ESBD_File_342330_HHS0014090 RFP Executive Search Firm for TPI.pdf

RFP No. HHS0014090 Page 1 of 41

Cecile E. Young, Executive Commissioner

Request for Proposals (RFP) for

Executive Search Firm for Texas Pharmaceutical Initiative (TPI)

RFP No. HHS0014090

Date of Release: November 22, 2023

Responses Due: December 22, 2023, by 10:30 a.m. Central Time

NIGP Class / Item Code:

961-30 Employment Agency and Search Firm Service (Including Background Investigations and Drug Testing for Employment

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Contents Article I. Executive Summary, Definitions, and Authority

1.1 Introduction

1.2 Definitions

1.3 Authority

Article II. Scope of Work

2.1 Background

2.2 Pre-Recruitment Phase

2.2.1 Search Strategy Plan

2.2.2 Search Committee Establishment

2.2.3 Recruitment Preparation

2.3 Recruitment Phase

2.3.1 Search Committee

2.4 Post-Recruitment Phase

2.5 General Requirements

2.5.1 Weekly Status Meetings

2.5.2 Weekly Status Reports

2.5.3 Other

2.6 Supplemental Services

2.6.1 Additional Staff Searches

2.6.2 Development of Criteria of Board Requirements

2.6.3 Supplemental Services Process

2.7 Ownership and Licensing

2.8 Contract Administration

2.8.1 Deliverables Submission and Acceptance Processing

2.8.2 Staffing Requirements

2.8.3 Invoicing

2.8.4 Invoice Format Requirements for HHSC

2.9 Contract Award, Term, and Historical Compensation

2.9.1 Contract Award and Execution

2.9.2 Contract Term

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2.9.3 No Guarantee of Volume, Usage, or Compensation

2.10 Payment Structure

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

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 Option

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

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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

4.2.7 Final Written Response Score

4.2.8 Summary of Best Value Determination

4.3 Questions or Requests for Clarification

Article V. Solicitation Response Composition

5.1 Narrative Proposal

5.1.1 Executive Summary

5.1.2 Project Work Plan

Article VI. Required Respondent Information

6.1 Company Information

6.1.1 Company Narrative

6.1.2 Company Profile

6.1.3 Key Staffing 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 Workbook

7.1 Cost Workbook

Article VIII. General Terms and Conditions

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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

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. EXECUTIVE SUMMARY, DEFINITIONS, AND AUTHORITY

1.1 INTRODUCTION

Texas Health and Human Services Commission (HHSC), on behalf of the Texas Pharmaceutical Initiative (TPI), issues this Request for Proposals (RFP) to solicit Solicitation Responses from qualified vendors to provide Executive Search Firm Services (“Services”) as described more specifically in Article II, Scope of Work, of 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, a Respondent 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 HHSC and its programs is available online and can currently be accessed at https://www.hhs.texas.gov.

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 Monday through Friday, from 8:00 a.m. to 5:00 p.m. local time. Business Day excludes Saturday, Sunday, and State-approved holidays (i.e., federal, state, or agency-designated holidays).

“Competitive Range” has the same meaning as the definition under Title 1 of the Texas Administrative Code Part 15, Chapter 391, Subchapter A, Rule §391.107(3).

“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.

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

https://www.hhs.texas.gov/ 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=1&pt=15&ch=391&rl=107

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“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.

“Executive Director” or “ED” means Texas Pharmaceutical Initiative’s (TPI’s) Executive Director.

“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.

“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 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 Contract Term.

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

“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.

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

“Texas Pharmaceutical Initiative” or “TPI” means the entity established under Subtitle D, Title 10, Chapter 2177 of the Texas Government Code.

“TPI Advisory Council” means the Texas Pharmaceutical Initiative Advisory Council established under Chapter 2177 to advise the TPI Board in implementing this chapter and carrying out the duties imposed on the TPI Board under this chapter.

“TPI Board” means the governing board of the TPI composed of three members appointed by the governor.

“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.

http://www.txsmartbuy.com/esbd 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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1.3 AUTHORITY

HHSC is soliciting the Services stated in this Solicitation pursuant to Chapters 2155.061 and 2156 of the Texas Government Code, to the extent applicable, and Chapter 2177 of the Texas Government Code.

ARTICLE II. SCOPE OF WORK

2.1 BACKGROUND

Pursuant to Chapter 2177 of the Texas Government Code, TPI has been established to provide cost-effective access to prescription drugs and other medical supplies for: (1) employees, dependents, and retirees of public higher education systems and institutions; (2) Employees Retirement System of Texas members; (3) Teacher Retirement System of Texas members; (4) persons confined by the Texas Department of Criminal Justice or the Texas Juvenile Justice Department; and (5) individuals served by a program operated or administered by the HHS system, as that term is defined by Texas Government Code , Chapter 531, Section 531.001. Additionally, to carry out the purposes and implement this initiative, the TPI Board may (1) hire and employ an Executive Director and necessary personnel to provide administrative support; (2) execute contracts and other instruments and conduct all activities the TPI Board considers necessary for those purposes; authorize one or more board members; (3) authorize one or more board members to execute contracts and other instruments on behalf of the Board; and (4) establish a committee or other similar entity to exercise powers delegates by the Board and exercise any other administrative duties or powers as the TPI Board considers necessary. In accordance with Chapter 2177 of the Texas Government Code, TPI is administratively attached to HHSC, and HHSC shall provide administrative support services to the TPI Board as necessary to carry out its purpose.

The Executive Director is expected to coordinate with the TPI Board to develop and submit a business plan no later than October 1, 2024.

Contractor must provide Services to hire and employ an Executive Director and, if requested by HHSC or the TPI Board, other executive personnel needed to provide administrative support to the TPI Board in accordance with all applicable federal and/or state policies, rules, and regulations.

Services provided will include securing positions responsible for managing TPI. If a position that the Contractor secured is then vacated during the Contract Term, the Contractor may be required to secure that position again.

Upon Contract award, Contractor shall promptly execute a search and provide recommendations to the TPI Board to fill the Executive Director position. Activities for recruitment of the Executive Director must commence upon execution of the Contract.

HHSC will designate an individual from HHSC staff to be the HHSC-designated TPI representative to organize the TPI Board’s efforts and communicate directly with the Contractor.

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2.2 PRE-RECRUITMENT PHASE

The Contractor shall coordinate with HHSC-designated TPI representative to carry out the Pre- Recruitment Phase, which includes developing job descriptions and a Search Strategy Plan.

Contractor will also coordinate with HHSC and the TPI Board to establish a timeline in which all requirements of this RFP shall be completed. If directed by the TPI Board, the Contractor shall also establish a search committee to coordinate with the Contractor on behalf of the TPI Board.

The Pre-Recruitment Phase must commence upon execution of the Contract and the Contractor shall begin work to identify potential candidates, whether the TPI Board has been appointed or not.

2.2.1 Search Strategy Plan

Contractor shall develop a customized Search Strategy Plan, in accordance with all applicable federal and/or State laws and regulations, outlining how the Contractor will source, identify, and verify prospects. The Search Strategy Plan is subject to review and approval by the TPI Board and/or HHSC prior to implementation.

The Search Strategy Plan must include how the Contractor will:

a. Launch an executive search on behalf of TPI to hire the TPI Executive Director (ED);

b. Employ rigorous results-focused methodologies, exercise objective judgment and operate with the utmost integrity and confidentiality during the executive search;

c. Communicate with the TPI Board through all the phases of the search and selection process;

d. Develop the position announcement, utilizing Exhibit H, Texas Pharmaceutical

Initiative - Executive Director Profile as a basis, for the ED;

e. Develop the position announcement for other TPI positions if requested;

f. Implement a Recruitment Plan as described in Section 2.2.1.1 (Recruitment Plan);

g. Select top candidates to recommend to the TPI Board for interview and selection;

h. Conduct reference checks on candidates;

i. Develop questions for interviews and conduct interviews; and

j. Notify candidates who have been eliminated from further consideration.

2.2.1.1 Recruitment Plan

The Recruitment Plan is a component of the Contractor’s Search Strategy Plan. The Recruitment Plan will identify activities (e.g., advertising, outreach) that will be utilized to recruit a strong and diverse pool of candidates and show that the Contractor is committed to seeking out qualified candidates of all backgrounds. Additionally, the plan must contain specific milestones and corresponding timeline to be utilized in the recruitment process.

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2.2.2 Search Committee Establishment

The TPI Board may request Contractor to establish a search committee and designate the search committee to coordinate with the Contractor on behalf of the TPI Board to advise and administer the recruitment and selection process, as necessary. The TPI Board shall determine the size and members of the search committee, which may be composed of members of the TPI Board, HHSC, the Office of the Governor, or another State agency.

If directed by the TPI Board, the Contractor shall interact with the TPI Board to establish a search committee to launch an executive search on behalf of TPI. The duties of the search committee are to help generate and evaluate a strong pool of executive candidates, and to advise the TPI Board of the best-qualified candidate(s) to lead the organization. Search committee members would play a key role in interviewing candidates and participating fully in committee activities.

HHSC will collaborate with the TPI Board and Contractor to establish the search committee, to appoint a search committee chair, and determine in detail the responsibilities of the search committee and how it will communicate with HHSC, the TPI Board, and Contractor.

2.2.3 Recruitment Preparation

a. Contractor shall assist the TPI Board to define and develop written position descriptions and supporting materials that will be used in marketing executive level positions and identify salary ranges and typical benefits packages for similarly situated positions.

b. Contractor shall develop a Recruitment Plan as detailed in Section 2.2.1.1 (Recruitment Plan).

c. Contractor shall coordinate with the TPI Board to develop selection criteria based on the position profile and the job descriptions or general outline of the positions(s), and the position(s) role within the TPI.

d. Contractor shall coordinate with the TPI Board to ascertain required information regarding ideal candidates for the position.

e. Contractor shall develop a candidate profile, including the knowledge, skills, and abilities required to become a successful candidate for each position.

f. Contractor shall coordinate with the TPI Board to ensure candidates meet the requirements of the candidate profile.

g. Contractor shall develop a strategy specifically designed to attract a diverse pool of highly qualified and competitive candidates and review the strategy with HHSC and TPI Board.

h. Contractor shall identify a diverse pool of qualified candidates that include national, regional, in-state, and local candidates.

i. Contractor shall market the position and engage in targeted outreach using and identify candidates aligned to the selection criteria.

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j. Contractor shall engage HHSC and the TPI Board to participate in recruitment process and needed.

k. Contractor shall use a secure mechanism or tool to intake information from candidates and share complete information with HHSC and the TPI Board.

l. Upon approval from the TPI Board and HHSC, Contractor shall prepare and place advertisements for each position in appropriate platforms. Contractor must follow EEOC guidelines (https://www.eeoc.gov/laws/practices) that apply to job advertisements and recruitment.

2.3 RECRUITMENT PHASE

The Contractor shall provide recruitment services for TPI to hire an Executive Director and, if requested by the TPI Board, any other necessary executive personnel. In coordination with the TPI Board and HHSC, and in accordance with all applicable federal and/or State laws and regulations, the Contractor shall:

a. Execute a search for candidates with qualifications meeting the position profile and coordinate with the TPI Board to compile a list of suitable target candidates;

b. Conduct direct outreach to listed candidates;

c. Screen potential candidates for suitability and, for candidates meeting minimum qualifications,

d. Follow up screenings with telephone interviews to clarify each candidate’s credentials;

determine their level of interest and seriousness in applying for and pursuing the position, and anticipate potential obstacles (i.e., salary, relocation information, etc.) to candidates' applying for and actual fulfillment of position;

e. Through weekly meetings, keep TPI Board apprised of screening activities;

f. Conduct routine reference checks of candidates;

g. Provide candidates an appropriate application and demographic voluntary self-identification information for the position and develop candidate profiles that include, at minimum, comprehensive education and work experience, reference information, and any other relevant background information;

h. Provide a list of candidates and respective candidate profiles that the Contractor determines to have the most promising qualifications and advise the TPI Board of the quality of this pool of candidates;

i. Conduct in-depth reference checks of the candidates the Contractor determines to be the most promising by communicating with individuals who are or have been in a position to evaluate the candidates’ performance on the job. Through these reference checks, Contractor shall ascertain the strengths and personal characteristics that would qualify each https://www.eeoc.gov/laws/practices

RFP No. HHS0014090 Page 12 of 41 candidate for the position, and recommend to HHSC and the TPI Board areas where TPI Board should delve deeper during the interview process;

j. Design and finalize the interview process, which must include, at minimum, interview questions, panel makeup, scheduling, and interview location;

k. Support and assist TPI Board and search committee (if applicable) during all candidate interviews by preparing the TPI Board and search committee for interviews, executing the interview process, and assisting in the assessment process;

l. Coordinate with the TPI Board the candidates’ participation in interviews;

m. Verify the educational histories of the finalists the position, provide in-depth references and background checks for finalist candidates including candidate litigation history and publicly available websites and suggest any recommended additional background investigation; and

n. Assist the TPI Board in negotiating offers of employment and onboarding the placed candidate(s) into the designated positions (e.g., coordinating start date and associated considerations, such as relocation).

TPI Board understands that in conducting the search process and the reference and educational background checks, Contractor will rely on information given to it by sources, candidates, references and private contacts, and that Contractor does not warrant the veracity of such information. Information available to Contractor that may assist in determining veracity and completeness will be provided by Contractor to the TPI Board.

2.3.1 Search Committee

If a search committee is established, Contractor shall, work closely with the search committee to:

a. Continually inform the TPI Board of the progress in the search without breaking candidate confidentially.

b. Identify a point person to manage all administrative scheduling and work on behalf of the committee if needed.

c. Provide a recommendation for hire.

d. Present the finalist to the TPI Board and explain the process of how the search committee came to select the finalist(s).

e. Maintain accountability of the search committee members by enforcing timelines and milestones pertinent to the executive search.

f. Create and communicate clear expectations that all public meetings, interviews, and candidate interactions are completed with positivity, professionalism, and confidence by the search committee.

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2.4 POST-RECRUITMENT PHASE

Upon placement of a candidate, the Contractor shall coordinate with HHSC and the TPI Board to conduct the Post-Recruitment Phase. All activities must be in accordance with all applicable federal and/or State laws and regulations. The Contractor shall:

a. Debrief with the TPI Board following interviews and consider additional candidates, if required.

b. Notify candidates who are not selected.

c. Provide a plan for mitigating a failed search within thirty (30) calendar days of a candidate’s start date.

d. Guarantee each placement for a period of twelve (12) months, beginning on the selected candidate’s start date. If a placed candidate leaves their position within twelve (12) months of the start date, or if a placed candidate is terminated by the TPI within twelve (12) months of their start date, Contractor shall conduct a new search to replace the candidate for no additional fee. This guarantee excludes candidates who leave because of an TPI-initiated reduction in force, organizational realignment, or restructuring; or because of a material change in job duties, compensation or title. Additionally, Contractor shall not recruit the placed candidate for consideration at another position during the first two (2) years of their tenure at TPI.

e. Maintain all documents relating to the search effort according to HHSC’s records retention schedule and make those documents available to the TPI Board as requested. Examples of such documents include, but are not limited to:

1. Job announcements or advertisements;

2. Specific efforts to diversify the applicant pool;

3. Letters of application and resumes;

4. Communications between candidates and search committees;

5. Screening tools, questions used for interviews and reference checks; and

6. Documents used by the committee in the evaluation process (e.g., screening tools, completed rating sheets, interview feedback forms, etc.).

2.5 GENERAL REQUIREMENTS

In addition to phase-specific requirements identified in Section 2.2 (Pre-Recruitment Phase), Section 2.3 (Recruitment Phase) and Section 2.4 (Post Recruitment Phase), Contractor shall comply with the requirements for weekly status meetings, the Weekly Status Report, and other additional activities described in this section during the search process.

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2.5.1 Weekly Status Meetings

Contractor shall coordinate and conduct weekly status meetings during an active search (or any other frequency agreed upon by HHSC, the TPI Board, and Contractor), with HHSC and the TPI Board. Contract shall provide an agenda for each meeting at least twelve (12) hours prior to each meeting. The weekly status meeting will be held to discuss:

a. Project requirements;

b. Upcoming activities;

c. Logistics;

d. Constraints;

e. Expectations and next steps;

f. Services and deliverables; and

g. Address any issues and make changes to the recruitment process, as needed.

2.5.2 Weekly Status Reports

Contractor shall provide a Status Report to HHSC and the TPI Board one (1) Business Day following each Weekly Status Meeting. The Status Report must include all relevant information discussed during the meeting, including, but not limited to:

a. Status of activities and key milestones;

b. Accomplishments;

c. Progress updates on all active searches;

d. Pending and open issues; and

e. Risks and possible issues along with a mitigation strategy, as applicable.

2.5.3 Other

a. Contractor shall identify if there are any other activities beyond activities described in this

RFP that would be relevant to the search that would result in a qualified pool of candidates.

b. Contractor shall coordinate with the HHSC point of contact and the TPI Board through all the phases of the search and selection process.

c. Contractor shall attend meetings of the TPI Board if requested by the TPI Board or HHSC during selection interviews and other stages of the recruitment process.

2.6 SUPPLEMENTAL SERVICES

To accommodate future business objectives, HHSC may request the Contractor perform supplemental services during the Contract Term. Supplemental services are aligned with the original purpose of the Contract and reasonably related to the scope of the Solicitation.

Upon HHSC request, Contractor shall provide supplemental services related to providing guidance on the organizational structure of TPI.

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2.6.1 Additional Staff Searches

The TPI Board may request the Contractor to provide searches for filling additional executive positions for TPI yet to be determined. These positions may include Chief Pharmacy Officer, Quality Assurance Director, Operations Director, Regulatory and Compliance Director, Clinical Director, and other positions as directed by the TPI Board.

2.6.2 Development of Criteria of Board Requirements

Contractor will provide the TPI Board, and any designated stakeholders, monthly status reports to ensure progress of supplemental services is on track, advise any blocking issues encountered, and/or support needed to be successful at completing the Work requirements.

2.6.3 Supplemental Services Process

If HHSC requests supplemental services, Contractor will promptly prepare a high-level estimate using the hourly rate for supplemental services proposed in the entity’s Response and the number of work hours anticipated to complete the service.

Unless otherwise agreed by the Parties, the Contractor will respond in writing to HHSC’s supplemental services request on or before the tenth (10th) Business Day following the date of receipt of HHSC’s request.

In response to HHSC’s supplemental services request, Contractor shall provide a Supplemental Services Plan which will include, at a minimum, the following information, properly itemized and supported by sufficient substantiating information (e.g., documentation by Subcontractors performing the Services), to permit evaluation by HHSC:

a. A plan and high-level price estimate for the supplemental service;

b. A detailed breakdown of the pricing estimate;

c. The estimated level of effort (Service hours);

d. A description of the performance metrics to be associated with the supplemental service;

e. A schedule for commencing and completing the Supplemental Service;

HHSC, at its sole discretion, may accept or reject any Supplemental Services Plan. Upon HHSC’s acceptance of the Contractor’s Supplemental Services Plan, the Contract will be amended to include the addition of such supplemental services.

If conducting Supplemental Services, Contractor performs work related to the investigation of any proposed change to existing services or the development of the Supplemental Service Plan(s) at no cost to HHSC or TPI. In addition, Contractor is responsible for all costs associated with providing supplemental services that: (1) deviate from the HHSC-approved Supplemental Services Plan, (2) commence prior to the date of the applicable Contract amendment, or (3) exceed the fees specified in the applicable Contract amendment.

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2.7 OWNERSHIP AND LICENSING

Ownership of all data, materials and documentation originated and prepared for HHSC and TPI pursuant to the Solicitation shall belong exclusively to HHSC and TPI.

2.8 CONTRACT ADMINISTRATION

2.8.1 Deliverables Submission and Acceptance Processing

During the Contract Term, the Contractor is responsible for providing specified deliverables to HHSC. Upon approval by HHSC, The Contractor will make all deliverables available to HHSC electronically, on or prior to, the applicable due dates as agreed upon by HHSC and TPI. All deliverables must be provided to and approved in writing by the assigned HHSC contract manager.

HHSC will monitor Contractor’s performance of the requirements under the Contract and reserves the right to address performance issues in accordance with Article IX (Contract Remedies and Early Termination) of Exhibit B, HHS Uniform Terms and Conditions Vendor Version 3.4.

The Deliverables consist of: (1) Weekly Status Reports; (2) Search Strategy Plan, which includes the Recruitment Plan; (3) A plan for mitigating a failed search, if applicable; and (4) Monthly Status Report on Supplemental Services, if applicable.

HHSC and TPI reserve to right to request additional reporting during the Contract Term, including if supplemental services (see Section 2.6 (Supplemental Services)) are performed.

2.8.2 Staffing Requirements

Contractor key staff must have demonstrated experience, qualifications, skillsets, and possess knowledge and expertise in conducting activities consistent with the requirements of the Scope of Work. Contractor shall keep key staff assigned to the project throughout the duration of the phase in which they are proposed to be performing, for as long as the key staff are employed by the Contractor, unless replaced by the Contractor at the request of HHSC or the TPI Board or as described in the paragraphs below.

Key staff must be available to work on the project once an award is made and the Contract is signed. All key staff proposed must be approved by HHSC prior to the start of the project. Any replacement or substitution of key staff will require written approval from HHSC prior to replacement or substitution.

Any replacement key staff allocated by the Contractor to perform services under the Contract must have qualifications for the assigned position that equal or exceed those of the person being replaced, unless approved by HHSC and HHSC-designated TPI representative.

2.8.3 Invoicing

Each invoice submitted must identify the Purchase Order number, the Contract number, the time period and line-item description for each deliverable. Upon receipt of a correct invoice, including required supporting documentation if requested by HHSC, HHSC will make payment in accordance with the Chapter 2251 of the Texas Government Code, or the “Texas Prompt Payment

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Act”. The Contractor shall submit invoices by the fifth (5th) Business Day of the month in the format prescribed by HHSC.

Payment will be made only to the Contractor. No payments will be made to any third party or subcontractor. Any invoices received for parties other than the Contractor will not be paid.

2.8.4 Invoice Format Requirements for HHSC

Invoices must comply with standards set forth in Title 34, Texas Administrative Code, Part 1, Chapter 20, Subchapter F, Division 1, Rule §20.487. All invoices must include a description of services and deliverables and all fee(s), costs, expenses, and other charges claimed with respect to such services and deliverables.

The Contractor must submit invoices and supporting documentation, if requested by HHSC, to HHSC_AP@hhs.texas.gov and copy medical_and_social_services@hhs.texas.gov. The Contractor must use the following naming convention in the subject line when emailing invoices:

“Invoice Submission. Contractor Name. Invoice Number. Invoice Amount. Purchase Order number (if applicable). Service Date or Month of Service.”

2.9 CONTRACT AWARD, TERM, AND HISTORICAL COMPENSATION

2.9.1 Contract Award and Execution

HHSC intends to award one Contract as a result of this Solicitation. Any award is contingent upon approval of the HHSC executive commissioner or their designee.

State funds for this Contract are authorized under the 88th Legislature, Regular Session, Texas General Appropriations Act, Article IX, Section 18.35. Any Contract is subject to the availability of appropriated state funds and any modifications or additional requirements that may be imposed by law.

If, for any reason, a final Contract cannot be executed with a Respondent selected for award within 30 days of HHSC’s determination to seek to contract with that Respondent, HHSC may negotiate a Contract with the next highest-scoring Respondent or may withdraw, modify, or partially award this Solicitation.

2.9.2 Contract Term

The initial term of any Contract resulting from this Solicitation will be two (2) years. HHSC, at its sole option, may extend or renew any Contract awarded pursuant to this Solicitation for up to one

(1) additional year.

2.9.3 No Guarantee of Volume, Usage, or Compensation

HHSC 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.

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

https://texreg.sos.state.tx.us/public/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=20&rl=487 https://texreg.sos.state.tx.us/public/readtac$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=487

RFP No. HHS0014090 Page 18 of 41

2.10 PAYMENT STRUCTURE

Payment for Services described in the Solicitation will be based on multiple pricing structures, depending on the specific service and/or deliverable required and whether the Contractor correctly performed the required service and/or deliverable.

The methods by which the Contractor will be paid for under the Contract include:

a. For the TPI Executive Director Search and other Search(es) authorized by HHSC.

Contractor will be paid on an All-Inclusive Fee per Search ($/Search) basis upon successful completion of each Search. The All-Inclusive Fee per Search ($/Search) will be the lowest of either the All-Inclusive Fixed Fee per Search provided in Pricing Schedule 1 of Exhibit I, Cost Workbook, OR the All-Inclusive Fixed Percentage of the first-year salary of the hired candidate provided in Pricing Schedule 2.

b. Pass-Through Items. Pass-through items will not be paid separately by the state.

Respondent must include expenses related to pass-through items in with the fixed fees proposed by the Respondent.

c. Supplemental Services. Compensation for Supplemental Services requested by HHSC, will be on an All-Inclusive Blended Hourly Rate Not to Exceed (NTE) Amount based upon successful completion of a requested Service. The hourly rate shall be calculated by multiplying the hourly rate by the number of hours actually worked and partial hours will be determined by rounding to the nearest half hour according to the following:

1. less than 15 minutes - round to zero (0) hours;

2. 15 minutes to 45 minutes (inclusive) - round to 1/2 hour; and

3. 46 minutes or more - round to one (1) hour.

Services rendered by the Contractor personnel in excess of forty hours per week, on official holidays, or lunch hours, will be at the hourly rate, and only upon written approval of the HHSC Contract Manager prior to work commencing.

d. Search Cancellation. HHSC has the right to cancel a search at any time with a thirty (30) day advance written notice. If HHSC decides to cancel a search, HHSC will only be financially obligated to pay the accrued fees and expenses as of the cancellation date. The only exception is that a cancellation during the first month of the search incurs an obligation of one installment of the fee, plus out-of-pocket expenses.

ARTICLE III. ADMINISTRATIVE INFORMATION

3.1 SCHEDULE OF EVENTS

EVENT DATE/TIME

Solicitation Posting Date to ESBD NOVEMBER 22, 2023

RFP No. HHS0014090 Page 19 of 41

Pre-proposal Conference *Attendance is Optional and Strongly Recommended

NOVEMBER 30, 2023, at 2:00 PM Central Time

Deadline for Submitting Questions or Requests for Clarification

DECEMBER 1, 2023, at 12:00 PM Central Time

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

DECEMBER 6, 2023

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

DECEMBER 22, 2023, at 10:30 AM Central Time

Anticipated Notice of Award FEBRUARY 2024

Anticipated Contract Start Date FEBRUARY 2024

Respondent must submit their Solicitation Response to HHSC in accordance with the due date and time indicated in this Schedule of Events or as changed by an Addendum posted to the ESBD.

NOTE: All dates are tentative and HHSC reserves the right to modify these dates at any time. At the sole discretion of HHSC, 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, HHSC, 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 Section 3.3.1 (Sole Point of Contact) 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 Section 3.3.1 (Sole Point of Contact) of any ambiguity, conflict, discrepancy, exclusionary specification, omission, or other error in the Solicitation, then Respondent, whether awarded a Contract or not:

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

RFP No. HHS0014090 Page 20 of 41

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

b. Must not contest the interpretation by HHSC 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.

Name Rene Perez, CTCD

Title PCS Purchaser

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

Phone 512-406-2634

Email Rene.Perez03@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 HHSC regarding the Solicitation. HHSC, 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 HHSC 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

The following is an exception to Section 3.3.1 (Sole Point of Contact):

RFP No. HHS0014090 Page 21 of 41

Where it is expressly directed by the Sole Point of Contact that another designated HHSC 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.

3.3.4 Solicitation Questions

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

Questions must be submitted by e-mail to the Section 3.3.1 (Sole Point of Contact) 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.

HHSC reserves the right to amend answers previously posted, prior to the Solicitation response deadline in the Section 3.1 (Schedule of Events). Amended answers will be posted on the ESBD.

It is the Respondent's responsibility to check the ESBD. HHSC 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 I, Cost Workbook”); and

4. Question for HHSC.

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 HHSC 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

3.4.1 Attendance

HHSC PCS will conduct a pre-proposal conference. Attendance is optional but highly recommended.

RFP No. HHS0014090 Page 22 of 41

Attendees to virtual pre-proposal conferences are required to send an email to the Section 3.3.1 (Sole Point of Contact), advising of participation in the pre-proposal conference. Attendees must provide their name, phone number, and name of the company they are representing regardless of whether the pre-proposal conference is in-person or virtual.

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.

Webinar Information:

https://attendee.gotowebinar.com/register/2858473380726875488

1-562-247-8422

At prompt enter passcode: 447-587-011

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, HHSC 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. HHSC 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 HHSC 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, see 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/2858473380726875488

RFP No. HHS0014090 Page 23 of 41 promotional materials, etc. are not necessary or desired. Respondent should focus on the instructions and requirements of the Solicitation.

3.5.2 Page Limit and Supporting Documentation

The narrative proposal should not exceed ten (15) 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, HHSC 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, HHSC, 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,” HHSC will disqualify the Solicitation Response and it will not be evaluated. HHSC 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 the Solicitation Response.

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 D 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 D 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 HHSC.

3.5.5 Assumptions

Respondent must identify, on Exhibit E, Assumptions Form, any business, economic, legal, programmatic, or practical assumptions that underlie the Respondent’s response to the Solicitation.

HHSC reserves the right to accept or reject any assumptions. All assumptions not expressly identified and incorporated into any Contract resulting from this RFP are deemed rejected by

HHSC.

RFP No. HHS0014090 Page 24 of 41

3.5.6 Binding Offer

A Solicitation Response should be responsive to the Solicitation as worded and…