Att K - SOW.docx

RFP 26-87282 Banking for Unemployment Benefits

Attachment K

STATEMENT OF WORK

I. EXECUTIVE SUMMARY

Unemployment benefits in Indiana provide temporary income replacement for eligible workers who lose employment through no fault of their own. The program is administered by the Indiana Department of Workforce Development (DWD) and funded through employer payroll taxes under state and federal law.

II. BACKGROUND AND CURRENT STATE

The Indiana Unemployment Insurance (UI) Program provides eligible individuals who have recently lost their job, a temporary weekly stream of income that helps with daily living expenses until they can find a new job. Workers who have lost their job through no fault of their own can qualify for unemployment benefits in Indiana. This social safety net helps workers who are facing unemployment even though they are able, available, actively seeking full-time employment and lost their job.

The UI Program social safety net was expanded in 2020 to include workers that are normally excluded from receiving benefits because they are self-employed. As a result, the number or payment recipients increased to record levels and the number of distribution programs increased significantly from five permanent programs - UI, UCX, UCFE, EB, and TRA - to nine programs including add-on benefits such as FPUC, MEUC, and LWA.

Beginning in March 2020, claimants were allowed to pre-select their payment option, i.e. to authorize direct deposit as their primary distribution method, and/or to receive a stored value card in anticipation of a payment being distributed. Because not all claims are approved for payment, some cards were issued that were never funded.

Historical Usage:

*through March 2026

III. SCOPE OF WORK

DWD is looking for a Vendor who meets the necessary requirements to perform the payment distribution services for Indiana’s UI Program. The Vendor shall be responsible for distributing payments, managing account records, ensuring appropriate security measures and fraud detection methods are employed over the course of the Contract, providing customer service functionalities, and assisting with marketing efforts.

DWD has implemented vigorous fraud and identity-theft prevention practices to ensure that the individual authorized to receive benefits is the person that has applied for and been granted such benefits. DWD is particularly interested in the Vendor’s proposed fraud and identity-theft prevention with regard to verification and how the Vendor ensures that the distribution program user is the same individual identified by DWD as the rightful recipient of the distribution.

DWD also seeks to understand the level of assistance the Vendor will have available in the instances where DWD shall show constructive receipt of funds by an individual, and the level of information that the Vendor will be able to provide to DWD for analysis of certain algorithms used in the detection of benefit fraud schemes.

Funds Access: If the Contractor is a Federal Depository Insurance Corporation (FDIC)-insured bank, it must have at least one branch in the State of Indiana. If the Contractor is not an FDIC-insured bank, the issuing bank used by the Contractor must have at least one branch in the State of Indiana. The Contractor shall disburse funds, and said funds shall be made available to claimants, in accordance with this section.

Unemployment Benefits Program: DWD shall deposit funds to the agreed-upon Direct Deposit Account (DDA) each day that the Federal Reserve is open for fund transfers in the amount required to fully fund the current business day's authorized distributions. The Contractor will then be solely responsible for distributing funds in accordance with the election of each claimant.

· DWD requires information about the pricing structures for both same-day and standard ACH transfers.

Bank Account: As needed, and on behalf of DWD, the Indiana Treasurer of State's Office (TOS) will open a checking account with the Contractor for the performance of the services in this Contract.

The State strongly prefers a cloud-based service offering. Cloud-based service offerings are required to be within a state-owned cloud tenant. However alternative solutions may be considered if they demonstrate significant value. This section provides details on infrastructure and support requirements, outlining the State’s minimum requirements. Review Attachment [M] – Infrastructure Overview for more detailed information.

a. DELIVERABLES AND DEADLINES

The Contractor shall provide, at a minimum, the deliverables referenced throughout this Contract according to the timeline provided for each deliverable or, if no timeline is provided, according to a mutually agreed upon schedule. Each deliverable must be submitted in accordance with guidance in IV.j below and will be subject to formal review and approval by the State.

b. Contractor System Requirements

i. File Transmission and Format

1. The Contractor shall use the DWD approved file format for transmitting account setup and payment information data. DWD reserves the right to change its file formats during the life of the Contract and the Contractor shall work with DWD to accommodate these changes with diligence and speed. If any files are not immediately accepted, the Contractor must resolve the transmission issue within six (6) hours of the earlier of DWD's notification of a transmission issue or the Contractor's discovery of the transmission issue.

2. The Contractor’s solution must support the State’s standard API and file transfer methods to facilitate secure data transmission. The State’s standardized data transmission technologies are the MuleSoft API Management and GoAnywhere Managed File Transfer (MFT) services. See the information outlined in the Data Exchange & API Format section.

3. The Contractor will accept DWD's transmission of account information on at least a daily basis. Each file transfer must be automated, requiring no manual intervention by DWD or the Contractor. The Contractor must acknowledge receipt and processing of the transmissions as quickly as possible, and in no event shall the acknowledgement be greater than two (2) hours past the time of receipt.

4. The Contractor will send confirmation files in the format approved by DWD to Uplink when the payments have been processed.

5. In addition to the confirmation files in (i), the Contractor will also send an acknowledgement through the interface during the file transmission process once the file is successfully received or upon the occurrence of any error.

6. The Contractor's system must be able to send and receive payment distribution details and Claimants' demographic information to and from DWD in the designated format.

ii. Data Exchange & API Format

1. The State has robust and comprehensive data transmission standards that operate enterprise wide. The IOT established and maintains these standards, which support IOT’s data exchange and API-led strategies for the State. The Contractor’s solution must support the State’s standard API and file transfer methods to facilitate secure data transmission. The State’s standardized data transmission technologies are the MuleSoft API Management and GoAnywhere Managed File Transfer (MFT) services. See https://www.in.gov/iot/policies-procedures-and-standards/applications-standards/.

2. The Contractor shall use only an API format when accepting real-time Claimant name and demographics from DWD.

iii. Identification and Remedy of Issues

1. The Contractor shall self-identify any failures, delays, or slow processing of DWD's transmitted files or data. Such identification must be conveyed to DWD promptly upon discovery and include a plan for timely remedy of the issue.

2. The Contractor must furnish a point of contact for DWD to communicate any issues discovered by DWD. This knowledgeable contact (which need not be a single individual) must be available during business hours with monitored messaging services available twenty-four (24) hours each day, seven (7) days each week. The contact must be able to respond to DWD inquiries or questions in fewer than thirty (30) minutes, though such a response may necessarily be only an acknowledgement of receipt of DWD's issue. In the event that the contact's response is a receipt and acknowledgement (but not an answer or resolution), the Contractor shall endeavor to resolve the issue or provide an answer within two (2) hours if possible, and in any case with all deliberate speed. The contact should continue to provide periodic updates to DWD regarding the issue until it is remedied to the reasonable satisfaction of DWD.

iv. System Compatibility

1. The Contractor must ensure that any website, web portal, browser plugins, or provided software for all transactions and functions (e.g., file transfers, reporting, status review, etc.) are compatible with modern internet connected devices. However, if necessary, DWD reserves the right to require use of or compatibility with older versions of software. If DWD elects to use outdated versions of browsers, the Contractor can elect to block access to those that do not provide necessary levels of security.

2. If the Contractor requires DWD to have any third-party software, DWD must be made aware of and approve these requirements in the Contractor’s proposal and any minimum version of this software.

c. Account Management

i. Account Creation

1. The Contractor shall create an account for any new claimants provided to the Contractor by DWD. DWD will provide the applicable information about each account holder.

2. Each calendar day, DWD shall send the Contractor one file containing new accounts that are ready to be created, changes to existing demographic information, and existing accounts that should receive an additional deposit.

3. As often as agreed by DWD and the Contractor, the Contractor shall create a file for DWD indicating the accounts that have been established and re-issued account numbers, along with other information required to make payments. Simultaneously, the Contractor shall confirm the amount of funding allocated to each account. The Contractor shall confirm electronically the receipt of all files received from DWD. The Contractor shall distribute funding for each file as described in the Funds Access section.

4. Upon receiving the new account file from DWD, the Contractor shall establish the new accounts within their system. At least 98% of account creation issuance requests must be fulfilled on a timely basis. For this provision, timeliness is defined as follows: for requests received at or before 11:15 a.m. ET, account creation issuance requests must be fulfilled the same business day, and for requests received after 11:15 a.m. ET, account creation issuance requests must be fulfilled the next business day.

5. The Contractor shall create a secure website to assist Claimants in making a payment distribution election. If the Contractor elects to create an account in anticipation of funding, the Contractor acknowledges that the account is not part of the DWD program until such time as DWD sends an account creation or funding request for the Claimant. Not all applicants for benefits eventually receive benefits.

6. Unless (1) required by applicable law or any legal process, legal notice, injunction, or court order or (2) the Contractor reasonably believe that fraudulent or illegal activity has occurred or may be occurring with respect to an account, Contractor shall not close an account without first receiving written approval from DWD. DWD’s approval shall not be unreasonably withheld. Contractor shall notify DWD of any accounts closed without DWD approval within 24 hours of the closing of the account.

7. The Contractor shall provide a default payment method of SVC in the event that the Claimant fails to select a valid payment distribution method. The default method must be initiated by the Contractor within ten (10) business days of the first account funding request from DWD.

ii. Deposit Transactions and Account Maintenance

1. The Contractor shall be responsible for the following:

a) For each instance of account maintenance data DWD shares with the Contractor, the Contractor shall provide DWD a return acknowledgement file.

b) For each instance of payment transaction data DWD shares with the Contractor, the Contractor shall provide DWD a return acknowledgement file.

2. Deposit transactions that are rejected due to inaccurate account information or closed accounts shall be researched by the Contractor and, when possible, corrected and re-sent to the claimant. The Contractor should initiate the default payment method of SVC in the event that the original deposit cannot be distributed to the claimant by their selected distribution method within ten (10) business days.

iii. Pre-Acquisition Requirements

1. In connection with the establishment of SVC accounts, DWD shall be solely responsible for:

a) verifying the identity of Claimants upon enrollment and in connection with establishing or making any changes to Claimant payments;

b) determining that each Claimant is legally entitled to receive benefits payments; and

c) furnishing the Contractor with accurate and complete Claimant information to establish or make any changes to benefits payments and for the issuance of all new, replacement, and reissued SVCs mailed or to be mailed to Claimants.

2. The Contractor will from time to time provide DWD with the Contractor's recommended pre-acquisition disclosures (the "Model Form") in connection with the Prepaid Rule, as well as a process that the Contractor recommends be implemented in connection with SVC accounts. Within 30 business days of receipt of the Contractor's recommended Model Form and/or process, DWD shall affirm in writing in a form acceptable to the Contractor that DWD will:

a) utilize the Model Form and process, as recommended by the Contractor; or

b) develop and implement its own model form and related processes that comply in all respects with the Prepaid Rule; provided, that DWD shall also provide a copy of such forms and pre-acquisition disclosure process to the Contractor prior to implementation, and the Contractor shall have no obligation to issue any card unless the Contractor is satisfied, in its sole discretion, that DWD’s proposed model form and processes comply with the Prepaid Rule.

iv. Verification of Claimants.

1. DWD will provide the Contractor with a written summary of the Claimant identity verification processes implemented, or to be implemented, by DWD in connection with the Payment Distribution Program.

2. DWD shall obtain and provide to the Contractor a current phone number and email address for each Claimant enrolled in the Payment Distribution Program; provided, however, that DWD shall only be required to provide such information to the extent provided to DWD by a Claimant.

3. In the event that DWD fails to satisfy its obligations under Section III.b.ii.3 or III.b.ii.4 with respect to any particular Claimant, the Contractor may in its sole discretion (and in addition to any other rights or remedies available to it under this Contract or at law or in equity):

a) decline to establish a SVC account for such Claimant; and/or

4. close the SVC account established for such Claimant. If the Contractor exercise their rights under subsections (i) through (ii), the Contractor shall notify DWD of the Contractor’s decision pursuant to Section III.b.ii.1.f.e

v. Stored Value Cards

1. Minimum Card and Account Features

a) No claimant electing SVC shall be charged a monthly account fee or inactivity fee by the Contractor.

b) There shall be no line of credit for the claimant.

c) The account tied to an SVC shall be FDIC insured up to $250,000 or as defined by the FDIC.

d) There shall be no interest added to the claimant’s account.

e) The SVC shall not affect the claimant’s credit history.

f) The SVC shall be issued without a credit check and to any claimant determined, by DWD, to be a recipient.

g) Claimants cannot make deposits or add value to the SVC.

h) The SVC shall not connect in any way to any other checking or savings account.

i) The SVC shall offer all of the payment functionalities and capabilities of a check or debit card.

j) The SVC shall not be State of Indiana or UI program branded.

2. Usage and Availability

a) The SVCs may be used at any merchant who accepts cards supported by the Contractor’s SVC’s payment card service provider. To complete a transaction at a merchant site, a cardholder receiving funds under the SVC Program may choose the debit option and use the cardholder’s PIN. Additionally, the SVCs support cash back at the point-of-sale (POS) and withdrawals at ATMs where cards supported by the Contractor’s SVC’s payment card service provider are accepted.

b) Cardholders shall not be charged a fee or surcharge for any ATM transactions within the Contractor’s ATM non-surcharging network.

3. Card Design

a) The Contractor will notify the State a minimum of (14) business days prior to changes in the SVC design, SVC carrier, marketing materials, and cardholder terms and conditions subject to the Contractor’s SVC’s payment card service provider’s approval.

b) At a minimum, the SVC should have the following components:

i. The globally recognized brand mark hologram with “DEBIT” clearly indicated;

ii. A “valid thru” date to indicate month and year before the expiration;

iii. An encoded magnetic strip on the back of the SVC;

iv. A tamper-evident signature panel on the back of the SVC for the cardholder to sign their name;

v. Ultra-violet inks to deter fraudulent reproductions;

vi. Print the card verification code on the SVC back as a security feature; and

vii. A listing of the required toll-free number.

4. Card Issuance

a) Within two to three calendar days of communication of a claimant’s enrollment by DWD, Contractors shall send the claimant the SVC and Instructional Materials as defined below:

i. DWD shall approve the content and form of the Instructional Materials in advance of Contractor’s use of these materials

ii. DWD’s approval shall be required to modify these Instructional Materials

iii. The Instructional Materials shall include, at a minimum:

1. Schedule of fees

2. Any Terms and Conditions for the SVC and account

3. Card Activation Instructions

4. Customer Service contact information

5. Information on where and how to use the SVC, including how to locate an in-Network ATM

6. A description of how to enroll in paper statements and communications.

b) Cardholders activate the SVC by dialing the Contractor’s toll-free customer service number, online, or mobile application.

c) Cardholder activation is not required before loading payments to the corresponding account.

d) Unless required by applicable law or Contractor’s policies and procedures, the Contractor shall process all claimants that have been received from DWD and shall not deny SVCs to anyone without the prior express written approval of DWD. DWD’s approval shall not be unreasonably withheld.

e) Each SVC shall expire every five years from the issuance date. Any SVCs scheduled for reissue shall be mailed approximately 45 calendar days before the expiration month.

f) There is no cost to DWD or cardholders for initial SVC issuance or the replacement of expired SVCs.

g) Substitution of SVCs is not allowable unless pre-approved in writing by DWD. The substituted item shall be of equal functionality and quality and must not exceed the Contract fees.

h) The Contractor agrees to cooperate with DWD to assist with the orderly transfer of services, functions and operations provided by the Contractor hereunder to another service provider.

5. Card Replacement

a) On an as-needed basis, the Contractor shall issue a replacement SVC to a cardholder upon notice that an SVC has been lost, stolen or damaged.

b) A cardholder may receive one (1) free replacement SVC per year. This limit does not apply if a new SVC is required because of suspected or confirmed fraudulent activity, in which case a new SVC will always be free to the cardholder

c) When a cardholder requests two or more SVCs within a 12-month period, replacement fees may apply. These fees are borne by the cardholder and are set forth in the Fee Schedule.

d) Replacement SVCs must be issued on the same timeframe as initially issued SVCs (mailed to cardholders within approximately two to three days of communication requesting replacement). The Contractor may offer expedited issuance and may elect to charge cardholders for this expediting in accordance with the Fee Schedule.

e) SVCs shall be replaced, upon request, after the expiration date, if funds are still available to the cardholder, even if account has not had any activity or has not been activated.

6. Shipping and Delivery

a) The Contractor shall be able to deliver SVCs to all current and potential delivery sites within the State of Indiana, the United States, and internationally, including US Military addresses.

b) The Contractor shall use commercially reasonable efforts to ship SVCs within two business days after acceptance of file indicating a new account is needed. The Contractor shall use commercially reasonable efforts to maintain an on-time delivery percentage of 99%.

c) When an SVC is returned as undeliverable, the Contractor shall notify DWD within two (2) business days of processing the undeliverable SVC. All undeliverable SVCs shall be returned to the Contractor’s operations center.

d) If an SVC is returned as undeliverable, the Contractor must mail a new SVC to the cardholder when an updated address is provided to the Contractor by DWD and in accordance with the above timeline for card replacement and the red flag regulations.

7. Negative Balances

a) The Contractor is responsible for proper balances on each SVC. To the extent allowable by the payment card service provider processing rules, the Contractor shall disallow any transaction that causes a cardholder to exceed the amount available in their account.

b) The Contractor will not allow any SVCs to assess fees higher than the cardholder’s balance. The Contractor will not attempt to collect funds in the event an SVC contains a negative balance due to the Contractor’s fees.

c) DWD shall not be liable for any transaction or other associated costs that cause a cardholder to exceed the amount available in their account.

d) If a negative balance occurs, the Contractor must adhere to the following section regarding settlement and reconciliation in addressing it.

8. Settlement and Reconciliation

a) The Contractor is responsible for the settlement and reconciliation review of accounts.

b) If the Contractor determines that an account has a negative balance, the Contractor may determine how and when the account will post from recurring deposits and identify liability for write-offs and referrals to the fraud division or criminal authorities, as applicable.

c) The Contractor shall have a method for DWD to reverse a deposit in the event of fraud.

d) The Contractor shall have a method for DWD to pull back funds that were sent in error to SVCs that have not been activated and activated cards including but not limited to the following scenarios:

i. Deceased cardholder

ii. Incarcerated cardholder

iii. Fraud

iv. Funds deposited in error

v. Dormant, unpinned SVCs

e) The Contractor shall notify DWD immediately upon funds being returned to DWD and include applicable details of the funds.

9. ATM Network

a) The Contractor shall provide a “Network” of in-Network ATMs and banking locations in Indiana. All withdrawals from these in-Network ATMs shall be free (i.e., no fee).

b) The Contractor shall ensure that the number of in-Network ATMs and banking locations in Indiana is not at any time fewer than 90% of the number of in-Network ATMs and banking locations that existed at the time the Network was provided.

i. The Contractor shall notify DWD within 5 business days if at any time there are fewer than 90% of the number of in-Network ATMs and banking locations that existed at the time the Network was provided.

c) ATM Fee Restrictions

i. No fee or surcharge shall be charged for any ATM transactions within the Contractor’s or its Subcontractors’ ATM non-surcharging network.

ii. Out-of-network withdrawals may be charged in accordance with the Fee Schedule.

iii. In no event shall the Contractor charge a cardholder a fee to check their SVC balance via an in-Network ATM.

10. Return of Funds on Cards

a) Under no circumstance shall the Contractor be obligated to return to DWD any amount exceeding the available balance of any SVC based upon any request from DWD or other legal directive, after allowing the Contractor a reasonable time to act upon such request or directive. Any amount returned shall exclude any provisional credit paid or due to an SVC cardholder under Regulation E (including any provisional credit which may have become final), if applicable.

d. Security and Detection of Fraud and Abuse

i. Account Validation

1. When a claimant elects payment via ACH direct deposit to a given account, the Contractor shall use a Bank Account Validation (BAV) service to validate the following information: routing number, account number, account type, and the name on the account.

2. DWD shall be solely responsible for determining whether a claimant shall be paid.

3. All claimants shall be paid in accordance with guidance in Section 1 regardless of the response received from the BAV service unless or until DWD directs the Contractor otherwise in writing.

4. The Contractor shall notify DWD of all account validation responses via a daily report (Section IV.e.ii).

ii. The Contractor must advise, assist, and appropriately act to aid DWD in detection and investigations of abuses by claimants or personnel (DWD, Contractor, or a third party). This may entail cooperation with various authorities of the state and federal agencies responsible for compliance with laws and regulations surrounding the programs.

iii. Security Document

1. The Security Document shall describe the administrative, physical, technical, and systems controls to be implemented for the Payment Distribution Program. It shall be finalized, with DWD approval, within thirty (30) calendar days of the date of the full execution and delivery of the Contract.

a) The Security Document shall evidence compliance with Statewide IT Policies and applicable frameworks (e.g., SOC 2 Type II, PCI DSS), with documented encryption, access controls, audit logs, and annual independent assessments. See https://www.in.gov/iot/policies-procedures-and-standards/applications-standards/.

2. The Contractor must include a description of its security procedures and policies and must maintain and provide an audit log reflecting access and account activity upon DWD's request.

3. The Security Document must identify any perceived or real risks to the Contractor's system. The analysis of the Contractor's Payment Distribution Program must include:

a) Vulnerability to:

i. theft and unauthorized use;

ii. unauthorized creation or altering of household accounts;

iii. unauthorized posting of issuance; and

iv. the tampering of information on ACH transmission or settlement network.

b) Completeness and timeliness of the reconciliation system;

c) Availability of a complete audit trail of all transaction activity.

4. A complete audit trail must be part of the security process, to provide, at a minimum, a complete transaction history of each activity that affects any account balance.

e. Financial Liability

i. The Contractor, in the performance of its duties under the Contract, will be entrusted with the transfer and administration of a significant amount of money. The Contractor's errors or omissions in the performance of these duties may directly or indirectly cause damages to DWD, claimants, or a third party. Subject to all of the terms, conditions and limitations on liability and damages set forth in Section 48 of the Contract, the Contractor will bear all liability, under the law or equity, for these damages. Accordingly, except as resulting from acts or omissions of DWD, the Contractor understands that it is assuming liability for the following non-exhaustive list of potential damages incurred as a result of the Contractor's actions:

1. Losses resulting from errors or omissions by the Contractor;

2. Any duplicate or erroneous postings to a claimant;

3. Any losses from funds drawn from an account after the claimant notified the Contractor that an account had been compromised;

4. Any damages or losses suffered by DWD due to negligence on the part of the Contractor;

5. Any loss of benefits caused by fraud or abuse by the Contractor or its representatives;

6. It is the expectation of the parties that in all cases, the State will transfer funds to the bank account agreed to in Section 1 before those funds are required to be posted. The Contractor must be willing to float funds until reimbursed by DWD in the event the funds are not transferred. Where funding is delayed, DWD will wire funds to the bank account agreed to in Section 1 no later than by the close of business on the day the funds are required to be posted (settled).

f. Customer Service, Help Desk

i. Customer Service Support Center

1. General Requirements:

a) The SVC center shall provide a toll-free customer support number.

b) The Contractor shall provide services in accordance with Section VI.a below.

c) The services of the customer service support call center can be provided through a combination of Interactive Voice Response (IVR) systems and live Customer Service Representatives (each a CSR and collectively, CSRs).

d) The CSRs must be quickly and easily accessible through the IVR.

e) Incoming customer service calls to the service center shall not have an abandonment rate that exceeds 5% of calls.

f) The Contractor shall staff CSRs from Monday thought Friday between the hours of 8:00 a.m. and 8:00 p.m. ET.

g) CSRs shall provide services related to SVCs and other services including, but not limited to, assistance with the Payment Distribution Program, how to elect payment distribution methods, and deposit verification.

h) Timely notification should be provided to DWD anytime services are unavailable.

i) CSRs will be knowledgeable of and able to speak accurately about the Payment Distribution Program.

j) CSRs shall have a process to escalate issues to management for complex or irregular situations.

2. IVR Requirements:

a) Available twenty-four (24) hours each day, 365 days each year;

b) At least 99% of all calls which should be answered by the IVR system must be answered within two (2) seconds of the first ring;

c) Last deposit amount and date;

d) Deposit notification set up/change; and

e) Card activation.

3. CSR Requirements for SVC:

a) At least 80% of all calls which have been directed, by a claimant’s selection, to a CSR must be answered within one (1) minute from the IVR selection directing the call to a CSR. This service level will not include calls occurring during scheduled maintenance. Scheduled maintenance is normally scheduled during off-peak hours and is not to exceed six hours per calendar quarter;

b) CSRs shall provide services related to reporting compromised accounts, including but not limited to services related to lost/stolen cards and PINs. No fee shall ever be charged for CSR calls to report a compromised account. This service shall be available twenty-four (24) hours each day, 365 days each year. The Contractor shall notify DWD as soon as possible of any confirmed outage of more than thirty (30) minutes of CSR services related to reporting compromised accounts;

c) CSRs shall provide services related to account activation. This service shall be available twenty-four (24) hours each day, 365 days each year.

4. Fees:

a) Claimants shall not be charged a fee for calls.

ii. Online and Mobile Banking

1. The Contractor shall have a secure claimant website and mobile application where claimants can, at a minimum, find their account balance, locate in-Network ATMs, request printed materials, check deposits, view account history, report a lost or stolen SVC, request a new SVC, and learn other relevant information.

2. This website and the mobile application shall be available twenty-four (24) hours each day, seven (7) days each week, 365 days each year. The Contractor shall notify DWD as soon as possible of any confirmed outage of more than thirty (30) minutes of any of the required features or pages of the website listed in III.b.vi.3. The Contractor shall provide monthly outage logs for any months in which there are outages.

3. The website shall be equally accessible through computer and mobile phone browsers.

4. This service level will not include calls occurring during scheduled maintenance. Scheduled maintenance is normally scheduled during off-peak hours and is not to exceed six hours per calendar quarter.

iii. Other Automated Functions

1. The Contractor shall create automated mechanisms, by text, phone, and/or email, to alert claimants their account has been funded. Once registered in the Payment Distribution Program and self-enrolled in text alerts, each claimant shall receive such notification within two (2) hours of their account being funded. The claimant shall not be charged a fee for this service.

g. Language and Accessibility

i. The Contractor shall take reasonable steps to ensure meaningful access to individuals with Limited English Proficiency (LEP) served or encountered so that LEP individuals are effectively informed about and/or able to access any services provided by the Contractor. Reasonable steps include, but are not limited to:

1. Providing cardholder website, cardholder mobile app, pre-acquisition disclosures, card packet materials, and cardholder materials in English and Spanish in addition to offering translation services via the Customer Service Support Center.

2. Providing oral interpretation to LEP individuals.

3. Providing any language assistance services orally in an accurate and timely manner. Language assistance will be considered timely when it is provided at a place and time that ensures equal access and avoids the delay or denial of any service; and

4. With regard to vital information:

a) The Contractor shall provide vital information in written materials in English and Spanish and make the materials readily available electronically, such as on a website.

b) For languages not spoken by a significant number or portion of the population eligible to be served or likely to be encountered, the Contractor shall take reasonable steps to meet the particularized language needs of LEP individuals through use of a language line.

c) The Contractor shall include a notice in English and Spanish indicating that language assistance is available in all communications of vital information free of charge as well as indicating how to access that assistance.

ii. Language assistance services shall be provided free of charge and individuals shall be provided adequate notice of the existence of language assistance services and that language assistance services are free of charge.

1. LEP individuals shall not be required to provide their own interpreter.

2. Minor children, adult family, or adult friends of LEP individuals shall not be relied on to interpret or facilitate communication except:

a) In emergency situations while awaiting a qualified interpreter;

b) When the information conveyed is of minimal importance to the services to be provided, an accompanying adult may interpret or facilitate communication; or

3. When the LEP Claimant specifically requests that an accompanying adult provide language assistance, the accompanying adult agrees to provide assistance, and reliance on that adult is appropriate under the circumstances.

iii. Contractor shall use text telephones, or teletype machines, (TTYs) to communicate with individuals who are deaf or hard of hearing or who have speech impediments.

1. IVR systems shall provide effective real-time communication with individuals using auxiliary aids and services including, but not limited to, TTYs.

2. Contractor shall respond to calls from a telecommunications relay service established under title IV of the Americans with Disabilities Act in the same manner that they respond to other telephone calls.

iv. Contractor shall take reasonable steps to ensure that webpages and mobile applications are accessible by all individuals. Reasonable steps include, but are not limited to:

1. Text equivalents and/or alternatives for any non-text element or multimedia presentations;

2. Designing web pages and mobile applications so that all information conveyed with color is also available without color; and

3. Ensuring electronic forms are compatible with assistive technology.

v. Contractor shall take reasonable steps to ensure that all communications are in plain language with the intent that individuals can understand the communication the first time they read it or hear it, can find what they need, and can use what they find to meet their needs.

vi. Contractor shall conform with applicable laws, rules, regulations, standards, policies, procedures, or any other requirement by DWD regarding communication and accessibility for individuals including, but not limited to, individuals with limited English proficiency and individuals with disabilities.

h. PAYMENT MILESTONES

Payments under this engagement will be made on a monthly basis in accordance with detailed invoices that demonstrate all charges in accordance with the Cost Proposal. No payments will be issued for initial activities such as project kickoff.

The State is prohibited from issuing advance payments for services, supplies, materials, or equipment unless expressly authorized under Indiana Code 4-13-2-20. Exceptions may apply for specific categories such as subscriptions, license fees, or insurance premiums, subject to prior approval by the State Budget Agency. For full details, refer to Indiana Code 4-13-2-20.

IV. PROJECT MANAGEMENT

a. Project Management Plan

i. Within fifteen (15) business days after the date of the full execution and delivery of the Contract, the Contractor must develop a Project Management Plan. This plan includes an integrated schedule with milestones and dependencies, a project organization and staffing plan, a requirements traceability matrix (RTM), issue and risk management procedures with escalation paths, a stakeholder communication plan, a quality management plan with standards and acceptance criteria, training and deployment plans, details on approved tools and collaboration platforms, and a change control process for scope management.

ii. The Project Management Plan will be accepted when the State confirms that the document is complete; includes an approved baseline schedule and resource plan; contains validated governance (risk, issue, and change management) processes; includes a complete RTM, communications plan, and quality plan; documents approved tools, training, and deployment strategies; and receives formal State sign‑off.

b. Kick-Off Meeting:

i. The Contractor shall conduct a kick-off meeting with appropriate DWD staff to be held at DWD's office in Indianapolis, Indiana. During the kick-off meeting, the Contractor shall elaborate on the general approach, plan, and methods for implementing their solution(s) in Indiana. This meeting should occur within fifteen (15) days of the effective date of the Contract. During this meeting, the Contractor shall present, among other things, its proposed Transition Plan (Section IV.c) for DWD review.

c. Transition Plan:

i. The Contractor shall prepare a transition plan (the "Transition Plan") detailing its assumption of the work detailed in this Contract from the vendor currently providing these services to DWD. The Transition Plan must include detailed steps and procedures necessary to prepare for, transition, and provide all services required for the Payment Distribution Program in this Contract with minimal disruption to DWD, claimants, and other stakeholders. This Transition Plan must include details of how the Contractor plans to interface with the current vendor to transfer data and responsibilities during the transition; however, DWD will not require the transfer of funds currently deposited to the SVC of the current vendor to the Contractor as a result of this change. DWD shall approve the final Transition Plan and may require changes to the Transition Plan.

ii. The parties agree that they will meet and mutually agree upon any necessary revisions to the Transition Plan promptly following the effective date of this Contract, and periodically as needed thereafter. The Transition Plan must provide a detailed timeline for coordination and completion of the system conversion, testing, and services transition including:

a) A description of the overall approach;

b) The order in which transition activities will occur;

c) Tasks to be performed;

d) Parties responsible for the completion of each task;

e) A backup plan if any or all of the transition activities are delayed;

f) Training of DWD staff;

g) Customer service;

h) Testing procedures, verification, and validation of the migration process;

i) Quality assurance checkpoints and critical paths.

d. Transition-In Phase

i. The Contractor shall perform transition-in duties in alignment with the Transition Plan.

ii. During the transition, it is critical that claimants are not negatively impacted in their ability to obtain their benefits. Any system outage required to accommodate the transition must occur during a timeframe when impacts to claimants are minimized.

iii. During the transition, claimant inability to access benefits must be minimized to the maximum extent possible and not exceed twelve (12) business hours. Additionally, there must be no loss or corruption of data.

iv. During the transition, the Contractor must complete the following activities:

1. Facilitate the election of a payment distribution method by current claimants;

2. Educate claimants at least twenty-one (21) calendar days before the transition.

3. Claimant Transition: The Contractor must complete the following activities to accomplish claimant transition:

a) Issue a notification (i) to cardholders of actively funded SVCs and (ii) to be included with SVCs issued during a mutually agreed-upon time period prior to the transition, which, at a minimum, lists contact information and resources for the current SVC, indicates timeframes for the current SVC to stop receiving benefits, notifies that a second SVC should be expected for future funding, and which identifies all contract information and resources for the second SVC;

b) Create an account number for each actively funded Claimant under the new distribution system, based upon the selection of an SVC for current and future funding activity;

c) Issue new SVCs to replace all SVCs actively receiving funds;

d) The Contractor must create new accounts for 100% of the actively funded cardholders no later than fifteen (15) calendar days before the transition date to ensure no disruption to benefit access and services;

e) Transition will be considered complete when all accounts actively receiving funds have been transitioned with an accuracy rate of 99.99% or greater;

f) Create marketing/outreach to cardholders actively receiving funds to inform them of required and relevant changes including, but not limited to, changes with SVCs, the new web portal, and new fee schedules; and

g) Have a contingency plan in case the transition cannot be completed as scheduled due to problems.

e. Escheatment Plan

i. The Contractor shall review existing account data no less than monthly to identify accounts which are eligible for escheatment.

ii. The Contractor shall adhere to applicable laws, regulations, and guidelines regarding the escheatment process, including, but not limited to, the specific guidance unique to unemployment benefit payments included in this section.

iii. DWD shall review any form escheatment letter (i.e. holder to owner) prior to its use by the Contractor.

iv. Unexpended funds for unemployment benefit payments shall revert to the State’s Unemployment Insurance Trust Fund, not the State’s general fund, in accordance with the guidance established by the DOL in UIPL 661-62, if the recipient does not claim the funds within the escheatment period. The escheatment period is defined as two (2) years from the date of issue for the payment. The Contractor is responsible for escheating all unclaimed funds to DWD.

v. Funds associated with accounts where the payment method specified was used to disburse the funds, but the funds were unclaimed, shall be returned to DWD's Unemployment Insurance Trust Fund. Unclaimed funds are defined as funds for which an attempt to deposit to a bank account was unsuccessful, or funds for which the SVC issued to the recipient were never successfully pinned.

f. Implementation Project Plan

i. The Contractor shall provide an Implementation Project Plan. This plan must include planning, tracking, control, and communications of risks. Throughout the life of the Contract DWD may request, and the Contractor shall make, adjustments to this plan.

g. Business Continuation and Disaster Plan

i. Within sixty (60) calendar days after the date of the full execution and delivery of the Contract, the Contractor must develop a Business Continuity and Disaster Recovery Plan summary. A public facing summary of this plan shall be provided to DWD, including, but not limited to, a summary of equipment, personnel, facilities, and transportation to continue services as specified under these specifications in the event of a disaster. DWD shall review and approve the plan.

ii. The Business Continuity and Disaster Recovery Plan shall demonstrate that in the event of a catastrophe, DWD’s inconvenience would be extremely minimal. The summary of the plan shall include, but not be limited to:

1. Critical Contractor staff that have a skill set necessary for the resumption of critical business functions;

2. Critical business functions and supporting tasks;

3. Processes for reporting system disruption/failure and escalation;

4. Transitions from failure to system restart;

5. Alternate processing sites;

6. Timeframes for updates to the plan; and

7. How the Contractor will add additional staff to cover increased call volumes.

h. KEY PERSONS

i. DWD shall require the essential personnel listed below. These positions, their descriptions, and requirements provide DWD’s perspective on minimum roles and qualifications necessary to support this project but are not intended to define specific required individuals.

· Serves as the single point of contact between the Contractor and DWD for all communications on all system related issues, such as implementation, development, testing, escheatment, regulations etc. DWD shall also have a point of contact to escalate issues above this Project/Program Manager.

· Ensures service level agreements are sustained, and deliverables are submitted on a timely basis.

· Have the authority to negotiate the Contract between DWD and the Contractor.

· Have the authority to implement DWD-required changes, have knowledge of various regulations and requirements, and is able to bring proper personnel when required.

· Able to help with daily inquiries such as missing files, server issues, etc.

· Available throughout the life of the Contract.

· At least three (3) years of experience on public sector projects.

· At least two (2) years of experience with system implementation, maintenance, and operations.

· Strong written and oral communication skills.

· Available, at a minimum, from Transition-In Phase to the end of the Contract.

· At least five (5) years of experience managing the maintenance and operations of systems similar in size and complexity to DWD’s Payment Distribution Program.

· Project management experience.

· Strong written and oral communication skills.

· Serves as a point of contact for all ad hoc requests.

· Serves as point person for fraud investigations, subpoenas, account freezes, etc.

· At least two (2) years’ experience managing a similar program for a similar client.

· Works in conjunction and at the direction of the Project/Program Manager and Operations Manager.

· At least two (2) years’ experience providing similar services for a similar program for a similar client

ii. Essential personnel are subject to review by DWD. The Contractor may not make any temporary or permanent changes to essential personnel without at least three (3) weeks prior notice to DWD. Replacements shall be of equal or greater ability and qualifications. DWD may also request a meeting with proposed replacements.

iii. The Contractor must provide and maintain a current staffing plan that identifies the essential personnel who will be used to fulfill the services described in this Contract. Staffing plans must address the following:

1. Job title, qualifications, and descriptions for each staff position;

2. Contractor performance evaluation and progressive disciplinary policies;

3. Plans for the replacement of departing temporary and permanent staff, including plans to ensure all staff are adequately trained and knowledgeable on the programs which use this Contract;

4. An organizational chart that shows the reporting structure and responsibilities of Contractor’s staff; and

5. Subcontractor staff and responsibilities, if relevant.

iv. Personnel of the Contractor shall not be allowed access to DWD systems and/or DWD data without prior individual approval from DWD.

1. That approval includes, but…