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CORRESPONDENCE - RFP - 7381 ADVANCED TRAVELLER INFORMATION SYSTEM
I CHANGE ORDER NO.03 PROJECT TITLE: Mason Corridor • Advanced Traveler Information System CONTRACTOR: Clever Devices Ltd. PROJECT NUMBER: 7381 PURCHASE ORDER NO.: 9125809 DESCRIPTION: Install ATIS Bus Kits, VMS Signs and Purchase Spare parts 1. Reason for change: See attached ExhibitA to this change order. 2. Description of Change: Add 4 Bus Kits "IVN4 Systems' (This is a concurrent non -grant activity) Add 4 Software Licenses for non BRT buses (This is a concurrent non -grant activity) Procure Spare Parts for BRT ATIS Systems. Procure Six Variable Message Signs for BRT buses Include Labor for the above items and Project Management 3. Change in Contract Cost: $94,501.50 4. Change in Contract Time: D calendar days for System Acceptance D calendar days for final completion TOTAL APPROVED CHANGE ORDERS $ 41,908.02 TOTAL PENDING CHANGE ORDERS TOTAL THIS CHANGE ORDER $ 94,501.50 TOTAL % OF ORIGINAL CONTRACT, THIS C.O. 8.62% TOTAL % OF ORIGINAL CONTRACT, ALL C.O.'S 12.45% ADJUSTED CONTRACT COST $1,232.3 77.17 (Assuming all chance orders aooroved) ACCEPTED BY: / DATE:---C7L� Contractor's Represents � q REVIEW ED BY: DATE: S '��' I¢ Construction Manager APPROVED BY: �.. DATE:5 p'br • f'-h City Project Manag —�T- APPROVED BY: DATE: S Zz - /G Director of Infrastructure Services APPROVED BY: ((y` DATE: Purchasing Agent over $60,000 cc: CityClerk Architect Contractor Engineer Project File Purchasing a) The original purchaser is responsible for returning any defective products to Clever Devices after obtaining a Returned Merchandise Authorization (RMA) number from Clever Devices' Customer Service Department at 888-478-3359. No. products will be accepted without an RMA number. When requesting an RMA number, be sure to have the serial number of the equipment available. b) The original purchaser must package the product properly for return shipment. Clever Devices is not responsible for any damage to the product caused during transit or for any package lost by the shipping company. c) The original purchaser assumes all cost in shipping the defective product to Clever Devices and Clever Devices will assume the cost in shipping back to the customer. All replacement/repaired products are shipped UPS Ground unless a rush is requested. The cost of shipping using any mode other than UPS Ground is to be paid by the original purchaser. Sian To: Clever Devices Ltd. ATTN: Service Department RMA # 300 Crossways Park Drive Woodbury, NY 11797 1.4 Clever Devices' Return and Exchange Policy Clever Devices does not accept returns without a Returned Material Authorization. Custom-built equipment or merchandise specifically ordered for you is not returnable. Where return of unused merchandise is at the request or convenience of the customer, a 25% restocking fee will be charged. No unused merchandise will be accepted for return later than thirty (30) days after shipment. All returned merchandise shall be sent freight prepaid and properly insured by the customer. Clever Devices reserves the right to select the method of shipment. Should you receive merchandise damaged in shipment, it is your responsibility to file a damage claim immediately with the delivery carrier. 1.5 Clever Devices' Non -Warranty Service Policy 1) NON -WARRANTY REPAIR POLICY a) Non -warranty repairs made by Clever Devices carry a limited repair warranty of 90 days on services and replacement parts only. Defects in our repair work or any parts replaced will be corrected at no charge if the defect occurs within 90 days from shipment from our facility. 2) EIELD SERVICE a) Field service calls will be made to customer's facility upon request. Time, expenses, and materials will be charged, as outlined below, unless other arrangements are made in advance. Field Service is treated as any repair. All travel must be pre -approved and is based upon actual prevailing airfare, hotel/motel rooms and Per Diem rates. Contact Clever Devices for current Per Diem rates. GENERAL FIELD SERVICE RATES: Transportation Actual cost* using commercial coach or business class air, first class rail, bus, rental car, and cab facilities as applicable, including transportation to and from the airport. Mileage Allowance IRS allowable rates + Clever Devices' allowable burdens. Personal Expenses Per Diem rates. Basic Rates 150.00** per hour for actual time in customer's plant, plus a flat rate for round-trip travel time. PROPRIETARY: This document contains information which is proprietary to Clever Devices Ltd. Use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited Page 5 of 6 www.cIeverdevices.com Miscellaneous Actual charges for other necessary items such as tolls, parking and freight charges*. * Charges may be subject to a 12% administrative fee. ** Rates may vary because of weekend/holiday rates, the type of service required, a previously negotiated rate and/or personnel involved. 3) NON -CLEVER DEVICE-$—PRQIa[LQT RECEIVED FOR REPAIR a). Product received for repair that were not manufactured or supplied by Clever Devices will be logged in and Clever Devices will require that the customer supply us with their shipper number in order to return the product. Such product will be held for a period of up to 90 days and will then be subject to discard, unless alternative arrangements have been agreed to in advance. Prepared By: Michael Bevans Pricing Analyst Date: 4-24-14 PROPRIETARY: This document contains Information which is proprietary to Clever Devices Ltd. Use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited Page 6 of 6 www.cIeverdevices.com `o_r �.,of F�t` Collins Independent Cost Estimate - 4 Bus Kits Date of Estimate: 7-May-14 Contract Type: Existing Contract or PO (Y/N): Y Description of Goods (A) or Services (B): ATIS - 4 Bus Kits 1 have obtained the following estimate from; Existing Contract Pricing Published Price List / Past Pricing (date) Engineering or Technical Estimate (performed by) Independent Third Parry Estimate (performed by) Jonathan Spencer Other (specify) Cost Estimate Details: (Estimate calculated in US Dollars) Contract/Pricing Source CoFC Jransfartt?ATIS�In, Vehide, systems Contract Amount (From Table IS) $33o;666S72 Number Vehicles �4 ?;r�41 } F�+� Cost Per Unit Fields with$0 indicate included in another category $7;¢77,"24 Adj Cost Per Unit w/cPl $7;7,-18=61 Automatic Announcements $33,697.35 41 $821.89 $837.22 Automatic Passenger Counter (APC) $68,626.60 41 $1,673.82 $1,705.04 Vehicle Computer System $107,646.70 41 $2,625.53 $2,674.51 Mobile Data Terminal $23,243.15 41 $566.91 $577.49 APC Gateway $0.00 41 $0.00 $0.00 Farebox Integration $17,775.00 41 $433.54 $441.63 Hardware Support $8,674.17 41 $211.57 $215.52 Vehicle License $7,953.75 41 $193.99 $197.61 Installation Cost $43,050.00 41 $1,050.00 $1,069.59 Cost for 4 Bus Licenses $30,874.44 Completed by: City of Fort Cothris Independent Cost Estimate - 4 Bus Software Licenses Date of Estimate: 7-May-14 Contract Type: Existing Contract or PO (Y/N): Y Description of Goods (A) or Services (B): ATIS - Bus Software Licenses I have obtained the following estimate from; Existing Contract Pricing Published Price List / Past Pricing (date) Engineering or Technical Estimate (performed by) Independent Third Party Estimate (performed by) Jonathan Spencer Other (specify) Cost Estimate Details: (Estimate calculated in US Dollars) Contract/Pricing Source Contract Amount Number Vehicles Cost Per License (From Table 8) Vehicle License 1 $ 53,025.001 41 is 1.293.29 for 4 Bus Licenses Completed by: Independent Cost Estimate Date of Estimate: B-May-14 Contract Type: Clever Devices ATIS Existing Conlacl or PO (YIN); Y Description of Goods (A) or Services (B): B Scope is to install the Bus Kits in 4 non -MAX buses and install VMS signs in the MAX BRT buses, with associated software development and configuration. Assumed mandays are -4-days of Applications development by An Applications Engineer -5-days of onsile installation by a Systems Engineer and supervisor (plus Tavel time) In Fort Collins -1-day of remote Data Systems support - 5 days of remote pmjmt management support I have obtained the following estimate from; Published once List / Past Pricing (dale) Existing Contract Pricing and GSA Per Diem Rates Engineering or Technical Estimate (performed by) Independent Third Party Estimate (performed by) Jonathan Spencer Other (specily) Cost Estimate Details: (Esfimefe calculated in US Dollars) Cost for Site Visit Item Unit Cost Quantity Notes/Data Source TOTAL Application Engineering Anniications Enaineer $ 88.80 32 $ 2,841.60 Systems EngIneemijAnstallation Systems Englneer $ 120.00 150 $ 18,000.00 Data Systems Support Mobile APP Developer $159.77 8 $ 1,278. 66 Project Management PM $ 98.40 40 $ 3,936.00 Subtotal Labor $ 26,055.76 GSA Lodging in FC $ 91.00 5 Per night $ 455.00 GSA MWE in FC $ 56.00 6.5 5 full days plus 2 travel days at 75 IS 364.00 Airtime $ 500.00 1 Round trip JFK to DEN $ 600.00 Rental Car $ 600.00 1 Weekly Rate +Extra day $ 600.00 Mist Expenses $ 1,000.00 1 Mileage to/fmm JFK, Airport parking, taxes, fees. etc. $ 1,000.00 Subtotal Tavel $ 3,019.00 it Total I 1 $ 29,074.76 Signature of Paparec 4 4cc aIndependent P 9 Fortrt Collins pendent Cost Estimate - Spare Parts &VMS Sign Date of Estimate: 12-Ott-13 Contract Type: Existing Contract or PO (Y/N): Y Description of Goods (A) or Services (e); ATIS -Spare Parts & VMS Sign 1 have obtained the following estimate from; Existing Contract Pricing Published Price List / Past Pricing (date) Engineering or Technical Estimate (performed by) Independent Third Party Estimate (performed by) Jonathan Spencer Other (specify) Cost Estimate Details: (Estimate calculated in US Dollars) Contract Amount Cost Per Unit Contract/Pricing Source Table 21-In-Vehide Number Units Fields with$0 indicate Adi Cost Systems includedin another Per Unit w/CPI categ,wv COFC,�ransfort ATIS:InyVehide)Systems= ^�.:✓.:, , � i�'+,*'fv„� �� � ,:,. _. �c - APC Devices (18) [3 per bus) $ 14,746.58 18 $ 819.25 $ 934.54 VMS LED Signs (12) (2 per bus) $ 8,152.99 12 $ 679.42 $ 692.09 Onboard Computer Unit (6) $ 14,608.32 6 $ 2,434.72 $ 2,480.14 Mobile Data Terminal (6) $ 3,984.54 6 $ 664.09 $ 676.48 Cost for: Three Sets of APC Devices $ 2,503.62 Siz VMS LED Signs $ 2,076.27 Three Onboard Computer Units $ 7,440.43 Three Mobile Data Terminals $ 2,029.44 Completed by: G s, IW) -- 610117 Cizvv-- jcv� as y� o SAM Search Results List of records matching your search for Search Term : Clever* Devices* Ltd* June 02, 2014 2:12 PM Page 1 of 1 MAX Field Construction Office 3000 South College Ave., Suite 201 Fort Collins, CO 80526 fcgov.com/maxconstruction Delivery by hand May 14, 2014 Ms. Erika Keeton, PE MAX Project Manager City of Fort Collins — Engineering Dept. 281 N. College Ave. Fort Collins, CO 80524 RE: Services Agreement 7381 Advanced Traveler Information System Independent Cost Analysis: • Add 4 Bus Kits "IVN4 Systems" (This is a concurrent non -grant activity) • Add 4 Software Licenses for non BRT buses (This is a concurrent non -grant activity) • Procure Spare Parts for BRT ATIS Systems. • Procure Six Variable Message Signs for BRT buses • Include Labor for the above items and Project Management Four Bus Kits for non BRT buses (This is a concurrent non -grant activity) Transfort was originally planning on retiring four older buses. Due to City Council approving additional routes, these four buses are being refurbished and equipped with ATIS equipment for use by Transfort. A Bus Kit includes the equipment that Clever Devices is installing on Transfort Buses (In -Vehicle Systems) to allow the implementation of the ATIS. The equipment includes: Automatic Announcements, Automatic Passenger Counter (APC), Vehicle Computer System, Mobile Data Terminal, APC Gateway, and Farebox Integration. Other costs included with the Bus Kit include: Hardware Support, Vehicle License, and Installation Cost. Based on the per -bus kit cost developed in the ICE for Change Order 1 to Clever Devices four bus kits (including installation) costs $30,874. Clever Devtces'pricing for equipment only is $24,279. Clever Devices has proposed $8,628.40 in installation costs for both the bus kits and the VMS signs (without differentiating the relative costs). Assuming that approximately'/ of the installation costs is associated with the bus kits, Clever Devices' costs are reasonable. Four Software Licenses for non BRT buses (This is a concurrent non -grant activity) These licenses are for the four older buses being refurbished and outfitted with ATIS equipment. The Clever Devices product licensing is priced on a per -bus basis. Table 8 in Clever Devices' contract provides the licensing costs for the ATIS software. It provides the cost of the "Site License" needed for Transfort's back office, the license costs for the software installed in each bus. And the license cost for the interactive voice response (IVR) software. When the per -bus software cost is back -calculated for non-BRT buses it works out to $1,293.29 per -bus. In Change Order 3 Clever Devices has priced that same software at $4,174.75 per -bus, which is 323% of the contract cost. There is no rational explanation for the price increase. Transfort is locked into a proprietary ATIS and has no other choice than to pay the licensing price charged by Clever Devices. Transfort questioned Clever Devices on this pricing and has not received a response. Spare Parts for BRT buses The City received approval from the FTA.to procure additional spare parts for the buses as a grant eligible expense. A portion of those spare parts are associated with the ATIS equipment being installed on the BRT buses. This change order includes three sets of spare parts for the on -board computers (IVN Controllers and the Driver interface terminals) and three sets of spare parts for the Automatic Passenger Counting (APC) sensors and controllers needed for the MAX buses. Table 11 in Clever Devices' contract provides costs for the equipment installed in the MAX buses. Based on that information the following unit prices were calculated: Table 11- In -Vehicle Total Cost Cost per Adjusted Notes Each Cost w/ CPI This equates to the APC cost per APC Devices (18) [3 per bus] $ 14,746.58 $ 819.25 $ 834.54 door of the controller, transmitter, receiver, and Wring harness Onboard Computer Unit (6) $ 14,608.32 $ 2,434.72 $ 2,480.14 This is the IVN Controller. Mobile Data Terminal (6) $ 3,984.54 $ 664.09 $ 676.48 This is the IVN Transit Control Head In its Change Order 3 proposal Clever Devices priced spare parts as follows: • The APC components at $781.00 per door excluding the wiring harness. • The IVN Controller at $4,198.00 each which is 169% of the escalated contract price. • The IVN Transit Control Head at $1,804.00 each which is 267% of the escalated contract price. The pricing for the APC units is reasonable. However there is no rational explanation for the price increase for either the IVN Controller or the IVN Transit Control Head. Transfort is locked into a proprietary ATIS and has no other choice than to pay the price charged by Clever Devices for these components. Transfort questioned Clever Devices on this pricing and has not received a response. Six Variable Message Signs for BRT buses During testing of the system it was determined that no ADA compliant message signage was included in the BRT buses for the rear -facing wheelchair seating positions in the buses. The FTA approved adding the signage as a grant eligible expense. Included in this item is the equipment for the six signs and associated wiring harnesses. Table 11 in Clever Devices' contract provides costs for the equipment installed in the MAX buses. Based on that information the following unit prices were calculated: Table 11- In -Vehicle Total Cost Cost per Adjusted Notes Systems Each Cost w/ CPI Clever Devices indicated that this VMS LED Signs (12) [2 per $ 8,162.99 $ 679.42 $ 692.09 was a cost from a supplier. It is bus] assumed that the cost of the wiring harness was excluded. In its Change Order 3 proposal Clever Devices priced Interior Signs and Harnessing at $843.83 each, which is reasonable. Labor for installing the Bus Kits, VMS Signs Software Configuration and Project Management The labor included is for the installation, testing and configuration of the hardware described above plus associated project management time. The per -hour labor costs cited in the change order proposal are in line with the Professional Services hourly rates included in Table 3 of the Clever Devices' contract and the estimated hours are reasonable. I r '1 cceptance of this overall change to the Clever Devices Contract as summarized above Keith Me r, PE Construct n Project Manager CH2M HILL Team 970-988-8605 ke ith. mever(a) d itescoseryices.com Cc: job file Change Management Checklist Note: This checklist was prepared for the ATIS spare parts and VMS signs only. The costs for the Bus Kit and the associated software licenses are concurrent non -grant activities; since it they not associated with the MAX project verification of compliance with the MAX EA and PCGA is not required. An independent cost estimate (ICE) for the bus kit was prepared as part of Change Order 1 to Clever Devices' contract. Compliance Category '' te Reference Initials Reviewed for compliance with Work is included in the build Environmental Assessment 517/14 alternative JS SCC 50.05 Equipment to be installed in the Reviewed for construction/safety impacts 5/7/14 buses or is spare parts. No safely JS impact. Independent cost estimate prepared 5/7/14 Discussed in this memo JS Scope is included in SCC 50.05 Reviewed for PCGA grant compliance 5/7/14 Work added to support passenger JS information systems Reviewed for real estate impacts/needs 5/7/14 Equipment installation inside is buses, no real estate impact VMS signage in buses is to Reviewed for compliance with design address an omitted criteria/ADA communication component http'//w access-board.gov/ada-aba/-a-da- 5/7/14 needed for ADA compliance. JS standards-dot.cfm ADA compliance is not applicable fors are parts. aO' Clever Devices 300 Crossways Park Drive Woodbury, NY 11797 Phone: (516) 433-6100 Fax: (516)433-5088 Attn: Company Address: Phone: Craig Dubin Fort Collins 250 N. Mason St. Fort Collins, CO 80524 970-224-6196 Date: CD Quote #: E-Mail: Re: April 24, 2014 045ZZ002 RevA cdubin@fcgov.com 4 Bus Retrofit Clever Devices is pleased to submit the following quotation, subject to the terms and conditions listed below. Unit I Extended Item Qty I Part Number Description Price Price 4 IVN4Tm System includes 1 4 401-246-0001 IVN4rm Controller 2 4 101-120-0130 IVN4TM Mounting Bracket 3 4 101-300-0002 Kit, IVN Bracket Ground Hardware 4 4 103-300-0004 IVNTM Transit Control Head, DVI 9"Color 5 4 2791 Cable, DVI-I Dual Link M/M, 25' 6 4 1730 Swivel Mount, Pedestal TCH, 10.24" 7 4 103-120-0023 Plate, Pedestal Mount 8 4 115-300-0009 PA Plate 9 4 101-120-0028 Bracket, Circuit Breakers 10 4 108-155-0002 STD EA Switch 11 4 104-020- 0102C IVNTM LED Sign, 20 Character RED 12 4 2467 Antenna, Multi -Band 4 Element 13 4 107-140-0002 Gasket, Antenna Self -Adhesive, 4.25" Round 14 4 107-003-0003 IVNTm GPS Antenna Cable 23' 15 4 112-200-0002 IVNTm AVC Microphone 16 4 1606 Speaker, Outside with Plate 17 4 2084 Ethernet cable 6' 18 4 100-946-0001 Kit, Installation Hardware 19 4 118-300-0224 APC Harness 20 4 118-300- 1 APC Controller $6,069.75 1 $24,279.00 PROPRIFTARV: This document contains information which is proprietary to Clever Devices Ltd. The use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited, Page 1 of 6 www.cleverdevices.com 11ME 0101PL � Y.y. ""fs+�'w ma's•:., APC ear Rx Bracket ®® 1 11 • -� .CoverL,° ..M"s11y,Td2v".0ii .4^':i.'^'s.4t'�;`fsaY.?uiW.rY•r, 1 ' 11- 011 OPL A7 C Controller Assembly (w/•.. .. Inputs) 118-300- 1 ! APC Receiver Assembly ©© 1 1 • 1 4 Software Licenses for AVA, BusTime, CAD/AVL, APC, Clever Reports, and APC Reporting. $4,174.75 $16,699.00 Interior._$ignsj(tiOft�V.ebicles) - - Interior Signs and Harnessing $843.83 $5,063.00 1 6 Labor 1 1 Apps Engineering $2,841.60 # of Hours 32 Hourly Rate $88.80 2 1 Project Management $3,542.40 # of Hours 36 Hourly Rate $98.40 3 1 Systems Engineering $4,800.00 # of Hours 40 Hourly Rate $120.00 4 1 Data Systems $1,049.01 # of Hours 8 Hourly Rate $131.13 5 1 Installation Supervision $4,806.34 # of Hours 40 Hourly Rate $120.16 6 1 Travel Costs $2,443.75 7 1 Installation Costs $8,628.40 Total 1 $94,501.50 r �Ophon,Items��. P 1 4 Harness, Adapter, Engine/Trans Data $77.00 $308.00 PROPRIETARY: This document contains information which Is proprietary to Clever Devices Ltd. Use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited Page 2 of 6 w w w. c l e v e r d e v i c e s. c om U I 14 rr 5 69 N*� rr "%,117, A-r/U° osr , Appendix B Milestone and Payment Table 1 Contract Deliverables Requirements List Description Percent of Amount CDRL Payment Completion of Requirements 15 % $164,392.15 Review 104 Preliminary Design Review Package 5 %, $54,797.38 105 Final Design Review Package 20 % $219,189.53 107 Mini Fleet Deployment 20 % $219,189.53 110 Fleet Deployment Complete 20 % $219,189.53 111 Systems Acceptance 10 % $109.594.77 112 Project Closeout Package. 10 % $109,594.77 Total 100% $1,095,947.65 Cost Summary Table 2(Cost detailed tables below) Description Table Number Costs Project Management Costs 7 $423,727.07 Site License (SW and Vehicle) 8 $324,016.22 Base items Escrow -Spare parts 9 $38,000.00 Text Messaging 10 $ 7,185.60 Vehicle Hardware Table 11 $247,336.80 BRT Platforms Table 12 $ 0 Transit Centers Table 13 $31,376.65 Training and Implementation Table 14 $24,305.31 Clever Devices Total Costs $1,095,947.65 Support Costs Year 2' Product Support 7 $33,140.00 In Vehicle Software Support 7 $12,177.00 In Vehicle Systems Support 11 $8,674.17 Transit Center Support 13 $3,581.25 Total $57,572.42 ' Annual support costs of Clever Devices systems for each year after 1 year warranty. 3% annual escalation based on 2nd year of warranty cost. Services Agreement 7381 Advanced Traveler Information System Note: • The above hourly labor rates reflect the currently contracted rates under the existing contract. • The hourly rates quoted above will be modified when the new 2014 rates take effect. 1.1 Software License 13,E_QUIREMENT FOUR ND -USER LICENSE..AGBEEMENT • Any entity procuring Clever Devices Ltd ("Clever Devices") licensed products which is not the end -user of the licensed product ("Non End -User"), such as but not limited to an Original Equipment Manufacturer to which Clever Devices is a supplier, is obligated to provide Clever Devices with the End -User License Agreement (covering the software licenses associated with the contents of this quotation/proposal) signed by an authorized official of the End -User. Failure by a Non End -User to provide such a properly executed Clever Devices End -User License Agreement to Clever Devices shall make the Non End -User liable for any misappropriation or misuse of Clever Devices' products. OBLIGATIONS OF NON END -USER PROCURING ENTITIES • Non End -Users are granted the right to install the licensed products and to test their functionality in the End -User designated space or equipment. Non End -Users do not have licenses to otherwise use or operate Clever Devices' products and no other licenses or rights to use are provided or implied by this Agreement. 1.2 General • Prices are quoted in US Dollars unless otherwise specified. • Unit Prices are good only for the number of units quoted. Lesser quantities may command a higher per unit cost and larger quantities may command a lower per unit cost depending on the need to include associated labor charges. • Prices quoted herein are valid for ninety (90) days from the date of quotation or proposal, and are applicable to the quantities covered by this quotation; any change in quantity, delivery or elimination of one or more items may require a revision to the prices quoted. • Orders for one bus set (i.e. pilot bus) must be part of a complete quantity order or must be accompanied by a Letter of Intent to order the entire quoted quantity. • Three percent (3%) Annual Escalation will apply for shipments beyond 2014. • Hardware delivery lead time will be as specified by Clever Devices upon receipt of order; estimated lead time is sixteen (16) weeks from receipt of order, but if units are in stock, we will ship them sooner. • Delivery is F.O.B. Clever Devices Ltd., 300 Crossways Park Drive, Woodbury, NY 11797. • Prices do not include shipping, sales tax or duties, which will be added if applicable. • Clever Devices shall be paid for the items quoted above as follows: o Payment terms for this scope of work: • 25% upon receipt of PO • 50% upon shipment of hardware • 25% upon completion of installation o No customer account shall be credited for parts returned without prior written authorization from Clever Devices and receipt of such goods. o Clever Devices' General Terms and Limits of Liability apply. PROPRIETARY: This document contains information which is proprietary to Clever Devices Ltd. Use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited Page 3 of 6 www.cIeverdev1ces.com Clever Devices reserves the right, without advance notice, to make engineering or production changes, to include substitution of part numbers and/or vendor sources for components that may affect the design or specifications of its products, provided said modifications will not materially affect the performance of the product. Unless negotiated and agreed to otherwise in writing, in no event is Clever Devices liable for consequential damage from late or non -delivery, malfunction or failure of its products, nor is Clever Devices liable for damage resulting from faulty installation. If Clever Devices performs repairs resulting from damage caused by installation, it will invoice the original installer for the cost of such repair. 1.3 Clever Devices' Warranty Policy Clever Devices' warranty obligations are limited to the terms set forth below 1) NEW MANUFACTURED PRODUCTS LIMITED WARRANTY a) Clever Devices guarantees for a period of one (1) year from original factory shipment that each product is free from defects in material and workmanship. b) If the product fails to operate as specified and has not been tampered with or abused during this warranty period, Clever Devices or its authorized service agents shall either repair or replace any defective part or the product free of charge. Clever Devices will supply new replacement products for items found to be defective during the original warranty period. c) Bench fees will apply to any product received by Clever Devices with no -trouble -found. Products returned with failures caused by improper use or installation will be repaired and the appropriate charges will apply. Such services by Clever Devices shall be the original purchaser's sole and exclusive remedy. Clever Devices shall not be responsible for the cost of removal or installation of warranted products unless a prior written agreement has been reached at the time of the original purchase contract. Clever Devices' labor rate table will apply for all product replacement time. d) Clever Devices will repair or replace, at Clever Devices' option, any defective product under warranty. Clever Devices will not honor credit requests on any defective used product. Product repair or replacement will be the only option available to the original Purchaser. At the discretion of Clever Devices, limited quantities of re-stockable, unused product may be returned for credit. The product must be unused and in the original unopened containers. A 30% restocking fee will be charged and a credit will be issued only after the product has been received and inspected. e) This warranty does not apply: (a) to damage caused by accident, abuse, misuse, misapplication or improper installation (b) to damage caused by conditions outside Clever Devices specifications including but not limited to vandalism, fire, water, temperature, humidity, dust or other perils (c) to damage caused by service (including upgrades) performed by anyone who is not a Clever Devices Authorized Technician (d) to a product or a part that has been modified without the written permission of Clever Devices or (e) if any of Clever Devices' serial number has been removed or defaced. f) Clever Devices shall not be liable for any special, incidental or consequential damages for loss, damage directly or indirectly arising from customer's use or inability to use the equipment either separately or in combination with other equipment, or for personal injury or loss or destruction of other property, or from any other cause. 2) WARRANTY REPAIR POLICY a) A replacement or repaired product assumes the remaining warranty of the original product or 90 days, whichever provides longer coverage for the original purchaser. When a product is exchanged, any replacement product becomes the original purchaser's property and the replaced product becomes Clever Devices' property. 3) OBTAINING WARRANTY SERVICE PROPRIETARY: This document contains information which is proprietary to Clever Devices Ltd. Use or disclosure of any material contained herein without the written consent of Clever Devices Ltd. is strictly prohibited Page 4 of 6 www.c l eve rd evil ces.com