FLS_Questions_Answers.docx

1. Can you describe the volume of anticipated work during the contract period and what percentages will come from the various types of outstanding debt? There are roughly 4400 debts which can be assigned to Private Counsel in the district,4200 are unsecured debts, 200 secured debts. Will this change over time? The number of unsecured debts which are a majority defaulted student loans will likely increase within the next few years.

2. Are the referrals new cases sent from referring Federal Agencies or are they transferred files previously handled by other Private Firms? The 4400 debts are assigned to private counsel under contract in the district.

3. Will most of the referred cases be litigated in U.S. District Court or State Court? Unless otherwise advised by the U.S. Attorney’s office, the unsecured debts must be litigated in U.S. District Court. The secured debt (foreclosures) can be litigated in state court.

4. How often do Private Firms typically interact with the AUSA? The frequency is determined by need. The AUSA and PC correspondence and collaboration usually occurs at least several times per month. By what method do they typically communicate with the AUSA's office (i.e. in person or over the phone)? The correspondence is roughly 90% email and telephone.

5. Please describe the CDCS Platform and will it serve as the primary means by which the Private Firm communicates with (and asks questions of) and sends updates to the AUSA office? The Consolidated Debt Collection System is the system of record for debts assigned to Private Counsel and U.S. Attorney’s Office). CDCS is will be accessed by Private Counsel via a Virtual Private Network (VPN). There are minimum hardware requirements detailed in the RFP. CDCS should be updated in real time on case information. Contractors are issued access to the DOJ network and a DOJ email, which usually serves as the primary source of communication.

6. What are the costs associated with obtaining the CDCS Platform (if there is a need by Private Law Firm for more than 2 licenses) and with required training? To access the VPN, Private Counsel will be required to obtain a PIV Card usually from the U.S. Attorney’s Office. The PC will be required to purchase a PIV Card Reader to connect to the required hardware. If the contractor requires CDCS Training for more than two users, DOJ reviews these requests on a case by case basis to make a determination or .

7. How much will it cost for additional personnel to be trained on the CDCS or will training be paid to the Private Law Firm for their trainees time/travel? If the contractor requires CDCS Training for more than two users, DOJ reviews the requests and makes a determination on a case by case basis.

8. Can you confirm what the case filing fee will be for cases filed in the name of the United States of America or any Department of the Federal Government in the U.S. District Court? In what instance will it be waived? Private Counsel will need to consult with the U.S. District Court in their jurisdictions for costs. Private Counsel should seek the guidance of their respective U.S. Attorney’s Office and file cases in accordance with 28 U.S.C. 1920 and Rule 54 of Federal Rules of Civil Procedure.

9. What are the costs reimbursements to the Private Firm may seek for collection efforts on secured debt? What costs may be reimbursed for collection efforts for unsecured debt? Section B.2 Contract Types and Services, as well as Section J.2 Contract Line Item Number provide guidance on what costs can be reimbursed on this contract.

10. What pleadings and approved documents are available on the CDCS Platform for secured and unsecured debt? Are there document merges capabilities, i.e. the Private Firm can simply input their contact information into the form templates? The U.S. Attorney’s Office will provide pleading templates or review for approval, the pleadings for use in the U.S. District Courts. The Private Counsel should submit the state court pleadings to the U.S. Attorney’s Office for review.

11. How often are contingency fees paid to the Private Firm? Private Counsel earn contingency fees for each payment made on a debt assigned to their office. Contingency Fees are paid to Private Counsel on a monthly basis and are calculated against the prior month’s total payments received and processed.

12. Are Private Firm contingency fees paid based on what is submitted through the CDCS Platform? (Or after funds are received into the Lock Box?) Private Counsel contingency fees calculate against payments posted in CDCS. The lockbox is one of many payment streams into CDCS, i.e., Pay.gov, EFTs, etc.

13. For Unsecured debt collection, is any portion of the contingency fee payment made prior to the collection of funds by the Government? (For eg. partial payment of fees after filing the complaint or after service of parties? etc.) Contingency fee payments calculate against payments posted in CDCS. Private Counsel can be reimbursed for costs on certain collection activity in accordance with contract. The cost reimbursements can occur prior to a payment being posted in CDCS.

14. For Unsecured debt collection, what additional costs can be reimbursed to the Private Firm and at what point during the process? Costs reimbursements on unsecured debts can occur on a case by case basis after a request for review of ancillary collection activity which is not a normal part of the debt collection process. In accordance with contract terms, the request for reimbursement must be submitted in advance to the AUSA and COR for prior approval.

15. Are all cases referred to the Private Firm ready for litigation? Referring agencies provide debts in the form of litigation package Have all regulatory requirements to mitigate collection been completed by the referring Federal Agency prior to referral?

16. Please explain the timetable for when the Private Firm must make contact with the Unsecured Debtor (for eg. within 10 days of case referral)? Section C.8 of the Statement of work provides specific guidance on these questions. The Private Counsel should make initial contact with the debtor within 10 days of the case referral to Private Counsel. How long does the Private Firm have to engage in pre-suit negotiation? (For eg. Within 30 days, however, would than mean 30 days after referral of the case or after contact with the Debtor?) And when must legal action commence? The Private Counsel should commence legal action, even if by consent judgment, within 30 days of the initial contact with the debtor. (For eg. Within 30 more days, if no payments have been made - however, would than mean within 60 days of initial case referral or with 60 days of initial contact with Debtor?)

17. What resources are available through CDCS to allow the Private Firm to obtain information from the Debtor about their current financial condition? Besides the Claims Collection Litigation Record (CCLR) package provided in the physical file, CDCS does not currently provide information on the debtor’s current financial condition.

18. What information about the debtor’s financial condition will be sent to the Private Firm when the case is intially referred? The referring agency is required to provide within the litigation package information which shows the debtor’s ability to pay.

19. At any time will there be prorated fees for efforts made in unsecured debt collection? No, contingency fee payments for collections on unsecured debts are paid to Private Counsel upon posting of payments in CDCS.

20. Once settlement is arranged and approved by the Referring Agency and the AUSA, please describe all collection efforts typically performed by the Private Firm during on-going unsecured debt collection efforts?

See Section C of the Statement of Work