Notice of 3 day APP Posting.pdf

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Notice of Intent to Sole Source
Solicitation number
BPM007807
Issued by
Arizona

About this file

This is a Notice of Intent to Sole Source Procurement issued by the Arizona Department of Revenue (ADOR) / State Procurement Office (SPO) regarding the continued licensing, software-as-a-service (SaaS) hosting, system maintenance, and technical support of the Kelmar KAPS (Knowledge Application for Property Systems) Unclaimed Property Management Solution. The target vendor is Kelmar Associates, LLC, the sole developer and intellectual property holder of the KAPS software suite. The proposed contract term is one year with annual renewal options. The notice is posted to the Arizona Procurement Portal (APP) for a minimum of three working days to invite public and vendor comment. Any prospective vendor who believes they can supply a reasonable alternative source capable of meeting the state's functional, technical, and statutory requirements without infringing on proprietary rights must submit written responses prior to the closing date. All submissions must be made electronically via the APP Discussion Forum or sent directly to the Procurement Officer.

The estimated contract value for year one, following implementation, is $859,000.00. The justification for sole sourcing is based on Kelmar Associates' proprietary rights as the exclusive developer and owner of the KAPS software suite, the lack of authorized third-party resellers or maintenance providers for the core platform, and the system's specific configuration to support state unclaimed property workflows, compliance requirements, holder reporting formats, and statutory audit processing. The procurement officer for this solicitation is Robert Ryan, CPO, at the Arizona Department of Revenue (rryan@azdor.gov). The commodities involved are classified as business function specific software (Financial software), software maintenance and support, and Application Service Provider/Cloud Hosting.

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NOTICE OF INTENT TO SOLE SOURCE PROCUREMENT

Solicitation Title: Notice of Intent to Sole Source – Kelmar KAPS Unclaimed Property System

Event Type: Intent to Sole Source

Agency: Arizona Department of Revenue (ADOR) / State Procurement Office (SPO)

Target Vendor: Kelmar Associates, LLC

Posting Window: 3 Working Days

1. SUMMARY OF PROCUREMENT

The State of Arizona/Arizona Department of Revenue intends to enter into a sole-source contract with

Kelmar Associates, LLC for the continued licensing, software-as-a-service (SaaS) hosting, system maintenance, and technical support of the Kelmar KAPS (Knowledge Application for Property Systems)

Unclaimed Property Management Solution.

Estimated Contract Value: Year one (1) $ 859,000.00 (after implementation)

Proposed Term: 1 Year with annual renewal options

Commodity Codes:

43231500 – Business function specific software (Financial software)

81112200 – Software maintenance and support

81111811 – Application Service Provider / Cloud Hosting

2. JUSTIFICATION & BASIS FOR SOLE SOURCE

In accordance with Arizona Admin. Code § R2-7-E301, the State has determined that Kelmar Associates, LLC is the sole source for the requested software and services based on the following:

1. Proprietary Rights: Kelmar Associates, LLC is the sole developer, owner, and intellectual property holder of the KAPS software suite. No authorized third-party resellers or third-party maintenance providers exist for the core KAPS platform.

2. System Integration & Compatibility: KAPS is specifically configured to support state unclaimed property workflows, compliance requirements, holder reporting formats, and statutory audit processing. Continued operations require proprietary code maintenance and cloud infrastructure accessible only to Kelmar.

3. NOTICE TO REGISTERED VENDORS & INVITATION TO COMMENT

Pursuant to Arizona Admin. Code § R2-7-E301(D), this notice is posted to the Arizona Procurement

Portal (APP) for a minimum of three (3) working days to invite public and vendor comment.

Any prospective vendor who believes they can supply a reasonable alternative source capable of meeting the state's functional, technical, and statutory requirements without infringing on proprietary rights must submit a written response prior to the closing date and time listed in this posting.

Submission Instructions:

Submit: All comments, inquiries, or capability statements must be submitted electronically via the

APP Discussion Forum on this Sourcing Event or sent directly to the Procurement Officer listed below.

Content Requirements: Submissions must include clear technical documentation demonstrating that the alternative solution meets the functional requirements and can be implemented without disruption to state unclaimed property operations.

4. AGENCY PROCUREMENT CONTACT

• Procurement Officer: Robert Ryan, CPO

• Agency: Arizona Department of Revenue

• Email: rryan@azdor.gov

File details come from the government source that posted it. Updated .