RFP 260000001094 - MDHHS WIC Infant Formula Rebate Program.docx

proposal instructions Department of Health and Human Services Women, Infants, and Children (WIC) Infant Formula Rebate Program Request for Proposal No. 260000001094 Solicitation Manager Name: Nathaniel Oliver Direct Phone: 517-241-0084 Email: OliverN@michigan.gov Main Phone: 1-855-MI-PURCH 1-855-647-8724 This is a Request for Proposal (RFP) for:

Michigan Department of Health and Human Services (MDHHS) Women, Infants, and Children (WIC) Infant Formula Rebate Program RFP Timeline

*A bidder’s proposal received at 9:00:01 a.m. Eastern is late and subject to disqualification.

This RFP is subject to change. Check www.michigan.gov/SIGMAVSS for current information.

1. PROPOSAL PREPARATION. The State recommends reading all RFP materials prior to preparing a proposal, particularly these Proposal Instructions and the Vendor Questions Worksheet. Bidders must follow these Proposal Instructions and provide a complete response to the items indicated in the RFP Structure and Documentation table below. References and links to websites or external sources may not be used in lieu of providing the information requested in the RFP within the proposal. Include the bidder’s company name in the header of all documents submitted with your proposal. Note that all documents and information submitted as part of a proposal will become public record immediately upon receipt by the State. Proposals received by the State may be posted on the State’s publicly available website after bidders are notified of the award recommendation.

RFP Structure and Documentation

Exhibit A, Attachment 1 and 2: Michigan WIC Number of Contract Brand and Non-Contract Non-Exempt Infant Formula Units Redeemed by Form and Type: 03/01/2025 to 08/31/2025

Contract Terms (including Federal Provision Addendum & Exhibit 1 Byrd Anti-Lobbying Certification) Note: Exhibit 1 Byrd Anti-Lobbying Certification requires signature)

Deemed accepted by bidder unless information required in the Evaluation Process section of this document is submitted by proposal deadline

2. CONTACT INFORMATION FOR THE STATE. The sole point of contact for the State concerning this RFP is listed on the Cover Page. Contacting any other State personnel, agent, consultant, or representative about this RFP may result in bidder disqualification.

3. PUBLIC BID OPENING MEETING.

A public bid opening meeting will be held as a video/teleconference meeting via Microsoft Teams at the date and time specified below:

Date: April 6, 2025 Time: 1:00 pm Eastern Those interested in participating can email the Solicitation Manager at OliverN@michigan.gov to request the meeting invitation.

The purpose of the meeting is to open and read the bids aloud at a public proceeding per USDA requirement 246.16a(c)(1)(ii).

The reading shall consist of:

· Name of the manufacturer

· Physical FORM

· PRODUCT BRAND NAME

· Unit size

· Reconstituted ounces per unit

· Manufacturer’s wholesale price per unit as of the date of the bid opening

· Rebate bid per unit

· NET COST PER UNIT

· TOTAL MONTHLY NET PRICE

Accessibility requests for reasonable accommodations at the bid opening meeting should be made with the Solicitation Manager at least 10 business days before the date of the meeting. Accommodation requests received outside this time period cannot be guaranteed.

NOTE: Participation in the Public Bid Opening is optional.

4. MODIFICATIONS. The State may modify this RFP at any time. Modifications will be posted on www.michigan.gov/SIGMAVSS. This is the only method by which the RFP may be modified.

5. QUESTIONS. Bidder questions about this RFP must be emailed to the Solicitation Manager no later than the time and date specified on the Cover Page. In the interest of transparency, only written questions are accepted. Answers to questions will be posted on www.michigan.gov/SIGMAVSS. Submit questions using the format below; a Microsoft Excel format or similar is suggested.

6. DELIVERY OF PROPOSAL.

Electronic – The bidder must submit its proposal, all attachments, and any modifications or withdrawals electronically through www.michigan.gov/SIGMAVSS. The Schedule B - Bid Pricing Sheet proposal should be saved separately from all other proposal documents. The bidder should submit all documents in a modifiable (native) format (examples include but are not limited to Microsoft Word or Excel and Google Docs or Sheets). In addition to submitting documents in a modifiable format, the bidder may also submit copies of documents in PDF. Attachment file size is limited to 30 MB per document. Bidder’s failure to submit a proposal as required may result in disqualification. The proposal and attachments must be fully uploaded and submitted prior to the proposal deadline. Do not wait until the last minute to submit a proposal, as the SIGMA VSS system requires the creation of an account and entry of certain information, in addition to uploading and submitting the materials. The SIGMA VSS system will not allow a proposal to be submitted after the proposal deadline identified in the solicitation Closing On/Closing Date fields (Summary view/Detail view), even if a portion of the proposal has been uploaded.

Questions on how to submit information or how to navigate in the SIGMA VSS system can be answered by calling (517) 284-0540 or (888) 734-9749. The Solicitation Manager will not provide assistance related to the submittal of the proposal and all attachments on the day of the proposal deadline. Responsibility for a complete submission lies with the bidder. Note that all documents and information submitted in any manner as part of a proposal will become public record immediately upon receipt by the State. Proposals received may be posted by the State on the State’s publicly available website after bidders are notified of the award recommendation.

7. EVALUATION PROCESS The State will evaluate each proposal on a PASS/FAIL basis based on the following criteria:

Step 1: Pass/Fail Requirements: Bidders who do not pass each of the following mandatory requirements will not be considered for further evaluation in Step 2 or award.

Step 1: Only proposals receiving a PASS rating in Step 1 will advance to Step 2 for pricing evaluation.

Step 2: The proposals that pass Step 1 will have the pricing proposal evaluated with the following RFP criteria and other statutory authority.

PROPOSALS THAT HAVE A FAIL DETERMINATION FOR ANY SECTION WILL NOT BE CONSIDERED FOR AWARD.

The State may utilize all bidder information to determine fair market value for goods or services sought. If applicable, the State’s evaluation will include consideration of a bidder’s qualified disabled veterans/service-disabled veteran owned business (QDV/SDVOB) status under MCL 18.1261(8). Additional information on the SDVOB preference is available at: Michigan.gov/SDVOB The State strongly encourages strict adherence to the Contract Terms. The State reserves the right to deem a bid non-responsive for failure to accept the Contract Terms. Nevertheless, the bidder may submit proposed changes to the Contract Terms in track changes (i.e., visible edits) with an explanation of the bidder’s need for each proposed change. Failure to include track changes with an explanation of the bidder’s need for the proposed change constitutes the bidder’s acceptance of the Contract Terms. General statements, such as that the bidder reserves the right to negotiate the terms and conditions, may be considered non-responsive. Failure to respond timely to requests for proposed changes to Contract Terms during ongoing negotiations may be cause for disqualification.

The State may but is not required to conduct an on-site visit to tour and inspect the bidder’s facilities; require an oral presentation of the bidder's proposal; conduct interviews, research, reference checks, and background checks; and request additional price concessions at any point during the evaluation process.

8. NOTICE OF DEFICIENCY. The State reserves the right to issue a Notice of Deficiency to bidders if the State determines after the proposal deadline that a portion of the RFP was deficient, unclear, or ambiguous. Failure to respond to a Notice of Deficiency timely may be cause for disqualification.

9. CLARIFICATION REQUEST. The State reserves the right to issue a Clarification Request to a bidder to clarify its proposal if the State determines the proposal is not clear. Failure to respond to a Clarification Request timely may be cause for disqualification.

10. RESERVATIONS. The State reserves the right to:

a. Disqualify a bidder for failure to follow these instructions.

b. Discontinue the RFP process at any time for any or no reason. The issuance of an RFP, your preparation and submission of a proposal, and the State’s subsequent receipt and evaluation of your proposal does not commit the State to award a contract to you or anyone, even if all the requirements in the RFP are met.

c. Consider late proposals if: (i) no other proposals are received; (ii) no complete proposals are received; (iii) the State received complete proposals, but the proposals did not meet mandatory minimum requirements or technical criteria; or (iv) the award process fails to result in an award.

d. Consider an otherwise disqualified proposal if no other proposals are received.

e. Disqualify a proposal based on: (i) information provided by the bidder in response to this RFP; (2) the bidder’s failure to complete registration on www.michigan.gov/SIGMAVSS ; or (3) if it is determined that a bidder purposely or willfully submitted false or misleading information in response to the RFP.

f. Consider prior performance with the State in making its award decision.

g. Refuse to award a contract to any bidder that has failed to pay State taxes or has outstanding debt with the State.

h. Enter into negotiations with one or more bidders on terms, technical requirements, or other deliverables.

i. Award multiple, optional-use contracts, or award by Contract Activity

j. Evaluate the proposal outside the scope identified in the Evaluation Process section of this document if the State receives only one proposal.

11. AWARD RECOMMENDATION. The contract will be awarded to the responsive bidder who receives a PASS for each criterion and has the lowest price.

The State will post an Award Recommendation and Evaluation Synopsis on www.michigan.gov/SIGMAVSS or in the manner that the solicitation was originally published.

12. DEBRIEF MEETING AND BID PROTEST. The State will publish an Award Recommendation and Evaluation Synopsis which will provide instructions on how to request a debrief meeting.

If you wish to initiate a protest of the award, you must submit your written protest to MDHHS-BGP@michigan.gov no later than 3:00 p.m. five business days after the Award Recommendation and Evaluation Synopsis is posted on SIGMA VSS. The State reserves the right to adjust this timing and will publish any change.

Additional information about the protest process is available at DTMB - Programs and Policies (michigan.gov) under the “Bidder Protests” link.

13. STATE ADMINISTRATIVE BOARD. Contracts equal to $250,000 or greater than require approval by the State Administrative Board. The State Administrative Board’s decision is final; however, its approval does not constitute a contract. The award process is not complete until the awarded contractor receives a contract fully executed by all parties.

14. GENERAL CONDITIONS. The State will not be liable for any costs, expenses, or damages incurred by a bidder participating in this solicitation. The bidder agrees that its proposal will be considered an offer to do business with the State in accordance with its proposal, including the Contract Terms, and that its proposal will be irrevocable and binding for a period of 180 calendar days from date of submission. If a contract is awarded to the bidder, the State may, at its option, incorporate any part of the bidder’s proposal into a contract. This RFP is not an offer to enter into a contract. This RFP may not provide a complete statement of the State’s environment or contain all matters upon which agreement must be reached. The bidder understands that their proposal will become public record immediately upon receipt by the State. Other than verified trade secrets, proposals submitted via www.michigan.gov/SIGMAVSS are the State’s property.

15. CONFIDENTIAL TREATMENT FORM AND THE FREEDOM OF INFORMATION ACT. As a public record, all portions of the bidder’s proposal and resulting contract are subject to disclosure as required under Michigan’s Freedom of Information Act (FOIA), MCL 15.231, et seq. However, the State may exempt some information from disclosure as permitted by law. Under MCL 18.1261(13)(b), records containing “a trade secret as defined under section 2 of the uniform trade secrets act, 1998 PA 448, MCL 445.1902,” are exempt from disclosure under FOIA. In addition, “financial or proprietary information” submitted with a bidder’s proposal is exempt from disclosure under FOIA. A bidder’s failure to comply with this Section is grounds for rejecting a bidder’s proposal as non-responsive. As a part of its proposal, each bidder must follow the procedure below.

a. SUBMIT A COMPLETED “CONFIDENTIAL TREATMENT FORM” (CT FORM) WITH YOUR BID. Completion and submission of the CT Form is required regardless of whether the bidder seeks confidential treatment of information. Failure to submit a completed CT Form may be cause for disqualification from the solicitation process. If a bidder fails to properly complete and submit the CT Form or otherwise fails to follow CT Form instructions, the proposal may be publicly disclosed in its entirety without redaction after an award recommendation.

i. Complete and sign Section 1 of the CT Form if the bidder does NOT request confidential treatment of information contained in its proposal; or

ii. Complete and sign Section 2 of the CT Form if the bidder requests confidential treatment of certain information. Bidder must also submit a “Public Copy” of the proposal with the trade secret, financial, and proprietary information redacted and clearly labeled as the “Public Copy.”

iii. Failure to complete and sign a CT Form may result in disqualification of the bidder. If a bidder fails to properly complete and submit the CT Form or otherwise fails to follow the CT Form instructions, the proposal, in its entirety, will be treated as a “Public Copy” and may be publicly disclosed by the State without redaction after bidders have been notified of an award recommendation.

b. FOIA REQUESTS. If a FOIA request is made for a bidder’s proposal, the Public Copy may be distributed to the public along with the bidder’s CT Form. The CT Form is a public document and serves as an explanation for the redactions to the Public Copy. Do not put any trade secret, financial, or proprietary information in the CT Form. Do not redact the CT Form itself.

c. NO ADVICE. The State will not advise a bidder as to the nature or content of documents entitled to protection from disclosure under FOIA or other laws, as to the interpretation of such laws, or as to the definition of trade secret or financial or proprietary information. Nothing contained in this provision will modify or amend requirements and obligations imposed on the State by FOIA or other applicable law.

d. FAILURE TO REQUEST CONFIDENTIAL TREATMENT. Failure to request material be treated as confidential as specified herein relieves the State, its agencies, and personnel from any responsibility for maintaining material in confidence.

e. Bids containing a request to maintain an entire proposal as confidential may be rejected as non-responsive. Bidders may not request confidential treatment with respect to resumes, pricing, and marketing materials. The State reserves the right to determine whether material designated as exempt by a bidder falls under MCL 18.1261 or other applicable FOIA exemptions. If a FOIA request is made for materials that the bidder has identified as trade secret, financial, or proprietary information, the State has the final authority to determine whether the materials are exempt from disclosure under FOIA.

f. Bidder forever releases the State, its departments, subdivisions, officers, and employees from all claims, rights, actions, demands, damages, liabilities, expenses and fees, which arise out of or relate to the disclosure of all or a portion of bidder’s proposal submitted under this RFP. Bidder must defend, indemnify and hold the State, its departments, subdivisions, officers, and employees harmless, without limitation, from and against all actions, claims, losses, liabilities, damages, costs, attorney fees, and expenses (including those required to establish the right to indemnification), arising out of or relating to any FOIA request, including potential litigation and appeals, related to the portion of bidder’s proposal submitted under this RFP that bidder has identified as a trade secret, or financial or proprietary information. The State will notify bidder in writing if indemnification is sought. The State is entitled to: (i) regular updates on proceeding status; (ii) participate in the defense of the proceeding; (iii) employ its own counsel; and to (iv) retain control of the defense, or any portion thereof, if the State deems necessary. Bidder will not, without the State’s written consent (not to be unreasonably withheld), settle, compromise, or consent to the entry of any judgment in or otherwise seek to terminate any claim, action, or proceeding. If a State employee, official, or law is involved or challenged, the State may control the defense of that portion of the claim. Any litigation activity on behalf of the State, or any of its subdivisions under this Section, must be coordinated with the Department of Attorney General. An attorney designated to represent the State may not do so until approved by the Michigan Attorney General and appointed as a Special Assistant Attorney General.

confidential treatment form INSTRUCTIONS. A signed and dated Confidential Treatment Form (CT Form) must be submitted with your proposal, regardless of whether your proposal contains confidential information.

1. Complete either Section 1 or Section 2 of this form and sign where indicated. Do not complete both sections. Note: Completion of Section 2 is required to request confidential treatment.

2. This form must be signed by the individual who signed the bidder’s proposal.

Failure to submit a completed CT Form with your bid is grounds for rejecting the proposal as non-responsive.

In addition, failure to follow the instructions on this form or to properly complete and submit it may result in the entire proposal being publicly disclosed by the State without redaction after an award recommendation.

See the Confidential Treatment Form and the Freedom of Information Act section of the Proposal Instructions for additional information.

Section 1. CONFIDENTIAL TREATMENT IS NOT REQUESTED This section must be completed, signed, and submitted with the proposal if the bidder does not request confidential treatment of any material contained in the proposal. If this section is completed, do not complete Section 2.

By signing below, the bidder affirms that confidential treatment of material contained in their proposal is not requested.

RFP Number

RFP Title

Signature

Date

Printed Name, Title, Company

Section 2. CONFIDENTIAL TREATMENT IS REQUESTED Bidders must complete, sign, and submit this section with the proposal, to request confidential treatment of any material contained in the proposal. If this section is completed, do not complete Section 1.

Bidders must specifically identify the information to be protected as confidential and/or proprietary and state the reasons why protection is necessary. As shown in the table below, the following details are required for each confidentiality request.

1. The proposal page number, section number, and paragraph number.

2. Whether the material referenced is Trade Secret (TS), Proprietary Financial Information (FI), or Proprietary Information (PI). Bidders may not request confidential treatment of resumes, pricing, and marketing materials.

3. An explanation of the specific legal grounds that support treatment of the material as TS, FI, or PI and a complete justification as to how the material falls within the scope of an applicable FOIA exemption or relevant case law. Bidders must not simply cite an applicable exemption or case name.

4. The person at their organization authorized to respond to inquiries by the State concerning the material and their contact information.

REQUIRED: Bidders completing this section must also submit a copy of the proposal with the trade secret, financial, and proprietary information redacted and clearly label this redacted copy as the PUBLIC COPY.

(1) Proposal Page #, Section #, Paragraph # (2) Material is Trade Secret (TS), Proprietary Financial Information (FI), Proprietary Information (PI) (3) Applicable FOIA Exemption with Written Justification (4) Bidder Contact Information

Bidders may add rows or additional pages using the same format shown in the table.

State of Michigan FOIA Requests The State reserves the right to determine whether material designated as exempt by a bidder falls under MCL 18.1261 or other applicable FOIA exemptions.

If a FOIA request is made for materials that the bidder has identified as trade secret, financial, or proprietary information, the State has the final authority to determine whether the materials are exempt from disclosure under FOIA.

The State is not obligated to notify a bidder if a FOIA request for bidder’s proposal is received nor if bidder’s proposal is made available to the public. This form, and any additional justification letters, are not exempt from release under FOIA.

By signing below, the bidder affirms that confidential treatment of material contained in their proposal is requested and has attached to this form a redacted “Public Copy” of the bidder’s proposal.

RFP Number

RFP Title

Signature

Date

Printed Name, Title, Company vendor questions worksheet Provide a detailed response to each question. “You” and “company” refers to the bidder.

1. Contact Information

Bidder’s sole contact person during the RFP process. Include name, title, address, email, and phone number.

Person authorized to receive and sign a resulting contract. Include name, title, address, email, phone number and vendor customer code in SIGMA VSS.

2. Company Background Information

Legal business name and address. Include business entity designation, e.g., sole proprietor, Inc., LLC, or LLP.

What state was the company formed in?

Phone number.

Website address.

Number of years in business.

Number of employees.

Legal business name and address of parent company, if any.

Has there been a recent change in organizational structure (e.g., management team) or control (e.g., merger or acquisition) of your company? If the answer is yes: (a) explain why the change occurred and (b) how this change has affected your company.

Discuss your company’s history. Has growth been organic, through mergers and acquisitions, or both?

Has bidder ever been debarred, suspended, or disqualified from bidding or contracting with any entity, including the State of Michigan? If yes, provide the date, the entity, and details about the situation.

Has your company been a party to litigation against the State of Michigan? If the answer is yes, then state the date of initial filing, case name and court number, and jurisdiction.

Within the last 5 years, has your company or any of its related business entities defaulted on a contract or had a contract terminated for cause? If yes, provide the date, contracting entity, type of contract, and details about the termination or default.

State your gross annual sales for each of the last 5 years.

If receiving a contract under this RFP will increase your gross revenue by more than 25% from last year’s sales, explain how the company will scale-up to manage this increase.

Describe partnerships and strategic relationships you think will bring significant value to the State.

State the physical address of the place of business that would have primary responsibility for this account if bidder is awarded a contract under this RFP.

(a) Proof of service and conditions of discharge (DD214 or equivalent);

(b) Proof of service-connected disability (DD214 if the disability was documented at discharge or Veterans Administration Rating Decision Letter or equivalent if the disability was documented after discharge); and

(c) Legal documents setting forth the ownership of the business entity.

In lieu of the documentation identified above, you may provide proof of certification by the National Veterans Business Development Council.

Enter the names of documents submitted with your proposal to demonstrate status as a qualified disabled veteran.

4. Participation in RFP Development or Evaluation

If you enter “YES”, you are not eligible for contract award or to work as a subcontractor for the awarded vendor.

If you enter “YES,” you are not eligible for contract award. An awarded vendor may not partner or subcontract with anyone to provide goods and services required under a resulting contract if that subcontractor or partner assisted in the development of this solicitation.

If you enter “YES”, you are not eligible for contract award or to work as a subcontractor for the awarded vendor.

5. State of Michigan Experience and Prior Experience

Does your company have experience working with the State of Michigan? If so, please provide a list (including the contract number) of the contracts you hold or have held with the State for the last 10 years.

Describe at least 3 relevant experiences from the last 5 years supporting your ability to successfully manage an Infant Formula Rebate contract of similar size and scope for the work described in this RFP.

Experience 1

Company name.

Contact name.

Contact role at time of project.

Contact phone.

Contact email.

City.

State.

Zip.

1. Project name and description of the scope of the project.

2. What role did your company play?

3. How is this project experience relevant to the subject of this RFP?

Dollar value.

Start and end date (mm/yy – mm/yy)

Status (completed, live, other – specify phase)

Results obtained.

Experience 2

Company name.

Contact role at time of project.

City.

1. Project name and description of the scope of the project.

Dollar value.

Start and end date (mm/yy – mm/yy)

Status (completed, live, other – specify phase)

Results obtained.

Experience 3

Company name.

Contact role at time of project.

City.

1. Project name and description of the scope of the project.

Dollar value.

Start and end date (mm/yy – mm/yy)

Status (completed, live, other – specify phase)

Results obtained.

6. Standard Contract Terms

Bidder must affirm agreement with the attached Contract Terms. If not in agreement, written exceptions in accordance with the Evaluation Process section of the Proposal Instructions must be provided with Bidder’s proposal.

7. Michigan Voluntary Protection Program

Number of employees currently employed at locations within the State of Michigan.

Number of additional employees to be employed at locations within the State of Michigan if awarded this Contract (if any)

Minimum wage paid to employees employed at locations within the State of Michigan.

Average wage paid to employees employed at locations within the State of Michigan.

Percentage of employees employed at locations within the State of Michigan that are covered by employer-provided health insurance.

9. Labor, Antidiscrimination and Environmental Laws Compliance

Bidder must disclose any violations of state or federal labor, antidiscrimination and employment laws and regulations received within the past five years.

Bidder must disclose any violations of state or federal environmental laws and regulations received within the past five years.

10. Other

Michigan.gov/MiProcurement

Version 2025-1 Page 2 of 2 SCHEDULE A – STATEMENT OF Work Request for Proposal No.26*TBD Women, Infants, and Children (WIC) Infant Formula Rebate Program Definitions. For the purposes of this Contract, the following terms have the following meanings:

Authorized WIC Vendor means any vendor contractually authorized to accept Michigan WIC EBT Cards from WIC participants for reimbursement by the State of Michigan.

Available Statewide means assured, sustained ability of Authorized WIC Vendors to receive Sufficient Quantities of Infant Formula directly from the Contractor, or in the case of formula ordered through third party wholesalers and distributors, the ability for third parties to receive Sufficient Quantities of Infant Formula from the Contractor for the WIC Program, consistent with industry-standard delivery timeframes, throughout the State of Michigan.

Business Day means any day other than a Saturday, Sunday or State-recognized legal holiday from 8:00am EST through 5:00pm EST unless otherwise stated.

Benefit Start Date means the day of the month the participant’s WIC food benefits start.

C.F.R. means Code of Federal Regulations.

Contract Brand Infant Formula means all infant formulas (except exempt infant formulas) produced by the manufacturer awarded the infant formula cost containment Contract. If under a single solicitation the manufacturer subcontracts for soy-based infant formulas, then all soy-based infant formulas covered by the subcontract are also considered Contract brand infant formulas. Contract brand infant formulas also include all infant formulas (except exempt infant formulas) introduced after the Contract is awarded.

Days means calendar days unless otherwise specified.

Deliverable means physical goods and/or services required or identified in a Statement of Work.

Department means the Michigan Department of Health and Human Services (MDHHS).

DHHS means U.S. Department of Health and Human Services.

DTMB means the Michigan Department of Technology Management and Budget.

Eastern Time means either Eastern Standard Time (EST) or Eastern Daylight Time (EDT), whichever is prevailing in Lansing, Michigan.

Electronic Benefit Transfer (EBT) means the method that permits electronic access to WIC food benefits using the Michigan WIC EBT Card.

EBT Contractor means the company responsible for processing EBT transactions and payments and request for payments to Authorized WIC Vendors.

Effective Date means the date the contract is fully executed.

Emergency Period means a period during which there exists:

(1) A presidentially declared major disaster as defined under section 102 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).

(2) A presidentially declared emergency as defined under section 102 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5121 et seq.).

(3) A public health emergency declared by the Secretary of HHS under section 319 of the Public Health Service Act (42 U.S.C. 247d).

(4) A renewal of such a public health emergency pursuant to section 319.

Exempt Infant Formula means an infant formula intended for commercial or charitable distribution that is represented and labeled for use by infants who have inborn errors of metabolism or low birth weight or who otherwise have unusual medical or dietary problems (21 C.F.R. § 107.3). Infant formulas are classified as exempt infant formulas by the United States Food and Drug Administration.

FDA means United States Food and Drug Administration.

File Transfer Protocol (FTP) means the standard network protocol used to transfer computer files from one host to another host over a TCP-based network, such as the Internet.

Infant Formula means a food that meets the definition of an infant formula in section 201(z) of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 321(z)) and that meets the requirements for an infant formula under section 412 of the Federal Food, Drug, and Cosmetic Act (21 U.S.C. 350a) and the regulations at 21 C.F.R. § 106 and 107.

Manufacturer means a bidder that possesses the manufacturing and marketing capabilities necessary to fulfill all requirements specified in the RFP.

Michigan WIC EBT Card means the card used by Michigan WIC participants to redeem WIC food benefits.

Net Price means the difference between an infant formula manufacturer’s lowest national wholesale price per unit for a full truckload of infant formula and the rebate level or the discount offered or provided by the manufacturer under an infant formula cost containment Contract.

Non-Contract Brand Infant Formula means all infant formula, including exempt infant formula, that is not covered by an infant formula cost containment Contract awarded by the State agency.

Non-Contract Non-Exempt Infant Formula means infant formulas which are designed for healthy infants but manufactured by a company other than the Contract manufacturer.

Primary Contract Brand Infant Formula means the specific infant formula for which manufacturers submit a bid to a State agency in response to a rebate solicitation and for which a Contract is awarded by the State agency as a result of that bid.

Program Manager means the staff member who will monitor and coordinate the day-to-day activities of the Contract.

Qualified administrative requirement means a statutory requirement under Section 17 of the Child Nutrition Act of 1966 (CNA; 42 U.S.C. 1786) or a regulatory requirement issued pursuant to this section.

Rebate means the amount of money refunded under cost containment procedures to the State agency from the manufacturer of the particular food product as the result of the purchase of the supplemental food with a voucher or other purchase instrument (EBT card) by a participant in the State agency’s program. Such rebates must be payments made subsequent to the exchange of a food instrument (Michigan WIC EBT Card) for food.

Recall means recall as defined in 21 C.F.R. § 7.3(g) or any successor regulation. Recalls may be conducted voluntarily by a manufacturer or may be required by FDA.

Responsive Bidder means a bidder must submit a bid by the deadline set by the State agency that conforms to the solicitation and must meet requirements at 246.16a and set forth in the bid solicitation.

Retail Food Delivery System means system in which WIC participants, parents or caretakers of infant and child participants, and proxies obtain authorized supplemental foods by submitting a food instrument (Michigan WIC EBT Card) to an authorized vendor.

RFP means a Request for Proposal designed to solicit proposals for services.

Service Begin Date means the commencement of all service.

Settled Date is the date the WIC Program makes an electronic payment to an authorized WIC vendor.

State means the State of Michigan.

State Agency means the Michigan Special Supplemental Nutrition Program for Women, Infants, and Children, also referred to as the “WIC Program.”

Statement of Work (SOW) means the statement of work attached as Schedule A to this Contract, including all attachments and exhibits thereto.

Subcontractor means a company selected by the Contractor to perform a portion of the Services but does not include independent Contractors engaged by Contractor solely in a staff augmentation role.

Successful Bidder means the bidder who is awarded a Contract as the result of solicitation.

Sufficient Quantity(ies) of Infant Formula means the amount of all Contract Brand Infant Formulas required to supply the full maximum monthly allowances for one hundred percent (100%) of Michigan WIC participants issued food packages containing Contract Brand Infant Formula, in the applicable physical forms, and the amount necessary to ensure continuous, uninterrupted, and statewide availability of such formulas at all times.

Supplemental foods means those foods containing nutrients determined by nutritional research to be lacking in the diets of pregnant, breastfeeding and postpartum women, infants, and children, and foods that promote the health of the population served by the WIC Program as indicated by relevant nutrition science, public health concerns, and cultural eating patterns, as prescribed by the Secretary in § 246.10.

Supply chain disruption means a shortage of WIC supplemental foods that limits WIC participants' ability reasonably to purchase supplemental foods using WIC benefits within a State agency's jurisdiction, as determined, and declared by the Secretary of Agriculture for the purposes of WIC.

UPC means Universal Product Code, a number and barcode that identifies an individual product for purchase.

USDA means United States Department of Agriculture.

Vendor peer group system means a classification of authorized vendors into groups based on common characteristics or criteria that affect food prices, for the purpose of applying appropriate competitive price criteria to vendors at authorization and limiting payments for food to competitive levels WIC means the Special Supplemental Nutrition Program for Women, Infants and Children.

Michigan.gov/MiProcurement Contractor must enter company name here.

Michigan.gov/MiProcurement WIC State Plan means a plan of Program operation and administration that describes the manner in which the State agency intends to implement and operate all aspects of WIC Program administration within its jurisdiction in accordance with Federal Regulation (7 C.F.R. § 246.4), and as approved by the United States Department of Agriculture.

SCHEDULE A – STATEMENT OF WORK

Request for Proposal No.26*TBD Women, Infants, and Children (WIC) Infant Formula Rebate Program

This schedule identifies the anticipated requirements of any Contract resulting from this RFP. The term “Contractor” in this document refers to a bidder responding to this RFP, as well as the Contractor who is awarded the contract. The term “Bidder” is used to identify where specific responses to the RFP are required.

The Contractor must respond to each requirement or question and explain how it will fulfill each requirement. Attach any supplemental information and appropriately reference within your response.

BACKGROUND and PURPOSE The purpose of this RFP is to establish a Contract for a rebate program on infant formula purchased by the WIC Program through the WIC Retail Food Delivery System for a period of November 1, 2026, through October 31, 2031. The terms of this Contract will not extend after October 31, 2031.

The Transitional Implementation Period will be the period between the anticipated Effective Date and the Services Begin Date on November 1, 2026. Contractor must commence performance of all services, without interruption, on November 1, 2026. No Rebate payment from the Contractor will be expected during the Transitional Implementation Period.

Terms are not to be negotiated with respect to the following: rebate amounts that will apply to the contract, or the method by which the rebates will be calculated. (USDA Policy Memo 94-6).

As stated in the Special Supplemental Nutrition Program for Women, Infants, and Children, 7 C.F.R. § 246.16a(c)(5) (2025):

· “A State agency must award the Contract(s) to the responsive bidder(s) offering the lowest total monthly net price for infant formula or the highest monthly rebate (subject to paragraph(c)(4)(ii) of this section) for a standardized number of units of infant formula. To be responsive, a bidder must submit a bid by the deadline set by the State agency that conforms to the solicitation and must meet requirements at 246.16a and set forth in the bid solicitation. The State agency must calculate the lowest net price using the lowest national wholesale cost per unit for a full truckload of the infant formula on the date of the bid opening.”

The State is seeking proposals from manufacturers of infant formula to supply and provide a rebate on all infant formulas it produces that the State chooses to issue, except exempt infant formulas. Rebates will be paid by the Contractor to the State on a per unit basis. The State intends to award a contract to a single manufacturer whose proposal offers the lowest total monthly net price for milk-based infant formula that is suitable for routine issuance to the majority of healthy, full-term infants. The same percentage discounts applied to the wholesale truckload prices of the milk-based infant formula as bid, will apply to all other Contract Brand Infant Formulas, including new infant formula authorized for issuance by the WIC Program.

Over the course of the 60-month Contract period, the WIC Program is estimated to purchase 13,093,025 units of Contract Brand Infant Formula. The State is not obligated to purchase in this or any specific quantity.

In accordance with the “Child Nutrition Act of 1966, as amended through the “Healthy, Hunger-Free Kids Act of 2010” P.L. 111-296, Dec. 13, 2010, the State of Michigan, Department of Health and Human Services, (herein referred to as the “Department”), Michigan Special Supplemental Nutrition Program for Women, Infants, and Children (herein referred to as the “WIC Program”), is seeking infant formula cost-containment systems which will produce the maximum savings and thus allow for the greatest number of participants to benefit from WIC Program services.

The WIC Program is administered by the United States Department of Agriculture (USDA) through its Food and Nutrition Service Division which has promulgated regulations governing the program at 7 C.F.R. § 246.1, et seq. USDA has contracted with the State of Michigan to implement the program through the Department in accordance with these regulations. As required by federal regulations, Michigan has adopted a WIC State Plan of program operation and administration that was submitted to and approved by the USDA. The WIC State Plan, as approved by USDA, establishes and governs the specifics as to how Michigan implements all aspects of the WIC program, including the administration and implementation of the WIC Infant Formula Rebate Program and this Contract.

The Department is the recipient of federal funds and is responsible for administering the WIC Program in Michigan in accordance with the Michigan WIC State Plan through a network of 48 local agencies, 189 local clinics and approximately 1,343 Authorized WIC Vendors, including retail food stores and pharmacies, throughout the State. Eligible WIC participants redeem WIC food benefits via Electronic Benefit Transfer (EBT) cards known as Michigan WIC EBT Cards, which can be used at any of the Authorized WIC Vendors.

Michigan WIC EBT Cards are issued throughout the State to the authorized person or proxy associated with certified pregnant and postpartum (non-breastfeeding and breastfeeding) women, or infant and child participants. The WIC food benefits are specific in quantity and type (by UPC code) of nutritious foods, which may be purchased at an Authorized WIC Vendor. When benefits are redeemed by a WIC authorized person or proxy at an Authorized WIC Vendor, a WIC EBT transaction is completed. A WIC EBT transaction consists of several steps and begins with a pre-purchase authorization from the WIC Authorized Vendor to the EBT processor to ensure benefit availability and redemption requirements are met. Upon confirmation of benefit availability and redemption requirements, the WIC EBT transaction is approved and processed resulting in electronic payment to the Authorized WIC Vendor’s bank account. Additionally, the Michigan WIC program determines a not-to-exceed (NTE) value for each UPC and for each WIC vendor peer group. If an Authorized WIC Vendor requests a purchase price exceeding the NTE value, they will only be reimbursed the NTE dollar amount set forth.

The Michigan WIC average monthly participation for Calendar Year 2025 was approximately 185,600, including around 41,100 infants. Of these infants, 7,751 were exclusively breastfed, 29,258 were issued Contract Brand Infant Formula, 785 were issued Non-Contract Non-Exempt Infant Formula and 3,321 were issued Exempt Infant Formula.