PRF79 Purchase Card RFR.docx

COMMONWEALTH OF MASSACHUSETTS

OPERATIONAL SERVICES DIVISION

Request for Response (RFR)

Document Title: PRF79

Agency Document Number: Purchase Card (P-card) Program COMMBUYS Bid#: BD-21-1080-OSD03-SRC01-64108

Bid Release Date: September 16, 2021

Please Note: This is a single document associated with a complete Bid (also referred to as Solicitation) that can be found on www.COMMBUYS.com. Bidders are responsible for reviewing and complying with all Bid requirements. Bidders may contact the OSD Help Desk at COMMBUYS@mass.gov or at 1-888-MA-STATE for technical assistance with COMMBUYS. The Help Desk is staffed from 8:00 AM to 5:00 PM Monday through Friday Eastern time, as applicable, except on federal and state holidays.

Bidders with disabilities or hardships that seek reasonable accommodation, which may include the receipt of RFR information in an alternative format, must communicate such requests in writing to the contact person. Requests for accommodation will be addressed on a case by case basis. A Bidder requesting accommodation must submit a written statement which describes the Bidder’s disability and the requested accommodation to the contact person for the RFR. The SST reserves the right to reject unreasonable requests.

Table of Contents

INTRODUCTION AND BID OVERVIEW

Summary Description of Procurement The Commonwealth of Massachusetts Office of the Comptroller (CTR), as designated by the Operational Services Division (OSD), is issuing a re-bid of a (CTR) Statewide Contract for Purchase Card (P-card) Program Services that ends December 31, 2021. This RFR will replace PRF47DesignatedOSC, which will effectively sunset at PRF79DesignatedCTR’s start date of January 1, 2022.

This RFR, PRF79DesignatedCTR, seeks qualified Bidders for this Statewide Contract. Bidders selected under this Statewide Contract will perform a full suite of Purchase Card (P-card) Program Services.

Estimated Procurement Calendar

Late bids will not be considered.

*See Appendix 3, “Instructions for Vendors Responding to Bids Electronically through COMMBUYS” for details on how to submit responses on COMMBUYS.

For instructions on how to register for live webinar and additional trainings that may be helpful to prospective bidders, such as "Training for Vendors Responding to Bids On COMMBUYS" visit https://www.mass.gov/files/documents/2017/09/15/vendor-schedule-fall2017-winter2018.pdf for Instructor-Led Training and Webinar dates. Additional information can be found through YouTube Video: How to Find Bids (Solicitations) and Submit Quotes (Respond) https://www.youtube.com/watch?v=IG7XDNk4-U0 Times are Eastern Time (US), as displayed on the COMMBUYS system clock after logging in. If there is a conflict between the dates in this Procurement Calendar and dates in the Bid’s Header, the dates in the Bid’s Header on COMMBUYS shall prevail. Bidders are responsible for checking the Bid record, including Bid Q & A, on COMMBUYS for Procurement Calendar updates.

Submission of Bid Questions The “Bid Q & A” function in COMMBUYS allows Bidders to ask written questions and receive written answers regarding this Bid. To locate the Bid Q & A, log into COMMBUYS, locate the Bid, acknowledge receipt of the Bid, and scroll down to the bottom of the Bid Header page. The “Bid Q & A” button allows Bidders access to the Bid Q & A page.

All questions must be submitted through the Bid Q & A page. Questions must be asked prior to the Deadline stated in the Estimated Procurement Calendar. The Strategic Sourcing Team (SST) reserves the right not to respond to late questions. Bidders are responsible for verifying that their questions are recorded in COMMBUYS and appear on the Bid Q & A page.

Questions submitted to the SST outside of COMMBUYS will not be answered.

Content entered must be suitable for public viewing. Bidders must not include inappropriate content, including but not limited to, information that could be considered personal, security sensitive, inflammatory, incorrect, or collusory. The SST reserves the right to edit or delete any inappropriate content.

All answers are final when posted. Any subsequent revisions to previously provided answers will be dated.

Bid Amendment Deadline The SST reserves the right to make amendments to the Bid after initial publication. It is each Bidder’s responsibility to check COMMBUYS for any amendments, addenda or modifications to this Bid, and any Bid Q & A records related to this Bid. The SST and the Commonwealth accept no responsibility and will provide no accommodation to Bidders who submit a Quote based on an out-of-date Bid or on information received from a source other than COMMBUYS.

At the SST’s discretion, the Bid Amendment Deadline may be extended. Should this occur, the “Deadline for Quotes/Responses” shall be extended as well. As stated above, it is the responsibility of the bidder for checking the Bid record in COMMBUYS for revisions and updates.

Late Bids will not be Considered Bid responses must be received in full by the bid opening date and time shown on COMMBUYS ("Bid Opening Date/Time", i.e., the Deadline for Quotes/Bid Responses). Proposals received after the deadline will be ineligible for consideration and deemed non-responsive. Each bidder/offeror must submit all required bid response forms electronically through COMMBUYS. When submitting a quote electronically through COMMBUYS, please allow sufficient time to complete any online forms and upload documents. If you are in the middle of uploading your proposal when the deadline is reached, the system will stop the process and you will be unable to submit your Quote. It is recommended that Quotes be submitted as far in advance as possible before the deadline to allow time to obtain assistance from the OSD Help Desk if needed.

Debriefing The SST will conduct debriefings for unsuccessful Bidders, if the request for a debriefing is received by the SST within 14 calendar days of notification that the Bidder’s Quote was not selected for an award. Debriefing guidelines will be provided in advance prior to the debriefing.

Additional Bid Information Anticipated Contract Duration:

The initial term of this Contract is four (4) years. In addition, this Contract has two (2) options to renew of up to three (3) years each, thus the maximum possible contract duration is ten (10) years.

CTR reserves the right to negotiate any part the RFR or contract to ensure continued best value for the Commonwealth, including fees. In addition, the contract may be extended under the same terms and conditions as needed for any period necessary to transition to a new procurement.

Estimated Value of the Contract Since this is a rate contract, the maximum obligation for services provided under this RFR is unknown and it will depend upon the volume and issuance of cards provided to each Eligible Entity. For reference, under the previous Statewide Contract, Eligible Entities spent more than $7.5 million per year for these services.

The Commonwealth makes no guarantee that any commodities or services will be purchased from any Contract resulting from this Bid. Any estimates or past procurement volumes referenced in this Bid are included only for the convenience of Bidders and are not to be relied upon as any indication of future purchase levels.

Estimated Number of Awards The SST is seeking one firm to be responsible for providing services under this Statewide Contract, but the SST reserves the right to contract with more than one Contractor if there are special circumstances.

Contract renewals will be offered at the sole discretion of CTR. Rate plans may also be updated upon Contract renewal. At a minimum, offers to renew will be contingent upon satisfactory contractor performance and compliance with reporting requirements.

Adding Contractors after initial Contract Award Open Enrollment - If, over the life of the Contract, the SST determines that additional Contractors should be added in order to meet the requirements of the Commonwealth, these may first be drawn from qualified companies which responded to this Bid but were not awarded contracts or the Bid may be reopened to obtain additional Quotes.

Acquisition Method(s):

Entities Eligible to Use the Resulting Contract Any Contract(s) resulting from this Bid will be open for use by the following entities:

· Cities, towns, districts, counties and other political subdivisions;

· Executive, Legislative and Judicial Branches, including all Departments and elected offices therein;

· Independent public authorities, commissions and quasi-public agencies;

· Local public libraries, public school districts and charter schools;

· Public hospitals owned by the Commonwealth;

· Public institutions of higher education;

· Public purchasing cooperatives;

· Non-profit organizations that are doing business with the Commonwealth;

· Other states and territories with no prior approval by the State Purchasing Agent; and

· Other entities when designated in writing by the State Purchasing Agent.

Each eligible entity is responsible for monitoring its own purchases and paying its own invoices for goods and/or services acquired from this Contract. Contractors will be responsible for marketing their goods and/or services to Commonwealth Agencies and other eligible entities.

ADDITIONAL INFORMATION ON PROCUREMENT SCOPE

Procurement Exclusions The following services are excluded from this Statewide Contract:

· Cash Advances (ATMs/cash back);

· Gift Cards

· Legal Services

· Services from unincorporated vendors (unless the P-Card program can track purchases by vendor TIN to enable appropriate 1099 reporting),

· Alcohol purchases

· A single purchase that exceeds the lower of the card limit (or other amount as determined by the Office of the Comptroller)

· Personal expenses of the Cardholder

· Any additional restrictions identified by the Department in its Internal Controls.

· any other purchases prohibited under the contract.

· Note: there are circumstances where departments may have operational needs (for example, purchasing items at a liquor store as part of an investigation) that could be included above; the program should be flexible enough for those one offs.

Bidder Qualifications Bidders are given the opportunity to demonstrate their qualifications within the RFR Response Template. The following are the minimum qualifications for this bid.

Business Background /Years in the Industry of the Bid (Section C-3 of RFR Response Template) Bidders must have been in the business of providing P-Card Program services for government entities (federal, state, or local) for at least the five (5) most recent consecutive years prior to the RFR submission deadline (See RFR Section 1.2, Estimated Procurement Calendar).

This condition will be waived only if a Bidder can demonstrate comparable experience in the private sector with larger clients, and that the Bidder can guarantee that Contract performance will be operational by the start date of the Contract and is willing to assume the costs of implementation to ensure timely implementation (provided the Commonwealth is not responsible for any delays).

Business Models (Section C-4 of RFR Response Template) Bidders must demonstrate their ability to provide both a centralized and decentralized business model.

a) Centralized administrative model: CTR will be responsible for coordinating, creating, and issuing individual cards to card holders. Cardholders’ (users’) only contact with the bank will be extracting P-card reports for their department from the bank’s P-Card application and for lost, stolen, or disputed items.

b) Decentralized Model: The system should have an option to let the Commonwealth decentralize the creation and issuance of cards at the department (user) level. If needed, the proposed option should allow the Commonwealth to implement P-card department by department or on in a group or in total.

Service Level Agreements (Section C-5 of RFR Response Template) Bidder must agree to the following terms for providing technical service and business service:

Service Level Agreement (SLA) Technical Service Level Agreement

a) Bank technical support to develop the interface from the bank to the Commonwealth’s Accounting System.

b) Escalation procedures for technical assistance when problems arise.

c) ETA for any technical assistance request

d) Status reports no later than 24 hours after the initiation of a technical support request, and weekly follow-ups until the issue is resolved.

e) Early notification regarding upcoming upgrades and enhancements.

f) Timely training regarding upgrades/new releases.

g) Be able to offer progressive rebate schedule.

Service Level Agreement (SLA) Business Service Level Agreement

h) Program Support direct contact via phone

i) Program Administrator functionality must include:

i) set up new accounts online, including ordering and registering cards and establishing User ID and password.

ii) add, edit, or remove single or multiple Merchant Category Codes (MCC) from multiple card accounts at once.

iii) initiate one-time overrides per transaction.

iv) establish roles, access, and authority levels for all user types (i.e., managers, approvers, cardholders) within the Purchasing Entity.

v) unlock system access, reset User ID and reset password for any User within the Purchasing Entity.

vi) see changes made to an account profile and who made those changes.

vii) view cancelled, deactivated, and suspended cards within the Entity.

viii) order and issue replacement cards (singular or multiple simultaneously) online.

j) Allow for Program Administrators and Cardholders to access statements online.

k) System will notify Program Administrators and Cardholders of statement availability via email.

l) System will have the ability to roll-up billing to managing account level or bill at department level as determined by the Commonwealth.

m) System will display transactions in US dollars.

n) System will allow for Program Administrator and Cardholder to view account information including, but not limited to:

i) Balances

ii) Limits

iii) Charges

iv) Declined transactions

v) Spend history

Robust Reporting Requirements, Results and Analysis (Section C-6 of RFR Response Template) Bidders must demonstrate the capability to provide detailed assessments, reports and any other information required by eligible entities. Reports must be available in Excel and PDF formats.

Reporting may include dashboards at the program administrator and/or card holder level.

The Commonwealth needs online reports with the following fields that can be run by authorized users who may not have authorization to add cards:

a) Program Account Number

b) Program Card Name

c) Work address

d) Statement Date

e) Previous Balance

f) Payment Amount Total(s)

g) Payment Amount Details

h) Purchase date

i) Credits if applicable

j) Bank reference number

k) Merchant name and address

l) Date of Payment(s)

m) Credit Amount(s)

n) Purchases detail and Total amount

o) Billing period

p) Late Fee

q) Other Fees

r) Finance Charge

s) Total Due Amount

t) Ending Balance Additionally, Bidder must demonstrate the ability to:

u) meet interface requirements and send P-Card data electronically to be interfaced to the Comptroller’s Accounting system;

v) create or configure and run reports for authorized users (Departments) and CTR to administer statewide P-Card program;

w) set Auditors (Departments) to “View All Spend Report” (spending detail report under one group)

x) set users (Departments) to “View Only Spend Report” (individual spending detail report).

y) set Program Administrator (CTR) to “View All Spend Report” and Card Report for Groups.

Bidder shall describe any other details relating to reporting, software, websites, or types of available reporting models and any recommended reconciliation tools, reports or other quality assurance tools or recommendations.

Bidder shall describe any costs associated with reporting and tools in the costs section.

Wide Acceptance of P-Card (Section C-7 of RFR Response Template) Bidder must demonstrate that their purchase card has wide acceptance and demonstrate the ease of use of its online platform.

Bidder must provide a cost-effective Purchase Card (P-Card) Program with a purchase card that has wide acceptance at business establishments (such as MasterCard and VISA) throughout Massachusetts and nationally. The Commonwealth is looking for a simple platform that would provide increased efficiency and minimum maintenance. The intent of the P-Card program is to allow the Commonwealth to make small and big purchases easier and streamline business process.

Prohibit Use of ATM (Section C-8 of RFR Response Template) Bidder must confirm its ability to prohibit ATM usage under any P-card issued, and ability to provide centralized MCC management capability.

P-Card Distribution (Section C-9 of RFR Response Template) Bidder must demonstrate capability to issue a minimum of 420 cards on or about January 1, 2022, to state employees who have cards under the current statewide contract, displaying the cardholder’s name, user department, and “Commonwealth of Massachusetts.” Cards shall be issued only to user Departments and cardholders that have been approved in advance by the Office of the Comptroller under the P-Card Program policies provided to the Contractor.

Cards must be clearly labeled to identify the Commonwealth of Massachusetts and to show the card is to be used for official use. Each card shall display:

PCI Compliance (Section C-10 of RFR Response Template) Bidders must demonstrate PCI compliance as a condition of submitting a Response, as well as the highest standards for secure processing of personal information.

Purchase Card Account Discrepancies (Section C-11 of RFR Response Template) Bidder must confirm their agreement with the following conditions:

Contractor may not cancel a card or account for late or non-payment or for any other reason (unless requested by the user Department) without prior notice to the user Department AND the Office of the Comptroller. Since some cardholders travel using the purchase cards, use of the credits cards is a business necessity, given that the cards may not be used for ATM withdrawals. Discrepancies in payments must be resolved with the user Department, with assistance from the Office of the Comptroller if necessary. If the selected Contractor determines that a card or account needs to be terminated for late or non-payment, the Contractor shall notify the Office of the Comptroller and provide at least 5 business days from actual receipt of notice to allow the Office of the Comptroller to assist in resolving the dispute or discrepancy.

Cancellation and Replacement of Purchase Cards (Section C-12 of RFR Response Template) Bidder must confirm their agreement with the following conditions:

Contractor must be able to provide for immediate cancellation and emergency issuance of replacement purchase cards if requested by the user Department or the Office of the Comptroller. The Bidder must identify the requirements and process for notification, cancellation, and re-issuance of lost or stolen purchase cards. Lost/stolen cards will be reissued and forwarded to the Office of Comptroller.

Customer Service (Section C-13 of RFR Response Template) Bidder must assign a dedicated service representative for the Commonwealth Program Administrators.

The Commonwealth anticipates performing training of Department Chief Fiscal Officers and cardholders before Departmental use. Bidders must identify their training programs for their products and make recommendations of industry best practices for training users in both use and administration of the products.

Liability (Section C-14 of RFR Response Template) The Commonwealth seeks similar provisions for liability and other purchase card usage terms and conditions as apply to consumers as outlined in Commonwealth statutes M.G.L. c 140D and c. 167B; Commonwealth regulation 209 CMR 32.00 and Federal Regulation Z (12 CFR part 226) and the Federal Truth and Lending Act 15 USC 1643 and 1645. Any disruption in processing may subject the Contractor to liquidated damages.

Purchase Card Rebate (Section C-15 of RFR Response Template) Bidders must include a competitive rebate sheet based on volume. The rebate should be paid directly to the Commonwealth and other participating entities on an annual basis through EFT.

0. Listing of Fees (Section C-16 of RFR Response Template) Bidders must include a listing of all applicable fees (but excluding the relevant rates). The Commonwealth is seeking a program that does not charge an annual fee. The Commonwealth works to ensure that timely payments are made to avoid finance charges, however, those should be included in the listing along with any other applicable fees.

In-State Presence (Section B-1 of RFR Response Template)

Bidder must be a United States firm able to perform on-site work in Massachusetts, with no services being provided outside the continental US. It is preferred that contractors have an in-state presence, with a local office as opposed to a registered agent location, but this is not required for selection. Travel costs will add to the overall costs for an engagement and will result in a bidder being less attractive both for initial selection or for individual engagements under the Statewide Contract. Out of state bidders will have to weigh this investment relative to engagements under the Statewide Contract as work is not guaranteed.

Supplier Diversity Program (SDP) participation.

(Section B-2 of RFR Response Template)

Supplier Diversity Program (SDP) participation accounts for no less than 25% of the total points in the evaluation. Statewide Contractors must commit to SDP participation with certified vendors. Bidder must submit a SDP Plan Attachment as part of this response.

Security, Compliance and Privacy (Section B-3 of RFR Response Template) The Bidder will be considered a holder of Commonwealth personal data under M.G.L. c. 66A and/or personal information under MGL c. 93H and M.G.L. c. 93I . For purposes of this contract, electronic personal data and personal information includes data provided by the Commonwealth to the Bidder which may physically reside at a location owned and/or controlled by the Commonwealth or Bidder.

a) Describe in detail the measures used to protect the security and privacy of program data, records, forms, participant information, and data processing operations. Include information about the physical security measures used to control access to systems and the internal controls that are in place to reduce losses that may occur through fraud, negligence, incompetence, or system or other errors.

b) Describe the maximum feasible safeguards the Bidder will implement to keep all customer information, including account information, secured in a manner which will ensure the security, confidentiality and integrity of electronic personal data and personal information during all stages of the program, including activation, enrollment, and termination to prevent unauthorized access or interception and manipulation of data during transmission to and from any servers of electronic personal data or personal information or any other Commonwealth Data from any public or private network or from customers; will ensure that participant information including participant account information created as a result of this RFR will remain confidential and will never be sold or otherwise shared with any other entity not associated with the Contract or for any purpose other than the implementation of the Contract, unless required by law, and ensure that participant account or other information will not be used to solicit other business and will be kept confidential.

c) Describe the maximum feasible safeguards the Bidder will implement to prevent on-site unauthorized physical access to any information technology resources involved in the Bidder’s performance and how access to the data regarding customer information and customer accounts will be restricted to those individuals whose access is essential to the administration of the program and how the Bidder will document that each individual with access to customer information, including account information has been thoroughly trained regarding the unique state requirements for confidentiality and what confidentiality agreements have been executed before access to this information is permitted.

d) Describe the maximum feasible safeguards the Bidder will implement to monitor the use of the data by individuals with access to customer information, including account information to ensure that such information is being used for purposes consistent with the administration of this Program.

e) Describe the maximum feasible safeguards the Bidder will implement to notify CTR immediately if any breach of such system or of the security, confidentiality, or integrity of electronic personal data or personal information occurs and what assistance the Bidder will provide to the customer if the customer’s individual account information is compromised.

f) Describe the maximum feasible safeguards the Bidder will implement for fraud detection, prevention and recapture of funds and liability issues, including procedures for preventing identity theft and responding to fraudulent activities and procedures for resolving and prosecuting fraud, including the timeframes and methods of notifications to the State Agency and information that will be provided. Describe how the program will prevent fraudulent use of cards, sale of cards on the Internet such as eBay (see http://www.gao.gov/new.items/d07724t.pdf ) and what internal controls will be in place to prevent fraud, abuse or misuse.

g) Describe how the Bidder will meet all “Regulation E” requirements, including those that apply specifically to government programs if triggered by the types of services available under the Program, and how sub-contractors who are otherwise responsible for Regulation E are also responsible for Regulation E in relation to this contract.

h) Please describe how your firm and all subcontractors comply with the PCI Data Security Standard (DSS) in its entirety for all payment channels and specific to various payment channels and hosting scenarios.

i) Please confirm that your firm and each subcontractor has successfully completed timely and annual assessments and validation based on the PCI DSS, identify each SAQ level, and state the date of last compliance confirmation.

j) Please identify a list of dates and general description of any data breaches for Bidder and any subcontractors and how resolved.

k) Identify any current security breaches for the Bidder or any subcontractors that are underway and not yet resolved. Please describe currently implemented protocols and emerging protocols that the Bidder and any subcontractors have implemented or are implementing for secure data processing, transmission, and storage of confidential data.

l) Describe how Bidder and subcontractors will comply with the Commonwealth of Massachusetts’ Enterprise Information Technology Policies (See: https://www.mass.gov/handbook/enterprise-information-security-policies-and-standards )

m) Describe how Bidder and subcontractors will comply with the following Commonwealth of Massachusetts statutes: Management of public records G.L. c. 66; protection of personal data G.L. c. 66A; protection of private information Chapter 82 of the Acts of 2007 (An Act Relative to Security Freezes and Notification of Data Breaches); and security breaches G.L. c. 93H.

Partnership Commitment (Section B-4 of RFR Response Template) Bidders must demonstrate a significant commitment to partner with the Commonwealth and eligible entities to achieve the highest level of compliance and ensure that business methods prevent fraud, waste and abuse of Commonwealth funds and resources.

Bankruptcy, litigation, and contract defaults (Section A-4 of RFR Response Template) Bidders must provide a list of any outstanding contingencies, such as lawsuits or other claims or charges, against the Bidder related to performance of the services sought under this RFR which would potentially affect the bidder’s ability to perform these services.

References and reference information and/or requirements (Section C-17 of RFR Response Template) Bidders are required to provide reference information in the RFR Response Template.

SERVICE SPECIFICATIONS

The Commonwealth currently has a Statewide Contract for Purchase Card (P-Card) Program services under PRF47DesignatedOSC, which ends December 31, 2021, and is being rebid under this RFR. The primary goal of the Commonwealth P-Card Program is to simplify and expedite a department’s routine purchases under 801 CMR 21.00, including incidental purchases and other Department and Eligible Entity procurement protocols.

The P-Card Program is also used to minimize reimbursable travel processing costs or as an alternative payment method when purchasing under Statewide Contracts. The P-Card purchasing process includes pricing inquiry, order placement, delivery of goods and invoices. In addition, the P-Card Program offers individual detailed purchase entries, payment entry and disbursement processing which are significantly streamlined using the P-Card. The Commonwealth P-Card will assist Departments to fulfill immediate or non-office hour purchasing needs and dramatically shorten and simplify the payment cycle processing.

Departments and other Eligible Entities can use the P-card to purchase goods, services, including travel expenses consistent with established policies and procedures and the internal control of the Department. Approved business expenses generated while engaged in job related activities away from the regular place of employment may be placed on a P-Card.

Expenses include, but are not limited to, the following:

· Telephone, electric, gas, cable, and heating oil

· Office supplies

· Internet based subscriptions

· Facility supplies (such as hardware supply stores)

· Registration fee payments

· Airline ticket payments

· Vehicle rental payments

· Gasoline for rental vehicles

· Other transportation ticket payments

· Hotel folio payments including business related costs such as business phone charges and business internet access.

· Payment for food up to the allowed amount in the Red Book or any other approved rates.

There are currently 418 cards in use in 85 state departments (each department or eligible entity is considered a separate billing department unit. Therefore, the Contractor would need to be able to immediately issue this volume of cards on or about January 1, 2022.

Currently, most cards have $1,000 to $50,000 limits, but increased limits may be required depending upon frequency of card use and department needs.

Actual spending for FY2021 was $16.8 million, and for FY2020 was $ 14 million. The pandemic significantly increased P-Card spending. The anticipated spend going forward is between $7.5 million and $10 million.

Payments for any billing unit (department or eligible entity) are not secured by the Commonwealth and create no security interest for the Contractor. Each department or eligible entity that authorized P-Card holder employees is liable for payments, subject to appropriation.

Alternative options will be evaluated if cost effective. The key concerns for the Commonwealth are ensuring that the contractor meets program requirements, provides excellent customer service and prompt quality service. The Commonwealth may sign a 4 year contract but is not locked in to paying for a 4 year term if implementation is not satisfactory. The Commonwealth reserves the right to terminate if performance is not satisfactory At a minimum, the Commonwealth seeks a P-Card Program that is easy to administer, cost effective and enables Departments (billing units) to use the P-Card at most merchants or on-line purchases. However, Bidder should propose all purchasing card options and functionality and costs so that the Commonwealth has the option of selecting a more robust or more highly functional P-Card program that tracks purchases and relays key information back to the Commonwealth.

The Commonwealth is seeking a business partner for the P-Card Program and therefore plans to select the best partner for the duration of the procurement. As such, the Commonwealth reserves the right and shall have broad discretion to take advantage of any P-Card or related programs, functionality or services proposed in the Response by the selected Contractor and any other available programs or services from the selected Contractor developed during the period of the procurement (even if not offered at the time of the RFR), and may work with the Contractor to update, modify or enhance the selected P-Card Program based upon the needs of Commonwealth Departments to provide the most cost effective and best value Statewide Contract for eligible entities. Bidders should prepare Responses to support these goals.

Ordering and Quotes Responding to Buyer’s quote requests is a requirement of this contract. Contractors choosing not to bid must respond to COMMBUYS quote requests with a “no bid” by selecting the “Is No Bid” checkbox on the General tab of the quote. Similarly, Contractors choosing not to bid on quote requests received outside of COMMBUYS must respond with a “no bid.”

Contractors must provide a quote that clearly identifies all commodities, materials, services and/or requirements which may incur costs for the Eligible Entity. All quotes must be for only products and/or services that Contractor is awarded to sell under this Statewide Contract. Furthermore, Contractors may not bill Eligible Entities for costs not identified in the quote, accepted by the SST, and agreed to by the Eligible Entity unless otherwise specified.

Environmental Specifications In 2009, Executive Order 515, establishing an Environmental Purchasing Policy for Executive Departments, was signed. View the Environmentally Preferable Products (EPPs) Procurement Program General Information, Requirements and Guidance for detailed information about the program at https://www.mass.gov/doc/epp-general-information-requirements-and-guidance/download.

Environmental Benefit Claims/Labeling Environmental benefit claims concerning products or services must be consistent with the Federal Trade Commissions’ Guides for the Use of Environmental Marketing Terms. Product environmental claims are to include the industry standard the product meets and certifier. Vendors must agree to offer and clearly label products with sustainability certifications and attributes, when available, within specific product categories. Documentation of the certification claimed by the vendor must be supplied upon request if it is not publicly available for verification (on either the vendor’s or certifier’s website).

Vendors claiming environmental benefits of their products shall list the appropriate benefits or industry standard it meets in the quarterly sales reports, if applicable, or on separate annual reports.

Bidders should also be aware that in 2021, Senate Bill 9 - An Act Creating a Next Generation Roadmap for Massachusetts Climate Policy was signed to achieve Net Zero emissions in 2050 and furthers the Commonwealth’s efforts to combat climate change and protect vulnerable communities. The full Act may be viewed at https://malegislature.gov/Bills/192/S9. In 2021, Executive Order 594, Leading by Example: Decarbonizing and Minimizing Environmental Impacts of State Government, was signed. EO594 requires all eligible state agencies to assess and implement strategies to mitigate greenhouse gas emissions and other environmental impacts when planning for and executing projects related to the design, construction, operations, and maintenance of state facilities, and the procurement of goods and services, including vehicles. View EO594: Leading By Example requirements at https://www.mass.gov/executive-orders/no-594-leading-by-example-decarbonizing-and-minimizing-environmental-impacts-of-state-government.

Required Environmental Specifications View the Environmentally Preferable Products (EPPs) Procurement Program General Information, Requirements and Guidance for detailed information about the program at https://www.mass.gov/doc/epp-general-information-requirements-and-guidance/download.

Bidder Current Environmental Practices Form Bidders must complete this form, Attachment PRF79 EPP Form to this RFR, and submit it with their Quote. The form allows Bidders to communicate existing business practices that foster a sustainable approach to conducting their operations and reduce environment or public health impacts. Bidders may receive additional points in the evaluation phase of the RFR for the environmental initiatives they identify, however, bidders must substantiate all answers to receive additional points.

Environmental plan Awarded Bidders must agree to work with OSD and the SST to examine the feasibility of implementing an environmental plan throughout the life of the contract. Such a plan may include, but not be limited to, implementing energy initiatives, adopting, and implementing sustainability policies or third-party standards and/or certifications, or publicizing their environmental initiatives. The objective of this requirement is to actively encourage suppliers to incorporate sustainable practices throughout their business operations and further market such practices to Contract users. Bidders may include written proposals submitted as an attachment PRF79 EPP Form to their Quote detailing a commitment to action contingent upon receipt of a Contract award.

Compensation Structure/Pricing Bidders must submit a detailed rate attachment as part of their response which demonstrate the most cost-effective pricing for the Commonwealth. Bidders must identify all costs or charges that can be billed under the Statewide Contract.

Compensation will be based solely on the pricing submitted by the Bidder and accepted by the SST. Pricing must be submitted for all goods and services to be provided on this Statewide Contract. Pricing will be published on COMMBUYS.

Prompt Pay Discount The requirement to offer a PPD is waived by the SST for Purchase Card Services.

SUPPLIER DIVERSITY PLAN (SDP)

Program Background Pursuant to Executive Order 565, the Commonwealth’s Supplier Diversity Program (SDP) promotes business-to-business relationships between awarded Contractors and diverse businesses and non-profit organizations (“SDP Partners”) certified or recognized by the Supplier Diversity Office (SDO).

Financial Commitment Requirements All Bidders responding to this solicitation are required to make a meaningful financial commitment (“SDP Commitment”) to partnering with one or more SDO-certified or recognized diverse business enterprise or non-profit organization. This SDP Commitment must be expressed as a percentage of any contract sales resulting from this solicitation that would be spent with the SDP Partner(s).

After contract award (if any), the Total SDP Commitment shall become a contractual requirement to be met annually on a Massachusetts fiscal year basis (July 1 – June 30) for the duration of the contract.

The minimum total SDP Commitment acceptable in responses to this solicitation shall be 1%. Bidders shall be awarded additional evaluation points for higher SDP Commitments.

No contract shall be awarded to a Bidder without an SDP Commitment that meets the requirements stated herein. This requirement extends to all Bidders regardless of their own supplier diversity certification.

Eligible SDP Partner Certification Categories SDP Partners must be business enterprises and/or non-profit organizations certified or recognized by the SDO in one or more of the following certification categories:

· Minority-Owned Business Enterprise (MBE)

· Minority Non-Profit Organization (M/NPO)

· Women-Owned Business Enterprise (WBE)

· Women Non-Profit Organization (W/NPO)

· Veteran-Owned Business Enterprise (VBE)

· Service-Disabled Veteran-Owned Business Enterprise (SDVOBE)

· Disability-Owned Business Enterprise (DOBE)

· Lesbian, Gay, Bisexual, and Transgender Business Enterprise (LBGTBE)

Eligible Types of Business-to-Business Relationships Bidders and Contractors may engage SDP Partners in the following two ways:

· Subcontracting, defined as a partnership in which the SDP partner is involved in the provision of products and/or services to the Commonwealth.

· Ancillary Products and Services, defined as a business relationship in which the SDP partner provides products or services that are not directly related to the Contractor’s contract with the Commonwealth but may be related to the Contractor’s own operational needs.

Other types of business-to-business relationships are not acceptable under this contract. All provisions of this RFR applicable to subcontracting shall apply equally to the engagement of SDP Partners as subcontractors.

Program Flexibility The SDP encompasses the following provisions to support Bidders in establishing and maintaining sustainable business-to-business relationships meeting their needs:

· SDP Partners are not required to be subcontractors.

· SDP Partners are not required to be Massachusetts-based businesses.

· SDP Partners may be changed or added during the term of the contract as long as the Contractor continues to meet its SDP Commitment.

SDP Plan Form Requirements All Bidders must complete the SDP Plan Form included in this solicitation and attach it to their bid response. In addition to proposing an SDP Commitment, each Bidder must propose one or more SDP Partner(s) to utilize to meet its SDP Commitment. Certified diverse Bidders may not list their own companies, or their subsidiaries or affiliates, as SDP Partners and may not meet their SDP Commitment by spending funds internally or with their own subsidiaries or affiliates.

Bidders may propose SDP Partners that are:

· Already certified or recognized by the SDO: Such partners appear in the SDO Directory of Certified Businesses or in the U.S. Dept of Veterans Affairs VetBiz Vendor Information Pages directory. After contract award (if any), spending with such partners will contribute to meeting the Contractor’s SDP Commitment.

· Not yet certified or recognized by the SDO: Such partners must be certified in eligible categories by a third-party certification body, such as another city or state supplier diversity certification office, the National Minority Supplier Development Council, the Women Business Enterprise National Council, Disability:IN, or the National LGBT Chamber of Commerce (NGLCC), but not listed in the above-mentioned directories. Self-certification is not acceptable. While Bidders may list such proposed SDP Partners on their SDP Plans, spending with such partners will not contribute to meeting the Contractor’s SDP Commitment unless they apply for and are granted SDO supplier diversity certification or recognition. If proposed SDP Partners do not receive SDO supplier diversity certification or recognition, then the Contractor must find alternative SDP Partners in order to meet their SDP Commitment.

It is the responsibility of the Contractor to ensure that their proposed SDP Partners obtain such certification or recognition by the SDO after contract award (if any). The issuing department and the SDO will not conduct outreach to proposed SDP Partners to ensure their certification. Furthermore, no guarantee can be made that a proposed SDP Partner will be certified, or regarding the time it may take to process a proposed SDP Partner certification. Contractors may direct partners to the SDO’s homepage, www.mass.gov/sdo and the Certification Self-Assessment Tool for guidance on applying for certification.

It is desirable that Bidders provide an SDP Focus Statement that describe the bidder’s overall approach to increasing the participation of diverse businesses in the provision of products and services under this proposal/contract (subcontracting) and in the bidder’s general business operations (ancillary products and services). Such a description may include but not be limited to:

· A clearly stated purpose or goal.

· Specific types of diverse and small businesses targeted.

· Which departments/units within the business are responsible for implementing supplier diversity.

· Types of opportunities for which diverse and small businesses are considered.

· Specific measures/methods of engagement of diverse and small businesses.

It is also desirable that Bidders use the SDP Plan Form to…