Sources Sought_Request for Information.docx

This is a Sources Sought / Request for Information notice only. This is not a request for quotes and no contract will be awarded from this announcement. The Government will not provide any reimbursement for responses submitted in response to this Notice. Respondents will not be notified of the results of the evaluation.

If a solicitation is issued it shall be announced at a later date, and all interest parties must respond to that solicitation announcement separately. Responses to this notice are not a request to be added to a prospective bidders list or to receive a copy of the solicitation.

The purpose of this announcement is to perform market research to gain knowledge of potential qualified sources and their size classification relative to NAICS 518210, with a size standard 40 million dollars. The Construction and Valuation Section (C&V) of the Department of Veterans Affairs (VA)’s Loan Guaranty Service (LGY) Department of Veterans Affairs (VA), is seeking information and to identify any vendor capable of providing Appraisal Management Services (AMS).

This Sources Sought / Request for Information Notice provides an opportunity for respondents to submit their comments, capability and availability to provide the requirement described below. Vendors are encouraged to provide requirement comments and provide information relative to their capabilities to fulfill this requirement, in the form of a statement that addresses the specific requirement identified in this notice. Information received from this notice shall be utilized to facilitate the Contracting Officer’s review of the market base, for acquisition planning, size determination, and procurement strategy.

Submission Instructions: Interested parties who consider themselves qualified or wish to provide information in response this notice are invited to submit a response to this Sources Sought Notice / Request for Information by 3:00 PM EST, 03-Oct-2024. All responses under this Sources Sought Notice / Request for Information shall be emailed to Joshua.Gallien@va.gov with RFI #36C10D24Q0317, (SAM) Appraisal Management Services (AMS). in the subject line. Telephone inquiries will not be accepted or acknowledged, and no feedback or evaluations will be provided to companies regarding their submissions.

Interested parties should complete the attached Worksheet. Parties may submit additional information related to their capabilities, provided it contains all the requirements contained in the Sources Sought Worksheet. Responses to this Sources Sought shall not exceed 8 pages. In addition, all submissions should be provided electronically in a Microsoft Word or Adobe PDF format.

Attachment 1 Sources Sought Worksheet

QUALIFICATION INFORMATION:

Company / Institute Name: _______________________________________________________ Address: ______________________________________________________________________ Phone Number: ________________________________________________________________ Point of Contact: _______________________________________________________________ E-mail Address: ________________________________________________________________ Unique Entity Identifier (UEI) #: ___________________________________________________ CAGE Code: __________________________________________________________________ SAM Registered: (Y / N) Other available contract vehicles applicable to this sources sought (GSA/FSS/NASA SEWP/ETC): __________________________________________________________________

SOCIO-ECONOMIC STATUS:

VetCert Verified SDVOSB: (Y / N) VetCert Verified VOSB: (Y / N) 8(a): (Y / N) HUBZone: (Y / N) Economically Disadvantaged Women-Owned Small Business: (Y / N) Women-Owned Small Business: (Y / N) Small Business: (Y / N) NOTE: Respondent claiming SDVOSB and VOSB status shall be registered and verified in the SBA Registry Veteran Small Business Certification (sba.gov).

BASED ON THE RESPONSES TO THIS SOURCES SOUGHT / REQUEST FOR INFORMATION NOTICE / MARKET RESEARCH AND OTHER RESEARCH, THIS REQUIREMENT MAY BE SET-ASIDE FOR SDVOSB, VOSB, SMALL BUSINESSES OR PROCURED THROUGH FULL AND OPEN COMPETITION.

CAPABILITY STATEMENT:

Provide a brief capability and interest in providing the requested services with enough information to determine if your company can meet the requirement. The capabilities statement or comments for this notice is not a Request for Quotation, Request for Proposal, or Invitation for Bid, nor does it restrict the Government to an ultimate acquisition approach, but rather the Government is requesting a short statement / and or documents / comments regarding the company’s ability to provide the services. Any commercial brochures or currently existing marketing material may also be submitted with the capabilities statement or comments. This synopsis is for information and planning purposes only and is not to be construed as a commitment by the Government. The Government will not pay for information solicited. Respondents will not be notified of the results of the evaluation.

Attachment 2

U.S. Department of Veterans Affairs (VA) Appraisal Management Service (AMS) DRAFT Performance Work Statement

1.0 BACKGROUND

The Construction and Valuation Section (C&V) of the Department of Veterans Affairs (VA)’s Loan Guaranty Service (LGY) is responsible for issuing the appraisal assignment to an appraiser approved by the Secretary, ensuring quality of appraisal reports on properties offered as security for VA guaranteed loans, management of the VA appraisal panel, and other assorted duties. Historically, lenders submitted appraisal requests by telephone to a local VA Regional Office (RO). Each RO managed a fee appraiser panel for its jurisdiction. The fee appraiser panel is comprised of VA-approved independent appraisers. VA assigned the appraisal to an approved fee appraiser located in or near the area where the subject property was located. The completed appraisal report was mailed or hand-delivered to the RO for review and subsequent issuance of a Certificate of Reasonable Value (CRV) by a VA Review Appraiser.

The CRV forms were later replaced by the Notice of Value (NOV). As automation advanced, lenders started requesting appraisals electronically and an automated VA System provided the name and contact information for the assigned appraiser.

Shortly thereafter, VA began authorizing lenders to perform reviews of completed appraisal reports and issue NOVs through the Lender Appraisal Processing Program (LAPP). The lender’s Staff Appraisal Reviewer (SAR), usually an underwriter employed by the lender, received training by VA staff on the review process and issuance of the NOV. This procedure currently remains in effect. Although LAPP is a voluntary program, currently approximately 97% of the total volume is processed under this program.

In 2002, VA completed a nationwide initiative that consolidated 46 ROs with loan guaranty operations to eight (8) Regional Loan Centers (RLCs). As C&V moves forward with a national workflow approach, it is essential that proven technological advances be taken advantage of to improve resource management and to continue providing quality benefits to our nation’s Veterans, in a more cost-efficient manner. The Construction and Valuation Value Stream is more centralized and will be operating out of the 8 offices under one vision.

In November 2013, VA awarded a 5-year contract for Appraisal Management Services (AMS) that included reading and scoring of VA appraisals and Automated Valuation Models (AVM) to allow VA to transition to a risk-based review platform. In June 2019, VA recompeted that work and awarded a 5-year contract to another contractor that added more services. This work, once again, is being recompeted, and will incorporate new services and functionality necessary to improve benefit delivery. The current C&V environment consists of approximately one hundred and thirty (130) VA staff members, over 10,000 SARs (Lenders and Servicers) and over 6,500 VA-approved independent real estate appraisers.

1.1 The Appraisal Process

C&V provides a value and eligibility determinations for all properties used as security for loans that are guaranteed by the VA. Additionally, C&V provides the value determinations for pre-liquidation properties. Before loans can be guaranteed by the VA, an appraisal of the security property being purchased by the Veteran must be ordered by the Veteran’s lender. Currently, lenders access WebLGY using the VA Loan Guaranty HUB where they order the appraisal. WebLGY automatically assign an appraiser from the VA fee panel, on a rotational basis, based upon variables such as appraiser availability and geographic location of the subject property. The system automatically sends an email notification of the assignment to the assigned appraiser. Upon completion of the appraisal report, the appraiser uploads the report into WebLGY and a system-generated email notifies the appropriate reviewer (lender’s SAR, servicer’s SAR, or VA review appraiser) that the appraisal report has been completed and is available for downloading. The same process applies to ordering a liquidation appraisal used for foreclosure purposes.

The VA provides access to WebLGY for lenders, servicers, other appraisal requestors (brokers and attorneys), appraisers, and internal VA users. Currently, over 36,000 individuals access WebLGY on a routine basis. All users have a predetermined level of authorization within the system, based upon their responsibility and need for access, to specific information.

The type of appraisal report requested will determine if the lender’s SAR, servicer’s SAR, or VA review appraiser will review the completed report and issue the NOV. The following are types of appraisals, which can be requested using WebLGY:

· Lender Appraisal Processing (LAP) – A purchase or cash-out refinance appraisal request ordered by a lender (or a broker that has a supervising lender) that has a SAR on staff to review the appraisal report and issue the NOV.

· Individual (IND) – A purchase appraisal request ordered by a lender that does not have a SAR on staff to review the appraisal report and issue the NOV. These appraisal reports are reviewed by a VA staff reviewer who issues the NOV.

· Liquidation Appraisal (LGI) – A liquidation appraisal request ordered by the loan servicer and reviewed by a VA staff appraiser who will issue the NOV.

· Servicer Appraisal Processing (SAP) – A liquidation appraisal request ordered by the loan servicer or its attorney that will be reviewed by a SAR who will issue the NOV.

· Partial Release – A partial release appraisal request is ordered when a Veteran who has a guaranteed VA loan requests to have a portion of the property released from the security. These requests are currently NOT being ordered through WebLGY.

· Construction to Perm and Renovation loans: These types of loans have a different assignment condition and may provide two reports on the same property with an As Is and as improved valuation.

The latest NOV remains in WebLGY as a permanent document. VA procedures require that a copy of the NOV and the reviewed appraisal report are provided to the Veteran by the reviewer, in the case of a purchase or refinance.

WebLGY is the permanent system of record for all C&V information. VA maintains detailed records for all appraisal requests, appraisals pending review, and NOVs issued. It also maintains a record of the quality reviews performed by VA staff, with deficiencies noted during the review, and whether they were substantive or non-substantive. Since November 2013, WebLGYis the permanent record for AMS data captured from the reading and scoring of each appraisal uploaded into WebLGY.

WebLGY maintains all quality review information captured from a desk review, the in-house review of an appraisal report and NOV issued by a VA Review Appraiser. The desk reviews assist VA Staff in their oversight responsibilities for appraisers and SARs. The results of the reviews are placed on a template form in WebLGY.

· Desk review – A representative sampling of these appraisal desk reviews undergoes post endorsement review conducted by LGY’s operations staff.

1.2 Purpose and Vision

The purpose of this Performance Work Statement (PWS) is to support the procurement of VA Automated Appraisal Management Services (AMS) to further enhance the appraisal review process, thereby improving the oversight functions of C&V. This will aid in the future of VA’s modernization objectives described at the Technology Knowledge Center – VA Home Loans.

C&V’s vision is to provide a phased approach to accomplish a fully integrated, seamless, and user- friendly solution encompassing the appraisal process from the initial request and assignment through the issuance of a VA guaranty. The contractor shall provide the C&V staff, lenders, and servicers in the United States (U.S.) with services that will improve standardization, risk management, timeliness, and performance, as well as the credibility and quality of valuation functions.

The contractor shall be able to accommodate an estimated 1,000,000 appraisals annually; however, VA anticipates average volume of approximately 750,000 annually. VA processes appraisals for Single Family Residential properties representing 91% of all appraisal assignments. Condominium assignments represent 7% while manufactured home appraisals represent 2% of total volume. Appraisals are completed on origination, cash out refinance, and liquidation transactions. Market conditions dictate actual volume.

The AMS process, in its current state, begins after the notification to the appraiser that an assignment has been made. The AMS system receives the appraisal report uploaded by the appraiser and provides a validation process to ensure that the report matches the assignment. The AMS then performs an electronic screening review function and scoring based on VA requirements and using data collected from VA appraisals and other sources. The AMS provides the data and results of the scoring and electronic screening review and collects the data from the appraisal reports for use by VA. Lastly, AMS will provide a desktop appraisal process using data from VA and other sources to develop a desktop valuation product.

An AMS contractor for future state with all modernization efforts in place will have a more active role. As appraisal orders are received from VA approved lenders to VA via an Application Programming Interface (API) interface. This request will then be sent to the AMS contractor. The contractor will receive, process and submit all data to VA on an API. Once the AMS contractor receives the appraisal order, they will assign the appraisal to a VA approved appraiser. The VA approved appraiser will log into a user interface (UI) that is designed and implemented by the contractor. All work, tracking of milestones and receiving of the appraisal will be done on the UI developed by the contractor.

The future state of VA and the AMS contractor will also have other roles such as Automated Clearing House (ACH) payment of fees between Lenders, Servicers, agents, and appraisers. They will enable industry proven technology for reinspection’s, hard stops on industry proven results with VA required policy. The contractor will also support VA’s 5-year vision of modernization.

VA performs targeted reviews based upon the risk issues and the AMS score generated for the appraisal. Automated risk-based scoring generated by the AMS enables the VA to perform enhanced analysis on those appraisals targeted by the AMS model. AMS will provide an integrated and standardized appraisal review process that is based on the VA risk profile.

Based on the score of the appraisal, authorized VA employees may elect to order Other Related Services (ORS). The ORS will provide VA staff with additional information regarding the property to evaluate the accuracy and credibility of the appraisal. ORS is comprised of desktop appraisal, AVM, Multiple Listing Data, Cost Data and Improved/Unimproved Land Data.

1.3 Applicable Documents

Documents referenced or relevant to this PWS are listed below. The contractor shall be guided by the information contained in these documents in performance of this PWS, each can be found at the website indicated:

1. Privacy Act, 5 United States Code (U.S.C.) §552a, which is available at: https://www.gpo.gov/fdsys/granule/USCODE-2010-title5/USCODE-2010-title5-partI-chap5- subchapII-sec552a/content-detail.html

2. VA Pamphlet 26-7: Lender’s Handbook (Chapters 10-18), which is available at: http://www.benefits.va.gov/warms/pam26_7.asp

3. VA M 26-2: Construction and Valuation Handbook, which is available at: http://www.benefits.va.gov/warms/M26_2.asp

4. Relevant circulars pertaining to VA appraisals located on VA’s Website: https://www.benefits.va.gov/HOMELOANS/resources_circulars.asp

5. 1012-2016 - IEEE Standard for System, Software, and Hardware Verification and Validation which is available at: 488 https://ieeexplore.ieee.org/document/8055462/

6. VA Directive 6500, Information Security Program (VA Handbook 6500.6, Contract Security, which is available at: http://www.va.gov/vapubs

7. Veterans Health Administration (VHA) Directive 0710 (Implementation Handbook 0710.01, which is available at: http://www.va.gov/vapubs and http://www.va.gov/vhapublications/index.cfm )

8. Veterans Affairs Acquisition Regulation (VAAR)-852.273-75: Security Requirements for Unclassified IT Resources (Interim-October 2008), which is available at: http://www.va.gov/oal/library/vaar/vaar852.asp

9. Federal Information Security Management Act (FISMA), Appendix III of OMB Circular A-130, which is available at: https://obamawhitehouse.archives.gov/omb/circulars_a130_a130appendix_iii

10. Rights in Data - General, Federal Acquisition Regulation (FAR) 52.227-14(d)(1), which is available at: http://farsite.hill.af.mil/reghtml/regs/far2afmcfars/fardfars/far/52_227.htm

11. VA Directive 6300, Records and Information Management (VA Handbook 6300.1 Records Management Procedure, and all applicable VA Records Control Schedules), which is available at: http://www.va.gov/vapubs/search_action.cfm?dType=2

12. VA Directive 0730, Section 6f (Physical Security) and VA Memorandum: IT Oversight & Compliance Information Physical Security Assessments, October 24, 2007, which is available at: https://www.va.gov/vapubs/search_action.cfm?formno=730

13. VA Directive 0710, September 10, 2004, which is available at: http://www1.va.gov/vapubs/viewPublication.asp?Pub_ID=487&FType=2

14. Mortgage Industry Standards and Maintenance Organization (MISMO) Version 3.2 and Version 2.6/2,6 GSE for Appraisal Reports which is available at: http://mismo.org/

15. Fannie Mae and Freddie Mac UAD Documents which are available at: https://www.fanniemae.com/singlefamily/uniform-appraisal-dataset#

16. Code of Federal Regulations Part 36-Loan Guaranty: eCFR: 38 CFR Part 36 -- Loan Guaranty

17. Technology Knowledge Center – VA Home Loans: https://www.benefits.va.gov/HOMELOANS/technology-knowledge-center.asp

2.0 PERFORMANCE DETAILS

2.1 Performance Period and Contract Type

This will be a single-award Firm-Fixed Price contract.

The period of performance (POP) will be a twelve-month base period, plus four (4) twelve-month option periods to be exercised at the discretion of the Contract Officer.

2.2 Place of Performance

Most of the work shall take place at the contractor’s site, however where specifically stated in this PWS, some functions may be performed at the Government’s facilities. No work at any Government site will take place on Federal holidays or weekends, unless directed by the Contracting Officer (CO).

There are eleven (11) Federal holidays set by law (USC Title 5 Section 6103) that VA follows:

Under current definitions, five holidays are set by date:

If any of the above falls on a Saturday, then Friday shall be observed as a holiday. Similarly, if one falls on a Sunday, then Monday shall be observed as a holiday.

The other six holidays are set by a day of the week and month:

2.3 Travel

Travel for this requirement is anticipated; approved travel and per diem shall be reimbursed in accordance with Federal Travel Regulation as prescribed in Federal Acquisition Regulation (FAR) 31.205-46, and housed at https://www.gsa.gov/policy-regulations/regulations/federal-travel-regulation. Each contractor invoice must include copies of all receipts that support the travel costs claimed in the invoice. Travel must be pre-approved by the Contracting Officer’s Representative (COR) and CO. Travel must be priced separately in the price schedule and will be segregated accordingly on another line item. Local travel within a 50-mile radius from the contractor’s facility is considered the cost of doing business and will not be reimbursed. This includes travel, subsistence, and associated labor charges for travel time. Travel performed for personal convenience and daily travel to and from work at the contractor’s facility will not be reimbursed. Travel, subsistence, and associated labor charges for travel time for travel beyond a 50-mile radius of the contractor’s facility are authorized for reimbursement on a case-by-case basis and must be pre-approved by the COR. General and administrative expenses charged against travel costs will not be reimbursed.

3.0 SCOPE OF WORK

A Commercial-Off-the-Shelf (COTS) product with proven past performance in the appraisal industry is required which must be capable of integration with WebLGY through specifications unilaterally developed and maintained by VA. The contractor shall provide all resources necessary to accomplish the requirements described in this PWS, except as otherwise specified. The COTS product must accommodate modernization objectives to meet the needs of VA.

Specifically, the contractor shall provide and manage AMS and ORS for the VA. The services shall encompass the functional areas listed below. The contractor shall continuously update and enhance information made available to VA and the performance of their system, which shall provide the VA with updates of the contractor’s technology changes to ensure continued communication with VA’s systems.

This document entails services provided within the U.S. The U.S. is defined as the 50 States, Territories and possessions, the District of Columbia, the Commonwealth of Puerto Rico, U.S. Virgin Islands, Guam, and the Commonwealth of the Northern Mariana Islands. The service provider must be able to provide all services with the same service level within all geographic locations.

The scope of work is comprised of 9 (nine) main functional areas shown in the table below. Detailed descriptions of those areas are available in Section 4.0.

3.1 Performance Objectives

The contractor shall meet the following performance objectives throughout the period of performance:

· Deliver a high-quality experience for all stakeholders, including Veterans, lenders, appraisers, VA staff and servicers who are partnering with the VA to serve them, through timely appraisal reports. Provide tools for conducting strong oversight to ensure accuracy of appraisal reports as VA appraisals are performed to protect the interests of the program and all program participants. (Deliverables 4.1, 4.2, 4.3, 4.4, 4.5, 4.6, 4.7, 4.8, 4.9)

· Ensure that VA’s appraisal review staff and lenders and servicers’ Staff Appraisal Reviewers (SARs) have the latest appraisal review tools and resources available in the industry to best serve Veterans. (Deliverables 4.1, 4.2, 4.3, 4.4, 4.5, 4.6, 4.8, 4.9)

· Provide innovative technology to ensure that VA is exceeding appraisal industry benchmarks. Quality appraisal services are essential in supporting VA’s commitment that VA guaranteed home loans are the product of choice for Veterans. (Deliverables 4.1, 4.2, 4.3, 4.4, 4.5, 4.6, 4.7, 4.8, 4.9)

· Provide an AMS/ORS to enhance the appraisal services provided to Veterans through VA’s home loan guaranty program. VA is the leading voice in housing for our Veterans. Appraisals are critical in maximizing the opportunities for Veterans and Servicemembers to obtain and retain homes. (Deliverables 4.1, 4.2, 4.3, 4.4, 4.5, 4.6, 4.7, 4.8, 4.9)

· Provide data, data reporting, and data analytic capabilities that support VA’s objective of making data-driven policy and program decisions. (Deliverables 4.1, 4.2, 4.3, 4.4, 4.5, 4.6, 4.7, 4.8. 4.9)

4.0 TASKS AND DELIVERABLES

The contractor shall provide all tasks and deliverables described within this document. All deliverables shall be submitted to the Contracting Officer Representative (COR) in accordance with the PWS and meet the standards set forth in VA’s Quality Assurance Surveillance Plan (QASP). The COR will discuss and come to agreement with the contractor on the specific contents of the deliverables identified as the final versions and document the outcome. Unless otherwise stipulated, written deliverables shall be phrased in plain English. Statistical and other technical terminology shall not be used without providing a glossary of terms and data dictionary as applicable.

The following section discusses the underlying technical and management constraints and considerations that support VA's objectives.

The contractor shall follow and comply with all applicable local, state, and Federal regulations and laws to perform the tasks under this contract throughout the duration of the contract. Each of the functional areas is discussed in detail in the following subsections.

4.1 Program Management and Oversight

A. Program Management

The contractor shall perform program management services to plan, monitor and control the tasks outlined in the PWS and specifically the implementation of AMS/ORS. At a minimum, the following services are required:

· Development and delivery of final, detailed Project Management Plan (PMP).

· A detailed roadmap of when all features/functionality will be delivered to production.

· Change management plan to coordinate all actions necessary to deliver feature/functionality to production.

· Development and delivery of weekly and monthly status/progress reports.

· Attendance and participation in weekly project meetings with the government and other contractors.

· Risk Register for all deliverables on contract, and subsequent collaboration with the government to identify, monitor, and mitigate project risks in accordance with LGY’s Enterprise Risk Management program.

The contractor shall provide a draft of the PMP for the tasks defined in this PWS in the proposal submission and shall update the PMP based upon feedback from VA post-award. The PMP, and all other written deliverables, shall follow the Project Management Body of Knowledge (PMBOK). The contractor shall provide a final, detailed PMP and briefing for the VA project team that presents the contractor’s plan for completing the tasks.

The final plan shall describe, in further detail, the approach to be used to accomplish the tasks. At a minimum, the PMP shall include the risk, quality and technical management approach, work breakdown structure (WBS), schedule management approach, detailed schedule using MS Project (including compliance reviews, training, testing, etc.), cost requirements and proposed personnel. For every task outlined in the PMP, the contractor shall identify in writing all necessary subtasks (if any) and associated sub-milestone dates. The contractor’s subtask structure shall be as reflected in the technical proposal and detailed PMP. Any change, edit, deviation or variance from the PMP requires approval of the COR and will be closely monitored.

To provide for a rapid, seamless, and error-free transition to the AMS/ORS services, the transition process will be implemented in phases, and coordinated with the VA. The entire transition is scheduled to take no longer than six (6) months from the date of contract period of performance start date. The contractor will provide details for all phases of the transition. Additionally, the PMP shall include a method for identifying the results of interchange and user testing and making corrections or changes to the service in response to test results. When the contractor has demonstrated that the AMS and ORS services can support all requirements, the COR will provide written acceptance of the AMS/ORS services.

The contractor shall provide weekly and/or monthly status reports to the COR as determined by the VA. These reports shall detail work performed for the period of time against the task identified in the PMP and identify work to be performed in the following month. Where deviations to the plan exist, the report shall explain why these occurred and provide recovery actions to the plan. The contractor shall attend weekly (or as often as determined by the COR) project meetings with the Government and other contractors to review the status of the AMS/ORS project. Weekly (or as often as determined by the COR) project meetings may be held via teleconference.

The contractor shall schedule and facilitate all meetings; prepare the agendas with input from VA; and prepare and distribute meeting minutes with action item lists. The contractor shall provide a project status report for each meeting. The report will provide highlights of the accomplishments, activities pending, outstanding issues and recommendations for resolution, and issues resolved. The COR will determine whether the meetings may be telephonic, the frequency of meetings as the contract progresses, and the weekday and time of meetings.

The Project Manager shall:

· Ensure that all requirements are performed, and deliverables are submitted per agreed upon schedules.

· Communicate regularly and effectively with AMS/ORS Project Manager, COR, and CO.

· Effectively balance and schedule involvement of appropriate resources throughout the project lifecycle.

· Ensure that the contractor’s key personnel are qualified to conduct the required tasks and deliverables, having expertise in the following disciplines: Appraisal, Technology Development, Testing and Deployment, Change Management, Analytics, Reporting, and Training.

· Utilize project metrics to track, manage, and analyze task progress and communicate findings to the COR to ensure appropriate focus on critical attention areas.

· Identify opportunities for improvement and drive results.

· Anticipate project challenges and risk scenarios and prepare, lead, and execute proactive mitigation strategies to ensure optimal results.

· Perform internal and external compliance reviews as required by the PMP.

· Serve as the single point of contact for contractor performance related questions.

· Manage and monitor the components for project execution including developing and planning resource assignments and allocations, developing program status reports and project reviews, and managing and tracking project deliverables as well as provide an Integrated Master Schedule within 60 days of award.

· Coordinate participation in the LGY’s development lifecycle, based on SAFEAgile methodologies, including, but not limited to, routine participation in scrums, scrum of scrums, standup, PI planning, solutioning, rapid prototyping, etc.

The Contractor shall capture and debrief lessons learned and demonstrate continual improvement by anticipating, mitigating and/or eliminating program risks, mistakes, and maintain a “lessons learned” diary throughout the project. The diary will ensure that knowledge is captured. The diary shall be submitted each month along with the monthly status report.

At scheduled meetings during the periods between monthly reports, the contractor shall discuss lessons learned. The diary does not need to be updated to honor the meeting requests.

B. Oversight

The contractor shall:

· Ensure that the contractor’s internal policies, procedures, and controls are documented and implemented to ensure program support and integrity. The contractor shall provide their internal policies, procedures, and control documentation prior to implementation and updates as necessary.

· Utilize quality control measures and/or post-delivery audit tools for validating AMS and ORS data stored or provided to VA. The quality control test and audit results should be reported quarterly.

· Ensure that actions of the service provider do not contribute to a negative audit finding against the VA or the service provider.

· Implement and maintain a comprehensive Quality Assurance Plan (QAP) consistent with the preliminary quality control information submitted during the bid process. The goal of the QAP is to verify that all deliverables and work products meet all project requirements, and that a repeatable, measurable process has been followed in their creation. The contractor will identify and conduct quality control reviews to ensure continuity during the life of the contract. To support monitoring of the performance of both the AMS and ORS services and support functions, the contractor will include a plan to monitor the minimum performance standards identified in this PWS. Additionally, the plan will establish minimum performance standards for tasks not specifically listed as performance measures but determined by the contractor to be critical to the successful performance of the work. The plan will describe the approach and tool(s) to be used to monitor performance against these standards and provide a format for operational reporting. The contractor shall provide the QAP for review and acceptance by the COR. The QAP is considered a living document and as such, will be revised by the contractor as necessary. All changes to the QAP must be accepted in writing by the COR in advance of implementation. The contractor shall provide the QAP for review and approval within thirty (30) calendar days of the contract period of performance start date. .

· Make a Statement on Standards for Attestation Engagements No. 16 (SSAE 18) report (or its equivalent) available to the VA or its auditors covering some portion of the current Government Fiscal Year (October-September).

· Notify the VA within 30 days of any non-material findings that result from an audit. Provide the VA with a written response to all non-material findings within 30 calendar days and resolution within 60 calendar days from the date of notification.

· Notify the VA immediately upon recognition of material findings that result from an audit. Provide the VA with a written response to all material findings noted in audit reports within 14 calendar days and resolution within 30 calendar days from the date of notification.

· Provide audit access and reporting for all data and files related to this requirement to the COR or COR’s designee. Upon the written request of the VA received reasonably in advance, the contractor shall provide reasonable private meeting space, access to all records (paper or electronic), documentation, data, and relevant information related to this requirement during the contractor’s normal business hours. The contractor shall permit the VA, or its designee, to copy any such documentation and shall provide equipment for that purpose.

· Provide current copies of all plans (e.g., Disaster Recovery Plan, Training Plan, Escalation Procedures), and update as needed.

Deliverables:

4.1.A.1 PMP, including WBS, Integrated Master Schedule, and all deliverables within the PMP (The draft will be submitted with the solicitation response and the final will be delivered after Government comments have been delivered post-award.)

4.1.A.2 Detailed Features and Functionality Roadmap 4.1.A.3 Features and Functionality - Change Management Plan (CMP) 4.1.A.4 Risk Register in accordance with LGY’s Enterprise Risk Management program.

4.1.A.5 Weekly and monthly summary Status Reports

4.1.A.6 Lessons Learned Diary (to be submitted with each monthly report)

4.1.B.1 Quarterly Quality Control and Audit Findings Report

4.1.B.2 QAP (within 30 calendar days of award)

4.1.B.3 SSAE 18

4.1.B.4 Disaster Recovery Plan, Training Plan, and Escalation Procedures.

4.2 Training and Testing

A. Training

Training is the component that provides users with the necessary skills and knowledge to perform their jobs in the new AMS/ORS environment. Given guidance from the VA, the contractor shall identify the necessary training to implement the end state technical solution and business process transformation.

The contractor shall:

· Provide online, self-paced training for VA staff on using all aspects of the AMS/ORS system. Training will include instruction and reference materials on database structure, data extraction, data reporting, and data analysis. Training will be available for reference and available to staff throughout the duration of the contract.

· Provide online, self-paced training for fee appraisers on the VA’s panel on the use of the features to be used by the appraisers. Training will be available throughout the duration of the contract.

· Provide a test to ensure mastery of all participants. Document and maintain a list of attendance and assessment scores.

· Provide online, self-paced training for lenders’ SARs on the appraisal review features in the new system. The training will be available throughout the duration of the contract.

· Ensure all training is 508 compliant and available for use in different mediums.

· Propose training objectives based on prior experience directly related to their product. Contractor will certify that all affected program participants are provided up-to-date information regarding the AMS and ORS.

· Provide the VA with a set of performance metrics, a methodology to collect the metrics, and a format to report the metrics to senior management to evaluate the success of the Training Strategy and Plan. The contractor shall deliver the Training Strategy and Plan within 60 calendar days of period of performance start date.

· Provide continuous support for the development and updating of the training curriculum and materials. The contractor shall provide information materials electronically, such as “quick tips” and/or “frequently asked questions” to assist the VA and any VA authorized users.

· Provide at least five (5) live/in-person classroom training session with VA employees at a location to be determined by VA, to include all aspects of the AMS and ORS.

B. Testing

Testing is paramount to the success of the AMS/ORS services contract. The contractor shall work in collaboration with the VA to ensure all solutions satisfy requirements and are defect free prior to production deployment.

The contractor shall:

· Include in the PMP a method for identifying the results of interchange and user testing and making corrections or changes to the service in response to all test results. The contractor will work and coordinate with LGY DevSecOps framework with the Data and Technology Solutions (DTS) team on any development roll out and system enhancements to ensure streamlined system integration. Provide testing scripts with “use-case” scenarios, sample testing data and fillable test result forms, for each appraisal type.

· Provide end user testing to be performed at least 30 days prior to implementation of the AMS and ORS services. Upon receipt of notification from the VA of any deficiencies, the contractor shall immediately research the issue(s) and within five (5) business days, shall either resolve the problem or present a corrective action plan and timeline for approval by VA’s COR.

· Provide end user testing to be performed at least 15 days prior to implementation of any enhancements to the AMS/ORS. Upon receipt of notification from the VA of any deficiencies, the contractor shall immediately research the issue(s) and within five (5) business days, shall either resolve the problem or present a corrective action plan and timeline for approval by VA’s COR.

· Provide a certification that all testing (interface and end-user) has been completed and the AMS/ORS are prepared to “go live” and/or any future production deployments.

Deliverables:

4.2.A.1 Training Strategy and Plan (within 60 calendar days of period of performance start date)

4.2.A.2 Training materials

4.2.A.3 Computer-based training courses for each of the identified user groups (total of three)

4.2.A.4 Document and report training participation and test scores

4.2.A.5 Test /Assessment for training participants

4.2.A.6 Report documenting attendance and test scores of all participants.

4.2.A.7 Five (5) live/in-person classroom training session to VA employees at a location to be determined by VA.

4.2.B.1 Testing scripts, sample testing data and fillable test result forms

4.2.B.2 Certification of completed testing and ready for “go live” and/or any future production deployments.

4.3 Operational Data Reporting

The AMS/ORS shall provide system, data, analytic, and reporting functionality that supports VA’s capability to benchmark the LGY program to the mortgage, appraisal, and housing industries. The contractor shall provide the operational, analytic, and reporting capability on all AMS/ORS data.

The contractor shall:

· Ensure all standardized or customized reports required by the VA are completed accurately and provided timely, with adequate IT support devoted to ensuring such timeliness. The contractor shall provide newly requested reports within seven (7) calendar days. The VA will notify the contractor regarding priority-reporting requests and will provide the deadline for completion.

· Establish and maintain a reporting library. The reporting library shall contain elements such as a description of reports, relevant report-related metadata, clear audit trail of the composition of each report, any known issues, and inventory of all recurring reports, formats, and schedules. The contractor shall provide the initial library within 90 calendar days of period of performance start date. The reporting library is a living document and the contractor will update as needed or as directed by VA.

· Establish and maintain a data dictionary and relevant metadata for all data elements used in approved and implemented reports. The data dictionary will provide information concerning the AMS/ORS request and response files. The data dictionary shall contain field descriptions, formats, data limitations (such as special characters), etc. for every file, report, or data element sent to VA. The contractor shall provide the initial data dictionary within 90 calendar days of contract award. The data dictionary is a living document and Contractor will update as needed or as directed by VA.

· Ensure all records contain the VA’s 12-character Loan Identification Number (LIN) and 7-character Appraiser ID., as well as a property-based key for each parcel being appraised such as latitude/longitude coordinates or another unique property-id indicator with a naming convention established by the VA.

· Provide dashboard with-real-time data, for all key workload and performance data including, but not limited to:

· Overdue and pending appraisal assignments by county.

· Appraiser performance report by state, county and appraiser with accuracy, timeliness, and workload data. Report to include but not limited to benchmarking with peer VA appraisers and non-VA appraisers, mapping of assignment locations, and tracking of resubmissions.

· Appraiser license status. Send an alert to VA when a state license is nearing expiration (at a timeframe set by the VA) and another alert if the license becomes expired; suspended or revoked; and verification of appraisal subcommittee to reconcile VA appraisal panel.

· Provide additional, non-real-time data to aid in oversight, tracking, and benchmarking of appraisers and appraisals. Data included but not limited to:

· Monthly updates on the average conventional appraisal fee for single family homes, 2-4 family homes, condominiums, and manufactured homes, searchable by county and state. Appraisal fees are measured by what the borrower paid for appraisal services.

· Directly support VA’s efforts to ingest all data, including but not limited to transactional data, performance data, market data, aggregated or created under the terms and conditions of this requirement.

· Directly support VA’s efforts to normalize, analyze, report on and create dashboards for all data.

· Design, build, and implement an ad-hoc reporting tool for VA staff to run custom reports on all AMS/ORS data.

· Send all data generated/collected by the operational, analytic, and data reporting services and functionality to the VA, per the guidance provided in this PWS and/or approved by the COR.

· Racial bias report will be developed to search for wording of potentially bias or racially sensitive words, over under value and quality indicator.

· Interactive Automated Evaluation tool that allows VA Staff to select, add, and view comparable sales with automated adjustments made.

· Provide interfaces and system functionality necessary to enable and support the transmission of AMS/ORS data to VA software applications, and data repositories.

Deliverables:

4.3.1 All new report requests delivered within seven calendar days.

4.3.2 Reporting Library (within 90 calendar days of period of performance start date)

4.3.3 Data dictionary (within 90 calendar days of period of performance start date)

4.3.4 Dashboard

4.3.5 Ad-hoc reporting tool

4.4 AMS Services

VA currently uses a VA-developed and maintained systems, to manage the assignment of appraisals to VA’s fee panel of state-licensed appraisers. Efforts are underway to redesign WebLGY and it is anticipated that another systems environment will likely replace all legacy systems over the next few years. VA assigns appraisals on a strict rotational basis to individual appraisers on its fee panel. The VA will continue to administer and manage its own fee panel independently. However, the contractor shall provide services to assist in the execution of these tasks. The VA does not and will not consider the use of Appraisal Management Companies to manage its fee panel. The management of the VA fee panel will be the responsibility of the VA staff.

The contractor shall:

· Deliver an AMS COTS product at the period of performance start date. The implementation of AMS shall encompass the design and integration of these services into WebLGY within six (6) months of contract award. AMS will interface with WebLGY for the exchange of assignment and results. AMS will be configurable to meet the need of VA as specified in this PWS.

· Process an estimated 750,000 VA appraisals annually performed by VA-approved fee appraisers. Market conditions and implementation design will dictate actual and future volume.

· Receive appraisal reports in Mortgage Industry Standards Maintenance Organization (MISMO) standard Extensible Markup Language (XML) format with embedded Portable Document Format (PDF). The contractor will also provide the ability to receive PDF reports and other documents submitted by appraisers which could be needed on an exception basis. Standardized appraisal report forms include but are not limited to the following types of current industry/VA-approved standard forms:

· Uniform Residential Appraisal Report: Fannie Mae 1004/ Freddie Mac 70 Interior SF Residential

· Exterior-Only Inspection Residential Appraisal Report: Fannie Mae 2055/ Freddie Mac 2055

· Individual Condominium Unit Appraisal Report: Fannie Mae 1073/ Freddie Mac 465 Interior Condominium

· Exterior-Only Inspection Individual Condominium Appraisal Report: Fannie Mae 1075/ Freddie Mac 466 Exterior Only Condominium

· Small Residential Income Property Appraisal (2-4 Family): Freddie Mac Form 72/Fannie Mae Form 1025

· Manufactured Home Appraisal Report: Freddie Mac Form 70B/Fannie Mae Form 1004C

· Supplemental forms (e.g., Commercially available vacant landform (for liquidation appraisals if the improvements have no contributory value) and other variable documents from the appraiser)

· Appraisal Update and/or Completion Report, Freddie Mac Form 442/Fannie Mae Form 1004D

· When the new UAD report is available, VA will adopt the report. This will replace the above reports and must be implemented and supported.

· Provide an application/service that shall electronically “read” and “score” an appraisal report based on VA’s selection of preexisting and/or VA-specific compliance and risk identification rules (hereafter appraisal report means any information listed above).

· Provide within each scoring report a cascading AVM with range of value.

· All appraisal report transactions must comply with VA specifications that leverage MISMO compliant XML with embedded attachments within that appraisal, such as pictures, documents, etc. (.TIF .JPG, GIF, PDF, DOC, PAGES, etc.). If supplemental information or another appraisal is required, additional XML transactions will be required. The VA shall not be invoiced or pay for subsequent AMS requests for the same loan submitted within forty-five (45) days of the first request (loan and appraisal types are discussed in section 1.1 Appraisal Process). This application/service will be dynamic in nature and meaningful for collateral review and include indicators showing potential Appraisal Racial and Bias trends. This report will be interactive, meaningful for collateral review.

NOTE: The scoring will be largely based on the AMS COTS risk-based scoring model and associated business rules. This procurement does not include any contractor services to perform manual appraisal reviews.

The government encourages the Offerors to include within the proposal suggested models to…