HomeMy WebLinkAboutCOM 0036.001 2022-2024i
i
I
i
i
YvoFaH,
i
Susan L.K. Lee Loy Office: (808)961-8396
Council Member Fax: (808)965-8912
District Email. sue.leeloy@hawaiicounty.gov
ATF AF N
HAWAPI COUNTYCOUNCIL
25 Aupuni Street,Hilo,Hawaii 96720
x
MEMORANDUM
DATE: January 4, 2023
TO: Heather Kimball, Council Chair; and
N.
Members of the Hawaii County Council n
FROM: Susan L.K. Lee La CouncilLoy,
SUBJECT: supporting material for Communication 36
Our office has received the attached items to be discussed as part of Communication 36 on the
agenda for the Communications, Reports, and Council Oversight Committee meeting on January
4, 2023.
SL:so
attach
Comm. No.
Ref. Tor.
Ref. date a } 2HawaiiCountyIsanEqualOpportunityProviderAndEmployer
Mitchell D.Roth Stephen M.Pause,P.E.Mavor Director
p•°• ,.e•+°:°.*ate
Lee E.Lord Malia Kekai
Managing Director Deputy Director
ounfV of
Pufunilli j
DEPARTMENT F PUBLIC WORKS
Aupuni Center
161 Pauahi Street,Suite 7 Hilo,Hawai'i 96720-4224
868)961-8321 •Fax(868)961-8630
public_works@hawaiicounty.gov
MEMORANDUM
Date: 12 December 2022
To: County Council
Cost of Government Commission
Other Stakeholders
From: Stephen Pause, PE, Directo
Subject:Transmittal of`Report Regarding Operations within the Building Code
Division of the Hawaii County Public Works Department"
Attached is the report that discusses the findings from an assessment of operations in
the Building Division of Department Public Works. James Tinner was retained by the
Administration in August 2022 to evaluate the inefficiencies within the Building Division
specifically as they may lead to delays in intake, processing, and issuance of building
permits. In addition to his familiarity with the Energov (EPIC) permitting software, Mr.
Tinner has a wealth of experience in code enforcement and administration as a former
building official, plans examiner, building inspector, and fire marshal in the Pacific
Northwest.
The report provides a number of recommendations, with some similar to what our
Building Division is already working on, and others that are more nuanced and require a
longer-term or more strategic implementation. A summary is provided below.
In-Progress by Building
TINNER RECOMMENDATION STATUS
Look into third-party plan review services Met with HGEA to discuss union issues; initial
feedback is not positive
Eliminate the need for applicant to come back Applicants are now able to print their permit
to permit center to obtain permit placard after issuance
Eliminate "sessions" in Bluebeam Revu Evaluating effect of eliminating "sessions" inprocessBluebeamRevu
County of Hawaii is an Equal Opportunity Provider and Employer.
Future Attention
TtNNERRECQMM9N,DAT10N, COMMENT
Implement a technology fee to pay for County does not presently charge a fee
enhancements to Ener ov
Investigate increasing plan review fees to County presently charges 20% permit fee
industry standard 65% 2Lpermit fee upfront
Conduct Lean Process Improvement training Reviewing County permitting process in a
https://www.lean.org/ structured manner could drive out inefficiency
The lean process is a method for creating a and eliminate non-value-added steps
more effective business by eliminating
wasteful ractices and improving efficiency.
Provide Public Duty Doctrine training for staff Noted
Investigate allowing building plans reviewers Will consider after assessing Plans Examiner
performing structural review for simple workload once all vacancies are filled (only
projects 4/7 positions are presently filled); currently,
Structural Engineer's reviews reduces the
workload on Plans Examiners who are
primarily focused on life-safety compliance
Investigate allowing building inspectors to Requires consultation with HGEA regarding
perform combination inspections work jurisdiction; Inspector positions currently
require Supervisory Electrician Licenses for
Electrical Inspectors and Journeyman or
Master Plumber Licenses for Plumbing
Inspectors
Define by Ordinance what constitutes a Will evaluate need for an Ordinance after the
complete permit application effectiveness of the REVISED Application
Checklist is implemented.
Provide support to allow Building Chief and Noted
Deputy to participate in the ICC Committee
Action Hearings and Annual Business
Meetings
Provide additional GIS integration within Noted as a future enhancement that can be
EPIC to automatically let applicant know if used to determine when Engineering Review
subject property has restrictions such as flood will be required for Building Permits
Iain or geologic hazards
The Building Division is working on a number of approaches to improve permitting.
These are summarized below.
ACTION DESCRIPTION
Communication Improve public outreach with stakeholders;
hold "talk story" sessions with design
professionals, drafters, contractors, others;
share review checklists; improve permit issue
metric and include average duration for
e---is to be issued
County of Hawai'i is an Equal opportunity Provider and Employer,
i
l
Re-design EPIC Website Organize and make website user-friendly,
including a complete list of forms that are 3
needed in the permitting process; include
links to related agencies.
Dedicated IT Support for Energov(staff) Improve staff efficiency by having a dedicated
IT specialist available to help troubleshoot
customized automation unique to the Building
Division
ICG Training and Certification for Inspectors Create classification of work for ICC
and Plan Examiners Certification that recognizes training and level
of skill of Inspectors and Plans ExaminersStaffVacanciesDevelopstrategyforhiringandretainingstaff;
5-step Plans Examiners for on-the-job
training (done); Certification Classification for
Inspectors (ongoing).Reassess Duties for Permit Clerks Assessed Permit Clerk duties; revising
processes for permit application, resubmittal i
and revisions to ensure that documents are
complete and correctly formatted to enable i
Permit Clerk to maximize their productivityStaffMeetingsWeekly`Brainstorming" Meetings to identify
areas for improvement; action items identified
in table and progress tracked.
e-Filing Organize documentation in shared drive
readily accessible to the Building Division;
this creates consistency through available
information resources and uniform
procedures
Utilize filters to identify permits that should be Deployed Priority Tiles to identify projects aprioritizedthatcanbeexpeditedbasedonthescopeof
work that is essential to community life and
safety; provides for educational needs; and is
limited and simple for quick review; Priority
Tiles used at permit intake, plan review, and
permit out-processingRevisePermitApplicationChecklistProvidemoreclarityon permit application
requirements with weblinks to the appropriate
agencies and forms; require the Design
Professional to be listed as a Permit Contact;
require Design Professional to review and
certify the Application ChecklistDevelopEPIC "Decision Engine" version of User-friendly version of the checklisttheApplicationChecklist
Create "Self-Certify" Permit Application Applicants will have the option bypass the
conventional Permit Intake to reduce
processing time; if Permit Clerks confirm the
permit is complete, then plans will go
immediately to Plan Review; if applications
are found to be incomplete, then they will be
County of Hawaii is an Equal Opportunity Provider and Employer.
rejected (cancelled); there is no fee
assessment if the application is rejected; the
conventional review by Permit Clerks will still
be available where the permit application is
active"while awaiting corrections; once
corrections are submitted then applications
will await re-review in the queue before
progressing
Reject Incomplete Permit Applications Prohibit applications submitted as "place
holders" that then requires Permit Clerks to
contact them for missing information
Update Residential Plans Designer Checklist Update for 2018 International Residential
Already Posted on the Website Code (IRC) that applicants can use to create
a complete set of plans
Finalize and Post Non- Finalize checklist for current Codes that
Residential/Commercial Designer Checklist applicants can use to create a complete set
on the Website of plans
Plan Resubmittals and Revisions Format Require Corrections Letter for Plan
Resubmittals; require Design Professional
Narrative for Plan Revisions; require all
changes be annotated with the"Cloud and
Delta" drafting method to highlight the extent
of changes; utilize Bluebeam "compare"
feature.
Three-strike Rule Plan reviewer can mark up to three
corrections and then approve, "as noted"; if
more than three corrections needed,
resubmittal will be required
Encourage Communication between Design Authorize Plans Examiners to have
Professional and Plans Reviewer during discussions with Design Professionals when
Review design intent is not clear; annotate plans to
document revision: "...per telecon with XX on
date"instead of requiring resubmittals.
Consider No Plan Review—"Plans Subject to For Residential PV less than 1 OkW; Electric
Field Inspection" ONLY less than 200A; Plumbing ONLY less
than 4-bathrooms.
County of Hawai'i is an Equal Opportunity Provider and Employer.
s
i
I
I
I
ul
Director Lee Lord i
Office of the Mayor t
Hawaii County, HI
Report regarding operations within the Building Code Division of the Hawai'i County Public
Works Department 3
Project scope:To identify inefficiencies within the building division of the Public Works Department that
may lead to delayed intake, processing, and issuance of building and/or associated construction
permits.
Project limitation:operations within the fire code division, public works permitting division, planning
department and health department are outside of the scope of this report.
Methodology:Online research of permitting and legal information relative to building and associated
permits as well as face to face interviews with building division permitting staff and a limited number of
permit applicants. Interviews with staff were held between October 3,2022-October 7,2022. Staff
interviews were representatives of permit clerks(permit technicians), inspectors, plans examiners and
division managers. Below are general interview questions and generalized responses of each group that
was interviewed.
Permit Clerks:
Q. How do you receive most of you permit applications?
A. Most are received electronically through the EPIC permit system.
Q• I understand that you use Tyler Energov as your permit records system.What does EPIC do that
Energov does not do?
A.The permit clerks could not provide a clear answer to the question however it became clear to me
that EPIC provide enhanced initial permit application ability for the applicants.
Q. Does EPIC require specific information such as building occupancy, construction type, height,etc.to
be input by permit applicant before the application process can continue?
A. No
Q. Does EPIC provide automated geographic information such as whether a property is in a flood hazard
zone to the permit applicant?
A. No
Q. It appears the owner declaration form and contractor declaration forms must be submitted as
separate documents and are not part of the EPIC or Energov systems. Is that correct?
A. Yes,they are separate documents that must be provided by the permit applicant.
Q. Do you issue very many rooftop solar voltaic building permits and if so, can you tell me how many?
A.Yes,we issue a lot of them, but I can't tell you how many.
Do you require building permits for all rooftop solar installations?
A.Yes
Q.Are simple projects prioritized?
A.To some degree yes but there is no formal procedure for doing so.
Q. May I obtain a copy of your policy and procedure manuals?
A.We don't have policy or procedure manuals.
Q. I understand that Hawai'i state law requires that the county verifies the licenses of each contractor
with each permit application. I also understand that the State will provide a list of licensed contractors
for use in required contractor verification. Does the County utilize that list or do you perform an online
search for contractor information with each permit application.
A.The information is within EPIC but it is not automatically validated. Permit Clerks validate the
information prior topermit issuance.
CL When staff meetings take place is written meeting agenda distributed to staff?
A. No
Q.Your online checklist shows that once all reviews are approved,the applicant must come to the
building division do have a permit placard printed to be posted on the jobsite.What is the purpose of
the placard?
A. So that the inspector driving by knows there is a permit for the work being done.
Mans examiners:
CLOoyou use B|uebeamRevutoconduct your reviews?
A.Yes
L /aRevuintegrated with EnerQov?
A. | don't think so.
O. How doyou know when onew project isready for review?
A. (Alittle ambiguous).VVeare notified bythe permit clerks.
Q. Do you prioritize simple projects to get them"out the door" more quickly?
A.Somewhat,yes.
Q.When minor corrections are needed on the plans do you redline them and approve the plans?
A. Sometimes.
Q. When corrective items are noted on plans do you attempt to contact the designer by phone and/or
email ordoyou o|m/aya input the corrections into Ener8ovwithout additional contact attempt methods?
A. Corrections are entered into EnorQov.VVetypically do not use additional contact methods.
l.When are plans sent tuthe structural engineer for review?
A.When the other plans examiners determine structural review ixneeded.
l.Are you familiar with the Public Duty Doctrine?
A. No.
Q.When workloads are overwhelming, do you utilize third party plan review?
A.We've done soonaveyshort term basis inthe past.
Q. Do you require the industry standard delta and revision cloud when changes are made on plans?
A. No
Q. Do you use the"compare"feature in Bluebeam Revu to identify what changes are made to different
iterations ofplans?
A. No
Q. Does your division use the"Sessions"feature nfB|uebeam Revu?
A.Yes
Ci. Doyouhaveanurdinanoeorpo|icythatdefineswhata "comp|ete"setofp|ansix?
A. No
Q. Do you require an engineer or architect to analyze the impact of rooftop solar systems on the
building's roof structure?
A.Yes
Inspectors:
Q. Do you require licensed plumbers to perform plumbing inspections? 3
A.We have dedicated inspectors that perform plumbing inspections.
Q. Does state law require that plumbing inspectors be licensed plumbers? 3
A. Unsure
Q. Must final plumbing inspections be completed prior to calling for the building final inspection?
A.Yes
Q. Can the general contractor request plumbing inspections?
A. No. Only the plumbing contractor can request plumbing inspections.
Q. When electrical inspections are requested is the general contractor allowed to request the
inspection?
A. No. Only the electrical contractor is allowed to request electrical inspections.
Q. Is there a state requirement that electrical inspectors be licensed electricians?
A. We believe that the answer is"yes"
Q. Do you allow building inspectors to perform inspections for minor plumbing and/or electrical
installations?
A. No
Q.When a rooftop solar installation is inspected,does the building inspector go on the roof to check the
structural connections?
A. No
Q.When the rooftop solar installation electrical inspection is called for, does the electrical inspector
look at the structural connections on the roof?
A. No
Q. Do you allow any level of self-certification for minor maintenance permits such as water heater
change-outs?
A. No
Conclusions:
Permit processing systems are extremely complex.Without written documentation such as
policy/procedure manuals it becomes extremely difficult to keep complex systems organized and
predictable for permit staff and permit applicants.The result is inefficiencies, personal preferences,and
some level of chaos creeping into the system.These items lead to non-predictability for permit
applicants which in turn leads to unnecessary complaints to upper management and elected officials.
The lack of written meeting agendas leads to ineffective use of staff time during staff meetings. If there
is no agenda,there should be no meeting.
As you know,there are a significant number of open plan review positions.This is not unique to Hawaii
County but rather is an industry-wide concern. It's somewhat worsened by the low rate of pay being
offered by Hawaii County.Third-party plan review is a possible solution and seems to be the trend in the
industry.
The current plan review fees being charged might make itdifficult to retain the services of third-party
review. Current building plan review fee is 20%of the building permit fee. Industry standard and the fee
called out in in the generic International Building Code(IBC) is 65%of the building permit fee.As you are
aware, raising fees brings political implications.
Compartmentalization of duties among inspection staff also leads to inefficiencies as does assignment of
virtually all structural plan review being performed by licensed engineering staff in the plan review
section. Using licensed engineers to perform structural review projects scoped up to conventionally built
single-family houses is extremely unusual in the industry. Finding third-party plan review firm that
would utilize this practice would hover somewhere where the needle is close to"Impossible".There also
appears to be an extreme over reliance on internal engineering staff even though the project has been
designed by licensed design professions such as architects or engineers.The talents and expertise of
internal licensed staff is best reserved for extremely complex structures.This over reliance appears to
at least in part) stem from extreme risk intolerance.Such intolerance can bepartially muted with
training inthe tenants ofthe Public Duty Doctrine.
Rooftop photovoltaic systems are typically extremely light weight(typically less than 4 PSF) Research
and experience in major southwest mainland jurisdictions has demonstrated that there is little benefit in
requiring the time and expense of requiring licensed design professionals to design these systems.
Washington State as example,specifically exempts systems meeting established criteria from requiring a
licensed design professional. It's estimated that well over 95%of rooftop systems fall within the
limitations established by Washington State.Several jurisdictions have decided that building permits for
these systems provide no benefit other than collection ofpermit fees so no longer require building
permits but rather simply issue an electrical permit and ask the electrical inspector to verify required fire
fighter access paths from the ground when they perform the electric inspection.
There are several other areas where staff can be better utilized such as allowing the building inspector
to perform plumbing inspections at the same time as the framing inspection for simple structures such
assingle-family homes.
While there may be some benefit in not allowing the general contractor to call for plumbing or electrical
inspections,the benefit is extremely minor but is quite an inconvenience to the permit holder. It is also a
procedure I've not seen inmy]4-yearcareer.
There are some additional efficiencies that can be made but would require minor changes to the County
ode.
Staff momber5 | interviewed were all unaware ofwhat a Lean Process Improvement program is. Lean
process improvement program involves a Lean Consultant leading meetings, usually over several days
where staff identifies every touch, movement,contact,flow, etc.of the permit application intake
through issuance process and documents each (usually by writing each on a sticky note and attaching
them to a wall). Each item is then questioned as to the necessity of why the item is being performed. If
the item cannot be validated as either necessary or legally mandated,the item is deemed unnecessary
and eliminated.The process typically results in a 15%-4096 reduction in workload.
It is obvious that a great deal of time and money has been used to implement the Energov and EPIC
systems. My limited observation of EPIC indicates to me that the implementation was intended to make
applying for a permit as painless for the applicant as possible and to a great extent looks to have been
successful.This is particularly true given the challenges that Energov is well known for.While there are
no perfect permit systems in existence,Tyler's Energov is well known in the building permit industry as
being particularly problematic.With adequate revenues,the problems eventually always come to a
resolution.
I've worked with several jurisdictions that have implemented Energov and one commonality seems to
be that the sales team makes promises that the technical installation team can't keep or at least can't
keep while staying within the contract budget.Typically,this results in added and unanticipated
expenditures after the system goes live.Additionally,there are always things that permit and IT staff
find they wished they had done differently. In conversation with building division staff there appears to
be some of the same angst in this regard as I've heard from several other jurisdictions.
There is always some level of ongoing customization with any permit system therefore there is always a
need for a revenue stream (in addition to annual maintenance charges)to pay for such customization.
It appears EPIC was designed to make permit application as easy as possible for applicants without
predefined "you can't go to step B until you complete step A"types of requirements. While on the
surface this methodology seems like great customer service, it's counterproductive by putting additional
work on the permit clerks so actually results in a delay in permit processing.A better methodology is to
utilize drop down pick lists and require applicants to choose the appropriate information from each pick
list before they can move on to the next item. Doing so will reduce the workload of the permit clerks
and keep the "chess clock"on the applicant's side until the application is completed. If that change is
decided to be implemented, it with create a need for significant additional revue for the vendor.
Another item noted is that there does not appear to be a user-friendly method for applicants to access
GIS data via EPIC or Energov. I've heard this compliant from several developers.
The building chief(building official is the position title used in the International Building Code(IBC))from
what I've learned has had no participation in national code development.The same holds true for the
assistant building chief. Each year, code change proposals are sent to the appropriate International Code
Council (ICC)committee for consideration.The committees meet in the spring where testimony both
pro and con are put under consideration and at the end of about a one-week session,the committees
will send their recommendations forward for ICC staff to compile.
In the fall of each year, ICC holds their annual business meeting(ABM)where the full membership will
listen to testimony both pro and con and then vote whether to accept the committee's
recommendations.The ABM's are rotated around major mainland cities each year.These 11-day
meetings not only give the building chief knowledge of what code changes will be in the next code cycle
but also provides the building chief the knowledge of the reason behind each change.That knowledge
gives them the ability to properly interpret the code changes as well as the ability to bring that
knowledge back to the jurisdiction and pass it along to building division staff.
While travel around the nation is expensive, it's typically far less expensive than sending multiple staff to
mainland training events.The current building chief has never been to one of these events.
Recommendations:
Implement atechnology fee topay for enhancements toEnergov These fees are not unusual
typically around $25.O0per pennk).
m Investigate increasing plan review fees to industry standard (65%of the permit fee).
Conduct Lean Process Improvement training for all building division staff
ThisvviU necessitate hiring consultant
proficient inthe Leon process.
Provide Public Duty Doctrine training for all building division staff.This can usually be facilitated
bythe jurisdiction's |eQo|staff.
investigate allowing building plan reviewers performing structural review for simple projects.
w Investigate allowing building inspectors to perform combination inspections.
Look intothird'party plan review services.
Define byordinance what constitutes acomplete permit application.
Assuming that data connectivity is generally available across the jurisdiction,eliminate the need
for the permit applicant to come back to the permit center to obtain a permit placard. Instead,
provide access to be able to print and post the permit and an inspector to access permit
information remotely when they feel necessary.
Provide budgetary support to allow the building chief and assistant building chief to participate
in the ICC Committee Action Hearings(spring meeting)and the ICC Annual Business Meetings
fa11).
E|iminatetheuseof"Sessions" in1he8|ue6eamRevuprocesn.Thesamenesu/tconbeachieved
provided both Hilo and Kona are onthe same Local Area network(LAN)without the inordinate
amount of work setting up a "session"each review creates. Most jurisdictions where all review
staff are onthe same LAN have stopped using sessions.
w Provide additional GIS integration within EPIC to automatically let the permit applicant know if
the subject property has restrictions such as flood plain or geologic hazards.
Department of Finance F 111(09/2415)
Date: June 28, 2022
Department: Office of the Mayor
Contact. Kaycie Saiki
y 808-961-8211
Name)Telephone Extension)
Name of Contractor: James E.Tinner dba Code Support Group '
1f none,complete Form V-8 andforward to Accountsfor
Vendor Number: 80231 assignment of vendor number before processing contract)
Purpose/Title of Contract: Electronic Permitting Process-Consultant Services
Employment Inter-Government 3
PRC Approval Date(Employment): ERC Approval Date(If Applicable):
Account No.to Charge: 01 111.02 115 d Fiscal Year: 2fl21-22
Amount of Contract: $16,000.0 FRESH Req. No.: 3
Procurement Approval:; (Contract No.: IC0
For contracts requiring multi-y i.,zdmmitments, acceptance of federal funds or funds in a future FY:
ouncil Resolution Number: Date Approved:
11_.._.
c" _ (Attach copyof resolution)
moU E to: ® Contractor(Review and sign contract before notary public)
LZ:
O Date completed &forwarded to next: 06/27/22
Department Head(s) (Signature(s)recommending approval)I
Date completed &forwarded to next: 06/28/22
Add;t;anal
Human Resources (Director ofHuman Resources`certification,
requiredfora controctforservices which are exempt pursuant to
HRS§76 77(7),(8)or(12)ons Director of Human Resources reviewE, JUN 29 2022 AMI ,10 required far requests for exemption under HRS§76.77(16))
Date completed &forwarded to next:
kaj Purchasing Agent (Procurement review and reporting)
Date completed &forwarded to next:
Controller/Director of finance (certification offends)
Date completed &forwarded to next: JUN 2 2022
Corporation Counsel (Approve as toform and legality)0122Datecompleted &forwarded to next:
Mayor (Review,notarized signature and date)
Date completed& returned to originating Dept:19ry
RETURN TO DEPARTMENT REQUESTING CERTIFICATION
for issuance of notice to proceed and distribution of contract copies to
affected parties and Controller
After execution of contract,retain this form in procurement fife with all required attachments Page 1 of 4
CONTRACT AGREEMENT FOR SERVICES
THIS CONTRACT AGREEMENT FOR SERVICES (hereinafter the
AGREEMENT") made and entered into this N4" _
day of T1,LM
1
2022 by and between the COUNTY OF HAWAI'l, a municipal corporation of the State of
Hawai'i, with its principal place of business at 25 Aupuni Street, Hilo, Hawaii 96720
hereinafter the "COUNTY"), and JAMES E. TINKER dba CODE SUPPORT GROUP, a
sole proprietorship, with his principal place of business at 2307 W. Coneflower Street,
Nampa, Idaho 83686 (hereinafter the"CONTRACTOR").
WITNESSETH:
WHEREAS, the Office of Management (hereinafter the "DEPARTMENT"), under
the supervision of the Managing Director(hereinafter"DIRECTOR") seeks to assess the
County of Hawaii's building permit process', and;
WHEREAS, CONTRACTOR has unique and specialized expertise in assessing
and collaborating with governments to improve efficiencies in permitting,
WHEREAS, for the above stated reasons this sole source contract is in the best
interest of the COUNTY of Hawaii pursuant to Chapter I D3D, Hawaii Revised Statutes
HRS"), specifically HRS § 103D-306; and
NOW, THEREFORE, the COUNTY and the CONTRACTOR, in consideration of
the mutual promises hereinafter, set forth hereby agree as follows:
1. EMPLOYMENT OF CONSULTANT. The COUNTY hereby agrees to engage
CONTRACTOR and CONTRACTOR hereby agrees to perform the services hereinafter set
forth.
2. BEST EFFORTS, CONTRACTOR agrees that it will, at all times, faithfully,
I
i
industriously, and to the best of his ability, experience, and talents, perform all of the duties
that may be required of it pursuant to the express and implicit terms hereof and to the
reasonable satisfaction of the COUNTY.
4
3. SCOPE OF SERVICES. The CONTRACTOR shall do, perform, and carry
out in a satisfactory and proper manner, as determined by the COUNTY or as may be
modified by written agreement between the COUNTY and CONTRACTOR an analysis of
current permitting processes in an effort to reduce application approval times, identify
redundancies and perform an assessment of workflow within the Building Division.
4. TERM. CONTRACTOR shall commence work within thirty days of the
execution of this AGREEMENT and shall complete all work within Ninety (90) days of
commencement unless otherwise agreed in writing by the parties.
5. COMPENSATION. The COUNTY shall compensate CONTRACTOR at the
rate of ONE HUNDRED TVVENTY-FIVE AND N0/100 DOLLARS ($125.00) per hour,
inclusive of taxes, not to exceed TEN THOUSAND AND NO/100 DOLLARS ($10,000.00.
In addition, the COUNTY shall pay CONTRACTOR up to SIX THOUSAND AND NO/100
DOLLARS ($6,000.00) in travel expenses.
6. EMPLOYMENT STATUS. It is agreed and understood that CONTRACTOR
is an independent contractor and shall not be entitled to the benefits and privileges of an
employee of the COUNTY under the COUNTY'S Civil Service System. It is further agreed
and understood that CONTRACTOR shall be excluded from participating in any fringe
benefits resulting from work performed under this AGREEMENT.
7. GENERAL TERMS & CONDITIONS. The CONTRACTOR shall perform the
services required under this AGREEMENT in accordance with the General Terms and
Conditions for Goods and Services, dated July 1, 1994, attached hereto and incorporated
herein by reference as Exhibit "A".
2
8. PROPERTY OF THE COUNTY. Any data, reports or conclusions generated
by CONTRACTOR shall become the property of the COUNTY.
9, METHOD OF PAYMENT. The COUNTY shall make payment available to
the CONTRACTOR upon the monthly submission of an invoice in a form and content
acceptable to the COUNTY.
10. PURCHASE OF ALOCHOL PROHIBITED: Any funds contributed by the
COUNTY shall not be used for the purchase of alcohol for consumption. No exceptions
apply. -
11. TAX CLEARANCE AND VENDOR COMPLIANCE: CONTRACTOR shall,
throughout the term of the AGREEMENT including through final payment, acceptable
verification through Hawai'i Compliance Express (HCE). Vendors wishing to do
business with the State of County must register in HCE and be in compliance.
HCE is a one-stop online program where vendors verify and manage their
compliance. Once a vendor is registered, HCE provides the following proof of
compliance/compliance documentation:
a. Certificate of Good Standing from the Department of Commerce and
Consumer Affairs Business Registration Division.
b. Tax Clearances (federal and state) from the Department of Taxation.
c. Compliance with HRS Chapter 383 Hawaii Employment Security Law
Unemployment Insurance), 386 Worker's Compensation Law, 392
Temporary Disability Insurance and 393 Prepaid Healthcare Act, from
the Department of Labor and Industrial Relations.
There is a nominal fee to subscribe to HCE. Please note that it may take two or
more weeks to establish a vendor account in HCE. For more information and to
register, see y
a
12. CONTRACTOR REPRESENTATIONS AND WARRANTIES. The
CONTRACTOR represents and warrants he/it is in compliance with the following
conditions and shall remain in compliance throughout the duration of this contract:
a, CONTRACTOR employs and appoints persons on the basis of
merit and ability.
b. CONTRACTOR agrees not to use any public funds for purposes of
entertainment or perquisites not previously approved by the
COUNTY.
C. CONTRACTOR shall comply with such other requirements as the
DIRECTOR may prescribe to ensure adherence by the
CONTRACTOR with Federal, State, and County laws, and
established standards for fiscal and program management.
d. CONTRACTOR has bylaws or policies which describe the manner
in which business is conducted, including management, audit and
fiscal policies and procedures, policies on nepotism, and policies on
management of potential conflict of interest.
e. CONTRACTOR has at least one year's experience with the service
or activity for which the appropriation is sought or can otherwise
demonstrate to the satisfaction of the COUNTY sufficient expertise
to successfully carry out the service or activity.
f.CONTRACTOR shall comply with such other requirements as the f
COUNTY Director of Finance may prescribe to ensure adherence
by the Contractor with Federal, State, and COUNTY laws, and
established standards for fiscal and program management.
g. CONTRACTOR shall follow generally accepted accounting
procedures and practices and shall maintain books, record,
documents, and other evidence which sufficiently and properly
account of the expenditure of COUNTY funds.
h, CONTRACTOR agrees to allow the COUNTY's designee, which
may include the finance director, committees of the council and
their staffs, and the legislative auditor access to records, reports,
4
files, and other related documents in order that the program,
management, and fiscal practices of the nonprofit organization may
be monitored and evaluated to assure the proper and effective
expenditure of public funds for this program.
i.CONTRACTOR agrees that the COUNTY expending agency,
director of finance, or Hawai'i COUNTY Council may request
periodic written reports on the use of COUNTY funds.
13. REPORTS AND RECORDS. The CONTRACTOR shall prepare monthly
reports to the DEPARTMENT. The monthly reports and supporting data shall be the
property of the COUNTY.
14, MODIFICATIONS OF AGREEMENT, The COUNTY may at any time
make modifications to this AGREEMENT, which shall be made by a written
supplemental agreement. Modifications involving no reduction or increase in
compensation may be made by written order of the DIRECTOR. All modifications
requested by the CONTRACTOR shall be in writing.
15, DELAY IN PERFORMANCE OF CONTRACT. If any delay in the
performance under this AGREEMENT occurs as a result of unforeseeable causes
beyond the control and without the fault or negligence of the CONTRACTOR, including
but not limited to, acts of God, acts of the public enemy, acts of the COUNTY with
respect to this AGREEMENT, acts of another contractor in the performance of a
contract with the COUNTY, fire, floods, epidemics, quarantine restrictions, strikes,
freight embargoes, unusually severe weather, or delays of subcontractors or suppliers
arising from unforeseeable causes beyond the control and without the fault or
negligence of both the CONTRACTOR and such subcontractors or suppliers, then the
CONTRACTOR may be granted an extension of the time for performance
corresponding to the delay. No extension of time, however, shall be granted unless a
written application therefore stating in detail the cause or causes of delay is filed by the
CONTRACTOR with the DIRECTOR within ten (10) calendar days after the
5
I4F
i
Z
I
commencement of the delay. No extension of time shall be deemed a waiver of the
right of the COUNTY to require the completion of the services under this AGREEMENT j4
within the time required herein as so extended by the specific terms of such extension,
nor a waiver of right to terminate this AGREEMENT for any other or additional delay not f4
covered by the specific terms of such extension.
i
16. ABANDONMENT OF SERVICES DEATH OR DISABILITY OF
CONTRACTOR. In the event the COUNTY terminates this AGREEMENT because it
wishes to abandon, defer, restudy or revise the program, or in the event the
CONTRACTOR, in the case of an individual, dies or becomes physically or mentally
disabled, the CONTRACTOR or the CONTRACTOR's estate shall be compensated in
the same proportion of the compensation under this AGREEMENT as the services
performed bear to the services to be performed under this AGREEMENT.
17. RIGHT OF THE COUNTY TO TERMINATE. The COUNTY shall have the
right to suspend performance under this AGREEMENT or terminate this AGREEMENT
in whole or in part at any time by written notice to the CONTRACTOR. If the termination
is for reasons other than default of the CONTRACTOR as provided in the paragraph
herein entitled "TERMINATION DUE TO CONTRACTOR'S DEFAULT,"the
CONTRACTOR shall be reasonably compensated as determined by the COUNTY for
satisfactory services rendered under this AGREEMENT up to the time of termination.
18. TERMINATION DUE TO CONTRACTOR'S DEFAULT. The COUNTY
shall have the right to terminate this AGREEMENT, if the CONTRACTOR:
a. Fails to begin work under this Agreement at the required times; or
b_ Unnecessarily delays the performance of this AGREEMENT or any
part thereof, or
C. Fails to perform this AGREEMENT in accordance with specified
times; or
d. Fails to perform this AGREEMENT in accordance with directions
from the DIRECTOR; or
6
e, Discontinues performance of this AGREEMENT or
f.Becomes insolvent or is declared bankrupt or commits any act of
bankruptcy or insolvency; or
9- Fails to pay for all labor, tools, material and/or equipment-, or
h. Violates or fails to comply with any of the terms, covenants and
conditions of this AGREEMENT.
19. TERMINATION FOR NECESSITY OR CONVENIENCE, If the COUNTY
determines, in its sole discretion, that it is necessary or convenient, this Contract may
be terminated in whole or in part at the option of the COUNTY upon ten (10) working
days written notice to the CONTRACTOR. If the COUNTY elects to terminate under
this paragraph, the CONTRACTOR shall be entitled to reasonable payment as
determined by the COUNTY for satisfactory services rendered under this AGREEMENT
up to the time of termination. If the COUNTY elects to terminate under this section, the
CONTRACTOR shall cooperate with the COUNTY to affect an orderly transition of
services.
20. AUTHORITY TO WITHHOLD MONEY DUE OR PAYABLE. The
COUNTY may withhold such amounts from the money due or to become payable under
this AGREEMENT to the CONTRACTOR as may be necessary to protect the COUNTY
against liability or to satisfy the obligations of the CONTRACTOR to the COUNTY.
21, INDEMNITY. The CONTRACTOR shall perform this AGREEMENT as an
independent CONTRACTOR and shall indemnify and save the COUNTY and its officers
and employees harmless from any and all deaths, injuries, losses and damages to
persons or property, and any and all claims, demands, suits, action and liability
therefore, caused by error, omissions or negligence in the performance of this
AGREEMENT by the CONTRACTOR or the CONTRACTOR's subcontractors, agents
and/or employees.
7
0
22. AUTHORITY OF THE DIRECTOR. The DIRECTOR shall decide any
question or dispute concerning any provision of this AGREEMENT, which may arise
during its performance. The DIRECTOR's decision shall be final and binding upon all
parties unless the same is fraudulent or capricious or arbitrary or so grossly erroneous
as necessarily to imply bad faith or is not supported by substantial evidence, provided
that nothing herein shall be construed as making final and binding any decision of the
DIRECTOR on a question of law. Pending final decision of any dispute or question, the
CONTRACTOR shall proceed diligently with the performance under this AGREEMENT
in accordance with the decision of the DIRECTOR.
23. LAWS AND REGULATIONS. The CONTRACTOR shall be responsible
for being fully informed of all county, state and federal laws, ordinances, codes, rules
and regulations, which in any manner may affect this Agreement and the performance
thereof, including but not limited to:
a) All sections of the Hawaii County Charter and Hawaii County
Code;
b) Chapter 103, Hawaii Revised Statutes, as amended, relating to
expenditure of public money;
C) Chapter 373, Hawaii Revised Statutes, as amended, relating to fair
employment practices;
d) Chapter 489, Hawaii Revised Statutes, as amended, relating to
discrimination in public accommodations;
e) Chapter 396, Hawaii Revised Statutes, as amended, relating to
occupational safety and health; and
f) Chapter 386, Hawaii Revised Statutes, as amended, relating to
workers' compensation law; and
g) Nondiscrimination Clause: During the performance of this contract,
the contractor agrees as follows:
i. The Contractor shall comply with all requirements set forth in
federal and state laws and regulations relative to Title VI of
s
the Civil Rights Act of 1964, as amended, which provide for
non-discrimination in federally assisted programs.
The Contractor shall not discriminate against any employee
or applicant for employment because of sex, pregnancy,
race, ancestry, national origin, religion, color, disability,
genetic information, age, marital status (including civil
unions), military status, veteran's status, sexual orientation,
gender identity, gender expression, lactation, domestic or
sexual violence victim status (including those who have a
minor child who is a victim of domestic or sexual violence),
arrest and court record, citizenship, or any other
classification protected by state or federal law. The
Contractor shall assure that applicants are employed and
that employees are treated during employment without
regard to sex, pregnancy, race, ancestry, national origin,
religion, color, disability, genetic information, age, marital
status (including civil unions), military status, veteran's
status, sexual orientation, gender identity, gender
expression, lactation, domestic or sexual violence victim
status (including those who have a minor child who is a
victim of domestic or sexual violence), arrest and court
record, citizenship, or any other classification protected by
state or federal law. Such action shall include, but not be
limited to, the following: employment, upgrading, demotion,
or transfer: recruitment or recruitment advertising-, layoff or
termination: rates of pay or other forms of compensation;
and selection for training. The Contractor agrees to post in
conspicuous places notices to be provided by the contracting
officer setting forth the provisions of the nondiscrimination
clause,
9
i
7
i
1
iii
The Contractor shall in all solicitations or advertisements for
employees placed by or on behalf of the Contractor, state
that all qualified applicants shall receive consideration for
employment without regard to sex, pregnancy, race,
ancestry, national origin, religion, color, disability, genetic
information, age, marital status (including civil unions),
military status, veteran's status, sexual orientation, gender
identity, gender expression, lactation, domestic or sexual
violence victim status (including those who have a minor j
child who is a victim of domestic or sexual violence), arrest
and court record, citizenship, or any other classification
protected by state or federal law. In the event of the
Contractor's noncompliance with the nondiscrimination
i
clauses of this contract, this contract may be canceled or
suspended in whole or in part and the Contractor may be
declared ineligible for further COUNTY contracts until such
time that the CONTRACTOR by satisfactory evidence, in i
good faith, ceases such discriminatory practices or
procedures.
iv. If the CONTRACTOR subcontracts any portion of the
contract, it shall assure the COUNTY that such
subcontractor shall abide by the nondiscrimination provisions
stated herein and agrees that any subcontractor who is
found in violation of such provisions shall subject the
principal contractor's Agreement with the COUNTY to be
terminated or suspended pursuant to Section 15 above
regarding Termination Due to Contractor's Default.
V. The COUNTY may direct any bidder, prospective contractor,
or subcontractor to submit a statement in writing signed by
an authorized officer, agent, or employee of the contracting
party that the signer's practices and policies do not
10
discriminate on the grounds of sex, pregnancy, race,
ancestry, national origin, religion, color, disability, genetic
information, age, marital status (including civil unions),
military status, veteran's status, sexual orientation, gender
identity, gender expression, lactation, domestic or sexual
violence victim status (including those who have a minor
child who is a victim of domestic or sexual violence), arrest
and court record, citizenship, or any other classification
protected by state or federal law, and that the terms and
conditions of employment under the proposed contract shall
be in accordance with the purposes and provisions stated
herein, The Contractor shall comply with all such present
COUNTY, state and federal laws, ordinances, codes, rules
and regulations, and all amendments thereto. If any
discrepancy or inconsistency is discovered between this
Agreement and any such law, ordinance, code, rule or
regulation, the Contractor shall forthwith report the same in
writing to the Director.
24. REMEDIES NOT EXCLUSIVE, The express provision herein of certain
measures that may be exercised by the COUNTY for its protection shall not be
construed to preclude the COUNTY from exercising any other or further legal or
equitable right to protect its interests.
25. FORUM SELECTION. No action or proceeding involving this Agreement
shall be commenced by either party except in the Circuit or District Courts of the Third
Circuit, COUNTY of Hawaii, State of Hawaii, and no action commenced in such court
shall be removed or transferred to any other state or federal court.
26. CONTRACTOR'S FAILURE TO COMPLY WITH ALL REQUIREMENTS
OF CONTRACTUAL CONDITIONS. The CONTRACTOR's failure to comply with any
is
s
i
i
1
and all of the conditions of this Agreement referenced herein and made a part hereof,
may result in the denial or rejection of future funding to the CONTRACTOR from the
COUNTY.
7. CONSTRUCTION OF CONTRACT. The masculine shall be deemed to
embrace and include the feminine and the singular shall be deemed to embrace and
include the plural whenever required in the context of this AGREEMENT.
28. NON-DEBARMENT REQUIREMENTS. The CONTRACTOR certifies,
and, if the COUNTY, State of Hawaii or the United States Federal Government
requires, shall further certify that they were not debarred by the State of Hawaii or the
United States Federal Government at the time of submitting a proposal and hereby
certifies and will further certify that the CONTRACTOR shall immediately notify the
COUNTY should their debarment status change anytime during the term of the
AGREEMENT.
29. CAMPAIGN CONTRIBUTIONS BY STATE AND COUNTY
CONTRACTORS PROHIBITED. CONTRACTOR agrees to comply with NRS Section
11-355, which states that campaign contributions are prohibited from a state and county
government CONTRACTOR during the term of the contract if the CONTRACTOR is
paid with funds appropriated by the legislative body between the execution of the
AGREEMENT through its completion.
30. CODE OF ETHICS. CONTRACTOR has complied with Hawaii County
Code ;2-83(c), if applicable. CONTRACTOR understands and agrees that this contract
shall be void if an officer or employee fails to comply with the disclosure requirements
set forth in §2-83(c), or if the Board of Ethics finds there is a conflict of interest or any
preferential treatment involved.
31. GOVERNING LAW, 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,
12
E
shall be governed by the laws of the State of Hawaii, and any claim shall be brought in
the State of Hawai'i Circuit Court of the Third Circuit.
32. No Assignment. CONTRACTOR hired as the result of his unique and
specialized skills. He may not assign this AGREEMENT absent the consent of the
COUNTY. The COUNTY my withhold consent for any or no reason.
33. ENTIRE CONTRACT. This AGREEMENT sets forth all of the contracts,
conditions, understandings, promises, warranties, and representations between the
COUNTY 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 contracts,
conditions, understandings, promises, warranties, or representations, oral or written,
express or implied, between the COUNTY and the CONTRACTOR other than as set
forth or referred to herein.
34. SEVERABILITY. In the event any provisions 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.
35, WAIVER, The failure of the COUNTY 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 COUNTY's right to enforce the
same in accordance with this AGREEMENT,
36. COUNTERPARTS. This AGREEMENT may be executed in several
counterparts, each of which shall be regarded as an original and all of which shall
constitute on instrument.
37, EXEMPTION. This AGREEMENT is exempt from Chapter 103D, Hawaii
Revised Statutes pursuant to 103D-306.
13
1
I
I
I
1
i
I
i
I
IN WITNESS WHEREOF, the parties hereto have executed this AGREEMENT
effective as of the date first above written.I
COUNTY OF HAWAI'l
triL..
BY: JA S E. TINKER
Mayor CONTRACTOR
County of Hawaii
Date: Cc 1 03(3 Date: 6 - Z-t'--
APPROVED AS TO FORM
LEGALITY:
Elizabeth Strance
Gf , f 2022.06.3011:39:45
10`00'
ELIZABETH A_ STRANGE
Corporation Counsel
Date:JUN 3 0 2022
i
14
V )F
Arlo
0F
COUNTY OF HAWAII
CERTIFICATION OF AVAILABILITY OF FUNDS
I hereby certify that on the date of filing of this contract with the Director of
Finance, there remains an unexpended amount of
16,000.00 in 010.111.5111.02.115
sufficient to cover the obligation of the County of Hawaii under this contract in fiscal
year 2021-2022.
Contract Title: Electronic Permitting Process - Consultant Services
Vendor:James E. Tinner dba Code Support Group
Contract No:C.009953
Director of Finance
Date: June 29, 2022
County of Hawaii is an Equal Opportunity Provider and Employer
I
g$
COUNTY
yOUN
lg or
OF p
g p
ryBDEPAR
N Sys F Fg114 CE
l .d Cl Ci
glgl
K ALJ ;
yy
gI
E A y A El Q C
yLyl
y®
ypyp
j
pyla {
l
S i i A 5 Yaeu I i E 4
July 1, 1994
TABLE OF C,QHTENTT6
PAGE NQS,
SECTION 1 DEFINITIONS OF TERMS. . ...... ... . ............ . ... 1
1.1 SID.................. ........................... 2
1.2 BID OR PROPOS FO ........... . ................ 1
1.3 BID OR PROPOSAL GIJARXIM OR SECURITY........ . .. . 1
1.4 CHANGE ORDER......... ........................... 1
1.5 CO 1
1.6 CONTRACT BOND......... ......... ................. 1
1.7 CONTRACT MODIFICATION.. ...................... ... 1
1.8 CONTRACTOR..................... . ............. ... 1
1.9 DAYS................. ........................... 1
1.10 HEAD OF TIM PURCHASING AGENCY.. ............... 2
1.211 OFFER................. ............................. 1y1.22 OFFEROR........................... .............. 2
1.13 PROCUREMENT OFFICER... .......... ................ 2
1.14 PRIORITY-LISTED OFFERORS....... .............. ... 2
1.15 PROPOSAL..................................... ... 2
1.16 PURCHASING AGENCY.... .......... .............. ... 2
1.19 SOLICITATION.................................... 2
1.18 SPACIAL PROVISIONS........................... ... 2
1.19 SPECIFICATIONS.................................. 2
1.20 COUNTY OF HAWAII................ ............. ... 2
1.21 SURE'TY.......................... ... ......... . ... 2
1.22 WORX................. . . ...................... ... 3
SECTION 2 OFFER REQUIREMENTS AND CONDITIONS............... 3
2.1 COMPETENCY OF OFFEROR....... .... ... ......... .... 3
2.2 SOLICITATION FORMS.............................. 3
2.3 EYAMNATION OF GENERAL TERMS AND CONDITIONS,
SPECIFICATIONS, SITE
q.
O.F{.WORZ, ETC............ ... 3
2.4 ADDENDA AND INTERPRETATIONSIONS..... ............. ... 3
2.5 PREPARATION OF OFFER............ ... ........... .. 4
2.6 OFFER GUARANTY...................... ............ 4
2.7 CERTIFICATION OF OFFEROR CONCERNING RAGES, HOURS
AND WORKING CONDITIONS OF EMPLOYEES SUPPLYING
SERVICES....................... . ..0............. 4
2.8 PRE-OPENING MODIFICATION OR WITHDRAWAL OF OFFERS S
2.9 RECEIPT, OPENING, AND RECORDING OF BIDS...... ... 5
2.10 RECEIPT AND REGISTRATION OF PROPOSALS........ . .. 6
6.8 PRICE ADJUSTMENT. .... ... .. .. .... .... . .... . . .. ... 17
6.9 NOVATION OR CHANGE OF NAME.. ..... ... ..... ....... is
6.10 CLAIMS BASED ON A PROCUREMENT OFFICER'S ACTIONS OR
OMISSIONS..... . .. ........ .......... ...I. . ... . ... is
6.11 TERMINATION FOR DEFAULT........ . . .. . .. . ... ..... . 19
6.12 LIQUIDATED DAMAGES........... .... . .. .. . . . .... ... 20
6.13 TERMINATION FOR CONVENIENCE.. ............ . ...... 20
6.14 TERMINATION FOR COST-REIMBURSEMENT CONTRACTS— ' 22
6.15 DISPUTES...... .. ............ .............. ... .. . 22
6.16 REMEDIES...... .............. .. ..... .. ..... ..... . 22
SECTION7 PAYMENT.. ................... .......... . . .. ..... . 22
7.1 METHOD Of PAYMENT........... ................ .... 22
7.2 FINAL FA:YMENT. ....... ............... ... .... ..... 22
7.3 INTEREST........ ....................... ......... 22
MlBrTs
AGREEMENT...................................(EXHIBIT A.)
SURETY BID 09 PROPOSAL BOND.................(EXHIBIT B)
SURETY pgRpORMANCE BOND.....................(EXHIBIT C)
pZjFORMAXCZ BOND............................(EXHIBIT D)
SURETY LABOR AND MA=RM PAYMENT BOND......(EXHIBIT 3)
LABOR An pAX)C.WT BOND......................(EXHIBIT F)
CONTRACTOR ACSNOWAMOMIMST...................(MCHIBIT G)
Snl= kCKNOWLEDGMM.......................(E33IBIT E)
CONTRACT XODIFICATIOu FORM.............. ....(EXHIBIT 1)
CHANGE OjDZR FORK...........................(EXHIBIT J)
SECTION 1 - DEFINITZ NS OF TERHS
Terms as used in these General Terms and Conditions, unless the contextrequiresotherwise, shall have the following meaning:
1.1 BID
Bid means any bid submitted in competitive sealed bidding or in thesecondphaseofmulti-step bidding.
1 8_1D_QR PROPOSAL FORM
The prescribed form or format which a offerer uses to submit his offer.
1.3 BIH OR PROPQSAL A.RKRTY OR SEC' ITy
The security when re uired, furnished by an offerer with his offer toensurethattheoffererwillenterintothecontractwiththeCountyofHawaiiandexecutetherequiredcontractandpaymentbondscoveringtheworkcontemplated, if his offer is accepted.
1.4 CFUNGE ORDER
Change order means a written order signed by the procurement officer,directing the contractor to make chances which the changes clause of thecontractauthorizestheprocurementofficertoorderwithouttheconsentofthecontractor.
1.,5 CONTRACT
Contract means the combination of the solicitation, including theinstructionstoofferors, thespecifications or scope of work, the specialprovisions, and the general terms and conditions; the offer and any best andfinaloffers; and any amendments to the solicitation or to the contract; andanytermsimpliedbylaw.
1,§ CO RACT BOND
The approved form of security furnished by the contractor and his suretyorsuretiesorbthecontractoralone, to ensure completion and satisfactoryperformanceofthecontractinaccordancewiththetermsofthecontractandtoguaranteefullpaymentofallclaimsforlabor, materials and suppliesfurnished. used or incorporated in the work.
1 9 CONT CT MODI trTt^ 1OW
Contract modification means any written alteration in specifications,delivery point, rate of delivery, period of performance, price, quantity, orotherprovisionsofanycontractaccomplishedbymutualactionofthepartiestothecontract.
1.8 CONTBACTOg
An individual, partnership, firm, corporation, joint venture or otherlegalentityundertakingtheexecutionofworkunderthetermsofthecontractwiththeCountyofHawaii, and acting directly or through his, their or itsagents, employees or sub-contractors.
1.9 DAYS
Days means calendar days unless otherwise specified.
1.10 HEAD g M vrrvr IN(;; AGENCY
from as chief
pad
rocureyment
officency
er ofeltheatCounty of
procurement authorityutoenter
byintow or
andadministercontracts.
L, Otl EB
An offer means a bid or proposal as defined in sections ,l.,,j and 1,,,1,x, inresponsetoanysolicitation.
GENERAL TERMS AND CONDITIONS l-JULY 11 1994
1.12FfFFERQR
Any individual, partnership, firm, corporation, joint venture or other
legal entity, submitting directly or through a duly authorized representative
or agent, an offer for the worl or Services contemplated in response to asolicitationasdefinedin1.17.
1.13 PROCUR£tTNT OFFICER
Procurement officer means the person with procurement delegation dulyauthorizedtoenterintoandadministercontractsandmakewritten
determinations with respect to the contract. The term includes an authorized
representative acting within the limits of authority. The delegated authorityisreceivedfromthechiefprocurementofficerdirectlyorthroughtheheadof
a purchasing agency or designee to the procurement officer.
1,114 PRIORITY-LISTED OFFERORS
Priority-listed offerors are the three or more responsive and responsible
offerors who have submitted the highest rank proposals.
1.15 PROPOSAL
A proposal means any offer submitted in response to any solicitation,
except a bad as defined in section jam.
1.15 PURCHASING AGENT
Purchasing agency means any governmental body which is authorized by law
or rules, or by way of delegation to enter into contracts for procurement of
goods, services, or construction.
1.17 SOLICITATION
Solicitation means an invitation for bids ("IFB'* used in the
competitive sealed bidding process or a request for proposals ("RFP"), used in
the competitive sealed proposal process for the purpose of soliciting bids or
proposals to perform a County of Hawaii contract.
1.18 SPECIAL PROVISIONS
The terms and conditions pertaining to the specific solicitation in which
tbey are contained; including but not limited to terms and conditions
describing the preparation of solicitations, evaluation of offers,
determination of award-, plus those applicable to performance by the contractor.,
i dditions or revisions to the General Terms and Conditions, which shall
be considered a part of the General Terms and Conditions, setting forth
conditions or requirements applicable to the particular project or contract
under consideration. Should any special provisions conflict with these
general terms and conditions, said Special Provisions shall govern.
1.19 SPECjrICATIONS
A description of what the purchasing agency requires and, consequently,
what an offeror must offer to be considered for award.
1.20 C0= Or ELKW-AII
County of Hawaii means all departments of the executive branch and all
governmental bodies administratively attached to it, all departments of the
legislative branch and all governmental bodies administratively attached to
it, and any and all autonomous and semi-antanomua .government agencies which
may operate under the auspices of the County of Hawaii.
1.21 SURETY
The individual, firm, partnership or corporation other than the
contractor, which executes a bond with and for the contractor to ensure the
contractor's acceptable performance of the contract.
GENERAL TERMS AND CONDITIONS 2- JULY 11 1994
1
i
I
I
I
1.22 WQRX
The furnishing by the contractor of all labor, services, materials,equipment, and other incidentals necessary for the satisfactory performance ofthecontract.
SECTION 2 - OFFER REQUIREMEqT! AIM CONDITIONS
2.1 QMPETENa OF OFFEROR
Prospective offeror must be capable of performing the work for whichoffersarebeingcalled. Either before or after the deadline for an offer,the purchasing agency may require offeror to submit answers to questionsregardingfacilities, equipment, experience, personnel,financial status oranyotherfactorsrelatingtohisabilitytofurnishsatisfactorilythegoodsorservicesbeingsolicitedbytheCountyofHawaii, Any such inquiries shallbemadeandrepliedtoinwriting; replies shall be submitted over thesignaturesofthepersonwhosignstheoffer. Anx offeror who refuses toewersuchinquirieswillbeconsiderednon-responsive. All answers to suchquestionswillbehandledbythepurchasingagencyonaconfidentialbasisandwillbereturnedaftertheyhaveservedtheirpurpose.
The purchasing agency also reserves the right to visit an offeror's placeofbusinesstoinspecthisfacilitiesandequipmentandtoobservehismethodsofoperationinordertofacilitateevaluationofperformancecapabilities.
2.2 SOLICITATION ToRMS
Prospective offerors will be furnished with solicitation forms which mayincludebutnotbelimitedtoastatementofwort, the location, descriptionandthecontracttimeofthecontemplatedwort, the various quantities beingrequested, estimated and/or firm, and items of work to be performed ormaterialstobefurnished, along with a schedule of items for which unitpricesand/or lump sum prices are asked, depending on the type ofsolicitation, e.g. invitation for bids or request for proposals.
The general terms and conditions, specifications, special provisions andotherdocuments -referenced in or attached to the solicitation shall beconsideredapartoftheofferwhetherattachedtothesolicitationornotatthetimeofitssubmission. Such documents shall not be altered in any waywhentheproposalissubmittedandanyalterationssomadebytheofferormaybecauseforrejectionoftheoffer.
w2.
3
OR
WN&TION O'LSd3i RAL TERMS AND CONDITIONe SPEcir'2CiTIONS SITE OF
The offeror shall carefully examine the site of the contemplated work,the solicitation, general terms and conditions, s cificntions, Specialprovisions, amendments, required contract and bond forms, etc, beforesubmittingoffers. The submission of an offer shall be considered as awarrantythattheofferorhasmadesuchexaminationandissatisfiedwiththeconditionstobeencounteredinperformingtheworkandwiththerequirementsOftheproposal, general terms and conditions, specifications, supplementalspecifications, special provisions, contract and bonds when required.
No extra conpensatioa will be given by reason of the contractor'smisunderstandingorlackofknowledgeoftherequirementsoftheworktobeaccomplibadortheconditionstobeencounteredinperformingthework.
2.4 ADDENDA AND INTERPRETATIONS
Discrepancies, omissions or doubts as to the meaning of general teras andconditions, specifications or special provisions should be communicated inwritingtotheprocurementofficerandmustbereceivedbythepurchasingagencynolaterthanfive (5) calendar days prior to the data fixed foropening. Amy interpretation, if made, and any su plemental instructions willbeinforsofwrittenaddendatothesolicitation, which will be sailed,fazed, or made available for pick up by all prospective offerors, prior to thedatefixedfortheopeningofoffers. It shall be presumed that any addendaorinterpretationssoissuedhavebeenreceivedbyanofferorandsuchaddendaorinterpretationsshallbecomeapartofthecontractdocuments.
GMRAL TIMS AND CONDITIONS 3-JULY 11 1994
I
2,5 PREPARATION OP OFFER
Proposals submitted in response to regues; for proposals (RFP) shall beintheformatprescribedbytheRFP.
The bids submitted in response to an invitation for bids (IFB) must be
prepared in ink or typed on the form furnished by the purchasingagency or onanexactcopythereofinfullaccordancewiththeinstructionsgiven. Fos
each item, the offeror shall specify the unit and total price in figures in
the columns provided for that purpose and, if required, the total sum of all
items being offered.
Where the (IFB) involves the furnishing and delivery of goods, the price
shall include the Cost of delivery to the specified destination, at which
point acceptance of said goods will be made by authorised personnel. Should
special requirements involving additional costs to the vendor be necessary,the requirements will be stated in the special provisions and offers for the
costs therefor shall be governed by the special provisions.
Only one bid in response to an IFB for the same work from an individual,
firm, partnership, corporation orfaint venture under the same or different
name will be accented. If more than one bid is offered for the same work,
only the lowest priced bid may be considered; all others will be automatically
rejected.
Competing subsidiary or jointly-owned companies map submit bids or
proposals and these may be accepted for evaluation and award if such comggaaies
submit with their proposals a certificate of non-collusion, sworn to before a
notary, which acknowledges that the offer is without collusion.
All prices shall include applicable federal, state and local taxes. Anyillegibleorotherwiseunrecognisablepriceoffershallcauseautomatic
rejection of the offer.
Offers submitted in response to an IFS or RrP shall be signed in ink in
the space provided on the bid or proposal page by (1) the owner of a sole
proprietorship, (2) one or more members of aartnership, (3) one or more
members or officers of each firmrepresenting a oint venture. (4) one or more
officers of a corporation, or (5) an agent of offeror duly authorised to
submit offers on the offerors behalf.
2.6 OFUR GUARANTY
Unless required by the special provisions, a bid or proposal securityp
deposit, performance, and paymaat bonds, or any, other guaranty is not required
on any after for goods or services.
When required b the special provisions, an acceptable bid or proposal
security deposit shall be in an amount equal to at least five percent of the
amount offered and shall be limited to: a bond in a form satisfactory to the
County of Hawaii underwritten bg a company licensed to issue bonds in this
State; legal tender; or a certificate of deposit, share certificate, cashier's
check, treasurer's check, teller's chock, or official check drawn b3+, or a
certified check accepted by, a bank, a savings institution, or credit union
insured b the Federal Deposit Insurance Corporation or the National Credit
Union Administration. Certificate of deposit, *bare certificate, cashier's
check, treasurer** chock, taller's check, official check, or certified check
may be utilised only to a maximum of =100,000, provided however, if the
required security or bond amount totals over $100,000, more than one
instrument not exceeding 1100,000 each and issued by different financial
institutions, may be submitted.
If an offer does not conTly with the security requirements, the offer
shall be rejected as nonresponsive, unless the failure to comply is determined
by the chief procurement officer, the head of a purchasing agenty, or the
dessignoe of such officer to be nousubstantial pursuant to section 3-122-x23,
BAR
2.7 CERTIFICATION OF OFFEROR CONCERNING WAGES,, RO 5 WORKING CONDITIONS
OF EMPLO7 RE SUPPLYI SERVICES
All offerors for service contracts shall comply with section 103-55,
Hawaii Revised Statutes, which provides as follows
GZFZRAL TIRMS AND CONDITIONS 4-JULY 1, 1994
i
4
I
Rages, hours, and working conditions of employees of contractorssupplyingservices. Before any prospective offeror is entitled to
actors
any offer for tLbmittheperformanceofanycontracttosupplyservicesisexcessof $5,000 to any governmental agency, offer shall certify that theservicestobeperformedwillbeperformedunderthefollowingconditions:
Wages. The services to be rendered shall be performed by employeespaidatwagesorsalariesnotlessthanthewagespaidtopublicOfficesandemployeesforsimilarwork.
Compliance with labor laws. All applicable laws of the federal andstategovernmentsrelatingtoworkerscompensation, unemploeatcompensation, payment of wages, and safety will be fully complied wi
tEYLTn
No contract toperform services for any governmental contractingagencyinexcessofSE000shallbegrantedunlessalltheconditionsofthissectionaremet. Failure to comply with the conditions of thissectionduringtheperiodofthecontracttoperformservicesshallresultincancellationofthecontract.
It shall be the duty of the governmental contracting agency awardingacontracttoperformservicesinexcessof55,000 to enforce thissection.
is section
excesshOf i5 400, Shall applycontractstoall ctotSupplyto perform
ulan
services
in
andjanitorialservice.
This section shall not apply to:
1) Managerial, supervisory, or clerical personnel.
2) Contracts for supplies, materials, or printing.
3) Contracts .for utility services.
4) Contracts to perform personal services under paragraphs (2),3), (12), and (16) of section 16-16, HSS.
5) Contracts to operate refreshment concessions in public parks,or to provide food services to educational institutions.
6) Contracts with nonprofit institutions.
2.8 PRF-DPFNINC 140DI-rICATIOx f3S KITBDRAIML Or OFFERS
Offers may be modified or withdrawn prior to the deadline for submittalofoffersbythefollowingdocuments:
Withdrawal of offers: a written notice received in the office denigaatedinthesolicitation; a written notice fazed to the office designated In thesolicitation; or a telegraphic message received by telephone by the officedesignatedinthesolicitationfromthereceivingtelegraphcompanyoffice,provided the telegraph company confirms the telephone message by sending awrittencopyofthetelegramshowingthatthemessagewasreceivedatthetelegraphcompanyofficepriortothetimeanddatenotforopening.
Modification of offers: a written notice received in the officedesignatedinthesolicitationstatingthatamodificationtotheofferissubmittedandaccompaniedtheactualmodification(s) securely sealed in aseparateenvelopeorcontainer.
2.9 RECEIPT OPE3IINC AND RECORDING OF BIDS
Upon its receipt, each bid and modification(s) shall be tine-stamped butnotopened, and stared in a secure place by the procurement officer until thetimeanddatesetforbidopening. Copies of bids transmitted via facsimilemachineshallnotbeacceptable, except as provided for in the SpecialProvisions.
Bids and modification(s) shall be opened publicly, in the presence of oneormorewitnesses, at the time, date, and place designated in the IPS. Thenameofeachbidder, the bid price(*), and such other information as is deemedappropriatebytheprocurementofficerorhisdesignatedrepresentative, shall
GENERAL TERMS AND CONDITIONS 5-JULY 1, 1994
be read aloud or otherwise made available. If practice-le, such information
shall also be recorded at the time of bid opening; that _s, the bids shall be
tabulated or a bid abstract made. The name s) and address(es) of the required
witnesses shall also be recorded at the opening.
The opened bids shall be available for public inspection at the time of
bid opening except to the extent that the bidder designates trade secrets or
other proprietary data to be confidential. Bidders shall ensure that material
so designated as confidential shall be readily separable from the bid in order
to facilitate public inspection of the nonconfidential portion of the bid.
Prices and makes and model or catalogue numbers of items offered, deliveries,
and terms of payment shall be publicly available at the time of bid opening
regardless of any designation to the contrary.
The procurement officer, or his designated representative, shall examine
the bids to determine the validity of azv requests for nondisclosure of trade
secrets and other proprietary data identified in writing. If the parties do
not agree as to the disclosure of data, the procurement officer or his
designated representative shall inform the bidders present at the bid opening
that the material designated for nondisclosure shall be subject to written
determination by the attorney general for confidentiality. If the attorney
general determines in writing that the material so designated as confidential
is subject to disclosure, the bidder submitting the material under review and
other bidders who were present at the bid opening shall be so notified in
writing and the material shall be open to public inspection unless the bidderprotestsunderchapter3-126.
The bids shall be open to public inspection subject to any continuing
prohibition on the disclosure of confidential data.
When a purchasing agency denies a person access to a County procurement
record, the person may appeal the denial to the office of information practice
in accordance with section 92F-42(12), ERS.
Bids shall be unconditionally accepted without alteration or correction,except as allowed in sections 2.11 and 2.12.
10 RECEIPT M__ _ REGISTRATION OF PROPOSALS
Proposals and modifications shall be time-stamped upon receipt and held
in a secure place by the procurement officer until the established due date.Proposals shall not ba opened publicly, but shall be opened in the presence of
two or more procurement officials. Proposals and modifications shall be shown
only to County of Hawaii personnel having legitimate interest in them.
After the date established for receipt of proposals, a register of
proposals shall be prepared which shall include for all proposals; the name
of each offeror; the number of modifications received, if any; and a
description sufficient to identify the good or service item offered. The
register of proposals shall be open to public inspection only after award of
the contract.
An offeror shall request in writing nondisclosure of designated trade
secrets or other proprietary data to be confidential. Offerors shall ensure
that such data so designated as confidential shall be readily separable from
the proposals in order to facilitate eventual public inspection of the
nonconfidential portion of the proposal.
Proposals of the offeror(s) shall be open to public inspection after
award of the contract as provided in section 3-122-55.
2.11 LATE OFFERS, LATE WITHDRAWALS, AND LATE MODIFICATIONS
Any notice of withdrawal, notice of modification of an offer with the
actual modification, or any offer received at the place designated for receipt
and opening of a offer after the time and date set for receipt and opening of
offers is late. A late offer, late modification, or late withdrawal shall not
be considered late if received before contract award and would have been
timely but for the action or inaction of personnel within the procurement
activityy A late offer or late modification that will not be considered for
award s7iall be returned to the bidder unopened as 30On as practicable and
accompanied by a letter from the procurement activity stating the reason for
its return. A late withdrawal re est shall be responded to with a statement
of the reason for non-acceptance of the withdrawal.
GINUAL TIRMS An CONDITIONS 6- JULY 1, 1994
2.12 M s2AR s rxA.
A) A bidder may correct a mistake in bid discovered before the time anddatesetforbidopeningbywithdrawingorcorresection2.8. cting the bid as provided in
S) Correction or withdrawal of a bid after the time and date set forbidopeningbecauseofaninadvertent, nonjudgmental mistake in
competitive
bidbiddingssystem,ulaad to dasyure fairness.
eration to protect
the
the
mistaketiy oattributable ttoianerrorinjudgment, the bid may not be corrected. Bid correction or withdrawalbyreasonofanonjudgmentalmistakeispeextentitermissiblebutonlytothisnotcontrarytotheinterestofthegovernmentalagency
h
the fairtreatmentofotherbidders.
C) When, after bid opening but before award, the procurement officerknowsorhasreasontoconcludethatamistakehasbeenmade, includingobvious, appparent errors as the face of the bid or a bid unreasonably lowerthantheat]txer bids is submitted, such officer should request the bidder toconfirmthebid, and if the bidder alleges mistake, the bid mayy be correctedorwithdrawnbythebidderiftheconditionsunderparagraphs (D) and (E) ofthissectionaremetandifthemistakeisaminorinformalitywhichisamatterofformratherthansubstanceevidentfromthebiddocument, or aninsignificantmistakethatcanbewaivedbytheprocurementofficerorcorrectedbythebidderwithoutprejudicetootherbiddersdependinganwhichisinthebestinterestofthegovernmentaljurisdictionsolicitingthebid;that is, the effect an price, quantity, uality, delivery, or contractualconditionsisnegligible. Examples include the failure of a bidder to:return the number of signed bids required by the Ira to sign the bid, but onlyiftheunsignedbidisaccompaniedbyothermaterialindicatingthebidder'sintenttobebound; or to acknowledgge receipt of an amendment to the Ira (ifsuchacknolegementisrequiredbytheIra) but only if it is clear from thebidthatthebidderreceivedtheamendmentandintendedtobeboundbyitsterms) or the amendment involved had a negligible effect on price, quantity,quality, or delivery.
If the mistake and the intended correct bid are clearly evident on thefaceofthebiddocument, the bid shall be corrected to the intended correctbidandmaynotbewithdrawn. Examples of such mistakes include:typtransposition errors,In the event of
ographical errors) errors in extending unit prices)and arithmetical errors.a discrepancy between unit bidpricesandextensions, the unit price shall govern. In case of error inaddition, the sum of the total amount offered for each item added shall govern.
A bidder may be permitted to withdraw a lox bid if a mistake is clearlyevidentonthefaceofthebiddocumentbuttheintendedcorrectbidisnotsimilarlyevident; or the bidder submits proof of evidentiary value whichclearlyandconvincinglydemonstratesthatamistakewasmade.
D) A bidder may not correct a mistake in bid discovered after award ofthecontractexceptwherethechiefprocurementofficerortheheadofthepurchasingagencymaresawrittendeterminationthatitwouldbeunconscionablenottoallowthemistaketobecorrected.
E) when a bid is corrected or withdrawn, or correction or withdrawal isdenied, under (C) or M. the chief procurement officer or the head of apurchasingagencyshallpraper* a written determination showing that thereliefwasgrantedordeniedinaccordancewiththissubchapter, except thattheprocurementofficershallpreparethedeterminationrequiredunderparagraph (1) of subsection (C).
2.13 MISTI r Tj7 PROPOei
Mistakes shall not be corrected after award of contract.
When the procurement officer knows or has reason to conclude before awardthatamistakehasbeenmade, th* procurement officer should request theofferortoconfirmtheproposal. If th* offeror alleges mistake, the proposalmaybecorrectedorwithdrawnpursuanttothissection.
Once discussions are commenced or after best and final offers arerequested, any priority-listed offeror may freely correct any mistake bymodifyingorwithdrawingtheproposaluntilthetimeanddatesetforreceiptofbestandfinaloffers.
GENERAL TERMS AND CONDITIONS 7-JULY 11 1994
If discussions are not held, or if the best and final offers upon which
award will be made have been received, mistakes shall be corrected to the
intended correct offer whenever the mistake and the -..atended correct offer are
clearly evident on the face of the Proposal, in wt •t event the proposal maynotbewithdrawn.
If discussions are not held, or if the best and final offers upon which
award will be made have been received, an offercr alleging a material mistake
of fact which makes a proposal nonresponsive may be permitted to withdraw the
proposal if: the mistake is clearly evident on the face of the proposal but
the intended correct offer is not; or the offeror submits evidence which
clearly and convincingly demonstrates that a mistake was made.
Technical irregularities are matters of form rather than substance
evident from the proposal document, or insignificant mistakes that can be
waived or corrected without prejudice to other offerors, that is, when there
is no effect on price, quality, or quantity. If discussions are not held or
if best and final offers upon which award will be made have been received, the
procurement officer may waive such irreqularities or allow an offeror to
correct them if either is in the best. interest of the County of Hawaii.
Examples include the failure of an offeror to: return the number of signed
proposals required by the request for proposal; sign the proposal, but only if
the unsigned proposal is accompanied by other material indicating the
offeror's intent to be bound; or to acknowledge receipt of an amendment to the
request for proposal, but only if it is clear from the proposal that the
offeror received the amendment and intended to be bound by its terms; or the
amendment involved had no effect on price, quality or quantity.
2.14 OIFER TN ECTZON
Offers to competitive sealed bids may be inspected only as provided for
in Section 2.9, above, and after award of contract. During the evaluation and
award recommendation period, offers will not be available for inspection. For
the competitive sealed proposals the proposals shall be made available for
public inspection after contract award.
2.15 DISQ„ J&TJ_pICATION OF OFFERORS
An offeror shall be disqualified and his offer automatically rejected for
an one or mare of the following reasons: proof of collusion, in Which case,
all offers involved in the collusive action will be rejjected and an
participant to such collusion will be barred from future solicitations until
reinstated, offeror's lack of responsibility and cooperation as shown by past
work or services, offeror's being in arrears on existing contracts with the
County of Hawaii or having defaulted an previous contracts; offeror's lack of
proper equipment and/or sufficient experience to perform the work
contemplated; offeror does not possess proper license to cover the type of
work contemplated, if required; offerors deliver of the offer after the
deadline specified in the public notice calling for offers, or as amended,
except as allowed in Section 3-122-29 (1). HA2 or offeror's failure to pay, or
satisfactorily settle, all bilis overdue for labor and material on former
County of Hawaii contracts at the time of issuance of solicitation.
2.16 ST ARDS OF CQWC'T
Section 84-15, ERS, provides as follows:
a) An agency of the County of Hawaii shall not enter into anycontractwithalegislatororanemployeeorwithabusinessinwhicha
legislator or an employee has a controlling interest, involving services
or property of a value in excess of 11,000 unless the contract is made
after public notice and competitive bidding or proposals.
b) An agency of the County of Hawaii shall not enter into a
contract with any person or business which is represented or assistedpersonally, in the matter by a person who has been an employee of the
agency within the preceding two years and who participated while in
County office or employment in the matter with which the contract is
directly concerned.
c) This section shall not apply to a personal; contract of
employment with the County. La
GENERAL TERMS AND CONDITIONS E-JULY 1, 1994
All offerors should be certain that their bids are mot in violation ofthislaw. The submittal form states that by submitting this offer, offerorcertifiesthathisofferdoesnotposeaconflictwithsection84-13, HRSContractsawardedshallbevoidifthereisaviolationofsection84-15, HRS.
2,19 IRREGULAR OFFERS
Offers will be considered irregular and shall be rejected for thefollowingreasonsincludin+( but not limited to the following: if the offer isassignedbytheofferer; if the required offer guaranty received separatelyfromtheofferisnotidentifiableasguarantyforaspecificoffer, or isreceivedafterthedateandtimesetfortheaening; if the required offerguarantyisnotinaccordancewithSection2.5 of these general terms andconditions; if the offeror or surety fails to sign the surety bond submittedasofferguaranty; if offeror fails to use the Surety bond form furnished bytheCountyofHawaiioridenticalwordingcontainedinthesaidformwhensubmittingqasuretybondasproposalguaranty; if the offer Shaws anympl3ancswithanon-coapplicable lax or contains any unauthorized additions ordeletions, conditioned, incomplete, or irregular or is in anyway making theproposalincomplete, indefinite, or ambiguous as to its meaning; or unbal cedoffersinwhichthepriceforyitemisobviouslyoutofproportiontothepricesforetheritems.
SECTION 2--
2.13.1 EVALALUXTION
X. HAWXII EXCISE AND USE TAXES
Section 103-53.5, HRS, provides as follows:
There the bidder or vendor is an out-of-state vendor not doingbusinessintheStateorisapersonexemptedfrompayingtheapplicablegeneralexcisetax, the package bid or purchase price,for the purpose of determining the lowest price bid, shall beincreasedbytheapplicableretailrateofgeneralexcisetaxandtheapplicableusetax. The lowest responsible bidder, taking intoconsiderationtheaboveincreases, shall be awarded the contract,but the contract amount of any contract awarded shall be the amountofthebidofferedandshallnotincludetheamountoftheincreases.
To facilitate compliance with this requirement, each bidderpossessingaHawaiiI.D. number for General Excise Tax License shallenteritinthespaceprovided, thereby attesting that he is doingbusinessintheStateandthathewillpaysuchtaxesonallsalesmadetotheCountyofHawaii. Except as provided in the SpecialProV13iana, any bidder who cannot furnish a valid Hawaii GeneralExciseTaxLicensenumberinthespaceprovidedwillbeconsideredasnotdoingbusinessintheStateandhisbidwillbeevaluatedaccordingly.
H. P21YERENCE 191 HAWAII
Section 103D-1002, ERS, provides as follows:
Hawaii products. In any a aditure of public funds, a purchasingagencyshallreviewallpurchasespecificationsinabidorproposalforpurchasefromtheHawaiiproductslistwheresuchproductsareavailable, provided that the products: Meet the minimusspecificationsandthesellingpricef.o.b. jobsits; unloadedincludingapplicablegeneralexcisetaxandusetaxdoesnotexceedthelowestdeliveredpriceinHawaiif.o.b. jobsita' unloadedincludingapplicablegeneralexcisetaxandusetaxofasimilarnon-Hawaii product by more than; three per cent, where Class IHawaiiproductsareinvolved; five per cent where class II Hawaiiproductsareinvolved; or ton per cent where Class III Hawaiiproductsareinvolved.
Where offers contain both Hawaii and non-Havaii products, then forthepurposeofselectingthelowestofferorpurchasepriceonly,the price offered for a non-Hawaii product item shall be increased
GENERAL TERMS AND CONDITIONS 9-JULY 1, 1994
by adding thereto three per cent, five per cent or ten per cent where similarClassI, Class II or Class III Hawaii product items have been offered byanotherpartypursuanttothepreferencesstatedabove. The lowest total
offer, taking into consideration the above preferences, shall be awarded the
contract unless the offer provides for additional award criteria. The
contract amount of any contract awarded, however, shall be the amount of the
price offered, exclusive of such preferences.
Any person desiring a preference pursuant to this subchapter, must
have the product(s) qualified and registered on the Hawaii products
list. The responsibility for qualification shall rest upon the
person desiring the preference. The product(s) shall be found
qualified and on the Hawaii products list before a preference may be
granted. Persons desiring to qualify their products) shall
complete according to instructions and file with the administrator,
the "Application for Hawaii Products Preference (7/01!94)" as shown
at the end of this subchapter and provide all additional information
required by the administrator.
C. PRINTING PRZF_E.REECE
Subchapter 2, chapter 124, EAR, provides that:
All printing, binding, and stationery work for the County of Hawaii,or other political subdivision thereof shall be performed within the
State, including all preparatory work, presswork, bindery work, and
any other production-related work, and all requests for offers or
contracts Lor such work shall so stipulate; provided that whenever
it is established that any such work cannot be performed within the
State or that the lowest price for which such work can be procured
within the State exceeds the bid or charge of an out-of-state
manufacturer of such item by fifteen per cent, the work or any part
thereof so affected may be performed outside the State.
No ayment shall be made by the County of Hawaii, or other political
subdivision thereof for printing, binding, or stationery work unlessitappearsthattheworkwasdonewithintheStateorwasauthorized
to be done outside the State pursuant to this section. In addition,
any manufacturer violating a stipulation in a offer or contract that
all work will be performed within the State shall be subject to a
civil penalty in an amount not to exceed the offer or contract price
to be collected by a civil action filed by the attorney general on
behalf of the County of Hawaii.
D. RECIPROCAL PREFERENCE
Subchapter 3, chapter 124, HA2, provides that:
To ensure fair and open competition for Hawaii businesses engaged in
contracting with other states, the chief procurement officer may
smpws• a reciprocal preference against bidders from those states
which apply preferences. The amount of the reciprocal preference
shall be equal to the amount by which the non-resident preference
exceeds any preference applied by this State.
In daternining whether a bidder qualifies as a resident offeror, the
definition used by the other state in applying a preference shall
apply.
This section shall not apply to any transaction if the provisions of
the section conflict with any federal laws.
E. RECYCLED PRODUCTS PREFERENCE
Subchapter 4, chapter 3-124, HAS, provides that:
Solicitations issued by a governmental agency pursuant to section
103D-301, ERS, and consistent with section 3-122-21 H", shall
contain a notice stating that a price preference will be given to
recycled products. This price preference will be at least five per
cent of the bid price, and will be used for bid evaluation, as
specified in section 3-122-33, HAS/.
GENERAL TERMS AND CONDITIONS 10- JULY 1, 1994
i
When a purchase specifies recycled products only or when recycledproductsonlyareoffered, the price preference shall not apply.3Offerorsrequestingapreferenceshallsubmitacompcertificationform, as required by section 3-12¢-23 HAR, with leachoffer. Previous certifications shall not apply unless allowed bythesolicitation.
All governmental agencies issuing solicitations shall provide anappropriatespaceforofferortoindicatewhetherarecycledoranon-recycled product is to be used or supplied and to list thepricesoftherecycledornon-recycled products or both beingoffered.
The preference shall be separate from any other preference allowedbystatute.
F. TIE ETnS
Subchapter 5, chapter 3-122, RAR, provides that:
Low tie bids are low responsive bids from responsible bidders thatareidenticalinpriceandwhichmostalltherequirementsandcriteriasetforthintheinvitationforbids.
In the discretion of the chief procurement officer or the head of apurchasingagency, award shall be made in any permissible mannerthatwillresolvetiebids, including but not limited to:
Award the contract to a business providing goods produced ormanufacturedinthisStateortoabusinessthatotherwisemaintainsaplaceofbusinessinthisStates
the
core
Sntractoto low
the ie
ds bidder
fartthe
hest ffrom the pointaward
ofdelivery: and
Award the contract to the identical bidder who received thepreviousawardandcontinuetoawardsucceedingcontractstothesamebiddersolongasalllowbidsareidentical.
Where there are multiple items in the same solititation, awardthecontractonthetiedbiditem(s) to the bidder whose othercontractawardislargest.
Award the contract to the identical bidder who received thepreviousawardandcontinuetoawardsucceedingcontractstothesamebiddersolongasalllowbidsareidentical.
If no permissible method will be effective in resolving tie bids andawrittendeterminationbytheprocurementofficerismadesostatinq, award may be made by drawing lots.
3.2 A rAirca or araag
Acceptance of offer, if any, will be made within sixty calendar daaaftertheaniuqofoffers, and the prices quoted by the offeror shall remainfirmforthesixtydayperiod. Unless otherwise provided, each individualitemorgroupofitemswillbeawardedtotheresponsiveandresponsibleofferorwhoseolfercomplieswith
po
all the Solicitation requirements. Innote
onlyngoathe
samnonats athereof, abut a
on
fallr,
factors
will
atingevtoluathhesatisfactoryperformanceofthecontract. Products must be of a quality andnaturethatwillmeettheneedsandpurppoosesoftheintendeduseandmustconformtoallrequirementsprescribedintheeofferormusthavetheabilitytoperformascalledforsracthec
contract terms TheCountyofHawaiishallbethesoleJudaofproductorvendorcapability. thesuccessfulvendorwillbenotifiedbyletterthattheofferhasbeenacceptedandthatthevendorisbeingawardedthecontract.
GENERAL TEEMS AND CONDITIONS 11- JULY 1, 2994
If the offer is rejected or if the vendor to whom the contract was
awarded fails to enter into the contract and furnish satisfactorysecurity, if
applicable, the purchasing agency may, at their discretion, award the contract
to the next lowest or remaining responsible cfferor or may publish another
call for offers, provided in the case of only one remaining responsible
offeror, the head of a purchasing a cy may negotiate with such bidder to
reduce the scope of work, if avail
ableon
funds are exceeded, and to award the
contract at a prize which reflects the reduction in the scope of work.
The head of a purchasing agency further reserves the right to cancel the
contract award at any time prior to execution of said contract by all parties,
without any liability to the awardee and to any other offeror.
3.3 - MMIQN OF CONTRACT
This section shall not apply to any contract in which the total amount
payable to the contractor cannot be accurately estimated at the time the
contract is to be awarded.
In cases where the contract award amounts to S10,000 or more the County
of Hawaii shall forward a formal contract to the successful offeror for
execution. (Refer to Exhibit A for agreement form.) The contract shall be
signed by the successful vendor and returned, together with a satisfactory
contract bond if required, and other supporting documents, within ton days
after receipt by the vendor or within such further time as the procurement
officer may allow.
No such contract shall be considered binding upon the County of Hawaiiuntilthecontracthasbeenfullyandroperlyexecutedbyalltheparties
thereto and the Diroctof of Finance tas, in accordance with the County
Charter, endorsed thereon a certificate that there is an appropriation or
balance of an appropriation over and above all outstanding contracts,
sufficient to cover the amount required by the contract; with the exception of
a multi-term contract, whereby, the Director of finance shall only be required
to certify that there is an appropriation or balance of an appropriation over
and above all outstanding contracts, that is sufficient to cover the amount
required to be paid under the contract during the fiscal year or remaining
portion of the fiscal year of each term fthe multi-year contract;
In any contract involving not only state or county funds but supplemental
funds from the federal government, this section shall be applicable only to
that portion of the contract price as ispayableout of state or count
funds. As to the portion of the contractprice as is expressed in the
contract to be payable out of federal funds, the contract shall be construed
to be an agreement to ay the portion to the contractor, only out of federal
funds to be received from the federal government. This paragraeb shall be
liberally construed so as not to hinder or impede the County or Hawaii in
contracting for any project involving financial aid from the federal
government.
if the successful offeror is other than a sole, proprietorship, it shall
submit satisfactory evidence, e.g. certificate or corporate resolution, power
of attorney or other sua evidence of authority of the signers, authority to
execute on the contract date the contract on behalf of the successful bidder.
If such document has been submitted to this purchasing agency on a previous
occasion, the successful offeror may submit a copy of this document, rovided
there has been no amendment, modification or rescission of the 90cument
previously submitted, and provided further, that no such copy shall be
acceptable unless the date of the document previously submitted in dated
within one year of the contract date. If there has been a modification,
amendment or rescission of the evidence of authority previously submitted,
then the superseding document shall be attached to the contract.
2.4 COnRA= BOND
The requirement for contract performance and payment bonds, if any, shall
be stated in the Special Provisions of the solicitation.
when required by the Special Provisions, a performance bond and a payment
bond shall be delivered by the contractor to the County of Hawaii at the same
time the executed contract is delivered. Each amount of the performance and
GENERAL TERMS AND CONDITIONS 12- JULY 11 1944
payment bonds shall not exceed fifty per cent of the amount of the contractprice; provided, for contracts where contract price cannot be determined atthetimeofaward, the amounts of the bonds shall be as stated in thesolicitation.
The acceptable performance and payment bonds are the same as theacceptablebidorproposalsecuritpdepositspecifiedinsection2.6. (RefertoExhibit$ C, D, T. G, and H t"or the forms to be submitted.) If a suretybondissubmittedforeithertheperformanceorppaymentbond, in addition totheformprescribed, a ppover of attorney for the surety's attorney-in-factexecutingthebondshallbeprovided.
3.5 FAILURE TO MMC!JTS CONTRACT
If the offeror to whom a contract is awarded shall fail or neglect toenterintothecontractandtofurnishsatisfactorysecurityasrequiredbySection3.4 within ten days after such award or within such further time astheprocurementofficermayallow, the Rurchasing agency shall pay the amountofofferor's proposal quarant as required under Section 2.6, into the CountyTreasuryasarealization
ofy
the County of Hawaii. The procurement officermaythereuponawardthecontracttothenextlowestresponsibleofferorormaycallfornewoffers, whichever method be may deem is in the best interest oftheCountyofHawaii.
3.6 RE= OF OFFER OU Anr-ES
All offer guaranties submitted as required by subchapter 24, chapter3-122, HAR, shall be retained until the successful offeror enters intocontractandfurnishessatisfactorysecurityorifthecontractisnotawardedorenteredinto, until the procurement oficer's determination is made toPublishanothercallforoffers. At such time, all offer guaranties, exceptsuretybonds, will be returned.
3-7 EMISSION OF INSUgAgCx fEgTr*t,+tw.i~is
The contractor agrees to deliver to the County of Hawaii, when contractdocumentsareexecuted, a certificate of insurance evidencing any and allinsurancerequiredbythespecialproviipsions. Said certificate shall containan
daps
endorsement
notice to theaCounty of
insurance me
It hallalsocontain a
except
toithaeffectthattheCountyofHawaiiisnamedadditionalinsuredunderthepolicy($), if required by the Special Provisions.
Failure of the contractor to provide and keep in force insurancePolicy(s) as required shall be regarded as material default under thiscontract, eatit"nq the County of Hawaii to exercise any or all of theremediesprovidedinthiscontractforadefaultofthecontractor.
SECTION 4 - PERFORMANCE n* rrOHML"T
4.1 CONTRAC! At rrTwTcs41*TOti
It is expressly understood and agreed that the contractor is anindependentcontractor, with the authority to control and direct theperformanceanddetailsoftheworkandserviceshereincontemplated; however,the County of Hawaii retains the general right of inspection by a designatedrepresentativeinordertojudge, whether in the Couat+°a o inion, such workisbeingperformedbythecontractorinaccordancewiththetermsofthisagreement.
4.2 COMPLIANCE WITH CO RACT "eun tc RTC
The work shall be completed in conformity with the specifications andeachaadeveryrequirementofthegeneraltermsandconditionsandotherprovisionsformingapartof.the contract. In the event the contractor failstosaperform, the chief procurement officer or head of the purchasing a encpy,in addition to an other recourse, reserves the right to suspend thecontractorfrombiddingonanyorallCountyofHawaiicontractspursuanttoChapter3-126, HAS;.
GENERAL TERMS AND CONDITIONS 13- JULY 1, 1994
4 3CHANGE ORDERS AND MODIFICATIQNS
The contractor will not undertake to perform the portion of the work
affected by the changes until a change order or modification has been approved
and issued. (Refer to Exhibit I for Contract Modification form and Exhibit
for the Change Order form.)
SECTION 5 LEGAL RELATIONS REZPONSIBILITY
5.1 —LAWS TO BE OBSERVED
The contractor shall at all times observe and comply with all federal,
state and local laws or ordinances, rules and regulations which in any manner
affect those engaged or employed in the performance of the work, the
manufacture and sale of materials and equipment required under the contract,
and the conduct of the work. The contractor shall also comply with all such
orders and decrees of bodies or tribunals having any jurisdiction or authority
over the work. Any reference to such laws, ordinances, rules and regulations
shall include any amendments thereto.
The contractor shall protect and indemnify the County of Hawaii and all
its officers, agents and emloyees against any claim or liability arising from
or based on the violation o any aucb laws, ordinances, rules and regulations,
orders and decrees, whether such violation is committed by the contractor or
his subcontractor or the employee or either or both. If any discrepancy or
inconsistency is discovered in the contract for the work in relation to any
such laws, ordinances, rules and regulations, orders or decrees, the
contractor shall forthwith report the same to the procurement officer in
writing.
nIcIj03 and
w R 1P
t m n s
S.2 PATENTED ARTICLE
The contractor will be required to, and shall hold the County of Hawaii
and its duly authorized representatives harmless against all demands, claims,
actions, suits or liabilities arising from the use of any patented article,
Uy process or patented appliance used in connection with the contract.
Any royalties due or becoming due for the use of any patented article orprocessshallbepaidbythecontractorandshallbedeemedtobeincluded
within the proposal amount and contract price.
S,3 SUBCONTRACTING An ASSIGNING
The contractor shall not subcontract any of the work to be performed
under his contract with the Countp of Hawaii, nor shall he assign the contract
to any other person or firm without written permission from the procurement
officer, and no subcontract or assignment made without such permission will be
recognised. No subcontract shall, under any circumstances, relieve the
contractor of his obligation and liability under his contract with the County
of Hawaii, and all persons engaged in performing the work covered by the
contract shall be considered employees of the contractor.
5,4 ASSIgM= OF ANTITRUST CLAIMS
vendor and purchaser recognise that in actual economic practice,
overcharges resulting from antitrust violations are in fact usually borne by
the purchaser. Therefore, vendor hereby assigns to purchaser any and allclaimsforsuchoverchargesastogoodsandmaterialspurchasedinconnection
with this order or contract, except as to overcharges which result from
antitrust violations commencing after the price is established under this
order or contract and which are not passed on to the purchaser under an
escalating clause.
5 EESpONSIAIiITY FOR DAMAGA CLAIMS
The contractor shall indemnify, bold harmless and defend the County of
Hawaii and its officers, employees, agents, and representatives from all
suits, actions, claims, damages, and judgements of any character that may be
GENERAL TEEMS AND CONDITIONS 14- JULY 1. 1994
i
brought against the County of Hawaii by whomsoever, on account of any injuriesordamagessustainedbyany ,person and property, due to the negligent acts oromissionsbythecontractor, or any of his officers, employees,subcontractors, assignees, or representatives, in the performance of thecontract. In the event the County of Hawaii and the contractor are found tobejointtortfeasorswithrespecttoanysuchinjuriesordamages, thecontractor's obligations to indemnify the County of Hawaii under this sectionshallextendonlytothecontractor's pro rata share of negligence asdeterminedinaccordancewithsection663-1 , Hawaii Revised Statutes.
5.6 PERSONAL LIABSLITY OF PUBLIC OTr°r,re
In carrying out any of the provisions of the contract or in exercisinganyowerorauthoritygrantedtothembythecontract, there shall be noliabilityupontheprocurementofficerorhisauthorizedrepresentatives,either personally or as officials of the County of Hawaii, it being understoodthatinsuchmatters, they act solely as agents and representatives of theCountyofHawaii.
5.7 CONTRACT p),I ONS fid CQNSID
Unless otherwise prohibited by law, all public contracts awarded shallconsidertheextenttowhichtheworkundertakenpursuanttothecontractwillincreasetrafficcongestion. The contract shall contain provisions toreasonablyminimizeanyadverseimpact. I
SECTION 6 - MODIFI ASIANS ANb 't`Fi t,TNATION Qf hiR1 CTS FOg C nS Nr} 1 ERVICE+6.1 GENwRAI
A) This section of the
services contracts, general terms and conditions apply to goods and
S} Pursuant to the provisiaas of section 203D-501, SRS, the chief jprocuramentofficerortheheadofapurchasiagaacshallmakeawrittendeterminationdescribingthecircumstancesuatifyingthevariationorvariationsandprovidedthatnoticeofanysumaterialvariationshallbestatedintheinvitationforbidsorrequestsforproposals.
C) Any material variation from these clauses shall be described in thesolicitationdocumentsinsubstantiallythefollowingform:
General Terms and Conditions Section no. IentitledisnotapartofthegeneraltermsanconitsansOfthiscontractandhasbeenreplacedbySpecialProvisionsclauseno.entitled
D) Alternative clauses are allowed in same instances to permitaccommodationofdifferingcontractsituations.
6.2 C8111t0ES I1! FIIISD PBt E CONT YCTS
A} Charge order. Thr procurement officer may, at any time, by awrittenorder, (Exhibit J), and without notice tonay surety, and subject toallappropriateadjustments, make changes within the general scope of thiscontractisanyoneormor* of the followia rscificatiaas, g {1) Drawin s, dwu s,
eor
dfortheCountyof8aigiisaccordanceithere
tshed
herewith; (2)(2) Method lof hip ocat rorpacking; or (3) Place of delivery.
H) Adjustments of price or performance time. If any such change orderincreasesordecreasesthecontractor's cost of, or the time reqquuired for,performanc* of any part of the work under this contract, whrthsr or notchargedbytheorder, as adjustment shall be made and the contract modified inwritingaccordinglAngadjustmentincontractgricrmadeurauaattothis
6section
shall be determined in accordance with the price adjursuant Section2.
GENERAL TEEMS AND CONDITIONS 15- JULY 1, 2994
C) Failure of the parties to agree to an adjustment shall not excuse
the contractor from proceeding with the contract as changed, provided that the
procurement officer promptly and duly makes such 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 an extension of time for completion.
D) Time period for claim. Within thirty days after receipt of a
written change order under paragraph (h), unless such period is extended by
the 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 County is prejudiced by the delay in
notification.
E) Claim barred after final payment. No claim by the contractor for an
adjustment hereunder shall be allowed if notice is not given prior to final
payment under this contract.
F) Other claims not barred. in the absence of such a change order,
nothing in this clause shall be deemed to restrict the contractor's right topursueaclaimaspermittedunderthecontractorforbreachofcontract.
6.3 CHANGES IN CQ,9TREIMBURSEMENT CONTRACTS
The provisions of Section 6.2 are also to be used for cost-reimbursement
contracts, provided further that any claims for reimbursement by the
contractor shall be in accordance with chapter 3-123, EAR, provided that if a
written determination is approved at a level above the procurement officer,
such cost principles may be modified by contract.
6.4_AuuTHORIZATION FOR A STOP WORK_ R=
A) Section 6.5 applies to say fixed-grace contract under which wank
stoppage may be reguire for reasons such as advancements in the state of the
art, production modifications, engineering changes, or realignment of programa.
B) Stop work orders shall not exceed sixtX consecutive days and shall
include, as appropriate: (1) A clear description of the work to be
suspended; (2) Instructions as to the issuance of further orders by the
contractor for
subcontracts; and
t(
4)aOtherlor :
instructionsand suggestionstions to
actionceastotaken
the cotractorfor
minimizing costs.
C) As soon as feasible after a stop work order is issued: (1) The
contract will be terminated; or (2) The stop work order will be canceled or
extended in writing beyond the period specified in the order.
p) In any event, some such action must be taken before the specified
stop work period expires. If an extension of the stop work order is
necessary, it joust be evidenced by a supplemental agreement. Any cancellation
of a stop work order shall be subject to the same approvals as were required
for the issuance of the order.
A) order to stop work. The procurement officer, may, by written order
to the contractor, at any time, and without notice to an surety, require the
contractor to stop all or any part of the work called for by this contract.
This order shall be fora specified period not exceeding sixty 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 work order
issued pursuant to this paragraph. upon receipt ofsuch ass order, the
contractor shall forthwith comply with its terms and take all reasonable stopstominimisetheoccurrenceofcostsallocabletotheworkcoveredbytheorder
during the period of work stoppage. Before the stop work order expires, or
within any further period to which the parties shall have agreed, the
procurement officer shall either: (1) Cancel the stop work order; or (2)
Terminate the work covered by such order as provided in the termination for
default clause" or the "termination for convenience clause" of this contract.
GENERAL TERMS AND CONDITIONS 16- JULY 11 1994
i
a
i
B) Cancellation or expiration of the order. Yf a sto C work orderissuedunderthissectioniscanceledatytimeduringtheperiodspecifiedintheorder, or if the period of the order or any extension thereof expires,the contractor shall have the right to resume work. An appropriate adjustJneatshallbemadeinthedeliveryscheduleorcaatractprice, az bath, and thecontractshallbemodifiedinwritingaccordingly, If: {2) The stop workorderresultsinasincreaseinthetimerequiredfor, or in the a stop workcostproperlyallocableto, the performance of any part of this contrast; and2) The contractor asserts a claim for such an adjustment within thirty da saftertheend
er
the period of work stoppage; provided that, 1f theprocurementofficerdecidesthatthefactsjustifysuchaction, any such claimassertedmaybereceivedandacteduponatanytimepriortofxaalpaymentunderthiscontract.
Termination of
and t(h ) work covered by suchorderris terminated for default or
convecaceled
nieence,the reasonable costs resulting from the stop work order shall be allowable byadjustmentorotherwise.
D) Adjustment of price. Any adjustment in contract price made pursuanttothisclauseshallbedeterminedinaccordancewiththepriceadjustmentclauseofthiscontract,
6.6 VARI,TrONS IN ESTIMATED OUANTiTTE4 pAA nsvrvl.E .,CO2i'rasrTa
Variation in quantity. Upon the agreement of the parties, theuantitofgoodsorservicesorbothSpecifiedinthiscontractmaybeincreasedbyamaximumoftenpercentprovided: the unit prices will remain the same acceptforanypriceadjustmentsotherwiseapplicable, and the procurement officermakesawrittendeterminationthatsuchanincreasewilleconomicalthanawardinganothercontractorthatitwouldnteitherbemoreawardanothercontract. obe practical to
6.7 P ur,Trnue Iti ESTIMATED 0 rITICS to 1"t.r
A
No clause is provided here because in indefinite quantity contracts theflexibilityastotheCountpp'a obligation to order and the contractor'sobligationtodeliveryshouldbedesignedtomeatusingagencyneeds.
However, the contracts Special Provisions should gravida for: theminimumquantity, if any, the County of Hawaii is obligated to order and thecontractortoprovide; whether there is a quantity the County of Hawaiiexpectetoorderandhowthisquantityrelatestoanyminimumandmaximumquantitiesthatmaybeorderedundertinecontract; any maximum quantity theCountyofHawaiimayorderandthecontractormustprovidesandwhethertheCountyofHawaiiisobligatedtoorderitsactualrequirementsunderthecontract, or in the case of a multiple award as defined in section 3-122-160,HAM, that the County of Hawaii will order its actual requirements from thecontractorsunderthemultipleawardsubjecttoanyminimumormaximumquantitystated.
6.8 PRTCx sn.}mcTw:+r*
Pri
provision inathescontract hallabeumadenin ane
orin
nmoretofptheefollowing ways:
a
B YA) By agreement on a fixed price adjustment before commencement of thePertinentperformanceorassoonthereafteraspracticable;
H) By unit prices specified in the contract or subsequently agreed upon;C) BY the costs attributable to the event or situation covered by theclause, plusappropriate profit or fee, all as specified in thecontractoraubsequentlyagreedupon;
D} In such other manner as the parties may mutually agree; or
E) In the absence of agreement between the parties, by a unilateraldeterminationbytheprocurementofficerofthecostsattributabletotheeventorsituationcoveredbytheclause, plus a ppropriateprofitorfee, all a$ computed by the
procKment o3icer inaccordancewithgenerallyacceptedaccountiprinciplesandpplicablesectionsofchapters3-123 and 3-126,
GENERAL TLBMS AND CONDITIONS 17- JULY 1, 1994
Submission of cost or pricing data. The contractor shall provide cost or
pricing data for any price adjustments subject to the provisions of subchapter
1S, chapter 3-122, HAR.
6,9 NOVATION OR CHANGE OF NAME
A) No assignment. No County of Hawaii contract is transferable, or
otherwise assignable, without the written consent of the chief procurement
officer or the head of a purchasing agency provided, that a contractor ma
assign monies receivable under a contract after due notice to the County o
Hawaii.
B) Recognition of a successor in interest; novation. When in the best
interest of the County of Hawaii, a successor in interest may be recognized in
a novation agreement in which the transferor and the transferee shall agree
that: the transferee assumes all of the transferor's obligations, the
transferor waives all rights under the contract as against the County of
Hawaii; and unless the transferor guarantees performance of the contract by
the transferee, the transferee shall furnish all required bonds.
C) Change of name. When a contractor requests to change the name in
which it holds a contract with the county of Hawaii, the procurement officer
responsible for the contract shall, upon receipt of a document indicating such
change of name (for example an amendment to the articles of incorporation of
the corporation), enter into an agreement with the requesting contractor to
effect such a change of name. The agreement changing the nam* shall
ecifically indicate that no other terms and conditions of the contract aret9therebychanged.
D) Reports. All chance of name or novation agreements effected
hereunder other than by the chief procurement officer shall be reported to thechiefprocurementofficerwithinthirtydaysofthedatethattheagreement
becomes effective.
B) Actions affecting more than one purchasing agency. Notwithstanding
the provisions of paragraphs (A) through (C), when a contractor holds
contracts with more than one purchasing agency of the County of Hawaii, the
novation or change of name agreements herein authorised shall be processed
only through the office of the chief procurement officer.
6,10 CLXIMS BASED ON A PRt}CtTFt,MNT OFFICER'S ACTIONS OR 4M SSIONS
A) Notice of Claim. If any action or omission on the part of a
rocurement officer or designee of such officer, requiring performance changespwithinthescopeofthecontractconstitutesthebasisforaclaimbythe
contractor for additional compensation, damages, or an extension of time for
completion, the contractor shall continue with performance of the contract 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; provideds
1) The contractor shall have given written notice to the procurement
officer or designee of such officer: Prior to the commencement of
the work involved, if at that time the contractor knows of the
occurrence of such action or omission; Within thirty days after the
contractor did not have such knowledge prior to the Coaseencemeat of
the work,; or Within such further time as may be allowed by the
procurement officer in writing.
This notice shall state that the contractor regards the act or omission
as a reason which map entitle the contractor to additional compensation,
damages, or an extension of time. The procurement officer or designee of such
officer, upon receipt of such notice may rescind such action, remedy such
omission, or take such other steps as may be doomed advisable an the
discretion of the procurement officer or designee of such officer;
2) The notice required by subparagraph (1) describes as clearly as
practicable at the time the reasons why the contractor believes that
additional compensation, damages, or as extension of time may be
remedies to which the contractor is entitled; and
GENERAL TERMS AND CONDITIONS 18- JULY 21 2994
i
i
I
3) The contractor maintains and, upon request, makes available to theprocurementofficerwithinareasonabletime, detailed records totheextentpracticable, of the claimed additional costs or basis foranextensionoftimeinconnectionwithsuchchanges.
iB) Limitation of clause. Nothing herein contained, shall excuse thecontractorfromcompliancewithanyrulesoflavprecludinganyCountofficersandanycontractorsfromactingincollusionorbadfaithinissuingorperformingchangeorderswhichareclearlynotwithinthescopeofthecontract.
C) Adjustments of price. Aap adjustment in the contract price madepursuanttothisclauseshallbedeterminedinaccordancewiththepriceadjustmentclauseofthecontract.
f.11 TERMINATION POR DEFAULT
A) Termination for default. If the contractor refuses or faila toperformanyoftheprovisionsofthiscontractwithsuchdiligenceaswillensureitscamplationwithinthetimespecifiedinthiscontract, or anyextensionthereof, otherwise fails to timely satisfy the contract provisions,or commits as other substantial breach of this contract, the procurementOfficermaynotifythecontractorinwritingofthedelayornon-performance,and if not cured in ten days or any longer time specified in writing by theprocurementofficer, such officer may terminate the contractor's right toproceedwiththecontractorsuchpartofthecontractastowhichtherehasbeendelayorafailuretoproperlyperform. Ia the event of termination inwholeorinpart, the procurement officer may procure similar goods orservicesinamannerandupontermsdeemedappropriatebytheprocurementofficeextentritThecontractoraterminatshall
and shallnbe liable for
of
excesseco is
contractincurred the
procuring similar goods or services.
H) Contractor's duties. Notwithstanding termination of the contractandsubjecttoanydirectionsfromtheprocurementofficer, the contractorshalltaketimely, reasonable, and necessary action to protect and preserveproperinthepossessionofthecontractorinwhichtheCountyofHawaiihasaninterest.
C) Compensation. Payment for completed goods delivered and acts ted bytheCountyofHawaiishallbeatthecontractprice. payment for theprotectionandpreservationofproertyshallbeinasamountagreeduponbythecontractorandprocurementofficersifthepartiesfailtoagree, theprocurementofficershallsetanamountsubjecttothecontractorsrightsunderchapter126, RU. The County of Hawaii may withhold from amounts duethecontractorsucyYhsumsastheprocurementofficerdeemstobenecessarytoclaimstofthe
formerCountyli
of
Hawaii
holders and to reimburse the
CountyOf
Of Hawaii for theexcesscostsincurredinprocuringsimilargoodsandservices.
D) Excuse for nonperformance or delayed performance. Except withrespecttodefaultsofsubcontractors, the contractor shall not be in defaultbyreasonofanyfailureisperformanceofthiscontractinaccordancewithitsterms, including any failure by the contractor to make progress in theprosecutionoftheworkbersuadarwhichendangerssuchperfarrnance, if thecontractorhasnotifiedtheprocurementofficerwithinfifteendaysafterthecauseofthedelayandthefailurearisesoutofcausessuchestactsofGod=acts of the public enemy; acts of the State and any other governmental bad initssovereignorcontractualcaapbaocittfiresrfloodatepidemicalquarantinerestrisevereweather.triIfs or
the
otherailure to
perpforeal
m in caused byrgthe failunusually
subcontractor to perform or to make progress, and if such failure arises outOfcausessimilartothosesetforthabove, the contractor shall not be deemedtobe
subcontractor
default,
unreasonably
ess the obtainableoodsor offrom other sources in suffice
the
nttimetopermitthecontractortomostthecontractrequirements.
Upon request of the contractor, theprocurement officer shall ascertainthefactsandextentofsuchfailure, and, if such officer determines that anyfailuretoperformwasoccasionedbysayoneormoreoftheexcusablecauses,and that, but for the excusable cause, the contractor's progress and
GENERAL TERMS AND CONDITIONS 19- JULY 11 1994
performance would have met the terms of the contract, the delivery schedule
shall be revised accordingly, subject to the rights of the County of Havaii
under the clause entitled in fixed-price contracts, 'Termination for
Convenience" and in cost-reimbursement contract, "Termination". As used in
this Paragraph of this clause, 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 the provisions of this clause, it
is determined for any reason that the contractor was not in default under the
provisions of the clause, or that the delay was excusable under the provisions
of paragraph (4), Excuse for nonperformance or delayed performance of this
clause, the rights and obligations of the parties shall, if the contract
contains a clause providing for termination for convenience of the County of
Hawaii, be the same as if the notice of termination had been issued pursuant
to such clause. If, in the foregoing circumstances, this contract does not
contain a clause providing for termination for convenience of the County of
Hawaii, the contract shall be adjusted to compensate for such termination and
the contract modified accordingly subject to the contractor's rights under
chapter 3-126, HAH.
F) Additional rights and remedies. The rights and remedies Provided in
his clause are in addition to any other rights and remedies provided by lax
or under this contract.
6112 LIQUIDATED DAMAGES
A) The following is for goods or services contracts when it is
difficult to determine with reasonable accuracy the amount of damage to the
County of Hawaii due to delays caused by late contractor performance or
nonperformance and the contract contains the termination for default clause
set forth in section 3-125-11, BAR.
1) Li uidatad damages. When the contractor is ggiven notice of
delay or nonperformance as specified in Section 6.11(A)
termination for default clause of this contract and fails to
cure in the time specified, the contractor shall be liable for
damages for delay in the dollar amount specified in the
liquidated damages provision of the Special Provisions, if any,
per calendar day from date not for cure until either the CountyofHawaiireasonablyobtainssimilargoodsorservicesifthe
contractor is terminated for default, or until the contractor
provides the supplies or services if the contractor is not
terminated for default. To the extent that the contractor's
delay or nonperformance is excused under paragraph 6.110),
excuse for nonperformance or delayed performance of the
termination for default clause of this contract, liquidated
damages shall not be due the County of Hawaii. The contractor
remains liable for damages caused other than by delay.
B) if the contract will not have a termination for default clause and
the liquidated damages are to be assessed for reasons other than delay, the
chief procurement officer or the head of a purchasing agency may approve the
use of any appropriate liquidated damages clause.
6..13 TEPICNATI0N rol CONVENIENCE
A) Termination for convenience. The procurement officer may, when the
interests of the County of Hawaii to require, terminate this contract in whole
or in part, for the convenience of the County of Hawaii. The procurement
officer shall give written notice of the termination to the contractor
srcifying the part of the contract terminated and when termination becomes
eective.
B) Contractor's obligations. The contractor shall incur no further
obligations in connection with the terminated work and on the dates set in the
notice of termination the contractor will stop work to the extent specified.
The contractor shall also terminate outstanding orders and subcontracts as
they relate to the terminated work. The contractor sha l settle the
liabilities and claims arising out of the termination of s.•contracts and
orders connected with the terminated work. The procurement off :or may direct
the contractor to assign the contractor's right, title, and merest under
terminated orders or subcontracts to the Countyy of Hawaii. :"he contractor
must still complete the work not terminated by the notice of ;.ermination and
may incur obligations as are necessary to do so.
GENERAL TERMS AND CONDITIONS 20- JULT 11 1994
S
i
C) Bight to goods. The procurement officer may require the contractortotransfertitleanddelivertotheCountyofHawaii .in the manner and to theextentdirectedbytheprocurementofficer: any Completedoods; and thepartiallycompletedgoodsandmaterials, parts, tools, dies, Jigs, fixtures,plans, drawings, information, and contract rights, hereinafter called jmanufacturingmaterial," as the contractor has specifically produced or Ispeciallyacquiredfortheperformanceoftheterminatedpartofthiscontract.
The contractor shall, upon direction of the procurement officer, protect andpreservepropertyinthepossessionofthecontractorinwhichtheCountyofawaiihasaninterest, if the procurement officer does not exercise thisright, the contractor shall use best the contractor's efforts to 3911 suchgoodsandmanufacturingmaterials. Use of this section in no wa implies thattheCountyofRiawaiihasbreachedthecontractbyexerciseoftoterminationforconvenienceclause.
D) Compensation:
1) The contractor shall submit a termination claim specifying theamoantsduebasedontheterminationforconveniencetogetherwithcostorpricingdatatotheextentrequiredbysubchapteri5, chapter 3-122, bearing on such claim. If thecontractorfailstofileaterminationclaimwithinoneYearfromtheeffectivedateoftermination, the procurement officer
withpsuybparagr ph (3) b+elow,
at all, an amount set in accordance
2) The procurement officer and the contractor may agree tosettlementprovidedthecontractorhasfiledaterminationClaimsupportedbycostorpricingdatatotheextentrequiredbysubchapter15, chapter 3-122, BAR, and that the settlementdoesnotexceedthetotalcontractpriceplussettlementcostsreducedbypaymentspreviouslymadebytheCountyofHawaii,the proceeds of an sales of goods and manufacturing materialsunderparagraph (c), and the contract price of the work notterminated.
3) Absent complete agreement under subparagraph (2), theprocurementofficershallpaythecontractorthefollowingamounts, provided payments agreed to under subparagra h (Zshallnotduplicatepaymentsaiderthissubparagraphforthefollowing:
a) Contract prices for goods or services accepted under thecontract;
b) Costs incurred in preparation and performing theterminatedportionoftheworkplusafairandreasonableIzofitonsuchportionofthework, such profit shall notncludeanticipatoryprofitorconsequentialdamages, lessamountspaidortobepaidforacceptedgoodsorservices;pprovided, that if it appears that the contractor wouldhaVOsustainedalossiftheentirecontractwouldhavebeencompleted, no profit shall be allowed or included andtheamountofcompensationshallbereducedtoreflecttheanticipatedrateofloss;
c) Costs of settling and paying claims arising out of theterminationofsubcontractsororderspursuanttoIaragraph (B) of this clause. These costs must notncludecostspaidinaccordancewithsubparagraph (3)(b).
d) The reasonable settlement costs of the contractorincludingaccounting, legal, clerical, and other expensesreasonablynecessaryforthepreparationofsettlementClaimsandsupportingdatawithrespecttotheterminatedportionofthecontractandfortheterminationofsubcontractsthereunder, together with reasonable storage,transportation, and other costs incurred in connectionwiththeprotectionordispositionofpropertyallocabletotheterminatedportionofthiscontract. The total sues
GENERAL TERMS AND CONDITIONS 21- JULY 11 1994
to be paid the contractor under this subparagraph shall.
not exceed the total contract price plus the reasonable
settlement costs of the contractor reduced by the amount
ofpayments otherwise made, the proceeds of any sales of
goods and manufacturing materials under paragraph (C), and
the contract price of work not terminated.
4) Cost claimed, agreed to, or established under subparagraph (2)
and (3) shall be in accordance with chapter 3-123, ILU.
4 14 TER*{TNATION FQR COST-REIMBURSEMENT CONTRACTS
Termination for cost-reimbursement contracts. The only cost
recognized as allowable shall be in accordance with the cost
principles set forth in chapter 3-123, EAR, provided that if a
written determination is approved at a level above the procurement
officer, such cost principle may be modified by contract.
15 DISPt7TES
A) All controversies between the County of Hawaii and the contractor
which arise under, or are by virtue of, this contract and which are not
resolved by mutual agreement, shall be decided by the procurement officer in
writing, within one hundred twenty calendar days after a written request by
the contractor for a final decision concerning the controversy, provided that
if the procurement officer does not issue a written decision, or within such
longer period as may be agreed upon by the parties, then the contractor may
proceed as if an adverse decision had been received.
B) The procurement officer shall immediately furnish a copy of the
decision to the contractor, by certified mail, return receipt requested, or by
any other method that provides .evidence of receipt.
C) Any such decision shall be final and conclusive, unless fraudulent.
or the contractor bringqs an action seeking judicial review of the decision inthecircuitcourtoftheStatewithinthesixmanthsfromthedateofreceipt
of the decision.
D) The contractor shall comply with any decision of the procurementofficerandproceeddiligentlywithperformanceofthiscontractpendingfinal
resolution by the circuit court of this State of any controversy arisinc}
under, or by virtue of, this contract, except where there has been a material
breach of contract by the County of Hawaii; provided that in any event the
contractor shall proceed diligently with the performance of the contract where
the chief procurement officer has made a written determination that
continuation of work under the contract is essential to the public health and
safety.
6.16 REMEDIES
Any dispute arising under or out of this contract is subject to chapter
3-125, 11718.
SECTION 7 - PKDONT
2.1 MMOD or Pkn=
The method of parwnt under the contract shall be as set forth in the
Special Provisions. Further, payment to the Contractor shall be made in
accordance contract provision at the contracted price(s). Invoices shall be
payable upon certification by authorized County of Hawaii personnel that thecontractorhassatisfactorilyperformedtheworkrequiredherein.
7.2 rTNAL PAM=
In accordance With section 103-53, BBS, final payment under any contract
of $10,000 or more shall not be made until the Contractor has filed with thepurchasingagencyataxclearancefromtheStateDirectorofTaxationthatalldelinquenttaxesleviedoraccruedunderStatestatuteshavebeenpaid.
7.3 I WRIST
Interest on amounts ultimately determined to be due to a contractor ortheCountyofHawaiishallbepayableatthestatutoryrateapplicableto
judgments against the County of Hawaii under chapter 661, BHS, from the date
the claim arose through the date of decision or judgment, whichever is later.
GENZRAL TERMS AND CONDITIONS 22- JULY 11 1994
I
i
i
EXHIBIT B)
SURM BID OR PROPOSAL BOND
Bond No .
KNOW ALL MEN BY THESEPRESENTS:
That we, [Full n51me or legal title of o fprorl as Principal,hereinafter called the Principal, and _[Bonding -L-gmoanvlacorporationdulylicensedforthepurposeofmaking, guaranteeing,or becoming sole surety upon bonds or undertakings required orauthorizedbythelawsoftheStateofHawaii, as Surety,hereinafter called the Surety, are held and firmly bound unto theCountyofHawaii, as Owner, in the penal sum of [Required amg_Vn ofmersecuf;„yl dollars ( lawful money of the UnitedStatesofAmerica, for the payment of which sum well and truly to bemade, the said Principal and the said Surety bind ourselves, ourheirs, executors, administrators, successors and assigns, jointlyandseverally, firmly by these presents.
WHEREAS:
The Principal has submitted an offer for [Proiegt try number andbriefdescriplfo*+l .
NOW, TBEREFORE:
The condition of this obligation is such -that if the County ofHawaiishallrejectsaidoffer, or in the alternate, accept the
offer of the Principal and the Principal shall enter into a ContractwiththeCountyofHawaiiinaccordancewiththetermsofsuchoffer, and give such bond or bonds as may be specified in thesolicitationorContractDocumentswithgoodandsufficientsuretyforthefaithfulperformanceofsuchContractandforthepromptpaymentoflaborandmaterialfurnishedintheprosecutionthereofasspecifiedinthesolicitationthenthisobligationshallbenullandvoid, otherwise to remain in full force and effect.
Signed this day of 19
Principal)
By
Its
Surety)
By
Its attorney-in-Fact
SURETY BID OR PROPOSAL BOND (EXHIBIT B) July 1, 1994
EXHIBIT C)
SURETY PERFOR14ANCE BOND
Bond No .
KNOW ALL MEN BY THESE PRESENTS:
That we, (Full name or legal title of Contractor and street
address] , as principal, hereinafter called Contractor, and [ ondinq
gom„p nv3 , a corporation duly licensed for the purpose of making,
guaranteeing, or becoming sole surety upon bonds or undertakings
required or authorized by the laws of the State of Hawaii , as
surety, hereinafter called the Surety, are held and firmly bound
unto County of Hawaii, its successors and assigns, as Obligee,
hereinafter called Obligee, in the amount of (Required amount of the
bond) dollars ($ lawful money of the United Sates of
America, for the payment of which to the said Obligee, well and
truly to be made, Contractor and Surety bind ourselves, our heirs,
executors, administrators, successors and assigns, jointly and
severally, firmly by these presents.
WHEREAS:
The Contractor has by written agreement dated [Bate of
contract] entered into a contract with Obligee for (Project by
number and brief description) , and is hereinafter referred to as the
Contract.
NOW, THEREFORE:
The condition of this obligation is such that, if Contractor
shall promptly and faithfully perform said Contract then this
obligation shall be null and void, otherwise it shall remain in full
force and effect. The Surety hereby waives notice of any alteration
or extension of time made by the Obligee and its obligation is not
affected by any such alteration or extension provided the same is
within the scope of the contract. Whenever Contractor shall be, and
is declared by Obligee to be in default under the Contract, the
Obligee having performed its obligations thereunder, the Surety may
promptly remedy the default or shall promptly:
1) Complete the Contract in accordance with its terms and
conditions; or
2) obtain an offer or offers for completing the Contract in
accordance with its terms and conditions, and upon
determination by the obligee and the Surety jointly of the
responsive and responsible offeror, arrange for a contract
between such offeror and the Obligee, and make available
as work progresses (even though there should be a default
or a succession of defaults under the contract or
contracts of completion arranged under this paragraph)
sufficient funds to pay the cost of completion less the
SURETY PERFORMANCE BOND 1- EXHIBIT C) July 1, 1994
i
3
balance of the contract price; but not exceeding,including other costs and damages for which the Surety maybeliablehereunder, the amount set forth in the firstparagraphhereof. The term "balance of the contractprice, " as used in this paragraph, shall mean the totalamountpayablebyObligeetoContractorundertheContractandanyamendmentsthereto, less the amount paid by Countyof .Hawaii to Contractor. No right of action shall accrueonthisbondtoorfortheuseofanypersonorcorporationotherthantheObligee.
Signed and sealed this day of 19
Principal) SEAL)
BY
Its
sBy,
Its
Surety) SEAL)
BY
Its Attorney-in-Fact
ALL SIGNATURES MUST BE ACKNOWLEDGED
BY A NOTARY PUBLIC
SURETY PERFORMANCE BOND 2- EXHIBIT C) July 1, 1994
EXHIBIT D)
PERFOR14ANCE BOND
OW ALL MEN BY THESEPRESENTS:
That [Full name or legal title of Contractor and street
address] , hereinafter called Obligor, is firmly bound unto the
County of Hawaii, its successors and assigns, hereinafter called
Obligee, in the amount of [Required amount of the bond) dollars
lawful money of the United States of America, for
the payment of which the Obligor does hereby bind
himself/herself/itself and his/her/its heirs, executors,
administrators, successors and assigns, jointly and severally,
firmly by these presents.
As security for the above obligation, Obligor attaches hereto
Legal tender; certificate of deposit; share certificate; and/or
cashier's, treasurer's, teller's, official or certified check(s)) in
the amount of [Required amount of bond] dollars (
WHEREAS:
The Obligor has by written agreement dated [Date of contract]
entered into a contract with Obligee for [Project by number and
brief description) , and is hereinafter referred to as the Contract•
NOW, THEREFORE:
The condition of this obligation is such that if the Obligor
shall promptly and faithfully perform said Contract then this
obligation shall be null and void; otherwise it shall remain in full
force and effect. The Obligor hereby waives notice of any
alteration or extension of time made by the Obligee and its
obligation is not affected by any such alteration or extension
provided the same is within the scope of the contract. Whenever
Obligor shall be, and is declared by Obligee to be in default under
the Contract, the Obligee having performed its obligations
thereunder:
1) The Obligor may promptly remedy the default or shall
promptly complete the Contract in accordance with its
terms and conditions; or
2) If the Obligor fails to promptly remedy the default or
complete the contract in accordance with its terms and
conditions, the Obligee shall arrange for a contract
between another Contractor and the Obligee, and the
Obligee will pay the cost of completing the contract, plus
any administrative costs incurred by the Obligee in
securing another contract or contracts, less the balance
of the contract price from the security amount set forth
in the first paragraph above (even though there should be
a default or a succession of defaults under the contract
PERFORMANCE BOND 1- EXHIBIT D) July 1, 1994
i
I
or contracts of completion arranged under thisparagraph) ,but not exceeding the amount set forth in the first
paragraph hereof. The term 'balance of the contract
price, 0 as used in this paragraph, shall mean the total
amount payable by Obligee to Obligor under the Contract
and any amendments thereto, less the amount properly paidbyObligeetoObligor. No right of action shall accrue on
this bond to or for the use of any person or corporation
other than the Obligee.
a
i
F
Signed and sealed this day of 19
Principal) SEAL)
By
Its
By
Its
ALL SIGNATURES MUST BE ACKNOWLEDGED
BY A NOTARY PUBLIC
PERFORMANCE BOND 2- EXHIBIT D) July 1, 1994
EXHIBIT E)
SUR= LABOR AND MATERIAL PAYMENT BOND
Bond No.
KNOW ALL MEN BY THESE PRESENTS:
That [Full name or legal title of Contractor and street
address] as Principal, hereinafter called Contractor, and (Bonding
Company] , a corporation duly licensed for the purpose of making,
guaranteeing, or becoming sole surety upon bonds or undertakings
required or authorized by the laws of the State of Hawaii , as
Surety, hereinafter called Surety, are held and firmly bound unto
the County of Hawaii as Obligee, hereinafter called Obligee, for the
use and benefit of claimants as hereinbelow defined, in the amount
of [Required amount of bond] dollars ( for the
payment whereof Contractor and Surety bind themselves, their heirs,
executors, administrators, successors and assigns, jointly and
severally, firmly by these presents.
WHEREAS:
The Contractor has by written agreement dated [Date of
contract] , entered into a contract with Obligee for [Project by
number and brief description] , and is hereinafter referred to as the
Contract.
NOW, THEREFORE:
The condition of this obligation is such that, if Contractor
shall promptly make payment to all claimants as hereinafter defined,
for all labor and material used or reasonably required for use in
the performance of the Contract, then this obligation shall be void;
otherwise it shall remain in full force and effect, subject,
however, to the following conditions;
1} A claimant is defined as one having direct contract with
the Contractor or with a Subcontractor of the Contractor
for labor, material, or both, used or reasonably required
for use in the performance of the Contract, labor and
material being construed to include that part of water,
gas, power, light, heat, oil, gasoline, telephone service,
or rental of equipment directly applicable to the Contract.
2} The above-named Contractor and Surety hereby jointly and
severally agree with the Obligee that every claimant as
herein defined, who has not been paid in full before the
expiration of a period on ninety (90) days after the date
on which the last of such claimant 's work or labor was
done or performed, or materials were furnished by such
claimant, may sue on this bond for the use of such
claimant, prosecute the suit to final judgment for such
SURETY LABOR AND MATERIAL PAYMENT BOND -1- (EXHIBIT E) July 1, 1994
sum or sums as may be justly due claimant, and haveexecutionthereon. The Obligee shall not be liable for
the payment of any costs or expenses of any such suit.
No suit or action shall be commenced hereunder by anyclaimant :
a) Unless claimant, other than one having a direct
contract with the Contractor, shall have given
written notice to any two of the following: theContractor, the Obligee, or the Surety above named,
within ninety (90) days after such claimant did or
performed the last of the work or labor, or furnishedthelastofthematerialsforwhichsaidclaimis
made, stating with substantial accuracy the amount
claimed and the name of the party to whom the
materials were furnished, or for whom the work or
labor was done or performed. Such notice shall be
personally served or served by mailing the same byregisteredmailorcertifiedmail, postage prepaid,in an envelope addressed to the Contractor at anyplacetheContractormaintainsanofficeorconductsitsbusiness.
b) After the expiration of one (1) year following the
date on which the last of the labor was performed or
material was supplied by the party bringing suit.
C) Cather than in a court of competent jurisdiction of
the county or district in which the construction
contract was to be performed.
4) The amount of this bond shall be reduced by and to theextentofanypaymentorpaymentsmadeingoodfaithhereunder, inclusive of the payment by Surety of
mechanics' liens which may be filed of record against saidimprovement, whether or not claim for the amount of suchlienbepresentedunderandagainstthisbond.
SURETY LABOR AND MATERIAL PAYMENT BOND -2- (EXHIBIT E) July 1, 1994
Signed and sealed this day of
Principal) SEAL)
Hy
Its
ALL SIGNATURES MUST BE
ACKNOWLEDGED BY A
NOTARY PUBLIC
By
Its
Surety) SEAL)
B_
Its Attorney-in-Fact
SURETY LABOR AND MATERIAL PAYMENT BOND -3- (EXHIBIT E) July 1, 1994
i
I
I
i
i
i
I
EXHIBIT F)
LABOR AND PAYMENT BOND
OW ALL MEN BY THESE PRESENTS:
That [Full name or legal title of Contractor and streetaddress] hereinafter called Obligor, is held and firmly bound untoCountyofHawaiiasObligee, hereinafter called Obligee, for the useandbenefitofclaimantsashereinbelowdefined, in the amount ofRequiredamountofbond] dollars ($ for the paymentofwhichtheObligordoesherebybindhimself/herself/itself andhis/her/its heirs, executors, administrators, successors andassigns, jointly and severally, firmly by these presents.
As security for the above obligation, Obligor attaches heretoLegaltender; certificate of deposit; share certificate; and/orcashier's, treasurer's, teller's, official or certified check(s) ] intheamountof [Required amount of bond] dollars ($
WHEREAS:
The Obligor has by written agreement dated [Date of contract] ,entered into a contract with Obligee for [Project by number andbriefdescription] , and is hereinafter referred to as the Contract.
NOW, 77EMFORE
The condition of this obligation is such that, if Obligor shallpromptlymakepaymenttoallclaimantsashereinafterdefined, foralllaborandmaterialusedorreasonablyrequiredforuseintheperformanceoftheContract, then this obligation shall be void;otherwise it shall remain in full force and effect, subject,however, to the following conditions:
1) A claimant is defined as one having a direct contract withtheObligororwithaSubcontractoroftheObligorforlabor, material, or both, used or reasonably required foruseintheperformanceoftheContract, labor andmaterial, being construed to include that part of water,gas, power, light, heat, oil, gasoline, telephone service,
or rental of equipment directly applicable to the Contract.
2) The above-named Obligor agrees with the Obligee that everyclaimantashereindefined, who has not been paid in fullbeforetheexpirationofaperiodofninety (90) daysafterthedateonwhichthelastofsuchclaimant's workorlaborwasdoneorperformed, or materials werefurnishedbysuchclaimant, may sue on this bond for theuseofsuchclaimant, prosecute the suit to final judgmentforsuchsumorsumsasmaybejustlydueclaimant, andhaveexecutionthereon. The Obligee shall not be liableforthepaymentofanycostsorexpensesofanysuchsuit.
LABOR AND MATERIAL PAYMENT BOND -1- EXHIBIT F) July 1, 1994
3) No suit or action shall be commenced hereunder by any
claimant:
a) Unless claimant, other than one having a direct
contract with the Obligor, shall have given written
notice to the Obligor and the Obligee within ninety
90) days after such claimant did or performed the
last of the work or labor, or furnished the last of
the materials for which said claim is made, stating
with substantial accuracy the amount claimed and the
name of the party to whom the materials were
furnished, or for whom the work or labor was done or
performed. Such notice shall be personally served or
served by mailing the same by registered mail or
certified mail, postage prepaid, in an envelope
addressed to the Obligor at any place the Obligor
maintains as office or conducts its business.
b) After the expiration of one (l) Year following the
date on which the last of the labor was performed or
material was supplied by the party bringing suit.
C) Other than in a court of competent jurisdiction for
the county or district in which the construction
contract was to be performed.
4) The amount of this bond shall be reduced by and to the
extent of any payment or payments made in good faith
hereunder.
Signed and sealed this day of 19
Obligor) SEAL)
BY
Its
B
Its
ALL SIGNATURES MUST BE ACKNOWLEDGED
BY A NOTARY PUBLIC
LABOR AND MATERIAL PAYMENT BOND -2- EXHIBIT F) July 1, 1994
I
II
i
I
t
EXHIBIT )
FOR USE WITH PERFORMANCE AND PAYMENT BONDS]
CONTRACTOR ACEML4LE MENT
STATE OF
SS.
COUNTY OF
On this day of
r 19
before me appeared
and to me personally known,
who, being by me duly sworn, did say that he/she/they is/are
and
of
the Contractor named in the foregoing instrument, and that
he/she/they is/are authorized to sign said instrument in behalf of
the Contractor, and acknowledges that he/she/they executed said
instrument as the free act and deed of the Contractor.
Notary Seal) notary Public
State of
My commission expires:
CONTRACTOR'S ACKNOWLEDGEMENT BOND EXHIBIT G) July 1, 1994
EXHIBIT x)
FOR USE WITH SURETY PERFORMANCE AND PAYMENT BONDS]
SURETY ACKNOWLEDGMENT a
STATE OF
SS.
COUNTY OF
On this day of a 19
before me personally came
and to me known, who, being
by me duly sworn, did depose and say that resides
in that is the
Attorney-in-Fact of the corporation
described in and which executed the attached instrument;
that knows corporate seal of the said corporation; that
the seal affixed to the said instrument is such corporate seal; and
that it was so affixed by order of the Board of Directors of the
said corporation; and that signed name thereto
by like order.
Notary Seal) Notary Public
State of
My commission expires.
SURETY BOND ACKNOWLEDGEMENT EXHIBIT H) July 1, 1994
EXHIBIT I)
CONTRACT MODIFICATION FORM
COUNTY OF HAWAII
DEPARTMENT OF FINANCE
MODIFICATION ORDER NO. Date
Contractor Contract No.
Contract Title
A. MODIFICATIONS
The following modifications are to be performed in accordance
with all contract stipulations (specifications, delivery point,
rate of delivery, period of performance, price, quantity, 01
other provisions by mutual action of the parties to the contract. ;
i
B. CONTRACTOR'S QUOTATION
The modifications described in A above will be performed at e
contract price_„ increase _ decrease of $Contractor a
will not undertake to perform the changes in A above until this
modification order has been approved and issued.
Contractor's Signature and Date
C. STATEMENT OF CONTRACT FUNDS
Original Contract Price
Previous Adjusted Contract Price
Amount this Change: Plus Minus
New Adjusted Contract Price
D. VALIDATION OF CONTRACT MODIFICATION
i
User Agency Date Procurement Officer)Date
DISTRIBUTION: Original - Accounts Division cc: Contractor
User Agency
Purchasing Division
CONTRACT MODIFICATION FORM EXHIBIT 1) July 1, 1994
EXHIBIT J)
CHANGE ORDER FQRM
COUNTY OF HAWAII
DEPARTMENT OF FINANCE
CHANGE ORDER NO, Date
Contractor Contract No .
Contract
Title:
A. CONTRACTOR IS TO PERFORM THE FOLLOWING CHANGES:
B. CONTRACTOR'S RESPONSE DUE WITHIN TEN CALENDAR DAYS:
1. The changes described in A above will result in an
increase decrease of $
2 . The change issued in A above will be completed bye•
Contractor's Signature and Date
C. STATEMENT OF CONTRACT FUNDS
Original Contract Price $
Previous Adjusted Contract Price
Amount this Change: Plus Minus
New Adjusted Contract Price
D. VALIDATION OF PRICE ADJUSTMENT
User Agency Date Procurement Officer) Date
DISTRIBUTION: Original - Accounts Division cc: Contractor
Using Agency
Purchasing Division
CONTRACT MODIFICATION FORM EXHIBIT J) July 1, 1994