Horizontech 25VS103007 SSJF.pdf

Sole Source Justification Form

Version 7.01 Page 1 of 5

Bulletin Reference Number 25-350SOS-VEHSE-B-44712

Requesting Agency/University Secretary of State

Sole Source Justification Form - Part I Section I - General Information

Department/Bureau/Section: Vehicle Services Department

Need Identified Date: October 1, 2024 Supply/Service Need By Date: October 1, 2024

Project Title: Data Entry of Forms and Imaging of Forms and Documents

Vendor: Horizontech Inc

Provide a description of the supplies or services required: Data entry and image Title and Registration Applications, scrapped vehicles and IRP transactions

Value: Estimated Value of Initial Term, this Change Order or Amendment: 1,300,000

Will this Sole Source amend a Professional or Artistic Services contract? Yes No

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Type: New Sole Economically Feasible Source

Section II - Proposed Term

One-Time Purchase Term Contract

Estimated Contract Begin Date: Oct 1, 2024

Estimated Contract End Date: Sept 30, 2025

Number of Potential Renewals:

Length of Each Renewal in Months:

Total Value of All Renewals:

If a Term Contract, does the term, including renewals, exceed 12 months? Yes No

Section III - Funding Source Select the type of funding to be used (Check all that apply): State Appropriate Funds Federal Funds Other (Explain):

Section IV - Sole Source Justification

This purchase is economically only available from a single source primarily because it is: (If "Other" explain in one sentence)

Compatibility of Equipment, Accessories, Replacement Parts or Service

Are there secondary justification(s) for this sole source? Yes No

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Bulletin Reference Number 25-350SOS-VEHSE-B-44712

Requesting Agency/University Secretary of State

Section V - Purchase History

Has the Agency or University Purchased these supplies or services in the past? Yes No

Term Term From Term To Value Description Contract Number Type

1 Jul 1, 2016 Jun 30, 2017 847,097.5 Data Entry of Forms and Documents 17VS103000 RFP

2 Jul 1, 2017 Jun 30, 2018 845,733.14 Data Entry of Forms and Documents 17VS103000 RFP

3 Jul 1, 2018 Jun 30, 2019 1,004,429.98 Data Entry of Forms and Documents 17VS103000 RFP

4 Jul 1, 2019 Jun 30, 2020 770,413.49 Data Entry of Forms and Documents 17VS103000 Renewal

5 Jul 1, 2020 Jun 30, 2021 853,483.46 Data Entry of Forms and Documents 17VS103000 Renewal

6 Jul 1, 2021 Jun 30, 2022 1,331,297.84 Data Entry of Forms and Documents 17VS103000 Emergency Extension

7 Jul 1, 2022 Sept 30,2022 368,702.16 Data Entry of Forms and Documents 17VS103000 Emergency Extension

8 Oct 1, 2022 Sept 30, 2024 2,100,000 Data Entry of Forms and Documents 23VS103002 Sole Source

If more than 10, or if other comments, explain:

Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

Data entry and imaging title and registration applications, IRP/insurance transactions and scrapped vehicles with a 5% error rate or less.

Information on some forms must be verified by Vehicle Identification Number (VIN) through interaction and use of RL Polk software (VINA). Forms must be reviewed, processed, and viewable by ILSOS within 48 hours of receipt.

2. Provide a list and describe in detail the specifications required to satisfy the need:

Vendor must accurately data enter and/or image title and registration, registration, scrap documents, IRP, and/or insurance vehicle transaction documents by use of established Secretary of State operating procedures and front-end edits. Vendor must be able to verify Vehicle Identification Number (VIN) through interaction and use of VINTelligence. Vendors must key verify all critical fields; assign a unique title number within range given by ILSOS; make all records available for access to the Secretary of State within 24 – 48 hours by scanning documents, and making available on-line through the internet for the Secretary of State’s office to view by document number; pickup daily, process and electronically transmit all applications within five (5) business days of receipt; maintain integrity of the batches and documents within a box and provide each batch of work with a report printout that shows total applications for a batch; e-mail a daily report to Department of Information Technology (DOIT) and to a list of Illinois Secretary of State employees to be supplied reflecting the number of records, batch numbers and type records (Titles, Junk Certificates, Salvages) in each daily transmission; maintain all electronic files; and guarantee a 99.5% accuracy rate on critical fields and a 95% accuracy rate on non-critical fields. The system and any electronic transmission devices must be compatible with an IBM platform. Data must be transmitted electronically through File Transfer Protocol technology.

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

This request is to continue with the current vendor providing this service. In order to continue critical agency operations, ILSOS is requesting the contract to continue for an additional year. This vendor has already completed testing of systems communications along with verifying VIN through VINTelligence software and has received security access granting them authority to electronically transfer files to this agency. ILSOS must maintain current operations.

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Bulletin Reference Number 25-350SOS-VEHSE-B-44712

Requesting Agency/University Secretary of State

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

This request is with the current vendor providing this service. In order to continue critical agency operations without disruption, the current vendor and its operation must be utilized. For the high level of security, special access has been granted to vendor to electronically transfer files to this agency.

5. Has the Agency or University considered alternative supplies or services to satisfy their need? Yes No

5a. If no, why weren't alternatives evaluated?

Operational needs would require a 12 month flow for transition and migration of files and data

6. Are there resellers or distributors?

Yes No N/A

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

Original contract was procured via formal bid. Vendor's price increases have been comparable to cost of living adjustments.

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

Yes No

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

Severe disruption of operations, possible loss of data, creation of backlog, limiting necessary file and data access. Due to the high volume of daily work, high level of security, daily access and operations along with law requirements, continuing this contract is vital to this agency

10. Is there any additional information you would like to add to justify this sole source?

This vendor currently meets all requirements including high level of security with granted data accesses to keep the work flowing without interruption.

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Bulletin Reference Number 25-350SOS-VEHSE-B-44712

Requesting Agency/University Secretary of State

Section VII

Requesting Department Representative

Requesting Department Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

Date 7/12/2024

Printed Name Dawn Osborne E-mail Address dosborne@ilsos.gov

Phone Number 217-557-4403

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required

I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed)

E-mail Address BAlexander@ilsos.gov

Phone Number 217-557-5745 Date

Printed Name Brian Alexander

Agency Bureau/Division Head or University Purchasing Director and Not a Designee

SPO Approval and Signature Required

I have reviewed and understand the contents of this Sole Source Justification and agree with the State Agency or University determination.

I have reviewed and understand the contents of this Sole Source Justification and do not agree with the State Agency or University determination. As a result, the State Agency or University must explore other sourcing methods to satisfy their need.

State Purchasing Officer Signature Phone Number 217-782-8892 Date Sep 11, 2024

Printed Name Katherine Tople E-mail Address ktople@ilsos.gov

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Bulletin Reference Number 25-350SOS-VEHSE-B-44712

Requesting Agency/University Secretary of State

Sole Source Justification Form - Part II Section I - General Information

Project Title

Vendor

Initial Date of Procurement Bulletin Posting

Was a Sole Source hearing held per 30 ILCS 500/20-25?

Yes - Complete Section II and III below (Section II will only be visible when this option is selected)

No - Section II not required, go to Section III below Section III - CPO Approval and Signature Required

Based on my review, I authorize the Agency/University to proceed in accordance with the published Notice referenced above.

Based upon my review, I authorize the Agency/University to proceed with the following Changes.

Based on my review, the Agency/University is not authorized to proceed with this sole source as presented and my recommendation is that it be cancelled.

Other

CPO Signature CPO Phone

Printed Name Date

CPO E-mail

Version 7.01 Page of Sole Source Justification Form - Part I Section I - General Information Will this Sole Source amend a Professional or Artistic Services contract?

If yes, what was the original contract value?

*Sole Source may not be used for amendments for Professional or Artistic Services if the amendment would increase the value by more than 5% of the initial award or extend the term by more than 60 days.

Section II - Proposed Term If a Term Contract, does the term, including renewals, exceed 12 months?

If yes, provide a detailed justification including any economic benefit received for agreeing to a multi-year term:

Section III - Funding Source Select the type of funding to be used (Check all that apply):

Section IV - Sole Source Justification Are there secondary justification(s) for this sole source?

Section V - Purchase History Has the Agency or University Purchased these supplies or services in the past?

Term Term From Term To Value Description Contract Number Type Section VI - Business Rationale

1. Provide a detailed explanation of the need for the supplies or services:

2. Provide a list and describe in detail the specifications required to satisfy the need:

3. Provide detail explaining the justification selected in Section IV to explain why the requested supplies or services are the only ones available that can satisfy the agency or university requirements?

4. What are the unique features of the supplies or services that are not available in any other product or by any other vendor? Provide specific quantifiable factors/qualifications:

5. Has the Agency or University considered alternative supplies or services to satisfy their need?

5a. If yes, name the alternative vendors whose supplies or services were evaluated:

5b. If yes, what were the alternatives for each vendor and why were they unacceptable? Be specific with regard to features, characteristics, requirements, capabilities and compatibility:

5c. Explain how the market evaluation was conducted?

*This evaluation is to determine available options within a market. If the evaluation is to determine quality or best suited option, this is not the appropriate source selection. Under no circumstances shall the evaluation consist of testing alternative options. These activities must be conducted in a competitive transparent environment (i.e. IFB or RFP).

5a. If no, why weren't alternatives evaluated?

6. Are there resellers or distributors?

7. What efforts were made to get the best possible price (i.e. did the agency/university negotiate) and how did you determine the price for this purchase is considered fair and reasonable?

8. Will this purchase obligate the State to this vendor for future purchases such as maintenance, licensing or continuing need?

8a. If yes, please provide details regarding future obligations and/or needs:

9. What will be the financial or other impact to the State if this sole source is not approved and a competitive bid is required?

10. Is there any additional information you would like to add to justify this sole source?

Section VII Requesting Department Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed.

State Agency Bureau/Division Head or University Purchasing Director Approval and Signature Required I know and understand the contents of this Sole Source Justification and attest that all statements are true and correct and the fairness and reasonableness of the price was adequately confirmed. (All prior form fields will lock once this e-signature is completed) SPO Approval and Signature Required Sole Source Justification Form - Part II Section I - General Information Was a Sole Source hearing held per 30 ILCS 500/20-25?

Section II - Sole Source Hearing Details The State posted to the Illinois Procurement Bulletin a description of the State's need, the justification for the sole source decision, and information regarding the opportunity to submit comments and testify at a public hearing. Notice of the hearing was also posted outside of the hearing room 48 hours prior to the hearing.

The public hearing was conducted for the purpose of receiving testimony regarding the sole source determination. The Hearing Officer recommends the following:

The following relevant documents are attached:

Section III - CPO Approval and Signature Required 9.0.0.2.20101008.1.734229