S000000450 Consulting and Actuarial Services.pdf

STATE OF ARKANSAS

DEPARTMENT OF SHARED ADMINISTRATIVE SERVICES

OFFICE OF STATE PROCUREMENT

501 Woodlane St., Ste. 220

Little Rock, Arkansas 72201-1023

REQUEST FOR PROPOSAL

SOLICITATION DOCUMENT

SOLICITATION INFORMATION

Solicitation Number: S000000450 Solicitation Issued: September 12, 2025

Description: Consulting and Actuarial Services

Department: Shared Administrative Services – Employee Benefits Division

PROPOSAL DUE DATE AND SUBMISSION OF RESPONSE DOCUMENTS

Proposal Due Date: October 10, 2025 Time: 2:00 PM, Central Time

Proposal submissions for this Request for Proposal must be submitted through ARBuy, the State’s eProcurement system, by the Proposal Due Date and Time. Proposals received after the Proposal Due Date and Time will be rejected as untimely. ARBuy can be accessed at arbuy.arkansas.gov.

LIVE PROPOSAL OPENING INFORMATION

Teams Meeting Link: Join the meeting now

Meeting ID: 289 810 773 581 5

Passcode: Y8Yx39Ru

Call in (audio only): 501.244.3310 or find a local number

Conference ID# 661 830 876#

SAS OFFICE OF STATE PROCUREMENT CONTACT INFORMATION

SAS OSP Procurement Specialist:

Julie Robnolt Procurement Specialist’s Direct Phone Number:

501-371-6070

Email Address: julie.robnolt@arkansas.gov SAS OSP’s Main Number: 501-324-9316

SAS OSP Website: sas.arkansas.gov/procurement/ https://arbuy.arkansas.gov/ https://teams.microsoft.com/l/meetup-join/19%3ameeting_YzZmNDEyZWUtZTkwYS00OTRiLTg3MDMtZWY3MjE2YTEwN2Zl%40thread.v2/0?context=%7b%22Tid%22%3a%225ec1d8f0-cb62-4000-b327-8e63b0547048%22%2c%22Oid%22%3a%22a5e9cf20-c478-4e36-8fed-351f1ae086e2%22%7d https://dialin.teams.microsoft.com/6b6513dc-a034-48d2-8d06-7e711c4ecc0b?id=719036839 mailto:julie.robnolt@arkansas.gov https://sas.arkansas.gov/procurement/

Rev 05/2025

SECTION 1 – GENERAL INFORMATION AND INSTRUCTIONS

1.1 INTRODUCTION

This Request for Proposal (RFP) is issued by the Shared Administrative Services Office of State Procurement (SAS OSP) for the Employee Benefits Division (“EBD” or “Division”) to obtain pricing and a contract for Consulting and Actuarial Services.

Contract will be awarded to the Prospective Contractor determined to have submitted the proposal that is the most advantageous to the State. Direct all questions, comments, or concerns regarding this solicitation to the SAS OSP, not the Division.

1.2 TYPE OF CONTRACT

A. As a result of this RFP, SAS OSP intends to award a contract to a single Contractor.

B. EBD will not grant the Contractor exclusive rights to all Consulting and Actuarial Services contemplated under this RFP. In the event that EBD decides that the acquisition of these services by another Contractor is in the best interests of EBD’s current and future benefit offerings, EBD reserves the right to contract and purchase Consulting or Actuarial Services from a different source outside any contract resulting from this RFP, and EBD’s action to procure services outside of any resulting contract does not infringe upon, nor terminate any contract resulting from this RFP.

C. The anticipated starting date for any resulting contract is November 24, 2025, except that the actual contract start date may be adjusted unilaterally by the State for up to three (3) calendar months. By submitting a signed proposal in response to the RFP, the Prospective Contractor represents and warrants that it will honor its proposal as being held open as irrevocable for this period.

D. The initial term of any resulting contract will be for two (2) years. Upon mutual agreement by the Contractor and Department, the contract may be renewed by SAS OSP for up to five (5) additional one-year terms or portions thereof, not to exceed a total aggregate contract term of seven (7) consecutive years.

1.3 DEFINITION OF TERMS

A. Unless otherwise defined herein, all terms defined in Arkansas Procurement Law have the same meaning herein.

B. “Prospective Contractor” means a responsible offeror who submits a proposal in response to this Solicitation.

C. The terms “Request for Proposal,” “RFP,” and “Solicitation” are used synonymously in this document.

D. “Requirement” means a term, condition, provision, deliverable, Specification, or a combination thereof, that is obligated under the Solicitation, resulting contract, or both.

E. “Responsive Proposal” means a proposal submitted in response to this Solicitation that conforms in all material respects to this RFP.

F. “Shall” and “must” mean the imperative and are used to identify Requirements.

G. “Specification” means any technical or purchase description or other description of the physical or functional characteristics, or of the nature, of a commodity or service. “Specification” may include a description of any Requirement for inspecting, testing, or preparing a commodity or service for delivery.

H. “State” means the State of Arkansas. When the term “State” is used herein to reference any obligation of the State under a contract that results from this Solicitation, that obligation is limited to the Department using such a contract.

1.4 SOLICITATION SCHEDULE

For informational purposes, SAS OSP is providing a Solicitation Schedule; however, dates listed and noted with an asterisk (*) are anticipated dates only and are subject to change at the discretion of the State. All times are listed in Central Time.

TABLE A: TENTATIVE SOLICITATION SCHEDULE

ACTIVITY DATE

Deadline for Prospective Contractor Questions September 21, 2025 @ Midnight

Answers to Questions Posted to ARBuy* September 26, 2025

Proposal Due Date October 10, 2025 @ 2 pm

Initial Proposal Evaluation* October 13, 2025

Interviews* October 16-17, 2025

Final Proposal Evaluation* October 17, 2025

Discussions Kick Off Meeting* October 22, 2025

Finalize Discussions* October 31, 2025

Post Anticipation to Award* October 31, 2025

Award Contract* November 24, 2025

1.5 CLARIFICATION OF SOLICITATION

A. Submit questions requesting clarification of information contained in this Solicitation via the

Solicitation posting in ARBuy by the date and time listed in Table A.

1. For each question submitted, Prospective Contractor should reference the specific Solicitation item number to which the question refers, as applicable.

2. Prospective Contractors’ written questions will be consolidated and responded to by the State as deemed appropriate. The State’s consolidated written response is anticipated to be posted to the Solicitation posting in ARBuy by the close of business on the date provided in Table A. If Prospective Contractor questions are unclear or non-substantive in nature, the State may request clarification of a question(s) or decline to answer.

B. The Prospective Contractor should notify the SAS OSP Procurement Specialist of any Requirements that precludes the Prospective Contractor from submitting a Responsive Proposal.

C. Prospective Contractors may contact the SAS OSP Procurement Specialist with non-substantive questions at any time prior to the proposal opening.

D. An oral statement by SAS OSP will not be part of any contract resulting from this Solicitation and may not reasonably be relied on by any Prospective Contractor as an aid to interpretation unless it is reduced to writing and expressly adopted by SAS OSP.

E. Only an addendum written and authorized by the State will modify the Solicitation.

1.6 RESPONSE DOCUMENTS

A. All proposal responses must be submitted through ARBuy, the State’s eProcurement system. The system can be accessed at arbuy.arkansas.gov.

1. Prospective Contractors must be registered in ARBuy to submit proposals responses.

B. Technical Proposal Packet

1. Prospective Contractors shall utilize the Technical Proposal Packet to submit their responses.

2. The following items are proposal Submission Requirements and must be submitted as part of a Prospective Contractor’s proposal response.

a. Signed Proposal Signature Page; signature may be ink or digital.

b. Technical Proposal response to the Information for Evaluation section included in the Technical Proposal Packet, which must be in the English language.

https://arbuy.arkansas.gov/

c. Completed Official Solicitation Price Sheet attached to the Solicitation in ARBuy.

i. Pricing must be proposed in U.S. dollars and cents.

ii. Quantities stated are estimates only and are not guaranteed. Prospective Contractor must submit unit price on the estimated quantity and unit of measure specified.

• The State may order more or less than the estimated quantity on term contracts, and the Contractor shall sell to the Department quantities ordered at no more than the submitted price.

iii. If pricing documents do not allow for accurate pricing, Prospective Contractor should notify the OSP Procurement Specialist at least seventy-two (72) hours before the proposal opening time.

iv. Prices must be firm offers and adjustments may be negotiated at the time of contract renewal.

• A request for a price increase must include supporting documentation demonstrating that the increase in contract price is based on an increased cost to the Contractor and that the proposed pricing is still competitive in the marketplace. The State has the right to approve or deny any request for a price adjustment.

v. Discount from list pricing is not acceptable unless requested elsewhere in the Solicitation.

vi. State or local sales taxes should not be included in the price. Trade discounts should be deducted from the unit price and the net price should be shown in the pricing response.

d. Recommended Options Form

i. The Recommended Options form included in the Technical Proposal Packet allows Prospective Contractors to identify any recommended options or optional service ideas that may benefit the State that were not included in the Requirements and the proposed solution.

e. Copy of Prospective Contractor’s Equal Opportunity Policy

i. Pursuant to Arkansas Code Annotated § 19-11-104, OSP requires a Prospective Contractor bidding on a state contract to submit a copy of the Prospective Contractor’s Equal Opportunity (EO) Policy.

ii. Prospective Contractors not required by law to have an EO Policy must submit a written statement to that effect.

f. Proposed Subcontractors Form (see SRV-1, section 14)

3. The following items, which must be submitted prior to a contract award to the Prospective Contractor, may also be included with the Prospective Contractor’s proposal:

a. EO 98-04: Contract and Grant Disclosure Form (see SRV-1, section 11)

b. Voluntary Product Accessibility Template (VPAT), if applicable

4. Prospective Contractors should not include any other documents or ancillary information, such as a cover letter or promotional/marketing information.

C. Redacted copy of the Technical Proposal Packet

1. One (1) redacted (marked Redacted) copy of the Prospective Contractor’s proposal response (see Proprietary Information), if applicable.

D. Prospective Contractors should not alter language in Solicitation document(s) or Official Solicitation Price Sheet provided by the State.

https://sas.arkansas.gov/procurement/forms-and-reporting/#:~:text=Services%20Contract%20(SRV%2D1)%20Fillable%20Form https://sas.arkansas.gov/procurement/forms-and-reporting/#:~:text=Services%20Contract%20(SRV%2D1)%20Fillable%20Form https://www.section508.gov/sell/vpat/

E. Prospective Contractor’s proposals cannot be altered or amended after the proposal opening except as permitted by law or rule.

F. Prospective Contractors may submit multiple proposals.

SECTION 2 – REQUIREMENTS

2.1 BACKGROUND AND CURRENT ENVIRONMENT

The Division administers benefits for all state agencies, public school employees, and retirees in the State of Arkansas, approximately 160,000 covered lives. These benefits encompass group health and life insurance plans, as well as an employee assistance program, health savings accounts, and flexible spending accounts.

In Fiscal Year 2025, EBD utilized an average of 222 hours per month for services as described in this RFP. EBD anticipates utilizing Consulting Services more heavily with any resulting contract from this RFP. Table B below shows the types of positions utilized and a monthly summary of the hours billed for

FY2025.

Table B

Position Title Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Avg

Actuarial Analyst 12 32 55 25 18 24 106 77 39 26 8 23 37

Associate Actuary 34 78 178 130 73 67 63 66 66 55 36 58 75

Consulting Actuary 0 0 4 1 0 0 1 0 0 0 0 1 0

Data Analyst 0 0 0 0 0 0 0 0 0 11 0 0 1

Equity Principal 0 0 1 0 0 0 0 0 0 0 0 0 0

Primary Actuary 17 34 35 26 23 25 23 47 54 53 26 26 32

Primary Consultant 5 6 2 3 6 14 26 56 39 33 9 9 17

Principal 0 2 26 31 0 3 2 0 0 1 0 2 6

Secondary Actuary 18 34 36 30 42 31 23 40 36 35 28 30 32

Secondary Consultant 6 38 0 25 1 3 26 67 65 14 9 1 21

Totals 91 223 337 269 163 166 269 352 299 228 116 149 222

2.2 OBJECTIVES AND GOALS

The Department seeks qualified Consulting and Actuarial Services for its current and future benefit offerings to state agencies, public school employees, and retirees. The Division regularly assesses industry trends in benefit offerings.

EBD requires Consulting Services to provide insights into strategic decision making, developing sustainability models, cost containment programs and innovation in benefit offerings to enhance the outcomes for the members and plan.

EBD requires Actuarial Services for premium modeling, risk assessment, and population health analytics tailored to this plan.

2.3 PROSPECTIVE CONTRACTOR MINIMUM QUALIFICATIONS

A. The Prospective Contractor shall have at least five (5) years of experience with providing Consulting and Actuarial Services of a similar size and scope as those described in this RFP.

B. The Prospective Contractor shall have a minimum of five (5) years of experience working with either State, Federal, or local public entities such as cities or counties, preferably in administering and managing a project of similar size and scope.

C. Prior to the award of any resulting contract, the Prospective Contractor shall be authorized to conduct business in the State of Arkansas.

2.4 CONSULTING SERVICES REQUIREMENTS

A. The Contractor shall provide expert advice and improvements to EBD strategies related to plan administration, coverage policies, premium rate settings, and any other aspect of benefit management that affects the members EBD services.

B. The Contractor shall communicate new developments and trends in public employee health benefits programs and shall provide recommendations for improvements to EBD’s current and future benefit offerings, which includes, but is not limited to, managing the group health and life insurance plans, health savings accounts, and flexible spending accounts. Additionally, the Contractor shall provide the same for any other potential competitive benefit offerings.

C. The Contractor shall routinely review the overall effectiveness of EBD’s current and future benefit offerings and provide EBD with consultation and recommendations regarding the plan design and/or necessary administrative adjustments (Please reference Section 2.8 Reporting Requirements).

2.5 ACTUARIAL SERVICES REQUIREMENTS

A. The Contractor shall provide comprehensive actuarial services and cost analyses regarding proposed funding amounts for EBD’s current and future benefit offerings.

B. The Contractor shall be available for periodic educational discussions with EBD. This includes, but is not limited to, discussing consulting and actuarial theories and other matters in lay terms, as well as the latest approaches and trends in benefits.

C. The Contractor shall develop and provide various tables and rates as needed for EBD in developing financial projections.

D. The Contractor shall provide risk assessment and modeling and valuation in developing financial projections.

E. The Contractor shall monitor and advise on industry requirements and obligations including, but not limited to, Federal and State laws and regulations.

F. The Contractor shall verify the accuracy of any data third party vendors provide to the State in developing a fiscal impact statement.

2.6 LEGISLATIVE SUPPORT REQUIREMENTS

A. The Contractor shall monitor the Arkansas General Assembly website, www.arkleg.state.ar.us, when in session, for bills that may affect EBD’s current benefit offerings and shall monitor including, but not limited to:

1. Bills referred to the House and Senate Insurance and Commerce Committees;

2. Bills referred to the House and Senate Public Health, Welfare, and Labor Committees; and

3. Any extraordinary sessions that may be declared by the Governor.

B. The Contractor shall provide a list of bills that they believe may have a fiscal or operational impact on EBD’s current benefit offerings in the State of Arkansas.

C. The Contractor shall develop a fiscal or operational impact statement for the selected bills and additional bills as requested by EBD.

D. The Contractor shall agree to verify the accuracy of any data it provides to the State As required by Act 956 of 2025, when a fiscal or operational impact statement is required (See Attachment D: Act 956).

E. The Contractor shall submit to an independent audit process to verify the accuracy of any data it submits to the State.

F. The Contractor shall provide consultation and advisory services regarding policy and administrative issues during the implementation of new legislation.

G. The Contractor shall assist in the preparation of proposed changes to related laws and legislation.

2.7 MEETING REQUIREMENTS

A. The Contractor shall attend meetings, as requested, to provide consulting and actuarial analysis on technical, policy, legal, or administrative questions.

http://www.arkleg.state.ar.us/

B. The Contractor shall attend weekly meetings with EBD via teleconference to provide general progress updates regarding the services provided or other purposes as deemed necessary by EBD.

This requirement may be modified if deemed appropriate by EBD.

C. The Contractor shall attend meetings in-person at EBD’s offices in Little Rock, AR, as deemed necessary by EBD.

D. Upon request by EBD, the Contractor shall attend quarterly meetings in person with EBD, the ASE/PSE Advisory Commissions, the State Board of Finance, and legislative meetings in Little Rock to provide progress updates regarding the services provided or other purposes as determined necessary by EBD.

E. EBD will provide the Contractor with advance notice regarding meeting details that were not previously published.

2.8 REPORTING REQUIREMENTS

A. The Contractor shall provide detailed monthly reports to EBD no later than fifteen (15) calendar days after the end of each month, which must include, but not be limited to, the following:

1. Summary of EBD’s financial experience

2. Other information as deemed relevant by EBD

B. The Contractor shall provide detailed quarterly reports to EBD no later than thirty (30) calendar days after the end of each quarter, which must include, but not be limited to, the following:

1. Summary of EBD’s financial experience

2. Summary by service category

3. Summary by diagnostic category

4. Other information as deemed relevant by EBD

C. The Contractor shall provide a detailed annual report on July 31 of each year (or the first business day that follows July 31), which must include, but not be limited to, the following:

1. Summary of EBD’s financial experience

2. Summary by service category

3. Summar by diagnostic category

4. Other information as deemed relevant by EBD

D. The Contractor shall present the annual report in-person to EBD’s management staff, at EBD’s offices in Little Rock, AR, and at other onsite locations as requested. EBD will provide the Contractor with advance notice regarding meeting details for the presentation.

E. The Contractor shall provide ad hoc reporting upon request from EBD and/or various State or Legislative entities.

F. Should EBD request additional information and/or clarification about any report, the Contractor shall acknowledge the request within one (1) business day via secure email and shall provide a timeline for providing the additional information and/or clarification requested.

2.9 COMPLIANCE, PRIVACY, AND SECURITY REQUIREMENTS

A. The Contractor shall provide a proposed Compliance, Privacy, and Security Plan during the Discussions phase.

B. The Contractor shall complete and sign EBD’s Health Insurance Portability and Accountability Act (HIPAA) compliant Business Associate Agreement (BAA) (see Attachment A: Business Associate Agreement).

C. The Contractor shall complete and sign EBD’s System Confidentiality Agreement prior to performing work or accessing member or plan participant information. (see Attachment B: System Confidentiality Agreement).

D. The Contractor shall complete and sign EBD’s Data Sharing Agreement (see Attachment C: Data Sharing Agreement).

E. The Contractor’s data system that is used to transmit and/or warehouse any member information must be Statement on Auditing Standards-70 (SAS-70) Level II and/or Statement on Standards for Attestation Engagements-18 (SSAE-18) compliant. The Contractor shall provide proof of compliance upon EBD’s request.

F. All data being transmitted must be encrypted and all stored data must be encrypted at rest.

G. The Contractor shall have an emergency operations/disaster recovery plan currently in place including redundant systems in order to avoid loss of data.

H. The Contractor shall notify EBD of a security breach as soon as practicable, but no later than two (2) calendar days after the event is identified and the Contractor becomes aware of it.

I. The Contractor shall remove, redact, or mask any member’s Personally Identifiable Information (PII) from any report, letter, or other form of communication.

J. The Contractor shall use alternate member identification numbers assigned by EBD’s benefits providers in place of social security numbers for communication and reporting purposes.

K. The Contractor shall not use, sell, or otherwise disclose any member, plan participant, plan, or program information to any outside party unless specifically provided in order to comply with the requirements and operations of the programs specified in this RFP. The Contractor shall obtain written approval from EBD prior to any disclosure of member, plan participant, plan, or program information.

L. The Contractor shall comply with HIPAA and other Federal and State laws and mandates including privacy, security, and electronic data transfer requirements.

M. The Contractor shall provide HIPAA training to all of the Contractor’s current and future employees assigned to do any work on any contract resulting from this RFP. Training must be conducted prior to the employee performing work on any resultant contract and/or prior to accessing member, plan participant, plan, or program records.

N. The Contractor shall provide information regarding any HIPAA, Internal Revenue Code Sections, American with Disabilities Act (ADA), and/or other regulatory training provided to the Contractor’s employees upon request by EBD.

O. All Personally Identifiable Information (PII) and all Protected Health Information (PHI) data and applications processing PII and PHI data must be stored and hosted within the United States.

P. Any Contractor support personnel that have access to any PII and/or PHI data shall be physically located within the United States.

Q. The Contractor shall provide the name and contact information for an employee who shall serve as EBD’s primary security contact and be available to assist EBD twenty-four (24) hours per day, seven

(7) days per week to resolve obligations associated with a security breach. The security contact shall give a detailed explanation of the breach, the impact of the breach, and provide a detailed resolution so that the breach will not be repeated.

2.10 TRANSPARENT ADMINISTRATION AND AUDIT REQUIREMENTS

A. The Contractor shall perform all services required by this RFP including, but not limited to, financial reporting, administration, and distribution practices and procedures in a completely open and transparent environment.

https://www.hhs.gov/hipaa/index.html https://www.hhs.gov/hipaa/for-professionals/training/index.html

B. The Contractor shall make available to EBD, EBD’s chosen representative(s), or the Arkansas Division of Legislative Audit all records applicable to the administration and management of its consultant and actuarial services for EBD.

C. The Contractor shall provide applicable records electronically via the secure email within EBD’s administrative services system. If the records data is too large to be sent via the secure email, the Contractor shall transport the information via a File Transfer Protocol (FTP) site or other secure file sharing platform/service as determined by EBD.

D. The Contractor shall grant EBD, EBD’s chosen representative(s), or the Arkansas Division of Legislative Audit the right to a reasonable inspection of facilities, equipment, and system support operations to ensure the Contractor’s continued ability to support the programs and/or plan and provide the services required by this RFP.

E. The Contractor shall allow EBD, EBD’s chosen representative(s), or the Arkansas Division of Legislative Audit to conduct audits of all records relative to any contract resulting from this RFP and maintained by the Contractor or the Contractor’s subcontractors.

F. The Contractor shall allow any EBD or State of Arkansas internal auditor and/or any designated external auditor or their authorized representatives to audit and/or inspect all aspects of the Contractor’s operation as it pertains to any contract resulting from this RFP and the services provided.

G. EBD will notify the Contractor via secure email within one (1) business day of EBD receiving notification of an upcoming audit.

H. The Contractor shall be available for all audits by EBD, EBD’s chosen representative(s), or Legislative Audit personnel to take place at a time and within an audit timeline designated by EBD, on business days during the hours of 8 a.m. through 5 p.m. CST. The Contractor shall abide by the audit timeline specified by EBD.

I. The Contractor shall respond to any finding from an inspection and/or audit within fifteen (15) calendar days of receipt of such finding.

J. The Contractor shall conduct an IT audit of the system used to provide the services required by this RFP on an annual basis.

2.11 CONFLICTS OF INTEREST AND LITIGATION DISCLOSURES

A. The Contractor shall disclose prior to award any actual and/or potential conflict(s) of interest pertaining to the Contractor’s company including, but not limited to, any contract and/or financial arrangement between the Contractor and any entity and/or subcontractor that impacts, has the potential to impact, and/or directly conflicts with the Contractor’s ability to effectively and impartially honor the terms of any resulting contract.

B. The Contractor shall notify EBD immediately upon knowledge of any such conflict of interest including any proposed mitigation measures.

C. The Contractor shall disclose prior to award all litigation (criminal or civil) and all bankruptcy petitions pertaining to the Contractor’s company that impacts and/or has the potential to impact the Contractor’s ability to effectively and impartially honor the terms of any resulting contract.

D. The Contractor shall notify EBD upon knowledge of any such litigation or bankruptcy petition including any proposed mitigation measures.

E. If EBD determines, at its sole discretion, that any actual and/or potential conflict(s) of interest, litigation (criminal or civil), and/or bankruptcy petition(s) disclosed directly conflicts, impacts, and/or prevents the Contractor from effectively and impartially honoring the terms of any contract resulting from this RFP, the State reserves the right to disqualify the Contractor’s proposal.

2.12 DATA OWNERSHIP AND END OF CONTRACT TRANSITION

A. The State shall retain sole ownership, right, title, and interest to all data collected and stored by the

Contractor under any resulting contract, excluding intellectual property and exclusions governed by applicable State and Federal laws.

B. At the end of any resulting contract and after confirmed transfer of 100% of the State-owned data, deliverables, and products the Contractor has created, developed, produced, and managed while performing the services outlined in this RFP back to the State or their designee, the Contractor shall destroy all copies of the State-owned data the Contractor possesses within thirty (30) days of the end of the contract.

C. The Contractor shall ensure all data received as part of any resulting contract is used solely for the purpose of any resulting contract and not shared, reused, or disseminated to any other party or entity without the express written consent of the EBD designated representative or as otherwise required under applicable State and Federal laws.

D. Upon termination or expiration, should any subsequent contract for this or similar services be awarded to a provider other than the Contractor, the Contractor shall, to the greatest extent possible and reasonable, cooperate with EBD in initiating a smooth and orderly transition to the next Contractor.

E. The Contractor shall assist with the transition of services including data transfer to the new Contractor for no less than ninety (90) days after contract termination or expiration at no additional cost to EBD.

F. All necessary Federal reporting requirements must be completed for the covered plan years, at the Contractor’s expense, regardless of the contract period’s expiration date. This includes any reports required by State and Federal laws and regulations that may be due after the contract has expired.

G. The Contractor shall release all data, records, files, and other information relating to the services provided by the Contractor under any resultant contract within ninety (90) days of contract expiration, termination, or request from EBD. The Contractor shall release the aforementioned data in electronic format.

2.13 PERFORMANCE STANDARDS

A. State law requires that qualifying contracts for services include Performance Standards for measuring the overall quality of services that a Contractor shall provide.

B. The State may be open to negotiations of Performance Standards prior to contract award, prior to the commencement of services, or at times throughout the contract duration.

C. Performance Standards shall not be amended unless they are agreed to in writing and signed by the parties.

D. Failure to meet the minimum Performance Standards as specified will result in the assessment of damages.

E. In the event a Performance Standard is not met, the Contractor will have the opportunity to defend or respond to the insufficiency. The State has the right to waive damages if it determines there were extenuating factors beyond the control of the Contractor that hindered the performance of services. In these instances, the State has final determination of the performance acceptability.

F. Should any compensation be owed to the Department due to the assessment of damages, Contractor shall follow the direction of the Department regarding the required compensation process.

SECTION 3 – SELECTION

3.1 SELECTION PROCESS

A. SAS OSP will review each Technical Proposal Packet to verify Submission Requirements have been met. Technical Proposal Packets that do not meet Submission Requirements will be rejected and will not be evaluated.

1. The State may conduct cost checks based on the cost submitted by each Prospective Contractor on the completed pricing response.

a. Prospective Contractors submitting Responsive Proposals with a proposed cost that falls twenty-five percent (25%) or more from the average submitted cost may be asked to justify their submitted cost.

b. Should SAS OSP request clarification and/or additional information regarding cost, Prospective Contractors shall provide clarification and/or additional information as specified by the request.

B. A Department-appointed Evaluation Committee will evaluate and score Responsive Proposals.

Evaluation will be based on Prospective Contractor’s response to the Information for Evaluation section included in the Technical Proposal Packet and the pricing submitted by the Prospective Contractor.

1. Cost information will be provided to the members of the Evaluation Committee (Evaluators) to allow them to determine which proposal(s) is the most advantageous to the State.

2. Evaluators will individually review and evaluate proposals and complete an Individual Score Worksheet for each proposal. Individual scoring for each Evaluation Criteria will be based on the scoring description in Table C: Scoring Table.

TABLE C: SCORING TABLE

SCORE DESCRIPTION

The response provides metrics clearly establishing that the Prospective Contractor is reliable and capable of fully performing the required services.

The response provides metrics suggesting that the Prospective Contractor’s level of performance may be acceptable, but it does not clearly establish that the Prospective Contractor is reliable and capable of fully performing the required services.

The response provides metrics clearly establishing that the Prospective Contractor is unreliable and incapable of fully performing the required services.

3. After initial individual evaluations are complete, the Evaluators will meet to discuss their individual scores. At the initial consensus meeting, each Evaluator will be afforded an opportunity to discuss his or her score for each evaluation criteria.

4. After Evaluators have had an opportunity to discuss their individual scores with the committee, the Evaluators will be given the opportunity to change their initial individual scores, if they feel that is appropriate.

5. The final individual scores of the Evaluators will be recorded on the Consensus Scoresheets and averaged to determine the group or consensus score and rank for each proposal.

6. Other agencies, consultants, and experts may also examine documents at the discretion of the Department.

C. Prospective Contractors submitting Responsive Proposals will be contacted by SAS OSP to schedule an interview.

1. Prospective Contractors shall attend the interview as scheduled by SAS OSP.

2. Evaluators will complete an Individual Score Worksheet for each interview. Evaluation will be based on Prospective Contractor’s responses to questions presented during the interview Individual scoring for each interview will be based on the Scoring Descriptions in 3.1.B.1.

3. During a final consensus meeting, after all interviews are complete, Evaluators will have the opportunity to discuss the interviews and change their individual interview scores on the Consensus Scoresheet, if they feel that is appropriate.

a. The final individual scores of the Evaluators will be recorded on the Consensus Scoresheets and averaged to determine the group or consensus score and rank for each proposal.

4. Should the State receive only one (1) Responsive Proposal, the State may forgo the interview portion of the evaluation if the proposal has received the Maximum Weighted Score Possible for the Experience, Solution, and Risk subsections.

a. In this scenario, the proposal would automatically receive the maximum weighted score possible for the interview subsection.

D. Should the State request clarification and/or additional information Prospective Contractors’ responses, Prospective Contractors shall provide clarification and/or additional information as specified by the State.

E. SAS OSP will submit responses and pricing received from the interviewed Perspective Contractors, along with the Evaluation Committee’s recommendation to the Department for review and approval to move into Discussions.

3.2 TECHNICAL PROPOSAL SCORE

A. The Information for Evaluation section has been divided into subsections.

1. Each subsection has been assigned a maximum point value of ten (10) points. The total point value for each subsection is reflected in the table below as the Maximum Raw Points Possible.

2. The Department has assigned Weighted Percentages to each subsection according to its significance.

INFORMATION FOR EVALUATION

SUBSECTIONS

MAXIMUM

RAW

POINTS

POSSIBLE

SUBSECTION’S

WEIGHTED

PERCENTAGE

* MAXIMUM

WEIGHTED

SCORE

POSSIBLE

Experience 10 25% 175

Solution 10 30% 210

Risk 10 15% 105

Interview 10 30% 210

Total Technical Score 40 100% 700

*Subsection’s Percentage Weight x Total Technical Maximum Weighted Score = Maximum Weighted Score Possible for the subsection.

B. The proposal’s weighted score for each subsection will be determined using the following formula:

(A/B)*C =D

A = Actual Raw Points received for subsection in evaluation

B = Maximum Raw Points possible for subsection

C = Maximum Weighted Score possible for subsection

D = Weighted Score received for subsection

C. The proposal’s weighted scores for subsections will be added to determine the Total Technical Score for the proposal.

3.3 COST SCORE

A. When scores are applied to pricing, the maximum amount of cost points will be given to the proposal with the lowest seven (7) year grand total as shown in Table One (1) on the completed Official Solicitation Price Sheet. (See Grand Total Score for maximum points possible for cost score.)

B. The amount of cost points given to the remaining proposals will be allocated by using the following formula:

(A/B)*C =D

A = Lowest estimated cost

B = Second (third, fourth, etc.) lowest estimated cost

C = Maximum Points for lowest estimated cost

D = Total price points received

3.4 GRAND TOTAL SCORE

The Technical Score and Cost Score will be added together to determine the Grand Total Score for the proposal. The State may move forward to Discussions with the Prospective Contractor determined reasonably susceptible of being selected for award.

MAXIMUM

POINTS

POSSIBLE

Technical Proposal 700

Cost 300

Maximum Possible Grand Total Score 1,000

3.5 EXPLANATION OF THE SUBSECTIONS OF THE TECHNICAL PROPOSAL

A. Experience

1. The Experience subsection included in the Technical Proposal Packet allows Prospective Contractors to differentiate themselves based on their experience, technical capability, and understanding of the State’s specific needs.

2. Prospective Contractors should identify expertise in the form of a claim and provide relevant experience to support each claim.

3. Prospective Contractors should use verifiable metrics (number of accounts, size of accounts, years of experience, customer satisfaction ratings) to support each claim.

B. Solution

1. The Solution subsection included in the Technical Proposal Packet allows Prospective Contractors to differentiate themselves based on their proposed solution and/or approach to solve the State’s specific needs.

2. Prospective Contractors should provide a high-level overview of the Prospective Contractor’s proposed solution and/or approach to services using the Requirements outlined in the RFP.

3. Proposed solutions should be non-technical and include the Prospective Contractor’s recommendations for meeting the objectives and Requirements of the RFP.

4. Additional service options and recommendations above and beyond those included in proposed solution should be included in the Recommended Options Form.

C. Risk

1. The Risk subsection included in the Technical Proposal Packet allows Prospective Contractors to identify and prioritize major risks that they reasonably foresee could potentially prevent or impair the Prospective Contractor’s delivery of the solution as offered in the proposal or to otherwise fail to meet the State’s desired outcome, specifications, and performance standards, and how they will mitigate, manage, and/or minimize each risk listed.

a. Prospective Contractors should include sources, causes, or actions that are both within and beyond the control of the Prospective Contractors that they reasonably foresee may cause cost increases, delays, amendments, or dissatisfaction to the State.

b. Risks should be described in simple, clear, and non-technical terms.

c. Prospective Contractor should explain how the Prospective Contractor will mitigate, manage, and/or minimize each risk listed.

i. The Documented Performance cell should include details such as how many times any identified risk was previously mitigated and the impact on the Prospective Contractor’s performance in terms of time, cost, and client satisfaction.

D. Interview

1. The Interview will allow Prospective Contractors to further demonstrate their experience in providing the services outlined in the RFP.

a. Each Prospective Contractor meeting the Submission Requirements will be contacted by SAS OSP to schedule an interview. Prospective Contractors shall attend the interview as scheduled by SAS OSP.

b. Prospective Contractors shall identify one (1) Project Lead at the time of interview confirmation who shall attend the interview as part of the evaluation process.

c. The Evaluation Committee will interview the Prospective Contractor’s identified Project Lead using a pre-determined set of interview questions. Follow up questions may be asked based on responses given by the Project Lead.

3.6 DISCUSSIONS

A. The State will move forward into Discussions with the responsible Prospective Contractor(s) whose proposal(s) have been determined to be reasonably susceptible to being selected for award.

B. Discussions may be conducted with the highest-ranking Prospective Contractor based on the Grand Total Score for each proposal or with multiple Prospective Contractors reasonably susceptible of being awarded a contract.

C. Should the State choose to engage in Discussions with the highest-ranking Prospective Contractor, the Prospective Contractor invited to participate in Discussions shall provide all documents required during Discussions.

1. Should the Department determine, through the Discussions process, that the Prospective Contractor’s solution, approach, timelines, deliverables, expectations of the State, or a combination thereof make the Prospective Contractor no longer reasonably susceptible of being awarded a contract, the Department may abandon Discussions with that Prospective Contractor through a written justification to SAS OSP, and may proceed to additional rounds of Discussions with the next highest-ranking Prospective Contractor.

D. Should the State choose to engage in Discussions with multiple Prospective Contractors contemporaneously, each Prospective Contractor invited to participate in Discussions shall provide all documents required during Discussions.

1. Should a Prospective Contractor not provide the required documents within timeframes requested by SAS OSP or choose not to engage in the Discussions process, the Prospective

Contractor’s proposal will be considered withdrawn and will not be subject to further consideration in the Solicitation process.

E. If Discussions necessitate material revisions of proposals, each responsible Prospective Contractor reasonably susceptible of being awarded a contract will be provided an opportunity to revise its proposal for the purpose of submitting a best and final offer.

F. During the Discussions Kick Off Meeting, the Prospective Contractor shall provide the following documents to the State:

1. A detailed scope of work clearly identifying the Prospective Contractor’s understanding, implementation, and performance of services required in this RFP, including all activities required by the Contractor and all activities expected by the State/Participating Entities

2. A Risk Management Plan intended to mitigate any risks, including but not necessarily limited to, the risks identified in the Risk Plan submitted in the Prospective Contractor’s Technical Proposal Packet

3. A proposed financial summary, including:

a. The completed pricing response and Recommended Options Form submitted in the Prospective Contractor’s Technical Proposal Packet

b. A proposed payment schedule

4. Proposed project management and reporting templates

G. During the Discussions Kick Off Meeting, the Prospective Contractor shall address questions and/or concerns the State may have to the satisfaction of the State.

H. During Discussions, the Prospective Contractor shall revise the discussions documents until agreement is made and the State has provided final approval.

1. The Prospective Contractor shall attend follow up Discussions meeting as determined necessary by the State. Reasonable effort will be made to accommodate scheduling conflicts.

I. During Discussions, the Prospective Contractor shall present a final draft of the Discussions documents to the State, including, at minimum:

1. A summary of all plans and scope of work developed during the discussions process and mutually agreed upon by the State and the Prospective Contractor

2. A detailed scope of work clearly identifying the Prospective Contractor’s implementation and performance of services required in this RFP, including all provisions negotiated and agreed upon by the State and the Prospective Contractor since the Discussions Kick Off Meeting

3. Description of deliverables in terms of simplified metrics

4. The Risk Management Plan

5. Project management and reporting templates

6. Financial summary, including:

a. The completed pricing response submitted in the Prospective Contractor’s Technical Proposal Packet

b. A list of agreed upon and accepted recommended options (with impact to price)

c. A payment schedule

d. Contact information for the Prospective Contractor’s key personnel

J. During Discussions, the Prospective Contractor shall present the final drafts of the items and shall summarize the coordination and planning completed during the discussion process.

K. Once approved by the State, final drafted documents will become part of the resulting contract.

L. The Prospective Contractor may determine which key personnel will attend the Discussions meetings.

3.7 ANTICIPATION TO AWARD

A. Once an anticipated Contractor has been determined, the anticipated award will be posted to the

Solicitation posting in ARBuy by the date and time listed in Table A.

1. It is the responsibility of Prospective Contractors to check the ARBuy website for the posting of an anticipated award.

B. Anticipated awards will generally be posted for a period of fourteen (14) days prior to the issuance of a contract. These notices are anticipated awards only and are subject to protest.

C. A contract resulting from this Solicitation is subject to State review and approval processes prior to award, which may include Legislative review.

3.8 PROSPECTIVE CONTRACTOR ACCEPTANCE OF EVALUATION TECHNIQUE

The submission of a Technical Proposal Packet signifies the Prospective Contractor’s understanding and agreement that some subjective value judgments will be made during the evaluation and scoring of the technical proposals.

SECTION 4 – SOLICITATON TERMS AND CONDITIONS

4.1 ACCEPTANCE OF REQUIREMENTS

A. A Prospective Contractor's past performance with the State may be used to determine if the

Prospective Contractor is responsible (OSP Rule R8:19-11-229).

1. Proposals submitted by Prospective Contractors determined to be non-responsible will be rejected.

B. A single Prospective Contractor must be identified as the prime contractor.

1. The prime Contractor shall be responsible for the resulting contract and jointly and severally liable with any of its subcontractors, affiliates, or agents to the State for the performance thereof.

C. By submission of a proposal, the Prospective Contractor represents and warrants:

1. That the prices in the proposal have been arrived at independently, without any collusion with another competing Prospective Contractor.

a. Collusion violates Arkansas Procurement Law and can lead to suspension, debarment, and can be referred to the Attorney General’s officer for investigation and appropriate legal action (Arkansas Code Annotated § 19-11-240 and 19-11-245).

2. That the Prospective Contractor has not retained a person to solicit or secure the resulting contract upon an agreement or understanding for a commission, percentage, brokerage, or contingent fee, except for retention of bona fide employees or bona fide established commercial selling agencies maintained by the Prospective Contractor for the purpose of securing business.

D. Prospective Contractor should not discuss the Solicitation or proposal response, issue statements or comments, or provide interviews to public media during the Solicitation and award process.

E. Qualifications and services must meet or exceed the required Specifications as set forth in the Solicitation.

F. The State will not pay costs incurred in the preparation of a proposal.

4.2 GENERAL TERMS AND CONDITIONS

A. The Contractor must be registered as a vendor to receive payment and may register online by visiting https://www.ark.org/vendor/index.html and clicking the Start Here button.

B. All payments to the Contractor under a resulting contract shall be made exclusively through ACH (Automated Clearing House) direct deposit.

1. The Contractor shall provide the necessary banking information, including account number, routing number, and any other details required to facilitate ACH direct deposits.

2. The Contractor shall be responsible for ensuring that the provided banking information is accurate and up to date. Any delays or errors in payment caused by incorrect or outdated information provided by the Contractor shall not be the responsibility of the Department.

3. The Department will process payments according to the agreed payment schedule, and all payments made via ACH direct deposit shall be considered as duly received upon successful transmission to the Contractor’s designated bank account.

C. Pursuant to Arkansas State Procurement Law, the Contractor shall in all other respects comply with the laws, rules, and executive orders of the state that apply to the Contractor’s performance under a resulting contract.

D. Pursuant to Arkansas State Procurement Law, the Contractor shall certify that, unless they offer to provide the goods or services for at least twenty percent (20%) less than the lowest certifying Prospective Contractor:

https://www.ark.org/vendor/index.html

1. They are not engaged in and shall not, during the aggregate term of the resulting contract, engage in a boycott of Israel (Arkansas Code Annotated § 25-1-503),

2. They are not engaged in and shall not, during the aggregate term of the…