ESBD_509593_1777472723757_53000 HHS0016921 PCS 137.pdf

HHS Procurement and Contracting Services

IFB DOCUMENT

PCS 137

Page 1 of 25 Revised 12/06/2022

Invitation for Bid (IFB)

Check one: Formal Informal

IFB No.: Issue Date: Response Due Date:

HHS0016921 April 29, 2026 May 20, 2026

Formal responses may be mailed to the address in Section 4.5. E-mail and electronic responses submitted through the HHS Online Bid Room will only be accepted if indicated in the solicitation. Response may NOT be submitted by Fax.

Contact Information:

Purchaser: Taylor Naiser

Phone: 512-776-4238 Email:

Taylor.Naiser@hhs.texas.gov

Mail Response, if applicable:

Hand Delivery:

Health and Human Services

Commission

Attn: Bid Room

Coordinator

Procurement and Contracting

Services

1100 W 49th St. MC: 2020

Austin, TX 78714-9166

OR

Overnight/Express/Priorit y Mail Delivery:

Health and Human Services

Commission

Attn: Bid Room

Coordinator

Tower Building Room 108

1100 W 49th St. MC: 2020

Austin, TX 78756

OR

Email Response to:

pcsbids@hhsc.state.tx.us, OR

Submit Response Online to, if applicable:

https://hhs.texas.gov/doi ng-business-hhs/contracting-hhs/hhs-online-bid-room

(You must be registered to submit online.)

Ship to or Service Delivered to Location:

Dept Family and Protective Services 4900 N Lamar Blvd

Austin, TX 78751

Source of

Authority CPA/POD DIR Other:

By signing this document, respondent certifies that prices shown on this quote are true and correct. Should this bid/offer result in a Purchase Order, respondent agrees to comply with all “Terms and Conditions,” which are attached and incorporated into this document.

Check below if preference claimed under Texas Administrative Code (TAC), Title

VENDOR / RESPONDENT MUST COMPLETE

ALL ITEMS

mailto:pcsbids@hhsc.state.tx.us https://hhs.texas.gov/doing-business-hhs/contracting-hhs/hhs-online-bid-room https://hhs.texas.gov/doing-business-hhs/contracting-hhs/hhs-online-bid-room https://hhs.texas.gov/doing-business-hhs/contracting-hhs/hhs-online-bid-room

Solicitation No. HHS0016921 PCS 137

34, Part 1, Chapter 20, Subchapter D, Division 2, Rule § 20.306:

□ Goods produced or offered by a Texas bidder that is owned by a Texas resident service-disabled veteran

□ Goods produced in Texas or offered by a

Texas bidder that is not owned by a Texas resident service-disabled veteran

□ Agricultural products grown in Texas

□ Agricultural products offered by a Texas bidder

□ Services offered by a Texas bidder that is owned by a Texas resident service-disabled veteran

□ Services offered by a Texas bidder that is not owned by a Texas resident service-disabled veteran

□ Texas Vegetation Native to the Region

□ USA produced supplies, materials, or equipment

□ Products of persons with mental or physical disabilities

□ Products made of recycled, remanufactured, or environmentally sensitive materials including recycled steel

□ Energy Efficient Products

□ Rubberized asphalt paving material

□ Recycled motor oil and lubricants

□ Products produced at facilities located on formerly contaminated property

□ Products and services from economically depressed or blighted areas

□ Vendors that meet or exceed air quality standards

□ Recycled or Reused Computer Equipment of

Other Manufacturers

□ Foods of Higher Nutritional Value.

Signature of Vendor or Authorized

Representative

Print Name

(Must be manually signed; failure to sign will disqualify response.)

Texas Vendor Identification No. (or Federal

Employer’s ID):

Name of Business

Street Address

City-State-Zip Code

Telephone Number

Fax Number

E-Mail Address

*By signing this bid, bidder certifies that if a Texas address is shown as the address of the bidder, bidder qualifies as a Texas

Bidder as defined in Tex. Gov’t Code § 2155.444(c)(2).

AWARD NOTICE: The State reserves the right to make an award on the basis of low line-item bid, low total of line items, or in any other combination that will serve the best interest of the State and to reject any and all bid items in the sole discretion of the State.

1. INTRODUCTION AND PURPOSE OF IFB

The Health and Human Services Commission (HHSC) Procurement and Contracting

Services (PCS) on behalf of the Department of Family and Protective Services (DFPS) issuing this Invitation for Bid (IFB) to solicit Respondents to enter into a contract with

DFPS for Claims Processing to pay vendors for goods or services needed for CPS clients.

DFPS will award one contract per Region.

NOTE: Region 6 is not part of this procurement.

Attachments to this IFB:

• Exhibit A – Affirmation and Solicitation Acceptance

• Exhibit B – DFPS Uniform Terms and Conditions (UTCs)

• Exhibit C – Pricing Sheet and Minimum Qualifications

• Exhibit D – Respondent Reference Form

• Exhibit E – Online Bid Room

• Exhibit F – DFPS Supplemental and Special Conditions

Class and Item:

961-16 Claims Processing Services

2. AGENCY OVERVIEW

The Health and Human Services Commission (HHSC) was created in 1991 to oversee and coordinate the planning and delivery of health and human services in Texas. It is established pursuant to Chapter 531, Texas Government Code and is responsible for oversight of Texas Health and Human Services agencies (HHS agencies). As a result of the consolidation due to House Bill 2292 (HB2292), some of the contracting and procurement activities for HHS agencies have been assigned to the PCS section of HHSC. As such, HHSC/PCS will administer the initial stages of the procurement process, prior to the contract award, including IFB announcement and publication, handling of communications from the respondent, as well as managing the receipt and evaluation of valid responses for final review and evaluation. HHSC/PCS directs the execution of the award of the contract resulting from this IFB.

DFPS will administer the contract.

3. DEFINITIONS

• Appendix – Additional information and/or forms that is available in the back of this IFB document.

• Bidder– Entity or individual that submits a response to an IFB. See Respondent.

• Contract – A written document referring to promises or agreement for which the law establishes enforceable duties and remedies between a minimum of two parties.

• Contract Term – The period of time during which the Contract will be effective from begin date to end, or renewal date. The contract term may or may not be the same as the budget period.

http://www.statutes.legis.state.tx.us/Docs/GV/htm/GV.531.htm http://www.legis.state.tx.us/tlodocs/78R/billtext/html/HB02292F.htm

• Debarment – An exclusion from contracting or subcontracting with state agencies on the basis of cause set forth in Title 34, Texas Administrative Code, Chapter 20, Subchapter G, and the System of Award Management (SAM).

• Deliverables – Goods or services contracted for delivery or performance.

• Due Date – Established deadline for submission of a document or deliverable.

• Effective Date – The date the contract term begins.

• Respondent – Entity or individual that submits a response to an IFB. See Bidder.

• Scope of Work – A statement that defines specific services to be performed.

• IFB – The process of notifying prospective contractors of an opportunity to provide goods or services to the State. It is used interchangeably with ‘solicitation’ in this IFB.

• Subcontractor – An entity hired by an awarded contractor to perform a portion of the scope of work by the entity contracting with DFPS as a result of this IFB. The Contractor remains entirely responsible for performance of all requirements of the Contract through monitoring the subcontractor’s performance.

• Unit Rate – Payment mechanism for services that are paid at a set rate per unit of service; for example, plumbing repair services at a prescribed rate per hour.

• Vendor – A contractor that provides goods and services that are typically procured through the open market.

• Vendor Identification Number (Vendor ID No.) – Fourteen-digit number needed for any entity to contract with the State of Texas, and which must be set up with the State Comptroller’s Office. It consists of a ten-digit Vendor ID No. (IRS number, state agency number, or social security number) + check digit + 3-digit mail code.

• Transition Phase - as those activities that the awarded Contractor must conduct between the effective date of the contract and the awarded Contractor's operational start date, which in this particular instance is the same date.

• Turnover - as those activities that are required for the Contractor to perform in order to transition contract operations to a subsequent contractor or DFPS.

4. INSTRUCTIONS TO RESPONDENTS

Before submitting a response to this IFB, read the ENTIRE IFB including Exhibit B - DFPS Uniform Terms and Conditions. and Exhibit F - DFPS Supplemental and Special Conditions.

Failure to read any part of this IFB will not relieve an awarded Contractor of their contractual obligations.

4.1. Failure to comply with this section may result in disqualification of a Respondent’s Application.

4.2. Responses to this IFB will be received until the date and time shown above.

Incomplete or late responses will not be considered.

4.3. The preferred methods of response are online bid portal or via email. Responses will be emailed to pcsbids@hhsc.state.tx.us or via the HHS Online Bid Room (see

Exhibit E). Faxed responses will not be accepted. Response sent to any other email address will not be accepted.

4.4. If submitting by hand delivery, overnight/express/priority delivery, all documents should be submitted on a single USB drive and must be in

Microsoft office® formats (Word® and Excel®, as applicable) or in a form that may be read by Microsoft office® software. Any documents with signatures shall be submitted as an Adobe® portable document format (PDF) file. HHSC is not responsible for documents that cannot be read or converted. Unreadable responses may be, in HHSC’s sole discretion, rejected as nonresponsive.

4.5. The Response must include all documentation required by this Solicitation.

1. Submit one USB drive of the complete response package – hard copy responses will not be accepted.

2. The USB drive must be enclosed in properly documented and sealed envelope or sealed carton.

3. The envelope or carton must be properly labeled, on the face or top of each, with the following:

a. Bidder’s name

b. Contact name for response

c. Phone number for response contact

d. Solicitation number from the cover page of this Solicitation

e. HHSC PCS purchaser name (see Section 5, Questions).

Responses to this solicitation may be submitted in original hard copy to the address below. An authorized officer of the Respondent must manually sign submittal.

Hand Delivery Overnight/Express/Priority Mail

Delivery

Health and Human Services Commission

Attn: Bid Room Coordinator Procurement and Contracting

Services

1100 W 49th St. MC: 2020 Austin, TX 78756

Health and Human Services Commission

Attn: Bid Room Coordinator Tower Building Room 108 1100 W 49th St. MC: 2020

Austin, TX 78756

Fax responses will NOT be accepted. Emailed responses and responses submitted electronically through the HHS Online Bid Room will be accepted. Emailed responses must be submitted to pcsbids@hhsc.state.tx.us. For instructions on registration and use of the HHS Online Bid Room (See Exhibit E). Online, electronic responses must be submitted to https://hhs.texas.gov/doing-business-hhs/contracting-hhs/hhs-online-bid-room.

HHSC/PCS will not be responsible for failure of electronic equipment or operator error. Late, illegible, incomplete, or otherwise non-responsive submissions will not be considered. DFPS will not be held responsible for any solicitation response that is mishandled prior to receipt by DFPS. DFPS will not be responsible for any technical mailto:pcsbids@hhsc.state.tx.us mailto:pcsbids@hhsc.state.tx.us issues that result in late delivery, inappropriately identified documents, or other submission errors that may lead to disqualification (including substantive or administrative) or nonreceipt of the Respondent’s proposal.

All solicitation responses become the property of HHSC after submission and will not be returned to Respondent. It is the Respondent’s responsibility to appropriately mark and deliver the solicitation response to HHSC by the specified date. A U.S.

Postal Service (USPS) postmark or round validation stamp; a mail receipt with the date of mailing, stamped by the USPS; a dated shipping label, invoice of receipt from a commercial carrier; or any other documentation in lieu of the on-site time stamp WILL NOT be accepted.

Response must include all required information/documents for this specification but may contain additional information considered pertinent by Respondent. HHSC/PCS reserves the right to reject any or all responses.

4.6. Procurement Schedule

Calendar of Events Due Date

IFB Release Date April 29, 2026

Respondent’s Written Questions Due Date May 6, at 10:30 AM

Deadline for to Post Written Answers May 11, 2026

IFB Submission Deadline May 20, 2026 at 10:30 AM

Anticipated Contract Start Date September 1, 2026

5. QUESTIONS

The sole point of contact for inquiries concerning this IFB is:

Purchaser’s name: Taylor Naiser

Telephone: 512-7764238 E-mail address: Taylor.Naiser@hhs.texas.gov

Questions may also be submitted directly to the sole point of contact through the HHS Online Bid Room (see Exhibit E).

Direct all communications relating to this IFB to the HHSC/PCS point of contact named above. All other communications between a Respondent and HHS agency staff concerning this IFB are prohibited. In no instance is a Respondent to discuss cost information contained in a response with the HHSC/PCS point of contact or any other staff prior to response evaluation. Failure to comply with these requirements may result in Response disqualification.

mailto:Taylor.Naiser@hhs.texas.gov

6. HHSC/PCS AMENDMENTS AND ANNOUNCEMENTS REGARDING THIS IFB

HHSC/PCS will post all official communication regarding this IFB on the ESBD website, including the notice of award for IFBs exceeding $25,000. HHSC/PCS reserves the right to revise the IFB at any time. Any changes, amendments, or clarifications will be made in the form of written responses to Respondent questions, amendments, or addendum issued by HHSC/PCS on the ESBD website. Respondents should check the website frequently for notice of matters affecting the IFB.

7. HISTORICALLY UNDERUTILIZED BUSINESS (HUB) REQUIREMENTS

An evaluation of potential subcontracting opportunities was conducted for this contract in accordance with Texas Government Code Section 2161.252, and it was determined that this contract does not contain any probable subcontracting opportunities. Therefore, DFPS is not requiring a HUB Subcontracting Plan (HSP) to be submitted with this proposal.

However, if respondent determines the need to subcontract, (or hire 1099 employees) for any services, equipment, materials and/or supplies to fulfill the terms of this contract, the respondent must inform the HHSC Point of Contact listed in the General Information section within five (5) business days of the solicitation posting to the Electronic State Business Daily, so that the solicitation may be updated.

The respondent must submit a complete HUB Subcontracting Plan with its proposal to be considered responsive. The HSP form may be accessed at:

https://comptroller.texas.gov/purchasing/vendor/hub/forms.php.

If after the contract award the contractor determines a need to subcontract for any services, equipment, materials, and/or supplies, the contractor must contact DFPS for prior approval and request a review of its HUB Subcontracting Plan in accordance with the good faith effort requirements found in 34 Texas Administrative Code Section

§20.285. The contractor may not utilize a subcontractor without prior written approval from the DFPS.

You are encouraged to contact the DFPS HUB Coordinator for HUB Program or HSP questions.

Texas Department of Family and Protective Services

DFPS HUB Coordinator E-mail: dfpshub@dfps.texas.gov

8. ESTIMATED QUANTITIES

Neither HHSC/PCS nor DFPS guarantees the acquisition of any quantities of goods or services during the term of the Contract. "Quantity" information is provided only as a guideline for preparing the response. The quantity information should not be construed as representing anticipated or actual quantities that will be ordered.

https://comptroller.texas.gov/purchasing/vendor/hub/forms.php mailto:dfpshub@dfps.texas.gov

9. VENDOR CONFERENCE

Bidders are encouraged to notify the sole point of contact (see Section 5) regarding participation in the conference. People with disabilities who wish to participate and require auxiliary aids or services should contact the sole point of contact (see Section 5) at least

72 hours prior to the conference so appropriate arrangements can be made.

9.1. Optional Attendance

Attendance is strongly encouraged but not required. Failure to attend in person, participate in the conference call, or participate in the webinar will not disqualify a Bidder.

9.2. Questions or Requests for Clarification

The conference allows participants to ask HHSC questions or request clarifications.

Questions are required to be submitted, either prior to or immediately after the conference, by e-mail, to the sole point of contact (See Section 5). The questions and requests for clarifications must be submitted as required in Section 4.5.

9.3. Answers During the Conference

9.3.1. During the conference, HHSC may provide responses to questions or requests or clarification; however, these answers will not be considered official.

9.3.2. After the conference, the official responses to questions and requests for clarifications received during the conference and those received by the deadline identified in the Procurement Schedule or deadlines established in subsequent Addenda, will be posted in an Addendum on the ESBD.

9.3.3. HHSC reserves the right to amend the answers previously posted at any time prior to the response submission deadline or deadlines established in subsequent Addenda. Amended answers will be posted on the ESBD in a separate, new Addendum or Addenda.

9.4. Notification

Notification of posting of Addendum will be in accordance with Section 6.

10. DEPARTMENT OF FAMILY AND PROTECTIVE SERVICES (DFPS) MISSION

The mission of DFPS is to build on strengths of families and communities to keep children and vulnerable adults safe, so they thrive.

11. IFB PURPOSE AND BACKGROUND

The purpose of the Child Protective Services (CPS) Program is to protect children and to act in the children’s best interest. CPS focuses on children and their families and seeks active involvement of the children’s parents and other family members to solve problems that lead to abuse or neglect. The objectives of CPS are to:

• Prevent further harm to children and to keep children with their families when possible;

• Provide permanence for children in substitute care by resolving family dysfunction and returning children to their families; and

• Provide permanence for children who cannot return to their families.

12. SCOPE OF WORK (SOW) TO BE PERFORMED

12.1. Claims Processing requires the timely writing of checks and processing of payments, which may include online purchases, on behalf of DFPS for goods and services that benefit eligible DFPS clients.

12.2. Hours and Days Services are to be Performed

The Contractor must be available during regular business hours from 8 a.m. to 5 p.m. Central Time, Monday through Friday, except on State Holidays. A list of State Holidays can be found at the following link:

https://hr.sao.texas.gov/Holidays

For holidays that show "Skeleton Crew Required" or "Optional" Contractor must have enough employees on duty to conduct the business necessary to meet the requirements. The Contractor shall provide personnel as necessary to ensure that the requirements of this contract are performed/accomplished as identified in this

IFB.

12.3. Support Resources

Contractors must maintain all necessary support resources to receive, process, and document claims, including the technological capacity to handle all aspects of the claims processing service by phone, fax and email.

12.4. CPS Service Authorization Form 2054 (SA Form 2054) or Regional Teen

Conference and Aging-out Seminar Request forms (Request Form)

Contractors must have intake procedures to process disbursement requests to include the ability to accept DFPS SA Form 2054 and Regional Teen Conference and Aging-out Seminar Request forms

12.4.1. DFPS will authorize services via CPS Service Authorization Form 2054. The

Contractor must be able to accept these documents by any means, including but not limited to:

12.4.1.1 E-mail;

12.4.1.2 Fax;

12.4.1.3 U.S. Mail; and

12.4.1.4 Hand Delivery or Commercial Delivery Service.

12.4.2. Document Receipt of SA Form 2054 and the Request Form

Contractor must document the time and date that the Contractor received the Service Authorization consistent with the manner of receipt:

12.4.2.1 For Email Receipt – Maintaining the email (with a clearly visible receipt date and time notation); or

12.4.2.2 For All Other Types of Receipt – Indicating on the Service Authorization the time and date received.

https://hr.sao.texas.gov/Holidays

12.4.3. Contractor agrees to comply with the Confidential Information requirements in Section II (D) of DFPS Vendor Uniform Terms and Conditions (See Exhibit B) while processing Service Authorizations and issuing disbursements.

12.4.4. Contractor will accept and process referrals from the Single Source

Continuum Contractors (SSCCs) via Service Authorization Form 2054, and in compliance with the existing contract, Exhibit A, Statement of Work.

12.5. Quality Assurance (QA) Review

The Contractor must conduct a QA review for each SA Form 2054 and Request Form submitted by DFPS prior to making the requested disbursement. A QA review includes, but is not limited to, confirming that the Contractor has accurate and complete information needed to process the disbursement.

12.5.1. Approvals required for the disbursement. The Contractor must ensure disbursements made on behalf of DFPS are properly documented and approved. The signatures required to approve the disbursement are specified in Table 1.

Table 1

Approval Requirements – SA Form 2054 or Regional Teen Conference and Aging-out Seminar Request Form

Service Code

Service

Dollar Value of

Request

Number of

Required

Approvals

82C Concrete Services $0.01 - $1,000.00

1 – DFPS

Plus Client

82C Concrete Services $1,000.01 - up

2 – DFPS

Plus Client

82P Kinship Placement Assistance

$0.01 - $1,000.00

1 - DFPS

82V Kinship Verification Reimbursement

$0.01 - $750.00

1 - DFPS

18G, 18H, 18I

PAL

$0.01 - $500.00

1 – DFPS

18G, 18J, 18I

PAL

$500.01 - up

2 – DFPS

14T PAL Teen

Conference Any Amount 1 – DFPS

12.5.2. Information required to make a disbursement.

12.5.2.1. Who to pay;

12.5.2.2. The exact amount of the disbursement;

12.5.2.3. Where to send the disbursement;

12.5.2.4. Any special instructions; and

12.5.2.5. Invoice, bill or other documentation supporting amount due, as applicable.

12.5.3. The Contractor will be required to follow up with the CPS Caseworker listed on SA Form 2054, no later than close of business (COB) on the first business day following receipt of SA Form 2054 to obtain missing required information or make any needed corrections to SA Form 2054.

12.6. Process Accurate Payments

The Contractor must ensure disbursements made on behalf of DFPS are accurate and timely as specified in the SA Form 2054 or Request Form, including but not limited to ensuring:

12.6.1. Each SA Form 2054 or Request Form is in compliance with Table 1, Approval Requirements;

12.6.2. Each requested disbursement is made payable to the correct party.

Checks should never be made payable to DFPS staff, foster parents, or DFPS clients.

12.6.2.1. DFPS Client Exception. Disbursements by the Contractor must not be payable to the DFPS client, except as requested by CPS Caseworker for 18G (PAL Trans Living/House SS IV-E).

12.6.3. Each requested disbursement is for the exact amount requested by DFPS.

12.6.4. The processing of each SA Form 2054 complies with any special instructions included in the SA Form 2054 from DFPS.

12.6.5. The processing of each disbursement request meets the time specifications outlined in Table 2 Check and Payment Processing Time; and

12.6.6. Each requested disbursement is sent to the specified party as required in the SA Form 2054 or Request Form.

12.7. Process Timely Payments

The Contractor must ensure disbursements made on behalf of DFPS are made timely as specified in Table 2, Check and Payment Processing Time.

Table 2

Check and Payment Processing Time

Type of Disbursement

Receipt Time of an Accurate and

Complete SA Form

2054 or Request Form

Time by Which the Disbursement Must Be Processed and Out of

Contractors’ Office

Regular Disbursement Between 8 am to 5 pm No later than the next business day

Reissuance Between 8 am to 5 pm No later than the next business day

Disbursement at Contractor's Office

Between 8 am to 5 pm No later than the next business day.

Emergency Disbursement*

Between 8 am to 12 pm Via overnight service, the same day received, before close of business

Emergency Disbursement*

After 12 pm Via overnight service, no later than the next business day

*Designated by making an overnight request at the sole discretion of DFPS.

12.8. Disbursement Documentation Requirements

12.8.1. Contractor is responsible for:

12.8.1.1. Securing invoices and receipts as appropriate to the claim being processed to support the disbursements made on behalf of DFPS; and

12.8.1.2. Matching receipts to the corresponding SA Form 2054.

Note: DFPS will provide a single point of contact (SPOC) within the Region to assist the Contractor with tracking receipts and checks that have not been cashed.

12.9. Reconcile Disbursements

The Contractor must reconcile disbursements against invoices, receipts, SA Form

2054, Request Forms, and processed checks or payments, as appropriate.

12.9.1. Returned Disbursements (non-use).

The Contractor must adjust any returned disbursements that have not cleared the Contractor's account, within 60 calendar days of issuance, with the next billing cycle as a credit adjustment for the original month of service. The Contractor may retain the initial administrative fee but may not charge an additional administrative fee.*

12.9.2. Partial Funds Returned.

If a check issued by the Contractor in accordance with SA Form 2054 is not fully utilized, funds will be returned to the Contractor. The Contractor must credit the amount of returned funds to DFPS with the next billing cycle as a credit adjustment for the original month of service. The Contractor may retain the initial administrative fee but may not charge an additional administrative fee.*

12.9.3. Reissued Disbursement.

If a check or payment issued by the Contractor in accordance with SA Form 2054 is returned for reissuance due to a DFPS error, the Contractor may charge an additional administrative fee.*

*NOTE: See Utilization and Compensation, in Table 5, Administrative Fee Schedule.

12.10. Required Record Keeping

The Contractor must maintain records. Records may be kept electronically. If so, they must be able to be converted into a comma-delimited or other easily readable file format if they are kept in an application that has a proprietary format in the event DFPS ever needs copies of records or Contractor needs to transition records to a new provider. However, Contractor must be able to promptly produce an easily legible hard copy of any records, if requested to do so by and for DFPS in accordance with Section II (A) of the DFPS Vendor Uniform Terms and Conditions (Exhibit B). The required records that must be maintained by the Contractor include but are not limited to:

12.10.1. Individual Client Records

The individual client record must include:

12.10.1.1. Service Authorization, Form 2054;

12.10.1.2. Documentation of the time and date received for each Service Authorization;

12.10.1.3. Documentation of any follow-ups to include requests for additional information or reissuances received;

12.10.1.4. Documentation of the date the requested disbursement is completed; and

12.10.1.5. Documentation to support processing with the time and date the disbursement was sent indicated.

12.10.2. Receipts or invoices to support and reconcile disbursements.

12.10.2.1. Documentation of at least two attempts to secure the appropriate disbursement supporting documentation receipts from Regional SPOC. Documentation must include:

A. Name, date, and method of contact made with DFPS; and

B. Results of the contact with DFPS.

12.10.3. Documentation to support overnight processing with the time and date sent indicated.

12.10.4. Additional documentation to support the disbursement was released to DFPS staff at the Contractor's office to include:

12.10.4.1. Name, title and signature of person receiving disbursement;

and

12.10.4.2. Check number.

12.10.5. Other supporting documentation, as applicable.

12.10.6. Other Records. The Contractor must maintain all other records necessary to support disbursements made on behalf of DFPS. Such other records must include but are not limited to:

12.10.6.1. Processed/Cancelled Checks;

12.10.6.2. Invoicing documentation; and

12.10.6.3. Any Contract-related e-mails or other written

notifications/communications internal to Contractor or between Contractor and any external entities (including

DFPS).

12.11. Required Reports

DFPS may request reports from the Contractor to support the Claims Processing Services provided. The Contractor must comply with any reasonable report request made by DFPS.

12.12. Transition Planning

Contractor must provide services specified in this IFB by the contract effective date. It is anticipated the scope of work for the Transition Phase will occur immediately after contract execution. “Transition Phase” is defined as those activities that the awarded Contractor must conduct between the effective date of the contract and the awarded Contractor's operational start date, which in this particular instance is the same date.

The work activities and requirements outlined in this section are applicable to the awarded Contractor.

Transition activities that must be performed by the Contractor include, but are not limited to:

12.12.1. Coordination activities with current Contractor and associated planned due dates to ensure:

12.12.1.1. All applicable information, data, files, etc. is obtained, and

12.12.1.2. Capture the current status of all pending disbursement requests beyond the incumbent contractor's contract end date.

12.13. Turnover Planning

At the end of the contract term, including any renewals or other contract termination or cancellation, the Contractor shall in good faith and in reasonable cooperation with DFPS, aid in turnover to any new arrangement or provider of services. Turnover is defined as those activities that are required for the Contractor to perform in order to transition contract operations to a subsequent contractor or DFPS. At the commencement and during turnover, the Contractor must ensure that DFPS and DFPS clients do not experience any adverse impact from the transfer of services to another entity or to DFPS.

Turnover activities that must be performed by the Contractor include, but are not limited to:

12.13.1. Transfer of information including all client files (see Section

12.10.1 Individual Client Records) and other pertinent data to ensure continued operations by the new Contractor,

12.13.2. Ensuring all records are complete and up to date, and

12.13.3. Processing all SA Form 2054 disbursement requests received by the Contractor through the end date of the Contractor's contract with DFPS.

13. MINIMUM QUALIFICATIONS

Contractor, or its key personnel, responsible for the management of the Claims

Processing Services program must have:

13.1. Three years of full-time successful relevant business experience such as:

13.1.1. Payment processing for a State Agency, or a 3rd Party;

13.1.2. Providing services similar to those in the IFB;

13.1.3. Meeting timeframes similar to those in this contract; and

13.1.4. Processing multiple client requests of a sensitive nature.

13.2. Minimum Financial Requirements

The Contractor, or its key personnel, responsible for the financial and accounting aspects of the provision of the Claims Processing Services must have:

13.2.1. Three years of successful relevant financial experience, which must include:

13.2.1.1. Managing and accounting for the amount of funds equal to the minimum amounts identified in Table 3; and

13.2.1.2. Maintaining a billing and payment process.

13.3. Sufficient Resources

The contractor will maintain the requisite qualifications, experience, personnel, and the financial and other necessary resources to perform the Contractor's duties and obligations as required by, and in the manner required by, this Contract.

13.4. Financial Reserves Requirement

The Contractor should expect a two-month delay between the time the

Contractor incurs costs and the time that DFPS reimburses for disbursements issued. The Contractor must have sufficient financial resources, defined as cash or cash equivalent resources that are sufficiently liquid and available to the Contractor, that meets or exceeds the total amount for the desired DFPS region(s) to be served. The following identifies the initial two-month minimum sufficient financial resource requirements for each DFPS region.

Table 3

Financial Reserves Requirement

DFPS

Region Amount

$60,477

$16,715

$138,753

$28,934

$17,961

$111,746

$56,527

$19,606

$9,814

$61,299

Total

$521,832

13.4.1. The Contractor must submit evidence of the ability to fund 60 days of operations without payment from DFPS. Acceptable methods could be but are not limited to, bank account records, value of CD, line of credit, current financial statements, etc.

13.5. Service Area

Respondents will indicate the DFPS Region or Regions in which they are applying to provide services on one Bid Response Form with Pricing (Exhibit C).

A map of the DFPS Regions is available at the following website: http://www.dfps.state.tx.us/contact_us/map.asp.

14. COST OF SERVICES

Respondents must propose an administrative fee for each payment they process for Claims Processing services on Pricing Sheet and Minimum Qualifications (Exhibit C).

http://www.dfps.state.tx.us/contact_us/map.asp

15. CONTRACT TERM

15.1. Initial Contract Term

DFPS will award contracts that start on September 1, 2026, in the Contract and will end on August 31, 2031, with no renewal options. DFPS reserves the right to award contracts for a Contract Term of any duration.

15.2. DFPS will enter into a separate contract with the awarded Respondent for each DFPS

Region except Region 6.

15.3. Extension Option

DFPS, at is sole option and subject to availability of funding, may extend the Contract beyond the initial term and all renewal periods for up to one year as necessary to ensure continuity of service, to process a new solicitation, to secure a new contract, for purposes of transition to a new Contractor, or as otherwise determined by the HHS Agency.

This extension, if exercised, will require the Contractor to continue performing services in accordance with the Contract requirements and all terms and conditions.

16. UTILIZATION AND COMPENSATION

16.1. Historic Service Utilization

The utilization rate will vary according to the needs of DFPS staff, individual clients, and DFPS budgetary allocations. Actual utilization is within the discretion of DFPS.

16.2. Compensation

16.2.1. DFPS does not guarantee funding at any level and may increase or decrease funds at any time during the term of this contract.

16.2.2. Contractors may not use funds received from DFPS to replace any other federal, state, or local source of funds awarded under any other contract. Additionally, Contractors may not use DFPS funds as match (in-kind or cash match) for any other funding opportunity (grant application) in which the Contractor may be participating.

16.2.3. The payment methodology is fee-for-service.

16.2.4. One unit equals the disbursement amount and the administrative fee charged for each accurate and timely completed disbursement or applicable reissuance. See Table 4.

Table 4 Unit Rate for Claims Processing Services

Type of Referral

Administrative Fee

Regular Referral

Rate PENDING

Emergency Referrals (Declared by designating Overnight Delivery on Service Authorization.)

Regular Unit Plus Actual Cost of

Overnight Delivery Fees*

Reissuance Applicable According to Administrative Fee Schedule — Table 5 below

*Courier fees are not reimbursable

Administrative Fee Schedule — Table 5

Transaction Type Initial Administrative

Fee Applies

Additional Administrative

Fee Applies

Initial Disbursement Yes No

Disbursement Returned for Non-Use

Yes NA

Disbursement Reissued due to DFPS Error

Yes Yes

Disbursement Reissued Due to Contractor Error

Yes No

17. PRICING INFORMATION

17.1. Pricing Structure

Prices offered, as part of the Bidder’s response, must be firm, fixed prices for the initial term of the Contract.

The pricing must be submitted only using Exhibit C - Pricing Sheet based on the description and the unit of measure(s) provided for each line item. The unit prices must include all Solicitation requirements, including, but not limited to, labor, equipment, materials, supplies and all related expenses.

17.2. Price Adjustments

Contractors are required to immediately implement any price decrease that may become available during the contract term. Contractor must notify the designated

DFPS contract manager in writing so that a Purchase Order Change Notice or Contract Amendment may be processed. The Contractor will be provided the DFPS contract manager contact information upon award.

17.3. Price Adjustment Index

Price adjustments are not automatic. Prices only may be adjusted at the sole discretion of DFPS.

DFPS may permit price adjustments when correlated with the index as specified below and as published by the Bureau of Labor Statistics (BLS), Region VI, Washington, DC 20212.

BLS Website: https://data.bls.gov/cgi-bin/srgate

CPI-W Urban Wage Earners and Clerical Workers – Series ID: CWURR0000AA0:

https://data.bls.gov/timeseries/CWUR0000AA0

CPI-U All Urban Consumers – Series ID: CUUR0000AA0 https://data.bls.gov/timeseries/CUUR0000AA0

When using the most recent monthly information from the index, the following applies:

A = Index from the month of the Response Deadline of this Solicitation, OR

The effective date/month of the last approved price increase or renewal option exercised

B = Current or latest baseline index

The allowable percent change must be calculated as follows:

B-A ÷ A x 100% = Percent of allowable price increase or decrease

Failure by the Contractor to calculate this formula and provide any supporting documentation will not be considered a properly submitted price increase request.

The Contractor may offer price decreases in excess of the allowable percent change at any time during the term of the Contract.

17.4. Price Adjustment Requests

The Contractor must provide, in writing to the DFPS contract manager, a request for a price adjustment. The adjustment request must use the index and formula identified in Section 17.3 (Price Adjustment Index).

Contractor must provide supporting documentation to justify any price adjustment. Any request submitted that fails to use the formula above for calculating a price adjustment will not be considered a complete, properly submitted request. Additionally, any request submitted by a Contractor that does not include supporting documentation will not be considered a complete, properly submitted price adjustment request.

DFPS reserves the right to accept or reject the request for a price adjustment.

The Contractor will receive written notification, through a Purchase Order Change Notice or Contract Amendment, from the DFPS contract manager https://data.bls.gov/cgi-bin/srgate https://data.bls.gov/timeseries/CWUR0000AA0 https://data.bls.gov/timeseries/CUUR0000AA0 documenting action taken, to include effective dates, for any adjustments approved.

18. INVOICING AND PAYMENTS

No payment will be made without the submission of accurate and proper invoices to

DFPS based on completed services requests.

Invoices must be received at the DFPS designated location and in the format identified by DFPS in accordance with the Texas Prompt Payment Act (see Texas Government Code Chapter 2251).

19. INSURANCE

19.1. The Respondent agrees to comply with Insurance requirements in the DFPS Vendor Uniform Terms and Conditions (see Exhibit B).

19.2. The Contractor will provide DFPS with documentation that meets these requirements after contract award and prior to execution, which can include, but is not limited to, insurance policies, accords, certificates, and/ or self-insurance plans. DFPS reserves the right in its sole discretion to determine whether a document provided to DFPS meets the current minimum insurance requirements, coverage and/or limits. Governmental entities (e.g., state agencies, counties, universities) are exempt from DFPS insurance requirements.

If the coverage will be provided through an insurance policy(ies) or other similar insurance documents(s), then the issuing insurance company must be authorized to do business in the State of Texas and have “B” or higher rating.

If the coverage will be provided through self-insurance, then the plan submitted must demonstrate that it meets or exceeds the requirements.

If the coverage will be provided through another financial instrument, then the issuer must be authorized to do business in the State of Texas.

When an equivalent insurance coverage is submitted to satisfy the minimum insurance requirements, the Contractor’s insurance representative must submit written verification of the equivalency for the required minimum insurance coverage. DFPS reserves sole discretion to determine whether a document provided to DFPS meets the current minimum insurance requirements, coverage and/or limits.

The following current DFPS minimum insurance coverage and limits must be maintained throughout the resulting contract term:

• $1M Errors and Omissions insurance or equivalent insurance coverage to losses from errors and omissions during services with a minimum of $1,000,000.

• $50K Commercial Crime Insurance or equivalent insurance coverage must include third party or “client property” endorsement/coverage and this endorsement/coverage must be identifiable on the Certificate of Insurance or Self-insurance documentation.

19.3. Contractor Notice to DFPS of Any Material Changes

Contractor will immediately provide written notice to DFPS of any material changes to any document submitted under this Section; such notification also includes cancellation of coverage before the expiration date (i.e., end if policy period) of the applicable document.

19.4. Renewals or New Coverage during Contract Period

Contractor will be responsible for ensuring that any document submitted under this Subsection is current and in full force and effect. If the document has a period of coverage, then the Contractor will ensure that after each renewal, they immediately provide the new coverage document. In the event that the

Contractor obtains coverage from a new issuer or insurer, then the Contractor will immediately provide this document to DFPS

19.5. Request for Documents

Contractor will provide any required documents under this Subsection without expense or delay to DFPS.

20. REMEDIES AND DISPUTES

Respondent agrees to comply with the remedies and dispute requirements in the DFPS

Vendor Uniform Terms and Conditions (see Exhibit B).

21. REFERENCES

Respondents must submit with response a list of business references (minimum of three) for which they have provided similar services for in the last two years – see Respondent

Reference Form (see Exhibit D). Respondent’s references should include at a minimum the company name, company point-of-contact, phone number, address, city, state, zip code and description of services provided, including language(s) interpreted (see Respondent Reference Form (Exhibit D). Failure to submit required list of references may cause response to be disqualified. HHSC/PCS may contact any or all references prior to an award. Any negative response may result in disqualification of the Respondent’s submittal.

22. MINOR INFORMALITY OR WITHDRAWAL OF RESPONSE

Responses may be withdrawn from consideration at any time prior to the response submission deadline. A written request for withdrawal must be made to the HHSC/PCS sole point of contact. A Respondent has the right to amend its response at any time and to any degree by written notice of changes or corrections in a sealed letter or carton to the

Response Coordinator prior to the response submission deadline. HHSC reserves the right to waive minor informalities in a response and award a contract that is in the best interests of the State of Texas. A minor informality may include, but is not limited to, a minor irregularity or error such as a clerical error in the production of copies of the response. When HHSC determines that a response contains a minor informality, HHSC will notify the

Respondent of the irregularity or error and will provide the Respondent the opportunity to correct.

23. EVALUATION

Any negative result concerning submission information, references or forms may cause response to be disqualified.

In evaluating responses to determine the best value for the State, HHSC/PCS may consider information related to past contract performance/results of a Respondent including, but not limited to CPA’s Vendor Performance Tracking System.

All responses will be evaluated in a standard manner and will be rated according to the following criteria:

23.1 Cost of Services Specified In IFB

Costs of services are significant in the overall evaluation of the responses. However, DFPS is not obligated to select the lowest cost response. The award will be made to the Respondent(s) whose responses are most advantageous to DFPS. Cost and other factors considered.

23.2 EXPERIENCE AND PERFORMANCE RECORD

DFPS reserves the right to consider Respondent’s experience with this agency or contact individuals or businesses, whether private or governmental, which might have information bearing on the performance record of respondents.

23.3 CAPABILITIES

Evaluation will be based upon your response to this IFB, overall experience, and Respondent’s capabilities with particular emphasis on the degree of supervision and number of employees that will be provided to perform this Contract.

24. AWARD

24.1 DFPS has the right to make one or more awards on the basis of a low line item, low total (group or groups) or in any other combination, to the lowest Respondent meeting or exceeding all advertised specifications, performance requirements, and terms and conditions, that will best serve the interests of the State. DFPS will be sole judge of “the best interest of the State.”

24.2 A contract award or awards will be made to the highest-ranked Respondent(s) after

DFPS is satisfied that the Respondent has met stipulations contained in this IFB, and that the Respondent can perform per specifications, terms, and conditions. DFPS may also opt not to issue an award with regard to this IFB. During the life of this Contract, DFPS reserves the right to solicit for services that would normally be performed/accomplished using this Contract if it deems that by doing so would be in the best interest of the State.

25. PROTEST PROCEDURES

Texas Administrative Code, Title 1, Part 15, Chapter 391, Subchapter C outlines HHSC’s respondent protest procedures.

26. CONFIDENTIAL OR PROPRIETARY INFORMATION

26.1. Bidder Requirements Regarding Disclosure

Proposals and contracts are subject to the Texas Public Information Act (PIA), Texas Government Code Chapter 552, and may be disclosed to the public upon request.

Other legal authority also requires HHSC to post certain contracts and Solicitation responses on its public website and to provide such information to the Legislative

Budget Board for posting on its website.

http://www.window.state.tx.us/procurement/prog/vendor_performance/ https://texreg.sos.state.tx.us/public/readtac$ext.ViewTAC?tac_view=5&ti=1&pt=15&ch=391&sch=C&rl=Y https://statutes.capitol.texas.gov/Docs/GV/htm/GV.552.htm https://statutes.capitol.texas.gov/Docs/GV/htm/GV.552.htm

Under the PIA, certain information is protected from public release. If Bidder asserts that information provided in its Solicitation Response is exempt from disclosure under the PIA, Bidder must:

1. Mark Original Proposal

a. Mark the Original Proposal, on the top of the front page, with the words

“CONTAINS CONFIDENTIAL INFORMATION” in large, bold, capitalized letters (the size of, or equivalent to, 12-point Times New Roman font or larger); and

b. Identify, adjacent to each portion of the Solicitation Response, that Bidder claims is exempt from public disclosure, the claimed exemption from disclosure (NOTE: no redactions are to be made in the Original Solicitation Response).

2. Certify in Original Solicitation Response - HHS Solicitation Affirmations (Exhibit A)

a. Certify, in the designated section of the HHS Solicitation Affirmations, Bidder’s confidential information assertion and the filing of its Public Information Act Copy; and

b. Submit Public Information Act Copy of Proposal

i. Submit a separate “Public Information Act Copy” of the Original Proposal (in addition to the original and all copies otherwise required under the provisions of this Solicitation).

ii. The Public Information Act Copy must meet the following requirements:

1. The copy must be clearly marked as “PUBLIC INFORMATION ACT

COPY” on the front page in large, bold, capitalized letters (the size of, or equivalent to, 12-point Times New Roman font or larger);

2. Each portion Bidder claims is exempt from public disclosure must be redacted (blacked out); and

3. Bidder must identify, adjacent to each redaction, the claimed exemption from disclosure. Each identification provided as required in Subsection

(c) of this section must be identical to those set forth in the Original

Proposal as required in Subsection (a)(2), above. The only difference in required markings and information between the Original Proposal and the “Public Information Act Copy” of the proposal will be redactions -which can only be included in the “Public Information Act Copy.” There must be no redactions in the Original Proposal.

By submitting a…