1997 S DSS - Cost Containment Inc for Direct Mailing of Food Stamps

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NC SERVICE AGREEMENT G. Contractor agrees to comply with all bid specifications regardless of whether or not individual items are specifically addressed in contract format. H. Contractor shall comply with mandatory standards and policies relating to energy efficiency which are contained in the State Energy Conservation plan issued in compliance with the Energy Policy and Conservation Act(P.L. 94-165). I. The term of the contract shall be for one year with options for the County to continue for _2_ consecutive one year periods,each with all the terms of the contract including quality of service,to remain constant for the duration of the contract. I In preparation for mail issuance,it is important to screen the food stamp caseload for"problem"households which should receive allotments by certified mail or by pickup at the DSS. These households are usually known by Eligibility staff. These households should be coded as outlined in Section VI,K.3 below. K.The Contractor will be responsible for all County losses under the U.S.D.A. regulations for replacements for any quarter as long as the County abides by the following conditions: 1. All allotments of$300.00 and over and known problem cases will be sent to the DSS for pickup or by certified mail. 2. The County agency will assign participating households for either pickup at the DSS(or issuance office)or certified mail issuance upon the event of one replacement loss. The County may elect to use pickup or certified issuance for reasons other than replacement losses. 3. The County agency agrees to log such households at risk with a"3"or a"7"respectively, on the State Computer (FSIS). 4. County agrees to adjust methods of issuances by planning with the Contractor in the event of indications of significant postal theft or client fraud 5. When losses exceed the USDA tolerance level(now.5%of total quarterly issuance),effective immediately,all issuances of$200.00 and over will be sent either certified mail or to the County for recipient pickup. 6. The County agency agrees that the contractor will not be obligated to insure or share in the replacement losses of those households at risk when conditions 1,2,3,4&5 listed above have not been met by the County agency. 7. The County shall provide to the Contractor,as proof of loss,a photocopy of all signed replacement affidavits which are to be applied to the Federal tolerance level,on or about the fifteenth(15th)of the following month. 8. Claims will be accepted by the Contractor at the time the loss is established by the State based on written notice to the County agency. To file a claim,the County agency will forward to the Contractor copies of the letter of notice from the State and form FNS-259 for the appropriate period. Contractor shall obtain and pay for outside insurance covering mail losses over the Federal tolerance level. Losses are not to be deducted from the service invoice. Losses will be filed with the insurance carrier and reimbursement will be sent to the County agency when received by Cost Containment,Inc.,usually within 90 days. L. Contractor agrees to establish the County Department of Social Services as a"branch"of the Contractor's issuance operation,in order to meet the requirements for expedited services,in accordance with State and Federal regulations. M. In the event that site issuance is substituted for direct mail issuance,the food stamps are escorted from the Cost Containment,Inc. vault location to the County issuance center(s)by an independent courser service or sent registered mail. According to County needs authorized by the Agency Director,Cost Containment,Inc. will establish the location(s),hire and train issuance personnel,and direct a delivery system according to the following guide lines.