Prison Phone Justice

STATE OF UTAH - STATE COOPERATIVE CONTRACT
CONTRACT NUMBER AR-500
1.

CONTRACTING PARTIES:
This State Cooperative Contract is between the Division of Purchasing and General
Services, an agency of the State of Utah, and the following CONTRACTOR:
FSH Communications LLC

LEGAL STATUS OF CONTRACTOR
Sole Proprietor
Non-Profit Corporation
For-Profit Corporation
[g] Partnership
Government Agency

o
o
o

Name
100 W Monroe Street, Suite 2101
Address
Illinois
Chicago
State
City

60603
Zip

o

Contact Person Dale Cherrington Phone #801-969-6399 Fax # 801-963-2308 Email
dale.cherrington@fshcommunications.com
Federal Tax ID# 20-0869547 Vendor #119320A Commodity Code #72556,72557,91577 & 98577
2.

GENERAL PURPOSE OF CONTRACT: The general purpose of this contract is to provide:

I Provide Inmate Communications Systems/Service for the State of Utah

3.

CONTRACT PERIOD: Effective date: 8/1/08 Termination date: 7/31/11 unless terminated early or extended in
accordance with the terms and conditions of this contract. Renewal options (if any): 1 - ( 2) two year renewal option
followed by 1-(1) one year renewal option.

4.

PRICING AS PER THE ATTACHMENT
PAYMENT TERMS: Net 30
DAYS REQUIRED FOR DELIVERY: As Required.
MINIMUM ORDER: One
FREIGHT TERMS: FOB Delivered

5.

ATTACHMENT A: Standard Contract Terms and Conditions, State Cooperative Contract
ATTACHMENT B: Scope of Work
ATTACHMENT C: FSH Inmate Telephone Service Agreement
Any conflicts between Attachment A and other Attachments will be resolved in favor of Attachment A.

6.

DOCUMENTS INCORPORATED INTO THIS CONTRACT BY REFERENCE BUT NOT ATTACHED:
a.
All other governmental laws, regulations, or actions applicable to the goods and/or services authorized by this
contract.
b.
Utah State Procurement Code, Procurement Rules, and CONTRACTOR'S response to Bid #DG80 13 and BAFO
#5 dated 4/29/2008.
IN WITNESS WHEREOF, the parties sign and cause this contract to be executed.

CONTRACTOR

~~
Contractor's Signature

31/
2/Date

08
Douglas G. Richins
Director, Div. of Purchasing & General Svs.

Date

Steven L. Loggans VP General Manager
Type or Print Name and Title
Rev 0 1/06/06

Inmate Communication Systems / Services

State Of Utah Request For Proposals

July 1, 2008

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State Of Utah Request For Proposals

Inmate Communication Systems I Services

INMATE TELEPHONE SERVICE AGREEMENT
This Agreement is made and entered into by and between FSH Communications, LLC ("FSH"), a Delaware corporation,
and the State of Utah, Division of Purchasing and General Services ("Space Provider' or "State") with a principal place of
, for the
business at 3150 State Office Building, Capitol Hill, PO Box 141061, Salt Lake City, UT 84114-1061
provision of pay telephones and/or inmate telephone service
(Telephones) and ancillary inmate communications
(equipment) as defined herein ("Agreement"). For purposes of clarity, both pay telephones for inmates and other inmate
telephones will be referred to as "Telephones" in this Agreement.
NOW, THEREFORE, in consideration of the mutual covenants made herein, the parties agree as follows:
1.
TERM. This Agreement is effective on July 1,2008 ("Effective Date"), and shall continue in effect for a period of
three ( 3 ) years ("Initial Term") from the Effective Date. Upon completion of the Initial Term, this Agreement may be
renewed for one two-year (2) renewal followed by a one (1) year renewal under the same terms and conditions by
processing an Amendment to Contract AR-500 for a total of six (6) years.
2.
SCOPE OF AGREEMENT
In consideration of compensation provided herein, Space Provider grants to FSH exclusive right to install and
2.1.
maintain Telephones for all Utah Department of Corrections (UDC) correctional facilities within its building or on its
private property ("Location") during the term of this Agreement. Also, FSH will install and maintain Telephones for
additional State of Utah agencies and for State of Utah political subdivision, at the sole option of these State entities.
FSH will charge the rates for telephone services that were listed in FSH's response to RFP #DG8013. This Agreement
applies to all Telephone(s) currently installed ("eXisting") and to all future installations ("new).
2.2.
This Agreement includes all other premises, whether now existing (if a competing provider has a contract and
eqUipment at such premises, this clause applies at the earliest termination opportunity) or subsequently acquired, under
the control of Space Provider within FSH's service areas. Space Provider will advise FSH in writing, of newly opened,
acquired, or available premises, promptly, so FSH can evaluate installation of its Telephones at these premises.
2.3 In consideration of the compensation paid to Space Provider under this Agreement, Space Provider expressly
waives carrier selection rights, where applicable, and FSH expressly reserves the right to select and/or contract for the
local, intraLATA and interLATA carrier selections for the telephones subject to this Agreement and intended for
placement at Space Provider locations.

3.

RESPONSIBILITY OF FSH
FSH agrees to:
3.1.
Install Telephones at locations mutually agreed upon by both parties.

3.2.

Jointly determine with Space Provider the appropriate number of Telephones to be installed at each location.

3.3.

Service and repair Telephones provided by FSH, at FSH's expense, except as otherwise agreed upon herein.

3.4.

Comply with the Americans with Disabilities Act (ADA) as it relates to the FSH -provided equipment.

4.

RESPONSIBILITY OF SPACE PROVIDER
Space Provider agrees to:
4.1.
Provide adequate space for Telephones and easy accessibility for use during the normal operating hours of
Space Provider. In the event Space Provider is not the owner of the premises, Space Provider shall, where necessary,

July 1,2008

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Inmate Communication Systems / Services

State Of Utah Request For Proposals

obtain permission from the building owner or owner's agent for the placement of FSH's Telephones, and shall be
responsible for any fees for use of required riser cable and electric power.
4.2.
Maintain the area around the Telephones and ensure safe and ready access to the users of the Telephones and
to FSH.
4.3.
Allow FSH access to perform maintenance during the established hours of accessibility jointly agreed to by Space
Provider and FSH, except when access must be denied to ensure the safety of FSH service personnel and/or to maintain
institutional control.
4.4. Space Provider agrees to allow FSH access to and use of house cable and inside wire at no cost, in order to install
and provide telephone service. Any new house cable or inside wire required during the contract term will be at the sole
expense of the Space Provider, unless otherwise negotiated with FSH. Light fiber is not defined as house cable or inside
wire. Any expense incurred as a result of the expected use of light fiber will be at the sole expense of the Space
Provider unless otherwise negotiated with FSH.
4.5. Any relocation, expansion, addition, or deletion of Telephones and equipment, for reasons other than safety or as
otherwise agreed to under Contract AR-500 or under RFP DG8013, resulting in extraordinary expense and expected to
be paid for by FSH, must be agreed to by FSH in advance of the cost being incurred or alternatively, the cost be paid by
Space Provider.
4.6.

Exercise reasonable care to prevent the loss through theft and any damage to the Telephones from any source.

4.7.
Space Provider may, at its option, purchase and provide enclosures at their own expense for Telephones. In the
event Space Provider elects to provide enclosures, Space Provider shall be responsible for installation and maintenance
of said enclosures.
4.8. Space Provider warrants that it has the authority to enter into this Inmate Telephone Service Agreement with FSH.
Space Provider further warrants that the Telephones as mentioned in Schedule A, attached hereto and incorporated
herein by this reference, are on property owned by the Space Provider or if Space Provider is not the owner of the
premises, Space Provider has obtained permission from the building owner or owner's agent to enter into this
Agreement.
5.
OWNERSHIP.
FSH is and shall remain the owner of the Telephones provided by FSH whether or not
physically attached to real estate.
6.
FURTHER LOCATIONS AND TELEPHONES. The parties may add location(s) and Telephone(s) to this
Agreement. Additions may be evidenced by a written memorandum between the parties, but FSH's business office
records, unless clearly erroneous, will be binding on the parties. Additions will not change the initial or any renewal terms
or the expiration date of this Agreement.
7.
COMMISSION. FSH agrees to pay Space Provider a commission in accordance with Schedule B, attached hereto
and incorporated herein by this reference. Payment shall be in the form of commission checks made payable to Space
Provider.
8.
REMOVAL OF TELEPHONES. FSH may, at the approval of both parties, remove any or all Telephones, in the
event that placement at Space Provider location(s) is not economically viable. If FSH removes Telephones under this
paragraph, Space Provider shall not be liable for termination charges for the Telephones removed. Space Provider shall
be entitled to receive any commissions earned before the FSH removal of such Telephones.
9.
TERMINATION LIABILITY. If Telephones are removed by Space Provider, during the term of this Agreement,
Space Provider shall be liable to FSH for a termination charge as set forth in Schedule C, attached hereto and
incorporated herein by this reference. This provision shall not apply to the temporary removal of Telephones by Space
Provider or upon Space Provider's request, for space remodeling, construction work, or for safety reasons.

July 1, 2008

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commumcatums

State Of Utah Request For Proposals

Inmate Communication Systems / Services

10.
LIMITATION OF LIABILITY. In the event of a service interruption caused by FSH, FSH liability shall be limited to
the use of reasonable diligence under the circumstances, for restoration of service. FSH shall treat, as high priority,
any/all service interruptions of eight (8) hours or more, thereby facilitating timely repair resolution. IN NO EVENT SHALL
EITHER PARTY BE LIABLE TO THE OTHER FOR INCIDENTAL, SPECIAL, INDIRECT OR CONSEQUENTIAL
DAMAGES, INCLUDING LOST STATION REVENUES, LOSS OF PROFITS OR OTHER COMMERCIAL OR
ECONOMIC LOSS ARISING OUT OF THE PERFORMANCE OF THIS AGREEMENT, INCLUDING WITHOUT
LIMITATION NEGLIGENT PERFORMANCE OR FAILURE TO PERFORM, EXCEPT AS SET FORTH UNDER THE
TERMINATION LIABILITY PROVISION HEREIN.
11.
EXCUSED PERFORMANCE. Space Provider shall not be subject to Termination Liability if the cause of removal
is directly related to the cessation of Space Provider's business operations. Neither party shall be held liable for any
delay or failure in performance of any part of this Agreement caused by circumstances beyond the reasonable control of
the party affected, including, but not limited to, acts of the elements or natural disasters, strikes, power failures, civil or
military emergencies or acts of legislative, judicial or other civil authorities.
12.
DEFAULT. If either party fails to perform its obligations under this Agreement, failure shall constitute default and,
in such event, written notice shall be given to provide an opportunity to remedy such default. Should the defaUlting party
fail to remedy such default within 10 days from date of such notice, the non-defaulting party shall have the right, in
addition to all other rights and remedies available at law or in equity, to terminate this Agreement in whole or in part.
13.
ADVERTISING/PUBLICITY. Space Provider may not make any disclosure to any other person regarding FSH
(and/or any of its affiliate's) marks, codes, drawings, or specifications without FSH's prior written consent, unless required
by law. This Agreement will be a public information, and may be copied and distributed according to the State's public
information laws (GRAMA laws).

FSH shall have the right to terminate this Agreement and any other agreements between the parties if Space Provider
violates this provision.
14. INSURANCE. At all times during the term of this Agreement, FSH and its subcontractors shall maintain in effect the
following types and amounts of Insurance:

i. Employers' Liability Insurance - $5,000,000 per incident and $1,000,000 per person.
ii. Commercial General Liability Insurance with Bodily Injury Liability and Property
Damage Liability Combined Single Limit
- $5,000,000 per incident and
- $1,000,000 per person.
iii.

Commercial Automobile Liability as follows: Combined Bodily Injury and Property Damage Single Limit $5,000,000 combined single limit for each incident and $1,000,000 per person.

iv.

Workers' Compensation - FSH shall comply with all Workers' Compensation requirements in the states
in which FSH will provide services to Space Provider under this Agreement.

15.
INDEMNIFICATION. It is agreed by and between the parties that it is the responsibility of Space Provider to
maintain the area around the Telephones and to maintain enclosures if provided by Space Provider. Space Provider
specifically agrees to defend and indemnify FSH from any claims that may result from Space Providers failure to
properly maintain the area or enclosure except to the extent that such failure is due to the sole negligence or willful acts
of FSH's employees or agents. FSH agrees to defend and indemnify Space Provider from any claims that result from
FSH 's failure to properly maintain or service Telephones, except to the extent that such claim results from the sole
negligence or willful acts of Space Provider's employees or agents.

JUly 1, 2008

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Inmate Communication Systems I Services

State Of Utah Request For Proposals

16.
NOTICES. Any notices or other communications to be given under this Agreement shall be sent to the following
persons:
FOR SPACE PROVIDER:

FOR FSH:

State of Utah, Division of Purchasing

Dale Cherrington

State Office Building, Room 3150

Account Executive

Salt Lake City, Utah 84114

2608 Terah Maria Drive

Purchasing Officer:

Debbie Gundersen

Taylorsville, UT 84118

Department of Corrections

Copy to:

14717 Minuteman Drive

FSH Legal Department

Draper, Utah 84020

100 W. Monroe, Suite 2101

Project Manager:

David Worthington

Chicago, IL 60603
Attn: Michael L. Johnson, Esq.

17.
REGULATORY. The parties acknowledge that underlying telecommunications services may be provided by
regulated telecommunications providers and, where applicable, provider tariffs, catalogs and price lists may apply.
18.
LAWFULNESS OF AGREEMENT. The parties acknowledge that this Agreement is SUbject to applicable federal,
state, and local laws, rules, regulations, court orders, and governmental agency orders governing the provision of inmate
telecommunications services.

19.
NONWAIVER. The failure of either party to enforce strict performance of any provision of this Agreement shall not
be construed as a waiver of its right to assert or rely upon such provision or any other provision of this Agreement.
20. GOVERNING LAW. This Agreement shall be interpreted, construed and enforced in all aspects in accordance with
the laws of the State in which the inmate telephone and public telephone service is provided.
21.

SUCCESSORS AND ASSIGNS. This Agreement shall be fUlly binding upon, inure to the benefit of and be
enforceable by each party, their successors and assigns. No assignment of any right or interest in this Agreement
(whether by contract, operation of law or otherwise) shall release or relieve either party of any of its obligations or
liabilities under this Agreement.

22.

ASSIGNMENT. Neither party shall assign its rights nor delegate its duties under this Agreement without the prior
written consent of the other party; except, either party may assign this Agreement to a parent, SUbsidiary or affiliated
company by providing thirty (30) days written notice to the other party.

23. AMENDMENTS AND MODIFICATIONS. Amendments and modifications to this Agreement, except for additions or
deletions of Telephones as described above, must be in writing and signed by an authorized representative of each
Party.
24.
SEVERABILITY. In the event that a court, governmental agency, or regUlatory body with proper jurisdiction
determines that this Agreement or a provision of this Agreement is unlawful, this Agreement, or that provision of the
Agreement to the extent it is unlawful, shall terminate. If a provision of this Agreement is terminated but the parties can
legally, commercially and practicably continue without the terminated provision, the remainder of this Agreement shall
continue in effect.

July 1, 2008

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commumcafl0ns

State Of Utah Request For Proposals

Inmate Communication Systems / Services

25.
ENTIRE AGREEMENT. This Agreement, including all schedules, amendments and exhibits, and the State of Utah
Contract AR-500 constitutes the entire Agreement between the parties and supersedes all prior agreements and oral or
written representations with respect to the subject matter hereto.
Space Provider:

FSH Communications, LLC

Signature:

Signature:..£U...- AV' -

.cI<j-'
V
r

...,

Name Printed/Typed

Name Printed/Typed
Steven L. Loggans

Title

Title
Vice President /General Manger
Date

Date

~c..'t

,a

I

/J,1

-0

200g

Federal Tax ID Number

July 1, 2008

Page 60f9
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Inmate Communication Systems I Services

State Of Utah Request For Proposals

SCHEDULE A
INMATE TELEPHONE LOCATIONS
FOR

State of Utah, Division of Purchasing and General Services
Telephone Number

Address

City

St

Install Date

The Inmate Telephone Locations will be agreed upon by the parties, and will be listed separately from Contract AR-500
and this Agreement. The Telephones may be relocated, expanded, added, or deleted as agreed upon by the parties in
writing, and according to the Agreement. The Inmate Telephone Numbers and Locations will be considered confidential
information by the parties, and will not be disclosed except to those employees or the parties agents with a need to know,
or as required by law.

July 1, 2008

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Inmate Communication Systems I Services

State Of Utah Request For Proposals

SCHEDULE B
COMMISSION SCHEDULE
FOR

State of Utah, Division of Purchasing and General Services
FSH agrees to pay Space Provider compensation for Inmate Telephone Service based upon 55% commission rate for
large correctional facilities (:::::500 inmates) served by premise-based communication systems, a 45% commission rate
for small correctional facilities « 500 inmates) of revenue for completed local, intraLATA and InterLATA collect, debit,
prepaid and or advance pay calls as billed by FSH's underlying telecommunications providers, exclusive of calls where
no billing and collection agreements exist.

Commission Checks are to be mailed to the following address:
State of Utah
Division of Finance Ut Sys of Higher Ed/C Bowers
2110 State Office Building
Salt Lake City, Utah 84114-1201

July 1, 2008

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Inmate Communication Systems J Services

State Of Utah Request For Proposals

SCHEDULE C
TERMINATION LIABILITY
FOR

State of Utah, Division of Purchasing and General Services
TELEPHONE EQUIPMENT INVESTMENT: Termination liability applies to new Telephone installations only. This charge
does not apply to installed Telephones that are temporarily removed for purposes of construction, for safety reasons, due
to closure of a facility, or for termination when the renewal options have expired (6/30/14). In the event of removal of
Telephones for reasons other than for the reasons stated above, the termination charge shall be $318.45 (three hundred
and eighteen dollars and forty-five cents) for each new inmate telephone, reduced by $5.21_ for each month the inmate
telephone is in service after the installation date. Termination charges may also apply for the unamortized associated
expenses of the ancillary equipment installed on premises that are used to support the functions of the Telephones.

Net Unamortized Capitol:

$173.691 Set

Installation Cost:

$144.761 Set

Removal Cost:

$

N/A 1 Set

$318.451 Set

July 1, 2008

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Attachment A
Standard Contract Terms and Conditions
State of Utah, State Cooperative Contract
1. AUTHORITY: Provisions of this contract are pursuant to the authority set forth in 63-56, Utah Code Annotated, 1953, as amended, Utah
State Procurement Rules (Utah Administrative Code Section R33), and related statutes which permit the STATE to purchase certain specified
services, and other approved purchases for the STATE.
2. CONTRACT JURISDICTION, CHOICE OF LAW, AND VENUE: The provisions ofthis contract shall be govemed by the laws of the State of
Utah. The parties will submit to the jurisdiction of the courts of the State of Utah for any dispute arising out of this Contract or the breach thereof.
Venue shall be in Salt Lake City, in the Third Judicial District Court for Salt Lake Co.
3. LAWS AND REGULATIONS: The Contractor and any and all supplies, services, equipment, and construction proposed and furnished
under this contract will comply fully with all applicable Federal and State laws and regulations.
4. RECORDS ADMINISTRATION: The Contractor will maintain, or supervise the maintenance of all records necessary to properly account for
the payments made to the Contractor for costs authorized by this contract. These records will be retained by the Contractor for at least four
years after the contract terminates, or until all audits initiated within the four years have been completed, whichever is later. The Contractor
agrees to allow the State and Federal auditors, and State agency staff, access to all the records to this contract, for audit and inspection, and
monitoring of services. Such access will be during normal business hours, or by appointment.
5. CONFLICT OF INTEREST: Contractor certifies that it has not offered or given any gift or compensation prohibited by the laws of the State of
Utah to any officer or employee of the STATE or participating political subdivisions to secure favorable treatment with respect to being awarded
this contract.
6. INDEPENDENT CONTRACTOR: Contractor will be an independent Contractor, and as such will have no authorization, express or implied
to bind the STATE to any agreements, settlements, liability or understanding whatsoever, and agrees not to perform any acts as agent for the
STATE, except as expressly set forth herein. Compensation stated herein will be the total amount payable to the Contractor by the STATE. The
Contractor will be responsible for the payment of all income tax and social security tax due as a result of payments received from the STATE for
these contract services. Persons employed by the STATE and acting under the direction of the STATE will not be deemed to be employees or
agents of the Contractor.
7. INDEM NITY CLAUSE: The Contractor will release, protect, indemnify and hold the STATE and the respective political subdivisions and their
officers, agencies, employees, harmless from and against any damage, cost or liability, including reasonable attorney's fees for any or all injuries
to persons, property or claims for money damages arising from acts or omissions of the Contractor, his employees or subcontractors or
volunteers.
8. EMPLOYMENT PRACTICES CLAUSE: The Contractor agrees to abide by the provisions of Title VI and VII ofthe Civil Rights Act of 1964
(42USC 2000e) which prohibits discrimination against any employee or applicant for employment or any applicant or recipient of services, on the
basis of race, religion, color, or national origin; and further agrees to abide by Executive Order No. 11246, as amended, which prohibits
discrimination on the basis of sex; 45 CFR 90 which prohibits discrimination on the basis of age; and Section 504 of the Rehabilitation Act of
1973, or the Americans with Disabilities Act of 1990 which prohibits discrimination on the basis of disabilities. Also, the Contractor agrees to
abide by Utah's Executive Order, dated March 17, 1993, which prohibits sexual harassment in the work place.
9. SEVERABILITY: If any provision of this contract is declared by a court to be illegal or in conflict with any law, the validity of the remaining
terms and provisions will not be affected; and the rights and obligations of the parties will be construed and enforced as if the contract did not
contain the particular provision held to be invalid.
10. RENEGOTIATION OR MODIFICATIONS: The terms of this contract will not be waived, altered, modified, supplemented or amended in
any manner whatsoever without prior written approval of the State Director of Purchasing. Automatic renewals will not apply to this contract.
11. DEBARMENT: The Contractor certifies that neither it nor its principals are presently debarred, suspended, proposed for debarment,
declared ineligible, or voluntarily excluded from participation in this transaction (contract), by any governmental department or agency. If the
Contractor cannot certify this statement, attach a written explanation for review by the STATE. The Contractor must notify the State Director of
Purchasing within 30 days if debarred by any governmental entity during the Contract period.
12. TERMINATION: Unless otherwise stated in the Special Terms and Conditions, this contract may be terminated, with cause by either party,
in advance of the specified termination date, upon written notice being given by the other party. The party in violation will be given ten (10)
working days after notification to correct and cease the violations, after which the contract may be terminated for cause. This contract may be
terminated without cause, in advance of the specified expiration date, by either party, upon sixty (60) days prior written notice being given the
other party. On termination of this contract, all accounts and payments will be processed according to the financial arrangements set forth
herein for approved services rendered to date of termination.
13. NONAPPROPRIATION OF FUNDS: The Contractor acknowledges that the State cannot contract for the payment of funds not yet
appropriated by the Utah State Legislature. If funding to the State is reduced due to an order by the Legislature or the Governor, or is required
by State law, or if federal funding (when applicable) is not provided, the State may terminate this contract or proportionately reduce the services
Page 1 of 4

and purchase obligations from the State upon 30 days written notice. In the case that funds are not appropriated or are reduced, the State will
reimburse Contractor for products delivered or services performed through the date of cancellation or reduction, and the State will not be liable
for any future commitments, penalties, or liquidated damages.
14. TAXES: Bid/proposal prices will be exclusive of state sales, use and federal excise taxes. The State of Utah's sales and use tax exemption
number is 11736850-01 O-STC. The tangible personal property or services being purchased are being paid from STATE funds and used in the
exercise of that entity's essential functions. If the items being purchased are construction materials, they will be converted into real property by
employees of this government entity, unless otherwise stated in the contract, or contract orders. The State of Utah's Federal excise exemption
number is 87-780019K.
15. WARRANTY: The Contractor agrees to warrant and assume responsibility for all products (including hardware, firmware, and/or software
products) that it licenses, contracts, or sells to the State of Utah under this contract for a period of one year, unless otherwise specified and
mutually agreed upon elsewhere in this contract. The Contractor (seller) acknowledges that all warranties granted to the buyer by the Uniform
Commercial Code of the State of Utah apply to this contract. Product liability disclaimers and/or warranty disclaimers from the seller are not
applicable to this contract unless otherwise specified and mutually agreed upon elsewhere in this contract. In general, the Contractor warrants
that: (1) the product will do what the salesperson said it would do, (2) the product will live up to all specific claims that the manufacturer makes in
their advertisements, (3) the product will be suitable for the ordinary purposes for which such product is used, (4) the product will be suitable for
any special purposes that the STATE has relied on the Contractor's skill or judgment to consider when it advised the STATE about the product,
(5) the product has been properly designed and manufactured, and (6) the product is free of significant defects or unusual problems about
which the STATE has not been warned. Remedies available to the STATE include the following: The Contractor will repair or replace (at no
charge to the STATE) the product whose nonconformance is discovered and made known to the Contractor in writing. Ifthe repaired and/or
replaced product proves to be inadequate, or fails of its essential purpose, the Contractor will refund the full amount of any payments that have
been made. Nothing in this warranty will be construed to limit any rights or remedies the State of Utah may otherwise have under this contract.
16. PARTICIPANTS: This is a contract to provide the State of Utah government departments, institutions, agencies and political subdivisions
(Le., colleges, school districts, counties, cities, etc.) with the goods and/or services described in the bid/proposal.
17. POLITICAL SUBDIVISION PARTICIPATION: Participation under this contract by political subdivisions (Le., colleges, school districts,
counties, cities, etc.) will be voluntarily determined by the political subdivision. The Contractor agrees to supply the political subdivisions based
upon the same terms, conditions and prices.
18. QUANTITY ESTIMATES: The STATE does not guarantee to purchase any amount under the contract to be awarded. Estimated
quantities are for proposing purposes only and are not to be construed as a guarantee to purchase any amount.
19. DE LIVERY: The prices proposed will be the delivered price to any state agency or political subdivision. Unless otherwise specified by the
State, all deliveries will be F.O.B. destination with all transportation and handling charges paid by the Contractor. Responsibility and liability for
loss or damage will remain with Contractor until final inspection and acceptance when responsibility will pass to the Buyer except as to latent
defects, fraud, and Contractor's warranty obligations. The minimum shipment amount will be found in the special terms and conditions. Any
order for less than the specified amount is to be shipped with the freight prepaid and added as a separate item on the invoice. Any portion of an
order to be shipped without transportation charges that is back ordered will be shipped without transportation charges.

20. REPORTS: The Contractor will submit quarterly reports to the State Purchasing Agent showing the quantities and dollar volume of
purchases by each agency and political subdivision.
21. PROMPT PAYMENT DISCOUNT: Offeror may quote a prompt payment discount based upon early payment; however, discounts offered
for less than 30 days will not be considered in making the award. The prompt payment discount will apply to payments made with purchasing
cards and checks. The date from which discount time is calculated will be the date a correct invoice is received or receipt of shipment,
whichever is later; except that if testing is performed, the date will be the date of acceptance of the merchandise.

22. FIRM PRICES: Unless otherwise stated in the special terms and conditions, for the purpose of award, offers made in accordance with this
solicitation must be good and firm for a period of ninety (90) days from the date of bid/proposal opening.
23. PRICE GUARANTEE, ADJUSTMENTS: The contract pricing resulting from this bid/proposal will be guaranteed for the period specified.
Following the guarantee period, any request for price adjustment must be for an equal guarantee period, and must be made at least 30 days
prior to the effective date. Requests for price adjustment must include documentation supporting the request and demonstrating a logical
mathematical link between the current price and the proposed price. Any adjustment or amendment to the contract will not be effective unless
approved by the State Director of Purchasing. The STATE will be given the immediate benefit of any decrease in the market, or allowable
discount.
24. ORDERING AND INVOICING: Orders will be placed by the using agencies directly with the Contractor. All orders will be shipped promptly
in accordance with the delivery guarantee. The Contractor will then promptly submit invoices to the ordering agency. The STATE contract
number and the agency ordering number will appear on all invoices, freight tickets, and correspondence relating to the contract order. The
prices paid by the STATE will be those prices on file with the Division of Purchasing. The STATE has the right to adjust or return any invoice
reflecting incorrect pricing.
25. PAYMENT: Payments are normally made within 30 days following the date the order is delivered orthe date a correct invoice is received,
whichever is later. After 45 days the Contractor may assess overdue account charges up to a maximum rate of one percent per month on the
outstanding balance. Payments may be made via a State of Utah (or political subdivision) "Purchasing Card" (major credit card). All payments
Page 2 of 4

to the Contractor will be remitted by mail unless paid by Purchasing Card.
26. MODIFICATION OR WITHDRAWAL OF BIDS/PROPOSALS: Bids/proposals may be modified or withdrawn prior to the time set for the
opening of bids/proposals. After the time set for the opening of bids/proposals, no bids/proposals may be modified or withdrawn.
27. BID/PROPOSAL PREPARATION COSTS: The STATE is not liable for any costs incurred by the offeror in bid/proposal preparation.
28. INSPECTIONS: Goods furnished under this contract will be subject to inspection and test by the Buyer at times and places determined by
the Buyer. If the Buyer finds goods furnished to be incomplete or not in compliance with bid/proposal specifications, the Buyer may reject the
goods and require Contractor to either correct them without charge or deliver them at a reduced price which is equitable under the
circumstances. If Contractor is unable or refuses to correct such goods within a time deemed reasonable by the Buyer, the Buyer may cancel the
order in whole or in part. Nothing in this paragraph will adversely affect the Buyer's rights including the rights and remedies associated with
revocation of acceptance under the Uniform Commercial Code.
29. PATENTS, COPYRIGHTS, ETC.: The Contractor will release, indemnify and hold the Buyer, its officers, agents and employees harmless
from liability of any kind or nature, including the Contractor's use of any copyrighted or un-copyrighted composition, secret process, patented or
un-patented invention, article or appliance furnished or used in the performance of this contract.
30. ASSIGNMENT/SUBCONTRACT: Contractor will not assign, sell, transfer, subcontract or sublet rights, or delegate responsibilities under
this contract, in whole or in part, without the prior written approval of the State Director of Purchasing.
31. DEFAULT AND REMEDIES: Any of the following events will constitute cause for the STATE to declare Contractor in default of the
contract 1. Nonperformance of contractual requirements; 2. A material breach of any term or condition of this contract. The STATE will issue
a written notice of default providing a period in which Contractor will have an opportunity to cure. Time allowed for cure will not diminish or
eliminate Contractor's liability for liquidated or other damages. If the default remains, after Contractor has been provided the opportunity to cure,
the STATE may do one or more of the following: 1. Exercise any remedy provided by law; 2. Terminate this contract and any related contracts
or portions thereof; 3. Impose liquidated damages, if liquidated damages are listed in the contract; 4. Suspend Contractor from receiving future
bid/proposal solicitations.
32. FORCE MAJEURE: Neither party to this contract will be held responsible for delay or default caused by fire, riot, acts of God and/or war
which is beyond that party's reasonable control. The STATE may terminate this contract after determining such delay or default will reasonably
prevent successful performance of the contract.
33. HAZARDOUS CHEMICAL INFORMATION: The Contractor will provide one set of the appropriate material safety data sheet(s) and
container label(s) upon delivery of a hazardous material to the user agency. All safety data sheets and labels will be in accordance with each
participating state's requirements.
34. NON-COLLUSION: By signing the bid/proposal, the offeror certifies that the bid/proposal submitted has been arrived at independently and
has been submitted without collusion with, and without any agreement, understanding or planned common course of action with, any other
vendor of materials, supplies, equipment or services described in the Solicitation, designed to limit independent proposing or competition.
35. PUBLIC INFORMATION: Except as identified in writing and expressly approved by the State Division of Purchasing, Contractor agrees that
the contract and related Sales Orders and Invoices will be public documents, as far as distribution of copies, and Contractor gives the STATE
express permission to make copies of the contract, the response to the solicitation, and related Sales Orders and Invoices in accordance with
the State of Utah Government Records Access and Management Act. The permission to make copies as noted will take precedence over any
statements of confidentiality, proprietary information, or copyright information.
36. PROCUREMENT ETHICS: The Contractor understands that a person who is interested in any way in the sale of any supplies, services,
construction, or insurance to the State of Utah is violating the law if the person gives or offers to give any compensation, gratuity, contribution,
loan or reward, or any promise thereof to any person acting as a procurement officer on behalf of the State, or who in any official capacity
participates in the procurement of such supplies, services, construction, or insurance, whether it is given for their own use or for the use or
benefit of any other person or organization (63-56-1002, Utah Code Annotated, 1953, as amended).
37. ENERGY CONSERVATION AND RECYCLED PRODUCTS: The contractor is encouraged to offer Energy Star certified products or
products that meet FEMP (Federal Energy Management Program) standards for energy consumption. The State of Utah also encourages
contractors to offer products that are produced with recycled materials, where appropriate, unless otherwise requested in this solicitation.
38. CONFLICT OF TERMS: Contractor Terms and Conditions that apply must be in writing and attached to the contract. No other Terms and
Conditions will apply to this contract including terms listed or referenced on a Contractor's website, terms listed in a Contractor quotation/sales
order, etc. In the event of any conflict in the contract terms and conditions, the order of precedence shall be: 1. Attachment A: State of Utah
Standard Contract Terms and Conditions; 2. State of Utah Contract Signature Page(s); 3. Additional State Terms and Conditions; 4.
Contractor Terms and Conditions.
39. LOCAL WAREHOUSE AND DiSTRIBUTION: The Contractor will maintain a reasonable amount of stock warehoused in the State of Utah
for immediate or emergency shipments. Shipments are to be made in the quantities as required by the various ordering agencies. Orders for
less than the minimum specified amount will have transportation charges prepaid by the Contractor and added as a separate item on the invoice.
Any portion of an order to be shipped without transportation charges that is back ordered will be shipped without charge.

Page 3 of 4

40.
ENTIRE AGREEMENT: This Agreement, including all Attachments, and documents incorporated hereunder, and the related State
Solicitation constitutes the entire agreement between the parties with respect to the subject matter, and supersedes any and all other prior and
contemporaneous agreements and understandings between the parties, whether oral or written. The terms of this Agreement shall supersede
any additional or conflicting terms or provisions that may be set forth or printed on the Contractor's work plans, cost estimate forms, receiving
tickets, invoices, or any other related standard forms or documents of the Contractor that may subsequently be used to implement, record, or
invoice services hereunder from time to time, even if such standard forms or documents have been signed or initialed by a representative of the
State. The parties agree that the terms of this Agreement shall prevail in any dispute between the terms of this Agreement and the terms printed
on any such standard forms or documents, and such standard forms or documents shall not be considered written amendments of this
Agreement.
Revision date: 28 May 2008

Page 4 of 4

PERFORMANCE BOND
Bond No. S9058987
KNOW ALL MEN BY THESE PRESENTS, That we , FSH COMMUNICA.TIONS, LLC
100 W. Monroe Suite 2101 Chicago, IL 60603
as Principal, and the WASHINGTON INTERNl\TIONAL INSURANCE COMPANY
a ARIZONA
corporation, as Surety, subject to the Conditions, Limitations and Exclusions of this
Performance Bond, are firmly held bound unto STATE OF UTA.H, DEPT. OF PURCHASING AND
GENERAL SERVICES, 3150 State Office Build~ng, Cap~tol H~ll, PO Box 141061 ,Salt Lake City
hereinafter referred to as the Obligee, for such monetary amount as incurred by the Obligee, not to exceeHtah 8411 4
the penal sum of FIVE HUNDRED THOUSAND & NO/100
($ 500,000.00),
as my be required to remedy any contractual default by the Principal in the performance of that certain
written contract between Principal and Obligee dated July 1 2008 for PROVISION OF PAY TELEPHONES
& EQUIPMENT AT ALL UTAH DEPT OF CORRECTIONS (UDC) CORRECTIONAL FACILITIES
hereinafter referred to as the Contract; for the payment hereof, we bind ourselves, our heirs, executors,
administrators and successors, jointly and severally.
CONDITIONS
The obligation of this Performance Bond shall be null and void unless: (1) the above Contract is in
writing, and has been fully executed by both the Principal and the Obligee; (2) the Principal is actually in
default under the above Contract, and is declared by the Obligee hereafter to be in default; (3) the Obligee
has performed all of the obligations of the Obligee under the above Contract; and (4) the Obligee has
provided written notice of the default to the Surety as promptly as possible, and in any event, within ten
(l 0) days after such default.
LIMITATIONS AND EXCLUSIONS
The Surety, as the sole election and discretion of the Surety, may take any of the following actions:

(l) With notice to the Obligee, provide financial assistance to the Principal to remedy any
contractual default by the Principal; or,
(2) Undertake the completion of the above Contract by the Surety, through its agents or through
independent contractors; or,
(3) Determine the amount for which the Surety may be liable to the Obligee, and as soon as a
practicable thereafter, tender payment thereof to the Obligee; or
(4) Pay the full amount of the above penal sum in complete discharge and exoneration of this
Performance Bond, and all liabilities of the Surety relating thereto.
If the Surety so elects to act, all payments and expenditures by the Surety shall be applied against the
above penal sum and in reduction of the limit of liability of the Surety.

C:\Documents and Settings\mpowell\Local Settings\Temporary Internet Files\OLK9\FSH Performance Bond (2).doc

-2-

Performance Bond
This bond is for a one-year term beginning July 31, 2008
. In the event of default by the
Principal in the performance of the contract during the term of this bond, the Surety shall be liable only
for the direct loss to the Obligee due to actual excess costs of performance of the contract up to the
tennination of this term of this bond. No suit shall be brought on this bond after one year following its
tennination. Neither non-renewal by the Surety, nor failure or inability of the Principal to file a
replacement bond, shall constitute loss of the Obligee recoverable under this bond. The bond may be
extended for additional tenus at the option of the Surety, by continuation certificate executed by the
Surety.
The Obligation ofthis Performance Bond inures solely to the benefit of the obligee. No right of action
shall accrue under this Performance Bond to or for the use of any person, firm, corporation, public or
private entity other than the Obligee. In the event that the Obligee is comprised of more than one person,
firm, corporation, public or private entity, the conditions, limitations and exclusions of this Performance
Bond shall apply jointly and severally to each and all constituents of the Obligee, and the aggregate
liability of the Surety to the Obligee shall in no event exceed the above penal sum.
No right of action shall accrue under this Performance Bond unless demand is brought by suit, action or
other legal proceeding commended against the Surety within one year after the day that the Principal last
performed labor or supplied material for the above contract. Any and all claims and causes of action
(including warranty requirement or the remedy of latent defects) not so commended shall be deemed
extinguished and forever barred from action under this Performance Bond.
In the event of conflict or inconsistency between the provisions of this Perfonuance Bond and the
provisions of the above Contract, the provisions of this Performance Bond shall control, or the obligation
of the surety be deemed null and void to the extent of any enlargement or augmentation to the liabilities
of the Surety prescribed by this Performance Bond.
Signed, Sealed and Dated this 31 st

day Of _ _""-J-""U-""lY.:t--

FSH COMMUNICATIONS, LLC

Principal
By:

kuttP~
Power of Attorney

, 2008

WASHINGTON INTERNATIONAL INSURANCE COMPANY

Surety

By:~L
MARY ANN POWELL

Attorney-in-Fact

C:\Documents and Settings\mpowell\Local Seltings\Temporary Internet Files\OLK9\FSH Performance Bond (2).doc

STATE OF ILLINOIS
COUNTY OF DuPage
On this 31st day of July, 2008, before me came Mary Ann Powell who executed the
preceding instrument, to me personally known, and being by me duly sworn, said that
he is the therein described and authorized ATTORNEY-IN-FACT of Washington
International Insurance Company that the seal affixed to said instrument is the
Corporate Seal of said Company.
IN TESTIMONY WHEREOF, I have hereunto set my hand and affixed my Official Seal
this day and year first written above.

~~~

Chris Ine Eitel, Notary Public
"OFFICIAL SEAL"
CHRISTINE EITEL
NOTARY PUll1klC " StATE OF ILLINOIS
MY COMMla$ION FiXP'lflItS MAY 26, 2012

NAS SURETY GROUP
NORTH AMERICAN SPECIALTY INSURANCE COMPANY
WASHINGTON INTERNATIONAL INSURANCE COMPANY
GENERAL POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS, THAT North American Specialty Insurance Company, a corporation duly organized and existing under
laws of the State of New Hampshire, and having its principal office in the City of Manchester, New Hampshire, and Washington International
Insurance Company, a corporation organized and existing under the laws of the State of Arizona and having its principal office in the City of Itasca,
Illinois, each does hereby make, constitute and appoint:
JOHN E. ADAMS, MARY ANN POWELL, R.O. DROST, GERALD C. OLSON,
D.L. HALPER, GREGORY A. FIELD, JOANNE F. COSTA and CHRISTINE EITEL
JOINTLY OR SEVERALLY
Its true and lawful Attorney(s)-in-Fact, to make, execute, seal and deliver, for and on its behalf and as its act and deed, bonds or other writings
obligatory in the nature of a bond on behalf of each of said Companies, as surety, on contracts of suretyship as are or may be required or permitted by
law, regulation, contract or otherwise, provided that no bond or undertaking or contract or suretyship executed under this authority shall exceed the
amount of:
TWENTY-FIVE MILLION ($25,000,000.00) DOLLARS
This Power of Attorney is granted and is signed by facsimile under and by the authority of the following Resolutions adopted by the Boards of
Directors of both North American Specialty Insurance Company and Washington International Insurance Company at meetings duly called and held
on the 24 th of March, 2000:
"RESOLVED, that any two of the President, any Executive Vice President, any Vice President, any Assistant Vice President, the Secretary or any
Assistant Secretary be, and each or any of them hereby is authorized to execute a Power of Attorney qualifying the attorney named in the given Power
of Attorney to execute on behalf of the Company bonds, undertakings and all contracts of surety, and that each or any of them hereby is authorized to
attest to the execution of any such Power of Attorney and to attach therein the seal of the Company; and it is
FURTHER RESOLVED, that the signature of such officers and the seal of the Company may be affixed to any such Power of Attorney or to any
certificate relating thereto by facsimile, and any such Power of Attorney or certificate bearing such facsimile signatures or facsimile seal shall be
binding upon the Company when so affixed and in the future with regard to any bond, undertaking or contract of surety to which it is attached."

1Jr'~ ~~_"~_",

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Steven P. Anderson, President &

Chief Executive Officer of Washington International Insurance Company &
Vice President of North American Spechllty Insurance Company

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David M. Layman, Vice President ofWathiJlgtOn International Insurance Company &
Vice President of North American Specialty Insurance Company

IN WITNESS WHEREOF, North American Specialty Insurance Company and Washington International Insurance Company have caused their
June
, 20lllL.
official seals to be hereunto affixed, and these presents to be signed by their authorized officers this 10th day of

North American Specialty Insurance Company
Washington International Insurance Company
State of Illinois
County of Du Page

ss:

On this 10th day of
June
, 20~ before me, a Notary Public personally appeared
Steven P. Anderson ,President and CEO of
Washington International Insurance Company and Vice President of North American Specialty Insurance Company and David M. Layman,
Vice President of Washington International Insurance Company and Vice President of North American Specialty Insurance Company,
personally known to me, who being by me duly sworn, acknowledged that they signed the above Power of Attorney as officers of and
acknowledged said instrument to be the voluntary act and deed of their respective companies.
"OFFICiAL SEAE'
DONNA D. SKLENS
Notary Public, State of Illinois
My Commission Expires lOi06/2Olt

Donna D. Sklens, Notary Public

I, James A. Carpenter , the duly elected
Assistant Secretary
of North American Specialty Insurance Company and Washington
International Insurance Company, do hereby certify that the above and foregoing is a true and correct copy of a Power of Attorney given by said North
American Specialty Insurance Company and Washington International Insurance Company, which is still in full force and effect.
IN WITNESS WHEREOF, I have set my hand and affixed the seals of the Companies this

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of

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of.

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James A Carpenter, Vice President & Assistant Secretary of Washington Intemationallnsurance Company &
North American Specialt)' Insurance Company

commurm::atlc)ns
Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

March 24, 2008

Dear Ms. Gundersen,
In response to your request for a Best and Final Offer (BAFO) - Solicitation DG8013,
FSH Communications is submitting an amended Attachment VI as requested.
Our amended offer increases the FSH Communications commission offer to 50% of gross revenue for large
correctional facilities (over 500 inmates). Our commission offer for small correctional facilities (under 500
inmates) and payphones at the Community Correctional Facilities remain unchanged from our previous
offer.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH Communications LLC

Attachment VI - Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Date: 1-9-2008

Attachment VI • Call Cost and Commission Calculation

Local
Intra-Lata
Intra-5tate
Inter-State

2,889,497
2,854,122
1,570
521,345

129,269
136,927
83
28,618

$3.15
$2.80
$2.80
$3.00

22.35
20.84
18.88
18.22

N/A

$0.12
$0.12
$0.45

50.00%
50.00%
50.00%
50.00%

Inmate Collect or Advance Pay Total

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All other Countries

722,374
713,530
393
130,336
***

32,317
34,232
21
7,154

22.35
20.84
18.88
18.22

55

22.07

***

***

1,214

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

$0.10
$0.10
$0.35
$0.75
$1.00

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

$203,598.36
$362,945.38
$210.70
$160,228.98

=

$726,983.42

$40,396.50
$74,187.30
$43.03
$31,930.70
***

$704.63
$147,262.15

Inmate Collect or Advance' Pay Total =
$726,983.42
Inmate Debit or Pre-Paid Card Total =t----::$:"':"147.7=-,2::-:6~2:-:.1~5

12-MonthGr~l'1cfTotal =I!::l==$8=7=4,=24=5=.5~:JJ

RFP DG8013

2

Date: 1-9-2008

Attachment VI - Call Cost and Commission Calculation
Small Correctional Facilities (< 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based
commission rate. 43%

Communic~tion

Systems"

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 local calls flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 38%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI- Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rafe(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (2: 500inr1J~t~,~~~.~,rve9t:>ypr~rP,i~~ ...9ased
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4;000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional faciliti,es) and ,payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerorswill be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission paymehtsaridthe lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2, 4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do not/cannot include mileage and/or time-of-day variations.

RFP DG8013

3

Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

March 27, 2008

Dear Ms. Gundersen,
In response to your request for a 2nd Best and Final Offer (BAFO) --.Solicitation DG8013,
FSH Communications is re-submitting our 1st BAFo Attachment VI without changes.
Our first BAFP included Voice Print Technology so no changes were required. The optional features we
offered in our RFP response are either available at no additional charge or would require additional
information in order to put together a pricing plan.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH Communications LLC

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Date: 1-9-2008

Attachment VI • Call Cost and Commission Calculation

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =L..-_...;;.$.;..;72;;..;6;.:.;,9;.;;.8.;;.3';..;.42~

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

N/A

. ....

......
1,214

$0.10
$0.10
$0.35
$0.75
$1.00

......
55

22.07

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

Inmate Debit or Pre-Paid Card Total

$40,396.50
$74,187.30
$43.03
$31,930.70

......

$704.63

='------------1
$147,262.15

$726,983.42
Inmate Collect or Advance Pay Total =
t---~~=~
$147,262.15
Inmate Debit or Pre-Paid Card Total

=' - - - - - - - - 1
$874,245.5~

RFP DG8013

2

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 local calls flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 38%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI - Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~ 500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and.payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offer()rs will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commissiOn payrriehts and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

commumcabons
Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

April 11, 2008

Dear Ms. Gundersen,
In response to your request for a 4th Best and Final Offer (BAFO) - Solicitation DG8013,
FSH Communications is re-submitting our 151 & 2nd BAFO Attachment VI without changes.
Our frrst BAFP included Voice Print Technology so no changes were required. The optionaHeatures we
offered in our RFP response are either available at no additional charge or would require additional
information in order to put together a pricing plan.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH Communications LLC

Attachment VI· Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). OfferQrs who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Date: 1-9-2008

Attachment VI - Call Cost and Commission Calculation

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =L...-_...;.$_72_6..:...,9_8_3._42-i

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

***

***

1,214

55

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

***
22.07

$40,396.50
$74,187.30
$43.03
$31,930.70
***
$704.63
$147,262.15

Inmate Collect or Advance Pay Total =1--_...,.$_72_6...;.,9_8_3_.4-12
Inmate Debit or Pre-Paid Card Total
$147,262.15

=1 . . . - - - - - - - 1

12-Month Grand Total =

RFP DG8013

2

I

$874,245.51

I!=::====~

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 Local flat rate long distance 4 minutes for $1.00 (delineate/explain as nece~
2) Offerors must state their proposed payphone commission rate.--1§.%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
,.;

3) "Attachment VI - Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (2:: 500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Syste $-40points
• "Payphone (Electronic Payphone)" - 10 points
'

rn

Two hundred (200) evaluation points have been assigned to "large correctional facilities (2:: 500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do not/cannot include mileage and/or time-of-day variations.

RFP DG8013

3

April 11, 2008

Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah
Dear Ms. Gundersen,

In response to your request for a 4th Best and Final Offer (BAFO) - Solicitation DG8013,
FSH Communications is submitting our response to BAFO#4 Attachment VI .
Our first BAFP included Voice Print Technology so no changes were required. The optional
features we offered in our RFP response are either available at no additional charge or would
require additional information in order to put together a pricing plan.
As requested, we are submitting our response and agreement to the specific requirements
required in the State's SAFO # 4 As follows.

Item #1:
In part, the purpose of this SAFO #4 is to clarify any misinformation, false assumptions and/or
confusion between the State and offerors, regarding the inmate communication systems/service
that must be implemented by the successful contractor to serve the needs of UDC inmates located
at the Draper Prison and at the Central Utah Correctional Facility (CUCF) - Gunnison; more
specifically, the communication systems/service installed by the successful contractor must include
voice print technology, or an alternative, UDC approved, bio-based verification system.
Mandatory: Acknowledge your understanding of and confirm your agreement with this Item #1
requirement (you cannot take exception to this requirement).
With regard to "Attachment VI - Call Cost and Commission Calculation" (attached), the State will
base commission/cost scoring (250 of the 300 possible "Commission Rate(s)" evaluation points)
exclusively on your completion of Attachment VI that reflects your commission/cost information that
has only to do with the implementation of inmate communication systems/service that include voice
print technology, or an alternative, UDC approved, bio-based verification system, at the Draper
Prison and at the Central Utah Correctional Facility (CUCF) - Gunnison. Commission/cost scoring
will not take into account value-added enhancements and/or "new" technologies.
FSH Communications Understands and complies with the statements in Item #1 without
exception

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
1

Item #2:
As stated in paragraph 4.6.1, "The State of Utah is interested in reducing inmate call costs. To that
end, the State has defined call rates. The rates cannot be increased at any point during the sixyear term of the contract unless the State (UDC) chooses to do so."

SAFO #3 was cancelled because of the need to better communicate the State's position regarding
the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephone
Surcharge". SAFO #3 erroneously stated, "Point of Clarification: Commission need not be paid on
the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephon~
Surcharge". Whether or not you consider the "Payphone Usage Charge" to be a federally
mandated fee and/or surcharge, in fact, commission must be paid on the "Payphone Usage
Charge" because the charge (currently $.55 per call) is included in the State's RFP specified
inmate calling rates; refer to the below "modifi~d" rate table. FSH Communications,the<State's
incumbent inmate communication systems/service provider, has adhered to this requirement
throughout the term of their statewide contract. Itis imperative that you understand that the
"Payphone Usage Charge" (abbreviated PUC for purposes of this SAFO) is included in the State's
defined "Connect Rates" and therefore commission must be paid on the "Payphone Usage
Charge". So that there is no confusion now or in the future, the below "modified" (mandatory) rate
table
is provided:
Inmate Collect or
Advance Pay Connect Rate Per Minute Rate
Local $2.60 + $.55 (PUC) = $3.15 No Local Message Charge
Intra-Lata $2.25 + $.55 (PUC) $2.80 $0.12
Intra-State $2.25 + $.55 (PUC) = $2.80 $0.12
Inter-State $2.45 + $.55 (PUC) = $3.00 $0.45

=

Inmate Debit or
Pre-Paid Card Connect Rate Per Minute Rate
Local $1.95 + $.55 (PUC) $2.50 No Local Message Charge
Intra-Lata $1.70 + $.55 (PUC) = $2.25 $0.10
Intra-State $1.70 + $.55 (PUC) $2.25 $0.10
Inter-State $2.00 + $.55 (PUC) $2.55 $0.35
Mexico $2.00 + $.55 (PUC) $2.55 $0.75
All Other Countries $3.00 + $.55 (PUC) = $3.55 $1.00

=

=

=
=

To emphasize the State's interest in reducing inmate call costs, various RFP excerpts follow:
1.5 Contract Period: "Renewal terms will be subject to mutual agreement with specific exceptions,
e.g., not to exceed call rates (costs) cannot be increased throughout the (potential) six-year
contract term unless the State chooses to do so."
4.6.1 Item #2: "The State of Utah is specifying the exact call charges to be charged on both collect
and debit rates. There will be no exception(s) to these specified rates. Offerors will be disqualified if
they propose higher than stated (defined) call rates."
4.6.1 Item #2: "Any taxes, fees and/or surcharges charged to the end-user shall be rated as passthrough. This includes any local, state and/or federally mandated taxes, fees and/or surcharges."

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
2

4.6.1 Item #6: "The State of Utah is specifying inmate calling rates. At no time during the term of
the contract will the contractor vary from these rates without the explicit written authorization from
the State of Utah."
4.6.1 Item #13: "Any deviation from the rate and commission rules specified in this RFP shall be
cause for immediate contract default. Such a default may include one, or all, of the following
consequences:
a. Contract termination
b. Mandatory refunding of any/all overcharges to the billed party
c. Forfeiture of performance bond"
4.6.4: "Without exclusion or exception, commission revenue must be computed and paid on any
and all inmate telephone call charge(s), rate(s) and/or cost element(s)."
Mandatory: Acknowledge your understanding of and confirm your agreement with thi§Jtem #2
requirement (yOl.fCannot take exceptionJo this requirement).

FSH Communications Understands and complies with the statements in. Item #2. without
exception
Item #3:
As part of this SAFO, you must redo "Attachment VI - Call Cost and Commission Calculation"
(attached) in compliance with the clarification instructions (language) contained in this SAFO. Your
completion and submission of Attachment VI, as required by SAFO #4, will supersede the
Attachment VI that you submitted in response to the original RFP, SAFO #1 and/or SAFO #2
(SAFO #3 does not apply since it was cancelled).
Your SAFO #4 commission rate offer must take into consideration that the Draper Prison and the
Central Utah Correctional Facility (CUCF) - Gunnison inmate communication systems/service
includes voice print technology, or an alternative, UDC approved, bio-based verification system.
As part of this SAFO, you may adjust your commission rate offer.
Mandatory: Complete (fill in) Attachment VI (attached) in its entirety; the below information must be
provided (filled in); if any of these entries are left blank, then you will be disqualified:
o the spreadsheet (yellow cells)
o the $
entries
o the _ _% entries
Se aware, you will be disqualified if you:
o leave blank any: spreadsheet (yellow cells); $ _ _ entries; _ _Of<> entries
o qualify your response to, or take exception with, Attachment VI in any way (Note 1)
o fail to complete and return Attachment VI by noon on Tuesday, April 15, 2008
Note 1: The only permissible "qualification" (exception), more a "clarification", may be your need to
clarify your payphone-related cost information, e.g., any/all payphone local and long distance
cost(s). If evaluators require such information to clearly understand your payphone-related call
cost(s), then provide such information.
Provide your responses to the mandatory Item numbers 1 and 2 "Acknowledge your understanding
of and confirm your agreement" statements, and provide your redo of Attachment VI to Debbie
Gundersen by reply e-mail: DGUNDERSEN@utah.gov
Please let me know if you require any additional information

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
3

FSH Communications Understands and complies with the statements in Item #3 without
exception and has resubmitted Attachment VI Call Cost and Commission Calculation as
part of our response to BAFO#4

Dale Cherrington
Account Executive
FSH Communications LLC

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
4

Attachment VI - Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Attachment VI - Call Cost and Commission Calculation

Date: 1-9-2008

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =L...-_...;.$.;..;72;;;.;6;.:.;,9;...;,8..;.3';.;.42~

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336
***
1,214

32,317
34,232
21
7,154
***

55

22.35
20.84
18.88
18.22
***
22.07

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

$0.10
$0.10
$0.35
$0.75
$1.00

50.00%
50.00%
50.00%
50.00%
50.00%
·50.00%

Inmate Debit or Pre-Paid Card Total =

$40,396.50
$74,187.30
$43.03
$31,930.70
***
$704.63
$147,262.15

L...-_"';'-"';':';';"';';';;'~

Inmate Collect or Advance Pay Total =
$726,983.42
Inmate Debit or Pre-Paid Card Total =t----:$"':"14":":7::-':,2:"'::6"='2."':"
=i
15
12-Month Grand Total =

RFP DG8013

2

I!:::====

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 Local flat rate long distance 4 minutes for $1.00 (delineate/explain as nece~
2) Offerors must state their proposed payphone commission rate.--1§.%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI- Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commi8SiGh:R.ate~s)'~evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~ 500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

communn::atlO/1S
Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

April 24, 2008

Dear Ms. Gundersen,
Attached herein is FSH Communications response to the State of Utah's request for a 5th Best and Final
Offer (BAFO) - Solicitation DG8013, to include Inmate Conun. RFP DG8013 Attachment IV.
Our first BAFO included Voice Print Technology .and no changes were required at that time. The optional
features we offered in our RFP response are either available at no additional charge or would require
additional information in order to put together a pricing plan.
As requested, we are submitting our response and agreement to the specific requirements stated in the
State's BAFO # 5 as follows.
Item #1:
To clarify any misinformation, false assumptions and/or confusion between the State and offerors
regarding the inmate communication systems/service that must be implemented by the successful
contractor to serve the needs of UDC inmates located at the Draper Prison and at the Central Utah
Correctional Facility (CUCF) - Gunnison, be aware that the communication systems/service installed by
the successful contractor must include voice print technology, or an alternative, UDC approved, biobased verification system. Commission/cost scoring will not take into account value-added
enhancements and/or "new" technologies over and above voice print technology, or an alternative,
UDC approved, bio-based verification system.
Mandatory: Acknowledge your understanding of and confirm your agreement with the State's
requirement that the communication systems/service installed by the successful contractor at Draper
and at Gunnison must include voice print technology, or an alternative UDC approved bio-based
verification system. You cannot take exception to this requirement.
FSH Communications Response:
Understands and agrees with the requirements in Item #1 without exception.

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008

Page 1 of5

Item #2:
As stated in paragraph 4.6.1, "The State of Utah is interested in reducing inmate call costs. To that end,
the State has defined call rates. The rates cannot be increased at any point during the six-year term of
the contract unless the State (UDC) chooses to do so."
SAFOs #3 and #4 were cancelled because of the need to better communicate the State's position
regarding the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephone
Surcharge". Only "Payphone Usage Charge" will be used throughout the remainder of this SAFO. Se
aware that "Payphone Surcharge" and/or "Pay Telephone Surcharge" are synonymous with "Payphone
Usage Charge".
The "Maximum Call Charge (Excluding the Associated Per Minute Rate Charge)" and the "Maximum
Per Minute Rate Charge" delineated in the below table cannot be increased at any point during the six;;. ,
year term of the contract unless the State (UDC) chooses to do so.

Explain I Describe I Answer the following:
a. Do you charge (assess) the "Payphone Usage Charge"?

FSH Communications Response:
FSH contracts with Qwest Communications to carry all local and intralata (in-state) call traffic.
Qwest incorporates the Payphone Usage Charge as part of the amount billed for calls placed
from the inmate phone system and not as a separate charge. FSH currently contracts with IlD
to carry all interlata (long distance) call traffic. FSH mayor may not continue with IlD as the
contracted carrier if FSH is the successful bidder. The payphone usage charge (if charged) will
be included as part of the billed charges as required by the State of Utah.
If there is any change to FSH's contracted call traffic providers we will 1) notify the State in
advance of any change to obtain their consent; and 2) any change in carrier will NOT change the
mandated call rates.
b. If so, do you include the "Payphone Usage Charge" as part of the "Maximum Call Charge (Excluding
the Associated Per Minute Rate Charge)"?

FSH Communications Response:
As described above the "Payphone Usage Charge" is included as part of the Maximum Call
Charge (Excluding the Associated Per Minute Rate Charge)".
c. If the answer to b. is "No", then do you charge (assess) the "Payphone Usage Charge" over and
above (in addition to) the "Maximum Call Charge (Excluding the Associated Per Minute Rate Charge)"?

FSH Communications Response:
Not applicable. Please refer to our answers to 'a.' and 'b.' above.
Be Aware: If you charge the "Payphone Usage Charge" over and above (in addition to) the "Maximum
Call Charge (Excluding the Associated Per Minute Rate Charge)", then the "Maximum Call Charge
(Excluding the Associated Per Minute Rate Charge)" must be reduced so that the "Maximum Call
Charge (Excluding the Associated Per Minute Rate Charge)" plus your "Payphone Usage Charge" does
not exceed the following:

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 2 of5

Inmate Collect or Advance Pay:
Local

=$3.15; Intra-Lata =$2.80; Intra-State =$2.80; Inter-State =$3.00

Inmate Debit or Pre-Paid Card:
Local $2.50; Intra-Lata $2.25; Intra-State
Mexico $2.55; All Other Countries $3.55

=
=

=

=

=$2.25; Inter-State =$2.55;

For Example: If you charge the "Payphone Usage Charge" over and above (in addition to) the
"Maximum Call Charge (Excluding the Associated Per Minute Rate Charge)" and if (for example) your
"Payphone Usage Charge" equals $.57 per call, then the "Maximum Call Charge (Excluding the
Associated Per Minute Rate Charge)" for an "Inmate Collect or Advance Pay" Local callWbuld be $2.58
($3.15 - $.57 = $2.58).
Note: The column heading in the below table that now reads "Maximum Call Charge (Excluding the
Associated Per Minute Rate Charger use to read "Connect Rate" in the original RFP and inBAFOs #3
and #4.

Inmate Collect or
Advance Pay

Local
Intra...Lata

Intra-State
Inter;...State

Inmate Debit or
Pre-Paid Card

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

Maximum
Call Charge
(Ex,cluding the
A,ssociated
Per Minute Rate Cha,rge).

Maximum
Per Minute Rate Charge

$3.15
$2.80
$2.80
$3.00

No Local Message Charge
$0.12
$0.12
$0.45

Max.imum
Can Charge
(E,xcludingthe
Associated
Pe·rMinute Rate Charge}

Maximum
Per Minute Rate Charge

$2,.,50
$2.,25
$2.,25
$2.55
$2.55
$3.55

No Local Message Charge

$0.10
$0..10
$0..35
$0..75
$1.00

To emphasize the importance of reducing inmate call costs (holding the line on inmate call costs),
paragraph 4.6.1 Item #13 states: "Any deviation from the rate and commission rules specified in this
RFP shall be cause for immediate contract default. Such a default may include one, or all, of the
following consequences:
a. Contract termination
b. Mandatory refunding of any/all overcharges to the billed party
c. Forfeiture of performance bond"

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 3 of5

Mandatory: Explain/describe/answer the above Item #2 questions/issues. Acknowledge your
understanding of and confirm your agreement with the statements and requirements contained in Item
#2. You cannot take exception to Item #2 statements, requirements and/or specifications.

FSH Communications Response:
FSH understands and agrees with the statements in Item #2 without exception. The rates
charged by FSH include the payphone usage charge and will not exceed the rates as specified
in Item #2.
Item #3:
SAFO #3 erroneously stated, "Point of Clarification: Commission need not be paid on the "Payphone
Usage Charge",also known as "Payphone Surcharge" and/or "Pay'Telephone Surcharge".
Infact,.edmmission must be paid.on the "Payphone Usage Charge".
Mandatory: Acknowledge your understanding of and confirm your agreement with the State's
requirement that commission must be paid on the "Payphone Usage Charge". You cannot take
exception to this requirement.

FSH Communications Response:
FSH understands and agrees with the statements in Item #3 without exception.
FSH has always paid commission on the Payphone Usage Charge revenue and will continue to
do so if FSH is the successful bidder.
Item #4:
As part of this SAFO, you must redo "Attachment VI- Call Cost and Commission Calculation"
(attached) in compliance with the clarification instructions (language) contained in this SAFO. Your
completion and submission of Attachment VI, as required by this SAFO, will supersede the various
Attachment VI that you submitted in response to the original RFP, SAFO #1 and/or SAFO #2 (SAFOs
#3 and #4 do not apply since they were cancelled).
Your SAFO #5 commission rate offer must take into consideration that the Draper Prison and the
Central Utah Correctional Facility (CUCF) - Gunnison inmate communication systems/service includes
voice print technology, or an alternative, UDC approved, bio-based verification system.
As part of this SAFO, you may adjust your commission rate offer.
Mandatory: Complete (fill in) Attachment VI (attached) in its entirety; the below information must be
provided (filled in). If any of these entries are left blank, then you will be disqualified:
o the spreadsheet (yellow cells)
o the $ _ _ entries
o the _ _Of<) entries
Be aware, you will be disqualified if you:
o leave blank any spreadsheet (yellow cells), $ __ entries and/or _ _% entries
o qualify your response to, or take exception with, Attachment VI in any way (Note 1)
o fail to complete and return Attachment VI by noon on Tuesday, April 29, 2008
Note 1: The only permissible "qualification" (exception), more a "clarification", may be your need
to clarify your payphone-related cost information, e.g., any/all payphone local and long distance
cost(s). If evaluators require such information to clearly understand your payphone-related call
cost(s), then provide such information.

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 4 of5

Provide your answers, responses, etc. to the above mandatory items and provide your redo of
Attachment VI to Debbie Gundersen by reply e-mail: DGUNDERSEN@utah.gov

FSH Communications Response:
FSH understands and agrees with the statements in Item #4 without exception. As part of our
response FSH is resubmitting the "Attachment VI - Call Cost and Commission Calculation".

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 5 of5

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Date: 1-9-2008

Attachment VI • Call Cost and Commission Calculation

$223,958.20
$399,239.91
$231.77
$176,251.88
Inmate Collect or Advance Pay Total =L-.-_...;:;$..;.,7.;...99;..:.,6.;;.;8;..;.1.;.;.7~6

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336
***
1,214

32,317
34,232
21
7,154
***
55

22.35
20.84
18.88
18.22
***
22.07

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

$0.10
$0.10
$0.35
$0.75
$1.00

$44,436.15
$81,606.02
$47.33
$35,123.76
***
$775.09

55.00%
55.00%
55.00%
55.00%
55.00%
55.00%

$161,988.36
Inmate Debit or Pre-Paid Card Total = L-.-_~';""':';~~
Inmate Collect or Advance Pay Total =
$799,681.76
Inmate Debit or Pre-Paid Card Total =t----:::$~16~1~,9:-=8"="8."='36':i
12-Month Grand Total

RFP DG8013

2

=

I

$961,670.1~

I!:::=====~

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 45 %

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost. $.50 Local flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 45 %

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI- Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~ 500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~ 500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerOrswill be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

March 24, 2008

Dear Ms. Gundersen,
Inresponse to your request for a Best and Final Offer (BAFO) - Solicitation DG8013,
FSH C01n1nunications is submitting an amended Attachment VI as requested.
Our amended offer increases the FSH C01n1nunications commission offer to 50% of gross revenue for large
correctional faci)ities (over 500 inmates). Our commission offer for small correctional facilities (under 500
inmates) and payphones at the C01n1nunity Correctional Facilities remain unchanged from our previous
offer.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH C01n1nunications liC

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%1)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

Date: 1-9-2008

Attachment VI • Call Cost and Commission Calculation

Local
Intra-Lata
Intra-State
Inter-State

2,889,497
2,854,122
1,570
521,345

129,269
136,927
83
28,618

$3.15
$2.80
$2.80
$3.00

22.35
20.84
18.88
18.22

N/A
$0.12
$0.12
$0.45

50.00%
50.00%
50,00%
50.00%

$203,598.36
$362,945.38
$210.70
$160,228.98

Inmate Collect or Advance Pay Total =

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336
***
1,214

32,317
34,232
21
7,154
***
55

22.35
20.84
18.88
18.22
***
22.07

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

N/A
$0.10
$0.10
$0.35
$0.75
$1.00

$726,983.42

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

$40,396.50
$74,187.30
$43.03
$31,930.70
***
$704.63

Inmate Debit or Pre-Paid Card Total =L-_...:.$__
14.;..;7...:.;,2;;.;;6.;;;.2._15~
_
Inmate Collect or Advance Pay Total =
$726,983.42
Inmate Debit or Pre-Paid Card Total =t----=$"":'"14-::7::'"::,2:-=6-="2.-:'"15=1
12-MonthGrand Total

RFP DG8013

2

=

I!:::==

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 local calls flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 38%
.

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI- Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (2: 500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (2: 500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2, 4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

commUnications
Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

March 27, 2008

Dear Ms.. Gundersen,

In response to your request for a 2nd Best and Final Offer (BAFO) - Solicitation DG8013,
FSH Communications is re-submitting our 1st BAFO Attachment VI without changes.
Our first BAFP included Voice Print Technology so no changes were required. The optional features we
offered in our RFP response are either available at no additional charge or would require additional
information in order to put together a pricing plan.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH Communications LLC

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

Date: 1-9-2008

Attachment VI - Call Cost and Commission Calculation

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =,--_...;.$_72_6-,-,9_8_3._42-1

local
Intra-lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336

***

32,317
34,232
21
7,154

22.35
20.84
18.88
18.22

55

22.07

***

***
1,214

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

$0,10
$0.10
$0.35
$0.75
$1.00

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

Inmate Debit or Pre-Paid Card Total

$40,396.50
$74,187.30
$43.03
$31,930.70

***
$704.63

=

$147,262.15

L...-_"';"';'';'';''':;;=~

Inmate Collect or Advance Pay Total =
$726,983.42
Inmate Debit or Pre-Paid Card Total =1'---:$-:-14":':7::"":,2=-=6"="2.""":"15='
12-Month Grand Total =

RFP DG8013

2

a======~

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facirities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 local calls flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 38%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI - Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities ,(~~~O.o: inm~tes) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~ 500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

FSH=

communicatIons
Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah

April 11, 2008

Dear Ms. Gundersen,
In response to your request for a 4th Best and Final Offer (BAFO) - Solicitation DG8013,
FSH Communications is re-submittingour 1st & 2nd BAFO Attachment VI without changes.
Our ftrst BAFP included Voice Print Technology so no changes were,required. The optional features we"
offered in our RFP response are either available at no additional charge or would require additional
information in order to put together a pricing plan.

Please let me know if you require any additional information

Dale Cherrington
Account Executive
FSH Communications LLC

Attachment VI - Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (0/0)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A
$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

Date: 1-9-2008

Attachment VI - Call Cost and Commission Calculation>

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =L..-_...:.$_72_6..:..,9;..;,8_3._4-t2

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336
***
1,214

32,317
34,232
21
7,154
***

55

22.35
20.84
18.88
18.22
***
22.07

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

$0.10
$0.10
$0.35
$0.75
$1.00

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

$40,396.50
$74,187.30
$43.03
$31,930.70
***
$704.63

Inmate Debit or Pre-Paid Card Total =1...-_...;:;$..;.14...;.;7;..:;,2::.;6;.;;2;;.;.1~5

Inmate Collect or Advance Pay Total
Inmate Debit or Pre-Paid Card Total

=

$726,983.42

...--~~~~

=L . . . .$147,262.15
-------t
12-Month Grand Total =
I!:::::======

RFP DG8013

2

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
$.50 Local flat rate long distance 4 minutes for $1.00 (delineate/explain as nece~
2) Offerors must state their proposed payphone commission rate.~%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI - Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~ 500 inmatt:s) servedby premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately'4,OOO inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerorswill be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments' and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do not/cannot include mileage and/or time-of-day variations.

RFP DG8013

3

communu::atn:>ns
April 11, 2008

Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah
Dear Ms. Gundersen,

In response to your request for.a 4th Hestand.Final Offer (BAFO) - Solicitation. DGSp13, .
FSH Communications .is submitting our response to BAFO #4 Attachment VI.
Our first BAFP included Voice Print Technology so no changes were required. The optional
features we offered in our RFP response are either available at no additional charge or would
require additional information in order to put together a pricing plan.
As requested, we are submitting our response and agreement to the specific requirements
required in the State's BAFO # 4 As follows.

Item #1:
In part, the purpose of this BAFO #4 is to clarify any misinformation, false assumptions and/or
confusion between the State and offerors, regarding the inmate communication systems/service
that must be implemented by the successful contractor to serve the needs of UDC inmates located
at the Draper Prison and at the Central Utah Correctional Facility (CUCF) - Gunnison; more
specifically, the communication systems/service installed by the successful contractor must include
voice print technology, or an alternative, UDC approved, bio-based verification system.
Mandatory: Acknowledge your understanding of and confirm your agreement with this Item #1
requirement (you cannot take exception to this requirement).
With regard to "Attachment VI - Call Cost and Commission Calculation" (attached), the State will
base commission/cost scoring (250 of the 300 possible "Commission Rate(s)" evaluation points)
exclusively on your completion of Attachment VI that reflects your commission/cost information that
has only to do with the implementation of inmate communication systems/service that include voice
print technology, or an alternative, UDC approved, bio-based verification system, at the Draper
Prison and at the Central Utah Correctional Facility (CUCF) - Gunnison. Commission/cost scoring
will not take into account value-added enhancements and/or "new" technologies.
FSH Communications Understands and complies with the statements in Item #1 without
exception

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
1

Item #2:
As stated in paragraph 4.6.1, "The State of Utah is interested in reducing inmate call costs. To that
end, the State has defined call rates. The rates cannot be increased at any point during the sixyear term of the contract unless the State (UDC) chooses to do so."
SAFO #3 was cancelled because of the need to better communicate the State's position regarding
the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephone
Surcharge". SAFO #3 erroneously stated, "Point of Clarification: Commission need not be paid on
the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephone
Surcharge". Whether or not you consider the "Payphone Usage Charge" to be a federally
mandated fee and/or surcharge, in faGt, commission must be paid on the "Payphone Usage
Charge" because the charge (curri:)ntIY·$.. 55 per call) is included in the State's RFP specified
inmate calling rates; refer to the below"rnodified" rate table.. FSH Communications, the State's
incumbent inmate communication systems/service provider, has adhered to this requirement
throughout the term of their statewide contract. It is imperative that you understand that the
"Payphone Usage Charge" (abbreviated PUC for purposes of thrs SAFO) is included in the State's
defined "Connect Rates" and therefore commissiOn must be paid on the "Payphone Usage
Charge". So that there is no confusion now or in the future, the below "modified" (mandatory) rate
table
is provided:

Inmate Collect or
Advance Pay Connect Rate Per Minute Rate
Local $2.60 + $.55 (PUC) $3.15 No Local Message Charge
Intra-Lata $2.25 + $.55 (PUC) = $2.80 $0.12
Intra-State $2.25 + $.55 (PUC) = $2.80 $0.12
Inter-State $2.45 + $.55 (PUC) $3.00 $0.45

=

=

Inmate Debit or
Pre-Paid Card Connect Rate Per Minute Rate
Local $1.95 + $.55 (PUC) = $2.50 No Local Message Charge
Intra-Lata $1.70 + $.55 (PUC) = $2.25 $0.10
Intra-State $1.70 + $.55 (PUC) = $2.25 $0.10
Inter-State $2.00 + $.55 (PUC) $2.55 $0.35
Mexico $2.00 + $.55 (PUC) = $2.55 $0.75
All Other Countries $3.00 + $.55 (PUC) $3.55 $1.00

=

=

To emphasize the State's interest in reducing inmate call costs, various RFP excerpts follow:
1.5 Contract Period: "Renewal terms will be subject to mutual agreement with specific exceptions,
e.g., not to exceed call rates (costs) cannot be increased throughout the (potential) six-year
contract term unless the State chooses to do so."
4.6.1 Item #2: "The State of Utah is specifying the exact call charges to be charged on both collect
and debit rates. There will be no exception(s) to these specified rates. Offerors will be disqualified if
they propose higher than stated (defined) call rates."
4.6.1 Item #2: "Any taxes, fees and/or surcharges charged to the end-user shall be rated as passthrough. This includes any local, state and/or federally mandated taxes, fees and/or surcharges."

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
2

4.6.1 Item #6: "The State of Utah is specifying inmate calling rates. At no time during the term of
the contract will the contractor vary from these rates without the explicit written authorization from
the State of Utah."
4.6.1 Item #13: "Any deviation from the rate and commission rules specified in this RFP shall be
cause for immediate contract default. Such a default may include one, or all, of the following
consequences:
a. Contract termination
b. Mandatory refunding of any/all overcharges to the billed party
c. Forfeiture of performance bond"
4.6;~4: "Withoutexclusion or exception, commission revenue. must be computed and paid on any
and allinrnate telephone call charge(s), rate(s) and/or costeiement(s)}',
Mandatory: Acknowledge your understanding of and confirm your agreement with this Hem #2
. requirement (you'cannot take exception to this requirement).

FSH Communications Understands and complies with the statements in Item #2 without
exception
Item #3:
As part of this SAFO, you must redo "Attachment VI - Call Cost and Commission Calculation"
(attached) in compliance with the clarification instructions (language) contained in this SAFO. Your
completion and submission of Attachment VI, as required by SAFO #4, will supersede the
Attachment VI that you submitted in response to the original RFP, SAFO #1 and/or SAFO #2
(SAFO #3 does not apply since it was cancelled).
!

Your SAFO #4 commission rate offer must take into consideration that the Draper Prison and the
Central Utah Correctional Facility (CUCF) - Gunnison inmate communication systems/service
includes voice print technology, or an alternative, UDC approved, bio-based verification system.
As part of this SAFO, you may adjust your commission rate offer.
Mandatory: Complete (fill in) Attachment VI (attached) in its entirety; the below information must be
provided (filled in); if any of these entries are left blank, then you will be disqualified:
o the spreadsheet (yellow cells)
o the $
entries
o the _ _% entries
Se aware, you will be disqualified if you:
o leave blank any: spreadsheet (yellow cells); $ _ _ entries; _ _0fc, entries
o qualify your response to, or take exception with, Attachment VI in any way (Note 1)
o fail to complete and return Attachment VI by noon on Tuesday, April 15, 2008
Note 1: The only permissible "qualification" (exception), more a "clarification", may be your need to
clarify your payphone-related cost information, e.g., any/all payphone local and long distance
cost(s). If evaluators require such information to clearly understand your payphone-related call
cost(s), then provide such information.
Provide your responses to the mandatory Item numbers 1 and 2 "Acknowledge your understanding
of and confirm your agreement" statements, and provide your redo of Attachment VI to Debbie
Gundersen by reply e-mail: DGUNDERSEN@utah.gov
Please let me know if you require any additional information

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
3

FSH Communications Understands and complies with the statements in Item #3 without
exception and has resubmitted Attachment VI Call Cost and Commission Calculation as
part of our response to BAFO#4

Dale Cherrington
Account Executive
FSH CommunicationsLLC

c

•

FSH Communications Response
BAFO #4 - Inmate Communication Systems/Service RFP DG8013
4

Attachment VI - Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (%)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (%)" column (yellow cells).
Inmate Collect or Advance Pay

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A

$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

1

Attachment VI - Call Cost and Commission Calculation"'·

Date: 1-9-2008

$203,598.36
$362,945.38
$210.70
$160,228.98
Inmate Collect or Advance Pay Total =L...-_..;:;$.;..;72;;;.;;6;.:.;,9;.;;;8.;;..3.;..;.42~

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

722,374
713,530
393
130,336
***
1,214

32,317
34,232
21
7,154

***
55

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

22.35
20.84
18.88
18.22
***
22.07

$0.10
$0.10

$0.35
$0.75
$1.00

50.00%
50.00%
50.00%
50.00%
50.00%
50.00%

$40,396.50
$74,187.30
$43.03
$31,930.70
***
$704.63
$147,262.15

$726,983.42
Inmate Collect or Advance Pay Total =
t---~-:-=-,:=-:-=I
$147,262.15
Inmate Debit or Pre-Paid Card Total = L...-_ _--.;._-/

12-Month Grand Total

RFP DG8013

2

=I!=:=====!J

Date: 1-9-2008

Attachment VI • Call Cost and Commission Calculation
Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems
1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 43%
.

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities~ e.g", Gorp"mUflity Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost.
2) Offerors must state their proposed payphone commission

$.50 Local flat rate long distance 4 minutes fOL~J .00 (delineate/explain as nece~
rate.~%

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI- Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~500 inmates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4:000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional faciliti:s) and payp~one c.ommission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors wilFbe' assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do noUcannot include mileage and/or time-of-day variations.

RFP DG8013

3

communIcations
April 24, 2008

Debbie Gundersen C.P.M.
Purchasing Agent
Division of Purchasing
State of Utah
Dear Ms. Gundersen,
•

t._

"

Attached herein is FSH Communications respol1se to the State of Utah's request for a 5th Best and Final ,
Offer (BAFO) - Solicitation DC~8013, to include Inmate Comm.. RFP DG8013 Attachment IV.
Our first BAFO included Vpice Print ~.fechnology and no changes were required at that time. The optional
features we offered in our RFP response are either available at no additional charge or would require
additional information in order to put together a pricing plan.
As requested, we are submitting our response and agreement to the specific requirements stated in the
State's BAFO # 5 as follows.
Item #1:
To clarify any misinformation, false assumptions and/or confusion between the State and offerors
regarding the inmate communication systems/service that must be implemented by the successful
contractor to serve the needs of UDC inmates located at the Draper Prison and at the Central Utah
Correctional Facility (CUCF) - Gunnison, be aware that the communication systems/service installed by
the successful contractor must include voice print technology, or an alternative, UDC approved, biobased verification system. Commission/cost scoring will not take into account value-added
enhancements and/or "new" technologies over and above voice print technology, or an alternative,
UDC approved, bio-based verification system.
Mandatory: Acknowledge your understanding of and confirm your agreement with the State's
requirement that the communication systems/service installed by the successful contractor at Draper
and at Gunnison must include voice print technology, or an alternative UDC approved bio-based
verification system. You cannot take exception to this requirement.

FSH Communications Response:
Understands and agrees with the requirements in Item #1 without exception.

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 1 of5

Item #2:
As stated in paragraph 4.6.1, "The State of Utah is interested in reducing inmate call costs. To that end,
the State has defined call rates. The rates cannot be increased at any point during the six-year term of
the contract unless the State (UDC) chooses to do so."
SAFOs #3 and #4 were cancelled because of the need to better communicate the State's position
regarding the "Payphone Usage Charge", also known as "Payphone Surcharge" and/or "Pay Telephone
Surcharge". Only "Payphone Usage Charge" will be used throughout the remainder of this SAFO. Se
aware that "Payphone Surcharge" and/or "Pay Telephone Surcharge" are synonymous with "Payphone
Usage Charge".
The "Maximum Call Charge (Excluding the Associated Per Minute '.Rate Charge)" and the "Maximum
Per.Minute Rate Charge" delineated in the below table cannot be increased atany point during the sixyear term of the contract unless the State (UDCYchbosesto do so:.
E~plail.ll ~escribe I

a.,Do

Answer the following:

you·charg~(assess) the

"Payphone Usage Charge"?

FSH Communications Response:
FSH contracts with Qwest Communications to carry all local and intraLata (in-state) call traffic.
Qwest incorporates the Payphone Usage Charge as part of the amount billed for calls placed
from the inmate phone system and not as a separate charge. FSH currently contracts with ILD
to carry all interLata (long distance) call traffic. FSH mayor may not continue with ILD as the
contracted carrier if FSH is the successful bidder. The payphone usage charge (if charged) will
be included as part of the billed charges as required by the State of Utah.
If there is any change to FSH's contracted call traffic providers we will 1) notify the State in
advance of any change to obtain their consent; and 2) any change in carrier will NOT change the
mandated call rates.
b. If so, do you include the "Payphone Usage Charge" as part of the "Maximum Call Charge (Excluding
the Associated Per Minute Rate Charge)"?

FSH Communications Response:
As described above the "Payphone Usage Charge" is included as part of the Maximum Call
Charge (Excluding the Associated Per Minute Rate Charge)".
c. If the answer to b. is "No", then do you charge (assess) the "Payphone Usage Charge" over and
above (in addition to) the "Maximum Call Charge (Excluding the Associated Per Minute Rate Charge)"?

FSH Communications Response:
Not applicable. Please refer to our answers to 'a.' and 'b.' above.
Be Aware: If you charge the "Payphone Usage Charge" over and above (in addition to) the "Maximum
Call Charge (Excluding the Associated Per Minute Rate Charge)", then the "Maximum Call Charge
(Excluding the Associated Per Minute Rate Charge)" must be reduced so that the "Maximum Call
Charge (Excluding the Associated Per Minute Rate Charge)" plus your "Payphone Usage Charge" does
not exceed the following:

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 2 of5

Inmate Collect or Advance Pay:
Local = $3.15; Intra-Lata

=$2.80; Intra-State =$2.80; Inter-State =$3.00

Inmate Debit or Pre-Paid Card:
Local = $2.50; Intra-Lata $2.25; Intra-State
Mexico $2.55; All Other Countries $3.55

=

=

=

=$2.25; Inter-State =$2.55;

For Example: If you charge the "Payphone Usage Charge" over and above (in addition to) the
"Maximum Call Charge (Excluding the Associated Per Minute Rate Charge)" and if (for example) your
"Payphone Usage Charge" equals $.57 per call, then the "Maximum Call Charge (Excluding the
Associated Per Minute Rate Charge)" for an "Inmate Collect or Advance Pay" local caH'would be $2.58

($3.15 ~ $.57:;::$2.58).'-';
Note: The colUmn h~ading in the belo\iv table that now reads "Maximum:CaIL'charge(Exciuding the
Associated Per Minute Rate Charger use to read "Connect Rate" in the original RFPand in· SAFOs #3
and #4.

Inmate' Collect or
Advance Pay
Local

Maxirnum
Call Charge
(Excluding the
A.ssociated
Per Minute Rate Charge}

Maximum
Per Minute Rate Cha.rge

Intra..Lata
Intra-State
Inter..State

$3.15
$2.80
$2.80
$3.00

$0.12
$0.12
$0.45

Inmate Debit or
Pre-Paid Card

Maximum
CaUCharge
(E.xcludingthe
Associated
Per Minute Rate Chargel

Maximum
Per M.inute Rate Charge

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

$2.. 50
$2.25
$2.25
$2.55
$2.55
$3.55

No Local Message Charge

No Local Message Charge

$0.10
$0.10
$0.35
$0.75
$1.00

To emphasize the importance of reducing inmate call costs (holding the line on inmate call costs),
paragraph 4.6.1 Item #13 states: "Any deviation from the rate and commission rules specified in this
RFP shall be cause for immediate contract default. Such a default may include one, or all, of the
following consequences:
a. Contract termination
b. Mandatory refunding of any/all overcharges to the billed party
c. Forfeiture of performance bond"

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 3 of5

Mandatory: Explain/describe/answer the above Item #2 questions/issues. Acknowledge your
understanding of and confirm your agreement with the statements and requirements contained in Item
#2. You cannot take exception to Item #2 statements, requirements and/or specifications.

FSH Communications Response:
FSH understands and agrees with the statements in Item #2 without exception. The rates
charged by FSH include the payphone usage charge and will not exceed the rates as specified
in Item #2.
Item #3:
SAFO #3 erroneously stated,"Point o(;Clarification: Commission need not be paid on the '~Payphone'
Usage Charge", also known as!'Paypht)oe Surcharge" and/or "Pay Telephone Surcharge~L.
In fact, commission mustbe paid on the "Payphdne.. Usage Charge".

Mandatory: Acknowledge your understanding of and confirm your agreement with the State's
requirement that commission must be paid on the "Payphone Usage Charge". You cannot take
exception to this requirement.

FSH Communications Response:
FSH understands and agrees with the statements in Item #3 without exception.
FSH has always paid commission on the Payphone Usage Charge revenue and will continue to
do so if FSH is the successful bidder.
Item #4:
As part of this SAFO, you must redo "Attachment VI - Call Cost and Commission Calculation"
(attached) in compliance with the clarification instructions (language) contained in this SAFO. Your
completion and submission of Attachment VI, as required by this SAFO, will supersede the various
Attachment VI that you submitted in response to the original RFP, SAFO #1 and/or SAFO #2 (SAFOs
#3 and #4 do not apply since they were cancelled).
Your SAFO #5 commission rate offer must take into consideration that the Draper Prison and the
Central Utah Correctional Facility (CUCF) - Gunnison inmate communication systems/service includes
voice print technology, or an alternative, UDC approved, bio-based verification system.
As part of this SAFO, you may adjust your commission rate offer.

Mandatory: Complete (fill in) Attachment VI (attached) in its entirety; the below information must be
provided (filled in). If any of these entries are left blank, then you will be disqualified:
o the spreadsheet (yellow cells)
o the $ _ _ entries
o the _ _Ofc) entries

Be aware, you will be disqualified if you:
o leave blank any spreadsheet (yellow cells), $ _ _ entries and/or _ _0/0 entries
o qualify your response to, or take exception with, Attachment VI in any way (Note 1)
o fail to complete and return Attachment VI by noon on Tuesday, April 29, 2008
Note 1: The only permissible "qualification" (exception), more a "clarification", may be your need
to clarify your payphone-related cost information, e.g., any/all payphone local and long distance
cost(s). If evaluators require such information to clearly understand your payphone-related call
cost(s), then provide such information.

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 4 of5

Provide your answers, responses, etc. to the above mandatory items and provide your redo of
Attachment VI to Debbie Gundersen by reply e-mail: DGUNDERSEN@utah.gov
FSH Communications Response:
FSH understands and agrees with the statements in Item #4 without exception. As part of our
response FSH is resubmitting the "Attachment VI - Call Cost and Commission Calculation".

BAFO #5 - Inmate Communication Systems/Service RFP DG8013

FSH Communications Response

April 24, 2008
Page 5 of5

Attachment VI • Call Cost and Commission Calculation

Date: 1-9-2008

Offerors must complete (fill-in) the "Proposed Commission Rate (0/0)" column (yellow cells). Offerors who fail to do so
will be removed from further evaluation/award consideration.
Do not, under any circumstance, alter the format, formulas, rates, minute/message quantities (or whatever) of this
spreadsheet. Again, you need only fill-in the "Proposed Commission Rate (0/0)" column (yellow cells).

Local
Intra-Lata
Intra-State
Inter-State

Local
Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

RFP DG8013

N/A
$0.10
$0.10
$0.35
$0.75
$1.00

The "Connect Rates"
include the Payphone
Usage Charge.

Date: 1-9-2008

Attachment VI - Call Cost and Commission Calculation

$223,958.20
$399,239.91
$231.77
$176,251.88
Inmate Collect or Advance Pay Total

Intra-Lata
Intra-State
Inter-State
Mexico
All Other Countries

$2.50
$2.25
$2.25
$2.55
$2.55
$3.55

20.84
18.88
18.22
***

***

***

1,214

55

22.07

$0.10
$0.10
$0.35
$0.75
$1.00

$799,681.76
=......_...;...--:.._--f

$44,436.15
$81,606.02
$47.33
$35,123.76

55.00%
55.00%
55.00%
55.00%
55.00%
55.00%

Inmate Debit or Pre-Paid Card Total

***

$775.09
$161,988.36
=L..-_";:;";'';;'';':'=,;,,:;,,;:.j

=

Inmate Collect or Advance Pay Total
$799,681.76
Inmate Debit or Pre-Paid Card Total =t----:::$~16'="'1~,9~8~8-:.3~6

I

$961,670.1~
12-Month Grand Total =
I!::======J

RFP DG8013

2

Attachment VI - Call Cost and Commission Calculation
Small Correctional Facilities

Date: 1-9-2008

« 500 Inmates) Served by Premise-Based Communication Systems

1) Offerors must state their proposed "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems"
commission rate. 45 %

Payphone (Electronic Payphone)
Payphones (electronic payphones) can only be used at State of Utah, Department of Corrections facilities, e.g., Community Correctional
Centers, Adult Probation & Parole locations, the Salt Lake Transition Facility, the Fred House Training Academy and in public-access
(administrative) areas at any UDC site.
1) Offerors must state their proposed payphone call cost. $.50 Local flat rate long distance 4 minutes for $1.00
2) Offerors must state their proposed payphone commission rate. 45 0/0

Remarks:
1) The successful contractor cannot decrease their proposed commission rates (large correctional facilities, small correctional facilities
and/or payphone) at any time throughout the term of the contract without the State's approval.
2) The successful contractor cannot increase their proposed payphone call cost at any time throughout the term of the contract without the
State's approval.
3) "Attachment VI - Call Cost and Commission Calculation" will yield 250 of the 300 possible "Commission Rate(s)" evaluation points.
Attachment VI evaluation points (250 possible) will be awarded as follows:
• "Inmate Collect or Advance Pay" and "Inmate Debit or Pre-Paid Card"; large correctional facilities (~ S.oOinrnates) served by
premise-based communication systems - 200 points
• "Small Correctional Facilities « 500 Inmates) Served by Premise-Based Communication Systems - 40 points
• "Payphone (Electronic Payphone)" - 10 points
Two hundred (200) evaluation points have been assigned to "large correctional facilities (~500 inmates) served by premise-based
communication systems" because that reflects the State's (UDC') reality with the Draper Prison housing approximately 4,000 inmates
and the Central Utah Correctional Facility (Gunnison) housing approximately 1,500 inmates. Maximum Attachment VI evaluation points
(250 possible) will be assigned to the offeror whose proposed inmate (large and small correctional facilities) and payphone commission
rates yield the highest inmate/payphone commission payments and the lowest payphone call cost. All other offerors will be assigned
Attachment VI evaluation points in proportion to the offeror with the highest inmate/payphone commission payments and the lowest
payphone call cost. The balance of "Commission Rate(s)" evaluation points (50 possible) are assigned to paragraphs 4.6.2,4.6.3 and 4.6.5.
4) Total call cost is before federal, state and local taxes.
5) Per minute rates do not/cannot include mileage and/or time-of-day variations.
'----------------------------------------,.;,.~,
...,..,..,..,...,~.....-=------------I

RFP DG8013

3