Amendment_0003.pdf

NSN 7540-01-152-8070 STANDARD FORM 30. (Rev. 10-83) Previous Edition unusable Prescribed by GSA FAR (48 CFR) 53.243

Page of Pages AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT 1. Contract ID Code

2. AMENDMENT MODIFICATION NO. 3. EFFECTIVE DATE 4. REQUISITION/PURCHASE REQ. NO. 5. PROJECT NO. (if applicable)

6. ISSUED BY CODE 7. ADMINISTERED BY (If other than item 6) CODE

(x) 9A. AMENDMENT OF SOLICITATION NO.

9B. DATED (SEE ITEM 11)

10A. MODIFICATION OF CONTRACT/ORDER NO.

8. NAME AND ADDRESS OF CONTRACTOR (NO., Street, Country, State and ZIP Code)

CODE FACILITY CODE

10B. DATED (SEE ITEM 13)

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

The above numbered solicitation is amended as set forth in item 14. The hour and date specified for receipt of offers is extended, is not extended.

Offers must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended, by one of the following methods:

(a) By completing items 8 and 15, and returning ______ copies of amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted;

or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGMENT TO BE RECEIVED AT THE PLACE DESIGNATED FOR THE RECEIPT OR OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment your desire to change an offer already submitted, such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

12. ACCOUNTING AND APPROPRIATION DATA (If required)

13. THIS ITEM ONLY APPLIES TO MODIFICATION OF CONTRACTS/ORDERS. IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

Check One

A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE

CONTRACT ORDER NO. IN ITEM 10A.

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, appropriation date, etc) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(b).

C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority)

E. IMPORTANT: Contractor is not, is required to sign this document and return _______ copies to the issuing office.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible)

Except as provided herein, all terms and conditions of the document referenced in item 9A or 10A, as heretofore changed, remains unchanged and in full force and effect.

15A. NAME AND TITLE OF SIGNER (Type or print)

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)

15B. CONTRACTOR/OFFEROR 16B. UNITED STATES OF AMERICA

(Signature of person authorized to sign)

15C. DATE SIGNED

(Signature of Contracting Officer)

16C. DATE SIGNED

Attachment Page

PAGE 2 OF 22 ED-FSA-16-R-0009/0003

Section B Will incarcerations under 10 years be returned to ED via the same process as Incarcerations of 10 or more years? If not, how will they be returned to ED? 4 B.2.4 Guidance on specific default collection procedures will be provided when contract are awarded along with training If Incarcerations less than 10 years are to be returned to ED with the same process as Incarcerations of 10 or more years, will ED consider giving administrative fee and/or CPME credit for identifying and resolving accounts with Incarcerations where the earliest release date is leass than 10 years? The Contractor spends the same time and money to identify and verify an incarceration under 10 years as one over 10 years.

4 B.2.4 p 48, C.3.37(1)vii Guidance on specific default collection procedures will be provided when contract are awarded along with training

Did ED intend to use the word "and" in the sentence "Any payments, consolidations, or rehabilitations if the Contractor has not counseled the borrower (both verbally and in writing) on his or her eligbility for all forgiveness…

5 B.2.5.7 Yes

Regarding the same clause as the previous question, ED has indicated in the past that counseling would need to be conducted for discharges the Contractor had reason to believe the borrower might qualify for. Does ED intend for this counseling to be given to all borrowers, whether they indicate they may qualify for discharge or not?

5 B.2.5.7 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Regarding the same clause as the previous question, could ED please provide a sample script and letter for the counseling to be provided for each discharge type? 5 B.2.5.7 Guidance on specific default collection procedures will be provided when contract are awarded along with training

In regards to Section B.3, Contract Line Items table, please confirm that the commission/fee for Optional Ordering Period - Rehabilitation is $1,741 per rehabilitation. 6 of 67 B.3 Section B.3, Table It is $1,741 per rehabilitation for the Optional Ordering Period.

In regards to the IDIQ Maximum ceiling of $2,800,000,000.00, does this ceiling represent the contract duration including all options to extend (total contract period of 10 years and 6 months)?

7 of 67 B.3 Section B.3, Page 5 Yes, it is an estimated maximum ceiling.

Section B.2.2, states: "Provided that the borrower meets all regulatory and statutory requirements (as specified in the Performance Work Statement), the Contractor will be paid at a rate that is equal to the principal balance being rehabilitated, not to exceed $1710." This section further states, "This fee is a one time, per borrower fee, combined principal and interest balance up to a maximum of $1,710 per account." The statements in bold are contradictory. Will the contractor be paid for rehabilitations based on the "Principal Balance" or "Principal and Interest Balance"?

4 of 67 B.2.2 Commission and Fees - Rehabilitation Principal and Interest Balance; See Amendment 0002

There appears to be a conflict in this section. The first sentence states "… paid at a rate that is equal to the principal balance being rehabilitated…" Later in the same paragraph it states "This is a one time, per borrower fee, combined principal and interest balance....". Which statement is correct? Are vendors paid on the Principal or Principal + Interest amount?

4 of 67 (Pg. 2) B.2.2 Rehabilitation See response above

Will FSA conduct monthly audits to review the counseling of borrowers for their eligibility for all forgiveness, cancellation or discharge alternatives? 3 B.2.5.7 Guidance on specific default collection procedures will be provided when contract are awarded along with training

How many accounts are estimated for CLIN No. 0001, 0003 4 B.3 TBD Are Rehabilitation Commissions paid on the beginning or ending balance? 2 B.2.2 Rehabilitations Guidance on specific default collection procedures will be provided when contract are awarded along with training What is the average loan to borrower ratio for the currently defaulted loan inventory? 2 Section B.2.2 This information is not available at this time.

What is the average loan to borrower ratio for inventory that is not defaulted? 2 Section B.2.2, Rehabilitation This information is not available at this time.

Is the intent of the contract to pay a maximum rehabilitation fee of $1710 for the life of each borrower, regardless of the PCA handling and the timing of each loan entering rehabilitation? Will ED track this activity or will the PCA be expected to track and disclose it in each case?

2 Section B.2.2, Rehabilitation Yes until the optional ordering period is exercised and then it changes to $1,741.00. The PCA will be expected to track and disclose it.

Please provide clarification on "Any payment not attributed to a borrower." 3 B.2.5.2 ED believes the statement is self-explanatory.

Can a borrower re-consolidate? 3 B.2.5.8 Guidance on specific default collection procedures will be provided when contract are awarded along with training What is the process for allowable deviations? Per the PCA manual we are allowed no more than 6 (In what time period?) PCA must pay the difference between the amount FSA recovers and what FSA would have recovered from the standard compromise.

4 B.2.5.12 Guidance on specific default collection procedures will be provided when contract are awarded along with training

We need clarification on proof needed, if any, for male name changes. 7 B.8 Guidance on specific default collection procedures will be provided when contract are awarded along with training

If the PCA generated the payment within the first 8 days will there be an exception process? 4 B.2.1 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Are litigation package approval's no longer eligible for Administrative Resolution for fee eligibility? 4 B.2.4 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Our RAL has the discharge verbiage on it, will that meet the requirement of counseling the borrower in writing? 5 B.2.5.7 Guidance on specific default collection procedures will be provided when contract are awarded along with training

The RFP states we will get paid for incarcerations with an ERD at least 10 years in the future. However, the PCA manual states at least 9 years. The manual also states we may request a recall for accounts over 9 months and less than 9 years. Is this done through IMF?

2 B.2.4 Refer to Amendment 0001

Please confirm if payment for rehabilitation is based on "the principal balance being rehabilitated " or the "combined principal and interest balance ." 4 B.2.2 Principal and Interest Balance; See Amendment 0002

During the in-repayment retention period, it is stated that “Accounts transferred under this provision are subject to the prices and terms of this contract.” QUESTION:

Will transferred accounts be included in the Competitive Performance and Continuous Surveillance (CPCS) performance indicators?

p. 7 of 67 B.6 In-Repayment Retention Period, paragraph 2.

Refer to C.3.37, Contarctor Performance Monitoring and Evaluation.

The first sentence in this section states "…Contractor will be paid at a rate that is equal to the principal balance being rehabilitated, not to exceed $1,710…" The next sentence states "…fee is a one time, per borrower fee, combined principal and interest balance..." Please confirm if rehabilitation fee is based off principal only or principal and interest.

2 B.2.2. Rehabilitation Principal and Interest Balance; See Amendment 0002

Is there still an Administrative Resolution category for incarcerations less than 10 years? If so, will FSA pay a fee for such a resolution? 2 B.2.4 Administrative Resolution See Amendment 0001 and 0002

PAGE 3 OF 22 ED-FSA-16-R-0009/0003

Part B.2.5.7 of the solicitation requires the offer to counsel all borrowers of their forgiveness, cancellation or discharge rights appears to be in direct conflict with the information in the Performance Work Standards 1.0.9. Section 1.0.9 states that the offeror must “Accurately counsel borrowers and determine the best course of action based on each customer’s unique situation.…”

Specifically, in the course of normal business, verbal counseling of all forgiveness, cancellation or discharge rights will, more than likely, lead to borrower’s confusion and reduce borrower engagement and overcomplicate the resolution that best fits the need of the borrower.

Does the offeror remove the ability to be compensated for consolidation and rehabilitations when said offeror follows the PWS process (defined in 1.0.9) of accurately counseling borrowers on borrowers’ unique solution and best course of action?

3 B.2.5.7 Part B.2.5.7 of the solicitation reads:

“Any payments, consolidations or rehabilitations if the Contractor has not counseled the borrower (both verbally and in writing) on his or her eligibility for all forgiveness, cancellation or discharge alternatives (e.g. closed school discharge, total and permanent disability discharge, death discharge, discharge in bankruptcy, false certification of student eligibility or unauthorized payment discharge, unpaid refund discharge, teacher loan forgiveness, public service loan forgiveness, or Perkins loan cancellation and discharge).

From PWS

1.0.9 - Perform activities in strict adherence with all applicable Federal and State laws and regulations in a professional and courteous manner;

and support the mission of the FSA/Collections, which is to:

Guidance on specific default collection procedures will be provided when contract are awarded along with training

Defaulted borrowers are allowed to consolidate without any payments provided they select repayment based upon their income. Therefore requiring payments appears to conflict with options that are available to the borrower for consolidation of defaulted loans. We are concerned that requiring three payments as the only option is misleading and perhaps a UDAAP violation.

Will ED modify this section to allow all options for the borrower to consolidate including without payments?

Page 2 B.2.3 – Consolidation The Government does not concur that any inequities will result from the terms of the solicitation, and no additional changes to these terms are planned at this time.

Please clarify if this applies only to a borrower who previously consolidated a defaulted loan as compared to a borrower who previously consolidated a current loan to take advantage of a fixed interest rate?

Page 3 B.2.5.8. – Consolidation for defaulted debt that was previously consolidated

Guidance on specific default collection procedures will be provided when contract are awarded along with training

There is no mention under this section on Administrative Resolution for compensation for approved CCLR packages. The PWS provides that approve CCLR packages will be paid at the same rate as an Administrative Resolution. Will ED add the compensation for approved CCLR packages in this or another designated section of the RFP?

page 2 B.2.4 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Will ED provide a script that they would prescribe specific language to cover all aspects of this section for satisfactory compliance. We anticipate this would include the directives for discussion of rehabilitation and consolidation previously provided by ED.

page 3 B.2.5.7 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Please clarify how funding is to be provided: the RFP states in B.1.1 that funding will be provided in task orders, not the underlying IDIQ contract; but in B.1.2, there is a statement that funding could be adjusted by modification to the contract. Will funds aggregate on the underlying contract and will contractors need to keep an accounting of specific funding attributable to specific task orders?

1 (3 of 67 in footer) B.1.1 and B.1.2 Funding is provided through task orders. Task orders can be modified to add additional funding.

The Rehabilitation section referenced in Section B.2.2 first states that the Contractor will be paid a rate equal to the principal balance (not to exceed $1710) and then states in the next sentence that the Contractor will be paid the combined principal and interest balance (not to exceed $1710). Which balance will the Contractor be paid on, principal or the combined principal and interest?

2 (4 of 67 in footer) B.2.2 Principal and Interest Balance; See Amendment 0002

Sections B.2.4 and C.3.37 (1) (vii) indicate the Contractor can receive an administrative resolution credit where the borrower’s earliest expected release date is at least ten years from the date the incarceration is verified (INW). This section does not refer to the ability to receive administrative resolution credit where the borrower is incarcerated over nine months but less than ten years (INC). Attachment 1, Page 14, Section 3.4.2.3, Paragraph 2 of the Performance Work Statement does list both date ranges as eligible for administrative resolution credit. Please confirm whether or not both administrative resolution types INC and INW will be eligible for credit or if only INW resolutions will be considered under the next contract.

2 and 46 B.2.4 and C.3.37 (1) (vii) Guidance on specific default collection procedures will be provided when contract are awarded along with training; See Amendment 0001

Will litigation referrals be paid a $150 one-time fee per borrower? 2 Attachment Page, Section B.2 FSA will consider litigation submissions accepted by FSA to be administrative resolutions and pay an administrative fee.

To what extent do the TOP alias and FSA borrower correction listed in this section differ from regular routine maintenance of updating accurate borrower information? 7 Attachment Page, Section B.8 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Section C

PAGE 4 OF 22 ED-FSA-16-R-0009/0003

in the past, ED has listed Contractor managers as High Risk (requiring 6C), but later clarified that only certain high-level managers would require 6C. Does ED intend for all Managers and Supervisors to be High-Risk and require 6C?

37 C.3.19 C.3.42 (pg 53) C.3.46 (pg 54)

At a minimum, your initiators, database administrators, system administrators and program manager would need 6C clearances. See also requirements for adhering to all security requirements, including PIV- I utilization.

While ICR has traditionally updated H&W at the start of a new option period, we are currently not sure when these H&W rates need to go into effect for our staff. We are also unsure as to when the new SCA wages need to go into effect. Please clarify when changes to SCA wages or H+W need to be implemented.

38 c.3.27 The Contracting Officer will provide notification, via a modication of any changes in the SCA and the associated H&W.

"(f) Notify the employees manager of the security investigation results." In the past Contractors have only received notifications of the outcomes of 6C investigations.

Will Contractors receive notification of the outcomes of all investigations in the past.

54 C.3.42 Not from ED. PCAs can check on the status of their clearances by registering for an account with OPM.

"The contractor need not provide such a complaint if the Contractor determines that the conduct alleged did not occur in the course of the Contractor's servicing efforts...

" Does this mean that if we deem the complaint to be invalid, that we do not need to report the lawsuit to ED?

56 C.3.45 Guidance on specific default collection procedures will be provided when contract are awarded along with training

Will using attachment 2 - "Small Business Plan Template" address C.3.7(c) all requirements of the subcontracting plan, or is the Government looking for additional plan items to be added to the SB plan template?

21 of 67 C.3.7(c) Small Business Subcontracting Plan Yes, the template will provide al of the information required for a subcontracting plan.

On pg. 21 under C.3.7(d) "The Offeror's subcontracting plan shall include the following" Does attachment 2 - SB plan template address all of the items listed after that from pages 21 through 28 of 67? Or do additional items from these pages need to be added to the SB plan template?

21 of 67 C.3.7(d) Small Business Subcontracting Plan See response above

The last sentence after C.3.7 (c) states "failure to submit and negotiate a subcontracting plan shall make the Offeror ineligible for award of a contract". Plans will be submitted in the proposal, but are Offerors required to negotiate at this time? Please explain.

21 of 67 C.3.7(c) Small Business Subcontracting Plan See Amendment 0001 and 0002

Does this NDA need to be included in the proposal? If Yes, what section? 33 of 67 C.3.15 NDA Yes,Please provide as part of Section E.

What section of the proposal should the anticipated employee positions and proposed risk levels information be presented? 37 of 67 C.3.19(c) Department Security Requirements This requirement is a post award submission and not a proposal submission.

Resumes of Key Personnel are needed for section A; the Government identified Contract Representative and Project Manager as Key Personnel. Are these positions required as Key Personnel in the current proposals? Can the Government provide a job description and/or describe the core role and responsibilities of these positions?

39 of 67 C.3.22 Key Personnel Yes; the Government will not provide a job description since each contractor operates differently

In regards to Section C.3.11.a, Paperwork Reduction Act, would a standard borrower financial statement (i.e. questions regarding a borrower's current financial situation), fall under the definition of this clause? If yes, does the standard borrower financial statement need to be approved (by the CAO or Designee) prior to bid submission?

29 of 67 C.3.11.a Paperwork Reduction Act A copy of the most recent independently audited and certified financial statement is a proposal requirement.

In regards to Section C.3.13, Release of Information Under the Freedom of Information Act, what information is eligible to be withheld from public disclosure? 32 of 67 C.3.13 Release of Information Under the Freedom of Information Act

No

In regards to Section C.3.13, Release of Information Under the Freedom of Information Act, how does bidder handle proprietary and confidential information within this bid?

32 of 67 C.3.13 Release of Information Under the Freedom of Information Act

Refer to PWS para 7.0.1.7, Freedom of Information Act, 5 United States Code 552, Public Law 93-502

In regards to Section C.3.15, Use and Non Disclosure Agreement, are all of bidder's subcontractors required to fill out and sign this document and include within the response?

32 of 67 C.3.15 Use and Non-Disclosure Agreement No.The certification is required post award when a contractor delivers to the Government proprietary data, technical data, or computer software with restrictions on use, modification, reproduction, release, performance, display, or disclosure which may not be provided to third parties unless the intended recipient completes and signs the use and non- disclosure agreement in paragraph (c) of the clause prior to release or disclosure of the data.

In regards to Section C.3.15, Use and Non Disclosure Agreement, are Offerors to complete and provide the Use and Non-Disclosure Agreement as part of our response? 33 of 67 C.3.15 Use and Non-Disclosure Agreement No.The certification is required post award when a contractor delivers to the Government proprietary data, technical data, or computer software with restrictions on use, modification, reproduction, release, performance, display, or disclosure which may not be provided to third parties unless the intended recipient completes and signs the use and non- disclosure agreement in paragraph (c) of the clause prior to release or disclosure of the data.

Section C.3.19.c indicates that Managers and Supervisors are considered ‘High-Risk’ positions, thus requiring 6C clearance, as outlined in a later section of the SF1449.

Based on the nature of the 6C investigation and the time surrounding the investigation, along with the clause that users are unable to assume 6C roles until approved, will there be any consideration to changing the ‘High-Risk’ designation? The current iteration will present many concerns, including the inability to promote or reassign employees within roles on the contract.

37 of 67 C.3.19 c. Department Security Requirements There will not be any changes to the "high risk" designation. At a minimum, your initiators, database administrators, system administrators and program manager would need 6C clearances. See also requirements for adhering to all security requirements, including PIV-I utilization.

Section C.3.22 EDAR 3452.243-70 Key Personnel asks contractors to list Key Personnel. Is this information required for response, or is it to be provided upon award of contract? How does the Department define Key Personnel?

39 of 67 C.3.22 Key Personnel Yes;The key personnel provision is a required proposal submission. The Government will not provide a job description since each contractor operates differently.

Section C.3.39, third paragraph states, "Small business subcontracts are not restricted to collection efforts. However, to ensure that small businesses have opportunities collecting defaulted student's loans, the following targets shall apply to each quarter:" Should targets be included with the solicitation? There was no additional information presented after the colon in this section.

50 of 67 C.3.39 Small Business Subcontracting Targets and Reports

See Amendment 0001 and 0002

Section C.2, 52.215-6, "Place of Performance": Will a separate form be provided to respond to this section or is it acceptable for the offeror to copy and paste the text into a word document?

17 of 67 C.2 Place of Performance It is acceptable for the offeror to copy and paste the text into a word document.

In regards to Section C.3.13, Release of Information Under the Freedom of Information Act, would proprietary company information (ex. Audited Financial Statements) be withheld from public disclosure?

32 of 67 C.3.13 Release of Information Under the Freedom of Information Act

Refer to PWS para 7.0.1.7, Freedom of Information Act, 5 United States Code 552, Public Law 93-502

Section C.3.46 EDAR 3452.239-72 – Department Security Requirements indicates the contractors’ responsibilities in the hiring process for ED account personnel, specifically through background checks and employment verifications for specific positions. Will the Department provide examples of High, Medium, and Low risk positions?

56 of 67 C.3.46 Department Security Requirements At a minimum, your initiators, database administrators, system administrators and program manager would need 6C clearances. See also requirements for adhering to all security requirements, including PIV- I utilization.

PAGE 5 OF 22 ED-FSA-16-R-0009/0003

In regards to Section C.3.7.c, is the subcontracting plan negotiated after submittal of proposal? 21 of 67 C.3.7.c Last Sentence of Section C.3.7.c See Amendment 0002 Section C.2 52.212-5 – Contract Terms states we must comply with 52.204-10, Reporting Executive Compensation. Is the Department seeking pre- or post-tax base salary figures? Should the number include bonuses, dividends, and other add-ons? How and at what frequency should this data be submitted to the Department?

11 of 67 C.2 Contract Terms and Conditions Refer to FAR 52.204-10 for guidance.

Are contractors required to include information for subcontracting offices in this section or solely branch office locations? 17 of 67 (Pg. 15) C.2 52.215-6 -- Place of Performance (Oct 1997)

Yes. If collection acivities are being performed at a subcontractor location.

Please confirm that the form found on pages 31-33 is not required to be signed and submitted with the offer. 32 - 35 of 67 (Pgs. 30- 33)

C.3.15 EDAR 3452.227-72 -- Use and Non-Disclosure Agreement (Mar 2011)

No.The certification is required post award when the contractor receives access to Government proprietary data, technical data, or computer software which has restrictions on use, modification, reproduction, release, performance, display, or disclosure which may not be provided to third parties unless the intended recipient completes and signs the use and non- disclosure agreement in paragraph

(c) of the clause prior to release or disclosure of the data.

Please confirm that the assignment and designation of what team members will be classified under High Risk, Medium Risk, and Low Risk does not need to be completed and submitted with the Offer.

37 of 67 (Pg. 35) C.3.19 EDAR 3452.239-71 Department Security Requirements (Mar 2011) Modified

Yes.

RFP instructions indicate that resumes should be submitted for Key Personnel. Please confirm whether the table on page 37 is required to be completed for each Key Personnel resume submitted? If the table is required to be submitted does the table count against the 3 page limit per individual? If the table is required, please clarify the items requested (Labor Category -- Is this the actual position title or designation of HR/MR/LR? Please provide a listing of all labor categories. Contract Representative -- Is this the name of the contractor/offeror? / Project Manager -- Is this the name of the proposed Contract Administrator for the Offeror)?

39 of 67 (Pg. 37) C.3.22 EDAR 3452.243-70 Key Personnel (Mar 2011)

The key personnel provision is a required proposal submission. Resumes count against page limitations.

The Government will not provide a job description since each contractor operates differently. Key personnel are the offeror's key personnel.

The title of Section 5 indicates Small business mentoring, but the text in clause a refers to "any contractor that receives an award". Is mentoring available for all contractors or only to small business contractors?

49 of 67 (Pg. 47) C.3.37 Contract Performance Monitoring and Evaluation (Allocation Methodology) Section 5 Small Business Mentoring

Mentoring is available for only to small business contractors.

What is the placement percentage of accounts that must be transmitted to small business subcontractors. The RFP on Page 49 only indicates "Percentage of Accounts Assigned, Contract Base Period. See Individual Task Orders."

51 of 67 (Pg. 49) C.3.39 Small Business Subcontracting Targets and Reports

An Offeror that proposes a small business subcontracting commitment of less than 5% of account transfers to small business will receive an unsatisfactory rating.

C.3.37 appears to have eliminated the former CPCS model and replaced it with this different allocation formulal? What was the purpose for this change? 46 C.3.37 Contractor Performance Monitoring and Evaluation

This question is not required to submit a proposal response to this solicitation.

Has the ‘old’/previous task order’s Competitive Performance and Continuous Surveillance (CPCS) been eliminated and is being replaced with the Contractor Performance Monitoring and Evaluation described in C.3.37?

46 C.3.37 Contractor Performance Monitoring and Evaluation

Yes

C.3.37.(5) Small Business Mentoring: This section has done away with small business subcontracting requirement and changed to a Small Business Mentoring component.

This seems to be not reasonable and is unfair to a new PCA contractor. To our way of thinking the performance/allocation model should assess all contractors on the same basis using a level playing field. This section does not permit equal competition for allocation of new transfers. We request that this section be removed or changed to a different part of the contract and it should not be used as part of the allocation of new business formula.

47 C.3.37 Contractor Performance Monitoring and Evaluation

The Government does not concur that any inequities will result from the terms of the solicitation, and no additional changes to these terms are planned at this time.

In regards to Section C.3.7.d.1.ii.A, What is defined as an "appropriate Contractor"? 21 of 67 C.3.7.d.1.ii.A Small Business Subcontracting Plan Alternate III

Refer to FAR 52.219-9(d)(1)(ii)(A) in the RFP.

C.3.13 – EDAR 3452.224-70 (page 30) the Release of Information Under the Freedom of Information Act states the contractor, without regard to priority markings, agrees to the release of information to the public. In Section E.1 Addendum to FAR 52.212-1 (page 57) Solicitation Response Requirements, Section B of Proposal: Past Performance, the Offeror must submit information on 3 of its most recent contracts or projects. This section goes on to request the name, title, email address and phone number of a point of contact for each contract or project including additional information related to high rates of recovery, cure rates and other performance metrics that may have applied. If we mark this specific information as being strictly confidential pursuant to FAR 3.104-4, will this information of our submittal be released to the public through a FOIA request?

30 and 57 C.3.13; E.1 Solicitation Document

Refer to PWS para 7.0.1.7, Freedom of Information Act, 5 United States Code 552, Public Law 93-502

Is the Offeror correct in its belief that the Competitive Performance and Continuous Surveillance (CPCS) evaluation has been eliminated and is now replaced with the Contractor Performance Monitoring and Evaluation described in C.3.37 (page 46)?

46 C.3.37 Solicitation Document Yes

Should we include current subcontractors in this section for place of performance? 17 C.2 Yes for locations that are performing collection activities.

Can you clarify in our subcontracting plan if we should be reporting this in number of accounts placed with our subcontractors, or in dollar spends with our subcontractors?

20 C.3.7 See Amendment 0002, Attachment 2

Will FSA set a due date for the financial audit statement or will they allow PCAs to set their own due date depending on audit completion? 39 C.3.24 A copy of the most current independently audited and certfied finnacial statement is a proposal submission requirement.

Will templates/training be provided at contract award for submission of subcontract reporting? 40 C.3.26 Refer to FAR 52.21-9, Alt III, pg 18, C.3.7 Are PCAs responsible for reviewing the Wage & Determination requirements for Wage/Health & Welfare increase or will ED provide modifications to the contract to instruct when these increases should take place?

41 C.3.27 Bullet point 2 Refer to B.1.3, Escalation/De-escalation, pg 1

Will there be guidelines for what PCAs should review for on the background check regarding criminal activity? 53 C.3.42 Bullet point 3 Guidance on specific default collection procedures will be provided when contracts are awarded.

Will ED provide a template for the required documentation of verification of employment? 53 C.3.42 Bullet point 3

Guidance on specific default collection procedures will be provided when contracts are awarded.

PAGE 6 OF 22 ED-FSA-16-R-0009/0003

Would this clause also include 3rd party vendors that are sent borrower PII? 56 C.3.46 Yes C.3.13 – EDAR 3452.224-70 Can we mark information contained in our proposal, including client performance information, as proprietary so that it may not be released under a FOIA request?

30 C.3.13 EDAR 3452.224-70

Refer to PWS para 7.0.1.7, Freedom of Information Act, 5 United States Code 552, Public Law 93-502

Has the ‘old’/previous task order’s Competitive Performance and Continuous Surveillance (CPCS) been eliminated and is being replaced with the Contractor Performance Monitoring and Evaluation described in C.3.37?

46 C.3.37 Contractor Performance Monitoring and Evaluation

CPME is being used for this solicitation

The solicitation states "3) No organization may participate in more than one contract for comparable default collection services —whether as an awardee, a member of a team arrangement or as a subcontractor—to the extent that it would in essence be competing against itself, as determined by the Contracting Officer. FSA does not intend to approve a subcontract or team arrangement that would allow an organization to essentially compete against itself.". A small business subcontracting with an unrestricted PCA generally does not get enought volume from a PCA to make enough impact to complete against itself. With that in mind can a small business subcontract with more than one unrestricted PCA?

52 C.3.41 Organizational Limit on Contracts

3) Refer to C.3.41 for guidance

The solicitation states "3) No organization may participate in more than one contract for comparable default collection services —whether as an awardee, a member of a team arrangement or as a subcontractor—to the extent that it would in essence be competing against itself, as determined by the Contracting Officer. FSA does not intend to approve a subcontract or team arrangement that would allow an organization to essentially compete against itself." If this is intended to mean that a small business (not holding any task oders)can only have one subcontract, the subcontractor runs the risk of becoming an affiliated company to prime PCA. Therefore can a small business subcontract with more than one unrestricted PCA?

52 C.3.41 Organizational Limit on Contracts

3) Refer to C.3.41 for guidance

If a subcontractor begins subcontracting for an unrestricted PCA as a small business and eventually becomes a large business under the SBA revenue rules due to their growth, will they still be considered as a small business and under this contract if they stay on as a subcontractor for the same PCA?

51 C.3.40 Subcontractors and Third Parties

Subcontractors and Third Parties No, they become a large business and they must recertify in SAM; See FAR Part 19

Section C.3.37 (5c) Small Business Mentoring (page 47) Please confirm that annotating a successful mentorship in the mentor's Contractor Performance Assessment Review System (CPARS) will not create an unfair advantage for a non-mentoring awardee.

47 Section C.3.37 Solicitation Document The CPARS rating system is based on multiple factors.

Offeror A signifies it will work the business at Site B. Offeror is awarded the contract. Post-award, the Offeror decides to work the business at Site C. With the proper approval from ED, is the Offeror allowed to do this?

15 C.2 Place of Performance Yes with prior approval of the Contracting Officer.

Any exceptions to the use of IPv6 require the agency's CIO to give advance, written approval? Do we need to identify which systems (part of ED boundary) are not compatible with IPv6?

34 C.3.18 Internet Protocol No; See paragraph 6 and 7 of PWS

High Risk Level Positions requires 6c clearance? 35 C.3.19 At a minimum, your initiators, database administrators, system administrators and program manager would need 6C clearances. See also requirements for adhering to all security requirements, including PIV- I utilization.

Do we need to get 6c clearance for IT staff that has access to ED data? 35 C.3.19 At a minimum, your initiators, database administrators, system administrators and program manager would need 6C clearances. See also requirements for adhering to all security requirements, including PIV- I utilization.

The contractor is required to coordinate all changes to mission critical contractor systems or other services used to implement Federal Student Aid IT operations and services with the individual(s) identified in (c) at least five business days prior to changes? Do we need to coordinate with ED about all changes or major changes?

41 C.3.31 Mission Critical Guidance on specific default collection procedures will be provided when contracts are awarded.

Will bonuses be paid based on CPME scores? 46 C.3.37 CPME No Paragraph C states, "The subcontracting plan shall be negotiated within the time specified by the Contracting Officer. Failure to submit and negotiate a subcontracting plan shall make the Offeror ineligible for award of a contract." What is the negotiation process?

19 C.3.7C See Amendment 0002

Does the IPv6 requirement pertain to current infrastructure or all future hardware/software procurement? 34 C.3.18 See Paragraph 6 and 7 of Performance Work Statement Minimum score adjustment. Please define to qualify for any placements in the next period. 46 C.3.37.3A Refer to Amendment 0002 Can you provide a definition of the extent of changes you are requesting needing FSA change management approval? 41 C.3.31

Guidance on specific default collection procedures will be provided when contracts are awarded.

What is the weight of the Borrower's Resolved Factor and the Dollars Collected Factor of the contract performance monitoring? Page 46 Section C C.3.37(1) Refer to Amendment 0002 Will Litigations be included in the Borrower's Resolved Factor? Page 46 Section C C.3.37(1) Refer to Amendment 0002 Will Incarcerations less than 10 years but greater than 9 months be included in the Borrower's Resolved Factor? Page 46 Section C C.3.37(1) Refer to Amendment 0002 Will the minimum score adjustment be further clarified? Will this be for each specific transfer or be applied to each quarterly result (scorecard)? Will the minimum acceptable score be consistent for each period measured, or will it change throughout the contract?

Page 46 Section C C.3.37(3) Refer to Amendment 0001 and 0002

Section C.3.22, Key Personnel, demonstrates a chart with Contract Representative and Project Manager. Please clarify if these are the only 2 positions that ED is requiring resume in the response. If not, could ED supply some examples of resume positions it would like to have supplied by the offerors, for example Security Director, Administrative Manager, etc.

Page 37 Section C Key Personnel Chart in RFP The key personnel provision is a required proposal submission. The two positions in the table are the minmum required for offeror to propose. The Government will not provide a job description since each contractor operates differently.

As ED has done in previous solicitations, could you please provide examples of the scoring methodology to be used for each performance metric in the performance monitoring and evaluation plan.

Page 46 Section C C.3.37 Contractor Performance Monitoring and Evaluation

Refer to Amendment 0002

Please provide additional information in regards to what the “Weight assigned for the performance reporting period” means. Does ED intend to change the equal weight of resolved accounts and dollars collected each month?

Page 46 Section C C.3.37 Contractor Performance Monitoring and Evaluation

Refer to Amendment 0002

Please define minimum score adjustment. Will it fluctuate? Will it be based on final scores of the current period or before the period starts? Page 46 Section C C.3.37 Contractor Performance Monitoring and Evaluation

Refer to Amendment 0002

C.3.38 states the performance range is defined as scoring 65 or more points on an individual performance score each quarter. Under the score card and using realistic numbers, we do not see anyone scoring 65 points. To score 65, you would need to liquidate 65% in either category or a combination of both. Please clarify.

Page 48 Section C C.3.38 Allocation Methodology Standing and Performance Range

Refer to Amendment 0002

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Item (c) is missing. Page 14 Section C.1 In (e) on page 14, it references paragraphs (a), (b), ( c) and (d). (c ) appears to be missing. Please provide item (c ).

Item (c ) is on page 13

Can FSA confirm that any materials released as a result of a FOIA request be limited to requests made directly to ED and not a general release? 32 C.3.13 Refer to PWS para 7.0.1.7, Freedom of Information Act, 5 United States Code 552, Public Law 93-502

Please confirm if this section means Contractors can only close their office on the holidays listed in section B.5. For example, would a Contractor be authorized to close on Christmas Eve since it isn't one of the federal holidays listed?

36 C.3.17 This section identifies Federal Holidays and when the Federal Government will be closed. Refer to para (a)

Seeking clarification-- 'Contractors shall submit a copy of their current Financial Audit Statement to the Contracting Officer 60 days prior to the end of the current period of performance (or annually for multiple year contracts).' When is '60 days prior to the end of the current period'? Our audited financial statements are available each year by March 31 - we'd like to confirm this timing is sufficient.

39 C.3.24 The current period of performance is established at the time of contract award.

What factor will be used to determine when a borrower has been "removed from default" and therefore will count towards the resolved factor as a death, incarceration or disability? For example, will it be based on FSA approval or account recall?

48 C.3.37 1(a) Refer to Amendment 0002

What factor will be used to determine when a borrower has been "removed from default" and therefore will count towards the resolved factor as a funded rehab, consolidation, or payment in full? For example, will it be based on the funding date or the date the account is recalled from the Contractor?

48 C.3.37 1(a) Refer to Amendment 0002

Does the funding value of IDRs and rehabs that are not eligible for commission count towards the voluntary payment total in the dollars collected factor? 48 C.3.37 1(b) Refer to Amendment 0002

What weight will be assigned to the borrowers resolved factor? 48 C.3.37 2.0 Refer to Amendment 0002 What weight will be assigned to the dollars collected factor? 48 C.3.37 2.0 Refer to Amendment 0002 Using a denominator based on the total number of borrowers (for resolve factor) and total inventory balance (for dollars collected factor) "as of the day before the performance reporting period begins" will cause Contractors that earned high account placement volumes in prior performance periods to be disadvantaged in the current period. This is primarily due to the majority of both borrower resolutions and dollars collected coming from funded rehabs, which won't happen until 9+ months after placement. Said another way, a Contractor that performs well and earns high account placement volumes will subsequently be punished by carrying a competitive inventory they can do very little to resolve until 2 or 3 performance periods later. FSA solved for this issue by using a rolling 4-quarter inventory on the 2009 Contract; is there consideration for using the same approach on this contract?

48 C.3.37 2.0

See Amendment 0002 What is the starting point for the 8 quarters during which small business mentoring dollars can be earned, as some - but not all - small businesses have already begun collecting.

49 C.3.37 5.0 The CO will notify the Mentor and Mentee of the start date since the mentoring is approved by the CO.

Does FSA intend to award additional points towards the contractor performance score based on achieving the required quarterly subcontracting targets? 50 C.3.39 No

Are resume's for key personnel limited to only those labor categories listed within the table under b in this section or may additional key personnel be included without limitation beyond the 3 page resume limit?

37 C.3.22 (b) No but there is a page limitation on the number of resumes to be submitted.

Please confirm the required Written Preliminary Plan for Continuation of Mission Critical Contractor Services describing how an offeror will continue default collections is just that, preliminary and is not required to contain the information listed under e on page 42, and that we understand is required within 10 days after contract award

42 C.3.33 Subsections (d) and (e) The Written Preliminary Plan for Continuation of Mission Critical Contractor Services is required to be submitted in section D of the proposal.

(1)(b) Dollars Collected Factor: When a borrower rehabilitates or consolidations, are the dollars (balance consolidated or rehabilitated) considered voluntary and included in this evaluation factor?

46 C.3.37 (2) Refer to Amendment 0002

(2)(a)(ii) how will the "weight assigned for the performance period" be determined as it will be what the borrower resolved score is multiplied by? 46 C.3.37 (2) Refer to Amendment 0002 Small Business Mentoring - does this apply to unrestricted contact awardees? Can unrestricted awardees under this solicitation establish a mentor / mentee relations with either a restricted or unrestricted contract holder and will the mentor be eligible, if all other requirements are met, to receive additional compensation as outlined in this section?

47 C.3.37(5)(a-d This applies to Small Businesses only

C.3.7, Small Business Subcontracting Plan under (d)(1) notes that "Goals, expressed in terms of percentages of total planned subcontracting dollars…" However, page 58 notes that the subcontracting plan percentage is defined as the percentage of Offeror's account transfers received from FSA that will be subcontracted to a small business.

In previous iterations of the solicitation, the percent of accounts to be transferred was expressed separately from the small business subcontracting plan as only using accounts transferred would limit the inclusion of indirect dollars and even Master or Commercial Plans listed in the template. Please clarify.

19 C.3.7 and E.1, Section D Page 58 See Attachment 2 of Amendment 0002

Will ED provide benchmarks that will be used to measure compliance as described in section C.3.38 number (2)? p. 48 of 67

C.3.38, Allocation Methodology Standing and Performance Range, paragraph (2)

No

Please clarify that we are to use Alternate III of FAR 52.219-9. Alternate III is not selected on page 10, but is included as section C.3.7. 10 C.1 C.3.7, p 20 et seq Yes FAR 52.219-9 Alt III is applicable to the solicitation.

Does ED want the offeror to complete this section within the SF1449 and submit the entire sf1449 PDF back to them? If not, does ED expect the offeror to parse this section out of the SF1449 and reproduce it as an attachment to the offeror's response narrative?

15 C.2 Place of Performance. It should be a separate attachment from the SF 1449.

Does ED want the offeror to complete this section within the SF1449 and submit the entire sf1449 PDF back to them? If not, does ED expect the offeror to parse this section out of the SF1449 and reproduce it as an attachment to the offeror's response narrative?

39 C.3.33 Key Personnel. It should be a separate attachment from the SF 1449.

Will the Borrowers Resolved Factor and the Dollars Collected Factor be given equal weight in the Allocation Methodology? 46 C.3.37 Refer to Amendment 0002 Will all contractors who perform within the Allocation Methodology performance range receive equal numbers of transferred accounts? 48 C.3.38 See Amendment 0002

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Does the dollar value of…