RFQ 2021-101 Cost Allocation Cost Rate Consultant.pdf

Revised 11/2/2021 Page 1

REQUEST FOR QUOTES (RFQ) #2021-101

Issue Date: December 15, 2021

Project Name: Cost Allocation and Cost Rate Consultant Quote Due Date/Time: January 27, 2022, 2:00 PM PST Procurement Analyst: Ryan Rice Email: rrice@clackamas.us

SUBMIT QUOTES VIA EMAIL TO PROCUREMENT@CLACKAMAS.US

PLEASE NOTE: EMAIL SUBMISSIONS SHOULD HAVE

“RFQ #2022-101 COST ALLOCATION COST RATE CONSULTANT” IN THE

SUBJECT LINE

1. ANNOUNCEMENT AND SPECIAL INFORMATION

Quoters are required to read, understand, and comply with all information contained within this Request for Quotes (“RFQ”). All quotes are binding upon Quoter for sixty (60) days from the Quote Due Date/Time. Quotes received after the Quote Due Date/Time may not be considered. If authorized in the RFQ and resulting contract, travel and other expense reimbursement will only be reimbursed in accordance with the Clackamas County Travel Reimbursement Policy in effect at the time the expense is incurred. The Policy may be found at https://www.clackamas.us/finance/terms.html.

RFQ Documents can be downloaded from OregonBuys at the following address:

https://oregonbuys.gov/bso/ Document No. S- C01010-000001511. Prospective Quoters will need to sign in to download the information and that information will be accumulated for a Plan Holder's List.

Prospective Quoters are responsible for obtaining any addenda or clarifying questions from OregonBuys.

Complete Quotes must be emailed to Procurement@clackamas.us. The subject line of the email must identify the RFQ title.

All questions regarding this RFQ are to be directed to the Procurement Analyst named above. Quoters may not communicate with County employees or representatives about the RFQ during the procurement process until the Procurement office has notified Quoters of the selected Quoter.

Communication in violation of this restriction may result in rejection of a Quoter.

2. SCOPE

Background Clackamas County (“County”) is one of the counties that make up the Portland, Oregon metropolitan area. The County encompasses 1,879 square miles. Roughly one-eighth of Clackamas County is urban; the remainder is rural. In 2019, the estimated population of the county was 418,187.

A. The County has an existing cost allocation plan that requires an overhaul to simplify and improve transparency for management and increased cost recovery.

B. The County desires the creation of some Negotiated Indirect Cost Rate Agreements (“NICRA”) for large departments.

Procurement Division Public Services Building

2051 Kaen Road Oregon City, OR 97045

(503) 742-5444 (Office) mailto:rrice@clackamas.us mailto:Procurement@clackamas.us https://www.clackamas.us/finance/terms.html https://oregonbuys.gov/bso/ mailto:Procurement@clackamas.us

Revised 11/2/2021 Page 2

The purpose of this RFQ is to contract with a qualified consultant to prepare a Cost Allocation Plan (“CAP”) and Negotiated Indirect Cost Rate Agreements (“NICRA”) for Clackamas County, and establish an annual update process that County staff can manage.

Scope of Work:

2.1. Phase I: Environmental Scan

2.1.1. Review current County cost allocation methods/formulas and conduct stakeholder interviews to identify opportunities to simplify, streamline, provide process transparency, and make recommendations to County.

2.1.2. Examine federal and state grant requirements to ensure that all recommended processes are in compliance with grant requirements for charging of internal service costs. This includes a determination of whether a two-year lag period is still the best practice, or if a different base period is recommended.

2.1.3. Evaluate any alternative methodologies/models and determine the implications of changing methods on future audit cycles for both the primary county government and its component units, as well as audits performed in conformance with OMB Circular-A133 which applies to the single audit that examines management and use of federal funds by local governments.

2.1.4. Determine whether the current cost allocation model and potential alternate models under review capture all applicable costs and spread those costs equitably to user of internal services. Evaluate the relative time and cost impact of using current and potential alternate models relative to precision of cost allocations.

2.1. Phase I DELIVERABLE: Conditions Assessment Report

2.2. Phase II: Findings and Recommendations Development

2.2.1. Develop options for improving cost allocations.

2.2.2. Identify new cost allocation opportunities with recommended methodologies for costing.

Some potential examples of departments that are currently not a part of the cost allocation plan include: Board of County Commissioners, County Administration, and County Counsel.

2.2.3. If changes to the County’s current methods are indicated, recommend an efficient methodology and implementation process.

2.2.4. If the County’s current methods are determined to be a good and appropriate, recommend improvements for efficiency and transparency.

2.2. DELIVERABLE: Draft Findings & Recommendations Report

2.3. Phase III: Reporting

2.3.1. Review Draft Findings and Recommendations with project team, County Administration, and executive management/stakeholders. Revise as needed and present findings to Board of County Commissioners.

2.3.2. Recommend an implementation process and timeline for the first and second year.

2.3.3. Prepare a Final Report based on prior deliverables and input received by stakeholders.

2.3. DELIVERABLE 3: Final Report (including final recommendations and findings)

2.4. Negotiated Indirect Cost Rate Agreement (“NICRA”)

With the exception of a few programs, the County has not negotiated an indirect cost rate for the recovery of overhead expenses. The vast majority of grant programs that receive federal/state funding rely on the General Fund or other revenue sources to cover the overhead costs. As the General Fund resources are constrained, the County wants to explore the opportunity to establish an indirect cost rate process.

Scope

2.4.1. Analyze the County’s accounting and grant program structure.

2.4.2. Identify options for developing an annual indirect cost rate plan and present the options to an ad hoc committee.

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2.4.3. Once the desired option has been determined by the County, develop an implementation strategy for the annual indirect cost rate plan that takes into account the annual budget and audit processes, and assist County staff in:

a. Making recommendations for tasks, accounts, reports, etc. needed for a successful implementation;

b. Hosting training meetings, including preparation of training and presentation materials;

c. Preparation of the summary reports for presentation to the Board of County

Commissioners and Executive Management Team;,

d. Development of the indirect cost rate plan;

e. Submittal of the indirect cost rate plan to a cognizant agency;

f. Implementation of NICRA rates;

g. Development of annual process for reassessment and resubmission of the indirect cost rate plan in future years.

COST ALLOCATION PLAN (“CAP”)

Current Allocations for Internal Services and General Fund Departments:

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Current State:

1. In FY21-22 the County implemented a new Chart of Account (“COA”), consolidating eight

(8) separate reporting structures into a single COA. This countywide COA implementation means funds, departments, programs, and account codes have been changed (e.g. new groupings, collapsed groupings, reduction in number of accounts, etc.). In some program budgets, these changes may cause large variances to amounts and/or percentages from FY20- 21 Amended Budget to the FY21-22 Proposed Budget.

2. In FY21-22 the County implemented a new budget system; OpenGov. FY18-19 Actuals, FY19-20 Actuals, and FY20-21 Budget/Amended Budget and FY20-21 Actuals, were cross walked and loaded into OpenGov. As the County is only months into this new implementation, there are current issues being discovered and addressed.

3. Ongoing updates to PeopleSoft, the financial enterprise resource planning system.

a. COA updates include cross-walking accounts, converting system reports, converting work force data, creating reports and queries, establishing automated process for queries/uploads/reports.

b. Implementation of a new integrated timekeeping system; Time & Labor.

4. Each year, the majority of the County’s cost allocations use audited financials from 2-years prior (normally the most recent audited data available). However, due to COVID-19 Pandemic and the County’s desire to keep costs flat, the FY21-22 Cost Allocation Plan is based on FY17-18 Actuals. This means that when the allocations are updated, there will be a significant increase in costs.

5. Department feedback indicate customers don’t understand the cost allocation methodology and don’t see the value in the services received.

Desired Timeline and contract length:

The County’s intent is to have a prompt start date (upon contract execution) and completion of work as quickly as possible.

Budget:

The County’s has a budget of $150,000 for the cost allocation and NICRA. Please note, firms shall provide a rate and a total not-to-exceed price per the criteria listed within Section 4 below. The proposed not-to-exceed price will be a factor in vendor selection.

3. SAMPLE CONTRACT

Submission of a Quote in response to this RFQ indicates Quoter’s willingness to enter into a contract containing substantially the same terms of the below referenced contract, which can be found at:

https://www.clackamas.us/finance/terms.html, with the below indicated requirements. No action or response to the sample contract is required under this RFQ. The applicable sample contract is the:

Personal Services Contract (unless checked, item does not apply) The following paragraphs of the Professional Services Contract will be applicable:

Article I, Paragraph 5 – Travel and Other Expense is Authorized Article II, Paragraph 28 – Confidentiality Article II, Paragraph 29 – Criminal Background Check Requirements Article II, Paragraph 30 – Key Persons Article II, Paragraph 31 – Cooperative Contracting Article II, Paragraph 32 – Federal Contracting Requirements

The following insurance requirements will be applicable:

Commercial General Liability: combined single limit, or the equivalent, of not less than $1,000,000 per occurrence, with an annual aggregate limit of $2,000,000 for Bodily Injury and Property Damage.

Professional Liability: combined single limit, or the equivalent, of not less than $1,000,000 per occurrence, with an annual aggregate limit of $2,000,000 for damages caused by error, omission or negligent acts.

Automobile Liability: combined single limit, or the equivalent, of not less than $1,000,000 per occurrence for Bodily Injury and Property Damage.

https://www.clackamas.us/finance/terms.html

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4. QUOTE

Quotes shall not exceed 10 pages and must contain the following information:

A. Cover letter addressing firm’s contact information and a brief description highlighting the years in business, and areas of specialization that relate to RFQ.

B. Experience of staff that will work on the project:

1. Describe your firm’s qualifications to provide the scope of work as outlined within this RFQ.

2. Provide the background, qualifications and experience of professional staff to be assigned to this project. Descriptions shall identify the Project Manager (lead) the firm intends to assign to the County. Describe projects of a similar nature in which the Project Manager had “hands on” responsibility.

3. Identify sub-consultants, if any, and clarify which task and responsibility they will contribute to.

4. Include three (3) examples for recent projects of a similar nature and similar agency.

Examples can be submitted with the emailed quote or as a listed web link.

C. Work plan and schedule broken out by Cost Allocation and NICRA work:

1. Provide a description of the work program including a description of deliverables and activities that will be undertaken. Consultants should describe their approach for managing the project, schedule and communicating with the County.

2. Consultants should describe their technical approach to the work, and should list specific tasks necessary to fulfill the project requirements. Proposers are encouraged to amplify the scope of services, and to identify any supplemental tasks necessary or recommend any alternatives that may enhance the project or reduce its costs.

3. Provide a schedule that includes resource requirements, a step-by-step work plan of all activities involved in conduct of the work, and timelines for those steps, identifying major steps and milestones.

D. Project Fee (broken out by Cost Allocation and NICRA):

1. Provide a Fee Schedule and Estimate.

2. Provide a “not to exceed” fixed fee including associated fees (i.e. printing costs, etc.).

Fee estimate shall include:

i. A list of tasks required to accomplish the scope of services;

ii. An estimate of the labor hours for each task, by position classification;

iii. The proposed hourly fee schedule;

iv. A “per program” fee for indirect rate calculations; and

v. All reimbursable fees and expenses. Note- the County will not pay for lodging, vehicles, or travel time.

3. If work is anticipated beyond the first year, a table that details costs by year should be provided.

E. Client References:

1. Provide the names, titles, addresses, and telephone numbers of a contact person for at least three (3) references. It is preferred that this list includes organizations for which your firm has performed similar services as outlined in this RFQ.

2. Provide a complete listing of all Oregon municipal agency clients.

F. Quote Certification Form (this page does not count towards the overall page count).

G. Any additional information that Clackamas County should take into consideration for the project or qualifications.

5. EVALUATION

Quotes will be evaluated based on subjective factors including, but not limited to: Firm experience, staff experience, work plan/schedule (including timeline), project fee, and client references.

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QUOTE CERTIFICATION FORM

RFQ #2021-101

Submitted by: ____________________________________________________________________ (Must be entity’s full legal name)

Each Quoter must read, complete and submit a copy of this Clackamas County Certification with their Quote. Failure to do so may result in rejection of Quote. By signature on this Certification the undersigned certifies that they are authorized to act on behalf of the Quoter and that under penalty of perjury the undersigned will comply with the following:

SECTION I. OREGON TAX LAWS: As required in ORS 279B.110(2)(e), the undersigned hereby certifies that, to the best of the undersigned’s knowledge, the Quoter is not in violation of any Oregon Tax Laws. For purposes of this certification, “Oregon Tax Laws” means the tax laws of the state or a political subdivision of the state, including ORS

305.620 and ORS chapters 316, 317 and 318. If a contract is executed, this information will be reported to the Internal Revenue Service. Information not matching IRS records could subject Quoter to 24% backup withholding.

SECTION II. NON-DISCRIMINATION: That the Quoter has not and will not discriminate in its employment practices with regard to race, creed, age, religious affiliation, sex, disability, sexual orientation, gender identity, national origin, or any other protected class. Nor has Quoter or will Quoter discriminate against a subcontractor in the awarding of a subcontract because the subcontractor is a disadvantaged business enterprise, a minority-owned business, a woman-owned business, a business that a service-disabled veteran owns or an emerging small business that is certified under ORS 200.055.

SECTION III. CONFLICT OF INTEREST

The undersigned hereby certifies that no elected official, officer, agent or employee of Clackamas County is personally interested, directly or indirectly, in any resulting contract from this RFQ, or the compensation to be paid under such contract, and that no representation, statements (oral or in writing), of the County, its elected officials, officers, agents, or employees had induced Quoter to submit this Quote. In addition, the undersigned hereby certifies that this proposal is made without connection with any person, firm, or corporation submitting a quote for the same material, and is in all respects fair and without collusion or fraud.

SECTION IV. COMPLIANCE WITH SOLICITATION: The undersigned further agrees and certifies that they:

1. Have read, understand and agree to be bound by and comply with all requirements, instructions, specifications, terms and conditions of the RFQ (including any attachments); and

2. Are an authorized representative of the Quoter, that the information provided is true and accurate, and that providing incorrect or incomplete information may be cause for rejection of the Quote or contract termination; and

3. Will furnish the designated item(s) and/or service(s) in accordance with the RFQ and Quote; and

4. Will use recyclable products to the maximum extend economically feasible in the performance of the contract work set forth in this RFQ.

Name:_______________________________________ Date:______________________________________

Signature:____________________________________ Title:______________________________________

Email:_______________________________________ Telephone:_________________________________

Oregon Business Registry Number:________________ OR CCB # (if applicable):________________________

Business Designation (check one):

Corporation Partnership Sole Proprietorship Non-Profit Limited Liability Company

Resident Quoter, as defined in ORS 279A.120 Non-Resident Quote. Resident State: ____________________

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CLACKAMAS COUNTY

INSTRUCTIONS TO QUOTERS

Quotes are subject to the applicable provisions and requirements of the Clackamas County Local Contract Review Board Rule C-047-0270 (Intermediate Procurements) and Oregon Revised Statutes.

QUOTE PREPARATION

1. QUOTE FORMAT: Quotes must be must be submitted as indicated in the RFQ.

2. CONFORMANCE TO RFQ REQUIREMENTS: Quotes must conform to the requirements of the RFQ. Unless otherwise specified, all items quoted are to be new, unused and not remanufactured in any way. Any requested attachments must be submitted with the quote and in the required format. Quote prices must be for the unit indicated on the quote. Failure to comply with all requirements may result in quote rejection.

3. ADDENDA: Only documents issued as addenda by Clackamas County serve to change the RFQ in any way. No other directions received by the Quoter, written or verbal, serve to change the RFQ document. NOTE: IF YOU HAVE RECEIVED A COPY OF THE RFQ, YOU SHOULD CONSULT OREGONBUYS (https://oregonbuys.gov/bso/view/login/login.xhtml) TO ENSURE

THAT YOU HAVE NOT MISSED ANY ADDENDA OR ANNOUNCEMENTS. QUOTERS

ARE NOT REQUIRED TO RETURN ADDENDUMS WITH THEIR QUOTE. HOWEVER,

QUOTERS ARE RESPONSIBLE TO MAKE THEMSELVES AWARE OF, OBTAIN AND

INCORPORATE ANY CHANGES MADE IN ANY ADDENDA ISSUED, AND TO

INCORPORATE ANY CHANGES MADE BY ADDENDUM INTO THEIR FINAL QUOTE.

FAILURE TO DO SO MAY, IN EFFECT, MAKE THE QUOTER'S QUOTE NON-

RESPONSIVE, WHICH MAY CAUSE THE QUOTE TO BE REJECTED.

4. USE of BRAND or TRADE NAMES: Any brand or trade names used by Clackamas County in the specifications are for the purpose of describing and establishing the standard of quality, performance and characteristics desired and are not intended to limit or restrict competition.

Quoters may submit quotes for substantially equivalent products to those designated unless the RFQ provides that a specific brand is necessary because of compatibility requirements, etc. All such brand substitutions shall be subject to approval by Clackamas County.

5. PRODUCT IDENTIFICATION: Quoters must clearly identify all products quoted. Brand name and model or number must be shown. Clackamas County reserves the right to reject any quote when the product information submitted with the quote is incomplete.

6. FOB DESTINATION: Unless specifically allowed in the RFQ, QUOTE PRICE MUST BE F.O.B. DESTINATION with all transportation and handling charges included in the Quote.

7. DELIVERY: Delivery time must be shown in number of calendar days after receipt of purchase order.

8. EXCEPTIONS: Any deviation from quote specifications, or the form of sample contract referenced in this RFQ, may result in quote rejection at County’s sole discretion.

9. SIGNATURE ON QUOTE: Quotes must be signed by an authorized representative of the Quoter. Signature on a quote certifies that the quote is made without connection with any person, firm or corporation making a quote for the same goods and/or services and is in all respects fair and without collusion or fraud. Signature on a quote also certifies that the Quoter has read and fully understands all quote specifications, and the sample contract referenced in this RFQ (including insurance requirements). No consideration will be given to any claim resulting from quoting without comprehending all requirements of the RFQ.

10. QUOTE MODIFICATION: Quotes, once submitted, may be modified in writing before the time and date set for quote closing. Any modifications should be signed by an authorized representative, and state that the new document supersedes or modifies the prior quote. Quoters may not modify quotes after quote closing time.

11. QUOTE WITHDRAWALS: Quotes may be withdrawn by request in writing signed by an authorized representative and received by Clackamas County prior to the Quote Due Date/Time.

Quotes may also be withdrawn in person before the Quote Due Date/Time upon presentation of appropriate identification.

12. QUOTE SUBMISSION: Quotes may be submitted by returning to Clackamas County Procurement Division in the location designated in the introduction of the RFQ; however, no oral https://oregonbuys.gov/bso/view/login/login.xhtml

Revised 11/2/2021 Page 8 or telephone quotes will be accepted. Envelopes, or e-mails containing Quotes should contain the RFQ Number and RFQ Title.

QUOTE EVALUATION AND AWARD

1. PRIOR ACCEPTANCE OF DEFECTIVE PROPOSALS: Due to limited resources, Clackamas County generally will not completely review or analyze quotes which fail to comply with the requirements of the RFQ or which clearly are not the best quotes, nor will Clackamas County generally investigate the references or qualifications of those who submit such quotes.

Therefore, neither the return of a quote, nor acknowledgment that the selection is complete shall operate as a representation by Clackamas County that an unsuccessful quote was complete, sufficient, or lawful in any respect.

2. DELIVERY: Significant delays in delivery may be considered in determining award if early delivery is required.

3. CASH DISCOUNTS: Cash discounts will not be considered for award purposes unless stated in the RFQ.

4. PAYMENT: Quotes which require payment in less than 30 days after receipt of invoice or delivery of goods, whichever is later, may be rejected.

5. INVESTIGATION OF REFERENCES: Clackamas County reserves the right to investigate references and or the past performance of any Quoter with respect to its successful performance of similar services, compliance with specifications and contractual obligations, and its lawful payment of suppliers, sub-contractors, and workers. Clackamas County may postpone the award or execution of the contract after the announcement of the apparent successful Quoter in order to complete its investigation. Clackamas County reserves the right to reject any quote or to reject all quotes at any time prior to Clackamas County's execution of a contract if it is determined to be in the best interest of Clackamas County to do so.

6. METHOD OF AWARD: Clackamas County reserves the right to make the award by item, groups of items or entire quote, whichever is in the best interest of Clackamas County.

7. QUOTE REJECTION: Clackamas County reserves the right to reject any and all quotes for any reason including, but not limited to, a Quoter’s failure to constitute as a responsible bidder under ORS 279B.110 and LCRB C047-640-1-c-F-iii.

8. QUOTE RESULTS: Quoters who submit a quote will be notified of the RFQ results. Awarded quote files are public records and available for review by submitting a public records request or by appointment.