1._RFP_5000000660.pdf

REQUEST FOR PROPOSAL

Notice to Prospective Proposers

February 29, 2016

You are invited to review and respond to the California State Teachers’ Retirement System (CalSTRS), Request for Proposal (RFP) entitled BusinessDirect Maintenance and Operations, RFP Number 5000000660. In submitting your proposal, you must comply with the instructions provided.

Proposals must be received by 2:00 p.m., Pacific Time (PT) on April 8, 2016. CalSTRS may reject any proposals received after the specified date and time.

Proposers requiring clarification of the intent and content of this RFP or on the competitive proposal process may request clarification only by submitting written questions to:

Amanda Velasquez, Central Procurement Analyst California State Teachers’ Retirement System

100 Waterfront Place, MS 30 West Sacramento, CA 95605

(916) 414-4880 BusinessDirectRFP@CalSTRS.com

Proposers requiring clarification of the intent and content of this RFP or on the competitive proposal process will have the opportunity to schedule a one hour Q&A session with CalSTRS (see Section 3.1, “Time Schedule”). Any attempt by a Proposer to initiate contact with any member of the Teachers’ Retirement Board and/or CalSTRS staff, other than Procurement staff, regarding this RFP process may disqualify the Proposer from further consideration.

Please note that no verbal information provided will be binding upon CalSTRS unless such information is issued in writing as an official addendum.

Jack Ehnes

Chief Executive Officer mailto:BusinessDirectRFP@CalSTRS.com

CALIFORNIA STATE TEACHERS’

RETIREMENT SYSTEM

Request for Proposal 5000000660 Maintenance and Operations of BusinessDirect

Optional Proposers Q&As:

March 8-11, 2016, Pacific Time (PT)

Final Date for Proposal Submission:

April 8, 2016, at 2:00 p.m., Pacific Time (PT)

RFP Release Date: February 29, 2016

BusinessDirect Maintenance and Operations

Table of Contents

1 Introduction and Background

1.1 Introduction

1.2 Background

1.3 CalSTRS Contact

1.4 Proposer Terms as Used in this BusinessDirect RFP

1.5 Clarification of Mandatory and Desirable and Not in Scope

2 Proposer Minimum Qualifications

2.1 Proposer Minimum Qualification Certification

2.2 Corporate Experience

2.3 Key Project Personnel Minimum Qualifications

2.4 Corporate Financial Viability

2.5 Minimum Annual Gross Revenue

3 Proposal Requirements and Information

3.1 Time Schedule

3.2 Access to CalSTRS Bidder Information Library

3.3 Confidentiality

3.4 Optional Pre-Proposal Question and Answer Confidential Meetings

3.5 Mandatory Notice of Intent to Propose

3.6 Submitting Written Questions

3.7 Doing Business with CalSTRS

3.8 Proposal Format

3.9 Proposal Submission

3.10 Procurement Process

3.11 Award and Protest

3.12 Disposition of Proposals

3.13 Standard Conditions of Service

3.14 Authorized/Key Personnel

3.15 Disclosure of Campaign Contributions, Charitable Contributions, and Gifts Ban on Specified Charitable Contributions and Gifts

3.16 Disabled Veteran Business Enterprise (DVBE) Program Requirements and DVBE Incentive

3.17 Addenda, Errors and Omissions

3.18 Background Investigation

3.19 Statement of Economic Interest (Form 700)

3.20 Iran Contracting Act

3.21 Darfur Contracting Act Certification

4 Preference Programs 5 Current State

5.1 CalSTRS Overview

5.2 CalSTRS Governance Structure

5.3 Scope of the BusinessDirect Solution

5.4 Current State of Maintenance and Operations

5.5 Business and Technical Objectives

6 Future State

6.1 Overview of the services required

6.2 Services In-Scope for Steady State

6.3 Potential Upcoming and Future Initiatives

6.4 Multi-Party Relationship

6.5 Optional Proposal to Transform and Modernize BusinessDirect 7 Additional Notes to Consider

7.1 Data Security

7.2 License Grant to SAP Software

8 Required information for Part 4: Services Response

8.1 Company information (Target: 10 pages)

8.2 Service Delivery (Target: 20 pages)

8.3 Approach (Target: 30 pages)

8.4 Organizational Experience and Structure (Target: 15 pages)

8.5 Tools (Target: 3 pages)

9 Transform and Modernize – Optional

This RFP contains three (3) volumes as noted below:

Volume 1 - RFP including, Attachments, Artifacts and Exhibits

Volume 2 - Cost Proposal Workbook

Volume 3 - Sample Standard Agreement and Exhibits

1 Introduction and Background

1.1 Introduction

The California State Teachers’ Retirement System, with a portfolio valued at $179.4 billion as of January 31, 2016, is the largest educator-only pension fund in the world. CalSTRS administers a hybrid retirement system, consisting of traditional defined benefit, cash balance and voluntary defined contribution plans. CalSTRS also provides disability and survivor benefits. CalSTRS serves California’s 879,000 public school educators and their families from the state’s 1,700 school districts, county offices of education and community college districts.

1.2 Background

The BusinessDirect project --previously known as Corporate Accounting and Resource Management (CARM) project-- improved financial reporting, corporate accounting, budgeting, procurement and contract management by implementing policies and technology systems that include automated internal controls to reduce financial and operational risks.

BusinessDirect provides the capability for detailed and sophisticated reporting and analysis through its use of fields associated with every type of transaction and document in the system. By selecting and grouping these many fields, it’s possible to extract and link information about CalSTRS business activities in complex and powerful ways.

In creating the BusinessDirect system, CalSTRS relied primarily on the SAP Enterprise Core Component (ECC) which incorporates the functionality essential to maintain CalSTRS financial and management needs at the highest levels of integrity and efficiency. In addition to this basic functionality, CalSTRS chose to add SAP’s Business Intelligence (BI) Module.

CalSTRS completed the first phase of implementation in January 2013, and moved into a Maintenance and Operations (M&O) phase. CalSTRS currently has an M&O contract with Ciber, Inc. (Ciber) which expires September 30, 2016. CalSTRS would like to explore options in advance of the contract expiration, and field a solicitation for services.

1.3 CalSTRS Contact

Please refer all inquiries and other communication regarding this solicitation to the following contact:

Amanda Velasquez, Central Procurement Analyst Email: BusinessDirectRFP@CalSTRS.com

Phone: 916-414-4880

1.4 Proposer Terms as Used in this BusinessDirect RFP

The definitions of terms used in this RFP relating to the Proposer or Contractor are:

• Proposer(s). The entity signing the proposal and assuming legal responsibility for the contract. The Proposer is responsible for all Proposer staff, subcontracted staff and subcontractor entities assigned to the project.

http://www.calstrs.com/

• Proposer Team. Includes the Proposer entity and any subcontracting entities proposed by the Proposer.

• Proposer Team Resources. Includes any staff or subcontractor resources proposed by the Proposer.

• Finalist Proposer(s). Proposer(s) that have made it through one or more scoring rounds of the procurement process (refer to Section 3.10, “Procurement Process”), including final selection, up to the time of contract execution.

• Successful Proposer. Proposer selected for potential award of the contract, pending Teachers’ Retirement Board approval.

• Contractor. Proposer awarded the contract as a result of this RFP.

• Contractor Team. Includes any staff, contractors or subcontractor entities brought to the BusinessDirect project by the Contractor.

1.5 Clarification of Mandatory and Desirable and Not in Scope

Mandatory requirements are the requirements identified as “M” in the requirements matrices and in statements within the RFP using the word “must.” Proposers must satisfy ALL mandatory requirements in the RFP. If a Proposer does not meet all of the mandatory requirements in its responses to this RFP, its proposal may be deemed non-responsive.

Desirable requirements are the requirements identified as “D” in the requirements matrices and in statements within the RFP using the word “should.” CalSTRS considers the desirable requirements important to the success of the maintenance and operations of BusinessDirect.

Services listed as “N” in the requirements matrices are not in scope for the Proposer to provide. These are items that CalSTRS recognizes are important, but intends to deliver these services with CalSTRS staff, or otherwise. Proposers are neither encouraged nor discouraged from including these items in their proposal. Including these items will not earn additional points in scoring.

2 Proposer Minimum Qualifications

2.1 Proposer Minimum Qualification Certification

Proposers must complete and submit, Artifact 1, Proposer Certification for Meeting Minimum Qualifications, found with the solicitation located at www.caleprocure.ca.gov, certifying the Proposer Team satisfies all minimum qualifications for the BusinessDirect Maintenance and Operations RFP, which are:

• Minimum Qualifications for Corporate Experience [See Section 2.2]

• Minimum Qualifications for Key Project Personnel [See Section 2.3]

• Financial Viability (applies to Proposer only, see definition in Section 1.4)

[See Section 2.4]

• Minimum Qualifications for Gross Annual Revenue (applies to Proposer only, see definition in Section 1.4) (See Section 2.5) http://www.caleprocure.ca.gov/

• All mandatory requirements in this RFP

If any Proposer fails to certify it satisfies the minimum qualifications and mandatory requirements, CalSTRS may reject its proposal.

2.2 Corporate Experience

To qualify to respond to this RFP, the Proposer Team (see Section 1.4 for definition) must be able to cite at least three (3), but no more than five (5), previous projects that are, within the five (5) years preceding the publication of this RFP, fully transitioned and in steady state for twelve (12) months or more, where Proposer Team has provided maintenance and operation of an SAP solution that is substantially similar to that of BusinessDirect.

The projects cited must include all of the following characteristics, not necessarily all in one reference:

• At least one (1) Public sector client in the United States;

• At least one (1) Financial Services and Public Sector SAP; and

• At least one (1) client where the Transaction volumes average of 23 million dialog steps per month (varies from about 20 million to 26 million per month).

• At least one (1) client with more than 4.3 terabytes (TB) of data

Proposers must complete and submit Artifact 2, Minimum Qualifications for Corporate Experience, found with the solicitation located at www.caleprocure.ca.gov. These reference accounts must be external to the Proposer’s organization and with a paying customer.

Proposers must provide evidence of meeting the corporate experience minimum qualifications by submitting Artifact 3, Proposer Customer References, found with the solicitation located at www.caleprocure.ca.gov. Proposers are required to submit no less than three (3) references and no more than five (5) references to meet the minimum qualifications.

For each customer reference, Proposers must provide a customer contact reference for someone at a director level1 or above from both the business area and the technology area.

These references must have been involved with the project or be currently using the solution and be able to provide in-depth answers to questions about the solution.

2.3 Key Project Personnel Minimum Qualifications

Proposers must commit to assigning at least the following full-time Key Project Personnel to the project for the duration of the service delivery for which they are responsible:

• Service Delivery Manager

• Solution/Technical Lead

Proposers’ resources must meet the following minimum qualifications:

1. The Service Delivery Manager:

1 One who manages a large part of the organization, such as Financial Services or Information Technology.

a. Must have a minimum of ten (10) years of service delivery experience, within the fifteen (15) years preceding the publication of this RFP.

b. Must have a minimum of five (5) years of experience managing projects utilizing SAP for Finance and/or Human Resources (HR).

c. Must be an employee of the Proposer.

d. Must be on-site full-time at CalSTRS headquarters.

2. The Solution/Technical Lead:

a. Must have a minimum of seven (7) years of experience as a Solution/Technical Lead, within the ten (10) years preceding the publication of this RFP, performing SAP enhancements and customizations.

Proposers must complete and submit Artifact 5, Minimum Qualifications for Key Project Personnel, found with the solicitation located at www.caleprocure.ca.gov.

Proposers must provide evidence that each Key Project Personnel member meets the minimum qualifications by submitting Artifact 6, Proposer’s Key Project Personnel References, found with the solicitation located at www.caleprocure.ca.gov. Proposers must also submit a resume for each Key Project Personnel member with each resume labeled as freeform Artifact 7, Key Project Personnel Resumes. Each Key Project Personnel resume must identify the individual, his or her relevant work experience, the names of the agencies/businesses where these experiences were gained, and begin and end dates for each experience/project. Each Key Project Personnel member resume must start on a new page.

2.4 Corporate Financial Viability

CalSTRS will not enter into an agreement with any Proposer that cannot demonstrate to the sole satisfaction of CalSTRS, its financial viability, credit worthiness, and depth of financial resources to ensure completion of all contractual obligations.

Proposers must complete and submit Artifact 4, Mandatory Corporate Financial Viability Information, found with the solicitation located at www.caleprocure.ca.gov. Proposers must provide all necessary statements, documentation and reports as requested on Artifact 4. A Proposer’s failure to provide this information will result in rejection of its proposal.

2.5 Minimum Annual Gross Revenue

Proposers must have annual gross revenue of $200,000,000 ($200 Million), or more, for each of the last three years, and been profitable in each of those years. The annual gross revenue must be supported by the most recent three years of financial statements, as requested in Section 2.4, “Corporate Financial Viability.”

3 Proposal Requirements and Information

3.1 Time Schedule

CalSTRS will make reasonable business efforts to adhere to the time schedule. However, CalSTRS reserves the right to amend the time schedule as it deems necessary.

Event Date Ph as e

RFP Available to Proposer(s) February 29, 2016

Request to Schedule Question and Answer session with CalSTRS March 4, 2016 by 12:00 pm PT

1-hour Question and Answer sessions with each Proposer March 8-11, 2016

Written Questions Submission Due Date and Time March 15, 2016 by 12:00 pm PT

Mandatory Notice of Intent to Propose March 25, 2016 by 5:00 pm PT

Final Date for Proposal Submission April 8, 2016 by 2:00 pm PT

Prequalification Evaluation To Be Determined

Ph as e 2 Business and Technical Evaluation To Be Determined

Finalist Proposers Invited to Solution Presentation and Interviews To Be Determined

Ph as e

Customer and Key Project Personnel Reference Checks To Be Determined

Solution Presentation and Key Project Personnel Interviews (2-3 hours each) To Be Determined

Clarifications on Reference Checks (optional) To Be Determined

Ph as e

Successful Proposer(s) Contacted To Be Determined

Best and Final Offer Process (BAFO) To Be Determined

Notice of Intent to Award To Be Determined

Contract Award Date To Be Determined

Table 1–Time Schedule

3.2 Access to CalSTRS Bidder Information Library

A CalSTRS Bidder Information Library was set up by CalSTRS to be used as a resource for the vendor community in order to develop responses for certain procurement offerings. The contents of the library contain secured information and should not be disclosed to parties outside of your company/firm. Part of the registration process to view these documents will require that an authorized party from your company/firm sign a non-disclosure document (Attachment 7 which may be found with the solicitation listed at www.caleprocure.ca.gov). Proposers must complete the Confidentiality, Non-Disclosure and Acceptable Use Agreement in order to gain access to the secured information on the website.

This allows information pertinent to Proposers’ understanding of CalSTRS to be viewed and shared confidentially.

The library for this RFP contains documentation on current CalSTRS SAP modules and submodules, maintenance & operation processes, custom objects, etc. (See Section 5.3.1).

To obtain access to the secured information in the Bidder Information Library, Proposers must do the following:

https://caleprocure.ca.gov/pages/index.aspx

1) Self-register on the CalSTRS Bidder Information Library site using the Bidder Information Library URL: BidderLibrary.CalSTRS.com and establish a unique user id and password for the Proposer Team.

2) Complete and email Attachment 7 Confidentiality, Non-Disclosure and Acceptable Use Agreement, that can be found with the solicitation listed at www.caleprocure.ca.gov, to BusinessDirectRFP@CalSTRS.com.

Within two (2) business days of CalSTRS receipt of a Proposer’s properly completed Attachment 7, Confidentiality, Non-Disclosure and Acceptable Use Agreement, CalSTRS will email the Proposer confirming CalSTRS receipt and grant the Proposer permissions to view the secured Information of the Bidder Information Library. CalSTRS requests Proposers retain the email as proof that CalSTRS has received the Proposer’s Confidentiality, Non-Disclosure and Acceptable Use Agreement.

3.3 Confidentiality

This RFP contains information that is confidential, privileged and the property of CalSTRS. Any distribution or copying of this information (other than internally within the Proposer’s organization for purposes of responding to this RFP) without the permission of CalSTRS is strictly prohibited. In addition, access to secured information contained in the CalSTRS Bidder Information Library will be permitted only upon completion of the Attachment 7 CalSTRS Confidentiality, Non-Disclosure and Acceptable Use Agreement (refer to Section 3.2).

3.4 Optional Pre-Proposal Question and Answer Confidential Meetings

CalSTRS will host the optional one hour question and response sessions with each Proposer, individually. CalSTRS must receive Proposer’s request for a pre-proposal question and answer session via email at BusinessDirectRFP@CalSTRS.com by 12:00pm PT, March 4, 2016. The sessions are to be held March 8-11. Meetings will be held at CalSTRS Headquarters in West Sacramento, CA or by teleconference.

During this session, Proposers should ask any questions they have on the RFP process, timeline, or materials, including the BusinessDirect RFP, its Attachments, Exhibits or Artifacts and/ or about materials included in the CalSTRS Bidder Information Library.

CalSTRS will propose a time when its representatives are available. While CalSTRS will ensure that it identifies a one-hour meeting time during the Q&A period, it may not be able to meet at the Proposer’s convenience.

Oral responses provided in the conference are non-binding. CalSTRS may defer the response to an oral question and answer it in written form. In the event that a question from one of the Proposers is applicable to all Proposers, CalSTRS may elect to provide any or all Proposer questions and CalSTRS responses in an addendum to the RFP posted on www.caleprocure.ca.gov, which may be edited to remove confidential information.

https://bidderlibrary.calstrs.com/ https://caleprocure.ca.gov/pages/index.aspx mailto:BusinessDirectRFP@CalSTRS.com http://www.bidsync.com/

3.5 Mandatory Notice of Intent to Propose

All Proposers are required to indicate their intent to propose by completing and returning Attachment 8, Mandatory Notice of Intent to Propose, located in the “Attachments” folder of the RFP Information Library. Proposers must email Attachment 8, Mandatory Notice of Intent to Propose, to the address below no later than the date and time provided in Section 3.1, “Time Schedule.” CalSTRS will respond with an email indicating the Mandatory Notice of Intent to Propose was received. CalSTRS will not consider proposals received without the mandatory Attachment 8, Mandatory Notice of Intent to Propose. Submitting Attachment 8, Mandatory Notice of Intent to Propose, does not bind Proposers to submit a proposal.

Email: BusinessDirectRFP@CalSTRS.com Subject: Request for Proposal 5000000660– BusinessDirect

3.6 Submitting Written Questions

Any additional questions that Proposers have regarding the information presented in this RFP must be received by CalSTRS Procurement via email at BusinessDirectRFP@CalSTRS.com, no later than the date and time identified in Section 3.1. CalSTRS will answer all questions received in writing by this date without divulging the query source. To ensure questions have been received, Proposers may contact the CalSTRS Contact identified in Section 1.3. The email subject line should read “Request for Proposal 5000000660 – BusinessDirect.” CalSTRS will provide all Proposer questions and CalSTRS responses in an addendum to the RFP posted on www.caleprocure.ca.gov. Questions and answers may be edited to remove confidential information.

3.7 Doing Business with CalSTRS

The Supplier Self-Service Portal is an integrated financial system which provides CalSTRS business partners direct access to product and service delivery with CalSTRS. Proposers who are not currently registered with CalSTRS as a business partner are strongly encouraged to register prior to the submission of a proposal. Refer to the date and time specified in Section 3.1, “Time Schedule”.

The Proposer, if awarded an Agreement, must register in the CalSTRS Supplier Self-Service (SUS) Portal. This portal provides direct access to administering product and service delivery with CalSTRS.

Instructions and information for registration can be found at http://www.calstrs.com/supplier-self-service-portal.

Proposers must submit Attachment 4, Business Partner Form, with the proposal.

Proposers may submit questions about this process to Partners@CalSTRS.com.

mailto:BusinessDirect@CalSTRS.com http://www.bidsync.com/ http://www.calstrs.com/supplier-self-service-portal mailto:partners@CalSTRS.com

3.8 Proposal Format

General Formatting 3.8.1

These instructions prescribe the mandatory proposal format. Proposers must follow the formatting instructions, answer all questions, and supply all requested information.

Submissions will include a final proposal, including all appendices.

All pages in the proposal must be on standard 8½ x 11” paper, except charts and diagrams, which may be foldouts. If foldouts are used, the folded size must fit within the 8½ x 11” format.

Page numbers must be located in the same page position throughout the proposal. Proposers must assign index numbers for all figures, tables and charts and refer to these by numbers in the proposal text and in the Table of Contents. Figures must be placed as close to text references as possible.

The following must be shown on each page of the proposal:

• Request for Proposal 5000000660 – BusinessDirect

• Proposal Volume Number

• Proposal Part Number (blank for Volume 2 and Volume 3)

• Page Number

• Name of Proposer

Use of Exhibits, Artifact Templates, Artifacts and Attachments within the RFP 3.8.2

All exhibits, artifact templates and attachments referenced in this RFP reside with the solicitation located at www.caleprocure.ca.gov.

In general, CalSTRS and Proposers will use exhibits, artifacts, artifact templates and attachments in the following ways:

• Exhibits. CalSTRS provides exhibits to enhance Proposers’ knowledge of CalSTRS.

• Artifacts. Artifacts are items Proposers must submit in response to requests from CalSTRS. CalSTRS requires Proposers to submit artifacts either freeform or using an artifact template.

• Artifact Templates. CalSTRS provides artifact templates that must be used by Proposers to submit information in a uniform way.

• Attachments. Forms that must be used by Proposers when submitting administrative information with the proposal.

Proposal Organization 3.8.3

The Proposal must be structured in the following manner:

RFP Section Title

3.8.5 Volume 1, “Response to Requirements”

3.8.5.1 Volume 1, Part 1, “Cover Letter, Table of Contents and

Executive Summary”

3.8.5.2 Volume 1, Part 2, “Mandatory Minimum Qualifications”

3.8.5.3 Volume 1, Part 3, “Financial Viability Information”

3.8.5.4 Volume 1, Part 4, “Services Response”

3.8.5.5 Volume 1, Part 5, “Services Response—Artifacts”

3.8.5.6 3.8.5.7

Volume 1, Part 6, “BusinessDirect Transformation Option” Volume 1, Part 7, “Administrative Attachments”

3.8.6 Volume 2, “Cost Proposal”

3.8.7 Volume 3, “Sample Standard Agreement and Exhibits”

Proposal Media and Number of Copies 3.8.4

Proposers must submit the proposal as specified in the Table 3 below. In support of CalSTRS sustainability policy, CalSTRS is requiring that only a Master copy of the submissions be in hardcopy. Proposers must submit electronic versions for all Volumes and Parts of the proposals as specified. In some cases, in addition to a PDF version, CalSTRS is requiring the Proposers to submit the components in a folder structure, with each component in its native format.

Electronic copies should be submitted on either CD-ROM or a Flash drive.

Media #1 and Media #2 refer to the physical media that should be submitted. Each Proposers will submit-one (1) physical copy of each volume and two (2) physical electronic media. Cost should ONLY be included in Volume 2 of the printed version and Media #2 of the electronic version.

Proposal Submission instructions are in the table below:

PROPOSAL SUBMISSION

Media Item Description Instructions Number of Copies

Ha rd co py

1.

Volume 1, all parts

• In its entirety

• Contains original signatures

• Loose leaf, three (3)-ringed binder

• Proposer’s name on outside front cover and spine.

• Must not be in spiral binding

• Labeled “Master Copy”

• Must be a clean version

PROPOSAL SUBMISSION

Media Item Description Instructions Number of Copies and not be REDLINED

2.

Volume 2, Cost Proposal

• In its entirety, WITH COST

FIGURES

• Labeled “Master Copy”

• Must not be in spiral binding

• Labeled “Master Copy”

3.

Volume 3, Sample Standard Agreement and Exhibits

• In its entirety

• Hardcopy

• Must not be in spiral binding

• Labeled “Master Copy”

• Must be a clean version and not be redlined.

El ec tr on ic

4.

Volume 1, Part 1, Cover Letter, TOC and Executive Summary

• Electronic

• One (1) PDF document named “[Proposer Name] Volume 1 Part 1” -containing all Part 1 components, without redlines.

Electronic

Media #1

5.

Volume 1, Part 2 Mandatory Minimum Qualifications

• Electronic

• One (1) PDF document named “[Proposer Name] Volume 1 Part 2” – containing all Part 2 components, without redlines.

Electronic

Media #1

6.

Volume 1, Part 3 Mandatory Financial Viability Information

• Electronic

• One (1) PDF document named “[Proposer Name] Volume 1 Part 3” – containing all Part 3 components, without redlines.

Electronic

Media #1

Number of Copies

El ec tr

7.

Volume 1, Part 4 Services Response

• Electronic

• One (1) PDF document named “[Proposer Name] Volume 1 Part 4” – containing all Part 4 components, without redlines.

8.

Volume 1, Part 5 Services Response – Artifacts

• Electronic

• One (1) PDF Document named “[Proposer Name] Volume 1 Part 5” – containing all Part 5 components, without redlines.

• One (1) folder named “[Proposer Name] Volume 1 Part 5 Native”, containing each Part 5 component in its native format, without redlines. Each document in the folder must be named using the following format:

“[Proposer Name]” Proposal Artifact xx (where xx is the artifact number assigned by CalSTRS).

9.

Volume 1, Part 6, Business Direct Transformation Option (Optional)

• Electronic

• One (1) PDF Document named “[Proposer Name] Proposal Volume 1 Part 6” –containing all Part 6 components, without redlines.

• No COST information should be included in this section

Electronic

Media #1

10.

Volume 1, Part 7 Administrative Attachments

• Electronic

• One (1) PDF Document named “[Proposer Name] Proposal Volume 1 Part 7” –containing all Part 7 components, without

Number of Copies redlines.

El ec tr

11.

Volume 2, Cost Proposal

• In its entirety, WITH COST

FIGURES

• Electronic

• One (1) PDF Document named “[Proposer Name] Proposal Volume 2”, containing the Cost Workbook.

• One (1) Excel Document named “[Proposer Name] Proposal Volume 2”, containing the Cost Workbook in its native format.

Electronic

Media #2

12.

Volume 3, Sample Standard Agreement and Exhibits

• In its entirety

• Electronic

• One (1) PDF document named “[Proposer Name] Proposal SSA CLEAN”, without redlines.

• One (1) folder named “[Proposer Name] Proposal SSA REDLINED, containing each component of the SSA and Schedules, WITH

REDLINES.

Electronic

Media #1

Table 3- Proposal Media and Number of Copies

Volume 1, “Response to Requirements” 3.8.5

Proposal Volume 1, “Response to Requirements,” must be in the order and format indicated below. Each page must be numbered as described in Section 3.8.1.

The organization of the Proposal Volume 1 must be as follows: Part 1, “Cover Letter, 3.8.5.1 Table of Contents and Executive Summary”

Cover Letter

Proposers must provide a cover letter meeting the following requirements:

• Prepared and signed by an individual who is authorized to contractually bind the Proposer entity

• Written on the Proposer’s official business letterhead stationery

• State that the Proposer is the Prime Proposer

• If a teaming arrangement is proposed, identify the subcontracting entities and their role(s)

• State that the proposal is a firm offer good for at least one (1) year from the final proposal final submission date

• Should the proposal contain proprietary information, include a statement to that effect (see Section 3.12)

• Be included as the first page of Proposal Volume 1, “Response to Requirements”

• Be limited to two (2) pages

• Cost information must not be included in the Cover Letter.

Table of Contents

Proposers must identify all major parts of the proposal by volume, part and page number.

Executive Summary

The Executive Summary must condense and highlight the proposal contents to provide a broad understanding of the entire proposal and to facilitate CalSTRS evaluation of the proposal. The Executive Summary should include an overview of the Proposer Team, and any conclusions and general recommendations. Cost information must not be included in the Executive Summary. Proposers must limit the Executive Summary to five (5) pages.

Part 2, “Mandatory Minimum Qualifications” 3.8.5.2

Proposers must complete and submit the following artifacts in Part 2:

Artifact Number Artifact Name

Template/ Freeform

1 Artifact 1, Proposer Certification for Meeting Minimum Qualifications Template

2 Artifact 2, Minimum Qualifications for Corporate Experience Template 3 Artifact 3, Proposer Customer References Template 4 Artifact 4, Mandatory Corporate Financial Viability Information Template 5 Artifact 5, Minimum Qualifications for Key Project Personnel Template 6 Artifact 6, Proposer’s Key Project Personnel References Template

7 Artifact 7, Key Project Personnel Resumes – One (1) for each Key Project Personnel member

Freeform

Table 4- Artifacts for Part 2 of the Services Response

Part 3, “Financial Viability Information” 3.8.5.3

Proposers must complete and submit the Artifact 4, Mandatory Corporate Financial Viability Information, and provide all requested information.

Part 4, “Services Response” 3.8.5.4

Proposers must submit Part 4, “Services Response,” containing the information in the exact order presented in Section 8 of this RFP. Page numbers are targets, and Proposers who exceed the limits will not be disqualified, but CalSTRS does not guarantee that pages beyond the indicated target will be read or included in the evaluation.

Part 5, “Services Response—Artifacts” 3.8.5.5

Proposers must complete all of the artifacts identified below in the Table 5, Artifacts for Part 5 of the Business and Technical Response. All artifacts must be submitted either freeform or by using a template as described in Section 3.8.2, “Use of Exhibits, Artifact Templates, Artifacts and Attachments within the RFP.” The artifact content must be single spaced, with a font type of Times New Roman and a font size of 11. When stated, Proposers must adhere to specified page limits.

Proposers must submit each artifact in the exact order as listed in Table 5. Each artifact must begin on a new page and each page numbered sequentially for the artifact. Each artifact must contain a header with Volume 1, Part 5, the CalSTRS-provided artifact number and name, and the Proposer’s firm name.

Proposers must complete and submit Artifact 8, Artifact Checklist for the Services Response, located in the “Artifact Templates” found with the solicitation located at www.caleprocure.ca.gov. Proposers must submit Artifact 8 as the first page in Volume 1, Part 5, followed by the artifacts listed below in the order indicated:

Artifact Number Artifact Name

Template/ Freeform

8 Artifact 8, Artifact Checklist for the Services Response Template

9 Artifact 9, Service Requirements Matrix Excel Template

10 Artifact 10, Sample of the reports and measures Proposer envisions providing in order to manage delivery of the services. Freeform

11 Artifact 11, Table of Service Level Agreements (SLAs) and Service Level Objectives (SLOs) being proposed Freeform

12 Artifact 12, Engagement Organization Chart Freeform Table 5–Artifacts for Part 5 of the Services Response

Artifact 9: Service Requirements Matrix 3.8.5.6

Proposers must complete the Service Requirements Matrix Microsoft Excel Workbook located in the “Secured Information” found with the solicitation located at www.caleprocure.ca.gov. The workbook must be completed as described below and submitted in the exact Excel format in which it is supplied. Proposers must not modify the format of the workbook in any way.

The workbook contains a series of spreadsheets grouped by Services Family as outlined in Table 10-Services Scope in Section 6.2, “Services In-Scope for Steady State.”

The following information is included for each Service Family

Service – Type of Service

Service Activity – Specific activity within that Service Family

Response Required? – A column for CalSTRS to indicate whether the service is Mandatory. Values include:

“M” = Mandatory “D” = Desirable “N” = Not in scope

Comment– If clarification is required from CalSTRS, it will be noted in this column.

Response – a column for the Proposer to include one of 3 values:

"F"=Yes included in Fixed Price, "V"= Yes, as a variable price, "NI"=Not Included, will not provide

Comment– If clarification is required from Proposer, it should be noted in this column.

Proposers shall review the Service Requirements Matrix Microsoft Excel Workbook included and confirm that they will, in fact, provide the services listed as Mandatory in the spreadsheet.

CalSTRS expects the Proposer to provide clear pricing information in the Cost Proposal for any row identified with a “V”.

Part 6, “BusinessDirect Transformation Option” 3.8.5.7

Proposers must submit Part 6, “BusinessDirect Transformation Option,” containing the information in the exact order presented in Section 9 of this RFP.

Page numbers are targets, and Proposers who exceed the limits will not be disqualified, but CalSTRS does not guarantee that pages beyond the indicated target will be read or included in the evaluation.

Part 7, “Administrative Attachments” 3.8.5.8

Proposers must complete the following administrative attachments, found with the solicitation located at www.caleprocure.ca.gov, and include them in the following order in Part 7:

Required Attachments:

• Attachment 1, Required Attachments and Artifacts Checklist and Certifications

• Attachment 2, Contractor’s Authorized/Key Personnel

• Attachment 3, Form 600-H Disclosure of Contributions and Gifts (one for each Authorized/Key Personnel)

• Attachment 4, Business Partner Form

• Attachment 5, Small Business, Microbusiness, and Disabled Veteran Business Enterprise (DVBE) Commercially Useful Function Related Information and Declaration Form

• Attachment 6, Iran Contracting Act

• Attachment 7, CalSTRS Confidentiality, Non-Disclosure and Acceptable Use

• Attachment 8, Notice of Intent to Propose

• Attachment 9, Scoring Criteria

If applicable:

• Attachment 10, Darfur Contracting Act Certification

Volume 2, “Cost Proposal” 3.8.6

Proposers must complete the Microsoft Excel Cost Workbook, located in the “Cost Proposal” found with the solicitation located at www.caleprocure.ca.gov, and submit it in Volume 2, “Cost Proposal.” Volume 2 must be separately sealed and clearly labeled:

Volume 2 – COST PROPOSAL. Proposers must complete all the tabs in the Cost Workbook, following the instructions found in the “Instructions” tab. The following table identifies all the worksheets in the Cost Workbook:

Tab Worksheet Title 1 Instructions 2 Bid Summary 3 Schedule 1: Fixed Costs 4 Schedule 2: Fixed Cost Details 5 Schedule 3: Variable Costs 6 Schedule 4: Hourly Rates 7 Schedule 5: Optional Costs

Table 6-Cost Workbook

FOR THE COST PROPOSAL, the Cost Workbook must be complete including all dollar figures.

The total of the costs for Schedule 1 – Fixed Costs must equal totals from Schedule 2 – Fixed Fee Detail. If any of the totals do not match, CalSTRS may deem the proposal non-responsive.

Schedule 3 Variable Costs should contain the costs that may vary by unit.

Schedule 4 Hourly Rates is for the Proposer to list the rates, by title for onshore and offshore resources

Schedule 5 Option is the schedule where the Proposer should present its costs for the Transformational approach outlined in Section 9.

If any of the totals do not match, CalSTRS may deem the proposal non-responsive.

Volume 3, “Sample Standard Agreement and Exhibits” 3.8.7

Proposers must submit a redlined version of the Sample Standard Agreement (SSA) along with all Exhibits, all of which are found with the solicitation located at www.caleprocure.ca.gov. Proposers may redline any portion of the Sample Standard Agreement and Exhibits except the items that are listed as non-negotiable in the Exhibit N, CalSTRS-Designated Non-Negotiable SSA Items. All redlined documents must be submitted in Microsoft Word using the track changes format. A Proposer’s redlines must include revised language that is acceptable to the Proposer. It is not acceptable for Proposers to include general comments such as “need to discuss,” “we take exception,” or other comments that do not permit CalSTRS to understand a Proposer’s concerns with the given provision and that do not propose a revision to replace those concerns.

CalSTRS considers Proposers redlined changes as suggestions and are not binding on CalSTRS.

3.9 Proposal Submission

3.9.1 All proposals must be delivered to the California State Teachers’ Retirement System by the dates and time specified in Section 3.1, “Time Schedule.” Proposals received after the dates and time specified in Section 3.1 may not be considered. Proposals must be delivered to the following address:

California State Teachers’ Retirement System ATTN: Amanda Velasquez

100 Waterfront Place, MS 30 West Sacramento, CA 95605

Driving instructions are available at http://www.calstrs.com/pod/driving-directions.

3.9.2 Proposers must seal the proposal containers and plainly mark them with the RFP number and title, the Proposer’s firm name and address, and “DO NOT OPEN,” as shown in the following example:

RFP NUMBER 5000000660

CalSTRS BusinessDirect Request for Proposal

Amanda Velasquez, Central Procurement Analyst 100 Waterfront Place

West Sacramento, CA 95605

MAILROOM—DO NOT OPEN

Hand delivered proposals must be delivered to the CalSTRS loading dock located on the north side of the building on E Street.

3.9.3 Proposals must be submitted for the performance of all the services described herein.

Any deviation from the work specifications will not be considered and will cause a proposal to be rejected.

http://www.calstrs.com/pod/driving-directions

3.9.4 A proposal may be rejected if it is conditional or incomplete, deemed non-responsive, or if it contains any alterations of form or other irregularities of any kind. CalSTRS may reject any or all proposals and may waive any immaterial deviation in a proposal.

CalSTRS waiver of immaterial defect shall in no way modify the RFP document or excuse the Proposer from full compliance with all requirements if awarded the agreement.

3.9.5 If CalSTRS contacts a Proposer to request clarification or completion of a required attachment, artifact and/or exhibit, the Proposer shall have 48-hours to respond to CalSTRS request electronically and follow up with the original signed documents within three (3) business days. If originals are not received within the specified timeframes, CalSTRS may deem the proposal non-responsive.

3.9.6 Costs for developing proposals and all activities up to contract award, including negotiating the agreement, are entirely the responsibility of the Proposer and must not be charged to CalSTRS.

3.9.7 A Proposer may modify or withdraw their proposal by submitting a written request to CalSTRS, signed by the Proposer or an authorized agent, to the contact person named in Section 1.3, “CalSTRS Contact.” A Proposer may then submit a new proposal as long as CalSTRS receives it prior to the proposal submission deadline. After the proposal submission deadline, proposals may not be withdrawn without cause. All proposals submitted are subject to this condition.

CalSTRS may modify the RFP prior to the date fixed for submission of proposals by issuing an addendum that will be posted on www.caleprocure.com.

3.9.8 CalSTRS reserves the right to reject all proposals for reasonable cause. If the costs of all proposals are excessive, CalSTRS is not required to award an agreement.

3.9.9 Proposers are cautioned not to rely on CalSTRS during the evaluation to discover and report to the Proposer any defects and errors in the submitted documents. Proposers before submitting their documents, should carefully proof them for errors and adherence to the RFP requirements.

3.9.10 More than one (1) proposal from an individual, firm, partnership, corporation or association under the same or different names will not be considered. Reasonable grounds for believing that any Proposer has submitted more than one (1) proposal for the work contemplated herein will cause the rejection of all Proposals submitted by that Proposer. If there is reason for believing that collusion exists among the Proposers, none of the participants of such collusion will be considered in this or future solicitations.

3.9.11 CalSTRS will not consider a joint proposal where two (2) or more entities submit one (1) proposal and one (1) of the entities is not designated the prime.

http://www.caleprocure.com/

3.10 Procurement Process

General 3.10.1

The procurement process is comprised of a series of steps that constitute four (4) phases in the process.

The Proposers are required to submit a complete proposal and, if requested prepare and conduct an oral presentation/interview, and if applicable, a best and final offer.

All proposals submitted will be evaluated for form and content in accordance with the provisions stated in this RFP. Clarifications may be requested from the Proposer at any phase of the evaluation process for the purpose of clarifying ambiguities in the information presented in the proposal.

Proposals and any subsequent presentations should be submitted with the most favorable terms the Proposer can offer. If CalSTRS is unable to execute an agreement with the apparent highest-scoring responsive and responsible Proposer, CalSTRS reserves the right to award the agreement to the next highest-scoring responsive and responsible Proposer.

Phase 1: Pre-Qualification Evaluation Process 3.10.1.1

The Proposal must be complete, including all cost information and required signatures.

Proposers must submit a hardcopy and electronic versions of the Proposal as identified in Section 3.8.4, “Proposal Media and Number of Copies.” As indicated in Section 3.8.6, “Volume 2, Cost Proposal,” the Cost Proposal must be submitted under separate, sealed cover.

CalSTRS designed the evaluation process to ensure only qualified proposals progress through the various evaluation and scoring rounds to the last evaluation process—the Best and Final Offer (BAFO)—when CalSTRS may conduct confidential negotiations with the Finalist Proposers. The Best and Final Offer negotiations may result in the selection of the successful Proposer and a finalized contract.

The following pass/fail evaluations comprise the Pre-Qualification Evaluation Process:

1. Initial Screening.

a) Each proposal package will be date and time stamped when received.

b) Each proposal package will be inspected to ascertain that it is properly labeled. Proposals not passing this inspection may not be accepted.

c) All proposals will remain in a secured area. Contents of all proposals may be considered public information when a Notice of Intent to Award is posted.

d) All proposals will be reviewed to determine if they satisfy the minimum qualifications specified in Artifact 1, Proposer Certification for Meeting Minimum Qualifications, and contain the required submittals specified in Section 2, Proposal Minimum Qualifications.

e) CalSTRS may not consider unsealed proposals or those received after the date and time specified in Section 3.1, “Time Schedule.”

CalSTRS will verify that Volume 2, “Cost Proposal,” is sealed. It will remain sealed until the evaluation for Phase 2, as described in Section 3.10.1.2

2. Minimum Qualifications for Corporate Experience. CalSTRS will evaluate Artifact 1, Proposer Certification for Meeting Minimum Qualifications, Artifact 2, Minimum Qualifications for Corporate Experience, and Artifact 3, Proposer Customer References to verify whether a Proposer has met the minimum qualifications.

3. Minimum Qualifications for Key Project Personnel. CalSTRS will evaluate Artifact 5, Minimum Qualifications for Key Project Personnel, Artifact 6, Proposer’s Key Project Personnel References, and Artifact 7, Key Project Personnel Resumes, to verify the minimum qualifications for all Key Project Personnel have been met.

4. Meeting Mandatory Requirements. CalSTRS will review the Attachment 1, Required Attachments and Artifacts Checklist and Certifications, for the appropriate signatures indicating a Proposer certifies it will meet all the mandatory requirements specified in the RFP.

5. Financial Viability. CalSTRS will evaluate the financial viability information submitted with Artifact 4, Mandatory Corporate Financial Viability Information.

Minimum Annual Gross Revenue. CalSTRS will evaluate the Proposer’s three (3) most recent financial statements to confirm the Proposer meets the minimum qualification for annual gross revenue.

Phase 2: Business and Technical Evaluation Process 3.10.1.2

Upon completion of the Pre-Qualification review, the CalSTRS evaluation team will receive copies of the proposals. The evaluation team will be expected to review each proposal in detail, and make their evaluation of the Proposer’s ability to satisfy the needs of CalSTRS for this engagement. All proposals submitted will be evaluated for form and content in accordance with the provisions stated in this RFP. Clarifications may be requested from the Proposer at any phase of the evaluation process for the purpose of clarifying ambiguities in the information presented in the proposal.

Evaluations will be based on the following criteria:

1. Proposer Qualifications. CalSTRS will evaluate how well the Proposer meets the qualification requirements. Corporate qualifications and team qualifications will be evaluated.

2. Services Assessment. CalSTRS will review the services checklists in detail, evaluate the approach to providing the services, review the staffing levels proposed, and in general seek to identify the best candidates who understand the CalSTRS needs and can provide appropriate application support.

3. Management Approach / Processes. CalSTRS recognizes a successful managed services engagement is not just about the quality of the services, but also how they are managed. In this part of the evaluation, CalSTRS will seek to understand how the Proposer’s management team will interact with CalSTRS, how service levels are managed, and how changes are handled.

4. Overall Risk. Risk is an important aspect to any managed services engagement. CalSTRS expects that risk will be managed, not avoided, and will seek to understand how that process works, and how well the Proposer understands the CalSTRS environment, so that risk can be taken into account.

Scoring Process

After the Pre-Qualification Phase, the CalSTRS team will score the proposals as follows:

• Technical Proposal 70% (700 points)

• Cost 30% (300 points)

Points will be awarded using evaluation criteria established for each part of the proposal.

The Cost Proposals will be opened at the completion of the technical evaluation and required cost figures will be checked for mathematical accuracy.

CalSTRS will not use the amounts for any work described in Section 9: Transform and Modernize – Optional in evaluating cost.

In the Cost Workbook, “Bid Summary” tab, the total for the Mandatory M&O Elements Without Options (Fixed Fee Costs plus Variable Fee Costs) portion of the pricing is the cost that will be used in this cost evaluation. The Proposer with the lowest cost over the five (5) year period will receive highest points. Other proposals will be rated proportionately as follows:

Lowest Cost x 300 Points = Proposer’s Score Proposer’s Cost

Any earned preference program points and DVBE incentive points will be added when the cost proposals are opened and scored. Refer to Section 4, “Preference Programs” for the list of preference programs. Following Phase 3, Finalist Process, the highest scoring Proposer(s) may continue to the Best and Final Offer (BAFO) Process. All other Proposers will be eliminated from further consideration.

Phase 3: Finalist…