PITNEY BOWES PRESORT SERVICES, INC. -2015

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STATEMENT OF WORI< NO. 1 FIRST CLASS MAIL This Statement of Work ( "SOW ") is entered into as of November 3,200, ( "Bffeotive Data") pursuant to the Master Services Agreement (the "Agreement ") dated November 3, 2015, between City of Santa Ana ( "Client") and Pitney Bowes Presort Services, Inc, ('TBPS "), the terms of such Agreement being incorporated herein by this reference, and governing this SOW for First Class Mail services. 1. Services Provided By PBPS, PBPS will pick up the Client's pro - motered, permit imprint or pro-canceled stamp mail, whichever applies, at Client's designated addross(cs) as specified on Schedule 1,0, baroode (if not pre- barcided by Client), sort said mail at PBPS's business location and submit said mail to the United States Postal Service ( "USPS "). Provided that Ore mail Is prepared by Client according to the Mail Specifications and is made available for pick up by PBPS on or before the daily pick up times specified on, or mutually agreed as permitted by, Schedule 1.0, the mail shall be submitted to the USPS on the swine USPS business day ( "Same Day ") or the following USPS business day ( "Next Day ") as specified on Schedule 1.0. Client agrees that, in performing its services pursuant to this Agreement, PBPS may move Client's mail from one PBPS operating center to another PBPS operating center as permitted by the USPS. Additional locations or distinct mailstreams may be assigned their own Schedule I.x, e.g., 1, 1, 1.2, etc. Any reference to Schedule 1.0 also applies to any Schedule I.x. 2. Ouantity of Mall, Client will provide the approximate number of pieces of mail per day and per month for pick up and processing as specified on Schedule 1.0, but not less than all of the presort compatible mail produced at the facility. 3. Fees For Automated Presort Services. For First - Class® automated presort services provided by PBPS, Client shall pay the fees specified on Schedule 10, Additional locations or distinct mailstreams may be assigned their own Schedule 2,x, e.g., 2.1, 2.2, etc. Any reference to Schedule 2.0 also applies to any Schedule 2,x, 4. Fees For Other Services. For other services provided by PBPS, Client shall pay the fees specified on Schedule 10. Additional locations or distinct niailslreams may be assigned their own Schedule 3.x, e.g„ 3,1, 3.2, etc. Any reference to Schedule 3,0 also applies to any Schedule 3,x, 5. Postage Payment, If Client uses permit mail, pre - meters mail at the 5 digit automation rate or regularly requires PBPS to meter mail on Client's behalf, Client will maintain a postage deposit or otherwise pay for such postage irk advance of processing. The method and amount of such deposit or advance payment is set forth on Schedule 4.0, Additional locations or distinct mailstreams may be assigned their own Schedule 4.x, e.g., 4.1, 4.2, etc, Any reference to Schedule 4.0 also applies to any Schedule 4,x. 6. Mail Specifications, Client's mail shall meet all USPS requirements for automation compatible mail as set forth in the Domestic Mail Manual (` DMM") and its attendant documentation applicable to each type of mail submitted and the requirements set forth in this paragraph 6 ( "Mail Specifications "). 6.1. Presentation; Client's mail shall be submitted to PBPS upright in trays with all envelopes facing in the same direction, properly addressed and sealed. If Client's snail is (i) pre - motored, it shall be affixed with the correct postage rate, the correct date and appropriate "pre- sorted" notations; (ii) permit imprinted, it shall be separated and presented by the correct weight and affixed with the appropriate "pre- sorted" and indh is Imprint and a return address; (iii) pre-canceled stamp, it shall be affixed with a pre-canceled stamp and shall contain a return address. Client shall complete and sign pick up slips at each location Indicating the number of trays and /or pieces of mail to be processed by PBPS. If Client pre- metcrs its mail, Client shall provide PBPS with its current license numbers, and notify PBPS within five (5) business days of any changes. Client agrees to promptly execute or produce all PBPS or USPS documents to meet requirements of the USPS. Client tbrther agrees to muke appropriate changes in the way Client addresses and handles its mail as reasonably requested by PBPS and as required by the USPS• 6,2, Barcode Requirements: 6.2.1, If Client pre- ba•codes its mail, Client must: (1) utilize the USPS Coding Accuracy Support System (CASS) to satisfy the USPS zip code accuracy requirements in Delivery Point Validation; and (2) apply only ba•codes 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 barcodo 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 First Class 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. I£ Client utilizes the PBPS Move Update Solution, additional terms and conditions applicable to such services are set forth on'Schedule 5.0, Additional locations or distinct mailstreams may be assigned their own Schedule 5.x, e.g., 5,1, 52, etc. Any reference to Schedule 5,0 also applies to any Schedule 5.x. 6.4. Readability: PBPS expects that mail meeting the Mail Specifications will process on its equipment at a 97% readability rate or better, meaning that PBPS can read the address and obtain a valid delivery point on the first pass. If PBPS observes that Client's mail readability rate has degenerated, PBPS will provide Client with samples of the rejected mail and recommendations to resolve the readability and/or address accuracy problems. Client will cooperate with efforts to promptly restore the readability rate to reasonable levels. Page 6 of 14 Proprietary and Confidential Information PBPS Contract Manage nont —Rev April 2014