ESBD_File_352773_RFO-001-FY24 Electronic Procurement Solution.pdf

Department of Information Resources

Request for Offer

RFO-001-FY24

Electronic Procurement Solution

Commodity Item Commodity Item Description Commodity Class Commodity Class Description

920 DATA PROCESSING, COMPUTER,

PROGRAMMING, AND SOFTWARE SERVICES

Application, Infrastructure, Hosting, Data Hosting and Cloud Computing Services, Vendor Hosted and Internally Hosted

COMPUTER SOFTWARE FOR

MICROCOMPUTERS, SYSTEMS, INCLUDING

CLOUD-BASED (PREPROGRAMMED)

46 E-Commerce Software

COMPUTER SOFTWARE FOR

53 Integrated Software

COMPUTER SOFTWARE FOR

Procurement Software

RFO-001-FY24

Version 1.3 Page 2 of 28 Rev. 5/19/23

Issued: March 5, 2024

Responses Due: March 15, 2024, 2:00pm CST

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SOLICITATION CONTENTS

The list below contains a summary of the documents comprising this Request for Offer (RFO) issued by DIR. The Successful Respondent shall be responsible for fulfilling all requirements contained in these documents.

RFO-001-FY24 (this document)

a. Attachments

Attachment 1: Statement of Work

Attachment 2: Standard Contract Terms and Conditions

b. Exhibits

Exhibit A: Respondent Information (including Appendix 1, List of Respondent’s Canceled Contracts)

Exhibit A1: Exceptions Table

Exhibit B: Respondent History and Experience

Exhibit C: Acronyms & Definitions

Exhibit D: HUB Subcontracting Plan (HSP) Sample Form

Exhibit E: Itemized Pricing

Exhibit I: Policy Driven Adoption for Accessibility (PDAA) for Vendor Self- Assessment

Exhibit J: Accessibility Conformance Report (ARC also referred to as VPAT)

Exhibit K: Vendor Accessibility Development Services Information Request

(VADSIR)

Exhibit L: POL-604-10 DCS RFO Language

Exhibit M: POL-604-07 SaaS PaaS Policy

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TABLE OF CONTENTS

1. INTRODUCTION

1.1. Statutory Authority

1.2. Purpose

1.3. DIR Vision and Desired Outcomes

2. GENERAL SOLICITATION INFORMATION

2.1. Point of Contact

2.2. Response Integrity

2.3. Schedule of Events

2.4. Historically Underutilized Businesses

2.5. HUB Continuing Performance

2.6. Electronic and Information Resources (EIR) Accessibility

2.7. Federal Requirements and State Requirements

2.8. ACR Submission and Review

2.9. VADSIR Submission and Review

2.10. PDAA Submission and Self-Assessment Score

2.11. TX-RAMP

2.12. Form of Contract

2.13. Term of Contract

2.14. Option to Extend

2.15. Response Deadline and Submission Requirements

2.16. Response Instructions

2.17. Rejection of Responses

2.18. Right to Amend or Withdraw RFO

2.19. Pre-agreement Costs

2.20. Ownership of Responses

2.21. Public Information

2.22. News Release

3. EVALUATIONS, NEGOTIATIONS, AND AWARD

3.1. Evaluation of Responses

3.2. Evaluation Criteria

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3.3. Discussion and Due Diligence

3.4. Revised Offer

3.5. Negotiations

3.6. Award of Contract

3.7. Protest Procedures

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1. INTRODUCTION

1.1. Statutory Authority

A. DIR has authority to complete the objectives of this procurement pursuant to Chapter 2054 and Chapter 2157, Texas Government Code.

B. This RFO is not a solicitation for professional or consulting services as defined in Chapter 2254, Texas Government Code.

1.2. Purpose

A. The objective of this Request for Offer (“RFO”) is to solicit proposals in response to this RFO from potential respondents (the submitting parties “Respondents” and the submissions “Responses”) to provide an electronic procurement (“e-Pro”) system (the “Solution”) for the Department of Information Resources (DIR).

B. As a result of this RFO, DIR expects to receive and evaluate Responses and select one (1) or more qualified Respondents with whom to enter into a contract (the “Successful Respondent”). RFO Section 3 EVALUATIONS, NEGOTIATIONS, AND AWARD contains more information regarding evaluation and Respondent selection process. DIR reserves the right to make a single award or multiple awards from this RFO.

C. The intent and purpose of DIR’s Chief Procurement Office (“CPO”) is to procure a robust cloud-based Solution delivered as a software-as-a-service (“SaaS”) capable of streamlining varying procurement methods and contract management functions across CPO.

D. DIR is seeking a best value opportunity. Respondents should consider best practices and alternatives, including the cost/benefits of alternative solutions. The proposed Solution must demonstrate creativity, innovation, benefits, and the outcomes available to DIR from the proposed Solution.

1.3. DIR Vision and Desired Outcomes

1.3.1 Background

DIR delivers the strategic thinking, purchasing power, and policy insights necessary to ensure organizations across all levels of state and local government can find, procure, and securely implement innovative technology. As the only state agency with a view into how every other agency uses technology, DIR helps the Texas legislature craft smart, statewide Information Technology (“IT”) policy. While DIR is specifically charged with overseeing state government, countless local government entities, including K-12 education organizations and public colleges and universities, also depend on DIR’s

Version 1.3 Page 7 of 28 Rev. 5/19/23 services to keep their technology reliable, secure, and forward-looking. For more information on DIR and its offerings, see the DIR website at: https://dir.texas.gov/.

1.3.2 DIR Information

A. DIR, a State of Texas agency, is responsible for strategic planning and coordination of the State’s IT environment. DIR directly assists agencies in meeting their IT requirements by providing services in the following areas:

1. IT strategic planning and IT standards development and direction;

2. Central procurement for commodity IT equipment, supplies, and selected services;

3. Coordination and sponsorship of IT training and educational events;

4. Centrally managed statewide telecommunications services; and

5. Planning and management of State technology centers, including the outsourcing and consolidation of the State agencies’ data centers.

B. DIR’s CPO procures and manages over 700 statewide Cooperative contracts, twenty-two (22) telecom contracts, and eleven (11) Shared Technology Services (“STS”) contracts. These numbers are continuously growing as our service portfolios and vendor communities grow, and as new technologies come to market.

C. DIR maintains three (3) distinct procurement and contract management disciplines to carry out its mandated functions.

1. Cooperative Contract Procurements and Contract Management – DIR solicits and awards statewide contracts based on leveraging the buying power of more than 200 state agencies, and thousands of local government agencies and school districts.

2. Enterprise Procurements and Contract Management – DIR provides outsourced Shared Technology Services that serve eligible customers. These outsourced procurements are managed by the Enterprise Procurement Team and then the STS Contract Management Team takes on the administration and management of the contract post award.

3. Internal Agency (DIR-A) and Telecom Procurement and Contract Management

– DIR-A supports the agency programs through facilitating procurements for goods and services to deliver on the mission of the agency. The telecom portion of this team oversees and manages the statewide telecom contracts and supports the telecom operations teams through contract deliverables and https://dir.texas.gov/

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1.3.3 Current Systems Overview

A. The current solicitation, contract development, award, administration, and management processes are manual and facilitated through basic workflow management built on the Salesforce platform. CPO has a solicitation portal for vendors to submit responses that is linked to the Salesforce platform called BidStamp. This portal and the back-end systems are built on SharePoint and interface with Salesforce for the tracking of contract award and ongoing contract management. BidStamp is mainly used by the Cooperative Procurement and Contract Management Teams and sometimes for the acceptance of proposals for Enterprise procurement. This system is currently administered and maintained internally through DIR’s Information Technology Services (ITS) Team.

B. Enterprise Procurement utilizes multiple tools including Microsoft Office Suite of applications, SharePoint, Salesforce, and Teams to accomplish its procurements, awards, and ongoing contract management. STS procurements and contract management follow a robust governance oversight process that includes a Source Evaluation Board (SEB), and an executive level Source Selection Authority (SSA). DIR establishes its Enterprise and Telecom contracts through this governance oversight.

C. DIR-A Procurement functions are administered through the Salesforce platform, where customers can enter a purchase request, DIR-A staff conduct the procurement, then the customer issues a purchase requisition through the Centralized Accounting and Payroll/Personnel System (CAPPS), the state of Texas’s enterprise resource planning (ERP) solution, and finally, a purchase order (PO) from CAPPS is sent to the vendor and customer. The majority (90%) of purchases through DIR-A are simple purchases off statewide contracts, set-asides, or open market that follow the purchase requisition to PO process.

2. GENERAL SOLICITATION INFORMATION

2.1. Point of Contact

A. Tara Lindgren is the sole point of contact for this procurement. Routine correspondence may be directed to Tara Lindgren as follows:

Tara Lindgren

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Department of Information Resources 300 W. 15th Street, Suite 1300 Austin, Texas 78701 E-mail: e-pro@dir.texas.gov

B. Respondents shall make no contact concerning this RFO with other DIR personnel, except as permitted by the point of contact. Failure to comply with this requirement at any point prior to contract award may result in disqualification. This restriction does not preclude discussions between affected parties for the purpose of conducting business unrelated to this procurement.

Contact with the DIR Historically Underutilized Business (HUB) office is allowed solely for the purpose of addressing HUB Subcontracting Plan (HSP) questions.

2.2. Response Integrity

A. To ensure the integrity of the competitive process, a Respondent may not directly or indirectly communicate any of the contents of its Response to:

1. A competitor of the Respondent; or

2. Any other company, corporation, firm, partnership, individual, or related entities of the same parent company engaged in the same line of business as the Respondent; or

3. A related entity of the Respondent engaged in the same line of business as the Respondent.

B. This prohibition is in effect during the preparation of the offer and while the offer is pending with DIR, including the negotiation and finalization of any resulting Contract. The term “related entities” includes, but is not limited to, affiliates, subsidiaries, associates, branches, and divisions. It does not include entities that may occasionally enter into teaming agreements with one another to provide services under a contract with a third party but otherwise have no legal relationship with each other.

C. When a related entity of the Respondent (whether related at the time Responses are due or at any time thereafter) submits a competing offer, DIR may require additional information to ensure each separate Response is independent. Failure to provide or fully disclose all such information may, at DIR’s discretion, disqualify Respondent or result in the termination of any resulting contract. RESPONDENT

HAS AN ONGOING DUTY TO UPDATE ALL INFORMATION INCLUDED IN ITS

RESPONSE AT ANY TIME THAT SUCH INFORMATION CHANGES.

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2.3. Schedule of Events

It is DIR’s intention to comply with the following schedule for this RFO. These dates represent a tentative schedule of events. DIR reserves the right to modify these dates at any time. Prospective Respondents will be notified of modifications to the schedule via the Electronic State Business Daily (ESBD) website.

Table 1: Schedule of Events

Date/Time Activity

March 5, 2024 Publish RFO on Electronic State Business Daily

(ESDB)

March 15, 2024, 2:00 PM (CST) Deadline for submitting questions

April 5, 2024, 2:00 PM (CST) Deadline for receiving responses to RFO

April, 2024 – until completed Evaluation of Responses, oral presentations (if requested), negotiations, and contract execution

2.3.1 Written Questions and Official Answers

A. Respondents shall submit all questions regarding this RFO to the official point of contact listed in RFO Section 2.1. Questions regarding this RFO will be accepted until the date and time specified above in 2.3 Schedule of Events.

NOTE: Texas observes Daylight Savings Time.

B. Official answers will be posted as an Addendum to this RFO, on the Electronic State Business Daily (ESBD), available at http://www.txsmartbuy.com/esbd.

C. By submission of a question, vendors acknowledge that the applicable question will be posted with each official answer and therefore vendors should not include any confidential or proprietary information in such questions. DIR will not publish the identity of any vendor that submitted any particular inquiry.

http://www.txsmartbuy.com/esbd

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2.4. Historically Underutilized Businesses

A. The purpose of the Historically Underutilized Business (HUB) Program is to promote full and equal business opportunities for all businesses in State contracting in accordance with the goals specified in the State of Texas Disparity Study. Each state agency must make a good faith effort to meet or exceed the goals identified below and assist HUBs in receiving a portion of the total contract value of all contracts that the agency expects to award in a fiscal year in accordance with the following procurement goals/percentages:

1. 11.2% for heavy construction other than building contracts;

2. 21.1% for all building construction, including general contractors and operative builders’ contracts;

3. 32.9% for all special trade construction contracts;

4. 23.7% for professional services contracts;

5. 26.0% for all other services contracts;

6. 21.1% for commodities contracts.

B. It is the policy of DIR to make a good faith effort to achieve the annual program goals by contracting directly with HUBs or indirectly through subcontracting opportunities in accordance with the Texas Government Code, Chapter 2161.252(b), and HUB Rules promulgated by the Comptroller of Public Accounts (CPA), 34 TAC, Chapter 20.

C. HUBs are strongly urged to respond to this RFO. Under Texas law, state agencies are required to make a good-faith effort to assist HUBs in receiving certain percentages of the total value of contract awards. Successful Respondents who meet the qualifications are strongly encouraged to apply for certification as HUBs.

2.4.1 HUB Subcontracting Plan

A. DIR has determined that subcontracting is probable under any contract awarded as a result of this RFO. The HUB Goal for this RFO is 26%. ALL RESPONDENTS

RESPONDING TO THIS RFO, INCLUDING THOSE THAT ARE HUB CERTIFIED

OR THOSE WHO DO NOT PLAN TO SUBCONTRACT, MUST COMPLETE A

HUB SUBCONTRACTING PLAN (HSP) IN ACCORDANCE WITH THE STATE’S

POLICY ON UTILIZATION OF HUBs. THE HSP MUST BE INCLUDED AS PART

OF THE RESPONSE TO THIS RFO. FAILURE TO COMPLETE THE HSP AS

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INSTRUCTED MAY RESULT IN DISQUALIFICATION OF THE RESPONSE FROM

CONSIDERATION.

B. The State’s Policy on Utilization of Historically Underutilized Businesses and HSP forms are available at:

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

C. Please review the HSP forms carefully and allow sufficient time to identify and contact HUBs and allow them to respond. NOTE: Respondent must demonstrate a good faith effort to contract with new HUBs if currently proposed HUBs have performed as subcontractors to the Successful Respondent for more than five (5) years. If the Successful Respondent does not plan to subcontract, Successful Respondent must state that fact in their plan. A scan of the original, signed paper copy of the HSP must be uploaded into BidStamp. Please provide an unsigned copy of the editable PDF in BidStamp as well. The completed, approved plan shall become a part of the Contract if the Respondent is selected to receive a contract as a result of this RFO.

2.5. HUB Continuing Performance

Any Contract includes reporting responsibilities related to HUB subcontracting.

Successful Respondent shall not change any subcontractor without submitting a revised HSP. Any change to a subcontractor and revised HSP must be approved in writing by DIR prior to implementation. Customers are not required to pay for services received from subcontractors that are not part of an approved HSP.

2.5.1 HUB Resources Available

A. A list of certified HUBs is available on the Texas Comptroller of Public Accounts (CPA) Website at: https://mycpa.cpa.state.tx.us/tpasscmblsearch/index.jsp. For additional information, contact the CPA’s HUB program office at StatewideHUBProgram@cpa.texas.gov.

B. If Respondent knows of any businesses that may qualify for certification as a HUB, they should encourage those businesses to contact the CPA HUB program office.

2.6. Electronic and Information Resources (EIR) Accessibility

A. Under Texas Government Code, Chapter 2054, Subchapter M, and DIR implementing rules, DIR must procure EIR that complies with the accessibility standards defined in the Texas Administrative Codes 1 TAC 206, 1 TAC 213, and in the Worldwide Web Consortium WCAG 2.0 AA technical standard as applicable, and when such products or services are available in the commercial marketplace or when such products are developed in response to procurement solicitations.

https://comptroller.texas.gov/purchasing/vendor/hub/forms.php https://mycpa.cpa.state.tx.us/tpasscmblsearch/index.jsp mailto:StatewideHUBProgram@cpa.texas.gov http://texreg.sos.state.tx.us/public/readtac$ext.ViewTAC?tac_view=5&ti=1&pt=10&ch=206&sch=B&rl=Y http://texreg.sos.state.tx.us/public/readtac$ext.ViewTAC?tac_view=5&ti=1&pt=10&ch=213&sch=B&rl=Y https://www.w3.org/ http://www.w3.org/TR/WCAG20/

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B. Accordingly, all Respondents must provide accessibility documentation:

1. For each commercial product (also referred to as commercial off the shelf or COTS), and service products such as Software as a Service (SaaS), Platform as a Service (PaaS), and any other managed services that include a user interface, a completed Accessibility Conformance Report (ACR) or the URL to view the ACR online. See RFO Section 2.8 for detailed requirements.

2. For non-product offerings (such as IT related development services, services that include user interfaces, managed services, online components, etc.), a Vendor Accessibility Development Services Information Request (VADSIR), which documents Respondent's capability or ability to produce or customize accessible EIR (also referred to as Information and Communications Technology (ICT)). See RFO Section 2.9 for detailed requirements.

3. The Policy Driven Adoption for Accessibility (PDAA) for Vendor Self- Assessment. See RFO Section 2.10 for detailed requirements.

2.7. Federal Requirements and State Requirements

A. State agencies are prohibited from doing business with terrorists and terrorist organizations. Any Respondent listed in the prohibited Vendor list authorized by Executive Order #13224, "Blocking Property and Prohibiting Transactions with Persons Who Commit, Threaten to Commit, or Support Terrorism”, published by the United States Department of the Treasury, Office of Foreign Assets Control (Terrorism List) shall not be awarded a Contract as a result of this RFO. Successful Respondent must agree that if at any time during the term of the Contract the Successful Respondent is listed on the Terrorism List, the Successful Respondent shall promptly notify DIR. As part of DIR’s contract management, periodic checks will be performed to ensure Successful Respondent remains in compliance with these Federal Requirements. DIR shall have the absolute right to terminate the Contract without recourse in the event the Successful Respondent becomes listed on the Terrorism List.

B. Should any Successful Respondent become suspended or debarred from doing business with the federal government as listed in the System for Award Management (SAM) maintained by the General Services Administration, the Successful Respondent’s Contract will be terminated without recourse.

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C. Successful Respondents shall comply with the requirements of the Immigration and Reform Act of 1986, the Illegal Immigration Reform and Immigrant Responsibility Act of 1996 ("IIRIRA"), and the Immigration Act of 1990 (8 U.S.C.1101, et seq.) regarding employment verification and retention of verification forms for any individual(s) hired on or after the effective date of the 1996 Act who will perform any labor or services under the Contract.

D. Successful Respondent Performance and Debarment

In accordance with 34 TAC, Chapter 20, Subchapter C, a Respondent that is debarred from doing business with the State of Texas will not be awarded a Contract. The list of debarred vendors is located on the CPA Web site at:

https://comptroller.texas.gov/purchasing/programs/vendor-performance-tracking/debarred-vendors.php

2.8. ACR Submission and Review

A. All Respondents must provide ACRs created using the applicable sections of the Voluntary Product Accessibility Template® (VPAT®) Revised Section 508 Edition (version 2.3 or higher) or provide links to ACRs located on manufacturer(s)’ websites (where available) for the product(s) (as defined above) included in the submitted pricelist. Instructions on how to complete this document are included in the template itself.

B. Respondents claiming that a proposed product or is exempt from accessibility requirements must specify the product(s) as such in “Notes” located in the product information section of the VPAT v.2.3 or higher, or as an additional note in the product information section of older VPAT versions of the form, specifying each exempt product or product family with a supporting statement(s) for this position.

C. Respondents who do not already have accessibility documentation should complete the form included in the bid package or may obtain the form located here: http://www.itic.org/public-policy/accessibility. Resellers should obtain an ACR(s) from the manufacturer or provide links to the manufacturer’s accessibility documentation.

D. DIR will review a sample of ACRs for credibility and completeness.

E. Respondents that submit incomplete ACRs or are unable to provide or obtain ACRs for products it manufactures, or for products from manufacturers it represents, may be required to submit a letter (Accessibility Statement) stating that some or all product(s) accessibility documentation may be missing, product https://comptroller.texas.gov/purchasing/programs/vendor-performance-tracking/debarred-vendors.php https://comptroller.texas.gov/purchasing/programs/vendor-performance-tracking/debarred-vendors.php http://www.itic.org/public-policy/accessibility

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2.9. VADSIR Submission and Review

A. Respondents must ensure that EIR and ICT accessibility criteria are integrated into key phases of the project development lifecycle including but not limited to planning, design, development, functional testing, user acceptance testing, maintenance; and report accessibility status at key project checkpoints as defined by DIR customers.

B. Respondents must complete a VADSIR Questionnaire to document the Respondent's capability or ability to produce accessible EIR and ICT if the response includes one or more of the following offerings:

1. Website development services

2. Web Application Development Services

3. Custom development services as part of an integrated solution

4. Client based software application development services

5. Other software development services containing one or more user interfaces (end user, administrative, etc.)

C. VADSIRs will be evaluated by DIR for credibility and completeness.

2.10. PDAA Submission and Self-Assessment Score

A. All Respondents must complete the PDAA Self-Assessment Questionnaire for responses that include EIR or ICT. The PDAA generates a self-assessment score which is an indicator of the extent to which a Respondent’s organization has implemented accessibility best practices within operations and integrated accessibility criteria into all phases of a product life cycle. The PDAA is an organizational assessment, not an assessment of products or services.

B. PDAA score will be included in the evaluation and a missing or blank PDAA will receive a score of 0 (fail) and may disqualify the Response.

2.11. TX-RAMP

A. The Solution shall have and maintain Level 2 Certification from the Texas Risk and Authorization Management Program (“TX-RAMP") during the Term of the Contract. Successful Respondents shall comply with TX-RAMP requirements of.

See Attachment 2, Standard Terms and Conditions, Section 10.4(B)(xxiv) for more information.

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2.12. Form of Contract

2.12.1 Proposed Changes and Exceptions

A. Respondents are strongly discouraged from taking exceptions to the standard terms and conditions residing in the Attachment 2, Standard Terms and Conditions, and other RFO documents. Any individual exceptions or number of exceptions taken may result in a Respondent’s Response being disqualified or not being down-selected for future procurement phases. Exceptions to the RFO itself (this document) are not permitted.

B. Item 13 of Exhibit A Respondent Information contains the format for Respondent to note any exception to any provision, term, or condition specified in the Attachment 2 Standard Terms and Conditions. Respondent should provide any proposed changes to contract language in redline in the “Proposed Language (redline)” column of the chart in Item 12 of Exhibit A Respondent Information. Failure to abide by these instructions may result in DIR rejecting all exceptions submitted by the Respondent.

C. Respondents may request exceptions to standard contract terms and conditions, provided that they provide a legally sustainable reason for the exception (i.e., NOT “My prior contract had the same exception”). If Respondent is unable to comply with these provisions, the Respondent’s Response may be subject to disqualification from further consideration. DIR in its discretion may or may not accept the Respondent’s requested exceptions; exceptions submitted without a legally sustainable reason will not be considered. Material deviations (including excessive, additional, inconsistent, conflicting, or alternative terms) may render the Response non-responsive and may result in the rejection of the Response. In addition to the explanation as to why the Respondent cannot comply with the provision, term, or condition, proposed alternative language redlined against the standard language must be included in the Response. If Respondent fails to note any exception, Respondent will not be allowed to request an exception in any subsequent revised Responses or during negotiations.

D. DIR reserves the right to make changes to the Contract or the Standard Terms and Conditions if it is in the best interest of the State to do so. Should this occur prior to the award of any Contract, any Respondent selected for negotiations will be notified.

2.13. Term of Contract

A. DIR anticipates that the initial term of the Contract will be an estimated four (4) years with optional renewals of up to four (4) years/ to be exercised in any combination by DIR at its discretion.

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2.14. Option to Extend

A. The Successful Respondent agrees that DIR may require continued performance, beyond the initial or any renewal Contract term, of any of the within-described services at the rates specified in the Contract. This option may be exercised more than once, but the total extension of performance hereunder shall not exceed ninety (90) calendar days. Such extension of services shall be subject to the requirements of the Contract, with the sole and limited exception that the original date of termination shall be extended pursuant to this provision. DIR may exercise this option upon thirty (30) calendar days written notice to the Successful Respondent.

2.15. Response Deadline and Submission Requirements

A. Respondents are required to submit Responses in accordance with the requirements outlined in this document. Responses must be received by the point of contact outlined in Section 2.1 Point of Contact on or before the date and time specified in RFO Section 2.3 Schedule of Events. No late Responses will be reviewed.

2.16. Response Instructions

A. Respondent will follow the instructions set forth in the following Exhibits and Attachments to this RFO.

B. Each section, Exhibit, and Attachment of this RFO, along with any other associated files, contains individual detailed instructions regarding the required format of the Respondent’s Response. The Respondent is required to respond according to the instructions contained in each section of this RFO.

C. Respondent’s Response must be consistent with the structure, sequencing, and terminology used in this RFO.

D. Electronic responses are required. Respondents shall follow the specific naming conventions detailed in this RFO. For all electronic files, the Respondent must use a naming convention that reflects Respondent’s name, and the document being submitted. (Ex. CompanyName_Exhibit A1_Exceptions…)

E. Respondents should note that DIR expects each Respondent to comply with the requirements of this RFO as written, and to price its Response accordingly.

F. Non-submission of any of the requested information may disqualify the Respondent’s Response from further consideration by DIR.

G. It is the responsibility of the Respondent to ensure the services proposed are

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H. At the discretion of DIR, the scope of this RFO may be modified by an Addendum. It is the responsibility of the Respondent to monitor ESBD for Addendum updates and to make any necessary adjustments to its response accordingly.

I. Respondents may propose pricing for additional modules that DIR may consider adopting during a future implementation that are not part of the requirements of the e-Pro system. Respondent is encouraged to include any additional services not specifically stated here and must include a detailed description of the service, and the associated price.

J. Respondent’s Response must describe the capabilities to support, at a minimum, documents as attachments, automated generation of documents (e.g., , solicitations, contracts), import/export of transaction data (e.g., solicitation line items, bid tabulations, evaluation scores, contract line items), and cut/paste of text into the proposed Solution text fields.

K. Respondent’s Response must provide complete technical details on these capabilities including, at a minimum, standards supported, restrictions, and identification of all finance systems and enterprise resource planning (“ERP”) applications where the e-Pro Solution has existing interface/integration capabilities available. Respondent’s Response must provide complete details on the Solution’s data conversion capabilities including describing data preparation requirements and responsibilities. Respondent’s Response must also describe available services that could be leveraged to support data conversion activities.

L. Respondents must identify all existing third-party electronic signature providers the Solution supports. The solution shall be secured in a federated environment.

M. Respondent’s Response must propose for DIR’s consideration an “Escalation Protocol” for collaboratively resolving issues encountered during the term of the Contract. The proposed Escalation Protocol must explain how issues or complaints are prioritized and resolved. The Escalation Protocol shall include, at a minimum, (1) an organization chart addressing topics such as specific steps to be taken on top priority issues or disputes arising due to untimely response to system down or critical malfunction remedial repair requests, and (2) any other unmet top priority service requirements of the Contract.

2.16.1 Respondent Experience

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A. Respondent shall complete Exhibit B Respondent Experience, providing information regarding its past relevant experience.

B. Respondent shall not refer to information provided elsewhere in the RFO Response or reference website links.

C. Respondent shall be prepared to offer a demonstration of its system, with DIR-branding showing, and using the data set that DIR provides. This demonstration will occur only after all administrative checks have been passed and at DIR’s request. This demonstration will account for thirty percent (30%) of the Respondent’s overall evaluation score.

2.16.2 No Marketing Materials Desired

Unnecessarily elaborate brochures or other presentations beyond those requested and sufficient to present a complete Response are not desired.

2.16.3 Pricing

A. Respondent shall follow the instructions in Exhibit E: Itemized Pricing to provide its pricing Response. Respondent shall not alter the format of the pricing templates. Failure to submit a complete pricing submission may result in disqualification of the response.

B. The pricing submission shall consist of:

1. The completed pricing form (Exhibit E); the pricing form shall include all costs associated with any and all products and services to be provided.

2. Assumptions upon which the price amounts are based or conditions attached to any price amount shall be listed in the tab labelled “Respondent Assumptions” of the pricing form.

3. Detailed descriptions and relevant documentation for each line item added to the pricing form.

C. DIR encourages Respondents to offer volume pricing or discount for specific services on the spreadsheet.

2.16.4 Response Documents

A. Executed Offer Form

The Respondent shall complete and sign the Executed Offer Form found in Exhibit A of this RFO document. This form must be completed and signed.

Failure to sign Exhibit A will result in the disqualification of the response as

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B. Terminated Contract References

Using Exhibit A Respondent Information, Attachment 1 Terminated Contracts (included as part of Exhibit A), Respondent shall provide the name, title, contact number and description of services provided for any contract that was prematurely terminated in the past five (5) years. Respondent shall include details on the reason for the cancelation and the Respondent’s position relevant to the termination, including the final resolution of the contract termination.

Failure to disclose terminated contracts may lead to a Respondent not being considered for award.

C. Exceptions to Attachment 2 Standard Terms and Conditions

1. The final terms and conditions of any Service Agreement awarded as a result of this RFO shall be agreed upon during negotiation. However, the minimum standard terms and conditions that will be included in any awarded Service Agreement are contained in Attachment 2 Standard Terms and Conditions included in the RFO documents.

2. Exhibit A Respondent Information item 13 contains the format for Respondents to note any exception to any standard provision, term, or condition specified in the RFO. Exceptions to the RFO document itself are prohibited. An explanation as to why the Respondent cannot comply with the provision, term, or condition and why the proposed alternative language must be included in the Response. Examples of nonresponsive explanations include:

a. Referencing negotiation of revised language in another DIR or other state agency contract;

b. Referring to an internal division’s need for the revised language without a valid reason as to why the exception is necessary;

c. Indicating the proposed language is “negotiable” without further justification; and

d. Referencing an internal Respondent terms and conditions document.

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3. Exceptions must include:

a. RFO document title (Appendix , Exhibit, Attachment, etc.) section number and section title;

b. Explanation as to why Respondent cannot comply with the term or condition; and

c. Proposed alternate language (redlined against the standard language).

4. If Respondent fails to note any exception within its initial Response, Respondent will not be allowed to request an exception in any subsequent revised Responses or during negotiations.

5. The column labeled “Location/Specific Section Reference” should be used to identify the specific RFO document and the location(s) (section number or other identifiable reference) within the RFO documents that the language addresses.

6. Respondents are encouraged not to request exceptions or optional term formats to standard contract terms and conditions; DIR, in its sole discretion, may or may not accept the Respondent’s requested exceptions.

7. Prior to the final award of a Contract, DIR reserves the right to make changes to the standard terms and conditions. Should this occur, any Respondent selected for negotiations will be notified.

8. If there are no exceptions, the Respondent shall explicitly state the Respondent takes no exception to any part of this RFO. Any exception may result in the Contract not being awarded to the Respondent.

D. Addenda to the RFO

Respondents are encouraged to acknowledge receipt of all Addenda by providing a completed and signed version of page one of each Addendum with their Response. Respondents will be held to all terms and requirements of each Addenda regardless of the provision of a signed page one. Respondents will also be held to all terms and requirements of any Addenda issued after their submission of a response to this solicitation.

E. Response Files

The following table summarizes the files to be included with Respondents response in order to be considered a complete Response, with the corresponding file names. It includes required Accessibility documents

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Table 4: Response Files

RFO Reference Form of Response

Exhibit A: Respondent Information Form – MUST BE

SIGNED

Pursuant to 2.16 D. above

Exhibit B: Respondent History and Experience Pursuant to 2.16 D. above Exhibit D: HUB Subcontracting Plan (HSP) - MUST BE COMPLETED and SIGNED

Pursuant to 2.16 D. above

Exhibit E: Itemized Pricing Pursuant to 2.16 D. above Exhibit I: PDAA form Pursuant to 2.16 D. above Exhibit J: ACR (VPAT) Pursuant to 2.16 D. above Exhibit K: VADSIR Pursuant to 2.16 D. above Exhibit A1: Exceptions - Any Exceptions requested or Affirmative Statement that Respondent takes no Exceptions

Pursuant to 2.16 D. above

Signed Addenda to the RFO (not required) Pursuant to 2.16 D. above

2.17. Rejection of Responses

A. DIR has sole discretionary authority and reserves the right to reject any and all responses received as a result of this RFO. Responses that do not comply with the mandatory submission requirements may be rejected. In addition, DIR reserves the right to accept or reject, in whole or in part, any Responses submitted, and to waive minor technicalities when in the best interest of the State.

2.18. Right to Amend or Withdraw RFO

A. DIR reserves the right to alter, amend, or modify any provision of this RFO, or to withdraw this RFO, in whole or in part, at any time prior to the award of a Contract if doing so is in the best interest of the State. DIR reserves the right to re-solicit for like or similar products and services whenever it determines re-solicitation to be in the best interest of the State.

B. Any changes or additional information regarding this RFO will be posted as an Addendum on the ESBD, at http://www.txsmartbuy.com/esbd. It is the responsibility of Respondents to monitor the website for Addenda. Respondent's failure to periodically check the ESBD will in no way release the Respondent from Addenda or additional information resulting in additional costs to meet the requirements of the RFO.

http://www.txsmartbuy.com/esbd

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2.19. Pre-agreement Costs

A. DIR shall not be responsible or liable for any cost incurred by any Respondent in the preparation and submission of its Response to this RFO or for other costs incurred by participating in this procurement process.

2.20. Ownership of Responses

A. All Responses become the property of DIR. DIR reserves the right to use any and all information or materials presented in response to this RFO. Disqualification of a Respondent’s Response does not eliminate this right.

2.21. Public Information

A. DIR is a government agency subject to the Texas Public Information Act.

Responses submitted to DIR as a result of this RFO are subject to release as public information. Responses of Successful Respondents will be published on DIR’s website after contracts are executed, and all other Responses are subject to release upon completion of the procurement or if the procurement is terminated.

B. If a Respondent believes that its Response, or parts of its Response, may be exempted from disclosure under Texas law, Respondent must submit both a redacted and unredacted copy of its Response. In the unredacted copy, Respondent must specify page-by-page and line-by-line the parts of the Response that it believes are exempt. Respondent may not mark its complete Response “copyrighted” or mark every page as proprietary or confidential. In addition, the Respondent must specify which exception(s) are applicable and provide detailed reasons substantiating the exception(s). DIR may publish or release the redacted copy of the Response without notice to or consent from Respondent.

C. If a Respondent fails to provide redacted and unredacted copies of its Response or fails to specifically identify information that Respondent believes to be excepted from disclosure within its Response, then Respondent waives any and all claims against DIR for the release of such information, regardless of whether DIR provided prior notice to Respondent of such release.

D. Pursuant to Texas Government Code Section 2252.907, Respondent is required to make any information created, exchanged with the state pursuant to this Contract, and not otherwise excepted from disclosure under the Texas Public Information Act, available in a format that is accessible by the public at no additional charge to the state.

E. The Office of the Texas Attorney General (OAG) has the sole authority to

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F. DIR assumes no responsibility for asserting legal arguments on behalf of any Respondent. Respondents are advised to consult with their legal counsel concerning disclosure issues resulting from this procurement process and to take precautions to safeguard trade secrets and other proprietary information.

G. The issuance of this RFO does not imply that DIR is making an offer to do business with any RFO recipient or Respondent. No agreement or other binding obligation on DIR is implied or will occur unless and until a definitive agreement is executed. The issuance of this RFO and the submission of the Respondent’s Response do not create any obligation upon DIR to purchase goods or Services from the Respondent or to enter into any binding legal relationship with one (1) or more of the Respondents.

H. DIR makes no representations or warranties regarding the accuracy or completeness of the information contained in this RFO, its Appendices and Attachments, and in the Data Room, if any. The Respondent is responsible for making its own evaluation of information and data contained in this RFO and in preparing and submitting its Response.

2.22. News Release

A. Respondent-initiated news or press releases pertaining to this RFO shall not be made without prior written approval of DIR, in its sole and absolute discretion. A minimum of ten (10) business days' written notice is required for such approval.

3. EVALUATIONS, NEGOTIATIONS, AND AWARD

3.1. Evaluation of Responses

A. DIR will review Responses to determine responsiveness to this RFO, including the requirements in Attachment 1 Statement of Work. All determinations about responsiveness to this RFO are final. All Responses determined to be responsive will go through a financial review overseen by the Chief Financial Officer’s (CFO’s) office. The financial review (here, a review of the financial solvency of the Respondent), Completed HUB Subcontracting Plan, and the submittal of a signed Exhibit A Respondent Information are pass/fail determinations that are final. Only Responses that pass all three (3) will be considered for award.

B. At any time during the evaluation process, DIR may ask any or all Respondents to elaborate on or clarify specific points or portions of their Response. DIR’s request and Respondent’s response shall be in writing.

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C. At any time during the evaluation or negotiation process, DIR may down-select Respondents within a competitive range if DIR determines, in its sole discretion, that it is in the best interests of the State to do so.

3.2. Evaluation Criteria

3.2.1 Pass/Fail Criteria

In addition to the weighted criteria listed below DIR also reviews additional Pass/Fail criteria as follows:

A. Financial Information is a Pass/Fail review conducted by the Finance Group based on the Respondent’s financial stability as reported by Dun and Bradstreet;

Respondent shall provide an accurate DUNS number on Exhibit A Respondent Information; the DUNS number shall correspond to the company address on file with Dun and Bradstreet.

B. Completion and signing of a HUB Subcontract Plan.

C. Compliance with applicable provisions of §§2155.074, 2155.075, 2156.007, 2157.003, and 2157.125, Gov't Code. Respondents may fail this selection criterion for any of the following conditions:

1. A score of less than “C” in the Vendor Performance System;

2. Currently under a Corrective Action Plan through the CPA, having repeated negative Vendor Performance Reports; or

3. Having purchase orders that have been cancelled in the previous twelve (12) months for non-performance (including but not limited to late delivery, etc.).

D. Compliance with Texas Government Code 2054, subchapter M, TAC 206, TAC 213, and WC3 WCAG 2.0 AA technical standards, as applicable. Respondents may fail this selection criterion for any of the following reasons:

1. Missing or incomplete ACRs for products listed on the itemized price sheet;

2. Missing or incomplete VADSIR for proposed development services on the itemized price sheet or;

3. Missing or blank PDAA self-assessment.

3.2.2 Weighted Evaluation Criteria

A. Evaluation of Written Responses

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Based on Respondent’s scores of written responses pursuant to Table 1 below, DIR will determine which Respondent(s) will participate in Respondent demonstrations.

Table 1

Evaluation Category

Description Weight

Experience:

Respondent Experience, History, Staff Qualifications

Knowledge and experience providing services identified in Attachment 1, SOW. 20%

Proposal: Proposed Approach, Plan & Schedule:

Proposed approach and plan shall include, but not be limited to, details of how the solution meets the requirements stated in Attachment 1, SOW, and an overview of potential issues or challenges encountered.

40%

Pricing: Analysis of Solution costs and pricing assumptions 10%

B. DIR’s review of Respondent’s history and experience may include consideration of Respondent performance as recorded in the CPA Vendor Performance Tracking System as described in the Texas Administrative Code, 34 TAC 20.115.

C. Evaluation of Respondent Demonstrations

For Respondents selected to participate in Respondent demonstrations, DIR will evaluate the Respondent’s proposed Solution's success in demonstrating and executing the expected functions of the e-Pro Solution indicated in Section 1, Required Services, Scope of Work pursuant to Table 2.

Table 2

Evaluation Category Description Weight

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Live Demonstration Results

Success in demonstrating and executing compliance with the requirements as outlined in Attachment 1, SOW, including but not limited to functionality, ease of use, and integration capabilities.

30%

3.3. Discussion and Due Diligence

A. DIR in its discretion may hold a series of discussion sessions with Respondents to ensure complete and accurate understanding of requirements and Responses to this RFO.

B. This RFO is intended to provide Respondent with enough information to build its Response, but it is the Respondent’s responsibility to obtain any additional information deemed necessary for the Respondent to meet its obligations under the terms of this RFO.

3.4. Revised Offer

A. DIR in its discretion will make the determination whether to request oral presentations or engage in a Revised Offer process. The Revised Offer process, if held, may be scored. The Revised Offer process may be iterative. DIR may request more than one (1) revised offer.

B. DIR reserves the right to continue to evaluate Responses until such point as the best value, as defined by Texas Government Code, Section 2157.003, is obtained for the State.

3.5. Negotiations

A. At the conclusion of the evaluation, as described within RFO Section 3.1 above, DIR will determine the number of Respondents with whom it will start Contract negotiations. Negotiations will continue until DIR, in its sole discretion, determines that the best value for the State has been obtained.

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3.6. Award of Contract

A. DIR shall make the decision to award a…