Deputy Building Inspector

1STATE OF TENNESSEE
DEPARTMENT OF COMMERCE AND INSURANCE
SOLICITATION # 33501-262513
FOR DEPUTY BUILDING INSPECTOR
1. INTRODUCTION
The State of Tennessee, Department of Commerce and Insurance, hereinafter referred to as "the State,"
has issued this Solicitation with the intent of awarding contracts to perform building inspections of
construction of one- and two-family homes. In state residential building program jurisdictions and local
jurisdictions that adopt and enforce their own building codes, homeowners and contractors are required to
obtain a building permit. The construction will be required to meet the minimum construction and safety
standards adopted by the State Fire Marshal and pass inspections at certain points during construction.
The State Fire Marshal is required by Tenn. Code Ann.§ 68-120-101 to perform these inspections within
three (3) working days of a request for inspection, except that footer inspections are to be made within
one (1) working day of a request for inspection. The Potential Contractor is ("Potential Contractor'') a
business entity that the State has deemed eligible to become a Deputy Building Inspector ("DBI") pending
completion of the required documentation, Contract, and State approval processes.
2. SCOPE OF SERVICE, CONTRACT PERIOD, TERMS AND CONDITIONS
The Pro Forma Contract attached to this Solicitation (Attachment C) represents the contract document
that the contractor selected by the State must sign. It specifically details the State's required:
• Scope of Services and Deliverables (Section A);
• Contract Period (Section B);
• Payment Terms (Sections C);
• Standard Terms and Conditions (Section D); and
• Special Terms and Conditions (Section E).
3. PROCUREMENT SCHEDULE
The following schedule represents the State's best estimates for this procurement, however, the State
reserves the right, at its sole discretion, to adjust the schedule at any time, or to cancel or reissue a
similar solicitation.
EVENT DATE
1. Solicitation Issued August 5, 2025
2. Response Deadline June 30, 2026
3. State Completion of Application EvaluationWithin 30 days receipt of the required
documentation

24. State sends contract to Contractor for
signature Once evaluated, approved and
awarded
5. Contractor Signature Deadline Within 7 days receipt of the contract
6. Contract Start Date Once approved by the Commissioner
and the Office of the Comptroller
4. RESPONSE REQUIREMENTS
4.1. An offer in response to this Solicitation must respond only as required by this solicitation
document.
The State may determine a response to be non-responsive and ineligible for contract award if it
fails to address all items, in sequence, and properly reference the Qualifications Evidence Guide.
4.2. Qualifications Evidence Guide - The Qualifications Evidence Guide (Attachment A) details
specific mandatory requirements for a response to this solicitation. The Potential Contractor must
use Attachment A, completed with relevant proposal page numbers, to cover (as a table of
contents), organize, reference, and complete the Qualifications Evidence Guide portion of the
solicitation response.
4.3. Response Prohibitions. An offer in response to this solicitation MUST NOT:
include the Potential Contractor's own contract terms and conditions;
restrict the rights of the State; or
include, for consideration in this procurement process or subsequent contract
negotiations, incorrect information that the Potential Contractor knew or should have
known was materially incorrect.
4.4 Response Delivery . No later than the Response Deadline (refer to section 3, above), a Potential
Contractor must deliver to the State ALL documentation required in the Qualifications Evidence
Guide in response to this Solicitation. It must be delivered to:
Chad Butler, Assistant General Counsel
Department of Commerce and Insurance
Davy Crockett Tower, 12th Floor, Legal Division
500 James Robertson Parkway
Nashville, Tennessee 37243
Email: ci.procurement@tn.gov

5. EVALUATION & CONTRACT AWARD

An evaluation team of at least three (3) state employees will review the Qualifications Evidence
Guide and any supporting documentation timely submitted. For a response to be acceptable and
eligible for contract award, all evaluators must determine that the Qualifications Evidence Guide
documents that the Potential Contractor submits meet the minimum requirements specified by
this Solicitation and the Potential Contractor is, at least, minimally acceptable as a contractor for
the subject services.

6. GENERAL INFORMATION & REQUIREMENTS

6.1. Nondiscrimination . No person shall be excluded from participation in, be denied benefits of, or
be otherwise subjected to discrimination in the performance of a Contract pursuant to this
Solicitation or in the employment practices of the Contractor on the grounds of handicap or

3disability, age, race, color, religion (subject to Tenn. Code Ann. §§ 4-21-401 and 405), sex,
national origin, or any other classification protected by federal, Tennessee state constitutional, or
statutory law. The Contractor pursuant to this solicitation shall post in conspicuous places,
available to all employees and applicants, notices of nondiscrimination.

6.2. Communications. Reference Solicitation # 33501-262513, in all communications relating to this
solicitation, and direct any such communications to the following person designated as the
Solicitation Coordinator.

Chad Butler, Assistant General Counsel
Department of Commerce and Insurance
Davy Crockett Tower, 12th Floor, Legal Division
500 James Robertson Parkway
Nashville, Tennessee 37243
Email: ci.procurement@tn.gov

Unauthorized contact about this solicitation with other employees or officials of the State
of Tennessee may result in disqualification from consideration as a contractor.

Notwithstanding the foregoing, potential responders may also contact the following as
appropriate:

staff of the Governor's Office of Diversity Business Enterprise for assistance available to
minority owned, women-owned, and small businesses as well as general, public
information relating to this solicitation; and
the following individual designated by the State to coordinate compliance with the
nondiscrimination requirements of the State of Tennessee, Title VI of the Civil Rights Act
of 1964, the Americans with Disabilities Act of 1990, and associated federal regulations:

Maliaka Bass, Deputy General Counsel, General Civil Division
Department of Commerce and Insurance
500 James Robertson Parkway
Nashville, Tennessee 37243
Email: maliaka.bass@tn.gov
Telephone: (615) 741-9594

6.3. Conflict of Interest. The State shall not consider an offer from, and this solicitation shall not
result in a contract with:

an individual who is, or within the past six (6) months has been, an employee of the State
of Tennessee or who is a volunteer member of a State board or commission that votes
for, lets out, overlooks, or in any manner superintends the services being procured in this
Solicitation;
a company, corporation, or any other contracting entity in which an ownership of two
percent (2%) or more is held by an individual who is, or within the past six (6) months has
been, an employee of the State of Tennessee (this will not apply either to financial
interests that have been placed into a "blind trust" arrangement pursuant to which the
employee does not have knowledge of the retention or disposition of such interests or to
the ownership of publicly traded stocks or bonds where such ownership constitutes less
than two percent (2%) of the total outstanding amount of the stocks or bonds of the
issuing entity);
a company, corporation, or any other contracting entity which employs an individual who
is, or within the past six (6) months has been, an employee of the State of Tennessee in
a position that would allow the direct or indirect use or disclosure of information, which
was obtained through or in connection with his or her employment and not made

4available to the general public, for the purpose of furthering the private interest or
personal profit of any person; or,
any individual, company, or other entity involved in assisting the State in the
development, formulation, or drafting of this solicitation or its scope of services (such
person or entity being deemed by the State as having information that would afford an
unfair advantage).

For these purposes, the state will deem an individual to be an employee of the State of
Tennessee until such time as all compensation for salary, termination pay, and annual leave has
been paid.

6.4. Disclosure of Response Contents. All materials submitted to the State in response to this
Solicitation become the property of the State of Tennessee. Selection for award does not affect
this right. Upon completion of evaluations, indicated by the award notification (refer to section 3,
above), the full contents and associated documents submitted in response to this Solicitation will
be open for review by the public. By submitting an offer, a Potential Contractor acknowledges and
accepts that the full contents and associated documents submitted in response to this Solicitation
will become open to public inspection.

6.5. Before the Contract resulting from this Solicitation is signed, the apparent successful Potential
Contractor must be registered with the Department of Revenue for the collection of Tennessee
sales and use tax or exempt from such registration. The State shall not approve a contract
unless the Potential Contractor provides proof of such registration or proof of exemption.
The foregoing is a mandatory requirement of an award of a contract pursuant to this Solicitation.

5Deputy Building Inspector
Solicitation 33501-262513 Solicitation Attachment A
QUALIFICATIONS EVIDENCE GUIDE
The response to this Solicitation must address all items detailed below and provide, in sequence, the
information and documentation as required (referenced with the associated item references).
In addition to the items below, the State will review each response for compliance with all solicitation
requirements, including but not limited to:
The response must be delivered to the State no later than the Response Deadline.
The Qualifications Evidence must be submitted as required.
The response must NOT contain any qualification, limitation, or other restrictions.

POTENTIAL CONTRACTOR
LEGAL ENTITY NAME
Reference ItemSignature – By signing in this column, the
Potential Contractor is indicating affirmatively to the
respective Item or acknowledging that required
information has been attached
A.1. Name: _______________________

Company Name: _______________________

E-mail Address: _______________________

Mailing Address: _______________________
_______________________
_______________________
Telephone Number: _______________________ Signature: ___________________________
A.2.The Potential Contractor has included
Solicitation Attachment B, Statement of
Certifications and Assurances completed and
signed by an individual empowered to bind the
Potential Contractor to the provisions of this
Solicitation and any resulting contract. The
document must be signed without exception or
qualification. Signature: ___________________________
A.3. Neither the Potential Contractor nor any
individual who shall perform work under the
contract has a possible conflict of interest
(e.g., employment by the State of Tennessee).
If there is a possible conflict of interest, an
explanation has been included below.
Any questions of conflict of interest shall be
solely within the discretion of the State, and
the State reserves the right to reject any offer
or cancel any award. Signature: ___________________________

6Explanation:
A.4. Neither the Potential Contractor nor, to the
Potential Contractor’s knowledge, any of the
Potential Contractor’s employees, agents,
independent contractors, or subcontractors,
proposed to provide work on a contract
pursuant to this Solicitation, have been
convicted of, pled guilty to, or pled nolo
contendere to any felony. If there has been
any such conviction or plea, an explanation
has been included below.
Any issues relating to such a matter shall be
solely within the discretion of the State, and
the State reserves the right to reject any offer
or cancel any award. Signature: ___________________________
Explanation:
A.5. There is not any material, pending litigation
that the Potential Contractor should
reasonably believe could adversely affect its
ability to meet contract requirements pursuant
to this solicitation or is likely to have a material
adverse effect on the Potential Contractor’s
financial condition.
If such exists, list each separately below,
explain the relevant details, and attach the
opinion of counsel addressing whether and to
what extent it would impair the Potential
Contractor’s performance in a contract
pursuant to this Solicitation.
Any issues relating to such a matter shall be
solely within the discretion of the State, and
the State reserves the right to reject any offer
or cancel any award. Signature: ___________________________
Explanation:

7A.6. The Potential Contractor or any individual who
shall perform work under a contract resulting
from this Solicitation has a high school
diploma or GED certificate.Signature: ___________________________
A.7. The Potential Contractor or any individual who
shall perform work under a contract resulting
from this Solicitation has proof of a
professional incorporation (business must be
a Tennessee Professional Corporation (i.e.,
“P.C.”)) in accordance with Tenn. Code. Ann.
§ 48-101-601 et seq.
Copies of this documentation are attached. Signature: ___________________________
A.8. The Potential Contractor or any individual who
shall perform work under a contract resulting
from this Solicitation has practical experience
consisting of at least four (4) years full time
building construction experience or building
codes inspection experience in the field of
residential or commercial construction. Signature: ___________________________
A.9. The Potential Contractor or any individual who
shall perform work under a contract resulting
from this Solicitation has obtained and will
maintain valid residential building, residential
mechanical, and residential plumbing
inspector certifications from the State Fire
Marshal AND has at least two (2) years of full-
time building construction experience or
building codes inspection experience in the
field of residential or commercial construction.
Copies of state certification documents are
attached.

Signature: ___________________________

A.10. Neither the Potential Contractor nor any
individual who shall perform work under a
contract resulting from this Solicitation has
been a party to a previous contract with the
State of Tennessee for building inspection
services which was terminated for any reason.
Any disqualification due to a prior termination
for convenience may, within the sole discretion
of the State, be waivable; however, the State
reserves the right to reject any response or
cancel any award. Signature: ___________________________

8Explanation:
A.11. The Potential Contractor has and will maintain
a cellular phone with a minimum of wireless 4g
mobile capability for voicemail, texting,
emailing, or other similar technology approved
by the Department, which allows for the
receiving of calls, texts, and emails. Signature: ___________________________
A.12.The Potential Contractor has and will maintain
a computer or tablet with Wi-Fi capabilities, or
other similar technology approved by the
Department, which allows for accessing the
State’s online portal. Signature: ___________________________
A.13. The Potential Contractor does not have any
open complaints with the Tennessee
Department of Commerce and Insurance and
must not have been disciplined by the
Department within the last two (2) years prior
to submitting this application. Signature: ___________________________
A.14. The Potential Contractor will be available to
perform inspections in at least three (3)
counties within the State of Tennessee
within:
(1) three (3) business days of a request for
a building inspection; and
(2) one (1) business day of a request for
inspection of a footer. Signature: ___________________________
A.15. The Potential Contractor agrees to refrain
from performing inspections for an Immediate
Family Member (spouse, grandparent,
grandchild, parent, sibling, or child by blood,
adoption, or marriage) regardless of whether
the Immediate Family Member owns the
property to be inspected or performed the
installations on the property to be inspected. Signature: ___________________________

9Deputy Building Inspector
Solicitation 33501-262513 Solicitation Attachment B

STATEMENT OF CERTIFICATIONS AND ASSURANCES
An individual legally empowered to contractually bind the Potential Contractor must complete and sign the Statement
of Certifications and Assurances below as required, and this signed statement must be included with the response as
required by the Solicitation Attachment A.
The Potential Contractor does, hereby, expressly affirm, declare, confirm, certify, and assure ALL of the
following:
1. The Potential Contractor will comply with all the provisions and requirements of the Solicitation.
2. The Potential Contractor will provide, for the total contract period, all services defined in the Scope of Services
specified by the Pro Forma Contract attached to the Solicitation.
3. The Potential Contractor accepts and agrees, without qualification, to all terms and conditions set out by the Pro
Forma Contract attached to the Solicitation.
4. The Potential Contractor acknowledges and agrees that a contract resulting from the Solicitation shall incorporate,
by reference, the response to the Solicitation as a part of the contract.
5. The Potential Contractor will comply, as applicable, with:
(a) the laws of the State of Tennessee;
(b) Title VI of the federal Civil Rights Act of 1964;
(c) Title IX of the federal Education Amendments Act of 1972;
(d) the Equal Employment Opportunity Act and the regulations issued there under by the federal government;
and
(e) the Americans with Disabilities Act of 1990 and the regulations issued there under by the federal government.
6. To the knowledge of the undersigned, the information detailed within the response to the Solicitation is accurate.
7. The response submitted to the Solicitation was independently prepared, without collusion, under penalty of
perjury.
8. No amount shall be paid directly or indirectly to an employee or official of the State of Tennessee as wages,
compensation, or gifts in exchange for acting as an officer, agent, employee, subcontractor, or consultant to the
Potential Contractor in connection with the Solicitation or any resulting contract.

By signature below, the signatory certifies legal authority to bind the proposing entity to the provisions of this solicitation
and any contract awarded pursuant to it. The State may, at its sole discretion and at any time, require evidence
documenting the signatory’s authority to legally bind the proposing entity.
DO NOT SIGN THIS DOCUMENT IF YOU ARE NOT LEGALLY AUTHORIZED TO BIND THE
INDIVIDUAL OR ENTITY MAKING A RESPONSE TO THE SUBJECT SOLICITATION.
SIGNATURE & DATE:
PRINTED NAME & TITLE:
LEGAL ENTITY NAME:
FEIN or SSN:

10 Deputy Building Inspector
Solicitation 33501-262513 Solicitation Attachment C
PRO FORMA CONTRACT
The Pro Forma contract detailed in the following pages of this attachment contains some “blanks,”
signified by red text, that will be filled in after the solicitation has been evaluated and a contract
awarded.

10.31.24 FA
CONTRACT
(fee-for-goods or service s contract with an individual, business, non -profit, or governmental entity of
another state)
Begin Date End Date Agency Tracking # Edison Record ID
June 30, 2030
Contractor Legal Entity Name Edison Vendor ID

Goods or Service s Caption (one line only)
Deputy Building Inspector (DBI) Services
Contractor Assistance Listing Number #
Contractor
Funding —
FY State Federal Interdepartmental Other TOTAL Contract Amount
2026
2027
2028
2029
2030
TOTAL:

Contractor Ownership Characteristics:
Minority Business Enterprise (MBE ):
African American Asian American Hispanic American Native American
Woman Business Enterprise (WBE)
Tennessee Service Disabled Veteran Enterprise (SDVBE)
Disabled Owned Business (DSBE)
Tennessee Small Business Enterprise (SBE) : $10,000,000.00 averaged over a three (3) year period or
employs no more than ninety -nine (99) employees.
Government Non- Minority/Disadvantaged Other:
Selection Method & Process Summary (mark the correct response to confirm the associated summary)
Competitive Selection This contract resulted from a competitive procurement pursuant to authority
delegated by the Central Procurement Office in accordance with Tenn. Comp. R. & Regs. 0690- 03-01-.04.
Other
Budget Officer Confirmation: There is a balance in the
appropriation from which obligations hereunder are required to be paid that is not already encumbered to pay other obligations.
Speed Chart (optional) Account Code (optional)

10.31.24 FA
1 CONTRACT
BETWEEN THE STATE OF TENNESSEE,
DEPARTMENT OF COMMERCE AND INSURANCE
AND
CONTRACTOR NAME

This Contract, by and between the State of Tennessee, Department of Commerce and Insurance
(“State” ) and Contractor Legal Entity Name (“Contractor” ), is for the provision of one- and two- family
building inspection services as Deputy Building Inspector , as further defined in the " SCOPE ." State and
Contractor may be referred to individually as a “Party” or collectively as the “Parties” to this Contract.

The Contractor is a Professional Corporation.
Contractor Place of Incorporation or Organization: Location
Contractor Edison Registration ID # Number
A. SCOPE:
A.1. The Contractor shall provide all goods or service s and deliverables as required, described, and
detailed below and shall meet all service and delivery timelines as specified by this Contract.

A.2. Definitions. For purposes of this Contract, definitions shall be as follows and as set forth in the
Contract:
a. Immediate Family . Immediate Family is defined as a spouse, grandparent, grandchild,
parent, sibling, or child by blood, adoption, or marriage.
b. Director . Director is defined as the Director of Electrical, Residential, and Marina Section
under the State Fire Marshal’s Office.
A.3. Upon appointment by the Commissioner of Commerce and Insurance (“Commissioner”), the
Contractor shall serve as a Deputy Building Inspector and perform all services specified in this
Contract through his or her professional corporation pursuant to Tenn. Co de Ann. § 48- 101-601
et seq. , and Tenn. Comp. R. & Regs. 0780- 02-23.
A.4. The Contractor shall:
a. Conduct inspections of one - and two- family dwellings in accordance with all applicable
statutes and rules of the State of Tennessee, and instructions of the Commissioner or
delegated agents;
b. Conduct inspections within three (3) working days of when the request is made to the
inspector, except that an inspection of a footer shall be conducted within one (1) working day of when the request is made to the inspector;
c. Possess and maintain service for a properly functioning computer or tablet with Wi -Fi
capabilities, or other similarities technology approved by the State, which allows for
accessing the State’s online portal;
d. Possess and maintain service for a properly functioning cellular phone with a minimum of
wireless 4g mobile capability for voicemail, texting, emailing, or other similar technology
approved by the State, which allows for the receiving of calls , texts, and emails ;
e. Possess and maintain a properly functioning printer, which allows for the printing of building inspection reports ;
f. Maintain minimum State certification(s);
g. Submit reports of inspections performed and/or documentation directly related to such
inspections as required by the Commissioner or delegated agents;
h. Respond to relevant communications from the State and general public within a reasonable time not to exceed twenty -four (24) hours unless expressly excused by the
Director;

10.31.24 FA
2 i. Meet with representatives of the State, as requested, to prepare for formal disciplinary
hearings, court actions, and depositions pursuant to the Uniform Administrative Procedures Act;
j. Execute a “Disclosure of Interests” Agreement with the State, which can be found in Attachment B of this Contract;
k. Immediately notify their designated Supervisor if assigned to perform an inspection for any family member or relationship that could create the appearance of impropriety ; and
l. Comply with and follow any applicable standard operating procedure(s) issued by the
State.
A.5. Contractor acknowledges and understands he or she is responsible for providing his or her own legal representation in all legal matters. The State does not represent the Contractor. If the
Contractor becomes party to a suit related to the services provided in this Contract, he or she
shall notify the State within fourteen (14) calendar days of notification of the suit.
A.6. Contractor understands that he or she shall not:
a. Collect monies for building permits, such amounts to be collected by independent issuing agents under separate agreements with the State;
b. Conduct building, plumbing, or mechanical inspections of or on any building, plumbing, or mechanical installations made by the Contractor or any of his or her Immediate Family. In
addition, Contractor shall avoid conducting building, plumbing, or mechanical inspections, whether prohibited or not, for a family member or relationship that could create an
appearance of impropriety. Contractor agrees and understands that conducting
inspections of any installations made by the Contractor or member of his or her
Immediate Family shall constitute grounds for immediate termination of this Contract; or
c. Perform an inspection for any family member or relationship that could create the appearance of impropriety.
A.7. Warranty.
Contractor represents and warrants that the term of the warranty (“Warranty Period”)
shall be the greater of the Term of this Contract or any other warranty generally offered by Contractor, its suppliers, or manufacturers to customers of its services. The services provided
under this Contract shall conform to the terms and conditions of this Contract throughout the
Warranty Period. Any nonconformance of the services to the terms and conditions of this
Contract shall constitute a “Defect” and shall be considered “Defective.” If Contractor receives
notice of a Defect during the Warranty Period, then Contractor shall correct the Defect, at no
additional charge.

Contractor represents and warrants that all services provided under this Contract shall be
provided in a timely and professional manner, by qualified and skilled individuals, and in conformity with standards generally accepted in Contractor’s industry.

If Contractor fails to provide the services as warranted, then Contractor will re- provide the
services at no additional charge. If Contractor is unable or unwilling to re- provide the services as
warranted, then the State shall be entitled to recover the fe es paid to Contractor for the Defective
services. Any exercise of the State’s rights under this Section shall not prejudice the State’s rights
to seek any other remedies available under this Contract or applicable law.

A.8. Inspection and Acceptance . The State shall have the right to inspect all services provided by
Contractor under this Contract. If, upon inspection, the State determines that the services are
Defective, the State shall notify Contractor, and Contractor shall provide the services at no
additional cost to the State. If after a period of thirty (30) days following performance of services
the State does not provide a notice of any D efects, the services shall be deemed to have been
accepted by the State.

10.31.24 FA
3
B. TERM OF CONTRACT :

This Contract shall be effective for the period beginning on DATE (“Effective Date”) and ending
on June 30, 2030, (“Term”). The State shall have no obligation for goods delivered or services
provided by the Contractor prior to the Effective Date.

C. PAYMENT TERMS AND CONDITIONS:
C.1. Maximum Liability . In no event shall the maximum liability of the State under this Contract
exceed Written Dollar Amount ($Number ) (“Maximum Liability”) . This Contract does not grant the
Contractor any exclusive rights. The State does not guarantee that it will buy any minimum quantity of goods or services under this Contract. Subject to the terms and conditions of this Contract, the Contractor will only be paid for goods or services provided under this Contract after
a purchase order is issued to Contractor by the State or as otherwise specified by this Contract .
C.2. Compensation Firm. The payment methodology in Section C.3. of this Contract shall constitute
the entire compensation due the Contractor for all goods or services provided under this Contract regardless of the difficulty, materials or equipment required. The payment methodology includes
all applicable taxes, fees, overhead, and all other direct and indirect costs incurred or to be
incurred by the Contractor.

C.3. Payment Methodology. The Contractor shall be compensated based on the payment
methodology for services authorized by the State in a total amount as set forth in Section C.1.

a. The Contractor’s compensation shall be contingent upon the satisfactory provision of services as set forth in Section A.

b. The Contractor shall be compensated for said units, milestones, or increments of service based upon payment rates equal to the Inspection Fee amounts detailed in the table below and authorized by Tenn. Code Ann. § 68- 120-101(f)(2)(B). The Permit Fee amounts are
established in Rule 0780- 02-23.

Permit
Fee Inspection Fees
Footer or Monolithic Slab** Rough- In* Final*
$100 $75 / Inspection
$350 $75 / Inspection $75 / Inspection $75 / Inspection
$400 $75 / Inspection $75 / Inspection $75 / Inspection
$450 $75 / Inspection $75 / Inspection $75 / Inspection
$500 $85 / Inspection $85 / Inspection $85 / Inspection
$550 $95 / Inspection $95 / Inspection $95 / Inspection
$650 $115 / Inspection $115 / Inspection $115 / Inspection
$750 $115 / Inspection $115 / Inspection $115 / Inspection
$850 $125 / Inspection $125 / Inspection $125 / Inspection
$1,300 $125 / Inspection $125 / Inspection $125 / Inspection
*If a mechanical and plumbing inspection is requested, $37.50 will be added to the rough- in
inspection fee and to the final inspection fee paid to the Contractor

10.31.24 FA
4
**If a slab or superior wall inspection is requested, $75 will be added to the inspection fee paid to
the Contractor.

C.4. Travel Compensation. In exigent circumstances , at the discretion of the Director, travel expenses
may be compensated in accordance with the amounts and limitations specified in the current
“State Comprehensive Travel Regulations.”

The Contractor must include (in addition to other invoice requirements of this Contract) a
complete itemization of requested travel compensation and appropriate documentation and
receipts as required by the “State Comprehensive Travel Regulations.”
C.5. Invoice Requirements . The completion of all of the following shall constitute an invoice by the
Contractor and result in renumeration by the State:
a. The Contractor has completed, signed, and submitted to the State a “W -9 Form” with the
appropriate tax classification (the taxpayer identification number contained in the W -9
submitted to the State shall agree with the Federal Employer Identification Numbe r or
Social Security Number referenced in this Contract for the Contractor).
b. The independent issuing agent has submitted the collected fees to the State and the permit sold is recorded in the Tennessee Comprehensive Online Regulatory & Enforcement System or its successor program.
c. The Contractor acted through his or her professional corporation pursuant to the Tennessee Professional Corporation Act, with such corporation being that which the Contractor has performed the inspections corresponding to a permit sold (and referenced
in Section C.5.a.) and has completed and submitted to the State all required reports.
d. The Contractor has entered data relevant to the foregoing into the State’s online portal.
e. The State’s online portal system has calculated the appropriate payment amount and the amount to be retained by the State from the total remitted to the State for the permit sold.
C.6. Payment of Invoice. A payment by the State shall not prejudice the State's right to object to or
question any payment, invoice, or other matter . A payment by the State shall not be construed as
acceptance of goods delivered, any part of the service s provided, or as approval of any amount
invoiced.

C.7. Invoice Reductions . The Contractor's invoice shall be subject to reduction for amounts included
in any invoice or payment that is determined by the State, on the basis of audits conducted in
accordance with the terms of this Contract, to not constitute proper compensation for goods
delivered or services provided.

C.8. Deductions . The State reserves the right to deduct from amounts, which are or shall become due
and payable to the Contractor under this or any contract between the Contractor and the State of
Tennessee, any amounts that are or shall become due and payable to the State of Tennessee by
the Contractor.
C.9. Prerequisite Documentation. The Contractor shall not invoice the State under this Contract until
the State has received the following, properly completed documentation.

a. The Contractor shall complete, sign, and present to the State the "Authorization
Agreement for Automatic Deposit Form" provided by the State. By doing so, the
Contractor acknowledges and agrees that, once this form is received by the State,
payments to the Contractor, under this or any other contract the Contractor has with the
State of Tennessee, may be made by ACH; and

b. The Contractor shall complete, sign, and return to the State the State- provided W-9 form.
The taxpayer identification number on the W -9 form must be the same as the
Contractor's Federal Employer Identification Number or Social Security Number
referenced in the Contractor’s Edison registration information.

10.31.24 FA
5
D. MANDATORY TERMS AND CONDITIONS:

D.1. Required Approvals . The State is not bound by this Contract until it is duly approved by the
Parties and all appropriate State officials in accordance with applicable Tennessee laws and
regulations . Depending upon the specifics of this C ontract, this may include approvals by the
Commissioner of Finance and Administration, the Commissioner of Human Resources, the
Comptroller of the Treasury , and the Chief Procurement Officer . Approvals shall be evidenced by
a signature or electronic approval.
D.2. Communications and Contacts . All instructions, n otices, consents , demands, or other
communications required or contemplated by this Contract shall be in writing and shall be made by certified, first class mail, return receipt requested and postage prepaid, by overnight courier service with an asset tracking system, or by email or facsimile transmission with recipient
confirmation. All communications, regardless of method of transmission, shall be addressed to
the respective Party at the appropriate mailing address, facsimile number, or email address as
stated below or any other address provided in writing by a Party.
The State:

State of Tennessee - Department of Commerce and Insurance
Division of Fire Prevention - Residential/Electrical Contract Inspections
500 James Robertson Parkway
Nashville, Tennessee 37243- 0577
Phone: (615) 741- 7170
Email: SFMO.permits -licensing@tn.gov

The Contractor:

Contractor Contact Name & Title
Contractor Name
Address
Email Address
Telephone # Number
FAX # Number
All instructions, notices, consents, demands, or other communications shall be considered
effective upon receipt or recipient confirmation as may be required.

D.3. Modification and Amendment . This Contract may be modified only by a written amendment
signed by all Parties and approved by all applicable State officials .

D.4. Subject to Funds Availability . The Contract is subject to the appropriation and availability of State
or federal funds. In the event that the funds are not appropriated or are otherwise unavailable,
the State reserves the right to terminate this Contract upon written notice to the C ontractor. The
State’s exercise of its right to terminate this Contract shall not constitute a breach of Contract by
the State. Upon receipt of the written notice, the Contractor shall cease all work associated with
the Contract. If the State terminates this Contract due to lack of funds availability, the Contractor
shall be entitled to compensation for all conforming goods requested and accepted by the State
and for all satisfactory and authorized services completed as of the termination date. Should the
State exercise its right to terminate this Contract due to unavailability of funds, the Contractor shall have no right to recover from the State any actual, general, special, incidental, consequential, or any other damages of any description or amount.

D.5. Termination for Convenience. The State may terminate this Contract for convenience without
cause and for any reason. The State shall give the Contractor at least thirty (30) days written
notice before the termination date. The Contractor shall be entitled to compensation for all
conforming goods delivered and accepted by the State or for satisfactory, authorized services
completed as of the termination date. In no event shall the State be liable to the Contractor for

10.31.24 FA
6 compensation for any good s neither requested nor accepted by the State or for any service s
neither requested by the State nor satisfactorily performed by the Contractor . In no event shall
the State’s exercise of its right to terminate this Contract for c onvenience relieve the Contractor of
any liability to the State for any damages or claims arising under this Contract.

D.6. Termination for Cause . If the Contractor fails to properly perform its obligations under this
Contract in a timely or proper manner, or if the Contractor materially violates any terms of this
Contract (“Breach Condition” ), the State shall have the right to immediately terminate the Contract
and withhold payments in excess of compensation for completed services or provided goods .
Notwithstanding the above, the Contractor shall not be relieved of liability to the State for
damages sustained by virtue of any Breach Condition and the State may seek other remedies
allowed at law or in equity for breach of this Contract.

D.7. Assignment and Subcontracting. The Contractor shall not assign this Contract or enter into a
subcontract for any of the goods or services provided under this Contract without the prior written
approval of the State . Notwithstanding any use of the approved subcontractors , the Contractor
shall be the prime contractor and responsible for compliance with all terms and conditions of this Contract. The State reserves the right to request additional information or impose additional
terms and conditions before approving an assignment of this Contract in whole or in part or the
use of subcontractors in fulfilling the Contractor’s obligations under this Contract.

D.8. Conflicts of Interest . The Contractor warrants that no part of the Contractor’s compensation shall
be paid directly or indirectly to an employee or official of the State of Tennessee as wages,
compensation, or gifts in exchange for acting as an officer, agent, employee, subcontractor, or
consultant to the Contractor in connection with any work contemplated or performed under this
Contract.
The Contractor acknowledges, understands, and agrees that this Contract shall be null and void if
the Contractor is, or within the past six (6) months has been, an employee of the State of
Tennessee or if the C ontractor is an entity in which a controlling interest is held by an individual
who is, or within the past six (6) months has been, an employee of the State of Tennessee.
D.9. Nondiscrimination . The Contractor hereby agrees, warrants, and assures that no person shall be
excluded from participation in, be denied benefits of, or be otherwise subjected to discrimination in the performance of this Contract or in the employment practices of the Cont ractor on the
grounds of handicap or disability, age, race, creed, color, religion, sex, national origin, or any
other classification protected by federal or state law. The Contractor shall, upon request, show
proof of nondiscriminat ion and shall post in conspicuous places, available to all employees and
applicants, notices of nondiscrimination.

D.10. Prohibition of Illegal Immigrants . The requirements of Tenn. Code Ann. § 12- 3-309 addressing
the use of illegal immigrants in the performance of any contract to supply goods or services to the
state of Tennessee, shall be a material provision of this Contract, a breach of which shall be
grounds for monetary and other penalties, up to and including termination of this Contract.

a. The Contractor agrees that the Contractor shall not knowingly utilize the services of an illegal immigrant in the performance of this Contract and shall not knowingly utilize the
services of any subcontractor who will utilize the services of an illegal immigrant in the
performance of this Contract. The Contractor shall reaffirm this attestation by submitting
to the State a completed Attestation (accessible through the Edison Supplier Portal) and
included at Attachment A , semi -annually during the Term. If the Contractor is a party to
more than one contract with the State, the Contractor may submit one attestation that
applies to all cont racts with the State. All Contractor attestations shall be maintained by
the Contractor and made available to State officials upon request.
b. Prior to the use of any subcontractor in the performance of this Contract, and semi -
annually thereafter, during the Term, the Contractor shall obtain and retain a current, written attestation that the subcontractor shall not knowingly utilize the services of an
illegal immigrant to perform work under this Contract and shall not knowingly utilize the

10.31.24 FA
7 services of any subcontractor who will utilize the services of an illegal immigrant to
perform work under this Contract. Attestations obtained from subcontractors shall be
maintained by the Contractor and made available to State officials upon request.

c. The Contractor shall maintain records for all personnel used in the performance of this
Contract. Contractor’s records shall be subject to review and random inspection at any
reasonable time upon reasonable notice by the State.

d. The Contractor understands and agrees that failure to comply with this section will be
subject to the sanctions of Tenn. Code Ann. § 12- 3-309 for acts or omissions occurring
after its effective date.

e. For purposes of this Contract, "illegal immigrant" shall be defined as any person who is not: (i) a United States citizen; (ii) a Lawful Permanent Resident ; (iii) a person whose
physical presence in the United States is authorized; (iv) allowed by the federal
Department of Homeland Security and who, under federal immigration laws or regulations, is authorized to be employed in the U.S. ; or (v) is otherwise authorized to
provide services under the Contract.
D.11. Records . The Contractor shall maintain documentation for all charges under this Contract. The
books, records, and documents of the Contractor, for work performed or money received under
this Contract, shall be maintained for a period of five (5) full years from the date of the final
payment and shall be subject to audit at any reasonable time and upon reasonable notice by the State, the Comptroller of the Treasury, or their duly appointed representatives. The financial
statements shall be prepared in accordance with generally accepted accounting principles.

D.12. Monitoring. The Contractor’s activities conducted and records maintained pursuant to this
Contract shall be subject to monitoring and evaluation by the State, the Comptroller of the Treasury, or their duly appointed representatives.
D.13. Progress Reports . The Contractor shall submit brief, periodic, progress reports to the State as
requested.

D.14. Strict Performance. Failure by any P arty to this Contract to require, in any one or more cases ,
the strict performance of any of the terms, covenants, conditions, or provisions of this Contract
shall not be construed as a waiver or relinquishment of any term, covenant, condition, or
provision. No term or condition of this Contract shall be held to be waived, modified, or deleted
except by a written amendment signed by the Parties.

D.15. Independent Contractor . The P arties shall not act as employees, partners, joint venturers, or
associates of one another. The Parties are independent contracting entities . Nothing in this
Contract shall be construed to create an employer/employee relationship or to allow either Party
to exercise control or direction over the manner or method by which the other transacts its business affairs or provides its usual services. The employees or agents of one P arty are not
employees or agents of the other Party.
D.16 Patient Protection and Affordable Care Act. The Contractor agrees that it will be responsible for
compliance with the Patient Protection and Affordable Care Act ( “PPACA ”) with respect to itself
and its employees, including any obligation to report health insurance coverage, provide health insurance coverage, or pay any financial assessment, tax , or penalty for not providing health
insurance. The Contractor shall indemnify the State and hold it harmless f rom any costs to the
State arising from Contractor’s failure to fulfill its PPACA responsibilities for itself or its
employees.

D.17. Limitation of State ’s Liability . The State shall have no liability except as specifically provided in
this Contract . In no event will the State be liable to the Contractor or any other party for any lost
revenues, lost profits, loss of business, decrease in the value of any securities or cash position, time, goodwill, or any indirect, special, incidental, punitive, exemp lary or consequential damages
of any nature, whether based on warranty, contract, statute, regulation, tort (including but not

10.31.24 FA
8 limited to negligence), or any other legal theory that may arise under this Contract or otherwise.
The State’s total liability under this Contract (including any exhibits, schedules, amendments or
other attachments to the Contract) or otherwise shall under no circumstances exceed the
Maximum Liability. This limitation of liability is cumulative and not per incident.

D.18. Limitation of Contractor’s Liability . In accordance with Tenn. Code Ann. § 12- 3-701, the
Contractor’s liability for all claims arising under this Contract shall be limited to an amount equal
to two (2) times the Maximum Liability amount detailed in Section C.1. and as may be amended,
PROVIDED T HAT in no event shall this Section limit the liability of the Contractor for: (i)
intellectual property or any Contractor indemnity obligations for infringement for third- party
intellectual property rights; (ii) any claims covered by any specific provision in the Contract
providing for liquidated damages; or (iii) any claims for intentional torts, criminal acts, fraudulent conduct, or acts or omissions that resul t in personal injuries or death. For clarity, except as
otherwise expressly set forth in this Section, Contractor’s indemnification obligations and other
remedies available under this Contract are subject to the limitations on liability set forth in this Section.

D.19. Hold Harmless . The Contractor agrees to indemnify and hold harmless the State of Tennessee
as well as its officers, agents, and employees from and against any and all claims, liabilities,
losses, and causes of action which may arise, accrue, or result to any person, f irm, corporation,
or other entity which may be injured or damaged as a result of acts, omissions, or negligence on the part of the Contractor, its employees, or any person acting for or on its or their behalf relating
to this Contract. The Contractor furt her agrees it shall be liable for the reasonable cost of
attorneys ’ fees, court costs, expert witness fees, and other litigation expenses for the State to
enforce the terms of this Contract .
In the event of any suit or claim, the Parties shall give each other immediate notice and provide
all necessary assistance to respond. The failure of the State to give notice shall only relieve the
Contractor of its obligations under this Section to the extent that the Contractor can demonstrate
actual prejudice arising from the failure to give notice. This Section shall not grant the Contractor,
through its attorney s, the right to represent the State in any legal matter, as the right to represent
the State is governed by Tenn. Code Ann. § 8- 6-106.

D.20. HIPAA Compliance . As applicable, t he State and Contractor shall comply with obligations under
the Health Insurance Portability and Accountability Act of 1996 ( “HIPAA” ), Health Information
Technology for Economic and Clinical Health ( “HITECH ”) Act and any other relevant laws and
regulations regarding privacy (collectively the “Privacy Rules”). The obligations set forth in this
Section shall survive the termination of this Contract.

a. Contractor warrants to the State that it is familiar with the requirements of the Privacy
Rules, and will comply with all applicable requirements in the course of this Contract.

b. Contractor warrants that it will cooperate with the State, including cooperation and
coordination with State privacy officials and other compliance officers required by the Privacy Rules, in the course of performance of the Contract so that both parties w ill be in
compliance with the Privacy Rules.
c. The State and the Contractor will sign documents, including but not limited to business associate agreements, as required by the Privacy Rules and that are reasonably
necessary to keep the State and Contractor in compliance with the Privacy Rules. This
provision shall not apply if information received or delivered by the parties under this
Contract is NOT “protected health information” as defined by the Privacy Rules, or if the Privacy Rules permit the parties to receive or deliver the information witho ut entering into
a business associate agreement or signing another document.
d. The Contractor will indemnify the State and hold it harmless for any violation by the
Contractor or its subcontractors of the Privacy Rules. This includes the costs of
responding to a breach of protected health information, the costs of responding to a

10.31.24 FA
9 government enforcement action related to the breach, and any fines, penalties, or
damages paid by the State because of the violation.

D.21. Tennessee Consolidated Retirement System . Subject to statutory exceptions contained in Tenn.
Code Ann. §§ 8- 36-801, et seq., the law governing the Tennessee Consolidated Retirement
System (“TCRS”), provides that if a retired member of TCRS, or of any superseded system
administered by TCRS, or of any local retirement fund established under Tenn. Code Ann. §§ 8-
35-101, et seq. , accepts State employment, the member's retirement allowance is suspended
during the period of the employment. Accordingly an d notwithstanding any provision of this
Contract to the contrary, the Contractor agrees that if it is later determined that the true nature of the working relationship between the Contractor and the State under this Contract is that of
“employee/employer” and not that of an independent contractor, the Contractor, if a retired
member of TCRS, may be required to repay to TCRS the amount of retirement benefits the
Contractor received from TCRS during the Term.

D.22. Tennessee Department of Revenue Registration. The Contractor shall comply with all applicable
registration requirements contained in Tenn. Code Ann. §§ 67 -6-601 – 608. Compliance with
applicable registration requirements is a material requirement of this Contract.

D.23. Debarment and Suspension. The Contractor certifies, to the best of its knowledge and belief, that
it, its current and future principals, its current and future subcontractors and their principals:

a. are not presently debarred, suspended, proposed for debarment, declared ineligible, or voluntarily excluded from covered transactions by any federal or state department or
agency;

b. have not within a three (3) year period preceding this Contract been convicted of, or had a civil judgment rendered against them from commission of fraud, or a criminal offense in
connection with obtaining, attempting to obtain, or performing a public (federal, state, or
local) transaction or grant under a public transaction; violation of federal or state antitrust statutes or commission of embezzlement, theft, forgery, bribery, falsification, or
destruction of records, making false statements, or receiv ing stolen property;

c. are not presently indicted or otherwise criminally or civilly charged by a government entity
(federal, state, or local) with commission of any of the offenses detailed in section b. of
this certification; and

d. have not within a three (3) year period preceding this Contract had one or more public
transactions (federal, state, or local) terminated for cause or default.
The Contractor shall provide immediate written notice to the State if at any time it learns that
there was an earlier failure to disclose information or that due to changed circumstances, its
principals or the principals of its subcontractors are excluded, disqualified, or presently fall under
any of the prohibitions of sections a- d.

D.24. Force Majeure. “Force Majeure Event” means fire, flood, earthquake, elements of nature or acts
of God, wars, riots, civil disorders, rebellions or revolutions, acts of terrorism or any other similar
cause beyond the reasonable control of the Party except to the extent that the non- performing
Party is at fault in failing to prevent or causing the default or delay, and provided that the default
or delay cannot reasonably be circumvented by the non- performing Party through the use of
alternate sources, workaround plans or ot her means. A strike, lockout or labor dispute shall not
excuse either Party from its obligations under this Contract . Except as set forth in this Section,
any failure or delay by a Party in the performance of its obligations under this Contract arising
from a Force Majeure Event is not a default under this Contract or grounds for termination. T he
non-performing Party will be excused from performing those obligations directly affected by the
Force Majeure Event, and only for as long as the Force Majeure E vent continues, provided that
the Party continues to use diligent, good faith efforts to resume performance without delay. The
occurrence of a Force Majeure Event affecting Contractor’s representatives, suppliers,
subcontractors, customers or business apart from this Contract is not a Force Majeure Event

10.31.24 FA
10 under this Contract. Contractor will promptly notify the State of any delay caused by a Force
Majeure Event (to be confirmed in a written notice to the State within one (1) day of the inception
of the delay) that a Force Majeure Event has occurred, and will describe in reasonable detail the
nature of the Force Majeure Event. If any Force Majeure Event results in a delay in Contractor’s performance longer than forty -eight (48) hours, the State may, upo n notice to Contractor: (a)
cease payment of the fees for the affected obligations until Contractor resumes performance of
the affected obligations; or (b) immediately terminate this Contract or any purchase order, in
whole or in part, without further payment except for fees then due and payable. Contractor will
not increase its charges under this Contract or charge the State any fees other than those
provided for in this Contract as the result of a Force Majeure Event.
D.25. State and Federal Compliance. The Contractor shall comply with all State and f ederal laws and
regulations applicable to Contractor in the Contractor’s performance of this Contract.

D.26. Governing Law . This Contract shall be governed by and construed in accordance with the laws
of the State of Tennessee , without regard to its conflict or choice of law rules . The Tennessee
Claims Commission or the state or federal courts in Tennessee shall be the venue for all claims,
disputes, or disagreements arising under this Contract . The Contractor acknowledges and
agrees that any rights , claims , or rem edies against the State of Tennessee or its employees
arising under this Contract shall be s ubject to and limited to those rights and remedies available
under Tenn. Code Ann. §§ 9-8-101 - 408.

D.27. Entire Agreement . This Contract is complete and contains the entire understanding between the
Parties relating to its subject matter, including all the terms and conditions of the Parties’
agreement. This Contract supersedes any and all prior understandings, representations,
negotiations, and agreements between the P arties, whether written or oral.

D.28. Severability . If any terms and conditions of this Contract are held to be invalid or unenforceable
as a matter of law, the other terms and conditions of this Contract shall not be affected and shall
remain in full force and effect. The terms and conditions of this Contract are severable.

D.29. Headings . Section headings of this Contract are for reference purposes only and shall not be
construed as part of this Contract.

D.30. Incorporation of Additional Documents . Each of the following document s is included as a part of
this Cont ract by reference. In the event of a discrepancy or ambiguity regarding the Contractor’s
duties, responsibilities, and performance under this Contract, these items shal l govern in order of
precedence below:

a. any amendment to this Contract, with the latter in time controlling over any earlier amendments;
b. this Contract with any attachments or exhibits (excluding the items listed at subsections
c. through f ., below) , which includes Attachment s A and B ;
c. any clarifications of or addenda to the Contractor’s proposal seeking this Contract;
d. the State solicitation, as may be amended, requesting responses in competition for this
Contract;
e. any technical specifications provided to proposers during the procurement proc ess to
award this Contract; and
f. the Contractor’s response seeking this Contract.

D.31. Iran Divestment Act. The requirements of Tenn. Code Ann. § 12- 12-101, et seq., addressing
contracting with persons as defined at T enn. Code Ann. §12- 12-103(5) that engage in investment
activities in Iran, shall be a material provision of this Contract. The Contractor certifies, under
penalty of perjury, that to the best of its knowledge and belief that it is not on the list created pursuant to Tenn. Code Ann. § 12- 12-106.

D.32. Insurance. Contractor shall maintain insurance coverage as specified in this Section. The State
reserves the right to amend or require additional insurance coverage, coverage amounts, and
endorsements required under this Contract. The State reserves the right to require complete

10.31.24 FA
11 copies of all required insurance policies, including endorsements required by these specifications,
at any time. If Contractor loses insurance coverage, fails to renew coverage, or for any reason
becomes uninsured during the Term, Contractor shall immediately notify the State.

All coverage types listed below, other than workers’ compensation/employer’s liability and
professional liability insurance, must include the State as an additional insured and provide
coverage on a primary & noncontributory basis with respect to any other insurance or self -
insurance carried by the State. Any umbrella or excess liability policy used to achieve the
minimum amounts specified below must provide coverage on the same basis as the coverages
such umbrella or excess liability policy is written over , including endorsements (i.e., true “follow
form”).
The insurance obligations under this Contract shall be: 1 —all the insurance coverage and
policy limits carried by or available to the Contractor; or 2 —the minimum insurance
coverage requirements and policy limits shown in this Contract; whichever is greate r. Any
insurance proceeds or policies in excess of or broader than the minimum required
coverage and minimum required policy limits, which are applicable to a given loss, shall
be available to the State. No representation is made that the minimum insurance
requirements of the Contract are sufficient to cover the obligations of the Contractor under this Contract. The Contractor shall obtain and maintain, at a minimum, the following insurance coverage(s) and policy limits.
a. Automobile Liability Insurance
1) In the event that the Contractor (1) owns, leases, or otherwise operates an automotive
vehicle and (2) intends to use such vehicle in furtherance of their Contractual duties or for
regular or periodic transportation onto State property for the purposes of performing the
Contractor’s duties under the Terms of this Contract, then the Contractor shall provide to
the State proof of the Contractor’s automobile liability insurance policy. Such automobile
liability insurance policy shall maintain limits not les s than the minimum liability limits
established by the relevant authority under which said vehicle is licensed. Such verification is required whether or not the State intends to reimburse the Contractor for mileage.
2) If the Contractor DOES NOT (1) own, lease, or otherwise operate an automotive
vehicle or (2) WILL NOT operate or otherwise employ a personal vehicle in furtherance of
their contractual duties or for regular or periodic transportation onto State property for the
purposes of performing the Contractor’s duties under the Terms of this Contract, then the Contractor shall provide to the State a letter signed by the Contractor certifying as to the
above. In the event that such situation changes over the course of the Term of this
Contract as described in provision 1) above, the Contractor shall inform the State and
provide proof of automobile liability insurance before such time as the Contractor shall
use such vehicle in furtherance of their Contractual duties or for regular or periodic
transportation onto State property for the purposes of performing the Contractor’s duties
under the Terms of this Contract.
b. Workers’ Compensation and Employer Liability Insurance

1) For Contractors statutorily required to carry workers’ compensation and employer
liability insurance, the Contractor shall maintain:
i. Workers’ compensation and employer liability insurance in the amount(s)
required by appropriate state statutes.
2) If the Contractor certifies that it is exempt from the requirements of Tenn. Code
Ann. §§ 50- 6-101 – 103, then the Contractor shall furnish written proof of such
exemption for one or more of the following reasons:
i. The Contractor employs fewer than five (5) employees;
ii. The Contractor is a sole proprietor;

10.31.24 FA
12 iii. The Contractor is in the construction business or trades with no
employees;
iv. The Contractor is in the coal mining industry with no employees;
v. The Contractor is a state or local government; or
vi. The Contractor self -insures its workers’ compensation and is in
compliance with the TDCI rules and Tenn. Code Ann. § 50- 6-405.
c. Professional Liability Insurance
1) The Contractor shall maintain professional liability insurance. Professional liability
insurance shall be written on an occurrence basis or on a claims -made basis. If
this coverage is written on a claims -made basis, then:
i. The retroactive date must be shown, and must be on or before the earlier
of the Effective Date of the Contract or the beginning of Contract work or provision of goods and services;
ii. Insurance must be maintained and evidence of insurance must be
provided for at least five (5) full years from the date of the final Contract
payment; and
iii. If coverage is canceled or non- renewed, and not replaced with another
claims -made policy form with a retroactive date on or prior to the
Contract Effective Date, the Contractor must purchase “extended
reporting” or “tail coverage” for a minimum of five (5) full years from the
date of the final Contract Payment.
2) Any professional liability insurance policy shall have a limit not less than one million dollars ($1,000,000) per claim and two million dollars ($2,000,000) in the
aggregate.
d. Cyber Liability Insurance
1) The Contractor shall maintain cyber liability insurance appropriate to the Contractor’s profession in an amount not less than one million dollars ($1,000,000) per occurrence or claim and one million dollars ($1,000,000) annual
aggregate, covering all acts, claims, errors, omissions, and negligence related to
network security and privacy risks, including but not limited to unauthorized
access, failure of security, information theft, damage to destruction of or
alteration of electronic information, breach of privacy perils, wrongful disclosure
and release of private information, collection, or other negligence in the handling
of confidential information, and including coverage for related regulatory fines, defenses, and penalties.
2) Such coverage shall include data breach response expenses, in an amount not less than one million dollars ($1,000,000) and payable whether incurred by the
State or Contractor, including but not limited to consumer notification, whether or
not required by l aw, computer forensic investigations, public relations and crisis
management firm fees, credit file or identity monitoring or remediation services
and expenses in the performance of services for the State or on behalf of the
State hereunder.

D.33. Major Procurement Contract Sales and Use Tax. Pursuant to Tenn. Code Ann. § 4- 39-102 and
to the extent applicable, the Contractor and the Contractor’s subcontractors shall remit sales and
use taxes on the sales of goods or services that are made by the Contractor or the Contractor’s
subcontractors and that are subject to tax.

10.31.24 FA
13 D.34. Confidentiality of Records . Strict standards of confidentiality of records and information shall be
maintained in accordance with applicable state and federal law. All material and information,
regardless of form, medium or method of communication, provided to the Contractor by the State
or acquired by the Contractor on behalf of the State that is regarded as confidential under state or
federal law shall be regarded as “Confidential I nformation .” Nothing in this Section shall permit
Contractor to disclose any Confidential I nformation, regardless of whether it has been disclosed
or made available to the Contractor due to intentional or negligent actions or inactions of agents
of the State or third parties. Confidential I nformation shall not be disclosed except as required or
permitted under state or federal law. Contractor shall take all necessary steps to safeguard the
confidentiality of such material or information in conformance with applicable state and federal law.

T he obligations set forth in this S ection shall survive the termination of this Contract.

D.35. Boycott of Israel. The Contractor certifies that it is not currently engaged in, and covenants that it
will not, for the duration of the Contract, engage in a Boycott of Israel, as that term is defined in
Tenn. Code Ann. § 12- 4-119.
D.36. Prohibited Contract Terms. The prohibited contract terms and conditions enumerated in Tenn.
Code Ann. § 12- 3-515, shall be a material provision of this Contract. The Contractor acknowledges,
understands, and agrees that the inclusion of a term or condition prohibited by Tenn. Code Ann. §
12-3-515, shall be null and void and the Contract shall be enforceable as if the Contract did not
contain such term or condition.
E. SPECIAL TERMS AND CONDITIONS:

E.1. Conflicting Terms and Conditions . Should any of these special terms and conditions conflict with
any other terms and conditions of this Contract, the special terms and conditions shall be subordinate to the Contract’s other terms and conditions.
E.2. State Furnished Property. The Contractor shall be responsible for the correct use, maintenance,
and protection of all articles of nonexpendable, tangible personal property furnished by the State for the Contractor’s use under this Contract. Upon termination of this Contract, all property
furnished by the State shall be returned to the State in the same condition as when received, less ordinary wear and tear. Should the property be destroyed, lost, or stolen, the Contractor shall be responsible to the State for the fair market value of the property at the time of loss.

E.3. Partial Takeover of Contract . The State may, at its convenience and without cause, exercise a
partial takeover of any service that the Contractor is obligated to perform under this Contract,
including any service which is the subject of a subcontract between Contractor and a third party
(a “Partial Takeover”). A Partial Takeover of this Contract by the State shall not be deemed a
breach of c ontract. The Contractor shall be given at least thirty ( 30) days prior written notice of a
Partial Takeover . The notice shall specify the areas of service the State will assume and the date
the State will be assuming. The State’s exercise of a Partial Takeover shall not alter the
Contractor’s other duties and responsibilities under this Contract. The State reserves the right to
withhold from the Contractor any amount s the Contractor would have been paid but for the
State’s exercise of a Partial Takeover . The amounts shall be withheld effective as of the date the
State exercises its right to a Partial Takeover . The State’s exercise of its r ight to a Partial
Takeover of this Contract shall not entitle the Contractor to any actual, general, special,
incidental, consequential, or any other damages irrespective of any description or amount.

E.4. Personally Identifiable Information. While performing its obligations under this Contract,
Contractor may have access to Personally Identifiable Information held by the State (“PII”). For
the purposes of this Contract, “PII” includes “Nonpublic Personal Information” as that term is
defined in Title V of the Gramm- Leach- Bliley Act of 1999 or any successor federal statute, and
the rules and regulations thereunder, all as may be amended or supplemented from time to time
(“GLBA”) and personally identifiable information and other data protected under any other
applicable laws, rule or regulation of any jurisdiction relating to disclosure or use of personal
information (“Privacy Laws”). Contractor agrees it shall not do or omit to do anything which would

10.31.24 FA
14 cause the State to be in breach of any Privacy Laws. Contractor shall, and shall cause its
employees, agents and representatives to: (i) keep PII confidential and may use and disclose PII
only as necessary to carry out those specific aspects of the purpos e for which the PII was
disclosed to Contractor and in accordance with this Contract, GLBA and Privacy Laws; and (ii)
implement and maintain appropriate technical and organizational measures regarding information
security to: (A) ensure the security and confidentiality of PII; (B) protect against any threats or
hazards to the security or integrity of PII; and (C) prevent unauthorized access to or use of PII. Contractor shall immediately notify State: (1) of any disclosure or use of any PII by Contractor or
any of its employees, agents and representatives in breach of this Contract; and (2) of any
disclosure of any PII to Contractor or its employees, agents and representatives where the
purpose of such disclosure is not known to Contractor or its employees, agents and
representatives. The State reserves the right to review Contractor's policies and procedures
used to maintain the security and confidentiality of PII and Contractor shall, and cause its employees, agents and representatives to, comply with all reasonable requests or directions from
the State to enable the State to verify or ensure that Contractor is in full compliance with its
obligations under this Contract in relation to PII. Upon termination or expiration of the Contract or
at the State’s di rection at any time in its sole discretion, whichever is earlier, Contractor shall
immediately return to the State any and all PII which it has received under this Contract and shall destroy all records of such PII.

The Contractor shall report to the State any instances of unauthorized access to or potential
disclosure of PII in the custody or control of Contractor (“Unauthorized Disclosure”) that come to
the Contractor’s attention. Any such report shall be made by t he Contractor within twenty -four
(24) hours after the Unauthorized Disclosure has come to the attention of the Contractor.
Contractor shall take all necessary measures to halt any further Unauthorized Disclosures. The
Contractor, at the sole discretion of the State, shall provide no cost credit monitoring services for
individuals whose PII was affected by the Unauthorized Disclosure. The Contractor shall bear the
cost of notification to all individuals affected by the Unauthorized Disclosure, including i ndividual
letters and public notice. The remedies set forth in this Section are not exclusive and are in
addition to any claims or remedies available to this State under this Contract or otherwise
available at law. The obligations set forth in this Secti on shall survive the termination of this
Contract.

IN WITNESS WHEREOF,
CONTRACTOR LEGAL ENTITY NAME :

CONTRACTOR SIGNATURE DATE

PRINTED NAME AND TITLE OF CONTRACTOR SIGNATORY (above)
DEPARTMENT OF COMMERCE AND INSURANCE :