PITNEY BOWES PRESORT SERVICES, LLC (2)

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6.2.1. If Client pre-barcodes its mail, Client must: (1) utilize the USPS Coding Accuracy Support System ("CASS") to satisfy the USPS zip code accuracy requirements in Delivery Point ValidationTM ("DPV") and provide a current certificate upon request; and (2) apply only barcodes compliant with the then current Full Service Intelligent Mail® Barcode ("IMb") requirements of the USPS. 6.2.2. If Client is not pre-printing a barcode on its mail, Client must leave a clear zone as specified in the DMM and the paper must be non -glossy. 6.3 Move Update Requirements: USPS regulations require that mailers utilizing discounted postage rates select one or more authorized move update options. Client will utilize the authorized move update option(s) indicated on Schedule 5.0. If Client utilizes the move update solution offered by PBPS ("PBPS Move Update Solution"), additional terms and conditions applicable to such services are set forth on Schedule 5.0. 6.4 Readability: Mail meeting the Mail Specifications is expected to process well on the PBPS equipment, meaning that PBPS can read the address and obtain a valid delivery point on the first pass. Specific expectations for the readability of Client's mail may be set forth in the Exception Handling paragraph on Schedule 2.0. If PBPS observes that Client's mail readability has degenerated, PBPS will provide Client with samples of the rejected mail and recormnendations to resolve the readability and/or address accuracy problems. Client will take appropriate action to promptly restore the readability to reasonable levels. 6.5 Client's mail failing to meet the Mail Specification requirements of this paragraph 6 may be subject to return of the mail, exception handling, postage reimbursement and/or ancillary fees set forth on Schedules 2.0 and 3.0, and/or USPS penalties. Any additional handling required to correct Client's mail may result in the mail being delayed, re -dated and submitted to the USPS on the following business day. Repeated failures to meet the Mail Specification requirements of this paragraph 6 may be considered a material breach under the Agreement. Client shall promptly, upon receipt of appropriate documentation, reimburse PBPS for all penalties, assessments, or loss of discounts levied against PBPS by the USPS as a result of Client's (or its customer or print provider) improper preparation and finishing of its mail. 7. USPS Changes. Notwithstanding any other language in the Agreement or this SOW regarding pricing or changes, in the event the USPS adopts any new/revised postal regulations, procedures, rates, discounts, or incentives that directly affect the cost or provision of the services ("USPS Changes"), PBPS may modify or terminate this SOW on fifteen (15) days prior written notice to Client. 8. CPI Adiustment. Not more than once each calendar year and upon fifteen (15) days prior written notice to Client, PBPS may adjust the fees set forth in this SOW based upon increases in the most current published Consumer Price Index ("CPI") for the previous twelve-month period (each, a "CPI Adjustment"). The CPI will be measured as indicated in the colnnn for Urban Wage Earners and Clerical Workers, U.S. City average (base index year 1982-1984=100) as published by the Bureau of Labor Statistics. The base rate to which the CPI will be applied for calculating the presort fee in connection with a CPI Adjustment is the total cost per piece (postage and related fees combined) at die time of calculation less the then -current USPS 5 digit discount rate. 9. Fixed Rate Pricing. 9.1 Except for the amoral CPI Adjustment and any PBPS modifications due to USPS Changes as described above, the fees set forth in tliis SOW are fixed for the Initial Term set forth below. 9.2 Client will be charged the amounts set forth herein regardless of whether the actual postage qualification rates for Client's mail are higher or lower than fire postage discount rate set forth on Schedule 2.0 and 3.0. Client hereby authorizes PBPS to receive and retain any USPS postage refinnds, incentives, discounts or rebates based on the amount of Client's mail that qualifies for any lower presort trailing rates to PBPS, and all such refunds, incentives, discounts and rebates will become the property of PBPS as part of its compensation for performance of the services. (ref for metered mail: USPS form 8096). 10. Term. The Initial Term and Renewal Terms (as defined in the Agreement) of this SOW will coincide with those of the Agreement. Other than a notice provided relative to the tern or termination of this SOW, which shall be governed by the Notice provision of the Agreement, all other written notices permitted or required under this SOW or the Schedules attached hereto, may be accomplished by e-mail with system confirmation. Page 7 of 15 Proprietary and Confidential Information PBPS Contract Management — Oct 2023