANCE CO\taWlES <CHECKED BElOW ARE ~EQUIRED fOR nHS CONTRACt.
COlli ;*lIIEM$!W! CiiII9'I9tAl. UA8IUTY 1NC:lJ.IDIifG: · """"""'-........,.
• ~ FONI PPQKRN' 'O'MIoIlE
'BWd<Fr_
• RRE LfGAL UABIUtY
.............,.-.,.
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SlATUIDA'Y
A.. The ~ at PUl AIIlI, ib oIfllCef'l. ag.nII and empioyHl are r'ICImed as addillOl'lilI ~re<l. bi.It cr11y as \z:I wort.; pe~ u~ ~ratt, SaJd rovraQ'@
_11:1 the Qty (II Palo NLo. ... atW be Pfirnery cowrage., WJ1hou1: onse. l19ainsl CIty's ~ng i~l.I"'r'1ce and any atr.M tftIUI'anc:e carried by 'ttlll! City
beionQ 8lCOtSS insIP ..... only.
a. ~ ~'M)dr: ~~~ • ...::avar~. drtllir.g. or oltM ~Qrwnd worIc.. d'1e por.~ itw:1~ dMlr~ion of wires, Ctlnd~rt:&. PO\)eS. Mains.·
f1I o{her"""'" P'OI*fr OJ eny ~ m COfIn.dJCtI ~ btllOIIiO IhlI sur1ace of ItlI! groul1d wMlhaf owned by ~rd p.artittS 01 me CIty ol Palo ANtI
C. \Mwn ct1I8 wort ~ ~, c:dIIpIIt ~ is prtMd&d in h IInOLJI1t$ a.bove .
0. Tn. par"," IndUdeI • ·'SewI'4IbIIit) d 1ntafesI~ ~.
E. DIduClibIes ower ts.OOOJ)OO n1UIl be ~ IncI .,. ~ It> approy;Il
F. '"I\ICh poWcin" ~ or ~ d~ '\he period or ~ as. ~ t".et1i!1!". in soc" a maf\'* .. ID ~ ~ Cerb~e, 'hny \3CI}-&.~
writIen ncttce win be fI\dtod II) Ihe ClIy of Palo Mo, Alit loI&nAget. PO. Seal 10250, Palo Ajl.c, Camomia 94J03.
G. The ieiIty ~ poroey ~ a conrradllalli.abi~1y ~ PfO'I'diI"liJ ~raoce coverage !or c:on1r8dof'. ~ ID il1demnty the Crt'(
H. TN ~ ~ wnder 'IN poiCiM II fUbied to .all IN IennS ol thf poIian ~l1atad Nreif\ oIJ'd mHIS all ~ pmyiSIOMS c:sJ1Pod for r.ereitl.