Draft_PWS_(Securities_Liquidation).pdf

SECURITIES LIQUIDATION

DEPARTMENT OF THE TREASURY, BUREAU OF THE FISCAL SERVICE

PERFORMANCE WORK STATEMENT (PWS)

1.0 BACKGROUND

The mission of the Bureau of the Fiscal Service (Fiscal Service) is to promote the financial integrity and operational efficiency of the Federal Government through exceptional accounting, financing, collections, payments, and shared services. When obligations are acquired by the Secretary of the Treasury for the Federal Government or delivered by an executive agency, it is the responsibility of the Secretary to liquidate those items pursuant to 31 U.S.C. § 324. Obligations are usually the result of debt or liability collection efforts.

Once executive agencies acquire these obligations, they are forwarded to Fiscal Service for processing and transaction.

2.0 SCOPE

The Bureau of the Fiscal Service’s has an ongoing requirement for a Contractor(s) to provide services in liquidating a variety of securities; domestic and foreign, that could be held at several locations within Treasury.

Locations are, but not limited, to Washington D.C., Parkersburg WV, Hyattsville MD, Kansas City MO, Philadelphia PA, Austin TX and Birmingham AL. Fiscal Service receives securities on behalf of other Government agencies and is required to liquidate the security in a timely manner with the use of a qualified security broker-dealer in a manner that does not have an impact on the market. The Contractor shall take control of, safe-keep, research, and liquidate the securities for Fiscal Service and is paid by taking their commission and fees from the sale amount and depositing the balance of funds into a Fiscal Service controlled account using the standard industry settlement methods. Proceeds from pending sales are to be held in a non-interest bearing account in the name of Fiscal Service until the transaction is completed on the books of the Contractor. Fiscal Service will notify the agency of the date and amount of the sale and ensure that the proper financial reporting has taken place.

3.0 PERIOD OF PERFORMANCE

The period of performance is for a base period of 12-months and four 12-month option periods starting on the effective date of the award.

4.1 DEFINITIONS

4.2 Security. Any note, stock, treasury stock, security future, Government securities, equities, corporate debt securities, debt securities, municipal securities, Rule 144a securities, debenture, certificate of interest or participation in any profit-sharing agreement or in any oil, gas, or other mineral royalty or lease, any collateral-trust certificate, pre-organization certificate or subscription, transferable share, investment contract, voting-trust certificate, certificate of deposit for a security, any put, call, straddle, option, and privilege on any security, certificate of deposit, or group or index of securities (including any interest therein or based on the value thereof), or any put, straddle, option, or privilege entered into on a national securities exchange relating to foreign currency, or in general, any instrument commonly known as a “security”; or any certificate of interest or participation in, temporary or interim certificate for, receipt for, or warrant or right to subscribe to or purchase, any of the foregoing; but shall not include currency or any note, draft, bill of exchange, or banker’s acceptance which has a maturity at the time of issuance or not exceeding nine months, exclusive of days of grace, or any renewal thereof the maturity of which is likewise limited.

4.3 Transaction Fee. This is a flat fee to be assessed for each transaction processed for the various services provided in the contract.

4.4 Safekeeping Fee. A flat fee charged to the Government for storing securities.

4.5 Subcontractor. For the purpose of this requirement, a subcontractor is any business or organization that the Federal Prime Contractor “subcontracts” with, or forms a partnership agreement with to perform a function(s) of the federal contract (i.e. a broker-dealer partnering agreement with a clearing firm/house).

4.6 Subcontract. As defined by FAR Part 52-219-9(b), a “Subcontract” is any agreement (other than one involving an employer-employee relationship) entered into by a Federal Government Prime

Contractor or subcontractor calling for supplies or services required for performance of the contract or subcontract.

5.1 TASKS/DELIVERABLES

The Contractor shall perform the following tasks and deliverables in accordance with their awarded contract (i.e.

awarded domestic and/or foreign instruments) and upon issuance of a written or verbal instructions order/task order:

5.2 The Contractor shall be available for customer service between the hours of 8:30 am and 4:00 pm EST, Monday through Friday. The Contractor need not be available on the following recognized Federal holidays or when the U.S. stock markets are closed.

New Year’s Day Labor Day Martin Luther King Day Columbus Day Inauguration Day Veteran’s Day Presidents Day Thanksgiving Day Memorial Day Christmas Day Fourth of July

Holidays that fall on Saturday are observed on the previous Friday. Holidays that fall on Sunday are observed on the following Monday. Holidays shall also include any additional day(s) granted by Executive Order, which can be viewed on the Office of Personnel website at https://www.opm.gov/fedhol/.

5.3 Liquidating Securities – The Contractor shall take control of, safe-keep, research, and liquidate the securities for Fiscal Service. Orders will be processed in accordance with the ordering procedures identified in PWS Section 11.0 and below:

A. Trading Authorization Letter – The Contractor shall sign a Trading Authorization Letter, which will identify the Contractor representatives(s) authorized to accept requests and handle physical securities. Fiscal Service will also sign a separate Letter of Trading Authorization, which will identify the Fiscal Service employee(s) with delegated authority to maintain the account and issue orders.

B. Same Day Turnaround Assurance Plan – The Contractor shall have and maintain a same day turnaround assurance plan to handle cases where Fiscal Service needs to liquidate a small or large volume of domestic and/or foreign securities quickly that includes identifications of any partners/subcontractors that will assist. An example would be if the stock prices fall when Fiscal Service receives the securities and Fiscal Service needs to liquidate the securities quickly to reduce the amount of extraordinary loss in proceeds.

C. Risk Mitigation Plan – The Contractor shall have and maintain a Risk Mitigation Plan for liquidating securities in cases where the Contractor has a direct tie to the securities causing an Organizational Conflict of Interest.

D. Customer Statement of Accounts – The Contractor shall provide a customer statement of account within 3 business days or less (i.e. urgent Congressional request) after the close of each month and by request from Fiscal Service. Timeliness of this statement is critical to address congressional inquiries. The statement of account shall include, but not be limited to, information pertaining to all sales, charges, debits, credits, dividend payments, transfer activity, securities receipts or deliveries, wire activity, safekeeping services, current market price of any unliquidated securities and/or journal entries relating to securities or funds in the possession or control of the broker-dealer. The Contractor shall prepare and maintain books and records in accordance with 17 CFR § 240.17a-3.

E. Taking Possession of Obligations - The Contractor shall be responsible for the security upon transfer and shall take every precaution to protect the security. The Contractor shall be able to provide for safekeeping of obligations, and will act as custodian. The obligations shall be kept separate from any other accounts maintained by the Contractor and shall be subject to no right, charge, securities interest, lien, claim, or encumbrance of any kind in favor of the Contractor, or its creditors. Upon transfer of the obligations the Contractor shall provide a written receipt for the obligations received and will examine the incoming physical deliveries to verify negotiability. The safekeeping receipt will conform to applicable federal and state securities laws and regulations.

Immediately upon delivery, the Contractor shall certify that the obligations have been properly endorsed and that all legal documentation is attached. Alternatively, the Contractor shall notify Fiscal Service if the obligations are non-negotiable, and provide written instructions so that Fiscal Service can acquire the required documentation.

The Government will transfer securities/obligations to a Contractor in three different ways:

1. Usually, an executive agency will initiate the transfer of obligations to the Contractor in electronic form. The executive agency will follow the instructions given on Fiscal Service's website at http://www.treasurydirect.gov/govt/apps/slp/slp.htm , to complete the transfer correctly.

2. Occasionally, the executive agency will forward a physical obligation to the Contractor, which can be liquidated according to the agreed upon procedures.

3. Sometimes, Fiscal Service receives the physical obligations because the executive agency has failed to follow the instructions on the website. Therefore, the physical obligations will immediately be expedited to the Contractor by special messenger, i.e., delivery service provider. In this case, a Fiscal Service employee will create three signed certificates of authorization to go along with the physical obligations. If the physical obligations are received by the Contractor or if they are received first by Fiscal Service, the Contractor shall record, segregate, and store the obligations in a vault upon receiving the physical obligations. The Contractor shall provide Fiscal Service a signed receipt of securities immediately upon receiving the physical obligations.

F. Dividend and Interest Payments – Upon receipt of a dividend or interest payment, the

Contractor shall request instructions from the ordering official for transferring the payments into an agency account within 48 hours.

G. Physical Securities - The Contractor shall provide verbal notice to an Ordering Officials identified in the Letter of Trading Authorization (Refer to PWS Section 11.2) before transferring physical securities into book-entry or electronic form.

H. Required Market Research & Offers/Quotes - The Contractor shall use an acceptable industry source, and comply with 17 CFR § 240.11Ac1-1 and 4, when providing quotation information on equity instruments to Fiscal Service. The broker-dealer shall conduct the appropriate level of market research effort for providing three (3) quotations for all other instruments. The failure or omission of Fiscal Service to insist on strict performance with the aforementioned three (3) quotation provision shall not be deemed as a waiver or relinquishment of Fiscal Service’s right to require future compliance with the provision. If Fiscal Service disapproves the transaction, then the Contractor shall continue to seek a buyer. The Contractor shall promptly notify Fiscal Service if a security is not readily marketable and the availability of price quotations is limited.

I. Consent to Sell - The Contractor shall obtain an Ordering Officials verbal or written consent,( i.e., e-mail), before selling or transferring the obligations to a buyer at the offered price in accordance with Section 11.4 (A)(ii)(c) in manner that does not impact on the market.

J. Reporting Sales of Obligations - The Contractor shall provide verbal or written notice to one of the Ordering Officials listed on the Trading Authorization Letter before executing the trade. After the trade is processed, the Contractor shall provide the Ordering Official a written confirmation within forty-eight (48) hours of the time sale is executed. The confirmation shall comply with 17 CFR § 240.10b-10 and shall, at a minimum, include the following:

i. Description of the trade (quantity, security name, execution price, settlement money, accrued interest (for debt instruments), transaction fees, and net deposit amount.

ii. Trade date

iii. Settlement date

iv. Place of execution

v. Fiscal Service’s business address and account number to which the trade has been booked

vi. Securities professional’s identification number.

K. Payment of Contractor’s Fees & Proceeds to Agencies - The Contractor shall not be required to submit invoices for payment of Contractor’s fees, as the industry standard will be followed by the Contractor by automatically deducting the agreed upon fees from the proceeds of the liquidation(s) and depositing the balance of the funds into the appropriate agency’s Government controlled account identifying the agency’s location code using the standard industry settlement method within three business days of the completed sale of the obligation(s). In a case where the agency’s account number is not correct and payment is rejected for this reason or any other reason, then the Contractor shall immediately deposit the balance of the funds electronically into Fiscal Service's account and report the incident immediately to Fiscal Service. A wire transfer notification shall also be sent to Fiscal Service within the same time frame. If the associated Contractor’s fees are determined to be more than the actual amount of proceeds from the sale, then the Contractor shall notify Fiscal Service immediately for approval prior to the sale. Upon approval, then the Contractor shall submit an invoice for the total amount of the fees and payment shall be made by an electronic funds transfer to the banking information recorded under the applicable DUNS number in SAM’s out of other funds budgeted for this purpose.

i. Contractor shall establish and maintain a non-interest-bearing customer account subject to the provisions of 17 CFR § 240.15c3-3 in the name of the “U.S. Department of the Treasury, the Bureau of the Fiscal Service, 200 3rd Street, 102, Parkersburg, WV 26106-1328” for depositing the proceeds of the sales to the agency’s account after the Contractor fees are deducted.

5.4 Market Research of Non-Publicly Traded & Expired Securities - In the past, Fiscal Service has received approximately 5-6 obscure securities that are either not publicly traded or securities that have been held by an agency beyond their expiration date. The Contractor shall perform market research upon issuance of a task order for providing Fiscal Service a list of potential buyers and/or markets or validate why the security is unable to be sold within the time period specified in the task order. The Contractor’s fees associated with this task shall be applied against the proceeds of the sale of the security. In the event and rare case, the Government decides not to proceed with liquidating the security after the authorized market research results have been completed and submitted by the Contractor, then the Government will pay the Contractor based on the fully executed task order (Standard Form (SF) 1449).

6.1 CONTRACTOR QUALIFICATIONS

The Contractor (they), and/or as applicable their subcontractors, according to their awarded contract, shall warrant the fulfillment of each of the following qualifications at all times during the life of their contract so that domestic and/or foreign securities assumed by Fiscal Service can be transferred to the Contractor for safekeeping, liquidating, and the appropriate financial reporting can occur:

6.2 All shall be registered with the Securities and Exchange Commission (SEC) in accordance with the

Securities Exchange Act of 1934.

6.3 If liquidating foreign securities, they and/or their subcontractors shall have a EuroClear account or an equivalent to process foreign securities.

6.4 They and/or their subcontractors shall have the Medallion Signature Guarantee Stamp with a surety limit/coverage of $10 million to handle, safe keep and liquidate domestic &/or foreign securities transactions up to $100 million.

6.5 Companies (Contractor & their subcontractors) shall have 5 years of experience in the domestic and/or

5 years of experience in foreign securities exchange industry.

6.6 All shall have the regulatory authority and be in compliance with all applicable federal, state, and foreign securities exchanges, laws, and regulations to safe keep, liquidate and financially report transactions for all domestic and/or foreign securities (i.e., not subject to any enforcement action for violations or pending disclosure events, good standing).

6.7 Contractor Key Personnel (Contractor & subcontractor personnel) shall have at least 5 years of domestic and/or 5 years of foreign securities experience and are properly registered with the Financial Industry Regulatory Authority (FINRA) and all applicable SROs and State Securities Commission(s).

The Government reserves the right to request a list of all security professionals that are performing broker-dealer services at any time during the life of the IDIQ contract for verifying registration.

6.8 They and/or their subcontractors shall have the ability to safe keep securities transferred to them from the Government.

6.9 They and their subcontractors shall be currently a registered member with an active status with all other applicable regulatory authorities for conducting business transaction in as a broker-dealer (i.e. State Security Commissions, etc.) and are in compliance with all applicable federal, state, and foreign securities exchanges, laws, and regulations to safe keep, liquidate and financially report transactions for all domestic and/or foreign securities

6.10 They and their subcontractors shall certify and ensure that registration will be completed with all other applicable Self-Regulatory Organization (SRO), State Securities Commission(s) and Foreign Securities Exchanges within two (2) weeks after a written request is received by the Contractor from the Government to liquidate a specific security (ies) that the Contractor is not currently registered with.

The Contractor shall notify the Government within 48 hours if there are any changes, issues, or additions with any of the above Contractor Qualifications (i.e. a non-compliant issue, registration with an applicable state).

7.0 KEY PERSONNEL AND KEY PERSONNEL REPLACEMENT PROCESS

The Government defines key personnel as the prime Contractor’s personnel designated to oversee and manage the work directly with Fiscal Service in fulfilling the requirements of the contract and security professionals (Contractor & subcontractor personnel) who will be responsible for liquidating the securities that are required to meet the qualifications identified in Section 6.8 above. Contractor’s key personnel will be listed here at award per their proposal.

The Government reserves the right to request replacement of key personnel who are deemed incompetent, careless, unsuitable or otherwise objectionable, or whose continued use under this contract is deemed contrary to the best interests of the Government. The Administrative Contracting Officer (ACO) will give notice, in writing, to the Contractor of such need for substitution.

Within twenty-four (24) hours of receipt of notification, the Contractor shall provide key personnel replacement resumes to the ACO and Contracting Officer Representatives (CORs). The ACO will notify the Contractor, in writing, within 24 hours if the Contractor provided replacement personnel is approved.

Assigned key personnel may only be replaced by the Contractor with approval from the ACO. In the event that key personnel are no longer available, the Government will require that replacement key personnel be provided.

The Contractor shall notify the CORs and ACO in writing stating the circumstances necessitating the proposed substitution of the key personnel. The Contractor shall provide the CORs and ACO with resumes of proposed replacement key personnel for review and approval. The Contractor shall demonstrate that the qualifications of a prospective substitute meet the contract requirements. The Government reserves the right to disapprove the proposed substitutes and negotiate with the Contractor for another replacement.

The Contractor shall provide the Government with written notice to the CORs and ACO at least two (2) weeks prior to replacement whenever applicable. At a minimum the Contractor shall provide the Government with notice at least forty-eight (48) hours prior to replacement. The only exception to the forty-eight (48) hour notice is death. If the 48 hours falls on Friday after 5:00 pm or on weekend the Contractor shall call 304-480-7777 with the notice of replacement.

No diversion in personnel shall be made by the Contractor without the written consent of the ACO.

8.0 CONFIDENTIALITY

The Contractor recognizes that, in performing under this contract, the Contractor may obtain access to nonpublic information that is confidential or proprietary in nature. Except as permitted by the order, the Contractor agrees that it, its employees, its subcontractors, and its subcontract employees shall not disclose to any third party, or otherwise use, any information it obtains or prepares in the course of performance of this agreement for any purpose other than to perform work under the order without first receiving written permission from the Contracting Officer. The Contractor shall secure information received from or prepared or gathered for the Treasury Department under this order in a secure location with access limited to only those personnel with a “need to know.” If disclosure of information is required by law or legal process, the Contractor shall contact the

COR and the CO immediately to receive approval prior to release of any information. Notwithstanding any other language contained herein, the Contractor shall comply with 31 CFR § 31.217 (Regarding 31 CFR § 31.217, this is not a TARP covered project, however, FAS requires that nonpublic information be secured as stated in 31 CFR § 31.217. The only difference is that if information is inadvertently released, the Contractor shall contact the COR and CO listed in the order and not contact TARP personnel).

9.0 QUALITY CONTROL PLAN (QCP)

The Contractor shall establish a complete QCP for this contract based on the functions they are awarded. The QCP shall be maintained by the Contractor to ensure the requirements of the contract are met as specified in the Quality Assurance Surveillance Plan (QASP).

10.1 QUALITY ASSURANCE SURVEILLANCE PLAN

The Government will evaluate the Contractor's performance in accordance with this Quality Assurance Surveillance Plan (QASP) identified herein. The purpose of the QASP is to ensure reliable, uninterrupted services are provided in accordance with the PWS. This plan will also ensure acceptable performance and assist in avoiding unnecessary mistakes and/or delays.

10.2 Performance Categories & Standards. The COR will summarize and document the Contractor's performance utilizing the following categories and standards:

A. Quality of Service – Tasks/Deliverables were 100% found to be complete and accurate per awarded task order.

B. Timeliness of Performance – Tasks/Deliverables were 100% completed on-time per awarded task order.

C. Business Relations – Relationships with the Government and other required federal, state, and foreign organization were found 100% in compliance and good standing during the contract period.

10.3 Surveillance method. Random Evaluation. This method employs a “spot check” style of evaluation and may be adjusted based on quality trends. The Government retains the right to inspect all requirements of the contract.

10.4 Incentive/Disincentive

a. Incentive: If Contractor performs the tasks and deliverables in accordance with performance standards, then favorable comments and higher ratings will be documented on Contractor’s Past Performance.

b. Disincentive: If the Contractor does not perform the tasks and deliverables in accordance with the performance Standard, then unfavorable comments and lower ratings will be documented on Contractor’s Past Performance.

10.5 Performance Issues. If the Government evaluations identify unacceptable performance in any of the above categories, the COR will record it and notify the Contractor within three (3) business days. The Contractor will be required to initial the observation, however, initialing of the observation does not constitute concurrence with the observation; it only indicates acknowledgement that the Contractor has been made aware of a potential performance issue(s). The Contractor shall be expected to meet with the Government for developing and implementing a plan to correct any performance issue(s) at no additional cost to the Government. If the Contractor does not agree with correcting the unacceptable performance issue(s) within the time specified by the Government, then the COR will notify the Contracting Officer who will take the appropriate administrative action for unacceptable performance.

11.1 ORDERING PROCEDURES UNDER THE INDEFINITE DELIVERY INDEFINITE QUANTITY CONTRACT

(IDIQ)

This IDIQ Contract provides for the general terms and conditions between Fiscal Service and the Contractor.

This IDIQ Contract is effective upon signature of the Contracting Officer (CO) and will be for a base period of 12-months and four 12-month option periods as exercised by the Government. Obligation is only incurred against this IDIQ Contract when an Order is placed for a specific service and/or amount.

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accordance with the established unit prices in the contract (Attachment A-1). In addition, for the instruments/securities marked with “*”, the Government expects a lessor rate based on the current market conditions for the security/instrument being liquidated. In some cases, the Ordering Official has the authority to omit the requirement for three (3) quotes on any given security.

B. Evaluation: The Ordering Official will review the offers/quotes received to determine the offer that provides the greatest benefit to the Government considering conflicts of interest or any appearance thereof and that the Contractor’s pricing is in accordance with their established contract commission rates and fees. In all instances, the Ordering Official reserves the right to require the Contractor to obtain additional offers/quotes and/or contact other sources to ascertain a market price. In addition, for the instruments/securities marked with “*” the Government may conduct market research to validate the proposed commission rate and fee for negotiation purposes.

C. Written Instruction Order and Commencement of Work/Notice to Proceed: No sale or transfer of a security/obligation to a prospective buyer at the offered price shall commence until an Ordering Official (Section 11.2) provides a verbal or written consent to the Contractor for the Contractor to proceed with the sale.

When the verbal or written consent to sell is received by the Contractor from the Ordering Official, the Contractor shall be authorized to sell the obligations and shall confirm acceptance of the order within two business days of receipt of the order verbally or in writing.

D. Post-Award: After the completed sale of the obligation(s), the Ordering Official will notify the agency/owner of the date and amount of the sale of their obligation(s) in accordance with PWS Section 5.2(J).

B. Task/Written Instruction Orders for Market Research of Non-Publicly Traded, Expired

Securities, and when necessary Securities identified in Attachment A-1 with an asterisk and Investment Banking Services.

i. RFP - A request for proposal (RFP) will be sent to the Contractor from a warranted

Contracting Officer for the purpose of requesting a price proposal for the market research effort and investment banking services for consideration in issuing a written instruction order. The RFP does not commit the Government to pay any costs incurred in the submission of any proposal, nor does it commit the Government to issue a written instruction order for such services. The Government intends for each RFP to result in the award of a written instruction order; however, there is no guarantee that an order will be issued in every case.

The Government will specify the following at a minimum, in the RFP:

a. The agency/owner of the obligation(s)

b. Location of the obligation

c. Description of the obligation and supporting legal documentation

d. The urgency level for liquidating the obligation(s)

e. Any constraints on the price and method of order execution

f. Any other pertinent information deemed necessary by Fiscal Service

g. Due date for price proposal

h. Due date for market research results in accordance with PWS Section 6.2.

ii. Proposal, Evaluation, Cancelations, Orders and Commencement of

Work/Notice To Proceed

A. Proposal: The Contractor shall provide a written firm-fixed price proposal to the RFP in accordance with their established contact and within the required timeframe specified in the RFP. The price proposal shall include the labor category, the number of personnel, and level of effort (hours) dedicated to completing this market research or investment banking service request. For investment banking service a

11.2 Written or Verbal Instruction Orders/Task Order of Precedence - All Orders are subject to the terms and conditions of the contract. In the event of a conflict between an Order and the contract, the contract will take precedence.

11.3 Written or Verbal Instruction/Task Order Ordering Officials - Only the individuals listed on the

Letter of Trading Authorization and/or warranted Fiscal Service Contracting Officers may place Orders under this contract.

11.4 Written or Verbal Instruction/Task Order Issuance Procedures – when a security/obligations needs to be liquidated and/or market research needs to be conducted on a non-publicly traded or expired security or securities identified by asterisk in Attachment A or Investment Banking Services, an Ordering Official or a warranted Contracting Officer will contact a Contractor for consideration in establishing an Order.

A. Types of Orders

i. Written or Verbal Instruction Orders – This is an Order from an Ordering Official

(Section 11.2) that specifies and authorizes work to be accomplished by the Contractor to satisfy the Government’s task requirements of liquidating a security.

Contractor’s established commission and fees shall be applied against the proceeds of the sale of the security in accordance with their contract.

ii. Task/Written Instruction Orders – This is an Order from a warranted Contracting

Officer that specifies and authorizes work to be accomplished by the Contractor to satisfy the Government’s task requirements for conducting market research on a non-publicly traded or securities held by an agency past their expiration date and when necessary Securities identified in Attachment A-1 with an asterisk and for Investment Banking Services. The Government intends on having the Contractor’s fees for this task applied against the proceeds of the sale of the security. However, in the event and rare case, the Government decides not to proceed with liquidating the security after the authorized market research results have been completed and submitted by the Contractor, the Government will pay the Contractor the agreed upon firm-fixed price per occurrence through the pre-established task order that was executed using the Standard Form (SF) 1449) with a not-to-exceed limit.

Both orders issued under this contract will not be synopsized.

11.5 Request For Proposals (RFP), Proposals, Evaluations, Orders and Commencement of

Work/Notice To Proceed, Cancellation and Post-Award

A. Written or Verbal Instruction Orders for Liquidating Securities

i. RFP - The Government will specify the following at a minimum, in the written instructions

RFP:

a. The agency/owner of the obligation(s)

b. Type of Instrument

c. Description of the obligation and supporting legal documentation

d. Number of quotes required for the security

e. Existing market research results (if applicable)

f. Location of the obligation

g. The urgency level for liquidating the obligation(s)

h. Any constraints on the price and method of order execution

i. The agency location code and a tracer message for the wire transfer

j. Any other pertinent information deemed necessary by Fiscal Service.

ii. Proposal, Evaluation, Orders and Commencement of Work/Notice To Proceed, and

Post-Award – The Contractor shall adhere and follow all of the procedures identified in PWS Section 5.2 and below:

A. Proposal: The Contractor shall provide the Ordering Official with a minimum of three (3) offers/quotes from potential buyers verbally or in writing along with the proposed applicable commission rate and fees that would be applied in full disclosure of the service and rationale for why it is needed is required.

B. Evaluation: The Government will evaluate the Contractor’s proposal to ensure that their pricing is in accordance with their contract and the level of effort is found fair and reasonable to successfully complete the task within the required time frame specified in the request. Any issues or concerns regarding the Contractor’s price or level of effort proposal will be addressed and resolved through discussions with an Ordering Official and warranted Contracting Officer. However, the Government reserves the right to execute a written instruction order award without discussions.

C. Task/Written Instruction Order and Commencement of Work/Notice to

P r o c e e d : No work under this requirement shall commence until a Warranted Contracting Officer issue a written instruction order for consenting to the Contractor to conduct the market research effort.

Once authorization has been given to the Contractor, the Contractor shall provide the market research results identified in PWS Section 7.2 within the due date set forth in the written instruction order. Based on the market research results, the Government will either provide the Contractor with

i. a written instruction order consenting them to proceed with the ordering procedures (Section 11.4(A)) for liquidating the security, or

ii. a written instruction order to have the Contractor submit an invoice in IPP for the agreed upon firm-fixed price for payment against the existing executed task order that was pre-established using Standard Form (SF) SF1449 with a not-to-exceed limit.

D. Cancellation: The Government reserves the right to cancel or reschedule this type of order prior to the start date without any cost to the Government.

11.6 IDIQ ANNUAL REVIEW

There will be an annual review of the IDIQ contract by the Administrative Contracting Officer prior to exercising an option period. The purpose of the review is to determine whether the IDIQ contract still represents the best value (considering price, special qualifications, market conditions, etc.) and report performance.