HomeMy WebLinkAboutMHC Software Inc; 2015-07-06;AGREEMENT FOR PRINTING OF W-2s SERVICES
MHC SOFTWARE, INC.
THIS AGREEMENT is made and entered into as of the (cT^ day of
OV/y , 2015, by and between the CITY OF CARLSBAD, a municipal
corporatioTCC'City"), and MHC Software, Inc. ("Contractor").
RECITALS
City requires the professional services of an IRS form W-2 printing and mailing service
that is experienced in Lawson HR/Payroll systems. Contractor has the necessary experience in
providing these professional services, has submitted a proposal to City and has affirmed its
willingness and ability to perform such work.
NOW, THEREFORE, in consideration of these recitals and the mutual covenants
contained herein, City and Contractor agree as follows:
1. SCOPE OF WORK
City retains Contractor to perform, and Contractor agrees to render, those services (the
"Sen/ices") that are defined in Exhibit "A", attached and incorporated by this reference in
accordance with the terms and conditions set forth in this Agreement.
2. TERM
This Agreement will be effective for a period of two (2) years from the date first above written.
3. COMPENSATION
The total fee payable forthe Services to be performed shall not exceed eight thousand dollars
($8000.00). No other compensation for the Sen/ices will be allowed except for items covered by
subsequent amendments to this Agreement. City resen/es the right to withhold a ten percent
(10%) retention until City has accepted the work and/or the Sen/ices specified in Exhibit "A."
4. STATUS OF CONTRACTOR
Contractor will perform the Services as an independent contractor and in pursuit of Contractor's
independent calling, and not as an employee of City. Contractor will be under the control of City
only as to the results to be accomplished.
5. INDEMNIFICATION
Contractor agrees to indemnify and hold harmless the City and its officers, officials, employees
and volunteers from and against all claims, damages, losses and expenses including attorney's
fees arising out of the performance of the work described herein caused by any negligence,
recklessness, or willful misconduct of the Contractor, any subcontractor, anyone directly or
indirectly employed by any of them or anyone for whose acts any of them may be liable.
The parties expressly agree that any payment, attorney's fee, costs or expense City incurs or
makes to or on behalf of an injured employee under the City's self-administered workers'
compensation is included as a loss, expense or cost for the purposes of this section, and that this
section will sun/ive the expiration or early termination of this Agreement.
City Attorney Approved Version 1/30/13
6. INSURANCE
Contractor will obtain and maintain policies of commercial general liability insurance, automobile
liability insurance, a combined policy of workers' compensation, employers liability insurance, and
professional liability insurance from an insurance company authorized to transact the business of
insurance in the State of California which has a current rating in the Best's Key Rating guide of at
least A-:VII OR with a surplus line insurer on the State of California's List of Eligible Surplus Line
Insurers (LESLI) with a rating in the latest Best's Key Rating Guide of at least "A:X", in an amount
of not less than one million dollars ($1,000,000) each, unless othenwise authorized and approved
by the Risk Manager or the City Manager. Contractor will obtain occurrence coverage, excluding
Professional Liability, which will be written as claims-made coverage.Jlie insmjance will be in
force during the life of this Agreement and will not be canceled without thfr^f^feejfiays prior written
notice to the City by certified mail. City will be named as an additional insured on General Liability
which shall provide primary coverage to the City. Contractor will furnish certificates of insurance
to the Contract Department, with endorsements to City priorto City's execution of this Agreement.
7. CONFLICT OF INTEREST
Contractor shall file a Conflict of Interest Statement with the City Clerk in accordance with the
requirements of the City of Carlsbad Conflict of Interest Code. The Contractor shall report
investments or interests in all four categories.
8. COMPLIANCE WITH LAWS
Contractor will comply with all applicable local, state and federal laws and regulations prohibiting
discrimination and harassment and will obtain and maintain a City of Carlsbad Business License
for the term of this Agreement.
9. TERMINATION
City or Contractor may terminate this Agreement at any time after a discussion, and written notice
to the other party. City will pay Contractor's costs for sen/ices delivered up to the time of
termination, if the sen/ices have been delivered in accordance with the Agreement.
10. CLAIMS AND LAWSUITS
By signing this Agreement, Contractor agrees it may be subject to civil penalties for the filing of
false claims as set forth in the California False Claims Act, Government Code sections 12650, et
seq.. and Carlsbad Municipal Code Sections 3.32.025, et sea. Contractor further acknowledges
that debarment by another jurisdiction is grounds for the City of Carlsbad to terminate this
Agreement.
11. JURISDICTIONS AND VENUE
Contractor agrees and stipulates that the proper venue and jurisdiction for resolution of any disputes
between the parties arising out of this Agreement is the State Superior Court, San Diego County,
California.
12. ASSIGNMENT
Contractor may assign neither this Agreement nor any part of it, nor any monies due or to become
due under it, without the prior written consent of City.
13. AMENDMENTS
This Agreement may be amended by mutual consent of City and Contractor. Any amendment will
be in writing, signed by both parties, with a statement of estimated changes in charges or time
schedule.
City Attorney Approved Version 1/30/13
14. AUTHORITY
The individuals executing this Agreement and the instruments referenced in it on behalf of
Contractor each represent and warrant that they have the legal power, right and actual authority
to bind Contractor to the terms and conditions of this Agreement.
CONTRACTOR
(sign^ere)
>^l(S/r /p>u2^ .
(print name/title)
(sign here)
(print name/title) / ^r/^
CITY OF CARLSBAD, a municipal
corporation ofthe State of California
By:
City Managor or Mayor or Director
Chuck McBride
ATTEST:
BARBARA ENGLEBON
Clerk
rtr
If required by City, proper notarial acknowledgment of execution by contractor must be attached
If a corporation. Agreement must be signed by one corporate officer from each of the followina
two groups: ^
Group A.
Chairman,
President, or
Vice-President
Group B.
Secretary,
Assistant Secretary,
CFO or Assistant Treasurer
Otherwise, the corporation must attach a resolution certified by the secretary or assistant
secretary under corporate seal empowering the officer(s) signing to bind the corporation.
APPROVED AS TO FORM:
CELIA A. W^KmiEW, City Attorney
City Attorney Approved Version 1/30/13
EXHIBIT "A"
SCOPE OF SERVICES
W2 Printing and Distribution Services and Charges:
The Lawson PR 297 file may be transmitted over MHC's Tl Line to a secure FTP site, or
delivered on disk or CD ROM, or emailed in a compressed and Password protected format.
MHC and City of Carlsbad will determine the best method of transfer and perform a test prior to
data transmission.
MHC Software will format, print, seal and mail the W-2 documents via United States Postal
Service for first class delivery. Postage will be charged at the USPS first class rate at time of
printing.
Quantity- 1,000 W-2 documents for $1.50 per document. (Includes the pressure seal forms).
A copy of the W-2 documents will be provided back to the customer on CD. The CD will contain
each W-2 document as a separate PDF file. The file will be named with SSN and Tax year.
The CD will be provided for $500.00, with no overnight postage rates.
Timeline:
Processing commitment is due by November 15 priorto end of year.
File Interface and W-2 Printing will be done 5-7 days from receipt ofthe W-2 file.
MHC's Requirements:
City will notify MHC of expected receipt of W-2 files. If the schedule changes, Customer will
provide written notice to MHC.
City will provide a shipping address and contact person for delivery of any tax forms or PDF
images.
City will run the Lawson PR297 job with the output option of CSV to create the W-2 file.
City will prepay MHC for 50% ofthe approximate postage costs. MHC will invoice City for
prepayment.
Payment terms for services rendered are. Net 30 from date the invoice is received by City of
Carlsbad.
City will provide MHC with the following confirmations in writing:
1. W-2 total and document total
2. Listing of document count
3. Selection of pressure seal format -4 up box
4. Verification of distribution option
a. US Mail
i. City will prepay postage after providing MHC with an estimated W-2 total
City Attorney Approved Version 1/30/13
ii. MHC will provide City with a postage invoice
b. Delivery Service - Federal Express or UPS
i. City will confirm specified sort order
ii. City will provide delivery address and contact
5. City will select option for transmitting the W-2 File to MHC and test will be performed
if FTP.
6. City will provide MHC of a target PR297 file date for each location and keep MHC
informed of any changes to the schedule.
7. City will specify the preference for reprint options
a. CD with PDF images
Master
By Location
Document layout 11" (horizontal or 4 up box)
iv. Delivery address for Federal Express or UPS and contact information, no
overnight postage rates.
b. Limited Use Copy
i. Contact for appropriate person to work through installation prior to year
end.
City Attorney Approved Version 1/30/13