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HomeMy WebLinkAboutResolution - 3891 - Contract - AT&T - Pay Telephone Long Distance Service - 05_14_1992Resolution No. May 14, 1992 Item #26 3891 RESOLUTION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK: THAT the Mayor of the City of Lubbock BE and is hereby authorized and directed to execute for and on behalf of the City of Lubbock a Contract by and between the City of Lubbock and AT&T for pay telephone long distance service for the City of Lubbock, attached herewith, which shall be spread upon the minutes of the Council and as spread upon the minutes of this Council shall constitute and be a part of this Resolution as if fully copied herein in detail. Passed by the City Council this aneyte boya, Lity Secretary APPROVED TO CONTENT: ene a s, urc asing Manager APPROVED AS TO FORM: uon is u. vanaiver, City Attorney �DGV:js/L0NGDIST.RES./D2-Agenda rst AM S City of Lubbock P.O. Box 2000 Lubbock, Texas 7J457 606-767-2167 REQUEST FOR PROPOSALS RFP #11836 Office of Purchasing Sealed proposals addressed to Gene Eads, Purchasing Manager, City of Lubbock, Texas, will be received at the office of the Purchasing Manager, Municipal Building, 1625 13th Street, Room L-04, Lubbock, Texas, 79401 until 2:00 o'clock a.m. on the 12th day of March. 1992, or as changed by the issuance of formal addenda to all proposers, to furnish all hardware and software for: PAY TELEPHONE LONG DISTANCE SERVICE The specifications, proposal forms and contract documents may be examined at the office of the Purchasing Manager for the City of Lubbock, Texas. Attention of each supplier is particularly called to the Schedule of General Prevailing Rate of Per Diem Wages included in the contract documents on file in the office of the Purchasing Manager of the City of Lubbock, Texas. Each supplier's attention is further directed to the provisions of Article 5159a, Vernon's Ann. Civil St., and the requirements contained therein concerning such wage scales and payment by the vendor of the prevailing rates of wages as heretofore established by the City of Lubbock. The City of Lubbock hereby notifies all suppliers that in regard to any contract entered into pursuant to this advertisement, minority and women business enterprises will be afforded equal opportunities to submit proposals in response to this invitation and will not be discriminated against on the grounds of race, color, sex, or national origin in consideration for an award. There will be a preproposal conference on 3rd day of March, 1992, at 10:00 o'clock a.m., Committee Conference Room 103, Municipal Building, 1625 13th Street, Lubbock, Texas. -;7-. BY:Gene Eads, C.P.M. Purchasing Manager CITY OF LUBBOCK REQUESTS FOR PROPOSALS PAY TELEPHONE LONG DISTANCE SERVICE GENERAL INFORMATION 1.01 SECTION INCLUDES A. PURPOSE B. CURRENT ENVIRONMENT C. TECHNICAL SPECIFICATIONS D. VENDOR QUESTIONNAIRE E. PROPOSAL ANALYSIS CRITERIA 1.02 PURPOSE The City of Lubbock is requesting proposals for inter-LATA and international, long distance service, for pay telephones located in various City facilities. 1.03 CURRENT ENVIRONMENT Sixty three City of Lubbock facilities currently have pay telephones available for public use. With the exception of thirteen (13) AT&T Card Caller telephones located at Lubbock International Airport (LIA), all pay phones in City buildings or on City property are owned and maintained by Southwestern Bell Telephone Company. The greatest concentration of pay phones is located at LIA, with fewer numbers located at the Memorial Civic Center and Auditorium Coliseum, respectively. The remainder are single units at Community Centers, Softball Fields, Libraries and other Municipal Buildings. . 1.04 SPECIFICATIONS Vendors shall provide a comprehensive description of the long distance pay telephone services being proposed, based on specific criteria listed below. A. CONVENIENCE TO PUBLIC 1. Operator service must be available 24-hours a day for call handling, domestic and international directory service, complaint reports, and credit adjustments for cutoffs or poor transmission. 2. Vendors shall state, in writing, their plans for compliance with Americans with Disabilities Act, (ADA) regarding pay phone long distance services. 3. Multilingual capability must be in place and available. 4. Audible signal shall be of highest quality. 5. Short call setup time from last digit diafied to credit card tone dial signals, operator answer, and first ring at destination are required. 6. Capability for easily placed calls to all domestic and international locations in the world. 7. List credit card options, and methods to control pay phone fraud. 8. Vendors shall describe reliability of service being proposed. 9. An adequate staff of trained operators shall be available on each shift at the service center to handle call traffic expeditiously. 10. Operator charges for credit card, third party, collect, person -to person and directory assistance calls shall not exceed the current AT&T charges at any time. Likewise, charges shall not exceed AT&T's charges during the life of the contract. 11. Measured time rates shall not exceed the current AT&T rates to any location in the world, and shall not exceed AT&T's rates during the life of the contract. 12. Grade of service required is P.01. 13. Easy to understand charge records for public pay telephone users shall be provided. 14. Answer supervision is required. B. TECHNICAL CAPABILITIES AND RESOURCES 1. Information regarding single vendor, versus sub -contracted operator services shall be provided. 2. Vendors shall provide location(s) of transmission facilities and operator service center repair technicians. 3. Vendors shall identify the number, qualifications location and experience level of all technicians available in the event of a major system failure. 4. Alternate routing facilities, nationwide and world-wide, shall be provided. 5. Vendors shall provide information regarding ownership of facilities as opposed to leased facilities, or percentage of "hand -on" traffic. 6. Vendors shall provide a detailed description of the long distance network facilities, including interconnect arrangements, and provisions taken to ensure quality transmission integrity. 7. Information on the type of transmission facilities (wire, microwave, fiber optic, satellite) shall be included in proposals. 8. Information shall be provided on availability of alternate operator service center during light traffic periods, and facility failure periods. C. REVENUE/OPTIONS 1. Vendors shall provide comprehensive information about commission percentage of gross revenue, from long distance pay telephone traffic. 2. If applicable, information on bonuses shall be included. 3. Vendors shall provide minimum annual revenue guarantee amount. 4. Vendors shall provide information on coverage of per line charges for carrier changes. D. FINANCIAL RESPONSIBILITY 1. Vendors shall provide a current financial statement of operations, as well financial statements for sub -contractors and/or co -proposers, if applicable. 2. Vendor's responses to Request for Proposals shall include references from current governmental agencies. 3. The vendor, by making this proposal, represents that the firm has the capabilities, hardware and personnel necessary to provide efficient and dependable long distance pay telephone service. 4. Proposals should include all information solicited by this request, plus any additional data, prints, literature, etc., that the respondent deems pertinent to the understanding and evaluation of this proposal. 5. The City of Lubbock requires the company supplying long distance pay telephone service to act as the single point of contact for network related trouble reporting and problem resolution with Southwestern Bell, and/or any other service provider involved. This shall be stated in writing as part of the proposal. 6. Indicate who will collect fees and monies charged for long distance calls, including methods of recording, reporting, transmission of revenues, auditing, frequency and related accounting practices. Attach samples of allocation sheets and commission checks. 1.05 VENDOR QUESTIONNAIRE 1. Does your company provide 24-hour per day, 7-day per week services described in 1.04 A? 2. Does your company provide multilingual operators? If yes, list the languages spoken. 3. Call Setup Quality test requirements: Provide your local point of premise access phone number. Provide a free "test" credit card number. Provide a telephone number of an East Coast,and a West Coast location that will accept collect calls. Provide a telephone number that can be used to test third party call processing. Provide the long distance directory assistance numbers. List the credit cards your company will accept. 4. Provide a list of areas in the world to which calls cannot be placed by your company. 5. List your operator service charges for the following types of calls. If there is a variation of these charges based on time of day, weekends, holidays or locale, please explain. Credit Card (Operator assisted) Credit Card (No Operator assisted) Person -to Person Calls Collect Calls Third Party Calls Directory Assistance Calls 6. List the number of operators available on each shift, relative to the following: Primary Operator Service Center Day Shift Evening Shift Midnight Shift Holidays Alternative Operator Service Center: Day Shift Evening Shift Night Shift Holidays 7. Provide a complete description of your company's corporate structure and of any sub -contracted or leased facilities. Include locations of those facilities. 8. Provide a copy of your company's worldwide time of day rate schedule. 10. Does your company sub -contract any operator services to other vendors? If so provide complete details. 11. Will your network accept analog data transmissions from Fax machines, PC's, Laptop Computers, etc. If yes, what speed? 12. Describe the mix of technology used on calls carried over your company's network. % Microwave % Fiber Optic % Wire % Coaxial % Satellite % Radio 13. Describe your company's system of reporting, that will produce revenue reports showing gross income, and revenue by pay phone number and location. 14. List the states in which your company is authorized to operate as an Inter -Exchange Carrier. 15. Provide current financial statements for your company, all sub -contractors, subsidiaries, and companies from which facilities and /or services are, or will be leased. 16. Provide a comprehensive description of your company's experience in providing, supporting and maintaining long distance pay phone services in International Airports and various other types of Governmental facilities. 17. Provide a current list of reference contacts. 18. Have you responded to all questions and requests included in this proposal? If not, what has been omitted, and why? 19. What is the term of contract offered by your company? 20. If there is a penalty for early cancellation of a contract for long distance pay phone service with your company, explain in detail. 21. Does your company offer a bonus plan? If so, explain. 22. Does your company offer 10xxx dialed calls? If so, explain in detail. 23. What commission rate are you proposing for usage? 24. What commission rate is proposed for user surcharge? 25. Provide tariff rates your company will be billing for long distance calls placed from pay phones in City of Lubbock facilities. Include usage and/or surcharge rates for all types of long distance calls. 26. What is your company's definiton of gross revenue? Do you deduct fraud and uncollected amounts? Describe any other customer chargable calls that are not included in gross revenue. 1.06 EVALUATION CRITERIA All proposals will be reviewed and evaluated by -a Selection Committee, based on criteria outlined in this Request For Proposal. The award of a contract for long distance pay phone service will be made to the vendor who can provide the best services and equipment described in this RFP. Each vendor responding this Request For Proposal will be evaluated according to the following criteria: 5� jotal support and service committment of vendor. 25% Revenues to the City of Lubbock based on commissions, guaranteed minimums, and bonuses. S�Conformance to all specifications. 5 _Vendor's financial standing and capabilities. 15% Any other conditions deemed to be of importance that are specified in the RFP. 15% References. This is an addendum to the AT&T Individual Commission Agreement between AT&T Communications, Inc. ("AT&T") and City of Lubbock ("Agent,) . Company name WHEREAS, AT&T, as part of its efforts to provide valuable services to Agent, will be providing public fax service in public locations throughout the United States ("AT&T Fax Service"). NOW, THEREFORE, AT&T and Agent, in consideration of the mutual promises and obligations contained herein, agree as follows: 1. Agent shall use only AT&T Fax Service for public fax service at Agent's location(s). The number of public fax terminals will be determined by Agent and AT&T and may be increased or decreased by mutual agreement of the parties. The specific site which each public fax terminal will be installed will be mutually determined by Agent and AT&T and may be changed by mutual agreement of the parties. 2. AT&T will install, maintain and operate the public fax terminals(s) during the term of the Agreement. AT&T will promote AT&T Fax Service, and, if deemed mutually desirable by the parties, will cooperate in joint promotions of AT&T Fax Service with Agent. 3. In consideration of Agent permitting such public fax terminal(s) to be installed at Agent's location(s), AT&T will pay Agent a commission, determined in accordance with the following Commission Schedule on the total revenues received by AT&T from public use of such tenninal(s): Total Number of Public Fax Service Transactions Per Business Day/Per Unit 0-2 3-4 5-G 7+ Commission Rate on AT&T Fax Service Revenues From Agent Public Fax Terminals 17% 20% 23% 25% 4. This Addendum shall be in effect for as long as the Agreement and shall temunate on the termination of the Agreement. In the event AT&T breaches any of its material obligations under this Addendum, and fails to cure such breach within thirty (30) days of written notice from Agent of such breach, Agent may ternnate this Addendum immediately. AT&T may terminate this Addendum with respect to any or all Agent locations by sending written notice to Agent if the Federal Communications Commission, a State Public Utilities Commission or a court of competent jurisdiction issues an order or ruling which contains terms or conditions that materially and (over please) This form details the AT&T Individual Commission Plan and needs to be returned with your signed contract. 1. The commission rate payable to Agent for each location listed in Attachment A and the term of this Agreement are set forth below: Total Number Of Public Telephones At A Location Routing "0+" InterLATA Calls To AT&T EUN Commission Rate On AT&T Non -Sent Paid Revenues From LEC Public Phones 22 % The initial term of this Agreement is a period of t= yWA from the date Agent first begins earning commissions on any telephone listed in Attachment A pursuant to the terms of paragraph 6 of the Agreement. This Agreement shall be automatically renewed for additional one year terms unless either party gives thirty (30) days' notice of its intention not to renew. 2. AT&T Non -Sent Paid Revenues will be calculated based on a monthly period beginning on the 16th day of each calendar month and ending on the 15th day of the following month. 001912.88 ATILT This Agreement is entered into between AT&T Communications, Inc., acting on behalf of the Interstate Division of the American Telephone and Telegraph Company and the AT&T Communications interexchange companies (hereinafter "AT&T") and 0 City of i uhhnck ('-) WHEREAS Agent is responsible for the placement of public telephones on the premises listed in Attachment A hereto and has arranged for the placement on such premises of public telephones owned and operated by a local exchange company ("LEC"), the parties agree as follows: 1. Agent represents and warrants that it is authorized to make decisions concerning public telephone service at the locations listed in Attachment A, including the right to select the primary interexchange carrier ("PIC") for operator assisted ("0+") interLATA calls placed from those locations. 2. Agent hereby selects AT&T as the "0+" PIC for the LEC public telephones at the locations listed in Attachment A, and it appoints AT&T as its Agent for the purpose of submitting Agent's selection of AT&T as its PIC for such telephones. Agent also agrees that it will promptly sign and return any ballot received from a LEC in connection with "equal access" for that LEC's public telephones and to name AT&T as Agent's "0+" PIC on the ballot. Nothing in this Agreement requires Agent to route "1+" interLATA calls to AT&T from the telephones covered by this Agreement. 3. Agent must inform AT&T of the telephone line numbers for each of the LEC public telephones at the locations listed in Attachment A ("locations") and all changes or additions to those numbers. Agent may direct the appropriate LEC to provide AT&T with such information, but AT&T is not obligated to pay the commissions described in paragraph 5 below unless and until it has been provided with correct line numbers for the LEC public telephones. 4. Agent will use its best efforts to retain the placement of the LEC public telephones at the locations listed in Attachment A during the term of this Agreement. If the number of LEC public telephones covered by this Agreement decreases substantially, AT&T has the right to terminate this Agreement. 5. AT&T agrees to pay Agent a commission as described in Attachment B on the billed revenues for non - sent paid i.e., collect, credit card and billed to third number) AT&T calls placed from the LEC public telephones at the locations listed in Attachment A, provided that: a. Agent complies with all of the requirements in paragraphs 1-4 above. b. Agent will indemnify and hold AT&T harmless against any claim by any third party for commissions relating to the LEC public telephones covered by this Agreement. c. Agent will provide AT&T or its designee with reasonable access to Agent's records relating to this Agreement. 6. This Agreement will begin upon the signing of this Agreement by both parties and will be in effect for the period described in Attachment B. AT&T's obligation to pay commissions pursuant to paragraph 5 above will begin on the date that any LEC first implements Agent's selection of AT&T as Agent's "0+" PIC from that LEC's covered telephones. AT&T may terminate this Agreement with respect to any or all of the locations listed in Attachment A by sending written notice to Agent if the Federal Communications Commission, a State Public Utilities Commission or a court of competent jurisdiction issues an order or ruling which contains terms or conditions that materially and adversely affect this Agreement, its profitability to AT&T, or the ability of AT&T or Agent to perform its (over please) CITY OF LUBBOCK REQUESTS FOR PROPOSALS PAY TELEPHONE LONG DISTANCE SERVICE GENERAL INFORMATION 1.01 SECTION INCLUDES A. PURPOSE B. CURRENT ENVIRONMENT C. TECHNICAL SPECIFICATIONS D. VENDOR QUESTIONNAIRE E. PROPOSAL ANALYSIS CRITERIA 1.02 PURPOSE The City of Lubbock is requesting proposals for inter-LATA and international, long distance service, for pay telephones located in various City facilities. 1.03 CURRENT ENVIRONMENT Sixty three City of Lubbock facilities currently have pay telephones available for public use. With the exception of thirteen (13) AT&T Card Caller telephones located at Lubbock International Airport (LIA), all pay phones in City buildings or on City property are owned and maintained by Southwestern Bell Telephone Company. The greatest concentration of pay phones is located at LIA, with fewer numbers located at the Memorial Civic Center and Auditorium Colisem, respectively. The remainder are single units at Community Centers, Softball Fields, Libraries and other Municipal Buildings. W 1.04 SPECIFICATIONS Vendors shall provide a comprehensive description of 'the long distance pay telephone services being proposed, based on specific criteria listed below. A. CONVENIENCE TO PUBLIC 1. Operator service must be available 24-hours a day for call handling, domestic and international directory service, complaint reports, and credit adjustments for cutoffs or poor transmission. AT&T Response: OPERATOR SERVICE: AT&T provides over 20,000 operators to assist customers with placing collect calls, third number or calling card calls. These operators can provide immediate credit for cutoffs and poor transmissions. These operators have an average experience level of 13 years and are available 24 hours a day, 365 days a year. Sent paid call refunds from SWBT telephones are also handled immediately. The caller, via the AT&T operator, is transferred to a refund center. The center processes the refund and mails it to the customer. If requested, the center can comply within 10 working days. If the customer requests a refund on a non -sent paid call for either a wrong number or service difficulty (i.e. poor transmission or cutoff), the caller may contact the AT&T operator (00) for immediate credit. Or, the customer may wait for their bill and receive credit from the AT&T business office. In addition, customer complaints of any type will receive immediate response by dialing 0000 to reach an AT&T operator. The Service Assistant in the AT&T Operator Services Center would handle the call. DIRECTORY ASSISTANCE: Domestic and international directory service is available. 2. Vendors shall state, in writing, their plans for compliance with Americans with Disabilities Act, (ADA) regarding pay phone long distance services. AT&T Response: The AT&T Card Callers do comply with Americans with Disabilities Act (ADA). All phones currently have volume control and AT&T is aware of height requirements, cord length requirements, wheelchair specifications, and hearing aid compatibility. The AT&T Network has relay services for the deaf and an Operator Service Center which is dedicated to the hearing impaired traveler. 4 AT&T operator Services for the Deaf has been equipped with an advanced computer system, which helps operators speed up the processing time of collect calls, Calling Card calls, calls billed to a third party, person -to -person calls and directory assistance calls. Text Telephone (TTY) users will be connected to the service within five seconds. In the event an operator is not immediately available, TTY users receive periodic confirmation of connection until an operator comes on the line. Operators at the center receive sensitivity training to help them understand the world in which people who are deaf, hard -of -hearing or speech - impaired live. The AT&T network recognizes the tones emitted by TDD's and TTY's. Any passenger utilizing a TDD or TTY will be automatically connected to our Deaf Center. 3. Multilingual capability must be in place and available. AT&T Response: AT&T operators provide free of charge assistance to customers in over eighty-six (86) foreign languages. If our operators are unable to assist a customer in a particular language, they will call the distant country and have that country's operator assist in completing the call at no extra charge to the customer. When using AT&T, language is no barrier to your clients needs. AT&T operators are available to assist our customers with language assistance 24 hours a day, 365 days a year. A significant increase in the number of Hispanics in the United States has lead to AT&T establishing its own unique operator services unit called "AT&T Espanol". Any Spanish language caller can be directly routed to this special service group to facilitate the completion of their call. AT&T LFiNGUAGE LINE SERVICE AT&T Language Line Service provides quick, accurate, and inexpensive interpretation by telephone in over 140 languages. Available 24 hours a day, 365 days a year, this service can be invaluable to both your users who don't speak English and to the City of Lubbock staff. Today, an estimated 8 to 12 million people living in the United States do not speak English. In addition, over 20 million foreigners visit the States each year. With the help of a Language Line Service interpreter, the City of Lubbock can quickly and efficiently meet their needs --- both over the phone and in face-to-face situations. AT&T Language Line Service lets you communicate with people all over the world. You can conduct overseas business easily via a three-way call. And, Language Line Service can provide full document translation services via fax, modem or mail. This service is available to any user with payment via commercial credit cards. 5 4. Audible signal shall be of highest quality. AT&T Response: AT&T's commitment to provide premier long distance service requires thorough research and development processes consistent with AT&T standards of quality. AT&T's Research and Development (R&D) division - AT&T Bell labs - is the world's premier R&D facility. We are a world leader in number of patents received and we continue to lead in number of new patents. 5. Short call setup time from last digit dialed to credit card tone dial signals, operator answer, and first ring at destination are required. AT&T Response: AT&T relies on SWBT to provide access functions to our customers. Once the SWBT system begins to transmit the call information to our operator system (5ESS Switch) it requires approximately 4.5 seconds before the AT&T audible logo "tone" is given to the customer. Any additional time added by the local exchange company system is not included in this interval. The maximum time it takes a call to begin ringing after the last digit of a calling card is dialed is approximately six (6) seconds. With AT&T, card validation is performed in the AT&T network. Once the AT&T audible logo bong tone is heard, the customer is in the AT&T network, and can then enter their card number. Card validation in the network allows faster call set up intervals. In addition, AT&T offers sequence dialing using the "#" key. Research shows that this service increases calls made from public telephones and is a fraud preventive, time saving convenience for travelers. Sequence calling places AT&T as the leader for call set up time since the card information is retained. 6. Capability for easily placed calls to all domestic and international locations in the world. AT&T Response: AT&T's Worldwide Intelligent Network handles more than 75 million calls per day. Calls placed on the AT&T network are completed 99.97% of the time on the first try. We have service to more than 250 foreign countries. Over 177 of these countries may be dialed directly, more than any other long distance company. AT&T, as a network provider, will complete 1+ international calls from SWBT payphones providing that the customer deposits the required coinage into the telephone. AT&T offers 0+ capability 24 hours a day, every day of the year, to 250+ countries, 177 of which have direct dial service. AT&T operators also provide assistance to customers in over 86 foreign languages. 6 If our operators are unable to assist a customer in a particular language, they will call the distant country and have that country operator assist in completing the call at no extra charge to the customer. AT&T also offers the following advantages to the international caller: Discounts from 25% to 40% off AT&T Standard Rates available to MORE areas and countries. International Calling Card available from MORE International Countries. USA Direct Service offers QUICK 24-hour access to an AT&T operator in the USA from over 75 countries. 1+ international calls are not available from private payphone company stations. 0+ international calls from private payphone company stations must default to an intercept operator for completion. 7. List credit card options, and methods to control pay phone fraud. AT&T Response: AT&T accepts American Express, MasterCard, Visa, Diners Club and Discover on the AT&T Card callers. AT&T can bill and validate the following credit card methods of payment for long distance service: Local Exchange Company Calling Cards (Bell) A majority of the Independent Telephone Co cards AT&T Line Number Cards * AT&T Call Me Cards * AT&T Non -Subscriber Cards (Military) * AT&T EXECQ-BILLSM Cards Service * AT&T Special Billed Number Cards * AT&T Smart Cards (CAS) * AT&T Universal Card (35 million projected by 1995) * AT&T CIID 891 Card (AT&T's Proprietary Card designed to replace shared line # cards) * AT&T Card with Megacom Service * AT&T SDN NRA+ Card with or without Execu-Bill * AT&T VTNS Card with or without Execu-Bill (* Indicates Exclusive Billing available only to AT&T) Many of AT&T's corporate calling cards (Execu-Bill, SDN) provide bulk discounts and other economic incentives for use. A number of corporations are instructing their employees to use these AT&T proprietary cards to allow the corporation to benefit from special AT&T Card pricing plans. Hence, these travelers will be looking for establishments that provide public phone service with AT&T long distance. 7 The popularity and market penetration of the AT&T Card Family is a significant factor to the City of Lubbock. AT&T has, according to a May, 1991 Nilson Report, over 41% of the calling card market share. Our nearest competitor is MCI with 14%, then Sprint with 9.3%. Note: The Bell companies have approximately 28% of the market. In July, 1990 AT&T began plans to migrate all of our shared calling cards (with use data) to proprietary AT&T cards or CIID 891 cards. These cards meet billed party preference requirements. Currently 95% of our calling cards are migrated. In 1992, AT&T plans to offer new economic incentives to our heavy business users to promote the use of the AT&T proprietary card (i.e. AT&T Corporate is Execu-Bill). In addition, the proprietary card will offer other features, such as billing capabilities to voice messaging, teleconferencing and voice mail boxes. There are many types of fraud and AT&T works diligently to provide methods to control pay phone fraud. Several ways AT&T has used to control fraud are: - not allowing collect calls to a payphone - not using store and forward boxes - not allowing dial -tone regeneration - line screening - verifying third numbers with third party billing calls S. Vendors shall describe reliability of service being proposed. AT&T Response: AT&T's network processes calls on the first time 99.97% of the time. AT&T has spent over $8 billion in the last 10 years to upgrade our network. For example, in 1991 our busiest calling day was the Monday after Thanksgiving. We processed over 150 million calls. Only 258 failed to go through on the first try! 9. An adequate Staff of trained operators shall be available on each shift at the service center to handle call traffic expeditiously. AT&T Response: AT&T has over 20,000 operators available to assist customers with placing calls. Lubbock is served by many operator centers: Dallas, Ft. Worth, Longview, Odessa and Ennis. The call will go to the first operator available at any of these offices. The centers are manned 24 hours a day with ample staff provided for each shift. The operators are well trained, with the average service experience of these professionals being thirteen (13) years. The average speed of answer of the AT&T operators is 2.8 seconds. 8 10. Operator charges for credit card, third party, collect, person -to -person, and directory assistance calls shall not exceed the current AT&T charges at any time. Likewise, charges shall not exceed AT&T's charges during the life of the contract. AT&T Response: AT&T rates are set and monitored by the Federal Communication Commission (FCC) and the Texas Public Utility Commission (PUC). AT&T is prohibited from charging rates which exceed those filed with the FCC and PUC. 11. Measured time rates shall not exceed the current AT&T rates to any location in the world, and shall not exceed AT&T's rates during the life of the contract. AT&T Response: AT&T rates are set and monitored by the Federal Communication Commission (FCC) and the Texas Public Utility Commission (PUC). AT&T is prohibited from charging rates which exceed those filed with the FCC and PUC. 12. Grade of service required is P.01. AT&T Response: AT&T's grade of service is P.01. 13. Easy to understand charge records for public pay telephone users shall be provided. AT&T Response: See Exhibit 1 for a copy of a bill that an end user will receive. 14. Answer supervision is required. AT&T Response: AT&T's True Answer Supervision is performed at both access and egress ends of a call. (AT&T uses true answer supervision throughout its worldwide intelligent network, NOT noise sampling or a tuning algorithm technique.) AT&T's timing is done by mechanized supervision, the equipment recognizes on -hook and off - hook conditions. On calls originating from SWBT pay stations, timing stops when either party hangs up. 9 B. TECHNICAL CAPABILITIES AND RESOURCES 1. Information regarding single vendor, versus sub -contracted operator services shall be provided. AT&T Response: AT&T will not utilize subcontractors to provide network capabilities or operator assistance. AT&T has over 20,000 operators employed. These professionals have an average of 13 years service with AT&T. 2. Vendors shall provide location(s) of transmission facilities and operator service center repair technicians. AT&T Response: A 5-E Switcher is located in Lubbock. It is maintained by eight (8) technicians with one (1) supervisor on premise. There are 114 switches nationwide. operator service center repair technicians are located in Dallas, Odessa, Ennis, Ft. Worth, and Longview. These offices all handle the City of Lubbock. There are 115 centers nationwide. 3. Vendors shall identify and experience level of event of a major system AT&T Response: the number, qualifications location all technicians available in the failure. Two (2) national alarm centers monitor our systems. The centers in Atlanta and Denver have 300 people each and thousands of field people are available nationwide. Eight (8) technicians in Lubbock are dedicated to the network. In the event of a major failure, technicians can be brought in from Midland, Amarillo, and Sweetwater. Systems are monitored 24 hours a day. The technicians are highly trained and have an average of 20 years experience. 4. Alternate routing facilities, nationwide and world-wide shall be provided. AT&T Response: AT&T's commitment is to restore service within the best time frames possible. Restoration may take seconds or minutes. AT&T offers the City of Lubbock the following service information: AT&T will be able to provide Real Time Network Routing (RTNR). This will provide greater reliability in our network. This new software system, based in the 15 ESS switches, provides the capability for every switch within the AT&T network to know the available capacity of every other switch in the network on a real- time basis. 10 To customers, that means that a call coming into the AT&T network will have more than 100 ways to be routed across the network since there are more than 100 15 ESS switches. This type of routing will provide a substantial enhancement for call completion. If the problem resides within SWBT's Central office, restoration may take longer. AT&T relies on SWBT to provide access to our network. AT&T provides other protection to the City of Lubbock, such as: (1) FACILITIES RESTORATION Along every AT&T route, a certain number of circuits are set aside for use in restoration efforts whenever there is a major service outage (switched and special services). These circuits held in reserve are called "protection" circuits. If one route has a problem, protection circuits on other routes can be called into service. When a facilities problem occurs, such as a cable cut, a number of activities must be performed: o There must be recognition that a problem has occurred. o The exact location of the problem must be detexvined. o The amount and location of currently available "protection" or back-up/spare facilities must be determined. o A substitute route must be constructed from the available spare facilities. o The substitute route must be tested to ensure it is operational and of high quality. o The traffic on the damaged route must be moved ("rolled over") in network jargon) to the substitute route. (2) REPAIR OF DAMAGED FACILITIES When facilities or equipment damage does occur, AT&T's objective is to restore those facilities to normal operation as rapidly as possible. Moving into the future, the activity of repair will become a less visible function as Fast Automatic Restoration (FASTAR) and Real Time Network routing (RTNR) work together to help ensure that the majority of traffic is flowing again in a matter of minutes. But repair can make a major service difference. For example, as fiber pairs were restored following the January 4, 1991, Newark cable incident, service began to flow again almost immediately on the reconnected fibers. So repair can contribute to rapid restoral of service as well. 11 Quality techniques in repair and maintenance are continually being strengthened, and these techniques are also becoming increasingly sophisticated to keep pace with technologies capable of handling ever -larger call volumes. 5. Vendors shall provide information regarding ownership of facilities as opposed to leased facilities, or percentage of "hand -on" traffic. AT&T Response: AT&T owns all of the facilities utilized in providing pay telephone long distance to the City of Lubbock. All of the long distance traffic is handled only by AT&T. 6. Vendors shall provide a detailed description of the long distance network facilities, including interconnect arrangements, and provisions taken to ensure quality transmission integrity. AT&T Response: AT&T provides service at our network center in Basking Ridge, NJ 24 hours, 365 days a year. In addition, regional personnel are available 24 hours to assist the City of Lubbock with problems. AT&T's network is highly sophisticated and provides the following to monitor calls placed over the AT&T network from the City of Lubbock pay stations. NETWORK FACILITIES The migration to a digital network is achieving significant savings in maintenance as well as improvements in equipment reliability and transmission quality. The dominant digital transmission medium in the AT&T network is the FT Series G lightwave system. It differs from coaxial systems in that it has greater circuit capacity per route. And it differs from lower capacity microwave radio systems in that its buried cables are subject to the hazards of excavation, mud slides, floods, and earthquakes. The AT&T network consists of digital facilities that are connected to form a nationwide grid, with many alternate paths connecting all major cities to assure route diversity. This grid architecture underlies the facility restoration strategy. Digital Access and Cross -connect Systems (DACS) III-2000 (which cross - connect DS3 - 15 MB/s - facilities) are installed at grid junctions. If a failure cannot be completely restored with protection switching, facility restoration may be invoked. A facility Monitor and Control System detects the failure and computes alternate routes based on available network capacity. 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MN aam b�M�OIV [a Olt oM 0 ON •Q�•�• N•� a a� o M '�'i N �•� Ph Hr N 0^0rto � He He N.0 V O Hert• vN H, 0 M�"c 0 He r} He Frt1 �p0�p p�rt w to 0 rD��aca p�D 0 0 it 1Io H•��cr-t° b0•A rt Ph RO AANN 0 0M0a rta0 pt •HN�•5 �T �p OO W� N 0 rt �r ' o p0M011 1� 5aoM��o �a M NHe cai �aa� 1 M 0 O�afDr"t rt � M rM Al t He��Hif,�Nti °r• 0r He H0 0 N a0 °� �- aa a�0r"t; 0 0 a " N A0oIle,a HH++ �+ R a' ~ N' rn $ a N 0He $NN1 Hem N He rt H. "' H�• M.1 0 rtoo000a fD N � 0 n' o C+ ° o 0 1. H w 14 Different strategies are required for switched access and private - line access, each of which has unique needs. However, the strategies share a common requirement for path diversity from the customer location or local exchange carrier (LEC) office to one or more AT&T service nodes. Switched services such as long distance, MATS, and 800 can be protected in the access network. Under normal conditions, calls from the originating line pass through the LEC office to either the A or B originating 5ESS switch. If either switch or the facility linking then to the LEC office fails, the originating line remains connected to the network via the intact path. Once the call enters the network it is protected by the self -healing capabilities described for the ASN. NETWORK MANAGEMENT Performance of the entire AT&T network is monitored 24 hours a day, every day of the year in the AT&T Network Operations Center in Bedminster, NJ and in regional centers. Surveillance systems inform highly trained network managers of changing network conditions including failures. The managers access the impact of the failure and the effect of the ensuing self -healing response. Managers may intervene using sophisticated controls to re-route traffic or otherwise improve network performance. 7. Information on the type of transmission facilities (wire, microwave, fiber optic, satellite) shall be included in proposals. AT&T Response: AT&T has fiber optic, radio and microwave transmission facilities. The ratio of our facilities are as follows: Fiber Optic 85% Radio/Microwave 15% 8. Information shall be provided operator service center during facility failure periods. AT&T Response: on availability of alternate light traffic periods, and The City of Lubbock is chiefly served by five (5) Operator Service Centers: Odessa, Dallas, Ft. Worth, Longview, and Ennis. AT&T is capable of routing traffic from any operator center to another of our 115 operator centers. AT&T's commitment is to restore service within the best time frames possible. Restoration may take seconds or minutes. Please see AT&T's response under item 14 for additional information on facility restoration. 15 C. REVENUE/OPTIONS 1. Vendors shall provide comprehensive information about commission percentage of gross revenue, from long distance pay telephone traffic. AT&T Response: The City of Lubbock, as a municipal entity, is eligible for the Public Technology Inc, (PTI) Commission Agreement. Currently this agreement is at a 20% commission rate. This means an immediate 47% rise in commissions. Without PTI: 1991 $179,931.89 X 11% _ $19,792,51 With PTI: 1991 $179,931.89 X 20% _ $35,986.38 Public Technology Inc. (PTI) is the research and development arm of the National League of Cities and the International City Managers Association. For each entity that signs an AT&T/PTI Agreement, AT&T pays a bonus to PTI. This bonus money is then given back to cities in the form of research grants or technological assistance. Please see Tab 3 for additional information on the AT&T/PTI commission agreement. AT&T Customer Loyalty: It is important for the City of Lubbock to consider the loyalty of the AT&T customer when evaluating competitive offers. If the AT&T customer fails to find AT&T on public phones he or she will 'dial around" the carrier on the phones to reach AT&T via our 10-ATT-0 access code. The Big 6 accounting firm Coopers & Lybrand has verified that ■dial around" on telephones subscribed to other long distance carriers is 29%. (Please see Exhibit 2 for a copy of the Coopers & Lybrand Report) . This means other carriers are losing almost 30% of the revenue they could pay commissions on. If another carrier offers the City of Lubbock 25%, it is an effective offer of 18%. AT&T's migration of the majority of our calling cards to proprietary cards, (which can only be billed by the AT&T network) will only escalate this number. 16 2. If applicable, information on bonuses shall be included. AT&T Response: AT&T is prohibited under the terms of the AT&T/PTI agreement frog offering bonuses to the municipalities. AT&T does compensate PTI for each municipality under the AT&T/PTI Agreement. These bonuses are then given back to the municipalities in the form of research and development grants. In addition, in June of 1991, PTI entered into an agreement with the American Association of Airport Executives (AAAE). This agreement allows PTI to make a donation of a portion of the funds PTI receives from AT&T under the terms of the AT&T/PTI agreement to the AAAE Foundation. The AAAE Foundation assists AAAE member families with educational grants. A donation would come to AAAE on behalf of the City of Lubbock. 3. Vendors shall provide minimum annual revenue guarantee amount. AT&T Response: The AT&T/PTI Amendment provides for consistently high commission rates and consistent with the PTI agreement, no minimum guarantees are allowed. However, AT&T estimates, based on the current PTI commission offer that the City will receive the following minimum commission payments each year: $180,000 X 20% = $36,000 4. Vendors shall provide information on coverage of per line charges for carrier changes. AT&T Response: As AT&T is the City's current carrier, no line change charges are applicable. If it was necessary to correct any phones "slammed" to another carrier without the City's permission, AT&T will pay those charges. D. FINANCIAL RESPONSIBILITY 1. Vendors shall provide a current financial statement of operations, as well financial statements for sub -contractors and/or co -proposers, if applicable. AT&T Response: AT&T's 1991 annual report is included under Exhibit 4. AT&T will not utilize sub -contractors or co -proposers. 17 2. Vendor's responses to Request for Proposals shall include reference from current governmental agencies. AT&T Response: Public Technology, Inc. (PTI), is affiliated with the largest governmentaI agencies in existence. PTI is governed by the National League of Cities, the National Association of Counties and the International City Management Association. See Tab 3 for reference letter from Maureen Peacock, Business Analyst with Public Technology, Inc. (PTI). 3. The vendor, by making this proposal, represents that the firm has the capabilities, hardware and personnel necessary to provide efficient and dependable long distance pay telephone service. AT&T Response: AT&T has the largest, most extensive network of any long distance carrier. We have over 115,000 service personnel dedicated to supporting our network and our customers. AT&T provides contracted operator service to 2,429,688 Bell pay stations and 74,000 private pay stations nationally. We also have over 22,000 AT&T public telephones installed. AT&T assures the City of Lubbock that we have the capability, hardware, and personnel necessary to provide efficient and dependable long distance pay telephone service. 4. Proposals should include all information solicited by this request, plus any additional data, prints, literature, etc., that the respondent deems pertinent to the understanding and evaluation of this proposal. AT&T Response: Following is general information on AT&T services. Brochures on many of these products are behind Exhibit 9. -Public Phone 2000: An advanced public telephone with a full color monitor, speed dial functions, ability to customize the City of Lubbock logo to scroll on the phone, keyboard unit (functions as a TDD)and modem port. -Language Line: A telephone based interpreting service serving 143 languages. -Public Fax: A state of the art plain paper facsimile service with commission paid on the use of the machines to Lubbock. -Message 11, 2, 3: Allows caller to leave a message for automatic or attendant delivery. 18 -Ship to Shore/High Seas: Establish transoceanic calls. Alliance Teleconference: AT&T Conference operators can establish a conference call with up to 500 users. -National Bilingual Center: AT&T provides assistance with billing or product questions in our customers native language. AT&T has established Spanish & Asian Language Centers. We can provide assistance in over 143 languages via AT&T's Language Line. AT&T's commitment to provide premier long distance service requires thorough research and development processes consistent with AT&T standards of quality. AT&T's Research and Development (RED) division - AT&T Bell Labs - is the world's premier RED facility. We are a world leader in number of patents received and we continue to lead in number of new patents. We consistently search for communication solutions for our end - users and our agents such as the City of Lubbock. AT&T's commitment to the public revenue market is well orchestrated. We will continue to provide incentives for our customers to use their proprietary calling cards. We will search for new ways to enhance our image as a full service public communications provider with innovative products and services. AT&T offers the following additional network based services: AT&T VOICE MESSAGING SERVICE helps your busy travelers deliver their messages anytime, anywhere that's convenient for them or the person they want to reach. With VOICE MESSAGING SERVICE they can record a one -minute message from any of your telephones with 800 number access, or by dialing 11, 2, 3 after a busy/no answer. They can arrange to have the message delivered immediately or up to one week later. And recipients can record a reply message at no extra cost. Your users pay only for delivered messages. You don't need to pay anything to get the service and the only equipment you needs js 4 telephone with AT&T. AT&T !SAIL electronic mail service which changes text to voice, anyone can sign up, operators available (service to be used by Federal Government). AT&T MESSAGE ACCESS SERVICE provided via an attendant center operation. Functionally, the service consists of a group of attendants taking messages over the telephone and entering the messages via a terminal into the end -user's electronic mail system. 19 The service gives end -users access to their electronic mailbox when they do not have access to (or care to use) a surrogate for the customer (end -user) by: scanning the mailbox for message, quickly accessing and reading those of interest to the end -user, filing messages as appropriate and replying to associates via direct message input. Available 24 hours a day, 365 days a year. TELECOMMUNICATIONS DEVICE FOR THE DEAF (TDD) are services for the speech and hearing impaired, enabling customers to communicate over the voice network as follows: TDD - TDD uses an alphanumeric keyboard, visual display and TDD operators. AT&T OPERATOR SERVICES FOR THE DEAF Dual Party Relay - This makes telephone conversation possible between he hearing and the hearing -impaired through messages alternately relayed via voice and Teletype. Country Direct Service Allows customers to directly reach native operators in eleven (11) countries from the United States. AT&T Espanol Customers are connected to Spanish speaking operators who will assist them in completing the call (the largest group of non- English speaking callers in the U.S.). AT&T's O+ is often imitated -- but never duplicated. AT&T does not convert our O+ traffic to 1+ traffic so the end user receives immediate connection to our network or an AT&T operator. Conversion requires expense for billing and validation. Instances of fraud within the AT&T network are lower as we have sophisticated technologies to validate calls within the AT&T network. Conversion requires unacceptable intervals for call connection and user dissatisfaction. Longer intervals do equate to lost calls and lost commissions. In some instances, such as access to certain foreign countries, the other carriers are unable to process the calls and must advise the caller and/or pass the call to AT&T. AT&T will assist the Citv of Lubbock in building a calling center at Lubbock International Airport. Products could include: Public Fax, Computers, Copying, and Postal Services. Kul 5. The City of Lubbock requires the company supplying long distance pay telephone service to act as the single.point of contact for network related trouble reporting and problem resolution with Southwestern Bell, and/or any other service provider involved. This shall be stated in writing as part of the proposal. AT&T Response: The City of Lubbock can contact Ms. Deborah Brown at (214)308-4017 for a single point of contact for network related trouble reporting and problem resolution with Southwestern Bell, and/or any other service provider involved. 6. Indicate who will collect fees and monies charged for long distance calls, including methods of recording, reporting, transmission of revenues, auditing, frequency and related accounting practices. Attach samples of allocation sheets and commissions checks. AT&T Response: Fees for calls placed "Sent -Paid" or by coin, and •Non -Sent Paid" or non coin (collect, third party, calling card) are collected by AT&T and passed to Southwestern Bell Telephone on a "real time" basis. (Southwestern Bell bills AT&T's end user's.) AT&T's network tracks originating and terminating location, time of day and call duration. This data is by call type (i.e., credit card, collect, third number billed) and is transmitted to SWBT billing tapes. AT&T traffic statistics indicate that approximately 75 million calls are processed per day over AT&T's network. AT&T uses a commission and revenue data system called AT&T Point. All interLATA calls for the OSPS AT&T office and call detail for messages (calls) per month are recorded via mechanized magnetic tape. The public payphone market accounts for 45% of the total traffic data captures. All details denoting call, length of call, physical rating of times and duration of calls and any other information necessary to process call billing is sent to the Automatic Message Accounting (AMA) Center, regional Process Center (RPC) and AT&T Point System Center. AT&T handles our 0+ traffic through the Operator Service Position System (OSPS). The OSPS is a state of the art long distance call handling system. This new system utilizes digital electronic switching equipment that processes calls in an advanced manner. The sophistication of the AT&T OSPS unit that would service the City of Lubbock is evident by the following: Permanent Overflow Allows calls to be switched from one electronic switching office to another. For example, in the event of an overload, this feature will immediately send calls to another switching location for completion. This capability also enhances the call flow distribution within the operating unit by sending a call to the most available operator. 21 VDT (Video Display Terminal) Video Display Terminal and Keyboard provides the operator with the ability to place call details on -screen for immediate viewing and automatic keying corrections, if necessary, thereby decreasing the need for customers to repeat information. Enhanced Fraud Control Protection This feature provides the operator with the ability to voice disconnect (mute) one party while obtaining pertinent billing details or other private information. The AT&T network must pass major internal audits done on a consistent basis hour by hour. Please see our alternate access methods under our response to question JB4. Our accounting practices are audited by internal and external audits on a monthly basis. Please see Exhibit 4 for a copy of the AT&TJ's Annual Report. See Exhibit 5 for a copy of commission checks. 1.05 VENDOR QUESTIONNAIRE 1. Does your company provide 24-hour per day, 7-day per week services described in 1.04A? AT&T Response: All AT&T services are available 24 hours a day, 7 days per week. 2. Does your company provide multilingual operators? If yes, list the languages spoken. AT&T Response: AT&T operators provide assistance to customers in over eighty six (86) foreign languages. If our operators are unable to assist a customer in a particular language, they will call the distant country and have that country's operator assist in completing the call at no extra charge to the customer. When using AT&T, language is no barrier to your clients needs. AT&T operators are available to assist our customers with language assistance 24 hours a day, 365 days a year. A significant increase in the number of Hispanics in the United States has lead to AT&T establishing its own unique Hispanic operator services unit called "AT&T Espanol". Any Spanish language caller can be directly routed to this special service group o facilitate the completion of their call. See Exhibit 6 for a brochure on AT&T•s Language Line Services and listing of languages available. 3. Call Setup Quality test requirements: - Provide your local point of premise access phone number. Provide a free "test" credit card number. 22 Provide a telephone number of an East Coast, and a West Coast location that will accept collect calls. Provide a telephone number that can be used to test third party call processing. Provide the long distance directory assistance numbers. List the credit cards your company will accept. AT&T Response: our local point of premise access phone number is Milt Palmer, Technician. He can be reached at (806)765-4776. For security reasons: AT&T does not provide a free "test" credit card number. However AT&T will cooperate fully in testing the quality of our network in a joint project with the City of Lubbock. An East Coast telephone number that will accept collect calls is 908-603-5307. A West Coast number is 510-224-5497. A third party test call can be completed with advance notice. A test number is not provided. AT&T's long distance directory assistance numbers are (1+area code + 555-1212) or for 800 numbers (1-800-555-1212). AT&T can bill and validate the following credit card methods of payment for long distance service: - American Express, MasterCard, Visa, Diners Club and Discover - Local Exchange Company Calling Cards (Bell) - A majority of the Independent Telephone Co cards - AT&T Line Number Cards * AT&T Call Me Cards * AT&T Non -Subscriber Cards (Military) * AT&T EXECU-BILLSM Cards Service * AT&T Special Billed Number Cards * AT&T Smart Cards (CAS) * AT&T Universal Card (35 million projected by 1995) * AT&T CIID 891 Card (AT&T's Proprietary Card designed to replace shared line # cards) * AT&T Card with Megacoa Service * AT&T SDN NRA+ Card with or without Execu-Bill * AT&T VTNS Card with or without Execu-Bill (* Indicates Exclusive Billing available only to AT&T) W Many of AT&T's corporate calling cards (Execu-Bill, SDN) provide bulk discounts and other economic incentives for use. A number of corporations are instructing their employees to use these AT&T proprietary cards to allow the corporation to benefit from special AT&T Card pricing plans. Hence, these travelers will be looking for establishments that provide public phone service with AT&T long distance. The popularity and market penetration of the AT&T Card Family is a significant factory to the City of Lubbock. AT&T has, according to a May, 1991 Nilson Report, over 41% of the calling card market share. our nearest competitor is MCI with 14%, then Sprint with 9.3%. Note: The Bell companies have approximately 28% of the market. In July, 1990 AT&T began plans to migrate all of our shared calling cards (with use data) to proprietary AT&T cards or CIID 891 cards. These cards meet billed party preference requirements. Currently 95% of our calling cards are migrated. In 1992, AT&T plans to offer new economic incentives to our heavy business users to promote the use of the AT&T proprietary card (i.e. AT&T Corporate & Execu-Bill). In addition, the proprietary card will offer other features, such as billing capabilities to voice messaging, teleconferencing and voice mail boxes. 4. Provide a list of areas in the world to which calls cannot be placed by your company. AT&T Response: AT&T can handle frog anywhere to any destination in the world that has telephone service available. We handle service to more destinations than any other long distance company. 5. List your operator service charges for the following types of calls. If there is a variation of these charges based on time of day, weekends, holidays or locale, please explain. AT&T Response: INTERSTATE INTRASTATE Credit Card (Operator assisted) $1.75 1.55 Credit Card (No operator assisted) $ .80 1.05 Person -to -Person Calls $3.50 3.15 Collect Calls $1.75 1.55 Third Party Calls $1.75 1.55 Directory Assistance Calls $ .70 .55 Please see the Appendices for the current FCC and PUC AT&T tariffed rates and surcharges applicable to the service offered under the terms of this contract. 24 AT&T bases the rate charged for interLATA calls on four (4) basic parameters: time of day, day of week, mileage between calling and called points and billing mechanism. Time of day discounts apply for evening, night and weekend calls. Calls placed•on holidays (New Year's Day, Martin Luther Ring Day*, Washington's Birthday*, Memorial Day*, Columbus Day*, Independence Day, Labor Day, Veteran's Day, Thanksgiving Day and Christmas Day) are rated at the evening rate. (The holiday discount rate does not apply on calls to overseas points and to Mexico). Tariffed rate structure for operator assisted calls is comprised of the DDD (Direct Distant Dialed) rate plus a service charge based on the type of billing. These two rate structures compose the total price of the call, which is the industry standard and what your users expect. *Federally observed day only. 6. List the number of operators available on each shift, relative to the following: Primary Operator Service Center: Day Shift Evening Shift Midnight Shift Holidays Alternative Operator Service Center: Day Shift Evening Shift Night Shift Holidays AT&T Response: The City of Lubbock is served by AT&T Operator Service Centers in Dallas, Odessa, Ennis, Ft. Worth and Longview, Texas. There is not just a primary or alternative office that may handle traffic. It could be an operator from any of these offices that handles the call. As of 3-1-92, there were 526 operators that serve Lubbock. Operator scheduling varies each day of each week so the following is an example of 2 of the offices: Dallas Ennis Day Shift 20 25-30 Evening 25-30 25-30 Midnight 10-15 10 Holidays 25 25-30 25 7. Provide a complete description of your company's corporate structure and of any sub -contracted or leased facilities. Include locations of those facilities. AT&T Response: AT&T as a corporation is structured by divisions. The divisions which will support this contract are the Network Services group and the Consumer Communication Services. Please see AT&T•s Annual Report, Exhibit 4, for a complete corporate structure of these two (2) groups. AT&T does not lease facilities from other vendors. 8. Provide a copy of your company's worldwide time of day rate schedule. AT&T Response: See Exhibit 3 for a list of AT&T's worldwide time of day rate schedule. 26 10. Does your company sub -contract any operator services to other vendors? If so, provide complete details. AT&T Response: No. Only AT&T operators are used to provide service to the City of Lubbock and the public telephone users. 11. Will your network accept analog data transmissions from FAX machines, PC's, Laptop Computers, etc. If yes, what speed? AT&T Response: AT&T's network accepts all types and all speeds of analog data transmission. 12. Describe the mix of technology used on calls carried over your company's network. AT&T Response: % Fiber Optic 85% % Wire 0% % Coaxial 0% % Satellite 0% % Radio/Microwave 15% 13. Describe your company's system of reporting, that will produce revenue reports showing gross income, and revenue by pay phone number and location. AT&T Response: Fees for calls placed "Sent -Paid" or by coin, and "non -Sent Paid" or non coin (collect, third party, calling card) are collected by Southwestern Bell telephone and passed to AT&T's network on a "real time" basis. AT&T's network tracks originating and terminating location, time of day and call duration. This data is by call type (i.e., credit card, collect, third number billed) and is transmitted to SWBT billing tapes. AT&T traffic statistics indicate that approximately 75 million calls are processed per day over AT&T's network. AT&T uses a commission and revenue data system called AT&T Point. All interLATA calls to the OSPS AT&T office and call detail for messages (calls) per month are recorded via mechanized magnetic tape. The public payphone market accounts for 45% of the total traffic data captures. All details denoting call, length of call, physical rating of times and duration of calls and any other information necessary to process call billing is sent to the Automatic Message Accounting (AMA) Center, regional Process Center (RPC) and AT&T Point System Center. 27 From the AT&T Point System Call detail is passed by station number to the AT&T Public Equal Access Tracking System (PEAT). The PEAT system provides revenues and commission reports and issues commissions checks. See Exhibit 7 for an example of 'the AT&T revenue and commission report. The AT&T network must pass major internal audits done on a consistent basis hour by hour. Please see our alternate access methods under our response to question #B4. Our accounting practices are audited by internal and external audits on a monthly basis. 14. List the states in which your company is authorized to operate as an Inter -Exchange Carrier. AT&T Response: AT&T is authorized to operate as an Inter -Exchange Carrier to all fifty (50) states and over 250 foreign countries. 15. Provide current financial statements for your company, all sub -contractors, subsidiaries, and companies from which facilities and/or services are, or will be leased. AT&T Response: Please see Exhibit 4 for AT&T's 1991 Annual Report. AT&T will not utilize subcontractors or lease facilities. 16. Provide a comprehensive description of your company's experience in providing, supporting and maintaining long distance payphone services in International Airports and various other types of Governmental facilities. AT&T Response: AT&T has been in service since 1884 and has consistently provided long distance operator service since 1906. AT&T sets the industry standards for quality and reliability. As evidence of AT&T's ability to maintain, support, and provide long distance payphone services in international airports and various other types of governmental facilities, attached are the Top 100 airports and cities that AT&T serves. There are over 3,500 entities signed under the AT&T/PTI Agreement. NY ........ ......... . . _ . METROPOLITAN TRANSIT AUTHORITY 3503 CA COUNTY OF LOS ANGELES 1712 FL METRO-DADE COUNTY 1684 CA CITY AND COUNTY OF SAN FRANCISCO 1112 IL COOK COUNTY 938 TX DALLAS/FT. WORTH AIRPORT 873 OH CITY OF CLEVELAND 864 FL WALT DISNEY WORLD 823 TX HOUSTON AIRPORT SYSTEM 811 WI MILWAUKEE COUNTY 736 IL CHICAGO TRANSIT AUTHORITY 729 FL BROWARD COUNTY 693 CA COUNTY OF ALAMEDA 690 CA SAN FRANCISCO INT'L AIRPORT 650 MI DETROIT CITY OF 642 AZ PHOENIX SKY HARBOR AIRPORT 593 MO CITY OF ST. LOUIS 588 TX CITY OF SAN ANTONIO 580 IL CHICAGO PARK DISTRICT 572 MI DETROIT METROPOLITAN WAYNE 571 FL BROWARD COUNTY SHERIFF'S 516 OR CITY OF PORTLAND 366 KY CITY OF LOUISVILLE 363 MO PRINCE GEORGES COUNTY 356 WA PORT OF SEATTLE 342 CA ALAMEDA COUNTY INMATE WF 339 PA PITTSBURGH INT'L AIRPORT 329 NJ CITY OF ATLANTIC CITY 325 CA COUNTY OF KERN 317 TN MEMPHIS-SHELBY AIRPORT 313 NJ CITY OF NEWARK 285 VA METRO WASHINGTON AIRPORT AUTH. 281 WA KING COUNTY 258 AZ MARICOPA COUNTY SHERIFF 256 OH CUYAHOGA COUNTY 248 NY COUNTY OF ERIE 240 CA CITY OF SAN JOSE 234 FL CITY OF JACKSONVILLE 231 MD MONTGOMERY COUNTY GOVERNMENT 227 NV CLARK COUNTY AIRPORT 223 GA CITY OF ATLANTA 220 OH CINCINNATI INT'L AIRPORT 210 MO CITY OF KANSAS CITY 210 CA COUNTY OF SANTA CLARA 209 NJ COUNTY OF BERGEN 208 TX CITY OF AUSTIN/AIRPORT 207 AL _. ........ :.. ::. . . CITY OF BIRMINGHAM :... 203 OK CITY OF OKLAHOMA CITY 197 FL CITY OF MIAMI 196 CA SAN DIEGO UNIFIELD PORT 196 OR PORTLAND INT'L AIRPORT 195 FL COUNTY OF VOLUSIA 192 MD MONTGOMERY COUNTY PUBLIC 192 FL PORT EVERGLADES 189 CA COUNTY OF SAN JOAQUIN 188 NC PIEDMONT TRIAD AIRPORT 186 MI DETROIT PUBLIC SCHOOLS 185 LA NEW ORLEANS INT'L AIRPORT 185 CA CITY OF ANAHIEM 183 AL CITY OF MONTGOMERY 177 NJ COUNTY OF HUDSON 177 OH CITY OF COLUMBUS 173 CA CITY OF SAN DIEGO 173 CA COUNTY OF SAN BERNARDINO 171 FL PINELLAS COUNTY SHERIFF 159 CA COUNTY OF SAN MATEO 155 OH HAMILTON COUNTY JAIL 150 NV CITY OF LAS VEGAS 145 NV LAS VEGAS CONVENTION AUTH. 145 TX CITY OF FORT WORTH 144 CA CITY OF LONG BEACH 143 FL SCHOOL BOARD OF BROWARD COUNTY 142 NY TOWN OF HEMPSTEAD 141 NY COUNTY OF ONONDAGA 136 NC RALIEGH DURHAM AIRPORT AUTHOR. 133 GA GWINNETT COUNTY 129 CA SOLANO COUNTY SHERIFF 128 MD BALTIMORE PUBLIC SCHOOLS 127 MI COUNTY OF KENT 127 WI DANE COUNTY 127 GA CHATHAM COUNTY JAIL 123 CT CITY OF STAMFORD 120 CA COUNTY OF SAN DIEGO 118 AL JEFFERSON COUNTY 116 FL FOLK COUNTY 116 IN EVANSVILLE AIRPORT 115 VA CITY OF VIRGINIA BEACH 114 CA FRESNO COUNTY JAIL FACILITY 114 OH GREATER CLEVELAND RTA 114 OH MONTGOMERY COUNTY 114 OH COLUMBUS INT'L AIRPORT 113 CA SAN DIEGO CONVENTION CENTER 113 MD BALTIMORE COUNTY GOVERNMENT 112 NJ COUNTY OF MONMOUTH 112 FL JACKSONVILLE INT'L AIRPORT 111 TX ALAMO COM. COLEGE DISTRICT 110 CA CITY OF OAKLAND 110 NE CITY OF OMAHA 107 MI GRAND RAPIDS CITY 107 OH CITY OF DAYTON 105 NC N.C. ASSOC. OF COUNTY COMMISSION 105 WA PIRCE COUNTY GOVERNMENT 105 NY COUNTY OF ROCKLAND 104 TX GALVESTON COUNTY 104 CA OAKLAND INT'L AIRPORT 104 GA CLAYTON COUNTY GOVERNMENT 102 FL ST. LUCIE CORRECTIONAL CENTER 101 FL CITY OF FT. LAUDERDALE 100 28 17. Provide a current list of reference contacts. AT&T Response: Following are references: DFW Dallas / Ft . Worth Airport Ruth Hill Properties Manager P.O. Drawer DFW DFW Airport, TX 75261 Jim Garavaglia City of St. Louis 1200 Market St. Roos 313 St. Louis, NO 63103 Terry Hutfleff City of Austin P.O. Box 1088 Austin, TX 78707 Debi Rorinchok City of San Antonio P.O. Box 839966 San Antonio, TX 78285 Rob Hancik Springfield Regional Airport Route 6 Box 384 Springfield, NO 65803 Additional references available upon request. 18. Have you responded to all questions and requests included in this proposal? If not, what has been omitted, and why? AT&T Response: AT&T has responded to all questions in this proposal. 19. What is the term of contract offered by your company? AT&T Response: Consistent with the AT&T/PTI Agreement, AT&T offers the City of Lubbock a one (1), two (2), or three (3) year term. 20. If there is a penalty for early cancellation of a contract for long distance pay phone service with your company, explain in detail. AT&T Response: AT&T does not have cancellation clauses in our contract language. Cancellation of contracts is handled on a case by case basis. 29 21. Does you company offer a bonus plan? If so, explain. AT&T Response: Under the PTI Amendment, no bonuses shall be included. AT&T is prohibited under the terms of the AT&T agreement from offering bonuses. See Tab 3 for a copy of the PTI Amendment. 22. Does your company offer 1OXXX dialed calls? If so, explain in detail. AT&T Response: Access to other interexchange carriers is available by following procedures and access codes provided by the interexchange carrier of choice which could include 950-XXXX, 800 or 1OXXX access. Instructions for placing calls are included on the instruction cards on all SWBT telephones. Assistance is also provided by AT&T operators (interLATA). All carriers are required by law to display their name and address on the telephone instrument (if the carrier is the default carrier). Directions for accessing carriers other than AT&T may or may not be included on SWBT information cards. There is no FCC requirement to list access to every carrier who wishes to provide service in each exchange. 23. What commission rate are you proposing for usage? AT&T Response: The AT&T/PTI commission rate is 20%. 24. What commission rate is proposed for user surcharge? AT&T Response: AT&T does not pay a separate commission rate on surcharges. AT&T pays commissions on total gross revenues. 25. Provide tariff rates your company will be billing for long distance calls placed from pay phones in City of Lubbock facilities. Include usage and/or surcharge rates for all types of long distance calls. AT&T Response: See Exhibit 8 for AT&T's Interstate and Intrastate interLATA rates and surcharges. Fro 26. What is your company's definition of gross revenue? Do you deduct fraud and uncollected amounts? Describe any other customer chargeable calls that are not included in gross revenue. AT&T Response: AT&T defines gross revenue and pays commission on all 1+, 1-, 0+, 0- calls placed over the AT&T network. AT&T does not deduct for fraud or uncollectibles. Any charges associated with services reached by 800 number access (Directory Assistance, AT&T Language Line) are not considered public telephone revenue. Please note: AT&T does gay commissions on calls placed using 10ATTO and 800 number access where the AT&T 800 number is utilized to access our network. 31 1.06 EVALUATION CRITERIA All proposals will be reviewed and evaluated by a Selection Committee, based on criteria outlined in this Request For Proposal. The award of a contract for long distance pay phone service will be made to the vendor who can provide the best services and equipment described in this RFP. Each vendor responding this Request For Proposal will be evaluated according to the following criteria: 15% Total Support and service committment of vendor. 25 Revenues to the City of Lubbock based on commissions, guaranteed minimums, and bonuses. 15% Conformance to all specifications 15% Vendor's financial standing and capabilties 15% Any other conditions deemed to be of importance that are specified in the RFP. 15% References. adversely affect this Addendum, its profitability to AT&T, or the ability of AT&T or Agent to perform its obligations as set forth herein. Termination of this Addendum under this paragraph will not give Agent any right to seek damages from AT&T as long as AT&T complies with its obligations to Agent up to the date of termination. 5. Except as set forth herein, the terms of the AT&T Individual Commission Agreement shall remain in full force and effect. AT&T Communications, Inc. By: Authori Signature) Date: C//Z-e Print/Type Name: Josephine Reyna Title: Regional Operations Manager as to to. As• ant CICj Attc . Print/Type Name: Drug -11 Q-. LC4A 0 Title: GUA 0 2 AT&T 0123FAXAIR obligations as set forth herein. In addition, if applicable rules and regulations change, so that Agent is not permitted to select the interexchange carrier for all "0+" dialed interLATA calls from the covered telephones, Agent's duty to route all such calls to AT&T will end, and AT&T may terminate this Agreement by sending written notice to Agent. Termination of this Agreement under this paragraph will not give Agent any right to seek damages from AT&T as long as AT&T complies with its obligations to Agent up to the date of termination. 7. Except in cases involving willful or wanton conduct, AT&T's liability to Agent is limited to its obligations to pay commissions as described above. AT&T SHALL NOT BE LIABLE FOR ANY INDIRECT, SPECIAL, INCIDENTAL, CONSEQUENTIAL OR PUNITIVE LOSS OR DAMAGE OF ANY KIND, INCLUDING LOST PROFITS (WHETHER OR NOT AT&T HAD BEEN ADVISED OF THE POSSIBILITY OF SUCH LOSS OR DAMAGE), BY REASON OF ANY ACT OR OMISSION IN ITS PERFORMANCE UNDER THIS AGREEMENT. 8. Any technical or business information or data disclosed or furnished to Agent by AT&T ("information"), including all information relating to AT&T calls, remains the property of AT&T. When in tangible form, this information must be returned upon request. All such information must be kept confidential by Agent and used only in Agent's performance under this Agreement, unless the information was previously known to Agent without any obligation of confidentiality or is made public by AT&T. 9. This Agreement and any attachments hereto constitute the entire understanding between the parties. They supersede all prior understandings, oral or written representations, statements, negotiations, proposals and undertakings with respect to the subject matter hereof. All amendments to this Agreement must be in writing, must refer specifically to this Agreement and must be signed by authorized representatives of the parties. AT;(Au)to;.nzed Cunications, Inc. By: ignature) Date Print/Type name Title: u Kathy n_ lawrPnrP Regional General Manager Q Print/Type name: Title: Company address City State Company telephone number Federal Tax ID (To issue commission checks) Zip Code 0016 12.66