PRF81 RFR_Amended 4.25.22~1.docx

COMMONWEALTH OF MASSACHUSETTS

OPERATIONAL SERVICES DIVISION

Request for Response (RFR)

Document Title: Electronic Payments Processing

Agency Document Number: PRF81DesignatedCTR

COMMBUYS Bid#: BD-22-1080-OSD03-SRC01-69721

Bid Release Date: March 29, 2022 Bid Amendment Date: April 25th, 2022

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.

93-15-00-00

REQUEST FOR RESPONSE Electronic Payments Processing

Table of Contents Page vi Document Sensitivity Level: High during development; Low once published.

INTRODUCTION AND BID OVERVIEW

Summary Description of Procurement The Commonwealth of Massachusetts, The Office of the State Comptroller (CTR), and the Massachusetts Bay Transportation Authority (MBTA), as designated by the Operational Services Division (OSD) are issuing a bid for a full suite of electronic payments processing services. The resulting Contracts will serve as the Statewide Contracts used by Executive Agencies of the Commonwealth, the MBTA, and other Eligible Entities for these goods and services. This Statewide Contract PRF81DesignatedCTR will start July 1, 2022 and will replace PRF59designatedOSC (Card Processing) which is set to expire on June 30, 2022.

The Commonwealth’s objectives for this procurement include:

· Achieve operational efficiencies and obtain the most cost effective alternative and/or innovative solution for the Commonwealth’s payment processing needs.

· Streamline revenue flow and improve cash management practices.

· Secure economies of scale pricing and lower processing costs.

· Ensure accurate and timely authorization and settlement transactions.

· Secure accurate and manageable reporting that meets the requirements of all Commonwealth eligible entities.

The selected electronic payments processor must be capable of integrating with the Commonwealth’s third-party payment solutions provider(s), primary financial system (MMARS), other business or financial systems, and designated depository bank(s). Solutions must adhere to federal, state, and industry best practices, regulations, and laws governing banking, electronic payments, consumer protection, and data security. Any solution described must be Payment Card Industry (PCI) compliant.

Estimated Procurement Calendar

Announcement of Intent to Procure (WTO Bulletin) 12/30/2021

Deadline for Vendors to Submit Bid Responses (“Bid Opening Date/Time” in COMMBUYS) 5/5/2022

3PM

Late bids will not be considered.

*See Appendix2, “Instructions for Vendors Responding to Bids Electronically through COMMBUYS” for details on how to submit responses on COMMBUYS.

For vendor training courses, visit https://www.mass.gov/service-details/vendor-training-courses. 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 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 also be extended. As stated above, it is the responsibility of the Bidder to check the Bid record in COMMBUYS for revisions and updates.

Bidder Interviews Selected Bidders who are asked to participate in Bidder Interviews will be expected to prioritize this in their schedules. The SST will make every effort to find a mutually convenient time for the Bidder and the SST. However, failure to appear at the scheduled time of the interview may result in disqualification, reduction of points, or other action that the SST deems appropriate.

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. Bidders 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 requested within 14 calendar days of notification that your 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 three (3) years each with a maximum possible contract duration of ten (10) years.

The Commonwealth reserves the right to negotiate any part of 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.

Performance and Payment Time Frames Which Exceed Contract Duration All term leases, rentals, maintenance, or other agreements for services entered into during the duration of this Contract and whose performance and payment time frames extend beyond the duration of this Contract shall remain in effect for performance and payment purposes (limited to the time frame and services established per each written agreement). No written agreement shall extend more than one year beyond the final termination date of this Statewide Contract. No new leases, rentals, maintenance, or other agreements for services may be executed after the Contract has expired. Any contractor entering into new engagements with eligible entities after contract expiration will be subject to remedial measures, which may include but are not limited to mandatory point deduction for future bid submissions and suspension of other contracts with Commonwealth.

Estimated Value of the Contract Sales volume and ticket size information is provided as an estimate. Actual volumes are cyclical and may vary by program or time of year. In particular, the COVID-19 pandemic impacted program volume, particularly for transit.

Commonwealth (non-MBTA) entity volume:

MBTA’s transactional volumes for payment cards:

ACH volumes may provide additional opportunities.

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 an indication of future purchase levels.

Estimated Number of Awards The target maximum number of Contractors is one (1). The SST may award more or fewer contracts, if it is in the best interests of the Commonwealth to do so. The selected contractor must be able to convey transactions to American Express.

The awarded bidder will engage in two separate contracts under this procurement: the first with the Commonwealth covering the non-MBTA Commonwealth entities, and the second with the Massachusetts Bay Transportation Authority (MBTA) utilizing the Commonwealth’s Terms and Conditions as well as the MBTA Standard Contract Terms (Appendix 3). Bidders must agree to these terms with their response. The MBTA Minimum Insurance Requirements document will be made available. Other eligible entities may also require separate contracts. The non-MBTA Commonwealth contract will utilize the Commonwealth’s IT Terms and Conditions as required by the Office of the Comptroller (CTR) and the Operational Services Division (OSD).

Since these are separate contracts, contract renewals will be offered at the sole discretion of CTR for the Commonwealth non-MBTA contract and the MBTA for its contract. 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 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 and/or the Bid may be reopened to obtain additional Quotes.

Acquisition Method

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

The Commonwealth of Massachusetts is seeking one vendor to provide well-managed and controlled credit and debit card, ACH, alternate electronic payments processing, point of sale hardware, and ancillary services to Commonwealth departments and entities enterprise-wide, in a variety of physical and virtual locations and channels.

Commonwealth customers make payments via web, telephone, mobile device, and traditional payment channels such as point of sale. Point of sale may include traditional terminals, kiosks, wireless, and/or pay stations. Processing includes, but is not limited to, credit, debit, electronic benefit transfer payments, mobile, contactless, NFC, e-wallet, and ACH transactions. Processor must be able to convey transactions to American Express as required. Alternate and emerging payment methods not exhaustively listed here may also be considered.

This electronic payment processing contract will leverage the significant current and future volume of Commonwealth of Massachusetts enterprise eligible entities (including MassDOT/RMV, MBTA, and the MassDOT/Turnpike) to procure best value and service for all stakeholders. The Commonwealth of Massachusetts will seek proposals from vendors with government sector payment experience including transit, motor vehicle, tolling, taxes, licenses, fees, fines, education, courts, and human services.

The Commonwealth of Massachusetts (Non-MBTA) Eligible Entities The Commonwealth of Massachusetts (non-MBTA) eligible entities include a broad range of departments, commissions, authorities, municipalities, universities, and other public entities that accept electronic payments via web payment pages, IVR, and at the point of sale. In FY21, approximately $1.12 billion in electronic payments was processed program wide. Some entities host payment applications on Commonwealth managed resources, while others connect to third party service provider hosted payment pages, IVRs, or call centers. Credit, debit, ACH, and ACH conversion transactions may be utilized on all payment channels. Currently, sixty-five Commonwealth of Massachusetts (non-MBTA) eligible entities leverage the statewide agreement, consisting of the following programs:

· The Registry of Motor Vehicles (MassDOT/RMV) direct certifies to the current card processor through four channels:

· Public MyRMV eCommerce web site using direct web interfaces.

· Thirty Service Center locations across the State with POS using customer facing EMV pin pad devices.

· Several Contact Center and Business Department locations with POS using:

· Five9 SecurePay modules with direct web interfaces.

· Agent facing keypad devices for agent entry of cardholder data.

· MassDOT/Turnpike All Electronic Tolling payments direct certifies to the current card processor via web and the TransCore call center.

· The following programs leverage statewide contract PRF59AdesignatedOSC Payment Solutions and the current card processing contract:

· Twenty-four third party hosted web payment pages and one IVR with Fiserv and direct merchant relationships.

· Fifty-seven third party hosted web payment pages with nCourt (as a Payment Facilitator).

· One call center with nCourt (as a Payment Facilitator).

· Eleven (11) programs leverage Value Added Resellers (VARs)/Independent Software Vendors (ISVs) and process with the current card processor.

· Thirty-two (32) point of sale programs operate at a variety of additional locations across the Commonwealth of Massachusetts.

In addition, there are six e-commerce programs currently in development.

The Massachusetts Bay Transportation Authority The Massachusetts Bay Transportation Authority (MBTA), created in 1964 by a legislative act, is a body politic and a corporate and political subdivision of the Commonwealth. The MBTA is the oldest and fifth largest transit system in the country, operating subway, trackless trolley, trolley, bus, and commuter rail service throughout eastern Massachusetts and provides approximately 1.2 million weekday trips by subway, bus, ferry, commuter rail, and paratransit in over 200 cities and towns in the Greater Boston area.

The Transportation System - The MBTA operates rapid transit rail service, bus service, and commuter rail service through a third-party service provider, for an area of eastern Massachusetts with a population of more than 5.1 million people. An estimated 1.3 million trips (pre-pandemic) are provided every business day.

Rapid Transit Service. The MBTA operates over sixty-four miles of rapid transit rail routes. Three separate rapid transit rail lines (the Red, Orange and Blue Lines), which serve fifty-two stations, are served with heavy rail rapid transit equipment. Services are also provided by streetcars and light rail vehicles on (the Green Line and the Mattapan Line) serving seventy-four fixed stations and trolley stops.

Bus Service. The MBTA owns more than 1,000 buses and twenty-eight trackless trolleys that operate on 152 bus routes over approximately 903 miles. In addition to local services, the MBTA operates a frequent schedule of express buses to and from downtown Boston and surrounding communities on the Massachusetts Turnpike and U.S. Interstate 93. The MBTA's Silver Line Bus Rapid Transit (BRT) service operates using a dedicated subset of the bus fleet on five routes serving thirty stations over nineteen route miles. Weekday ridership is approximately 38,500 (pre-pandemic). The MBTA also monitors six local service subsidy programs that provide intra-community and feeder services.

Commuter Rail Service. The MBTA operates 420 passenger rail coaches in commuter passenger operations that provide service to and from 141 outlying rail stations and downtown Boston. Mobile app, FVMs and POS devices are deployed to sell the tickets and passes.

Other Services. A special program, "The Ride," operates 646 vehicles that serve the elderly and persons with disabilities with over 160,000 trips per month for work, medical treatment, shopping, and social functions. The MBTA also operates three routes of Ferry Boat Services on the Harbor with approximately 149,000 unlinked passenger trips per month (Fall 2019).

Parking: The MBTA operates nearly 100 parking facilities in close proximity to transit stations providing over 44,000 parking spaces which are typically utilized by over 35,000 daily commuters to access the transit system.

Regional Transportation Authorities (RTAs): The MBTA and Regional Transit Authorities provide fixed-route and paratransit service in communities across Massachusetts. They offer a range of services to help riders travel locally and regionally. All transit authorities offer some fixed-route services that have a regular route and schedule (such as bus or subway) open to everyone. The MBTA also provides processing support for the RTAs’ fare collection application.

The MBTA has a total annual cash flow of $2.4 billion with assets of $11.9 billion. The MBTA budget for fiscal year 2022 (July 1, 2022 – June 30, 2023) of $2.4 billion is paid primarily from fare revenues and state, local and federal subsidies. The audited financial statements for the year ended June 30, 2021, as well as additional information on the MBTA can be located by visiting the MBTA’s official website at http://www.mbta.com/.

Procurement Exclusions Please note that this contract provides electronic payments processing services and associated point of sale hardware (where required) only. Third party payment solutions providers will be bid separately, with noted exception to MBTA payment solutions providers requirements. In addition, banking and treasury services and procurement card (p-card) services are not within scope of this procurement.

BIDDER MINIMUM QUALIFICATIONS

Bidders are given the opportunity to demonstrate the minimum qualifications in detail within the requisite RFR Response Template Section 3 (3.1-3.27) including the Bidder experience, expertise, resources, and capabilities to provide the necessary services to Commonwealth eligible entities with details of historical demonstrated performance. The Bidder must demonstrate that it meets the minimum qualifications listed or have a suitable alternative.

In order to promote competition and ensure the most cost effective and comprehensive availability of services, the Commonwealth intends to narrow the field of contractors to the most qualified and competitive firms. The Bidder must demonstrate, in its response to Section 3 of the RFR Response Template, U.S.A. presence; Supplier Diversity Plan participation; security, compliance and privacy; commitment to partnership; qualifications of key personnel and other resources; experience in the government sector, references, and other robust qualifications.

U.S.A. Presence (RFR Response Template 3.1) The Bidder must be a United States firm, with no services being provided outside the continental US. This includes support services like customer service and data management. Customer Data may not be managed through 3rd party applications, software, or subcontractors in such a way that data travels or is stored or at rest in networks, clouds or other applications outside the continental US. Bidder must also limit access to data from Bidder personnel, subcontractors, applications that enable access from outside the US. It is preferred that contractors have an in-state presence, 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 for initial selection, or for individual engagements under the Statewide Contract.

Supplier Diversity Program Participation (RFR Response Template 3.2) Supplier Diversity Program (SDP) participation accounts for not less than 25% of the total points in the evaluation. Statewide Contractors must commit to SDP participation with certified vendors.

Security, Compliance, and Privacy (RFR Response Template 3.3) 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 and 201 CMR 17.00. 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, or any subcontractor or 3rd party application, network, cloud etc. Bidder must provide all requested detail regarding protocols and safeguards for security, compliance, and privacy.

Partnership Commitment (RFR Response Template 3.4) Bidders must demonstrate a significant commitment to partner with the Commonwealth and eligible entities to achieve the highest level of performance and compliance, and ensure that business methods prevent fraud, waste and abuse of Commonwealth funds and resources. Bidder should explain how it will demonstrate this commitment to the Statewide Contract, and why this partnership demonstrates a better value to the Commonwealth than competitors.

Qualifications – Key Personnel Assigned to Contract (RFR Response Template 3.5) Key personnel designated or assigned to the Electronic Payments Processing engagement must perform as designated in the absence of termination from the Bidder or other unavoidable circumstances. Bidders submitting a response to this RFR shall be considered to have accepted this condition. During the period of the Contract, key personnel assigned to the performance of the Contract services may be removed or replaced by the Contractor only upon the prior written approval of CTR. A significant change in the key personnel listed in the Response prior to, or after, the execution of the Contract, which is unsatisfactory to CTR shall be grounds for disqualification of the Response or termination of the Contract.

Other Specialists or Personnel Assigned to Contract (RFR Response Template 3.6) Personnel designated or assigned to the Electronic Payments Processing engagement with qualifications or specialized skill sets must perform as designated in the absence of termination from the Bidder or other unavoidable circumstances. Bidders submitting a response to this RFR shall be considered to have accepted this condition.

Subcontractors (RFR Response Template 3.7) The selected Bidder will be responsible for and perform all the duties and requirements of Electronic Payment Processing services. In this section, the Bidder must identify any subcontractors that will or may be used to conduct any of the work described in this RFR, including the names of subcontractors, summaries of their qualifications, experience and duties and responsibilities for performance.

Business Background /Years in the Industry of the Bid (RFR Response Template 3.8) Bidder must be a company with at least five years’ experience accurately processing payment card transactions from major credit/debit card networks for the government, transportation, and transit industries.

Regulatory Compliance Bidder is required to comply with applicable federal and state laws, rules, and regulations.

References (RFR Response Template 3.27) Bidder must provide a minimum of three (3) references for electronic payment processing services for the Commonwealth and a minimum of three (3) references for the MBTA. References must be for the most relevant, comparable work of the type requested in this RFR (e.g., a state, large local government entity, and transit agency). Provide all contact information, including company contact name, title, address, phone number and email address.

SST reserves the right to verify references included in the response and to conduct other reference checks as appropriate.

Bankruptcy, litigation, and contract defaults (RFR Response Template 1.5 and 1.6) 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 Insurance Requirements The Commonwealth’s eligible entities and the MBTA may have additional, specific insurance requirements prior to contracting. The successful bidder certifies that they will carry such insurance policies and all costs resulting from this are included in their pricing. The successful bidder must provide proof of insurance within three business days of conditional notice of award. The successful bidder must submit proof of insurance for The Minimum Insurance Requirements.

TECHNICAL SPECIFICATIONS, SERVICE REQUIREMENTS, AND COSTS

(RFR Response Template 4.1 through 4.10 and subsections) The following is a high-level description of the technical specifications and requirements that is complemented by more detailed requirements in the RFR Response Template Part 4. Bidders must demonstrate detailed qualifications for meeting the Commonwealth of Massachusetts and MBTA technical, reporting, customer service, settlement and deposit, invoicing and billing, and other specific requirements in RFR Response Template Part 4 subsections.

Additional business and technical specifications related to MassDOT/RMV, MassDOT/Turnpike, and MBTA appear in the Appendices to this RFR. All bids shall be reviewed for completeness and shall be analyzed in accordance with the criteria contained herein.

Bidders must detail all related fees for electronic payments processing, communications, related services, and hardware in the RFR Cost Response Templates (Attachment 1).

4.1 Commonwealth of Massachusetts Electronic Payment Processing The Commonwealth’s existing programs are under one of the following MCC Codes: 9399 (Government Services), 9311 (Tax Payments), 9211 (Court), and 4784 (Tolls & Bridge). Preference will be given to Bidders who can support the Lottery requirements (MCC code 7800 – Government-Owned Lotteries).

The selected vendor must be able to process all business across all existing MCC codes, access methods, hosts, and sources. Preference will be given to Bidders who can support the Lottery requirements.

All transactions require real time authorization and processing regardless of the access method to the payment provider. If the transaction is not completed due to a communication interruption or time out, the transactions are considered failed transactions. A time out reversal transaction is processed (to release the hold on the customer account). The transaction environment must meet or exceed capacity demands during peak periods and high-performance standards within a secure architecture.

The current electronic payments processing environment is depicted in the following diagram.

The Commonwealth of Massachusetts program volume for FY2021 is summarized in the table below. (This table does not include MBTA volume.)

The card processor must be able to meet the transaction and reporting requirements set forth in this document for the enterprise.

The applications require primary and Disaster Recovery (DR) sites with access to card processing capabilities. These applications require redundant access to the card processing center as well. (See Appendices 4 and 5 for additional requirements for MassDOT/RMV and Turnpike.)

Integration Requirements

For all Commonwealth entities, the card processor must be able to connect and communicate with all direct interfaces, ecommerce, mobile, IVR, POS programs, and working with multiple ISPs.

The winning Bidder must participate in design elements that include but not limited to physical and cyber security, connectivity, communications, interface development, and certifications for efficient and cost-effective applications. The Bidder must be capable of developing and implementing a daily XML file that can be integrated with the Statewide accounting and reporting system (MMARS).

The following is a list of current VAR/Software used by Commonwealth of Massachusetts entities in production. Some solutions (e.g., USeDirect) currently require the leveraging the TSYS gateway. The Bidder must support all VAR/Software in production.

The MassDOT/RMV eCommerce web site requires a mechanism and/or integration for securely capturing the CHD via a secure public web site, and ideally the PCI-specific data is not accessible by MassDOT-hosted or its cloud-hosted servers. MassDOT/RMV also requires a complete set of real-time web APIs for authorization and reversal transactions or comparable. MassDOT/RMV also requires CVV and AVS validation for CNP channels (eCommerce, IVR self-service and desktop keypads), and prefer processor-side validation and rejection.

An additional opportunity with the Trial Courts for processing business integrated with Courtview/Equivant and Tyler Technologies is being supported under a separate contract. This business does not currently leverage the statewide card processing contract.

Equipment Requirements

The Bidder must also be able to provide PCI compliant point of sale and handheld terminal devices for a variety of business processes. PCI compliance failures or deficiencies by vendor or any subcontractor shall be grounds for immediate termination or suspension.

For MassDOT/RMV, all customer-facing PIN pads must support EMV and be compliant with the latest PCI DSS standards, and the devices must be large enough to comfortably capture a customer’s signature for reproduction on their Driver’s License document. MassDOT/RMV requires a minimum pixel density of 300dpi and is very sensitive to the customers’ ability to sign in a manner that results in a reasonable representation of their signature. The stylus must be ergonomically and end user friendly. The equipment must also be durable as the Public tends to abuse the equipment. Contact Center and Business users also require desktop keypads for entry of the CHD to process payments for customers over the phone. To reduce MassDOT PCI exposure, both devices should directly authorize with the processor over secure links. Both devices must provide an API that allows POS application control of the device for authorizations, reversals, and signature activities. Any custom hardware devices should also include some form of cloud management for monitoring, updating, and managing the equipment in the field.

A representative list of current hardware devices deployed in production by the Commonwealth is below. All hardware is merchant owned. The Bidder must be capable of providing fully encrypted PCI compliant terminal devices (i.e., reconfiguration and replacement as required).

There are currently 370 open MIDs in production.

MBTA- Electronic Payment Processing The MBTA is working with Cubic to rollout a new next generation payment system. See link for information regarding the project and timeline. https://www.mbta.com/fares/fare-transformation. It is anticipated the MBTA’s transit specific transaction volume under this contract will decrease over time as it is migrated to the next generated payment system transaction volume

During this pandemic period the MBTA processed approximately one million payment card transactions for the six-month calendar period ending June 2021 (excluding the transit volume targeted for migration to Fiserv). In 2019, Pre-COVID volumes approximated 12.3 million transactions (excluding the transit volumes being migrated to Fiserv; 25.7 million transactions including that volume). The MBTA accepts the major brands, Visa, MasterCard, Discover, American Express and UnionPay (CUP) payment cards in both card present and card not present environments. Massachusetts Electronic Benefit (EBT) cards are accepted in card present environments.

The MBTA has begun its automated fare collection transformation with the AFC1.5 initiative, modernizing the fare collection system with EMV enabled fare vending machines (FVMs) presently supported by Fiserv. Other transit sales channels including the call center, the ecommerce application (Charliecard.com), a recurring billing program for regular users of the MBTA with related payments supported by Chargify under a Software-as-a-Service (SaaS) contract, and the attended POS devices used in stations and the Charlie Card store are included in this solicitation. The current fare collection application, AFC 1.0 also supports the RTAs until deployment of their next stage of modernization is completed.

Commuter Rail, MBTA parking facilities, The Ride, para-transit services, and other services such as Enforcement Services accept and process payment cards through applications independent of the automated fare collection system are also included in this solicitation.

· Commuter rail deploys the Masabi mobile ticketing application for increasing customer convenience and ease of use as well as the POS devices in walk-in centers. The mobile ticketing application currently utilizes FIS’s Element gateway services including tokenization services.

· The Ride deploys an ecommerce application for the collection of funds. In addition, customers add funds to their accounts by calling the customer service center, mail-in check, or at the Charlie Card store.

· Parking deploys the PayByPhone mobile application integrated through Network Merchants, Inc. (NMI) a payment services provider (PSP) (https://www.nmi.com) as well as the new gtechna, enforcement services application. Parking’s ticketing vending machines are supported by Datapark TVM and POS devices are also utilized to support the business.

The selected vendor must be able to process all businesses across the MBTA’s MCC codes, i.e., 4111 (Local/Suburban Commuter Passenger Transportation, including Ferries and Water Transportation) and 7523 (Automobile Parking Lots and Garages), access methods, hosts, and sources.

It is the MBTA’s intention to replace the Trust Commerce gateway services and a new gateway service provider may be required to support the Masabi mobile ticketing application. Vendor certifications with Chargify, NMI’s card not present gateway services supporting PayByPhone and gtechna applications, and Datapark application are requirements of the Bidder.

There are ten access methods hosted by various sources, excluding the AFC1.5 FVMs, in which the new payment provider must interact while remaining vendor neutral and flexible within the framework.

· The recurring billing program is integrated with Chargify; however, this SaaS contract is under evaluation.

· Ecommerce applications: AWS hosts the bespoke Rev-admin applications, accepting transactions through the web and call center agents. Integration is through Trust Commerce gateway services.

· The Ride’s ecommerce function currently leverages Trust Commerce gateway services. When the RIDE migrates to a new Transit Management Software within the next one to three years, it will work with the new software vendor to develop a fully integrated payment solution.

· The Masabi Mobile Ticketing application is integrated through FIS’s Element gateway services. Commuter rail and ferry tickets are sold through the Masabi’s mTicket mobile application.

· Parking: Parking garages leverage three methods for accessing the payment provider. Transactions are processed at 12 garages through hand-held devices used by attendants, which accept credit and debit cards as well as PIN debits. The devices are supplied by the current payment provider. At six garages, transactions occur at unattended vending machines supplied by DataPark. Lastly, all garages have dedicated spaces where payments are accepted by PayByPhone, the mobile app provider integrated with NMI.

· POS Terminals: Approximately 60 Point-of-Payment terminals are deployed throughout the system as indicated previously with some for instance used in the three Commuter Rail Sales Offices to process credit, debit and EBT transactions.

· Charliecard.com (ecommerce) and the RTA FVMs hosted on the AFC1.0 server utilize a proprietary ISO 8583 VAR leveraging a dedicated leased line.

Transactions are online and require real time authorization and processing. The Bidder’s transaction environment must meet or exceed capacity demands during peak periods and high-performance standards within a secure architecture.

Ticket Size The current average ticket size for credit card purchases is $16.85 for MCC 4111 and $ $8.50 for the MCC 7523. Additional ticket information for the system follows:

Equipment and PSP Integration Requirements

The Bidder must be able to support merchant and vendor certifications, identify PSP relationships for the migrating CNP applications, and must have existing relationship and certification with NMI and Data Park PSPs to support the existing applications. PCI compliant POS devices will also need to be supplied. The current and ongoing PCI compliance and related costs to maintain compliance for the vendor and all subcontractors is the responsibility of the Bidder and is a condition of this Contract. PCI compliance failures or deficiencies by vendor or their [any] subcontractor must be grounds for immediate termination or suspension. The winning Bidder is expected to participate in design elements to include but not be limited to physical and cyber security, connectivity, communications, interface development and certifications for efficient and cost-effective applications. All applications require redundant access to the card processing center as well

Technical Specifications NMI

The Bidder must have a current PCI approved vendor certification with NMI and provide a VAR sheet for card not present, ecommerce, terminal settlement, sales and return transaction types approved for all card brands at a minimum, Both the gtechna and PBP applications are processed under MCC 7523. The ability to accommodate an 11pm batch settlement cutoff time for next day settlement, and to capture and map a Transaction ID to the reporting application are also requirements. gtechna and PBP will provide user access to their testing and reporting gateway services

Technical Specifications Datapark

The Bidder must have a current PCI approved vendor certification with DataCap and provide a VAR sheet for card present, ecommerce, terminal capture settlement, sales and reversal transaction types approved for all card brands at a minimum. An Aurthorize.net VAR is used to support some locations and require similar features. DataPark will provide user access to their testing and reporting gateway services

Technical Specifications Other

The Bidder must have a current approved vendor certification with a PSP that can provide an API that validates cards with a zip code or some other validation method, returns a transaction ID and returns accepted or denied (return a reason if denied). In addition, the API must allow for reversing (cancel) transactions. The API must also provide a way to configure amount limits and limits on the number of transactions from a zip code within a set timeframe and other velocity checks and security features. It is imperative that the API provide the ability to accept ACH processing. A testing environment is required.

Technical Specifications – AFC 1.0 Fare Collection System

Direct Interface Connectivity – Current interface requires dedicated leased line, private 56K full frame relay or with a 128 K ISDN backup, plus redundancy in terms of processing locations and communication lines. This must support the response time of 1 to 3 seconds. The ISO interface should be provided by the clearing house via a TCP/IP protocol, full duplex communication, preferred Ethernet CAT-5/RJ-45 port to CCS and a minimum bandwidth of 10/100/1000 Mbit/s.