Section B-M 11-25-08

SECTION B. SUPPLIES OR SERVICES AND PRICES/COSTS

B.1 DESCRIPTION OF SERVICES

The Contractor shall provide the necessary fulfillment services to perform the effort described in Section C, the Statement of Work.

B.2 CONTRACT MINIMUM

The minimum order amount the Pension Benefit Guaranty Corporation (PBGC) will guarantee the Contractor for the base year and each option year, if exercised, is $30,000.00 per year. The maximum value of this contract is $750,000.00 per year.

B.3 PRICING SCHEDULE

The price schedule below is inclusive of all Contractor costs (direct and indirect) for performing services outlined in the Statement of Work (SOW). The prices include but are not limited to: processing letter files, printing of letters/forms/brochures, folding, and insertion, pre-sort, USPS Coding Accurate Support System (CASS) certifying, mailing, laser paper, providing reply envelopes, magnets, folders and brochures. The price also includes cost for inventory of brochures and other insertions, business reply, and outgoing envelopes. A contract line item number (CLIN) has been assigned to each major service required under the contract.

The CLINs identified below indicate 1 day, 2-3 days, etc, and can start at 8am and last until 5PM. These are the core hours of PBGC’s operation. eALG software has an automatic next business day change that takes effect at 4:30pm eastern time. Any job that reaches the eALG software at 6PM can show a mail date of the next business day (begins at 8am). 6PM is after the business day has ended for PBGC, consequently the mail date will typically be the 2nd business day after the current calendar date of the 6PM job request arrival. There are no incentives for jobs that are readied for mailing ahead of the mail date on the letters.

BASE YEAR

The Electronic Automated Letter Generation System (eALG) prints letters in duplex mode. The average number of pages per letter ranges from one to ten pages. One brochure and a standard No. 9 business reply envelope are enclosed. It is estimated that 60 percent of the letters will require a standard No. 10 window envelope, and 15 percent will require a 6 x 9.5 envelope (with custom window). Further an estimate of 25 percent of all mailings will require a standard No. 9 (or larger) business reply envelope (with pre-printed business reply permit number, etc).

An estimated 150,000 packages will require a 10 x 13 window envelope. This package averages five total pages and normally includes two to three brochures, a magnet, a special folder, a DVD, a Mousepad, and a standard No. 9 (or larger) business reply envelope. There are two types of brochures. (1) PBGC designed brochures which will be provided to the Contractor on a diskette with artwork and written specifications of the brochures. The PBGC will provide an initial stock of new brochures. The Contractor shall re-print additional supplies of PBGC designed brochures. (2) The Health Coverage Tax Credit (HCTC) brochure provided and delivered by the Internal Revenue Service (IRS) to the Contractor’s location. The Contractor will not print or duplicate this brochure. See Section C.3.2 (check if still here) for re-ordering requirements.

This CLIN covers all items with USA destinations that cannot be mailed using PBGC's indicia. Covered items are mail pieces that are not eligible for bulk mail handling postage. The unit price includes the appropriate USPS postage costs to mail the item. Preparation of the required postal forms, (i.e. Postal Form 3600) is covered by the CLIN. The average duplex printed letter will weigh between 1 to 1.5 ounces and about 98 percent of the items are to U.S.A. addresses. Contractor's cost to apply proper postage to letters and transport items to the U.S. Postal Service (USPS) for delivery are not included. This will be a cost reimbursable item.

Not to Exceed

$1,500

This CLIN shows the unit price for mailing all items outside the United States. The unit price includes all Contractor costs for foreign mailing, including but not limited to, applying proper postage to letters and submitting to the USPS for delivery and preparation of the required postal forms for mail destined outside the U.S. The average weight per letter is one to two ounces and about 2 percent of the letters will have destinations outside the U.S. This will be a cost reimbursable item.

Not to Exceed

$1,500

The Contractor shall insert PBGC designed (and IRS provided) brochures, magnets, folders, DVDs, and Mouse pads into mailings. The Contractor shall insert them into mailings in accordance with the details in the electronic eALG Q/A Instruction file. An initial supply of insertion items will be provided by PBGC. All additional quantities shall be provided and stored (Outgoing and business replay envelopes are included) by the contractor.

PBGC will provide this artwork in an electronic format (currently using a zip-diskette) and specifications. Prior to print, the Contractor shall deliver proofs as referenced in C.5.6 for PBGC’s approval. The Bi-Annual Newsletter averages four pages and prints in two colors, duplex, on white 11x17 sheets of 60 pound white offset with a letter fold and tabbed. Sealed newsletters with pre-printed PBGC return address and postage presort permit are sprayed with recipient addresses and barcodes for mailing. The Contractor shall generate appropriate postal reports needed for mailing and a “match back” file cross referencing a unique number to the SSN for each newsletter addressee processed for mail.

PBGC cancellation of job after Contractor has completed print process. Contractor shall not mail these letters.

The CLIN shows the unit price for services to process letters/mailings for the Financial Operations Department. Approximately three hundred Statements of Account (SOAs), and Past Due Filing Notices are mailed monthly. The SOA letters have a mandatory 24-hour turnaround time. In addition, periodically, one to two page printed notices are mailed with a form or brochure provided by FOD. Exact numbers of these mailings are not determined but may be as low as 15,000 or as high as 100,000 each year. These are in the contract minimum (See B.2).

Examples of this service may include but are not limited to: purchase of specialized outgoing envelopes and/or lockbox reply envelopes, printing, applying pre-printed labels to envelopes or booklets, insertion into an envelope or affixing adhesive tab and delivery to post office. Completion of required postal forms, i.e. Postal Service Form 3600R2 shall be covered by this CLIN as well.

The CLIN shows the unit price for services to process large mailings not originating from the eALG software. The CLIN is necessary for services needed for an infrequent number of times for the duration of the contract. This service includes using PBGC provided artwork and specifications to print specialized envelopes at cost (about 35000 per year); printing letters with mailing addresses inserted from a Microsoft WORD address file or spraying mailing address, bar codes and postnet data on the mailing envelope; (approximately 105000 per year) inserting letter/form, brochure into the mailing envelope and all related contractor costs. The unit price shall include all Contractor costs for applying proper postage to letters and delivering the mail to the U.S. Postal Service for postal delivery. Preparation of the required postal forms, (i.e. Postal Service Form 3600R2 shall also be covered by the unit price.

PBGC anticipates providing an electronic file through the eALG system. The Contractor shall print the postcard on white 4 ¼ x 6 inch sheets of 65 pound card stock (comparable to JCP-K10). A message prints on one side and an address prints on the other side. The Contractor shall mail the postcard and shall meet USPS postal standards for paper durability, and eligibility for CASS mailings.

The contractor shall provide a monthly cost for keeping the line designated, connected until PBGC needs it. The line cannot be used for any reason except to process PBGC mailings.

The contractor shall provide a one-time telecommunications cost to support the operation of the eALG system in accordance with Connectivity Model shown at C.6.4.1 and labeled “Vendor provided circuits and data transmission lines.” The fulfillment center shall work closely with the PBGC eALG support team to meet PBGC’s telecommunications requirements.

$2,500

OPTION YEAR 1

The Electronic Automated Letter Generation System (eALG) prints letters in duplex mode. The average number of pages per letter ranges from one to ten pages. One brochure and a standard No. 9 business reply envelope are enclosed. The price must include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. BAPD estimates 60 percent of the letters will require a standard No. 10 window envelope, and 15 percent will require a 6 x 9.5 envelope (with custom window). BAPD estimates 25 percent of all mailings will require a standard No. 9 (or larger) business reply envelope (with pre-printed business reply permit number, etc).

Annually, an estimated 150,000 packages will require a 10 x 13 envelope. This package averages five total pages. It normally includes two to three brochures, a magnet, a special folder, and a standard No. 9 (or larger) business reply envelope. The price should include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. There are two types of brochures. The first are PBGC designed brochures. The PBGC will provide a diskette with artwork and written specifications of the brochures. The PBGC will provide an initial stock of new brochures. The Contractor shall re-print additional supplies of PBGC designed brochures. The second is the Health Coverage Tax Credit (HCTC) brochure provided and delivered by the Internal Revenue Service (IRS) to the Contractor’s location. The Contractor will not print this brochure.

This CLIN shows the unit price for postage to mail all items with USA destinations that cannot be mailed using PBGC's indicia. Covered items are mail pieces that are not eligible for bulk mail handling postage. The unit price includes the appropriate USPS postage costs to mail the item. Preparation of the required postal forms, (i.e. Postal Form 3600) is covered by the CLIN. The average duplex printed letter will weigh between 1 to 1.5 ounces and about 98 percent of the items are to U.S.A. addresses. Contractor's cost to apply proper postage to letters and transporting items to the U.S. Postal Service (USPS) for delivery are not included. This will be a cost reimbursable item.

Not to exceed

$1,500

This CLIN shows the unit price for mailing all items outside the United States. The unit price includes all Contractor costs for foreign mailing, including but not limited to, applying proper postage to letters and submitting to the USPS for delivery and preparation of the required postal forms for mail destined outside the U.S. The average weight per letter is one to two ounces and about 2 percent of the letters will have destinations outside the U.S.

Not to Exceed

$1,500

The Contractor shall insert PBGC designed brochures, magnets, folders into some mailings. The Contractor shall insert them into mailings in accordance with the details in the electronic eALG Q/A Instruction file. An initial supply of insertion items will be provided by PBGC. All additional quantities shall be provided and stored (additional quantities of brochures, magnets, folders, and envelopes (e.g. outgoing and reply) for letter jobs created by PBGC staff) by the contractor.

A DVD will be provided by PBGC and must be inserted by contractor into the folders that are mailed.

PBGC will provide this artwork in an electronic format (currently using a zip-diskette) and specifications. Prior to print, the Contractor shall deliver proofs as referenced in C.5.6 for PBGC’s approval. The Bi-Annual Newsletter averages four pages and prints in two colors, duplex, on white 11x17 sheets of 60 pound white offset with a letter fold and tabbed. Sealed newsletters with pre-printed PBGC return address and postage presort permit are sprayed with recipient addresses and barcodes for mailing. The Contractor will generate appropriate postal reports needed for mailing and a “match back” file cross referencing a unique number to the SSN for each newsletter addressee processed for mail.

PBGC cancellation of job after Contractor has completed print process. Contractor shall not mail these letters.

The CLIN shows the unit price for services to process letters/mailings for the Financial Operations Department. The CLIN shows the unit price for services to process large Annual/bi-annual mailings of Form-1 booklets (or similar materials) to Pension Plan Administrators. Approximately three hundred Statements of account, and Past Due Filing Notices are mailed monthly. Periodically, one to two page printed notices are mailed with a form or brochure provided by FOD. Exact numbers of these mailings are not determined but may approach 100 thousand pieces of mail each year. These are in the contract minimum (See B.2). Examples of this service may include but are not limited to: purchase of specialized outgoing envelopes and/or lockbox reply envelopes, printing, applying pre-printed labels to envelopes or booklets, insertion into an envelope or affixing adhesive tab and delivery to post office. Completion of required postal forms, i.e. Postal Service Form 3600R2 shall be covered by this CLIN as well.

The CLIN shows the unit price for services to process large mailings not originating from the eALG software. The CLIN is necessary for services needed for an infrequent number of times for the duration of the contract. This service includes using PBGC provided artwork and specifications to print specialized envelopes at cost (about 35000 per year); printing letters with mailing addresses inserted from a Microsoft WORD address file or spraying mailing address, bar codes and postnet data on the mailing envelope; (approximately 105000 per year) inserting letter/form, brochure into the mailing envelope and all related contractor costs. The unit price shall include all Contractor costs for applying proper postage to letters and delivering the mail to the U.S. Postal Service for postal delivery. Preparation of the required postal forms, (i.e. Postal Service Form 3600R2 shall also be covered by the unit price.

PBGC anticipates providing an electronic file through the eALG system. The Contractor shall print the postcard on white 4 ¼ x 6 inch sheets of 65 pound card stock (comparable to JCP-K10). A message prints on one side and an address prints on the other side. The Contractor shall mail the postcard and shall meet USPS postal standards for paper durability, and eligibility for CASS mailings.

The contractor shall provide a monthly cost for keeping the line designated in B.3.4j, connected until PBGC needs it. The line cannot be used for any reason except to process PBGC mailings.

$2,500

OPTION YEAR 2

The Electronic Automated Letter Generation System (eALG) prints letters in duplex mode. The average number of pages per letter ranges from one to ten pages. One brochure and a standard No. 9 business reply envelope are enclosed. The price must include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. BAPD estimates 60 percent of the letters will require a standard No. 10 window envelope, and 15 percent will require a 6 x 9.5 envelope (with custom window). BAPD estimates 25 percent of all mailings will require a standard No. 9 (or larger) business reply envelope (with pre-printed business reply permit number, etc).

Annually, an estimated 150,000 packages will require a 10 x 13 envelope. This package averages five total pages. It normally includes two to three brochures, a magnet, a special folder, and a standard No. 9 (or larger) business reply envelope. The price should include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. There are two types of brochures. The first are PBGC designed brochures. The PBGC will provide a diskette with artwork and written specifications of the brochures. The PBGC will provide an initial stock of new brochures. The Contractor shall re-print additional supplies of PBGC designed brochures. The second is the Health Coverage Tax Credit (HCTC) brochure provided and delivered by the Internal Revenue Service (IRS) to the Contractor’s location. The Contractor will not print this brochure.

This CLIN shows the unit price for postage to mail all items with USA destinations that cannot be mailed using PBGC's indicia. Covered items are mail pieces that are not eligible for bulk mail handling postage. The unit price includes the appropriate USPS postage costs to mail the item. Preparation of the required postal forms, (i.e. Postal Form 3600) is covered by the CLIN. The average duplex printed letter will weigh between 1 to 1.5 ounces and about 98 percent of the items are to U.S.A. addresses. Contractor's cost to apply proper postage to letters and transporting items to the U.S. Postal Service (USPS) for delivery are not included.

Not to Exceed

$1,500

This CLIN shows the unit price for mailing all items outside the United States. The unit price includes all Contractor costs for foreign mailing, including but not limited to, applying proper postage to letters and submitting to the USPS for delivery and preparation of the required postal forms for mail destined outside the U.S. The average weight per letter is one to two ounces and about 2 percent of the letters will have destinations outside the U.S.

Not to Exceed

$1,500

The Contractor shall insert PBGC designed brochures, magnets, folders into some mailings. The Contractor shall insert them into mailings in accordance with the details in the electronic eALG Q/A Instruction file. An initial supply of insertion items will be provided by PBGC. All additional quantities shall be provided and stored (additional quantities of brochures, magnets, folders, and envelopes (e.g. outgoing and reply) for letter jobs created by PBGC staff) by the contractor.

PBGC will provide this artwork in an electronic format (currently using a zip-diskette) and specifications. Prior to print, the Contractor shall deliver proofs as referenced in C.5.6 for PBGC’s approval. The Bi-Annual Newsletter averages four pages and prints in two colors, duplex, on white 11x17 sheets of 60 pound white offset with a letter fold and tabbed. Sealed newsletters with pre-printed PBGC return address and postage presort permit are sprayed with recipient addresses and barcodes for mailing. The Contractor will generate appropriate postal reports needed for mailing and a “match back” file cross referencing a unique number to the SSN for each newsletter addressee processed for mail.

PBGC cancellation of job after Contractor has completed print process. Contractor shall not mail these letters.

The CLIN shows the unit price for services to process letters/mailings for the Financial Operations Department. The CLIN shows the unit price for services to process large Annual/bi-annual mailings of Form-1 booklets (or similar materials) to Pension Plan Administrators. Approximately three hundred Statements of account, and Past Due Filing Notices are mailed monthly. Periodically, one to two page printed notices are mailed with a form or brochure provided by FOD. Exact numbers of these mailings are not determined but may approach 100 thousand pieces of mail each year. These are in the contract minimum (See B.2). Examples of this service may include but are not limited to: purchase of specialized outgoing envelopes and/or lockbox reply envelopes, printing, applying pre-printed labels to envelopes or booklets, insertion into an envelope or affixing adhesive tab and delivery to post office. Completion of required postal forms, i.e. Postal Service Form 3600R2 shall be covered by this CLIN as well.

The CLIN shows the unit price for services to process large mailings not originating from the eALG software. The CLIN is necessary for services needed for an infrequent number of times for the duration of the contract. This service includes using PBGC provided artwork and specifications to print specialized envelopes at cost (about 35000 per year); printing letters with mailing addresses inserted from a Microsoft WORD address file or spraying mailing address, bar codes and postnet data on the mailing envelope; (approximately 105000 per year) inserting letter/form, brochure into the mailing envelope and all related contractor costs. The unit price shall include all Contractor costs for applying proper postage to letters and delivering the mail to the U.S. Postal Service for postal delivery. Preparation of the required postal forms, (i.e. Postal Service Form 3600R2 shall also be covered by the unit price.

PBGC anticipates providing an electronic file through the eALG system. The Contractor shall print the postcard on white 4 ¼ x 6 inch sheets of 65 pound card stock (comparable to JCP-K10). A message prints on one side and an address prints on the other side. The Contractor shall mail the postcard and shall meet USPS postal standards for paper durability, and eligibility for CASS mailings.

The contractor shall provide a monthly cost for keeping the line designated, connected until PBGC needs it. The line cannot be used for any reason except to process PBGC mailings.

$2,500

OPTION YEAR 3

The Electronic Automated Letter Generation System (eALG) prints letters in duplex mode. The average number of pages per letter ranges from one to ten pages. One brochure and a standard No. 9 business reply envelope are enclosed. The price must include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. BAPD estimates 60 percent of the letters will require a standard No. 10 window envelope, and 15 percent will require a 6 x 9.5 envelope (with custom window). BAPD estimates 25 percent of all mailings will require a standard No. 9 (or larger) business reply envelope (with pre-printed business reply permit number, etc).

Annually, an estimated 150,000 packages will require a 10 x 13 envelope. This package averages five total pages. It normally includes two to three brochures, a magnet, a special folder, and a standard No. 9 (or larger) business reply envelope. The price should include but is not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. There are two types of brochures. The first are PBGC designed brochures. The PBGC will provide a diskette with artwork and written specifications of the brochures. The PBGC will provide an initial stock of new brochures. The Contractor shall re-print additional supplies of PBGC designed brochures. The second is the Health Coverage Tax Credit (HCTC) brochure provided and delivered by the Internal Revenue Service (IRS) to the Contractor’s location. The Contractor will not print this brochure.

This CLIN shows the unit price for postage to mail all items with USA destinations that cannot be mailed using PBGC's indicia. Covered items are mail pieces that are not eligible for bulk mail handling postage. The unit price includes the appropriate USPS postage costs to mail the item. Preparation of the required postal forms, (i.e. Postal Form 3600) is covered by the CLIN. The average duplex printed letter will weigh between 1 to 1.5 ounces and about 98 percent of the items are to U.S.A. addresses. Contractor's cost to apply proper postage to letters and transporting items to the U.S. Postal Service (USPS) for delivery are not included.

Not to Exceed

$1,500

This CLIN shows the unit price for mailing all items outside the United States. The unit price includes all Contractor costs for foreign mailing, including but not limited to, applying proper postage to letters and submitting to the USPS for delivery and preparation of the required postal forms for mail destined outside the U.S. The average weight per letter is one to two ounces and about 2 percent of the letters will have destinations outside the U.S.

Not to Exceed

$1,500

The Contractor shall insert PBGC designed brochures, magnets, folders into some mailings. The Contractor shall insert them into mailings in accordance with the details in the electronic eALG Q/A Instruction file. An initial supply of insertion items will be provided by PBGC. All additional quantities shall be provided and stored (additional quantities of brochures, magnets, folders, and envelopes (e.g. outgoing and reply) for letter jobs created by PBGC staff) by the contractor.A DVD will be provided by PBGC and must be inserted by contractor into the folders that are mailed.

PBGC will provide this artwork in an electronic format (currently using a zip-diskette) and specifications. Prior to print, the Contractor shall deliver proofs as referenced in C.5.6 for PBGC’s approval. The Bi-Annual Newsletter averages four pages and prints in two colors, duplex, on white 11x17 sheets of 60 pound white offset with a letter fold and tabbed. Sealed newsletters with pre-printed PBGC return address and postage presort permit are sprayed with recipient addresses and barcodes for mailing. The Contractor will generate appropriate postal reports needed for mailing and a “match back” file cross referencing a unique number to the SSN for each newsletter addressee processed for mail.

PBGC cancellation of job after Contractor has completed print process. Contractor shall not mail these letters.

The CLIN shows the unit price for services to process letters/mailings for the Financial Operations Department. The CLIN shows the unit price for services to process large Annual/bi-annual mailings of Form-1 booklets (or similar materials) to Pension Plan Administrators. Approximately three hundred Statements of account, and Past Due Filing Notices are mailed monthly. Periodically, one to two page printed notices are mailed with a form or brochure provided by FOD. Exact numbers of these mailings are not determined but may approach 100 thousand pieces of mail each year. These are in the contract minimum (See B.2). Examples of this service may include but are not limited to: purchase of specialized outgoing envelopes and/or lockbox reply envelopes, printing, applying pre-printed labels to envelopes or booklets, insertion into an envelope or affixing adhesive tab and delivery to post office. Completion of required postal forms, i.e. Postal Service Form 3600R2 shall be covered by this CLIN as well.

The CLIN shows the unit price for services to process large mailings not originating from the eALG software. The CLIN is necessary for services needed for an infrequent number of times for the duration of the contract. This service includes using PBGC provided artwork and specifications to print specialized envelopes at cost (about 35000 per year); printing letters with mailing addresses inserted from a Microsoft WORD address file or spraying mailing address, bar codes and postnet data on the mailing envelope; (approximately 105000 per year) inserting letter/form, brochure into the mailing envelope and all related contractor costs. The unit price shall include all Contractor costs for applying proper postage to letters and delivering the mail to the U.S. Postal Service for postal delivery. Preparation of the required postal forms, (i.e. Postal Service Form 3600R2 shall also be covered by the unit price.

PBGC anticipates providing an electronic file through the eALG system. The Contractor shall print the postcard on white 4 ¼ x 6 inch sheets of 65 pound card stock (comparable to JCP-K10). A message prints on one side and an address prints on the other side. The Contractor shall mail the postcard and shall meet USPS postal standards for paper durability, and eligibility for CASS mailings.

The contractor shall provide a monthly cost for keeping the line designated and, connected until PBGC needs it. The line cannot be used for any reason except to process PBGC mailings.

EA.

$2,500

OPTION YEAR 4

The Electronic Automated Letter Generation System (eALG) prints letters in duplex mode. The average number of pages per letter ranges from one to ten pages. One brochure and a standard No. 9 business reply envelope are enclosed. The price must be inclusive of all costs including but not limited to: letter production, outgoing envelopes, and reply envelopes as necessary. BAPD estimates 60 percent of the letters will require a standard No. 10 window envelope, and 15 percent will require a 6 x 9.5 envelope (with custom window). BAPD estimates 25 percent of all mailings will require a standard No. 9 (or larger) business reply envelope (with pre-printed business reply permit number, etc).

This CLIN shows the unit price for postage to mail all items with USA destinations that cannot be mailed using PBGC's indicia. Covered items are mail pieces that are not eligible for bulk mail handling postage. The unit price includes the appropriate USPS postage costs to mail the item. Preparation of the required postal forms, (i.e. Postal Form 3600) is covered by the CLIN. The average duplex printed letter will weigh between 1 to 1.5 ounces and about 98 percent of the items are to U.S.A. addresses. Contractor's cost to apply proper postage to letters and transporting items to the U.S. Postal Service (USPS) for delivery are not included.

Not to Exceed

$1,500

This CLIN shows the unit price for mailing all items outside the United States. The unit price includes all Contractor costs for foreign mailing, including but not limited to, applying proper postage to letters and submitting to the USPS for delivery and preparation of the required postal forms for mail destined outside the U.S. The average weight per letter is one to two ounces and about 2 percent of the letters will have destinations outside the U.S.

Not to exceed

$1,500

The Contractor shall insert PBGC designed brochures, magnets, folders into some mailings. The Contractor shall insert them into mailings in accordance with the details in the electronic eALG Q/A Instruction file. An initial supply of insertion items will be provided by PBGC. All additional quantities shall be provided and stored (additional quantities of brochures, magnets, folders, and envelopes (e.g. outgoing and reply) for letter jobs created by PBGC staff) by the contractor.

PBGC will provide this artwork in an electronic format (currently using a zip-diskette) and specifications. Prior to print, the Contractor shall deliver proofs as referenced in C.5.6 for PBGC’s approval. The Bi-Annual Newsletter averages four pages and prints in two colors, duplex, on white 11x17 sheets of 60 pound white offset with a letter fold and tabbed. Sealed newsletters with pre-printed PBGC return address and postage presort permit are sprayed with recipient addresses and barcodes for mailing. The Contractor will generate appropriate postal reports needed for mailing and a “match back” file cross referencing a unique number to the SSN for each newsletter addressee processed for mail.

PBGC cancellation of job after Contractor has completed print process. Contractor shall not mail these letters.

The CLIN shows the unit price for services to process letters/mailings for the Financial Operations Department. The CLIN shows the unit price for services to process large Annual/bi-annual mailings of Form-1 booklets (or similar materials) to Pension Plan Administrators. Approximately three hundred Statements of account, and Past Due Filing Notices are mailed monthly. Periodically, one to two page printed notices are mailed with a form or brochure provided by FOD. Exact numbers of these mailings are not determined but may approach 100 thousand pieces of mail each year. These are in the contract minimum (See B.2). Examples of this service may include but are not limited to: purchase of specialized outgoing envelopes and/or lockbox reply envelopes, printing, applying pre-printed labels to envelopes or booklets, insertion into an envelope or affixing adhesive tab and delivery to post office. Completion of required postal forms, i.e. Postal Service Form 3600R2 shall be covered by this CLIN as well.

The CLIN shows the unit price for services to process large mailings not originating from the eALG software. The CLIN is necessary for services needed for an infrequent number of times for the duration of the contract. This service includes using PBGC provided artwork and specifications to print specialized envelopes at cost (about 35000 per year); printing letters with mailing addresses inserted from a Microsoft WORD address file or spraying mailing address, bar codes and postnet data on the mailing envelope; (approximately 105000 per year) inserting letter/form, brochure into the mailing envelope and all related contractor costs. The unit price shall include all Contractor costs for applying proper postage to letters and delivering the mail to the U.S. Postal Service for postal delivery. Preparation of the required postal forms, (i.e. Postal Service Form 3600R2 shall also be covered by the unit price.

PBGC anticipates providing an electronic file through the eALG system. The Contractor shall print the postcard on white 4 ¼ x 6 inch sheets of 65 pound card stock (comparable to JCP-K10). A message prints on one side and an address prints on the other side. The Contractor shall mail the postcard and shall meet USPS postal standards for paper durability, and eligibility for CASS mailings.

The contractor shall provide a monthly cost for keeping the line designated and, connected until PBGC needs it. The line cannot be used for any reason except to process PBGC mailings.

$2,500

B.4 PBGC-44-001 OTHER DIRECT COSTS (OCT 2004)

Reasonable transportation expenses will be reimbursed on a actual cost basis to move supplies from Contractor’s location to 1200 K Street, NW; Washington, DC. The Contractor shall be reimbursed for the actual cost of other direct costs determined to be allowable in accordance with Part 31 of the Federal Acquisition Regulation and authorized by the Contracting Officer or his designee prior to the contractor incurring the charge.

C. DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

C.1 Introduction

The Contractor shall provide fulfillment mail services including the printing of participant letters, forms and personalized statements of benefit from an electronic web-based Automated Letter Generation (eALG) program. In addition, the Contractor shall print brochures to be inserted with the letters. The PBGC expects to generate approximately 486,000 letters annually from the eALG Fulfillment and non-eALG letter processing. (Includes 100k for non-eALG work)

C.2 Background

The Pension Benefit Guaranty Corporation (PBGC) is a government corporation created by the Employee Retirement Income Security Act of 1974. The PBGC protects the retirement pensions of participants and beneficiaries in private defined benefit pension plans if the employer can no longer stay in business or fund its pension plan.

The Benefits Administration and Payment Department (BAPD) manages PBGC’s terminated plans, providing timely payments to our participant/beneficiary customers. BAPD staff create letters using the electronic Automated Letter Generation system (eALG). This system prints series of letters, benefit statements, and forms from electronic files. The letters and forms must be collated with a variety of enclosures. The assembled letters are inserted in window envelopes, postage advanced (if needed) and mailed.

The administration of this paper communication requires BAPD to utilize a TIFF file of document data to produce optical images through the Image Processing System (IPS). PBGC may request the Contractor to implement new or improved products and services that may have the potential to provide economical or efficient means to accomplish its mission. This new product may include an “Opt-Out-of-Mailing” service via a mass electronic mail (e-mail). The successful Contractor must have the ability to provide this electronic mail service to PBGC’s customers. When PBGC requests a new product or service, additional information (e.g. technical criteria, samples, and pricing); will be provided by the Contractor.

C.3 Scope of Work

The Fulfillment Contractor (herein called Contractor) shall provide all management, supervision, labor, materials, and supplies and shall plan,…