HomeMy WebLinkAbout4.09 TelePac CCShannonPhonCITY CLERK FILE #600-30
AGENDA STATEMENT
CITY COUNCIL MEETING DATE: October 15, 2002
SUBJECT:
Award of Bid
Civic Center and Shannon Center Primary Rate Interface (PRI)
Telephone Service
Report Prepared by: Steve Pappa, Information Systems Manager
ATTACHMENTS:
1) Resolution of Award
2) Contract
RECOMMENDATIt~.~ 0 l~l~Ad°pt resolution awarding bid to TelePacific Communications
X ~v~' and authorize City Manager to execute the agreement.
FINANCIAL START: The three year estimated cost of the contract is $42,785.64.
Sufficient Funds are included in the FY 2002-2003 Budget for the
first year of the contract.
DESCRIPTION:
Informal bids were solicited for local and long distance telephone service to be used with the City's new
telephone system. The proposed telephone service and telephone system will utilize a digital PRI line.
The digital PRI line offers greater capacity than the analog lines that the City currently uses. The PRI line
can also pass very specific caller location information to 911 operators. The monthly cost of the PRI line
is less than the cost of the City's current analog lines. A monthly savings of $300 is estimated, compared
to our current service provider, XO Communications.
A formal sealed bid process was not required because of the technical nature of the project. Specifically,
the City's Purchasing Ordinance allows for an exception to the standard sealed bid process "When a
purchase involves goods of a technical nature, where it would be difficult for a vendor to bid on a standard
set of specifications, the Purchasing Agent shall undertake a thorough review of known products and a
comparison of features which would most closely meet the City's needs at the least cost."
The bids offered are based on estimated monthly call volume of 30,000 combined minutes. The City's
current number of minutes for interstate, ' intrastate, zone 1 & 2, and zone 3 calling were the primary
components used to calculate the projected monthly cost of each bidder's service. A three year contract bid
was solicited from each bidder since Pacific Bell, a viable and interested bidder, offers only a CalNet
contract, which runs three years (or until December 2005). Requiring three year estimates from all
bidders ensured that an equal comparison could be made.
BID RESULTS
A total of five bids for three year service contracts were received, with the lowest responsive bidder being
TelePacific Communications at an estimated $42,785.64 for the full contract term (or $1,188.49 per
/'6'
month). TelePacific service also includes installation costs. Bids from the other vendors are all higher in
the first year, since their "one time" costs are additional.
Below is a chart detailing the costs on the bids received for the five competitive companies; included is an
estimated cost per year, as well as the three year total costs for the contract. The City's cun-ent provider,
XO Communications, submitted a proposal during this process, but was not the lowest responsive bidder
offering this service.
Name Year One Year Two Year Three TOTAL
Estimated Cost Estimated Cost Estimated Cost Estimated Cost
for Three Year
Contract
TelePaeific ~.i...4,~61.88 $14,261.88 $i'~4,261.88 $42,785.64
Fiathead/XO $.1.4,.763.35 $14,643.35 .$..1.4,643.35 $44,050.04
Pacific Bell/AT&T*
$..1..7.,478.58 $14,060.58 .... $14.060.58 $45,599.74
AT&T $18,540.18 $16,740.18 $16,740.18 $52,020.54..
XO Communications
$20,713.5.8 $20,393.58 $20,.393.58 $61,500.74
*Pacific Bell does not offer long distance service, therefore, AT&T's long distance rates were used to
approximate the long distance service component that is necessary.
It is important to note that, as set forth in the contract, this Agreement will automatically renew on a
month-to-month basis at TelePacific's rates, and shall continue in effect until terminated by either party,
upon thirty days written notice. Either party may terminate this Agreement, given the stated thirty days
notice, if the other party materially breaches the terms and conditions of this Agreement. Examples of
such an action are:
1) Customer's failure to pay TelePacific's bills for the Services by the due date
2) TelePacific's failure to provide services that do not perform up to industry standards
RECOMMENDATION
Staff has reviewed the bid results and recommends that the City Council adopt the resolution awarding the
bid to TelePacific Communications and authorizing the City Manager to execute the agreement.
Page 2
RESOLUTION NO. - 02
A RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF DUBLIN
AUTHORIZATION FOR A THREE YEAR CONTRACT WITH TELEPACIFIC
COMMUNICATIONS FOR CIVIC CENTER AND SHANNON CENTER PRI TELEPHONE
SERVICE
WHEREAS, the FY2002-2003 operating budget includes funding for monthly telephone service;
and
WHEREAS, the City solicited informal bids from qualified firms and received five responsive
bids; and
WHEREAS, TelePacific Communications prepared the lowest responsive bid estimate and was
determined to be qualified to supply the service; and
NOW, THEREFORE, BE IT RESOLVED that the City Council adopt the resolution awarding the
bid to TelePacific Communications and authorizing the City Manager to execute the agreement.
PASSED, APPROVED AND ADOPTED this 15th day of October, 2002
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
City Clerk
Mayor
F/PRIresolution.DOC
ATTACHMENT 1
OTelePacific
1. General
Terms & Conditions
(a) Services offered under this Agreement include Services offered by U.S. TelePacific Corp. md/or its affiliated companies (collectively referred to
as "TelePacific "), pursuant to Tariffs filed with state regulatory agencies having jurisdiction over the Services, and the Federal Communications
Commission (FCC) ("Tariffed Services"), a~ well aa Services offered on a non-Tariffed basis. Tariffed Sm-vices shall be provided in accordance with
the prov/sions of TelePacific's Tariffs, which are incorporated herein by referenee. Tar/ffed Services, and all other services provided under this
Agreement, are collectively referred to aa the "Services." In the event that the rates, terms and conditions set forth in this Agreement conflict at any
time with those set forth in TelePaciflc's federal and/or state Tariffs applicable to the Services, the rates, terr~ an conditions of the Tariffs shall control.
The rates, terms and conditions of tariffed Services may change, subject to the approval of the applicable regulatory agency. If the Tahff~ for any
Services are cancelled as a result of regulatory action during the teau'n of this Agreement, TelcPacific will publish a Price List on its web page
(www. I~le~acific.com) setting forth the rates previously contained in such Tariffs along with any terms and conditions applicable thereto, which shall
become part of this Agreement.
Co) TclePacific may increase the rates set forth in this Agreement for non-Tahffed Services to pass through any price increases imposed on it by the
providers of the underlying facilities used to provide the Services or, in the case of long distance services, by its wholesale providers of such services.
TelePacific may also change the terms and eondit/ons applicable to non-Tariffed Services by giving the Customer at least 30 days prior written notice of
the changes. IfTelePacific materially changes the tm and conditions applicable to any of its non-Tariffed Services, Customer may cancel the affected
Services provided the Customer notifies TelePacific in writing prior to the effective date of the changes. If Customer exercises its right to cancel the
Services, it will only be liable for the charges incurred up to and including the cancellation date. If Customer does not cancel the affected Service(s)
prior to the effective date of the changes, Customer will be deemed to have consented to the changes and to a continuation of the S~'vices.
Term, Billing, and Payment
(a) Effective Date. This Agreement shall become binding upon Customer when it has been signed by both parties and on TelePacific upon its
approval of Customer's credit application and the suitability of Customer's premises for the Services. If these conditions are met to TelePaeific's
satisfaction, TelePacifie will commence as soon as practicable the installation, connection and testing of the lines and/or equipment necessary to provide
the Services.
(b) ~ The initial term of this Agreement will commence upon the date agreed to by the parties as set forth on page 1 of this Agreement, or the
date TelePacific provides notice to Customer that the Services are available for use by Customer, whichever occurs later. The Agreement shall continue
in effect for the entire Term unless terminated as provided in Section 4.
(c) ~. TelePacific will begin invoicing Customer for the Services after giving notice to Customer that the Services are available for Customer's
use, and shall continue invoicing Customer on a monthly basis until the Agreement is terminated. TelePacific will bill usage charges in arrears, and
monthly recurring charges in advance. Customer shall be responsible for all sales, gross receipts, use, excise, and other federal, state and local taxes,
charges and assessment~ based on Customer's use of the Serdces, which will be separately listed on each invoice along with any surcharges applicable
to the Services. TelePacific may require, in its sole discretion, that Customer provide a deposit or other assurance of payment before the Services are
provided. Any required deposit shall not bear interest unless required by law. if Customer unilaterally delays acceptance of the Services after receiving
notice from TelePacific that they are available, TelePacific; may, in its sole discretion, begin charging Customer for the ordered Services. If Customer's
actions or lack of action prevent TelePacifi¢ from providing the ordered Services for more than 60 days after the date the Services are available,
Customer will have materially breached the Agreement, and TelePacific will be entitled to terminate the Agreement without further notice and to pursue
the remedies set forth in paragraph 4 hereof.
(d) Pawnent. Bills are due and payable upon presentation, and become past due after the Due Dam printed on the bill. If Customer has a bona-fide
dispute w/th any of the amounts on the invoice ("Disputed Amounf'), Customer shall pay all amounts not in dispute by the Due Date and provide
TelePacific with a written request for a billing adjustment, together with all supporting documentation, within 45 days from the Due Date or Customer's
right to any billing adjustment shall be waived. If TelePacific agrees to adjust all or a portion of the disputed charges on the invoice, Customer shall not
be obligated to pay interest or TelePaoific's late payment charge on the adjusted amount. If Customer fails to pay all non-Disputed charges on
TelePacific's invoice in full within 5 business days following the Due Date, TelePacific may impose a late payment charge of 1.5% per month or the
maximum rate allowed by law, whichever is less, on the unpaid balance until the amount is paid. TelePacific may also suspend Customer's Services
until all delinquent amounts, ineludlng late payment charges, are paid in full. An additional charge of $25.00 will apply to all retomed checks.
Customer Obligations
(a) ' TelePacific's Property. Any equipment installed by TelePacific at Customer's premises remains the personal property of TelePacific, and r~gt~ing
contained in this Agreement shall give or convey to Customer any right, title or interest whatsoever in such equipment. Customer agrees not to interfere
with or damage the equipment, and further agrees to reimburse TelePacific for any loss or damage thereto that is caused by the intentional or negligent
acts of Customer, its agents, employees, authorized users or representatives. Customer will allow TelePacific to promptly remove the equipment fi.om
Customer's premises upon termination of the Services for which the equipment was installed.
Co) Responsibility for Message Content. Customer shall be solely responsible for all content that Customer makes available on or through any Services
provided by TelePacific. Customer warrants that all such content will not infringe on, or contain any content that infringes on, 'or otherwise violates any
copyright, patent or any other right held by a third-party, and shall not violate any applicable law, role, regulation or industr7 standard.
Revised 08/20/01 ATTACHMENT 2
Termination
(a) This Agreement shall remain in effect until terminated as set forth in this Section. After the Initial Term, this Agreement will automatically renew on a
month-to-month basis at TelePaeific's rates then in effect for the Services offered on a monthly basis, and shall continue in effect until terminated by either party
on 30 days '~itten notice. If Customer elects to terrrfinate the Agreement prior to the installation of the Services, Customer shall pay to TelePacific as a
termination charge and not as a penalty, an amount equal to: (1) the tariffed nOn-recurring charges applicable to the Services, even if those charges had been
initially waived, and (2), if the Agreement is for a term of one year, an amount equal to three times the one month recurring ~barges, or, in the case of an
Agreement with a term of more than one year, an amount equal to six times the one month recurring charges.
Co) Either party may terminate this Agreement upon 30 days notice if the other party materially breaches the terms and conditions of this Agreement, including,
but not limited to, Customer's failure to pay TelePa¢ific's bills for the Services by the Due Date, and the other party fails to cure the default within the 30 day
period. If Customer terminates this Agreement after TelePa¢ifi¢'s material breach, then Customer will be responsible only for charges accrued prior to the date of
termination. If, however, after the Service has been installed and is available for Customer's use, TelePacifie terminates this Agreement as a result of Customer's
material breach, or Customer terminates the Agreement for any reason other than TelePacific's material breach, Customer shall pay to TelePacific as a termination
charge, and not as a penalty, an amount equal to: (a) the tariffed non-recurring charges for the Services, even if such charges had been initially waived, and (b)
I00% of the monthly recurring charges for the Services multiplied by the number of months remaining in the current term. In addition, TelePaeifie shall be
entitled to recover from Customer all of the costs it incurs (including reasonable attorneys' fees and court costs) to collect any delinquent charges owed by
Customer along with all other damages it incurs as a result of Customer's breach of this Agreement. Paragraphs 4 and 5 of this Agreement, inclusive of
subparagraphs, shall survive any termination or expiration of fi'ds Agreement.
Warranty, Disclaimer, Limitation of Liability and Indemnity
(a) WARRANTY DISCLAIMER. WITHOUT LIMITING ANY EXPRESS FINANCIAL OR LIABILITY PROVISIONS PROVIDED FOR IN
THIS AGREEMENT, NEITHER PARTY SHALL BE LIABLE TO THE OTHER FOR ANY INDIRECT, CONSEQUENTIAL, EXEMPLARY,
SPECIAL, INCIDENTAL OR PUNITIVE DAMAGES (INCLUDING WITHOUT LIMITATION, LOST BUSINESS, REVENUE, PROFITS, OR
GOODWILL) ARiSING IN CONNECTION WITH THIS AGREEMENT OR THE PROVISION OF SERVICES HEREUNDER (INCLUDING ANY
SERVICE IMPLEMENTATION DELAYS/FAILURES), UNDER ANY THEORY OF TORT, CONTRACT, WAPdLANTY, STRICT LIABILITY OR
NEGLIGENCE, EVEN IF THE PARTY HAS BEEN ADVISED, KNEW OR SHOULD HAVE KNOWN OF THE POSSIBILITY OF SUCH
DAMAGES. TELEPACIFIC MAKES NO WAR_R. ANTIES, EXPRESS OR I)/IPLIED, AS TO ANY SERVICE PROVISIONED HEREUNDER.
TELEPACIFIC 'SPECIFICALLY DISCLAIMS ANY AND ALL IMPLIED WARRANTIRS, INCLUDING WITHOUT LIMITATION, ANY
IMPLIED WARRANTIES OF MERCHANTABILITY, FITNESS FOR A PARTICULAR PURPOSE, OR TITLE OR INFILINGEMENT OF THIRD
PARTY RIGHTS.
Co) TelePacific shall not be tiable for any act, omission of any other enfity furnishing Customerwithfacilitiesorequipmentusedw/ththeServices,
nor shall TelePaeific be liable for any damages or losses due in whole or in part to the fault or negligence of Customer or due in whole or in part to the
failure of Customer-provided equipment or facilities.
(c) LIMITATION .QF LIABILITY. NOTWITHSTANDING THE PROVISIONS OF SUBPARAGRAPH (a), TELEPACIFIC'S TOTAL
LIABILITY HEREUNDER SHALL IN NO EVENT EXCEED THE LESSER OF (1) CUSTOMER'S PROVEN DiReCT DAMAGES; (2) THE
AMOUNTS PAID BY CUSTOMER TO TELEPACIFIC FOR THE SERVICES DURING THE PERIOD IN WHICH ANY SERVICE-RELATED
PROBLEMS WERE EXPERiENCED, OR (3) IN THE CASE OF TARIFFED SERVICES, THE CREDITS AVAILABLE TO CUSTOMER UNDER
TELEPACIFIC'S THEN STANDARD TARIFFED LIMITATION OF LIABILITY. THE FOREGOING LIMITATIONS APPLY TO ALL CAUSES
OF ACTION AND CLAIMS, INCLUDING WITHOUT LIMITATION, BREACH OF CONTRACT, BREACH OF WARRANTY, NEGLIGENCE,
STRiCT LIABILITY, MISREPRESENTATION AND OTHER TORTS.
(d) !.~demnifimtion. Customer will defend, indemnify and hold harmless TelePacific (including its officers, directors, employees, agents, and
contractors) from any claims, liabilities, losses, damages and expenses (including reasonable attorneys' fees and costs), arising out of or relating to
Customer's use of the Services. This indemnity will not be available if the damage or loss is due to TelePacific's willful or reckless acts or omissions.
Subject to the limitation of liability set forth in subparagraph (c) of this Section, TelePacific will defend, indemnify and hold harmless Customer
(/ncluding its officers, directors, employees, agents, licensees or contractors) from any claims, liabilities, losses damages and expenses (including
reasonable attorneys' fees and court costs), arising out of or relating to TelePacific's delivery of the Services to Customer. This indemnity will not be
available if the damage or loss is due to Customer's willful or reckless acts or omissions.
Miscellaneous Provisions
(a) Assignment and Succession. Customer may not assign or transfer this Agreement without TelePacific's prior written consent, which shall not be
unreasonably withheld. Any unauthorized assignment or transfer shall be null and void. Subject to the foregoing, this Agreement shall be binding upon
and inure to the benefit of the parties and their respective heirs, executors, administrators, legal representatives, successor and authorized assigns.
Co) Governin~ .L~.w. This Agreement shall be deemed to have been made in, and shall be construed pursuant to the laws of the State of California
without regard to the conflicts of law prowisions thereof.
(c) Force Majeure. TelePacific shall not be liable for any failure of performance of the Services due to causes beyond its control, including, but not
limited to, fire, flood, electric power interruptions, national emergencies, civil disorder, riots, strikes, lockouts, work stoppages, Acts of God, or any law,
regulation, directive, or order of the United States government, or any other governmental agency, including state and local governments having
jurisdiction over TelePacifie or the Services provided hereunder.
(d) Arbitration. If the parties cannot resolve between themselves any dispute arising under this Agreement, the part/es shall prompfly submit the
dispute to binding arbitration at the office of the American Arbitration Association ("AAA") located in the City or County of the state where the services
are provided, or if there is no AAA office at that location, then at the AAA office closest to where the services are provided ("Arbitration Site"). The
arbitration will be held in accordance with the commercial arbitration rules of the AAA. Either party may initiate arbitration by providing written
demand for arbitration (with a copy to the other party), a copy of this Agreement and the administrative fee required by the AAA rules to the AKA
office located at the Arbitration Site. The remaining cost of the arbitration shall be shared equally by the parties unless the arbitration award provides
Revised 08/20/01 ATTACHMENT 2
otherwise. Each party shall bear the cost of preparing and presenting its case. The parties agree to undertake all reasonable steps to expedite the
arbimation process. One arbitrator will be appointed in accordance with the AAA.rules w~thin 30 calendar days of the submission of the demand for
arbitration. The arbitrator will designate the time and place for the A~rbitration within 30 days of his appointment. TelePaeifie and Customer agree that
the arbitrator's authority to grant relief shall be subject to the provisions of this Agreement, TelePacific's applicable tariffs, if any, and any other
applicable law. The arbitrator shall not be entitled to award, nor shall either party be entitled to receive, punitive, incidental, exemplary, consequential,
reliance or special damages, including damages for lost profits. The arbitrator's decision shall follow the plain meaning of this Agreement and shall be
final, binding and enforceable in a court of competent jurisdiction.
(e) Entire A~reement an.0..~Modifications. This Agreement and all other documents specifically referred to herein constitute the entire and final
agreement and understanding between the parties with re~eet to the subject matter hereof and supersedes all prior agreements relating to such subject.
matter, which are of no further force or effect. The exhibits referred to herein sa-e integral parts of this Agreement and are hereby made a part of this
Agreement. This Agreement may only be modified or supplemented by an instrument in writing executed by a duly authorized representative of each
party.
(f) S.everabilit,g. If any provision of this Agreement is held to be invalid ar unenforceable by a court or administrative agency with jurisdiction over
the Services, such provision shall be deemed amended to the minimum extent necessary to render it enforceable.
(g) ~. The headings used in this Agreement are for convenience only and do not in any way limit or otherwise affect the meaning of any of
the terms contained herein.
(h) Waiver. Under no circumstances shall the failure of TelePacific to enforce any provision of this Agreement in any particular instance be construed
as a waiver of that provision.
7, Service Guarantee
Notwithsianding anything to the contrary contained in this Agreement, Customer may terminate this Agreement without any further obligation if the
Services provided by TelePacific are not substantially performing up to industry standards during the first 90 days the Services are available for
Customer's use. If Customer elects to terminate the Agreement pursuant to this guarantee, TelePacific will reimburse Customer for all reasonable costs
incurred by Customer to re-establish service with its previous service provider not to exceed the amount that Customer paid to TelePa¢ific for
installation of the Services. This Service Guarantee only applies if (a) the cause of the Service deficiency was within TelePacific's reasonable control;
(b) Customer ordered at least the amount of Services. recommended by TelePacific to meet Customer's traffic volumes; and (c) TelePacific fails to
correct the Service deficiency within 15 days after receiving written notice from the Customer of the deficiency given during the 90 day period.
Revised 08/20/01 ATTACHMENT 2
TelePaclfic
~n~lit'' ~;~'~"w;'~; Telecommunications Service Agreement
U.S. TelePacific Corp. (TelePacific") is prepared to offer City of Dublin ("Customer")
Telecommunications Services, including Switched Services. This customer service agreement (this "agreement") is made
and between TelePacific Communications, a California based company, having its principal place of business
at 515 S. Flower Street, 47th Floor, Los Angeles, CA 90071-2201.
Organization Name: CiW. of Dublin ("Customer")
Service Information DBA:
Contact Name: Steven Pappa
Physical Address 1: 100 Civic Plaza
Physical Address 2:
City: Dublin
Phone: 925-833-6604
Emil: steve.pappa(~ci.du blin.ca, us
Billing Information (if different)
Contact Name: Steven Pappa
Physical Address 1: 100 Civic Plaza
State: CA Zip:
Fax: 925-833-8741
94568
Physical Address 2:
City:
Phone:
Email:
Account Executive:
Service Overview:
Dublin State: CA Zip:
925-833-6604 Fax: 925-833-8741
steve.pappa(~ci.dublin.ca, us
Steven Kolb
94568
TelePacific will provide Customer with the specified type and amount of services at the rates, terms and conditions
listed. All usage sensitive rates are set forth in Exhibit A (attached).
TelePacific Facilities Services Monthly Recurring Cost Non-Recurring Costs
Description of Services Term QTY Unit Price Total Unit Total
................ ¢Zr~) !~r!~
DID Numbers (blocks of 20) 3 9 : $10.00 $90.00 $117.75 $1,059.75
Voice Only PRI 3 1 $414.12 $414.12 $1,250.00 $1,250.00
"'~6"~i~'6h'i'~"~'~i'"~iiff~6"i.i~'~'~'"~'~'~i~;'~i ~ ................ ~'"'! ............... i~'i'~i i'$~41'i"2j ................ $0;6~ ..................... ~0;i5~
-"~'a~(;~"i';~;;~ii-';';~'-~;-'(>'~;'i'&i~'"b;~'i~;"-I~[/'[ ....................................................................................................................... 3 1 $0.00 $0.00 ;$1,250.00) ($1,250.00)
Waive Install on DID Numbers (blocks of 20) 3 9 $0.00 $0.00 ($117.75) ($I ,059.75)
CA Basic T-Pack 2500 3 4 $50.00 $200,00 $0.00 $0.00
..... ............................................................................................................................................................... ............... i'"'" .......... g' /i5'6':'66 ....................... ' /66'26'6 ......................... / '6;6a ..................... '6':66 ....
Add'l Directory Assistance Listing 3 19 $1.66 $31.54 $0.00 $0.00
Sub Totals:
Surcharges and Fees ( LDAC, EUCLC, and LNP ):
Special Promo Code ] Special lPromo Description I
$971.54 $0.00
$116.95
TelePacific Communications v2.2- Catalog CA 5.4 / NV 7.3 ATTACH19iENT 2
Subject to the Terms and Conditions set forth herein (including the following pages and the
exhibits attached hereto, copies of which Customer certifies by initialing the box to the right
hereof having received), TelePacific agrees to provide, and Customer agrees to receive and
pay for, those services set forth above. This agreement shall become a binding contract upon
execution by Customer and TelePacific.
U.S. TelePacific Coro.
By and Through:
Name: Adam Horn
City of Dublin
By and Through:
Name:
Initial to confirm
review of Terms
Conditions
Signature: Signature:
Title: __Sales Manager Title:
Signed this day of, ,, 2002 Signed this__
day of,
,2002
TelePacific Communications v2.2 - Catalog CA 5.4 / NV 7,3 ATTACHMENT 2