ESBD_376732_1729278573854_HHS0014472 Laboratory Courier Services.pdf

PCS 550 HHS RFP Template RFP No. HHS0014472 Page 1 of 47 Version 2.10 Revision Date 09/12/2023

Cecile E. Young, Executive Commissioner

Request for Proposals (RFP) for

Laboratory Courier Services

RFP No. HHS0014472

Date of Release: October 18, 2024

Responses Due: November 18, 2024, by 10:30 a.m. Central Time

NIGP Class/Item Codes

640-43 Packaging Materials for Mailing and Shipping, Not Containers

915-57 Mailing, Posting and Shipping Services, Electronic

915-58 Mailing Services: Addressing, Collating, Packaging, Sorting and Delivery

948-55 Medical and Laboratory Services, Non-Physician

962-24 Courier/Delivery Services, Including Air Courier Services

962-86 Transportation of Goods, Shipping and Handling, and Other Freight Services

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Contents Article I. Introduction, Definitions, and Authority

1.1 Introduction

1.2 Definitions

1.3 Authority

Article II. Scope of Work

2.1 Statement of Work

2.1.1 Service Areas

2.1.2 Required Services

2.1.3 Reporting

2.1.4 Orientation for Submitter Sites

2.1.5 Driver Training Plan

2.1.6 Other Responsibilities and Deliverables

2.1.7 Invoicing

2.1.8 Performance Measures and Remedies

2.2 Contract Award, Term, and Historical Compensation

2.2.1 Contract Award and Execution

2.2.2 Contract Term

2.2.3 Historical Compensation

2.3 Data Use Agreement and Security Privacy Inquiry

2.4 No Guarantee of Volume, Usage, or Compensation

2.5 Governmental Entities

Article III. Administrative Information

3.1 Schedule of Events

3.2 Ambiguity, Conflict, or Discrepancy

3.3 Inquiries

3.3.1 Sole Point of Contact

3.3.2 Prohibited Communication

3.3.3 Exception to Sole Point of Contact

3.3.4 Solicitation Questions

3.4 Pre-proposal Conference/HUB Subcontracting Plan (HSP) Training

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3.4.1 Attendance

3.4.2 Conference Logistical Information

3.4.3 Questions at Pre-Proposal Conference

3.5 Solicitation Response Composition

3.5.1 General Information

3.5.2 Page Limit and Supporting Documentation

3.5.3 Discrepancies

3.5.4 Exceptions

3.5.5 Assumptions

3.5.6 Binding Offer

3.6 Solicitation Response Submission and Delivery

3.6.1 Deadline

3.6.2 Submission Instructions

3.6.3 Submission Checklist

3.6.4 Labeling and Delivery for USB Submission and Other Materials

3.6.5 Modifications and Withdrawals

Article IV. Solicitation Response Evaluation and Award Process

4.1 Conformance with State Law

4.2 Best Value Determination

4.2.1 Selection Methodology

4.2.2 Minimum Qualifications

4.2.3 Initial Compliance Screening

4.2.4 Written Solicitation Response Evaluation

4.2.5 Written Response Evaluation Criteria

4.2.6 Best and Final Offer (BAFO)

4.2.7 Final Written Response Score

4.2.8 Zone Assignment

4.2.9 Summary of Best Value Determination

4.3 Questions or Requests for Clarification

Article V. Narrative Proposal

5.1 Narrative Proposal

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5.1.1 Executive Summary

5.1.2 Project Work Plan

5.1.3 Key Staffing Profile

5.1.4 Readiness

Article VI. Required Respondent Information

6.1 Company Information

6.1.1 Company Narrative

6.1.2 Company Profile

6.2 Franchise Tax – Right to Transact Business in Texas

6.3 References

6.4 Major Subcontractor Information

6.5 Affirmations and Certifications

6.6 Other Reports

6.6.1 Dun and Bradstreet Reports

6.6.2 Financial Statements and Financial Solvency

6.6.3 Alternate Report

6.7 Corporate Guarantee

6.8 HUB Subcontracting Plan

6.9 Secretary of State Certification

Article VII. Cost Proposal

7.1 Cost Proposal

Article VIII. General Terms and Conditions

8.1 General Conditions

8.1.1 Changes, Modifications, and Cancellation

8.1.2 Offer Period

8.1.3 Costs Incurred

8.1.4 Contract Responsibility

8.1.5 Public Information Act - Respondent Requirements Regarding Disclosure

8.1.6 Respondent Waiver – Intellectual Property

8.1.7 Standards of Conduct for Vendors

8.1.8 Disclosure of Interested Parties

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8.2 Insurance

8.2.1 Required Coverage

8.2.2 Alternative Insurability

8.3 Protest

Article IX. List of Exhibits

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ARTICLE I. INTRODUCTION, DEFINITIONS, AND AUTHORITY

1.1 INTRODUCTION

The Texas Department of State Health Services (DSHS) requests proposals from qualified entities to provide laboratory courier services for the DSHS Public Health Laboratory located in Austin, Texas. DSHS seeks to award one or more Contracts for transportation and delivery of human test specimens within specific time frames. Respondents must demonstrate their readiness in securing and maintaining all equipment and support necessary to fulfill the requirements set forth in this Solicitation.

HHSC PCS will administer the procurement process for this Solicitation, which includes RFP publication, handling of communications from vendors, as well as managing the receipt of Solicitation Responses for review and evaluation.

To be considered for award, Respondents must execute Exhibit A, HHS Solicitation Affirmations, Version 2.4 and provide all other required information and documentation as set forth in this Solicitation.

Information regarding the DSHS Laboratory and its programs is available online and can currently be accessed at https://dshs.texas.gov/lab.

1.2 DEFINITIONS

Refer to Exhibit B, HHS Uniform Terms and Conditions – Vendor, Version 3.4 for additional definitions.

As used in this Solicitation, unless a different definition is specified or the context clearly indicates otherwise, the following terms and conditions have the meanings assigned below:

“Addendum” means a written clarification or revision to this Solicitation issued by HHSC PCS and posted to the ESBD.

“Award Consideration (AC) Documents” means documents Respondent must submit as part of the Solicitation Response to be considered for negotiations or award.

“Business Day” means any day other than a Saturday, Sunday, or a state or federal holiday on which DSHS offices are closed, unless the context clearly indicates otherwise.

“Continuity of Operations Contingency Plan (COOP)” means an overview of the operational procedures that will be utilized to restore and sustain mission-critical operations during an emergency response event.

https://dshs.texas.gov/lab

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“Contract” has the same meaning as the definition in Exhibit B, HHS Uniform Terms and Conditions – Vendor, Version. 3.4.

“Contract Term” means the period of time beginning with the commencement date or Effective Date of a Contract and ending when the Contract expires in accordance with its terms, or when it has been terminated.

“Contractor” has the same meaning as the definition in Exhibit B, HHS Uniform Terms and Conditions – Vendor, Version. 3.4.

“Day” means a calendar day unless specified otherwise.

"Delivery Accuracy” is calculated as percentage of package deliveries that meet all contract requirements compared to overall total of deliveries.

“Dry Run” means a pick-up performed by courier driver where no specimens are available for transport.

“DSHS” means the Department of State Health Services.

“Effective Date” has the same meaning as the definition in Exhibit B, HHS Uniform Terms and Conditions – Vendor, Version 3.4.

“ESBD” means the Electronic State Business Daily, the electronic marketplace where State of Texas bid opportunities over $25,000 are posted. The ESBD may currently be accessed at http://www.txsmartbuy.com/esbd.

“Final Written Response Score” refers to the final scoring of the written response as documented in the Solicitation.

“HHSC” means the Health and Human Services Commission.

“HHSC PCS” means Procurement and Contracting Services (PCS), a division of HHSC.

“HIPAA” means the Health Insurance Portability and Accountability Act Regulations and Standards; Public Health Law 104-191; Health Insurance Portability and Accountability Act of 1996.

“HUB” means Historically Underutilized Business, as defined by Chapter 2161 of the Texas Government Code.

“HUB Subcontracting Plan” or “HSP” means written documentation regarding the use of subcontractors, which is required to be submitted with all responses to state agency contracts with an expected value of $100,000 or more where the state agency has determined subcontracting http://www.txsmartbuy.com/esbd

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Revision Date 09/12/2023 opportunities are probable. The HSP subsequently becomes a provision of the awarded Contract and shall be monitored for compliance by the state agency during the term of the Contract.

“IATA DGR” means International Air Transport Association Dangerous Goods Regulations https://www.iata.org/en/publications/dgr/.

“Laboratory” means the DSHS Public Health Laboratory Division located at 1100 W. 49th Street, Austin, Texas 78756.

“Late Delivery Type 1” means packages delivered 15 minutes late but not later than 12:00 p.m.

Central Time (CT) on the scheduled delivery date and the specimen(s) are not damaged and are still viable for testing.

“Late Delivery Type 2” means packages delivered after 12:00 p.m. Central Time (CT) on the scheduled delivery date or later and the specimen(s) are not damaged and are still viable for testing.

“Package” means an object or group of objects wrapped in paper or plastic or packed in a box.

“Package Type” means a description of the packaging including any temperature considerations.

“Respondent” means the individual or entity responding to this Solicitation.

“RFP” means this Request for Proposals.

“Solicitation” means this RFP including all exhibits, attachments, forms, and Addenda, if any.

“Solicitation Consideration (SC) Documents” means documents that must be submitted by Respondent with the Solicitation Response in order to be considered for evaluation and cannot be resubmitted or have errors remedied after the submission due date and time in the Schedule of Events has passed.

“Specimen” means human blood, body fluids, tissues, cells, and other organisms for public health testing.

“State” means the State of Texas and its instrumentalities, including HHSC or DSHS, and any other state agency, its officers, employees, or authorized agents.

“Submitter Site” means a location with specimens that require transportation to the DSHS Public Health Laboratory located in Austin, Texas for testing.

“TSA” means the U.S. Transportation Security Administration.

“Tyvek Envelope” means a highly durable and water-resistant envelope.

https://www.iata.org/en/publications/dgr/

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“Unauthorized Pickup” means any Will Call pick-up at a Daily or Routine Submitter Site made without prior approval of the Laboratory.

"Unsatisfactory Delivery” means a lost specimen, package, or group of packages, or conditions including damage, contamination, incorrect temperature, or late delivery that results in the Laboratory’s inability to test the specimen(s).

“USPS” means the United States Postal Service.

“VPTS” means Vendor Performance Tracking System, as defined under Section 2262.055 of the Texas Government Code and Title 34 of the Texas Administrative Code Part 1, Chapter 20, Subchapter B, Division 2, Rule §20.115 and Subchapter F, Division 2, Rule §20.509.

"Will Call" means a pick-up ordered as needed by approved Submitter Sites or the Laboratory.

“Zone” means a portion of the State of Texas requiring courier services.

1.3 AUTHORITY

DSHS is soliciting the Services stated in this Solicitation under the authority of Texas Government Code, Title 10, Subtitle D, Chapter 2155, Sections 2155.144 (a), (b-1) (2) and (c); Title 1 of the Texas Administrative Code Part 15, Chapter 391, Subchapter B, Rule §391.201(a) and Texas Health and Safety Code, Chapters 12 and 1001.

https://statutes.capitol.texas.gov/Docs/GV/htm/GV.2262.htm#2262.055 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=115 https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=509

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ARTICLE II. SCOPE OF WORK

2.1 Description of Services

This Description of Services outlines the requirements and expectations for Contractors that will provide laboratory courier Services within the State of Texas. The DSHS Public Health Laboratory (“Laboratory”) provides Services that impact the preservation of life in the State of Texas including, but not limited to, examination and analysis of human blood, body fluids, tissues, and cells. The Laboratory provides approximately 421 healthcare facilities (referred herein as “Submitter Sites”) in Texas with courier Services that allow them to arrange for efficient and reliable transportation of specimens to the Laboratory in Austin, Texas. Timely and safe transportation is essential in ensuring the accurate and efficient processing of the specimens which is critical for patient care, research, and public health.

Contractor shall comply with all federal, State, and local laws and regulations related to the transportation of specimens including but not limited to https://www.phmsa.dot.gov/,the Health Insurance Portability and Accountability Act (HIPAA), https://www.hhs.gov/hipaa/index.html, and the Clinical Laboratory Improvement Amendments of 1988 (CLIA), https://www.cdc.gov/clia/index.html.

Contractor must provide and maintain insurance coverage as referenced in Exhibit H, Insurance Requirements and maintain an active driver license(s) as set forth in the Solicitation or as determined by HHSC.

2.1.1 Service Areas

Exhibit O, Map of Current DSHS Laboratory Courier Sites defines the Service Areas for this RFP. Respondents may submit a bid for one or more Zones.

The Laboratory reserves the right to add or remove Submitter Sites throughout the Contract Term.

Submitter Sites, service areas, pick-up, delivery days, and hours are subject to change at the discretion of the Laboratory in coordination (mutually agreed upon) with the Contractor throughout the Contract Term and any renewals.

2.1.2 Required Services

a. Package Handling and Transportation

1. Contractor shall implement a procedure that ensures the confidentiality, security, and integrity of specimens to minimize specimen damage or loss during transport.

https://www.phmsa.dot.gov/ https://www.hhs.gov/hipaa/index.html https://www.cdc.gov/clia/index.html

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2. Adhere to all applicable regulations and the SOW as stated in Section 2.1 of this RFP for the transportation of specimens which may be found here:

https://www.phmsa.dot.gov/.

3. Maintain proper temperature control:

A. Contractor shall provide appropriate transport containers (i.e., cooler, insulated box) to maintain specimens that are frozen (dry ice), cold (cold packs), and at an ambient temperature at no additional cost to the Laboratory and must follow regulations in IATA DGR manual and Title 49, Code of Federal Regulations (CFR).

B. Contractor shall provide shipping services and appropriate packaging supplies for specimens requiring special handling, such as cold on cold packs or frozen on dry ice at no additional cost to the Laboratory.

4. Furnish all necessary personnel, equipment, materials, and supplies, including, but not limited to, dry ice, cold packs, and appropriate containers to maintain specimen temperature requirements throughout pick-up, transport, and delivery.

b. Real-Time Tracking

1. Contractor shall provide real-time online tracking of packages, including, at a minimum, pick-up time, number and type of packages picked up, time of arrival at final destination, and number and type of packages delivered. Contractor shall provide the Laboratory with a tracking report upon request which documents the status of all packages picked up from Submitter Sites and delivered to the Laboratory. Tracking report shall be submitted no later than end of next Business Day following the Laboratory’s request.

2.1.2.1 Package Pick-up

a. Contractor shall provide pick-up services as follows:

1. Daily Submitter Sites: 5-7 pick-up days per week, scheduled at the discretion of

Laboratory;

2. Routine Submitter Sites: 1-4 pick-up days per week, scheduled at the discretion of

Laboratory;

3. Will Call Submitter Sites: 1-6 pick-up days per week, ordered as needed without a set schedule by approved Submitter Sites; and

4. Will Call pick-ups may be ordered for Daily and Routine Submitter Sites at the discretion of the Laboratory.

b. Contractor shall have a system for scheduling and canceling pick-ups including Will Call pick-ups. Scheduling system may include telephone, email, or online ordering system.

https://www.phmsa.dot.gov/

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1. Contractor shall not begin package pick-ups earlier than 12:00 p.m. local time at all Submitter Sites. Exceptions to this requirement are subject to the Laboratory’s prior written approval.

2. Contractor shall provide the Submitter Site with a 4-hour time window when scheduled pick-ups can be expected.

3. For Will Call pick-ups, Contractor shall provide the Submitter Site with a 4-hour time window and date when pick-ups can be expected.

4. Contractor shall pick up Will Call orders placed prior to 11:00 AM local time on the same day of order. Exceptions to this requirement are subject the Laboratory’s prior written approval.

5. Contractor shall not accept any specimens from Submitter Sites that are not properly packaged in a biohazard bag, Tyvek or similar envelope, transport canister or box.

6. Contractor shall verify and accurately record the number and type of packages picked up and time of pick-up from the Submitter Site in a tracking system.

7. Contractor shall record the name of a contact person at a Submitter Site if no medical or laboratory specimens are available for pick-up.

8. Contractor shall sign for packages on any logs required by the Submitter Site at the time of pick-up.

2.1.2.2 Next Day Service

Contractor shall pick up packages from Submitter Sites and deliver them the next day to Laboratory personnel not later than 7:30 a.m. Central Time (CT). Packages delivered at 7:45 a.m. or later will be considered late see Section 2.1.8.2 for Late Delivery Remedies.

Contractors shall provide pick-ups for next day service, seven (7) days per week. Pick-up, delivery days and hours are subject to change at the discretion of the Laboratory in coordination with the Contractor throughout the Contract Term and any renewals.

2.1.2.3 Service Disruptions Response Plan

Contractor shall submit a Continuity of Operations Contingency Plan (COOP) for any issues or disruptions in Contractor’s ability to provide services. Contractor shall implement the COOP within twenty-four (24) hours of receiving notification from DSHS or of any event that causes an interruption of services. Contract shall submit a copy of its COOP in its response to this Solicitation.

The COOP must include, but is not limited to, the following minimum requirements:

a. Contractor shall maintain a temperature-controlled location with the ability to store specimens at appropriate temperatures (i.e., cold on cold packs, frozen on dry ice, and ambient) in the event the Laboratory is closed due to a holiday, or any other office closure, and delivery to the Laboratory cannot be completed.

b. Contractor must maintain temperature requirements (i.e..., cold on cold packs, frozen on dry ice, and ambient) and deliver all packages to an external satellite site, either in or out of

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c. Contractor shall designate a contact person(s) with 24/7 availability that is qualified to address urgent issues.

2.1.3 Reporting

a. Contractor shall notify the Laboratory via e-mail at LabCourier@dshs.texas.gov within two (2) Business Days if three (3) consecutive Dry Runs occur at a Submitter Site. For example, “Courier Site ID number has had three (3) consecutive Dry Runs”.

b. Contractor shall notify the Laboratory within two (2) Business Days if a Submitter Site is not properly packaging specimens for transport.

c. Contractor shall submit a tracking report by end of next Business Day following the Laboratory’s request. This report must include, at minimum:

1. Date and time of pick-up.

2. Number and type of packages picked-up per Submitter Site.

3. Location and time of pick-up.

4. Delivery time to the Laboratory, if applicable

5. Order/air bill number.

d. Contractor shall notify the Laboratory by phone or e-mail at LabCourier@dshs.texas.gov immediately upon discovery of specimens that were damaged, lost, improperly stored, or temperature was not maintained during transport.

A detailed issues report shall be submitted to the Laboratory by end of the Business Day and include the following information:

1. Detailed description of the issue.

2. Expected delivery information.

3. Submitter sites involved and/or route information.

4. Number and type of packages involved per Submitter Site; and

5. Contractor action taken in response to situation.

e. Contractor shall immediately report the number of delayed deliveries to the Laboratory by phone or e-mail at LabCourier@dshs.texas.gov. A detailed delivery report shall be submitted to the Laboratory by the end of the Business Day and include the following information:

1. Detailed description of the issue.

2. Expected delivery day/time.

3. Submitter Sites involved and/or route information.

4. Number and type of packages involved per Submitter Site; and

5. Contractor action taken in response to situation.

f. Contractor shall notify the Laboratory of Submitter Site complaints by e-mail to mailto:LabCourier@dshs.texas.gov

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LabCourier@dshs.texas.gov within two (2) Business Days of receipt of the complaint.

2.1.4 Orientation for Submitter Sites

Contractor shall establish New Account Procedures within thirty (30) days of the Effective Date of the Contract and provide customer service assistance to assist new Submitter Sites. Contractor shall provide the new account procedures to the Laboratory within five (5) Business Days of request and distribute procedures to Submitter Sites within thirty (30) days of the Effective Date of the Contract that outlines the process for placing orders for pick-ups by telephone, email, and/or online.

Contractor shall provide these procedures to the Laboratory within five (5) business days of request.

2.1.5 Driver Training Plan

Contractor shall provide each driver with specific training on specimen handling. The Driver Training Plan shall include timeline for initial training and frequency of retraining. Contractor shall submit examples of internally developed training and verification of training to the Laboratory within five (5) Business Days of request. Training shall include:

a. General information on the importance and integrity of the packages;

b. Safety procedures such as:

1. Infection control.

2. Universal precautions.

3. Leaking packages.

4. Blood borne pathogens (Reference: Title 29 CFR § 1910.1030, Occupational

Safety and Health Administration (OSHA), and the Blood Borne Pathogen Exposure Control Plan as specified in Texas Health and Safety Code, Chapter 81, Subchapter H.

5. Safe driving.

c. All applicable transportation regulations following IATA DGR and Title 49 CFR;

d. HIPAA certification training; and

e. Customer service training.

2.1.6 Additional Contractor Requirements

a. If using air delivery service, Contractor shall be certified with the TSA and be trained in IATA DGR. Copies of TSA Certificate and IATA DGR Training Certificate shall be submitted, if applicable.

b. Contractor shall establish procedures and protocols for the recovery and transport of specimens.

c. Contractor shall establish procedures and protocols for handling leaking/damaged or improperly packaged specimens and biohazard exposure. This includes, but is not limited to, the following: universal precautions for handling bloodborne pathogens, the use of personal protective equipment (PPE), spill containment and sanitization, and reporting protocols.

d. Contractor will ensure driver will provide and maintain a valid driver’s license.

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e. Contractor shall provide all vehicles, equipment, and insurance(s) required to conduct the services described in this Solicitation.

f. Contractor shall provide a dispatch with mobile data/voice units/two-way communication to its transportation drivers.

g. Contractor shall provide 24/7 customer service that is available to the Laboratory and Submitter sites.

h. Contractor shall provide Laboratory with 24/7 access to an electronic, real-time tracking system. Contractor shall provide training to designated Laboratory staff.

DSHS may, at its sole discretion, require additional training.

2.1.6.1 Driver Appearance and Conduct

Contractor shall:

a. Display Contractor’s logo on any vehicle used to make the pick-ups and drop-offs;

b. Require Contractor employees wear company uniforms, including appropriate close toed footwear, and prominently display Contractor identification badge; and

c. Comply with security procedures at each Submitter Site and the Laboratory when onsite to pick up and/or drop off packages.

2.1.7 Invoicing

Contractor shall submit weekly electronic invoices and a breakdown of all charges (in Excel format). The invoice shall include, at a minimum:

a. Order/air bill number.

b. Pick-up time.

c. Pick-up location.

d. Number and type of items picked-up; and

e. Cost of Services.

Contractor shall e-mail invoices to LabCourier@dshs.texas.gov Monday – Friday on a weekly basis. Invoices shall always be sent on the same day of the week or next Business Day in case of a holiday.

2.1.8 Remedies

DSHS will monitor Contractor’s performance of the requirements set forth in this Scope of Work to ensure that all Services and deliverables are provided in a manner consistent with industry standard, custom, and practice and with the terms of the Contract.

DSHS may, at its sole discretion, impose remedies identified below for each occurrence of noncompliance with a requirement of the Contract. Remedies are not intended to be exclusive of any other available remedy or penalty under the Contract.

a. Remedies may include, but are not limited to, any one or more of the following:

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1. Terminate the Contract with cause; If Contractor serves multiple Zones, DSHS may, at its sole discretion, discontinue Services in one (1) Zone or terminate the Contract entirely.

2. Incur liquidated damages;

3. Require Contractor obtain additional technical, training, or managerial assistance in the areas of non-performance;

4. At no cost to DSHS, require additional or ad-hoc reporting to address performance issues;

5. Require Contractor to, at no cost to DSHS, comply with the performance improvement activities and timelines specified in a written Corrective Action Plan (CAP) developed by DSHS. DSHS may make exceptions for delivery issues caused by common carrier problems or unexpected events;

6. Accelerated monitoring of Contractor’s performance which entails more frequent or more extensive monitoring than ordinarily conducted by DSHS;

7. Deny future contract renewals;

8. Impose other remedies in accordance with Texas law; and

9. Daily reporting requirements.

If Contractor fails to comply with the RFP requirements, DSHS may submit a poor rating in the Vendor Performance Tracking System (VPTS). State agencies use VPTS to determine whether to award a contract to a vendor reviewed in the tracking system. The Texas Comptroller establishes the manner in which the rating scale affects a vendor’s eligibility for state contracts and the grades on the scale that disqualify a vendor from state contracting.

2.1.8.1 Unsatisfactory Delivery and Late Delivery Remedies

DSHS shall monitor Contractor’s ability to pick-up, track, transport and deliver packages at the appropriate temperatures according to the terms of the Contract.

The following will be evaluated quarterly:

a. Two (2) instances of Unsatisfactory Delivery may result in a CAP.

b. Late Delivery Type 1:

1. Contractor will be notified of each Late Delivery Type 1 on the same Business Day by the DSHS Laboratory Courier Coordinator.

2. More than ten (10) Late Delivery Type 1 may result in a CAP.

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c. Late Delivery Type 2:

1. Contractor will be notified of each Late Delivery Type 2 on the same Business Day by the DSHS Laboratory Courier Coordinator.

2. More than three (3) Late Delivery Type 2 may result in a CAP.

2.1.8.2 Communication and Reporting Remedies

Contractor must comply with all communication and reporting requirements set forth in this Solicitation.

Repeated failure to comply with communication and reporting requirements may result in a CAP.

2.1.8.3 Assessment of Remedies

Once DSHS determines remedies are necessary, it will notify Contractor in writing of the assessment, stating the nature of the action, and the reasons for imposing. Failure to notify does not impact DSHS’ assessment of liquidated damages and is not a condition precedent thereto. DSHS may withhold payment due to Contractor or, if no payments are due, DSHS may make demand for payment. Contractor must make payment within thirty (30) days of DSHS’ demand.

2.1.8.4 Failure to Assess Remedies

The failure of DSHS to assess remedies under the terms of the Contract shall not constitute a waiver of DSHS’ rights to assess liquidated damages.

2.1.8.5 Severability of Remedies Clauses

If any portion of the following remedies are determined to be unenforceable, the other portions of these provisions shall remain in full force and effect.

2.1.8.7 Withholding Payments

a. Contractor will not be paid for Unsatisfactory Deliveries.

b. Contractor may not be paid for Unauthorized Pickups or deliveries.

c. Failure to adhere to a CAP for Late Deliveries Type 1 or Type 2 may result in a 50% reduction of payment per pickup/delivery during a period of accelerated monitoring.

2.1.8.8 Liquidated Damages

a. DSHS may assess liquidated damages for each Unsatisfactory Delivery that results in a breach of confidential information. This assessment is a fair and equitable repayment to

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DSHS for costs incurred as a result of the breach of confidential information including staff time dedicated to addressing the breach. Liquidated damages will be assessed as follows:

1. Costs for staff time calculated at $31.45 per hour for a maximum of $500 per Unsatisfactory Delivery per Submitter Site.

2. Contractor shall provide credit monitoring services to individuals affected by the Unsatisfactory Delivery that resulted in a breach of the individual’s confidential information.

b. DSHS shall monitor the Contractor’s delivery accuracy. DSHS may compile quarterly data to determine accuracy rates. If accuracy falls below 80% in a given quarter, DSHS may withhold payment until the accuracy rate is above 80% in an amount not-to-exceed $100,000 per fiscal year.

2.2 CONTRACT AWARD, TERM, AND HISTORICAL COMPENSATION

2.2.1 Contract Award and Execution

DSHS intends to award one or more Contract(s) as a result of this Solicitation. Any award is contingent upon approval of the DSHS Executive Commissioner or their designee.

If, for any reason, a final Contract cannot be executed with a Respondent selected for award within sixty (60) days of DSHS’s determination to seek to Contract with that Respondent, DSHS may negotiate a Contract with the next highest-scoring Respondent or may withdraw, modify, or partially award this Solicitation.

2.2.2 Contract Term

The initial term of any Contract resulting from this Solicitation will be three (3) years. DSHS, at its sole option, may extend any Contract awarded pursuant to this Solicitation for up to two (2) additional years.

Following the initial contract term and any allowable renewals or extensions, and subject to applicable legal authority, DSHS may extend any resulting Contract for not more than one additional option period to address immediate operational or Service delivery needs. If the resulting Contract does not include a defined option period, the extension is limited to one (1) year.

2.2.3 Historical Compensation

Historical compensation under Contracts with similar scope and size to this Solicitation has been approximately $2,400,000.00 per fiscal year. Notwithstanding Section 2.2.3 (Historical

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Compensation), DSHS reserves the right to adjust any projected amount based on state funding during the term of a resulting Contract.

2.3 DATA USE AGREEMENT AND SECURITY PRIVACY INQUIRY

By entering into a Contract with DSHS as a result of this Solicitation, Respondent agrees to be bound by the terms of the HHS Data Use Agreement (DUA), Version 8.5, attached as Exhibit D.

Respondents must complete and return with their Solicitation Response Exhibit D-1, Attachment 2 to the DUA, Security and Privacy Inquiry (SPI), Version 2.1.

2.4 NO GUARANTEE OF VOLUME, USAGE, OR COMPENSATION

DSHS makes no guarantee of volume, usage, or total compensation to be paid to any Respondent under any awarded Contract, if any, resulting from this Solicitation. Any awarded Contract is subject to appropriations and the continuing availability of funds.

DSHS reserves the right to cancel, make partial award, or decline to award a Contract under this Solicitation at any time at its sole discretion.

2.5 GOVERNMENTAL ENTITIES

If Respondent is responding to this Solicitation in its capacity as a governmental entity, certain terms and conditions found in this Solicitation, including all exhibits and attachments, may not be applicable. Furthermore, to the extent permitted by law, if a Solicitation Response is received from a governmental entity, DSHS reserves the right to enter into an interagency or interlocal agreement with the governmental entity.

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ARTICLE III. ADMINISTRATIVE INFORMATION

3.1 SCHEDULE OF EVENTS

EVENT DATE/TIME

Solicitation Posting Date to ESBD OCTOBER 18, 2024

Pre-proposal Conference Attendance is Optional

OCTOBER 23, 2024, AT 2:00 PM

CENTRAL TIME

Deadline for Submitting Questions or Requests for Clarification

OCTOBER 25, 2024, AT 2:00 PM

CENTRAL TIME

Tentative Date Responses to Questions or Requests for Clarification Posted on ESBD

OCTOBER 31, 2024, AT 5:00 PM

CENTRAL TIME

Deadline for courtesy HSP review or mandatory HSP review, if applicable

NOVEMBER 1, 2024, AT 2:00 PM

CENTRAL TIME

Deadline for Submission of Solicitation Responses [NOTE: Responses must be RECEIVED by HHSC PCS by the deadline.]

NOVEMBER 18, 2024, AT 10:30 AM

CENTRAL TIME

Evaluation Period NOVEMBER 2024

Anticipated Notice of Award MARCH 2025

Anticipated Contract Start Date SEPTEMBER 2025

Respondents must submit their Solicitation Responses to HHSC PCS in accordance with the due date and time indicated in this Schedule of Events or as changed via an Addendum posted to the

ESBD.

NOTE: All dates are tentative and HHSC PCS reserves the right to modify these dates at any time. At the sole discretion of HHSC PCS, events listed in the Schedule of Events are subject to scheduling changes and cancellation. Scheduling changes or cancellation determinations made prior to the deadline for submission will be published by posting an Addendum to the ESBD. After the deadline for submission, if there are delays that significantly impact the anticipated award date, PCS 550 HHS RFP Template RFP No. HHS0014472 Page 21 of 47

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HHSC PCS, at its sole discretion, may post updates regarding the anticipated award date to the Procurement Forecast on the HHS Procurement Opportunities web page. Each Respondent is responsible for checking the ESBD and Procurement Forecast for updates.

By submitting a Solicitation Response, Respondent represents and warrants that any individual submitting the Solicitation Response and any related documents on behalf of the Respondent is authorized to do so and to bind the Respondent under any Contract that may result from this Solicitation.

3.2 AMBIGUITY, CONFLICT, OR DISCREPANCY

Respondent must notify the Sole Point of Contact (Section 3.3.1) of any ambiguity, conflict, discrepancy, exclusionary specification, omission, or other error in the Solicitation in the manner and by the deadline described in Section 3.3.4 (Solicitation Questions).

Respondent submits a Solicitation Response at its own risk.

If Respondent fails to properly and timely notify the Sole Point of Contact (Section 3.3.1) of any ambiguity, conflict, discrepancy, exclusionary specification, omission, or other error in the Solicitation, Respondent, whether awarded a Contract or not:

a. Waives any claim of error or ambiguity in the Solicitation and any resulting Contract;

b. Must not contest the interpretation by DSHS of such provision(s); and

c. Is not entitled to additional compensation, relief, or time by reason of ambiguity, conflict, discrepancy, exclusionary specification, omission, or other error or its later correction.

3.3 INQUIRIES

3.3.1 Sole Point of Contact

All requests, questions, or other communication about this Solicitation shall be made in writing to HHSC PCS, addressed to the person listed below (Sole Point of Contact). Additionally, a phone number is provided for purposes such as instructing a potential Respondent through an IT system or website referenced in this Solicitation. Communications via telephone are not binding.

The Sole Point of Contact will authorize a secondary Sole Point of Contact in the event of their absence and, in such an event, will include the contact information for the secondary Sole Point of Contact in their automatic reply out-of-office e-mail message. Respondents seeking to contact the Sole Point of Contact should do so via e-mail in order to receive updated contact information.

https://hhs.texas.gov/doing-business-hhs/contracting-hhs/procurement-opportunities https://hhs.texas.gov/doing-business-hhs/contracting-hhs/procurement-opportunities

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Name Katrina Chester, CTCD, CTCM

Title PCS Purchaser

Address Procurement and Contracting Services Building 1100 W 49th St. MC: 2020 Austin, TX 78756

Phone 512-406-2539

Email Katrina.Chester@hhs.texas.gov

See also, Section 3.3.3 (Exception to Sole Point of Contact) below.

3.3.2 Prohibited Communication

Except as provided in Section 3.3.1 (Sole Point of Contact) and Section 3.3.3 (Exception to Sole Point of Contact), potential Respondents and Respondents are prohibited from any communication with DSHS regarding the Solicitation. DSHS, its representative(s), and partners will not answer any questions or otherwise discuss the contents of this Solicitation with any potential Respondent or its representative(s). Attempts to ask questions by phone or in person will not be allowed or recognized as valid. Respondent shall rely only on written statements issued by or through DSHS designated staff as provided by Section 3.3 (Inquiries). This restriction does not preclude discussions between affected parties for the purposes of conducting business unrelated to this Solicitation. Failure to comply with these restrictions may result in disqualification of Respondent's Solicitation Response.

3.3.3 Exception to Sole Point of Contact

Exceptions to Section 3.3.1 are as follows:

a. Respondents with questions relating to the HUB Subcontracting Plan are permitted to direct those questions to the HUB coordinator at Isaiah.Wilczynski1@hhs.texas.gov.

b. Where it is expressly directed by the Sole Point of Contact that another designated DSHS representative may speak to the Respondent, such as during Contract negotiations.

Respondents are required to ensure that communications have been authorized by the Sole Point of Contact before engaging in such communication. Failure to comply with this requirement may result in the disqualification of a Respondent’s Solicitation Response.

mailto:Katrina.Chester@hhs.texas.gov

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3.3.4 Solicitation Questions

DSHS will allow written questions and requests for clarification regarding this Solicitation.

Questions must be submitted by e-mail to the Sole Point of Contact (Section 3.3.1) by the deadline established in Section 3.1 (Schedule of Events). Responses to questions or other written requests for clarification will be consolidated and posted to the ESBD and will not be provided individually to requestors.

DSHS reserves the right to amend answers previously posted, prior to the Solicitation response deadline (Section 3.1). Amended answers will be posted on the ESBD. It is the Respondent's responsibility to check the ESBD. DSHS also reserves the right to provide a single consolidated response to all similar questions at the agency’s sole discretion.

a. All questions and requests for clarification must include the following information:

1. Solicitation number;

2. Solicitation package reference (page number, section, and exhibit or attachment, if applicable;

3. Question topic (e.g., “Schedule of Events,” or “Exhibit G, Cost Proposal”); and

4. Question for DSHS.

b. Requestor contact information below must be included in the body of the e-mail and submitted with the question(s):

1. Company name;

2. Company representative name;

3. Phone number; and

4. E-Mail address.

Questions or requests for clarification received after the deadline in Section 3.1 (Schedule of Events), may be reviewed by DSHS but may not be answered. Only answers to questions submitted to the Sole Point of Contact in writing, in accordance with this section, are binding.

3.4 PRE-PROPOSAL CONFERENCE/HUB SUBCONTRACTING PLAN (HSP) TRAINING

3.4.1 Attendance

HHSC PCS will conduct a pre-proposal conference. Attendance is optional but highly recommended as the pre-proposal conference will include the training on the proper completion of the HUB Subcontracting Plan. See Section 6.8 (HUB Subcontracting Plan).

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3.4.2 Conference Logistical Information

HHSC PCS will hold the pre-proposal webinar on the date and time set out in Section 3.1 (Schedule of Events).

People with disabilities who wish to attend the meeting and require auxiliary aids or services should contact the Sole Point of Contact identified in Section 3.3.1 (Sole Point of Contact), at least seventy-two (72) hours before the meeting in order to have reasonable accommodations made by

HHSC PCS.

Training Webinar Information:

https://attendee.gotowebinar.com/register/2778973197031062880

Webinar ID: 359-430-779

3.4.3 Questions at Pre-Proposal Conference

a. Reference Section 3.3.4 (Solicitation Questions) for the required format and information to be provided for submission of questions and requests for clarification.

b. Attendees may submit questions in writing at the conference. All questions must be in the required format and include the information as referenced in Section 3.3.4 (Solicitation Questions).

c. During the conference, DSHS may provide responses to questions and requests for clarification, but only written responses posted by HHSC PCS as an Addendum to the Solicitation on the ESBD will be considered an official, binding update to the Solicitation.

d. DSHS reserves the right to amend, prior to the Solicitation Response Deadline, answers previously posted. Amended answers will be posted on the ESBD. Notification of posting will be in accordance with Section 3.1 (Schedule of Events).

e. Conversations with DSHS program area staff before or after the pre-proposal conference are prohibited.

3.5 SOLICITATION RESPONSE COMPOSITION

3.5.1 General Information

Failure to submit all required Solicitation Response documents in the required format(s) may result in disqualification of the Solicitation Response without further consideration (Section 3.6.3, Submission Checklist). Respondent shall prepare a Solicitation Response that clearly and concisely represents its qualifications and capabilities. Expensive bindings, colored displays, https://attendee.gotowebinar.com/register/2778973197031062880

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3.5.2 Page Limit and Supporting Documentation

The narrative proposal should not exceed seventy-five (75) pages and should be formatted for 8 ½" x 11" paper with 1-inch margins and typed in Times New Roman, 12-point font. If complete responses cannot be provided without referencing supporting documentation, such documentation must be provided with the Solicitation Response, with specific reference made to the file, page, section, and/or paragraph where the supporting information can be found.

3.5.3 Discrepancies

In the event of any discrepancies or variations between copies, DSHS is under no obligation to resolve the inconsistencies and may make its scoring and selection decisions, accordingly, including the decision to potentially disqualify a Solicitation Response. If Respondent is required to designate an “Original” Solicitation Response but fails to do so, DSHS, in its sole discretion, will determine the version to be used as the original or may disqualify the Solicitation Response. If the Respondent submits a redacted Solicitation Response as the “Original,” DSHS will disqualify the Solicitation Response and it will not be evaluated. DSHS will not accept submissions after the “Deadline for Submission of Solicitation Responses” in the Schedule of Events (Section 3.1) to remedy discrepancies or variations in Solicitation Response submissions.

3.5.4 Exceptions

Respondents are highly encouraged, in lieu of including exceptions in their Solicitation Responses, to address all issues that might be advanced by way of exception by submitting such issues as questions or requests for clarification pursuant to Section 3.3.4 (Solicitation Questions).

Any exception included in a Solicitation Response may result in a Respondent not being awarded a Contract. If a Respondent includes exceptions in its Solicitation Response, Respondent is required to use the Exceptions Form included as Exhibit E to this Solicitation and provide all information requested on the form. Any exception that does not provide all required information in the format set forth in Exhibit E may be rejected without consideration.

No exception, nor any other term, condition, or provision in a Solicitation Response that differs, varies from, or contradicts this Solicitation will be considered to be part of any Contract resulting from this Solicitation unless expressly made a part of the Contract in writing by DSHS.

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3.5.5 Assumptions

Assumptions must not be included in a Solicitation Response. All issues or questions that might be advanced or addressed by way of assumption must be submitted as questions or requests for clarification pursuant to Section 3.3.4 (Solicitation Questions). A Solicitation Response that includes assumptions may be rejected and the Respondent disqualified without further consideration. All assumptions included in a Solicitation Response are deemed rejected by DSHS.

3.5.6 Binding Offer

A Solicitation Response should be responsive to the Solicitation as worded and without any assumption that any or all terms, conditions, or provisions of the Solicitation will be negotiated.

Furthermore, all Solicitation Responses constitute binding offers. Any Solicitation Response that includes any type of disclaimer or other statement indicating that the response does not constitute a binding offer will be disqualified.

If a Respondent’s ability to enter into a Contract is contingent upon any exception or assumption provided in accordance with Section 3.5.4 (Exceptions) or Section 3.5.5 (Assumptions), the Respondent may be disqualified from further consideration for Contract award.

3.6 SOLICITATION RESPONSE SUBMISSION AND DELIVERY

3.6.1 Deadline

Solicitation Responses must be received at the address in Section 3.6.4 (Labeling and Delivery for USB Submission and Other Materials) and time stamped by HHSC PCS no later than the date and time specified in Section 3.1 (Schedule of Events).

Solicitation Responses received after the deadline specified in Section 3.1 will be rejected and not considered for Contract award.

3.6.2 Submission Instructions

All Respondents must submit a single Proposal in response to the Solicitation and must use Exhibit G, Cost Proposal to designate the Zones the Respondent is proposing.

a. Submission Option #1: Respondent shall submit two USB drives—one (1) labeled “Original Proposal” and one (1) labeled “Copy”—containing the following documents:

1. Each USB must contain one file named “Original” that contains the Respondent’s entire Solicitation Response (except the cost proposal and HUB Subcontracting

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Plan) in searchable portable document format (PDF), unless otherwise specified for a particular attachment or exhibit.

2. If applicable in accordance with Section 8.1.5, (Public Information Act – Respondent Requirement Regarding Disclosure), each USB must contain one file named “Public Information Act Copy” that contains the Respondent’s entire Solicitation Response, including all exhibits and attachments, in searchable PDF.

3. In accordance with Section 7.1, (Cost Proposal), each USB must contain one file named “Cost Proposal” that contains the Respondent’s cost proposal…