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HomeMy WebLinkAboutCOM 0797.000 1996-1998 J~ix•or "+a Stephen K. Yamashiro •T' " Harry A. Takahashi Mayor Director Sri •":'"'y',~ F pp•N~ &UnfV o phtivatt DEPARTMENT OF FINANCE 25 Aupuni Street, Room 118 • Hilo, Hawaii 96720-4252 (808) 961-8234 • Fax (808) 961-8248 April 7, 1998 (1 Honorable James Arakaki, Chairperson and Members of the County Council Hawaii County Council 25 Aupuni Street Hilo, Hawaii 96720 Re: Operating Budget Enclosed is a bill for an ordinance to appropriate $10,700 for a DARE/OYS program. The Department of Human Services, Office of Youth Services, is providing funds to further the education of DARE officers. These courses will allow the officers to discuss and update the curriculum and teaching methods presently taught in the schools. It will also help with solving problems officers have encountered while conducting the training curriculum. Also enclosed is a resolution authorizing the Mayor of the County of Hawaii to execute County Project No. DHS-98-OYS-6337. If there are any questions, please do not hesitate to call the Hawaii County P lice D artment. Harry A. akahashi Director of Finance AP' ED: Stephen K. Yamashiro Mayor 13, 11 AQL a 1QeS, d 5-7 ujrmuL No. fl q-1 FN C) lRie [t9._„ F <~z - i r, t.e tAPR 1 1 Fo-,~m B-52 7/18/91 DEPARTMENT OF FINANCE REQUEST FOR COUNCIL ACTION DEPARTMENT: POLICE DATE: 4/2/98 STAFF CONTACT: GARY MAESATO, BUSINESS MANAGER PHONE: 961-2274 A. REQUEST: To create an account entitled "DARE/OYS" $10,700 under object code 115. B. BACKGROUND AND JUSTIFICATION (USE ADDITIONAL SHEETS AS NEEDED): The Department of Human Services, Office of Youth Services is providing funds to further the education of our DARE officers. The training will include attending the DARE Officers Association Conference on Kauai, National DARE Officers Association Conference in New Mexico, DARE Facilitator training in Los Angeles, DARE Officer Senior High Training in Los Angeles and National DARE Parent Program training in Los Angeles. The officers that attend these seminars will return and teach the other DARE officers. These courses will allow the officers to discuss and update the curriculum and teaching methods presently taught in the schools. It will also help with solving problems officers have encountered while conducting the training curriculum. SIGNED: "71"^ DATE: 4_3-9$ WAY WE G. CARVALHO POLICE CHIEF ATTACH. C-797 (B-220) (R-257) y , STATE OF HAWAII DHS-98-OYS-6337 .;REEMENT FOR NON-BID PURCHASE OF GOODS AND SERVICES This Agreement, executed on the respective dates of the signatures of the parties shown hereafter, is effective as of January 1st_, 19 98 , between the Department of Human services, office of Youth Services r ..ter. . ~ State of Hawaii (hereinafter 'STATE'), by its Executive Director (hereinafter 'DIRECTOR'), and County of Hawaii (hereinafter 'CONTRACTOR% a Public Instrumentality A... •~..ra' '~,..w.' 7r • •.r. ~+.r,w. • ..r...~f.. r ~r C~sl under the laws of the State-of Hawaii whose business address and taxpayer identification number are as follows: 24 Aupuni Street, Hilo, Hawaii 96720 State ID 1300-16002 Fed. ID 099-6000567 RECITAL C A. The STATE is in need of the goods or services, or both, (also referred to as 'goods and services'), described in this Agreement and its attachments. The CONTRACTOR is agreeable to providing the goods and services. B. This Agreement is for (check one box): ? (1) an y procurement of goods and services as set forth in section 103D-307, Hawaii Revised Statutes ('HRS'), and the rules adopted by the Procurement Policy Office, hereinafter referred to as 'Procurement Rules'; or ? (2) a sole source procurement of goods and services as set forth in section 103D-306, HRS, and the Procurement Rules; or U (3) a small pLa rbase procurement of goods and services as set forth in section 103D-303, HRS, and the Procurement Rules; or ® (4) a procurement expenditure of public funds for goods and services that is otherwise expressly y=t from public bidding by the following law or regulation: Chapter 103D-102(b)(3) HRS C. Money is available to fund this Agmment$ursuant to: Safe and rug Frne Schools State Grants Program, (l) Act 328, SLH 1997 or(2) Elementary and Secondary Education Act of 1965, 66.0.ter alb/ ~ as amended, or both, in the following amounts: State S -0- _ CFDA No. 84.186A FederalS 10,700.00 Form AG2AM (1/96) D. Pursuant HRS Chapter 346-63(b) the STATE is authorized to NN ..r.. wr Aw..r, enter into this Agreement. NOW, THEREFORE, in consideration of the promises contained in this Agreement, the STATE and the CONTRACTOR agree as follows: 1. Scone of Services, The CONTRACTOR shall, in a proper and satisfactory manner as determined by the STATE, provide all the goods and services set forth in Attachment 1, which is hereby made a part of this Agreement. - r Time of-Performance. The performance required of the CONTRACTOR under this Agreement shall be completed in accordance with the Time Schedule set forth in Attachment 2, which is hereby made a part of this Agreement. 3. Compensation. The CONTRACTOR shall be compensated in a total amount not to eXCeed TEN THOUSAND SEVEN HUNDRED AND N01100 DOLLARS 10,700.00 including approved costs incurred and taxes, according to the Compensation and Payment Schedule set forth in Attachment 3, which is hereby made a part of this Agreement. 4. Bonds. The CONTRACTOR (is) (is not) required to provide a (performance) (payment) (performance and payment) bond in the amount of N/A DOLLARS (S 5. Standards of Conduct Declaration. The Standards of Conduct Declaration of the CONTRACTOR is attached and is made a part of this Agreement. 6. Other Terms and Conditions. The General Conditions and any Special Conditions are attached hereto and made a part of this Agreement. In the event of a conflict between the General Conditions and the Special Conditions, the Special Conditions shall control. 7. Liquidated damages shall be assessed in the amount of N/A DOLLARS ) per day, in accordance with paragraph 9 of the General Conditions. Form A02-K(2) (1196) 2 a 8. Wis, y written notice required to be given y a party to this Agreement shall be (a) delivered personally, or (b) sent by United States first class mail, postage prepaid. Notice required to be given to the DIRECTOR shall be sent to the DIRECTOR's office in Department of Honolulu, Hawaii. Notice to the agency procurement officer shall be sent to: Human Services P.O. Boa 339 Honolulu, Hawaii 96809 Notice to the CONTRACTOR shall be sent to the CONTRACTOR at the CONTRACTOR's address as indicated in this Agreement. A notice shall be deemed to have been received three (3) days after mailing or at the time of actual receipt, whichever is earlier. The CONTRACTOR is responsible for notifying the STATE in writing of any change of address. IN VIEW OF THE ABOVE, the parties execute this Agreement by their signatures, on the dates below, to be effective as of the date first above written. STATE By Print Name Bert Y. Hatsuoka Title Executive Director Date Form AC24K(2) (1/96) 3 CONTRACTOR Rf B~M~D Rp't~k: By C"Ajj" Print Name Wayne G. Carvalho Title Police Chief • Date February 25, 1998 APPROVED AS TO FORM:-- K-YA1MtA3fti'R8' WfLLIAM G. DAMS ACT117GMayor Deputy Attorney General 'Evidence of authority of the CONTRACTOR's representative to sign this Agreement for the CONTRACTOR must be attached. N't AND LEGALITY: CORPORATION COUNSEL COU?liY O: HAWAII Fom A02-K(2) (196) 4 STATE OF HAWAII ) Ss. COUNTY OF HAWAII ) On this day of M N 199 before me WILUAM G. DAVIS personally appeared , to me personally known, !ACTING who, being by me duly sworn, did say that he is the^Ma Mayor of the County of Hawaii, a municipal corporation of the State of Hawaii; that the seal affixed to the foregoing instrument is the corporate seal of the -said County of Hawaii; that the foregoing instrument was signed and sealed in behalf of the County of Hawaii by G authority given to said Mayor of the County of Hawaii by 5-1-5 Section of the County Charter, County of Hawaii (1991),/ VJILUA!A G. DAMS as amended; and said STEP-HEN KY 4RO acknowledged said instrument to be the free act and deed of said County of Hawaii. Vie x~ Notar Public, State of Hawaii I d-Qv I My commission expires: I ATTACHMENTI SCOPE OF SERVICES 1. The CONTRACTOR shall provide the STATE pursuant to the Safe and Drug- Free Schools State Grants Program, Elementary and Secondary Education Act of 1965, as amended, Catalog of Federal Domestic Assistance No. 84-186A, with coordination and administration of the Drug Abuse Resistance Education Program (hereinafter DARE) to the County of Hawaii. The CONTRACTOR shall be responsible for the implementation of the DARE curriculum which teaches children the necessary skills to recognize and resist the subtle and overt pressures -that cause them to_experiment with tobacco, alcohol, and other drugs. Specifically, the CONTRACTOR shall be responsible for the following: A. Provide the DARE curriculum which consists of one (1) lesson per week for one (1) hour to all fifth graders in the public schools, and other grade levels as resources permit. B. Provide the DARE police officers with the following trainings: - 1. A minimum of one (1) police officer shall be provided an opportunity to attend the Hawaii DARE Officers Association Conference on Kauai. 2.,,/ A maximum of three (3) police officers shall be provided an opportunity to attend the National DARE Officers Association Conference in Albuqueque, New Mexico. Each officer who attends the conference shall submit a report which includes lessons learned and recommendations. 3. A maximum of one (1) police officer shall be provided an opportunity to attend the DARE Facilitator Training in Los Angeles, California. The officer who attends the training shall submit a report which includes lessons learned and recommendations. 4. A maximum of two (2) police officers shall be provided an opportunity to attend the DARE Officer Senior High Training in Los Angeles, California. Each officer who attends the training shall submit a report which includes lessons learned and recommendations. Scope of Services page I of 2 ATTACHMENTI 5. A maximum of two (2) police officers shall be provided an opportunity to attend the National DARE Parent Program Training in Los Angeles, California. Each officer who attends the training shall submit a report which includes lessons learned and recommendations. 2. The CONTRACTOR shall submit written reports of all conferences and trainings attended under this Agreement within thirty (30) days after the completion of the event. Should the CONTRACTOR fail to file the required reports with the -STATE on or before the required date, the STATE is authorized to withhold funds owed to the CONTRACTOR until the reports are filed with the STATE. 3. The CONTRACTOR shall submit the Quarterly Activity Report - Addendum (Exhibit D) and furnish any additional reports or information that the STATE may, from time to time, require such as the grade levels of the students served; the names of schools served; and the number of DARE officers involved with each school. 4. The CONTRACTOR shall, upon request, meet with representatives of the STATE to discuss the progress of the work required hereunder. 5. The CONTRACTOR shall insure that the source of funding (Safe and Drug-Free Schools State Grants Program, Elementary and Secondary Education Act of 1965, as amended, Governor's portion administered by the Office of Youth Services) is properly acknowledged in all reports, publications, and printed materials. Scope of Services page 2 of 2 1 6 ATTACHMENT2 TIME OF PERFORMANCE 1. The term of this AGREEMENT shall commence on January 1. 1998 and shall end on September 30. 1998, unless this AGREEMENT is sooner terminated as hereinafter provided. 2. The CONTRACTOR shall submit all financial reports on appropriate forms within thirty (30) days after the end of each quarter. The reports are due on: April 30, 1998 July 30, 1998 3. The CONTRACTOR shall submit all financial reports by October 31, 1998. Time of performance page 1 of 1 ATTACHMENT3 COMPENSATION AND PAYMENT SCHEDULE 1. In full consideration for the services satisfactorily performed by the CONTRACTOR under this Agreement, the STATE agrees, subject to the receipt of federal funds under the Safe and Drug-Free Schools State Grants Program, Elementary and Secondary Education Act of 1965, as amended, Catalog of Federal Domestic Assistance No. 84-186A, and subject to allotments to be made by the Director of Finance, State of Hawaii, pursuant to Chapter 37, Hawaii Revised Statutes, to pay the CONTRACTOR a total sum of money not to exceed N THOUSAND SEVEN HUNDRED AND NO/100 DOLLARS (.$10,700.00) --for the Agreement-period. 2. Upon execution of this Agreement, payments shall be paid in accordance with and subject to the following: a. Payments shall be made in quarterly installments upon the quarterly submission by the CONTRACTOR of the Invoice (OYS 023) attached hereto as Exhibit "B" and made a part hereof, in triplicate and one original for the services provided in accordance with Attachment 1, "Scope of Services," and in accordance with the costs identified in the Budget attached hereto as Exhibit "A" and made a part hereof b. Payments shall be determined by the STATE on a cost reimbursable basis. The Expenditure Report, attached hereto as Exhibit "C," and made a part hereof shall contain expenditures actually incurred for the performance of the services required under this Agreement and a certification of compliance with the provisions of this Agreement. The Expenditure Report, together with such supporting documents and progress reports of the performance of services that the STATE may require to be submitted by the CONTRACTOR, shall be reviewed by the STATE and shall be subject to the STATE's preliminary determination of appropriateness and allowability of the reported expenditures. The STATE's preliminary determination of appropriateness and allowability of the reported expenditures shall be subject to later verification and subsequent audit. C. If an amount of reported expenditures is preliminarily determined by the STATE to be inappropriate and unallowable, the STATE may deduct an equivalent amount from the next payable installment and may withhold payment of the amount of moneys equivalent to the questioned expenditures until later resolution of the discrepancy by audit or other means. If, after payment of the last installment prior to final payment in final settlement, investigation and examination reveal additional expenditures that are determined by the STATE to be inappropriate and Compensation and Payment Schedule page I of 2 ATTACHMENT 3 unallowable, the STATE may require that an equivalent amount of moneys to be refunded by the CONTRACTOR notwithstanding the STATE's preliminary determination of appropriateness and allowability. An amount of moneys to be refunded by the CONTRACTOR may be offset against the amount of moneys withheld by the STATE in determining the amount of the final payment to be made to the CONTRACTOR in final settlement of this Agreement. Final settlement shall include submission and acceptance of all reports and other materials to be submitted by the CONTRACTOR to the STATE, resolution of all discrepancies in performance of services, and completion of all other outstanding matters under this Agreement. d. The CONTRACTOR shall request in writing to the STATE for prior approval for any budget revisions to the approved budget in excess of ten percent (10%) of each budget line item. e. All payments shall be made in accordance with and subject to Chapter 40, Hawaii Revised Statutes. Compensation and Payment Schedule page 2 of 2 ATTACHMENT 4 STANDARDS OF CONDUCT DECLARATION For the purposes of this declaration: "Agency' means and includes the State, the legislature and its committees, all executive departments, boards, commissions, committees, bureaus, offices, the University of Hawaii, and all independent commissions and other establishments of the state government but excluding the courts. "Controlling interest' means an interest in a business or other undntaldng which is sufficient in fact to control, whether the interest is greater or less than fifty per cent (50%). 'Employee' means any nominated, appointed, or elected officer or employee of the State, including members of boards, commissions, and committers, and employees under contract to the State or of the constitutional convention, but excluding legislators, delegates to the constitutional convention, justices, and judges. On behalf of County of Hawaii , CONTRACTOR, the undersigned does declare as follows: 1. CONTRACTOR (is) (is not) a legislator or an employer or a business in which a legislator or an employee has a controlling interest. • 2. CONTRACTOR has not been assisted or represented by a legislator or employee for a fee or other compensation to obtain this Agreement and will not be assisted or represented by a legislator or employee for a fee or other compensation in the performance of the Agreement, if the legislator or employee had been involved in the development or award of the Agreement. 3. CONTRACTOR has not been assisted or represented for a fee or other compensation in the award of this Agreement by an Agency employee or, in the case of the Legislature, by a legislator. 4. CONTRACTOR has not been represented or assisted personally on matters related to the Agreement by a person who has been an employee of the Agency within the preceding two (2) years and who p uc*ated while in state office or employment on the matter with which the Agreement is dku:dy concerned. 5. CONTRACTOR has not been represented or assisted on mattes related to this Agreement, for a fee or otber consideration by an individual who, within the past twelve (12) months, has been an Agency employee, or in the case of the Legislature, a legislator. 6. CONTRACTOR has not been represented or assisted in the award of this Agreement fora fee or other consideration by an individual who, a) within the past twelve (12) months, served as an Agency employee or in the case of the Legislature, a legislator, and b) participated while an employee or legislator on matter related to this Agreement Fo m AGadta) (t/si) CONTRACTOR understands that the Agreement to which this document is attached is voidable on behalf of the STATE if this Agreement was entered into in violation of any provision of chapter 84, HRS, commonly referred to as the Code of Ethics, including the provisions which are the source of the declarations above. Additionally, any fee, compensation, gift, or profit received by any person as a result of a violation of the Code of Ethics may be recovered by the STATE. Hilo DATED: IS gMjRbK Hawaii, February 25 , 19u,. CONTRACTOR By ytyt Wayne 10. Carvalho Title Police Chief 'Reminder to Agency: If 'is' is circled, the Agency is required, under section 8415, HRS, to file with the State Ethics Commission, ten (10) days before the Agreement is entered into, a written justification as to why the Agreement was not required to be competitively bid. Form AG2-K(2) (1/96) n ATTACHMENT 4 STANDARDS OF CONDUCT DECLARATION For the purposes of this declaration: 'Agency' mans and includes the State, the legislature and its committees, all executive departments, boards, commissions, committees, bureaus, offices, the University of Hawaii, and all independent commissions and other establishments of the state government but excluding the courts. "Controlling interest' means an interest in a business or other undntaldng which is sufficient w fact to control, whether the interest is greater or less than fifty per ant (50%). 'Employee' means any nominated, appointed, or elected offiar of employee of the State, including members of boards, commissions, and committees, and employees under contact to the State or of the constitutional convention, but excluding legislators delegates to the constitutional convention, justices, and judges. On behalf of county of Hawaii CONTRACTOR, the undersigned does declare as follows: 1. CONTRACTOR (is) (is not) a legislator or an employee or a business in which a legislator or an employee has a controlling intent. • 2. CONTRACTOR has not been assisted or represented by a legislator or employee for a fee or other compensation to obtain this Agreement and will not be assisted or represented by a legislator or employee for a fee or other compensation in the performance of the Agreement, if the legislator or employee had been involved in the development or award of the Agreement. 3. CONTRACTOR has not been -tasted or represented for a fee or other compensation in the award of this Agreement by an Agency employee or, in the case of the Legislature, by a legislator. 4. CONTRACTOR bas not been represented or assisted personally on matters related to the Agreement by a person who has bees an employee of the Agency within the preceding two (2) years and who partcipated while m sate office or employment an the mattes with which the Agreement a dhecdy concerned. 5. CONT1tAC'TOR has not been represented or assisted on mattes related to this Agreement, far a fee or other coati knuiaa by an individual who, within the past twelve (12) months, has been an Agency employee, or in the can of the Legislature, a legislator. 6. CONTRACTOR has not been represented or assisted in the award of this Agreement fora fee or other consideration by an individual who, a) within the past twelve (12) months, served as an Agency employee or in the are of the Legislawre, a legislator, and b) participated while an employee or legislator an matters related to this Agreeaheu. Fan AG24= (1N6) CONTRACTOR understands that the Agreement to which this document is attached is voidable on behalf of the STATE if this Agreement was entered into in violation of any provision of chapter 84, HRS, commonly referred to as the Code of Ethics, including the provisions which are the source of the declarations above. Additionally, any fee, compensation, gift, or profit received by any person as a result of a violation of the Code of Ethics may be recovered by the STATE. Hilo DATED: YAM"; Hawaii, February 25. 19 98 CONTRACTOR s v G' y wayrfd G. Carvalho Title Vnlire Chief "Reminder to Agenq: if is' is circled, the Agency is required, under section 84-15, HRS, to file with the State Ethics Commission, ten (10) days bd= the Agreement is entered into, a written justification as to why the Agteemeit was not required to be competitively bid. Fem ACS-KM (VW ATTACHMENT 5 GENERAL COMMONS Table of Contents Pam 1. Coordination of Services by the STATE 1 2. Relationship of Parties: Ind=dent Contractor Status _ and Rc=sibit_ities. Including TAR possibilities 1 3. Personnel Requirements 2 4. NondjjgdmjU&dO 2 5. Conflicts of Interest 2 6. 3 7. Indemnification and Defense 4 8. Cost of Lift lion 4 4. 4 10. State's Right of Offset 4 11. Disputes 5 12. Suspension of Agreement 5 13. Termination for Default 6 14. Termination for Convenience 8 15. Claims Based on the A=cy Procurement Officer's Actions or Omissions 10 16. Costs and Expenses 11 17. Payment Procedures: Final Payment: Tax Clearance 12 18. Federal Funds 12 i Forte AG24)gltW 19. .................................12 20. Chaner,Order, 14 21. Price Adiustment 15 22. Variation in Quantity for Definite Quanti ty Aumments ...........................................16 23. Changes in Cost-Reimbursement Aereement 16 24. Confidentiality of Material 17 25. Publicity 17 26. Ownership Rights and Coovright 17 27. Liens and Warranties 17 28. Audit of Books and Records of the CONTRACTOR 18 29. Cost or Pricing Data 18 30. Audit of Cost or Pricing Data 18 31. Records Retention 18 32. Antitrust Claims 18 33. Minimizing Congestion 18 34. Governine Law 18 35. Compliance with Laws 19 36. Conflict between General Conditions and Procurement Rules 19 37. ........................................19 38. Severabiliri 19 39. Waiver ..............................................19 ii Fmm Acarctt" GENERAL CONDITIONS 1. Coordination of Services by the STATE, The 'head of the purchasing agency,' (which tam includes the designee of the head of the purchasing agency), shall coordinate the services to be provided by the CONTRACTOR in order to complete the performance required in the Agreement. The CONTRACTOR shall maintain communications with the head of the purchasing agency at all stages of the CONTRACTOR's work, and submit to the head of the purchasing agency for resolution any questions which may arise as to the performance of this Agreement. 'Purchasing agency' as used in these General Conditions means and includes any governmental body which is authorized under chapter 103D, FIRS, or its implementing rules and procedures, or by way of delegation, to enter into contracts for the procurement of services. 2. Relationshill of Parties: IndaMdent Contractor Status and Responsibilities. Including Tax Responsibilities. a. In the performance of services required under this Agreement, the CONTRACTOR is an 'independent contractor,' with the authority and responsibility to control and direct the performance and details of the work and services required under this Agreement; however, the STATE shall have a general right to inspect work in progress to determine whether, in the STATE's opinion, the services are being performed by the CONTRACTOR in compliance with this Agreement. Unless otherwise provided by special condition, it is understood that the STATE does not agree to use the CONTRACTOR exclusively, and that the CONTRACTOR is free to contract to provide services to other individuals or entities while under contract with the STATE. b. The CONTRACTOR and the CONTRACTOR's employees and agents are not by reason of this Agreement, agents or employees of the State for any purpose, and the CONTRACTOR and the CONTRACTOR's employers and agents shall not be entitled to claim or receive from the State any vacation, sick leave, retirement, workers' compensation, unemployment insurance, or other benefits provided to state employees. C. The CONTRACTOR shall be responsible for the accuracy, completeness, and adequacy of the CONTRACTOR's performance under this Agreement. Furthermore, the CONTRACTOR intentionally, voluntarily, and knowingly assumes the sole and entire liability to the CONTRACTOR's employees and agents, and to any individual not a party to this Agreement, for all loss, damage, or injury caused by the CONTRACTOR, or the CONTRACTOR's employees or agents in the course of their employment. 1 FWM AG2-GC(IIW d. The CONTRACTOR shall be responsible for payment of all applicable federal, state, and county taxes and fees which may become due and owing by the CONTRACTOR by reason of this Agreement, including but not limited to (1) income taxes, (i) employment related fees, assessments, and taxes, and (iii) genad excise taxes. The CONTRACTOR also is responsible for obtaining all licenses, permits, and certificates that may be required in order to perform this Agreement. C. The CONTRACTOR shall obtain a general excise tax license from the _ Department of Taxation, State of Hawaii, in accordance with section 237-9, FIRS, and shall comply with all requirements thereof. The CONTRACTOR shall obtain a tax clearance certificate from the Director of Taxation, State of Hawaii, showing that all delinquent taxes, if any, levied or accrued under state law against the CONTRACTOR have been paid and submit the same to the STATE prior to commencing any performance under this Agreement. The CONTRACTOR shall also be solely responsible for meeting all requirements necessary to obtain the tax clearance certificate required for final payment under sections 103-53 and 237-45, HRS, and paragraph 17 of these General Conditions. f. The CONTRACTOR is responsible for securing all employee-related insurance coverage for the CONTRACTOR and the CONTRACTOR's employees and agents that is or may be required by law, and for payment of all premiums, costs, and other liabilities associated with securing the insurance coverage. 3. Personnel Rcguirements, a. The CONTRACTOR shall secure, at the CONTRACTOR's own expense, all personnel required to perform this Agreement. b. The CONTRACTOR shall ensure that the CONTRACTOR's employees or agents are experienced and fully qualified to engage in the activities and perform the services required under this Agreement, and that all applicable licensing and operating requirements imposed or required under federal, state, or county law, and all applicable accreditation and other standards of quality generally accepted in the field of the activities of such employees and agents are complied with and satisfied. 4. Nondiscrimination. No person performing work under this Agreement, including any subcontractor, employee, or agent of the CONTRACTOR, shall engage in any discrimination that is prohibited by any applicable federal, state, or county law. 5. Conflicts of Interest. The CONTRACTOR represents that neither the CONTRACTOR, nor any employee or agent of the CONTRACTOR, presently has any interest, and promises that no such interest, direct or indirect, shall be acquired, that would or might 2 Foam Asa-=III conflict' in any manner or degree with the CONTRACTOR's performance under this Agreement. 6, Subcontracts and As_si m n s The CONTRACTOR shall not assign or subcontract any of the CONTRACTOR's duties, obligations, or interests under this Agreement and no such assignment or subcontract shall be effective unless (i) the CONTRACTOR obtains the prior written consent of the STATE and (ii) the CONTRACTOR's assignee or subcontractor submits to the STATE a tax clearance certificate from the Director of Taxation, State of Hawaii, showing that all delinquent taxes, if any, levied or accrued under state law against the CONTRACTOR's assignee or subcontractor have been paid. Additionally, no assignment by the CONTRACTOR of the CONTRACTOR's right to compensation under this Agreement shall be effective unless and until the assignment is approved by the Comptroller of the State of Hawaii, as provided in section 40-58, HRS. a. Recoenition of a successor in interest. When in the best interest of the State, a successor in interest may be recognized in an assignment agreement in which the STATE, the CONTRACTOR and the assignee or transferee (hereinafter referred to as the 'Assignee') agree that: (1) The Assignee assumes all of the CONTRACTOR's obligations; (2) The CONTRACTOR remains liable for all obligations under this Agreement but waives all rights under this Agreement as against the STATE; and (3) The CONTRACTOR shall continue to furnish, and the Assignee shall also furnish, all required bonds. b. Change of name. When the CONTRACTOR asks to change the name in which it holds this Agreement with the STATE, the procurement officer of the purchasing agency (hereinafter referred to as the "Agency procurement offi=') shall, upon receipt of a document acceptable or satisfactory to the Agency procurement officer indicating such change of name (for example, an amendment to the CONTRACTOR's articles of incorporation), enter into an amendment to this Agreement with the CONTRACTOR to effect such a change of name. The amendment to this Agreement changing the CONTRACT'OR's name shall specifically indicate that no other terms and conditions of this Agreement are thereby changed. C. &=a All assignment agreements and amendments to this Agreement effecting changes of the CONTRACTOR'S name or novations hereunder shall be reported to the CPO within thirty days of the date that the assignment agreement or amendment becomes effective. 3 rvem Acz-ccaivst d. Actions affecting more than one purchasing agency. Notwithstanding the provisions of subparagraphs 6a through 6c herein, when the CONTRACTOR holds agreements with more than one purchasing agency of the State, the assignment agreements and the novation and change of name amendments herein authorized shall be processed only through the CPO's office. 7. Indemnification and Defense. The CONTRACTOR shall defend, indemnify, and hold harmless the State of Hawaii, the contracting agency, and their officers, employees, and agents from and against all liability, loss, damage, cost, and expense, including all attorneys' fees, and all claims, suits, and demands therefor, arising out of or resulting from the acts or omissions of the CONTRACTOR or the CONTRACTOR's employees, officers, agents, or subcontractors under this Agreement. The provisions of this paragraph shall remain in full force and effect notwithstanding the expiration or early termination of this Agreement. 8. Cost of Litigation. In case the STATE shall, without any fault on its part, be made a party to any litigation commenced by or against the CONTRACTOR in connection with this Agreement, the CONTRACTOR shall pay all costs and expenses incurred by or imposed on the STATE, including attorneys' fees. 9. Liquidated Damages. When the CONTRACTOR is given notice of delay or nonperformance as specified in paragraph 13 (Termination for Default) and fails to cure in the time specified, it is agreed the CONTRACTOR shall pay to the STATE the amount, if any, set forth in this Agreement per calendar day from the date set for cure until either (i) the STATE reasonably obtains similar goods or services, or both, if the CONTRACTOR is terminated for default, or (ii) until the CONTRACTOR provides the goods or services, or both, if the CONTRACTOR is not terminated for default. To the extant that the CONTRACTOR's delay or nonperformance is excused under paragraph 13d (Excuse for Nonperformance or Delay Performance), liquidated damages shall not. be assessable against the CONTRACTOR. The CONTRACTOR shall remain liable for damages caused other than by delay. 10. State's Right of Offset. The STATE may offset against any monies or other obligations the STATE owes to the CONTRACTOR under this Agreement, any amounts owed to the State of Hawaii by the CONTRACTOR under this Agreement or any other agreements or pursuant to any law or other obligation owed to the State of Hawaii by the CONTRACTOR, including, without limitation, the payment of any taxes or levies of any kind or nature. The STATE will notify the CONTRACTOR in writing of any offset and the nature of such offset. For purposes of this paragraph, amounts owed to the State of Hawaii shall not include debts or obligations which have been liquidated, agreed to by the CONTRACTOR, and are covered by an installment payment or other settlement plan approved by the State of Hawaii, provided, however, that the CONTRACTOR shall be entitled to such exclusion only to the extent that the CONTRACTOR is currant with, and 4 Form Acz-cc(1ros) not delinquent on, any payments or obligations owed to the State of Hawaii under such payment or other settlement plan. 11. DL== Disputes shall be resolved in accordance with section 103D-703, HRS, and chapter 126, Procurement Rules, as the same may be amended from time to time. 12. quMmsion of Agm ment. The STATE reserves the right at any time and for any reason to suspend this Agreement for any reasonable period, upon written notice to the CONTRACTOR in accordance with the provisions herein. a. Order to step performance. The Agency procurement officer, may, by written order to the CONTRACTOR, at any time, and without notice to any surety, require the CONTRACTOR to stop all or any part of the performance called for by this Agreement. This order shall be for a specified period not exceeding sixty (60) days after the order is delivered to the CONTRACTOR, unless the parties agree to any further period. Any such order shall be identified specifically as a stop performance order issued pursuant to this section. Upon receipt of such an order, the CONTRACTOR shall forthwith comply with its terms and suspend all performance under this Agreement at the time stated, provided, however, the CONTRACTOR shall take all reasonable steps to minimize the occurrence of costs allocable to the performance covered by the order during the period of performance stoppage. Before the stop performance order expires, or within any further period to which the parties shall have agreed, the Agency procurement officer shall either: (1) Cancel the stop performance order, or (2) Terminate the performance covered by such order as provided in the termination for default provision or the termination for convenience provision of this Agreement. b. Cancellation or e3piration of the order. If a stop performance order issued under this section is cancelled at any time during the period specified in the order, or if the period of the order or any extension thereof expires, the CONTRACTOR shall have the right to resume performance. An appropriate adjustment shall be made in the delivery schedule or Agreement price, or both, and the Agreement shall be modified in writing accordingly, if: (1) The stop performance order results in an increase in the time required for, or in the CONTRACTOR's cost properly allocable to, the performance of any part of this Agreement; and (2) The CONTRACTOR asserts a claim for such an adjustment within thirty (30) days after the end of the period of performance stoppage; provided 5 Form Acrz-ac(tIW that, if the Agency procurement officer decides that the facts justify such action, any such claim asserted may be received and acted upon at any time prior to final payment under this Agreement. C. Termination of s gMCd performance. If a stop performance order is not cancelled and the performance covered by such order is terminated for default or convenience, the reasonable costs resulting from the stop performance order shall be allowable by adjustment or otherwise. d. Adjustment of price. Any adjustment in contract price made pursuant to this paragraph shall be determined in accordance with the price adjustment provision of this Agreement. 13. Termination for Default. a. Default, If the CONTRACTOR refines or fails to perform any of the provisions of this Agreement with such diligence as will ensure its completion within the time specified in this Agreement, or any extension thereof, otherwise fails to timely satisfy the Agreement provisions, or commits any other substantial breach of this Agreement, the Agency procurement officer may notify the CONTRACTOR in writing of the delay or non-performance and if not cured in ten (10) days or any longer time specified in writing by the Agency procurement officer, such officer may terminate the CONTRACTOR's right to proceed with the Agreement or such part of the Agreement as to which there has been delay or a failure to properly perform. In the event of termination in whole or in part the Agency procurement officer may procure similar goods or services in a manner and upon the terms deemed appropriate by the Agency procurement officer. The CONTRACTOR shall continue performance of the Agreement to the extent it is not terminated and shall be liable for excess costs incurred in procuring similar goods or services. b. CONTRACTOR's duties. Notwithstanding termination of the Agreement and subject to any directions from the Agency procurement officer, the CONTRACTOR shall take timely, reasonable, and necessary action to protect and preserve property in the possession of the CONTRACTOR in which the STATE has an interest. C. Compensation. Payment for completed goods and services delivered and accepted by the STATE shall be at the price set forth in the Agreement. Payment for the protection and preservation of property shall be in an amount agreed upon by the CONTRACTOR and the Agency procurement officer. If the parties fail to agree, the Agency procurement officer shall set an amount subject to the CONTRACTOR's rights under chapter 126, Procurement Rules. The STATE may withhold from amounts due the CONTRACTOR such sums as the Agency 6 Foam A424C11M s. + proctuement officer deems to be necessary to protect the STATE against loss because of outstanding liens or claims and to reimburse the STATE for the excess costs expected to be incurred by the STATE in procuring similar goods and services. d. Excuse for nonperformance or delayWpgformance. The CONTRACTOR shall not be in default by reason of any failure in performance of this Agreement in accordance with its terms, including any failure by the CONTRACTOR to make progress in the prosecution of the performance hereunder which endangers such performance, if the CONTRACTOR has notified the Agency procurement officer within fifteen (15) days after the cause of the delay and the failure arises out of causes such as: acts of God; acts of a public enemy; acts of the State and any other governmental body in its sovereign or contractual capacity; fins; floods; epidemics; quarantine restrictions; strikes or other labor disputes; freight embargoes; or unusually severe weather. If the failure to perform is caused by the failure of a subcontractor to perform or to make progress, and if such failure arises out of causes similar to those set forth above, the CONTRACTOR shall not be deemed to be in default, unless the goods and services to be furnished by the subcontractor were reasonably obtainable from other sources in sufficient time to permit the CONTRACTOR to meet the requirements of the Agreement. Upon request of the CONTRACTOR, the Agency procurement officer shall ascertain the facts and extent of such failure, and, if such officer determines that any failure to perform was occasioned by any one or more of the excusable causes, and that, but for the excusable cause, the CONTRACTOR's progress and performance would have met the terms of the Agreement, the delivery schedule shall be revised accordingly, subject to the rights of the STATE under this Agreement. As used in this paragraph, the term "subcontractor" means subcontractor at any tier. e. Erroneous termination for default. If, after notice of termination of the CONTRACTOR's right to proceed under this paragraph, it is determined for any reason that the CONTRACTOR was not in default under this paragraph, or that the delay was excusable under the provisions of subparagraph 13d, "Excuse for nonperformance or delayed performance," the rights and obligations of the parties shall be the same as if the notice of termination had been issued pursuant to such provision. f. Additional rights and remedies. The rights and remedies provided in this paragraph are in addition to any other rights and remedies provided by law or under this Agreement. 7 Prom AG2-Gql 6) a v 14. Termination for Convenience, a. Term10gpffi. The Agency procurement officer may, when the interests of the STATE so requite, terminate this Agreement in whole or in part, for the convenience of the STATE. The Agency procurement officer shall give written notice of the termination to the CONTRACTOR specifying the part of the Agreement terminated and when termination becomes effective. b. CONTRACTOR's obliEiati ns. The CONTRACTOR shall incur no further obligations in connection with the terminated performance and on the date(s) set in the notice of termination the CONTRACTOR will stop performance to the extent specified. The CONTRACTOR shall also terminate outstanding orders and subcontracts as they relate to the terminated performance. The CONTRACTOR shall settle the liabilities and claims arising out of the termination of subcontracts and orders connected with the terminated performance. The Agency procurement officer may direct the CONTRACTOR to assign the CONTRACTOR's right, title, and interest under terminated orders or subcontracts to the STATE. The CONTRACTOR must still complete the performance not terminated by the notice of termination and may incur obligations as necessary to do so. C. Right to goods and work =duct, The Agency procurement officer may require the CONTRACTOR to transfer title and deliver to the STATE in the manner and to the extent directed by the Agency procurement officer: (1) Any completed goods or work product; and (2) The partially completed goods and materials, parts, tools, dies, jigs, fixtures, plans, drawings, information, and contract rights (hereinafter called "manufacturing materia as the CONTRACTOR has specifically produced or specially acquired for the performance of the terminated part of this Agreement. The CONTRACTOR shall, upon direction of the Agency procurement officer, protect and preserve property in the possession of the CONTRACTOR in which the STATE has an interest. If the Agency procurement officer does not exercise this right, the CONTRACTOR shall use best efforts to sell such goods and manufacturing materials. Use of this paragraph in no way implies that the STATE has breached the Agreement by exercise of the termination for convenience provision. d. Com=sation. (1) The CONTRACTOR shall submit a termination claim specifying the amounts due because of the termination for convenience together with the 8 roam AG2-CW411W s. v coat or pricing data, submitted to the extent required by subchapter 15, chapter 3-122, Procurement Rules, bearing on such claim. If the' _ CONTRACTOR fails to file a termination claim within one year from the effective date of termination, the Agency procurement officer may pay the CONTRACTOR, if at all, an amount set in accordance with subparagraph 14d(3) below. (2) The Agency procurement officer and the CONTRACTOR may agree to a settlement provided the CONTRACTOR has filed a termination claim supported by cost or pricing data submitted as required and that the settlement does not exceed the total -Agreement price plus settlement costs reduced by payments previously made by the STATE, the proceeds of any sales of goods and manufacturing materials under subparagraph 14c, and the Agreement price of the performance not terminated. (3) Absent complete agreement under subparagraph 14d(2) the Agency procurement officer shall pay the CONTRACTOR the following amounts, provided payments agreed to under subparagraph 14d(2) shall not duplicate payments under this subparagraph for the following: (A) Contract prices for goods or services accepted under the Agreement; (B) Costs incurred in preparing to perform and performing the terminated portion of the performance plus a fair and reasonable profit on such portion of the performance, such profit shall not include anticipatory profit or consequential damages, less amounts paid or to be paid for accepted goods or services; provided, however, that if it appears that the CONTRACTOR would have sustained a loss if the entire Agreement would have been completed, no profit shall be allowed or included and the amount of compensation shall be reduced to reflect the anticipated rate of loss; (C) Costs of settling and paying claims arising out of the termination of subcontracts or orders pursuant to subparagraph 14b. These costs must not include costs paid in accordance with subparagraph 14d(3)(B); (D) The reasonable settlement costs of the CONTRACTOR including accounting, legal, clerical, and other expenses reasonably necessary for the preparation of settlement claims and supporting data with respect to the terminated portion of the Agreement and for the termination of subcontracts thereunder, together with 9 Foam Ace-actrm 1 • reasonable storage, h2rtsportatron, and other costs incurred m connection with the protection or disposition of property allocable to the terminated portion of this Agreement. The total sum to be paid the CONTRACTOR under this subparagraph shall not exceed the total Agreement price plus the reasonable settlement costs of the CONTRACTOR reduced by the amount of payments otherwise made, the proceeds of any sales of supplies and manufacturing materials under subparagraph 14d(2), and the Agreement price of performance not terminated. _ (4) Costs claimed, agreed to, or established under subparagraphs 1402) and 14d(3) shall be in accordance with Chapter 3-123 (Cost Principles) of the Procurement Rules. 15. Claims Based on the Agency Procurement Officer's Actions or Omissions. a. Changes in scone. If any action or omission on the part of the Agency procurement officer (which term includes the designee of such officer for purposes of this paragraph 15) requiring performance changes within the scope of the Agreement constitutes the basis for a claim by the CONTRACTOR for additional compensation, damages, or an extension of time for completion, the CONTRACTOR shall continue with performance of the Agreement in compliance with the directions or orders of such officials, but by so doing, the CONTRACTOR shall not be deemed to have prejudiced any claim for additional compensation, damages, or an extension of time for completion; provided: (1) Written notice required. The CONTRACTOR shall give written notice to the Agency procurement officer: (A) Prior to the commencement of the performance involved, if at that time the CONTRACTOR ]mows of the occurrence of such action or omission; (B) Within thirty (30) days after the CONTRACTOR knows of the occurrence of such action or omission, if the CONTRACTOR did not have such knowledge prior to the commencement of the performance; or (C) Within such further time as may be allowed by the Agency procurement officer in writing. (2) Notice content. This notice shall state that the CONTRACTOR regards the act or omission as a reason which may entitle the CONTRACTOR to additional compensation, damages, or an extension of time. The Agency 10 Poem AG2-oe(rM) procurement officer, upon receipt of such notice, may rescind such action, remedy such omission, or take such other steps as may be deemed advisable in the discretion of the Agency procurement officer, (3) Basis must be explained. The notice rewired by subparagraph 15a(1) describes as clearly as practicable at the time the reasons why the CONTRACTOR believes that additional compensation, damages, or an extension of time may be remedies to which the CONTRACTOR is entitled; and (4) aim must be Justified, The CONTRACTOR must maintain and, upon request, make available to the Agency procurement officer within a reasonable time, detailed records to the extent practicable, and other documentation and evidence satisfactory to the STATE, justifying the claimed additional costs or an extension of time in connection with such changes. b. CONTRACTOR not excused. Nothing herein contained, however, shall excuse the CONTRACTOR from compliance with any rules or laws precluding any state officers and CONTRACTOR from acting in collusion or bad faith in issuing or performing change orders which are clearly not within the scope of the Agreement. C. Puce adiustment. Any adjustment in the price made pursuant to this paragraph shall be determined in accordance with the price adjustment provision of this Agreement. 16. Costs and Expenses. Any reimbursement due the CONTRACTOR for per diem and transportation expenses under this Agreement shall be subject to chapter 3-123 (Cost Principles) of the Procurement Rules and the following guidelines: a. Reimbursement for air transportation shall be for actual cost or coach class air fare, whichever is less. b. Reimbursement for ground transportation costs shall not exceed the actual cost of renting an intermediate-sized vehicle. C. Unless prior written approval of the DIRECTOR is obtained, reimbursement for subsistence allowance (i.e., hotel and meals, etc.) shall not exceed the applicable daily authorized rates for interisland or out-of-state travel that are set forth in the current Governor's Executive Order authorizing adjustments in salaries and benefits for state officers and employees in the executive branch who are excluded from collective bargaining coverage. 11 Prom AM- C(I" 17. payment Procedures: Final Payment: Tax Clearance, a. Original invoices mouired. All payments under this Agreement shall be made only upon submission by the CONTRACTOR of original invoices specifying the amount due and certifying that services requested under the Agreement have been performed by the CONTRACTOR according to the Agreement. b. Subiect to available funds. Such payments are subject to availability of funds and allotment by the Director of Finance in accordance with chapter 37, HRS. Further, all payments shall be made in accordance with and subject to chapter 40, HRS. C. Promnt yayment. (1) Any money, other than retainage, paid to the CONTRACTOR shall be dispersed to subcontractors within ten days after receipt of the money in accordance with the terms of the subcontract; provided that the subcontractor has met all the tams and conditions of the subcontract and there are no bona fide disputes; and (2) Upon final payment to the CONTRACTOR, full payment to the subcontractor, including retainage, shall be made within ten days after receipt of the money; provided that there are no bona fide disputes over the subcontractor's performance under the subcontract. d. Final payment. Final payment under this Agreement shall be subject to sections 103-53 and 237-45, HRS, which require a tax clearance from the Director of Taxation, State of Hawaii, showing that all delinquent taxes, if any, levied or accrued under state law against the CONTRACTOR have been paid. 18. Federal Funds. If this Agreement is payable in whole or in part from federal funds, CONTRACTOR agrees that, as to the portion of the compensation under this Agreement to be payable from federal funds, the CONTRACTOR shall be paid only from such funds received from the federal government, and shall not be paid from any other funds. 19. Modifications of Agreement, a. In writing. Any modification, alteration, amendment, change, or extension of any tam, provision, or condition of this Agreement permitted by this Agreement shall be made by written amendment to this Agreement, signed by the 12 FM AG2-0r41/90 CONTRACTOR and the STATE, provided that change orders shall be made in accordance with paragraph 20 herein. b. No oral modification. No oral modification, alteration, amendment, change, or extension of any term, provision or condition of this Agreement shall be permitted. c. Agtgy procurement officer. By a written order, at any time, and without notice to any surety, the Agency procurement officer, subject to mutual agreement of the parties to this Agreement and all appropriate adjustments, may make modifications within the general scope of this Agreement to include any one or more of the following: (A) Drawings, designs, or specifications; (B) Method or place of delivery; (C) . Description of services to be performed; (D) Time of performance (i.e., hours of the day, days of the week, etc.); (E) Place of performance of the services; or (F) Other provisions of the Agreement accomplished by mutual action of the parties to the Agreement. d. Adjustments of mice or time for nerfonmance. If any modification increases or decreases the CONTRACTOR's cost of, or the time required for, performance of any part of the work under this Agreement, an adjustment shall be made and this Agreement modified in writing accordingly. Any adjustment in Agreement price made pursuant to this clause shall be determined, where applicable, in accordance with. the price adjustment clause of this Agreement or as negotiated. C. Claim barred after final ggyment. No claim by the CONTRACTOR for an adjustment hereunder shall be allowed if written agreemmt of modification is not made prior to final payment under this Agreement. f. Claims not barred, In the absence of an Agreement modification, nothing in this clause shall be deemed to restrict the CONTRACTOR's right to pursue a claim under this Agreement or for a breach of contract. g. CPO . If a modification, alteration, amendment, change or extension of any term, provision or condition of this Agreement increases the amount payable to the CONTRACTOR by at least $25,000.00 or ten per cent (10%) of the initial 13 Pw AG2-iC(IIW Agreement price, whichever increase is higher, the prior approval of the CPO is required. h. Tax clearance, The STATE may, at its discretion, require the CONTRACTOR to submit to the STATE, prior to the STATE's approval of any modification, alteration, amendment, change, or extension of any term, provision, or condition of this Agreement, a tax clearance from the Director of Taxation, State of Hawaii, showing that all delinquent taxes, if any, levied or accrued under state law against the CONTRACTOR have been paid. i. Sole source ag=ments. Amendments to sole source agreements that would change the original scope of the contract may only be made with the approval of the CPO. Annual renewal of a sole source agreement for services should riot be submitted as an amendment. 20. Change Order. The Agency procurement officer may, by a written order signed only by the STATE, at any time, and without notice to any surety, and subject to all appropriate adjustments, make changes within the general scope of this Agreement in any one or more of the following: (1) Drawings, designs, or specifications, if the goods or services to be furnished are to be specially provided to the STATE in accordance therewith; (2) Method of delivery; or (3) Place of delivery. a. Adjustments of price or time for performance. If any change order increases or decreases the CONTRACTOR's cost of, or the time required for, performance of any part of the work under this Agreement, whether or not changed by the order, an adjustment shall be made and the Agreement modified in writing accordingly. Any adjustment in the Agreement price made pursuant to this provision shall be determined in accordance with the price adjustment provision of this Agreement. Failure of the parties to agree to an adjustment shall not excuse the CONTRACTOR from proceeding with the Agreement as changed, provided that the Agency procurement officer promptly and duly makes the provisional adjustments in payment or time for performance as may be reasonable. By proceeding with the work, the CONTRACTOR shall not be deemed to have prejudiced any claim for additional compensation, or any extension of time for completion. b. CPO aom3zl, If a contract change order increases the amount payable to the CONTRACTOR by at least $25,000.00 or ten per cent (10%) of the initial 14 rmm AG2-441 Q Agreement price, whichever increase is higher, the prior approval of the CPO is required. C. Time n^iod for claim. Within thirty (30) days after receipt of a written change order under subparagraph 20a, unless the period is extended by the Agency procurement officer in writing, the CONTRACTOR shall file notice of intent to assert a claim for an adjustment. Later notification shall not bar the CONTRACTOR's claim unless the STATE is prejudiced by the delay in notification. d. Claim barred after final M=ent. No claim by the CONTRACTOR for an adjustmertrhereimder shall be allowed if notice is not given prior to final payment under this Agreement. e. Other claims not barred. In the absence of a change order, nothing in this paragraph 20 shall be deemed to restrict the CONTRACTOR's right to pursue a claim under the Agreement or for breach of contract. 21. Price Adjustment. a. Price adjustment. Any adjustment in the Agreement price pursuant to a provision in this Agreement shall be made in one or more of the following ways: (1) By agreement on a fixed price adjustment before commencement of the pertinent performance or as soon thereafter as practicable; (2) By unit prices specified in the Agreement or subsequently agreed upon; (3) By the costs attributable to the event or situation covered by the provision, plus appropriate profit or fee, all as specified in the Agreement or subsequently agreed upon; (4) In such other manner as the parties may mutually agree; or (5) In the absence of agreement between the parties, by a unilateral determination by the Agency procurement officer of the costs attributable to the event or situation covered by the provision, plus appropriate profit or fee, all as computed by the Agency procurement officer in accordance with generally accepted accounting principles and applicable sections of chapters 3-123 and 3-126 of the Procurement Rules. b. Submission of cost or pig data, The CONTRACTOR shall provide cost or pricing data for any price adjustments subject to the provisions of subchapter 15, chapter 3-122 of the Procurement Rules. 15 Fo,m AG2-0C(I" 22. Variation in Quantity for Definite Quantity Au=ents. Upon the agreement of the STATE and the CONTRACTOR, the quantity of goods or services, or both, if a definite quantity is specified in this Agreement, may be increased by a maximum of ten per cent (10%); provided the unit prices will remain the same except for any prix adjustments otherwise applicable; and the CPO makes a written determination that such an increase will either be more economical than awarding another Agreement or that it would not be practical to award another Agreement. 23. Char= in Cost-Reimbursement Agreement. If this Agreement is a cost-reimbursement Agreement, the following provisions shall apply: a. The Agency procurement officer may at any time by written order, and without notice to the sureties, if any, make changes within the general scope of the Agreement in any one or more of the following: (1) Description of performance (Attachment 1); (2) Time of performance (i.e., hours of the day, days of the week, etc.); (3) Place of performance of services; (4) Drawings, designs, or specifications when the supplies to be furnished are to be specially manufactured for the STATE in accordance with the drawings, designs, or specifications; (5) Method of shipment or packing of supplies; or (6) Place of delivery. b. If any change causes an increase or decrease in the estimated cost of, or the time required for performance of, any part of the performance under this Agreement, whether or not changed by the order, or otherwise affects any other terms and conditions of this Agreement, the Agency procurement officer shall make an equitable adjustment in the (1) estimated cost, delivery or completion schedule, or both; (2) amount of any fixed fee; and (3) other affected terms and shall modify the Agreement accordingly. C. The CONTRACTOR must assert the CONTRACTOR's rights to an adjustment under this provision within thirty (30) days from the day of receipt of the written order. However, if the Agency procurement officer decides that the facts justify it, the Agency procurement officer may receive and act upon a proposal submitted before final payment under the Agreement. 16 ram Ace-oc41X6) d. Failure to agree to any adjustment shall be a dispute under paragraph 11 of this Agreement. However, nothing in this provision shall excuse the CONTRACTOR from proceeding with the Agreement as changed. e. Notwithstanding the terms and conditions of subparagraphs 23a and 23b, the estimated cost of this Agreement and, if this Agreement is incrementally funded, the funds allotted for the performance of this Agreement, shall not be increased or considered to be increased except by specific written modification of the Agreement indicating the new Agreement estimated cost and, if this Agreement is incrementally funded, the new amount allotted to the Agreement. 24. Confidentiality of Material, a. All material given to or made available to the CONTRACTOR by virtue of this Agreement, which is identified as proprietary or confidential information, will be safeguarded by the CONTRACTOR and shall not be disclosed to any individual or organization without the prior written approval of the STATF, b. All information, data, or other material provided by the CONTRACTOR to the STATE shall be subject to the Uniform Information Practices Act, chapter 92F, HRS. 25. Publicity. The CONTRACTOR shall not refer to the STATE, or any office, agency, or officer thereof, or any State employee, including the head of the purchasing agency, the CPO, the DIRECTOR, the Agency procurement officer, or to the services or goods, or both, provided under this Agreement, in any of the CONTRACTOR's brochures, advertisements, or other publicity of the CONTRACTOR. All media contacts with the CONTRACTOR about the subject matter of this Agreement shall be referred to the Agency procurement officer. 26. Ownership Rights and Copyright. The STATE shall have complete ownership of all material, both finished and unfinished, which is developed, prepared, assembled, or conceived by the CONTRACTOR pursuant to this Agreement, and all such material shall be considered 'works made for hire." All such material shall be delivered to the STATE upon expiration or termination of this Agreement. The STATE, in its sole discretion, shall have the exclusive right to copyright any product, concept, or material developed, prepared, assembled, or conceived by the CONTRACTOR pursuant to this Agreement. 27. Liens and Warranties. Goods provided under this Agreement shall be provided free of all liens and provided together with all applicable warranties, or with the warranties described in the Agreement documents, whichever are greater. 17 Foe= AG2-0glft) ' r 28. Audit of Books and Records of the CONTRACTOR. The STATE may, at reasonable times and places, audit the books and records of the CONTRACTOR, prospective contractor, subcontractor or prospective subcontractor which are related to: a. The cost or pricing data, and b. A State contract, including subcontracts, other than a firm fixed-prix contract. 29. Cost or 'tine Data. Cost or pricing data must be submitted to the Agency purchasing officer and timely certified as accurate for contracts over $100,000 unless the contract is for a multiple-term or as otherwise specified by the procurement officer. Unless otherwise required by the Agency procurement officer, cost or pricing data submission is not required for agreements awarded pursuant to competitive sealed bid procedures. If certified cost or pricing data are subsequently found to have been inaccurate, incomplete, or noncurrent as of the date stated in the certificate, the STATE is entitled to an adjustment of the contract price, including profit or fee, to exclude any significant sum by which the prix, including profit or fee, was increased because of the defective data. It is presumed that overstated cost or pricing data increased the contract price in the amount of the defect plus related overhead and profit or fee. Therefor, unless there is a clear indication that the defective data was not used or relied upon, the price will be reduced in such amount. 30. Audit of Cost or Pricing Data. When cost or pricing principles are applicable, the STATE may require an audit of cost or pricing data. 31. Records Retention. The CONTRACTOR and any subcontractors shall maintain the books and records that relate to the Agreement and any cost or pricing data for three (3) years from the date of final payment under the Agreement. 32. Antitrust Claims. The STATE and the CONTRACTOR recognize that in actual economic practice, overcharges resulting from antitrust violations are in fact usually borne by the purchaser. Therefor, the CONTRACTOR herby assigns to STATE any and all claims for overcharges as to goods and materials purchased in connection with this Agreement, except as to overcharges which result from violations commencing after the prix is established under this Agreement and which are not passed on to the STATE under an escalation clause. 33. Minimizing Congestion. The CONTRACTOR shall undertake all necessary precautions to. minimize any adverse impact the performance under this Agreement may have on traffic congestion. 34. Governing IAw, The validity of this Agreement and any of its terms or provisions, as well as the rights and duties of the parties to this Agreement, shall be governed by the 18 Foam AG243C(1M) ' . t laws of the State of Hawaii. Any action at law or in equity to enforce or interpret the provisions of this Agreement shall be brought in a state court of competent jurisdiction in Honolulu, Hawaii. 35. C=Rliance with Laws. The CONTRACTOR shall comply with all federal, state, and county laws, ordinances, codes, rules, and regulations, as the same may be amended from time to time, that in any way affect the CONTRACTOR's performance of this Agreement. 36. Conflict between General Conditions and Procurement Rules. In the event of a conflict between the General Conditions and the Procurement Rules, the Procurement Rules in effect on the date this Agreement became effective shall control and are hereby incorporated by reference. 37. Entire Ag=ment. This Agreement sets forth all of the agreements, conditions, understandings, promises, warranties, and representations between the STATE and the CONTRACTOR relative to this Agreement. This Agreement supersedes all prior agreements, conditions, understandings, promises, warranties, and representations, which shall have no further force or effect. There are no agreements, conditions, understandings, promises, warranties, or representations, oral or written, express or implied, between the STATE and the CONTRACTOR other than as set forth or as referred to herein. 38. Severability. In the event that any provision of this Agreement is declared invalid or unenforceable by a court, such invalidity or unenforceability shall not affect the validity or enforceability of the remaining terms of this Agreement. 39. Waiver. The failure of the STATE to insist upon the strict compliance with any term, provision, or condition of this Agreement shall not constitute or be deemed to constitute a waiver or relinquishment of the STATE's right to enforce the same in accordance with this Agreement. The fact that the STATE specifically refers to one provision of the Procurement Rules or one section of the Hawaii Revised Statutes, and does not include other provisions or statutory sections in this Agreement shall not constitute a waiver or relinquishment of the STATE's rights or the CONTRACTOR's obligations under the Procurement Rules or statutes.. 19 Fo,m Ac2-cct1196l' . ATTACHMENT6 SPECIAL CONDITIONS 1. Deletion of Portions of Agreement. For purposes of the Agreement to which this Attachment 6 is attached, paragraph 4 of the Agreement, "Standards of Conduct Declaration," together with Attachment 4, are deleted and the parties agree with paragraph 4 of the Agreement and Attachment 4 are not operative. 2. Deletion of General Conditions. For purposes of the Agreement to which this Attachment 6 is attached, the following General Conditions of Attachment 5 are deleted and have no operative effect as between the parties: a. Paragraph 2c b. Paragraph 17d 3. Reports. The CONTRACTOR shall submit to the STATE reports as the STATE may from time to time require, such as quarterly invoices, progress reports on the performance of services and information required by the STATE for its budget program reports and its reports under the Federal grant. The CONTRACTOR shall submit reports in the appropriate formats and within the deadlines specified by the STATE. Generally, cumulative expenditure reports and progress reports on the performance of services shall be submitted within thirty (30) calendar days after the end of each installment period. Within thirty (30) calendar days after the expiration of the time of performance for the contract year or a sooner termination date, the CONTRACTOR shall submit to the STATE a final expenditure report, together with any unexpended balance of funds advanced by the STATE, and a final report of the services performed under this Agreement. 4. Records Maintenance, Retention, and Access. The CONTRACTOR shall, in accordance with generally acceptable accounting practices, maintain fiscal records, supporting documents and related files, papers, and reports that adequately reflect all direct and indirect expenditures and management and fiscal practices related to the CONTRACTOR's performance of services under this Agreement. The STATE, the Comptroller of the State of Hawaii, the Federal granting agency, the Comptroller General of the United States, and any of their authorized representatives, the committees (and their staffs) of the Legislature of the State of Hawaii, and the Legislative Auditor of the State of Hawaii shall have the right of access to any book, document, paper, file, or other record of the CONTRACTOR (and of any of its subcontractors) that is related to the performance of services under this Agreement in order to conduct an audit or other examination or to make excerpts and transcripts for the purposes of monitoring and evaluating the CONTRACTOR's performance of services and the CONTRACTOR's program, management, and fiscal practices to assure the proper and effective expenditure of funds under this Agreement. The right of access shall not be limited to the required retention period but shall last as long as the Special Conditions Page 1 of 2 ATTACHMENT6 records are retained. The CONTRACTOR shall retain all records related to the CONTRACTOR's performance of services under this Agreement for at least three (3) years after the date of submission of the CONTRACTOR's final expenditure report, except that if any litigation, claim, negotiation, investigation, audit, or other action involving the records has been started before the expiration of the three-year period, the CONTRACTOR shall retain the records until completion of the action and resolution of all issues that rise from it, or until the end of the regular three-year retention period, whichever occurs later. 5. Audit Requirements. The CONTRACTOR shall have an independent certified public accountant conduct a financial and compliance audit in accordance with the guidelines of OMB Circular No. A-128 or in accordance with Federal laws and regulations governing the program in which they participate. Failure to comply with the provisions of this paragraph may result in the withholding of payments to the CONTRACTOR. Special Conditions Page 2 of 2 EXHIBIT A HAWAII COUNTY POLICE DEPARTMENT DARE BUDGET 1/1/98 TO 9/30/98 Airfare: $ 4,070.00 Registration Fees: $ 600.00 Per Diem: $ 5,130.00 Ground Transportation: $ 900.00 TOTAL BUDGET: $10,700.00 Exhibit B INVOICE Contract # Service Name Organization Name: Address: Budgeted Amount: Budget Period Period Covered by this Invoice Funding Source TO: OFFICE OF YOUTH SERVICES FOR: Initial Advance 1481 S. King Street, Suite 223 Periodic Advance Honolulu, Hawaii 96814 Reimbursement Attention: Final Invoice (tax clearance requiredfor processing final invoice/ AMOUNT OF PAYMENT REQUESTED a. Total cash received year to date (include amounts previously invoiced but not yet recd) b. Total disbursement year to date from to Estimated disbursement from c. Cash on hand (a. - b.) d. Estimated disbursement from to e. Amount of cash requested herewith (d. - c.) Check the appropriate month(s) for which you are requesting payment. July October January April August November February May September December March June Certification I certify to the best of my knowledge and belief that this invoice is true in all respects and that all disbursements have been for the purpose and conditions of this contract. Signature of Authorized Official Date Type Name and Title Agency Contact Person Phone # OYS USE ONLY: Approval Recommended: Signature: Date: P.O. No. Date Services Received: Date invoice Received: Date sent to FIS: P.O. Completed: P.O. Incomplete: I certify the satisfactory receipt of goods and services: SUBMIT ORIGINAL AND THREE (3) COPIES OYS 023 (rev. 7128197) Exhibit D Office of Youth Services QUARTERLY ACTIVITY REPORT - ADDENDUM Safe and Drug Free Schools and Communities Act 1. Below is a listing of various groups of people who might receive services under SDFSCA (Governors' Programs). For each group, please record how many individuals received such services. As you complete this question, please count each individual as a member of guly one group. During this reporting period, how many service recipients were: Service Year Recipients to Date a. School-aged youth attending public or private schools b. School-aged youth not in school (e.g. homeless, dropouts, incarcerated) c. Parents or Guardians d. Law Enforcement Officials (include. District Attorneys) I _T e. Teachers and other school personnel f. Other community members 2. Below is a listing of various a= groups of people who might receive services under SDFSCA (Governors' Programs). For each group, please record how many individuals received such services. During this reporting period, how many service recipients were: Service Year Recipients to Date a. Less than 5 years old b. 5 to 9 years old c. 10 to 12 years old d. 13 to 15 years old e. 16 to 18 years old f. 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