S1_SOW_for_FY14_CCTAP_4-20-15.docx

FNCS Child Care Tuition Assistance Program (CCTAP) Performance Work Statement March 18, 2015

1.0 Introduction

Dependant on the Agency’s funding, the Food Nutrition Consumer Service (FNCS) Mission Area is implementing and offering eligible employees the Child Care Tuition Assistance Program (CCTAP) as negotiated by the collective bargaining agreement with the National Treasury Employees Union.

The CCTAP was established as a complement to other FNCS Work/Life Programs to help FNCS employees better balance their work responsibilities and family obligations. The CCTAP provides subsidies for child care services provided by licensed or accredited child care providers. The program is designed to encourage eligible employees and their families to use quality child care services by offsetting a portion of their costs.

2.0 Background

Enacted November 12, 2001, Section 630 of Public Law 107-67 authorizes the use of appropriated funds by executive agencies to provide child care services for Federal civilian employees. This legislation permits Federal agencies to assist their lower income Federal employees with the costs of child care. Subsidies are paid directly to the child care providers, who must be licensed and/or regulated by the State and/or local authorities where services are provided.

Program Eligibility Criteria:

(1) All full time and part time employees who meet all of the following requirements are eligible to participate in the FNCS Child Care Tuition Assistance Program (CCTAP) and receive a monthly subsidy when:

(a) The employee’s total household income (based on Adjusted Gross Income on the prior year’s tax return(s)) is $70,000 or less;

(b) The employee has (or is the legal guardian of) a child or children age thirteen (13) or younger (age eighteen (18) or younger if the child is disabled); and

(c) The employee uses a home-based or center-based child care provider that is licensed or regulated by state and/or local authorities in the state or locality in which the provider operates;

(2) The amount of the subsidy provided under this Program shall not exceed $5,000 per calendar year.

(3) In the event both parents (or legal guardians) work for Federal government agencies offering a child care subsidy program, the Employee must select only one of the programs in which her/his family will participate (not both).

(4) The monthly subsidies paid by the Employer will be calculated based on a percentage of the total household income according to the following formula:

TIER 1 $45,000 and below – 100% up to $5000 annually TIER 2 $45,001 - $60,000 – 75% up to $3750 annually TIER 3 $60,001 - $70,000 – 50% up to $2500 annually

For example, an employee who qualifies for a subsidy under TIER 2, will receive a maximum $3,750.00 subsidy per year.

3.0 Scope

The Contractor shall furnish all necessary labor, materials, supplies, equipment, services and processes (except as specified herein) to manage and administer payments effectively to child care providers covered by the FNCS CCTAP. The Contractor will bill previous month’s total subsidy dispersed plus an administration fee back to the FNCS. It is anticipated that the total amount of subsidies to be distributed to licensed or regulated child care providers will not exceed $120,000 annually, even though initial prognosis and calculations estimate possible expenditures close to $600,000. Since FNCS CCTAP is a new program offering at FNCS it is impossible to estimate total employee interest in the program although we anticipate roughly 30 employees participating in the program at the start of the contract.

4.0 Tasks

The contractor will provide ongoing guidance and technical support to the Government’s Contracting Officer’s Representative (COR) by performing the following functions:

4.1 Determine and Communicate Eligibility for Participation

a. Based on information provided by employees on the CCTAP application, determine eligibility of potential child care subsidy recipients as outlined in FNCS CCTAP Policy or its equivalent. The latest draft version of the policy is attached to this SOW as Attachment 1. The COR has the final say regarding eligibility approval.

b. Assist FNCS employees with completing the CCTAP applications. A complete CCTAP application includes:

· OPM 1644, Child Care Provider Information for the Child Care Subsidy Program for Federal Employees - Providers must complete this form in its entirety and submit a copy of their most recent license or equivalent and/or a statement of compliance from State and/or local authorities. Child care providers will provide their Taxpayers Identification Number as noted on form OPM 1644. This form may be found at Form OPM 1644. If the child care provider wants to receive payments in the form of an electronic funds transfer, then they must complete Section IV of the form OPM 1644. If Section IV is left blank, then the child care provider will receive a paper check.

· OPM 1643, Child Care Subsidy Application Form, found at Form OPM 1643.

· SF-50, Notification of Personnel Action. The Contractor will request that employees submit the most recent SF-50 and review the SF-50 to:

· Determine by which agency he or she is employed;

· Identify the nature of the appointment, i.e., permanent, temporary, or term.

· Verify to ensure that the time employed will exceed 1 year if the employee’s appointment is time-limited (i.e., temporary or term);

· Identify the work schedule, i.e., full- or part time. (NOTE: FNCS employees on intermittent work schedules are ineligible to receive a child care subsidy.)

· Copies of the employee’s last two pay statements just prior to the signature date on their form OPM 1643.

· Copies of the employee’s most recent tax returns in which they apply for benefits.

· Copies of the most recent Wage and Tax Statement (Form W-2) for both parents (or legal guardians),

· A copy of the child(ren)’s birth certificate.

· A copy of the child care provider’s license.

· A copy of child care provider’s schedule of fees.

c. Provide employees with guidance as it relates to any and all forms of documentation required to accompany the CCTAP applications. Electronic submission of forms may only be accepted when the files are encrypted to protect personally identifiable information. Applications may be accepted by mail or by fax.

d. Determine the eligibility of child care providers to receive federal funds based on the criteria approved by the Agency. Providers must be licensed and/or regulated by State and/or local authorities where the child care services are being delivered.

e. Notify employees and potential child care providers in writing of their acceptance into the program. The notice will include:

· The amount/percentage of the tuition assistance that participating families will receive;

· The effective date of employee enrollment in CCTAP;

· Invoicing instructions to the child care provider;

· Include a reference to the flowchart that will be attached (see section “f” below).

f. Develop a step-by-step flowchart of the CCTAP process. At a minimum, this flowchart should illustrate the process and expected timeframes of activity from the time the employee first submits the complete application to the contractor to when the contractor will make the first and subsequent payments to the child care provider. This document will be included as an attachment to the written notification to employees of their acceptance into the program.

g. Review initial tax returns to determine whether employee meets initial eligibility requirements and monthly amount of the subsidy. Situations occasionally arise when an employee has divorced during the previous year for which tax returns are being submitted. In these cases, the contractor must make an exception if the employee’s current salary falls within the Agency’s specified income limits. Employees will be required to submit documentation to support their divorce along with their tax return. Under such an exception the employee is eligible at the beginning of the month after the application is received by the contractor.

h. Notify employees in writing if they are initially found ineligible and/or when they become ineligible because they no longer fall within the Agency’s income limits for receipt of the child care subsidy and no exception applies. Employees that become ineligible after initial acceptance into the program will be notified in writing of the change in their eligibility status within 14 days of the date they became ineligible. Notices will include:

· A statement that the employee is not or is no longer eligible to receive child care subsidies;

· The reason for ineligibility;

· The date after which child care subsidies will no longer be paid, if the employee is already enrolled in the program.

· A reference to the current FNCS Child Care Tuition Assistance Program policy.

i. Require child care providers and/or program applicants to provide notification immediately if the childcare facility is no longer licensed and/or regulated by the State and/or local authorities. In such cases, the provider is no longer permitted to receive the subsidy payments from the contractor. (NOTE: An employee who remains eligible, may continue receiving subsidies once they find another licensed provider.)

j. Notify employees in writing of the receipt of information if their child care provider is no longer licensed and/or regulated by the State and/or local authorities. Notices will include:

· A statement that the child care provider is no longer eligible to receive the subsidy payments;

· A copy of the notice received from the child care provider and or the employee;

· The date after which child care subsidy will no longer be paid to the provider;

· Instructions on how to submit paperwork for a new provider if the employee changes providers.

NOTE: Copies of all template notifications and/or official correspondence to participants and child care providers will be provided at the time of issuance to the COR for the contract, preferably as attachments to an electronic mail message.

4.2 Administer the Program

a. The contractor will design and issue certification forms for child care providers and employees to submit for payment of tuition assistance. This form will serve both as the provider’s invoice to the employee for payment of child care services rendered and as submission to the contractor for payment of subsidies. The form must provide a weekly breakdown of services and must include:

· the child care provider’s name and address;

· the employee’s name and address;

· the name of each child who received care; and

· a detailed statement of services rendered for each child in each week of the month covered;

· the total cost of child care for each child for each week (subsidy amount will be calculated by contactor based on percentage allowed per FNCS CCTAP Policy); and

· a requirement for dated signatures from both the child care provider and employee certifying to the accuracy of services provided.

This is the only acceptable document to authorize payments to providers.

b. The contractor shall ensure that certifications are submitted by the child care providers to the contractor in a timely manner. To be timely, a certification must be submitted no later than 30 days after the last day of covered child care services, normally the last day of the month. However, in some cases, that might be the Friday that immediately precedes the last day. Certifications submitted after the 30-day deadline must not be processed without prior approval from the COR for this contract. The Contractor is responsible for submitting “late” certifications to the COR for approval. Written notification must be provided both to the employee and the child care provider when payments will not be made as a result of late submissions. Certifications can be submitted by mail, as attachments to e-mail messages, or by fax.

c. The contractor will verify that both the child care provider and employee have signed and dated the monthly certification forms for services rendered.

d. Once the contractor receives monthly certifications, the contractor will initiate payments directly to the child care provider within 10 business day after the deadline for receipt of certifications. For example, October certifications are due on or before November 30. Payments must be made no later than the 10th business day in December. Once payments have been issued, the Contractor must notify the employee(s) that payment has been made and provide payment details. Notification to employee can be made via e-mail. Payment details provided to employees must include payment amount, method of payment, date of payment and dates of service covered by the subsidy.

e. The contractor will track and monitor the monthly totals of subsidies paid to ensure payments never exceed the contract’s annual obligation level. Upon contract award, the total annual subsidy will be determined by the Agency based on an average of monthly subsidies paid over the previous 3 years. The contractor should alert the COR if it appears that the amount of subsidies may exceed the total annual subsidy amount.

f. Contractor will coordinate with COR to identify participants that are no longer employed by the Agency. If a provider erroneously receives payment following a participant’s failure to notify the contractor that employment with the Agency has ended, the contractor will provide written notification to the COR, Contract Administrator, and the employee. The contractor will work with the provider to request a refund of the erroneous payment. Refunds from providers will be issued directly to the contractor and deposited into the stipend account held by the contractor.

g. The contractor will submit a monthly invoice on or before the 15th of each month to the COR which includes the predetermined subsidy allocation and the contractor’s monthly fee.

h. Upon approval of the annual report by the COR, any identified subsidy overpayment will be refunded to the Agency in the form of a check within 30 days of COR approval. The contractor will write the check to the Agency.

i. The contractor will develop and coordinate an annual recertification process for all participants. The recertification process must occur between April 15 (or the date designated by the IRS as the due date for federal income tax returns) and May 31. The contractor will submit the annual recertification plan to the COR no later than March 15 for approval. Recertification must include submission of the current year tax return documents to verify that employees are still eligible to participate in the program and to assess whether the amount for which they are eligible remains the same.

j. The contractor will maintain files on behalf of the Agency for the life of the contract. Upon completion of this contract, the contractor will return all files to the Agency for retention or destruction.

5.0 Reporting

5.1 Monthly Reporting

The contractor will submit monthly reports in Excel spreadsheet format to the COR and Contract Specialist on the status of the Agency’s CCTAP. These reports must not include employees’ social security numbers or dates of birth. Reports must be submitted by the 15th of each month following the month being reported. At a minimum, reports must include the following information:

a. The name of each employee enrolled in the FNCS CCTAP;

b. The name(s) of the employee’s children covered by the subsidy;

c. The name(s) of the child care provider(s) for each employee;

d. The total monthly amount invoiced by each provider for each child (total monthly cost of child care).

e. The monthly tuition assistance percentage authorized for each participant (100%, 75% or 50%);

f. The monthly amount of tuition assistance paid to each child care provider for each child;

g. The date the tuition subsidy was disbursed to each provider;

h. The period of service covered by the subsidy;

i. The aggregate monthly amount of tuition assistance paid for each employee enrolled in the program;

j. New participants should each be highlighted or otherwise color coded for easy recognition with as much of the above information as is appropriate, depending on when they were enrolled during that month.

k. Total number of new participants for each Agency for the month;

l. The number of participants who applied for enrollment but were not eligible and the reason for their ineligibility.

m. The names of tuition assistance participants who were withdrawn from the program and the reason for their withdrawal. Withdrawn participants should be highlighted or otherwise color coded for easy recognition with as much of the above information as is appropriate, depending on when they were withdrawn during the month being reported;

n. Total number of participants withdrawn for each Agency for the month;

o. The names and total number of participants who were denied assistance due to lack of Agency funds, if applicable.

p. The amount of subsidies received, paid out as of the year-to-date, and the remaining balance at the end of each month.

q. Proof of payment to the child care center.

Monthly reports must be certified by the COR to ensure that funds were paid to the child care center prior to paying any invoices to the contractor.

5.2 Annual Reporting

The Contractor must provide the COR and the Contract Specialist with an annual report (in Microsoft Excel format) no later than 15 days prior to the end of the base or respective option period of the fiscal year immediately following the one for which the information is being reported. Information will be itemized by Agency for all FNCS CCTAP employees enrolled in the program during the fiscal year coverage period. The Contract Administrator’s version of the report must not include social security numbers or other personally identifiable information.

The report will provide the detailed information listed below:

a. The name of each employee enrolled in the program;

b. Employee’s complete mailing address;

c. Percentage of subsidy for which employee is qualified (100%, 75% or 25%);

d. Family adjusted gross income as reflected on the most recent tax return; and

e. Employee’s tax filing status;

f. Employee’s participation status in the program at the end of the fiscal year (active or withdrawn);

g. The names of each employee’s child/children enrolled in care for which subsidies are being paid;

h. The name and address of the child care provider for each child;

i. The Federal Employer Identification Number (FEIN) for each child care provider;

j. Child care provider type, i.e., center- or home-based.

k. The aggregate total of subsidies paid per employee during the fiscal year;

l. If employee withdrew from the program during the fiscal year, the date and reason for withdrawal;

m. The number of participants who applied for enrollment but were not eligible;

n. For participants who applied for enrollment and were found ineligible, the date and reason for their ineligibility;

o. The names of participants who were denied tuition assistance due to lack of Agency funds, if applicable.

p. Total amount of FNCS CCTAP subsidy funds received during the fiscal year;

q. Total amount of FNCS CCTAP subsidies paid throughout the fiscal year;

r. Remaining balance in FNCS CCTAP subsidy fund as of the end of the fiscal year.

s. Total amount of contractor fees paid for the year.

5.3 1099 Reporting At the appropriate time, the contractor shall provide a completed Form 1099, as required by law, to child care providers who received a subsidy under this program.

5.4 Freedom of Information Act or Privacy Act

Provide information to the COR on the subsidy program in response to requests for information under the Freedom of Information Act or Privacy Act.

6.0 Deliverables

7.0 MEETINGS/CONFERENCE CALLS

a. Kick-off Meeting. The contractor will coordinate with the Contract Specialist and COR to arrange a kick-off meeting or teleconference within 10 business days of the contract award. The purpose of this meeting is to review and discuss the specifics of the tasks to be completed; establish a good working relationship; and promote effective communication.

b. Periodic Meetings. The contractor and/or the COR and/or the Contract Specialist may request periodic meetings or teleconferences to discuss issues, status, reporting, suggest changes to improve administration, and/or other programmatic matters.

c. Close-out Meeting. The contractor will provide an annual close-out briefing or teleconference to the Government no later than January 15 of the following fiscal year to discuss task(s) completed, resolve any outstanding issues, and if applicable, provide lessons learned and any suggested changes to the current administration of the program

8.0 SENSITIVE INFORMATION STORAGE AND DISCLOSURE

Sensitive-But-Unclassified (SBU) information will be disclosed only to authorized personnel on a need-to-know basis as determined by the COR. The contractor will ensure that administrative, technical, and physical safeguards are established and adhered to in order to ensure the security and confidentiality of employees’ personal information. The contractor will return to Government control; destroy, or hold until otherwise directed, any and all sensitive data related to REE employees. Sensitive data will be destroyed completely to preclude the reconstruction of the material, consistent with GSA guidelines. Contractor employees with access to personal information, such as social security numbers, will be required to sign a Confidentiality and Non-Disclosure Statement (See Attachment 2).

9.0 QUALITY ASSURANCE SURVEILLANCE PLAN (QASP)

10.0 SECURITY CLASSIFICATION

The preparation of the annual report (both sections) described in section 4.2 will be completed at a Sensitive-But-Unclassified (SBU) level unless otherwise stated by the COR. To this end, the report submitted to the COR must be password protected.

11.0 PRIVACY ACT

Work on this project requires that the contractor have access to FNCS employees’ Privacy Information. The contractor will adhere to the Privacy Act, Title 5 of the U.S. Code, Section 552a and REE Policy and Procedures 116.0, Freedom of Information Act and Privacy Act Guidelines.