T1775 Amendment 4.pdf

New Jersey Is an Equal Opportunity Employer • Printed on Recycled and Recyclable Paper

PHILIP D. MURPHY

Governor

State of New Jersey

DEPARTMENT OF THE TREASURY

DIVISION OF PURCHASE AND PROPERTY

PROCUREMENT BUREAU

33 WEST STATE STREET

P. O. BOX 230

TRENTON, NEW JERSEY 08625-0230

ELIZABETH MAHER MUOIO

State Treasurer

TAHESHA L. WAY

Lt. Governor

AMY F. DAVIS, ESQ.

Acting Director https://www.njstart.gov

5/21/2024

To: All Interested Vendors {Bidders}

Re: Bid Solicitation # 23DPP00838

T1775 – State Disbursement Unit Child Support Payment/Receipt Processing

Quote Submission Due Date: June 28, 2024 (2:00 p.m. Eastern Time) 2nd Electronic Question and Answer Period: May 31, 2024 (2:00 p.m. Eastern Time)

Bid Amendment #4

The following constitutes Bid Amendment #4 to the above referenced Bid Solicitation:

This Bid Amendment includes:

• Answers to electronic questions submitted during the first electronic Question and Answer period;

• “Attachment 1 – State of New Jersey Standard Terms and Conditions 10.16.2023” has been deleted and replaced with “Attachment 1 – State of New Jersey Standard Terms and Conditions (02.08.2024) 05.21.2024;

• “Attachment 2 – Standard Procurement Forms Packet 10.16.2023” has been deleted and replaced with “REVISED Attachment 2 – Standard Procurement Forms Packet 05.21.2024;

• “Attachment 3 – State-Supplied Price Sheet 10.16.2023” has been deleted and replaced with “REVISED Attachment 3 – State-Supplied Price Sheet 05.21.2024”;

• “Exhibit 17 – Transaction Data for Paper EFT Cash 10.16.2023” has been deleted and replaced with “REVISED Exhibit 17 – Transaction Data for Paper EFT Cash 05.21.2024”;

• “Exhibit 19 – Debit Card IVR Calls 10.16.20223” has been deleted and replaced with “REVISED Exhibit 19 – Customer Service IVR Live Agent Calls 05.21.2024”;

• “Exhibit 21 – Organizational Charts 05.21.2024” has been added;

• “Exhibit 22 – Current Debit Card Fee Schedule 05.21.2024” has been added

• “Exhibit 23 – Call Log Information 05.21.2024” has been added;

• “Exhibit 24 – IVR Call Matrix 05.21.2024” has been added; and

• “Exhibit 25 – Current Incumbent Card Fees 05.21.2024” has been added.

• Please note that for all additions, deletions, clarifications and modifications to the Bid Solicitation, refer to the Revised Bid Solicitation entitled “REVISED T1775 Bid Solicitation 05.21.2024”. The following revisions are included in the Revised Bid Solicitation:

o Section 1.2, Background, revised;

o Section 3.26, State-Supplied Price Sheet, revised;

o Section 4.3.2, OCSS Responsibilities, revised;

o Section 4.8.4, Disaster Recovery, Contingency, and Backup Plan, revised;

o Section 4.9.4, Child Support Depository and Disbursement Banking Processes, revised;

o Section 4.9.5, Check Printing & Distribution Services, revised;

o Section 4.9.7, Special Notices, removed;

o Section 4.9.10, Mail, revised;

o Section 4.9.11, Payment Processing Timeframe, revised;

o Section 4.9.20, Mispostings, Reversal/Reposts and Erroneous Disbursements, revised;

o Section 4.9.26, Payments Received at Local Offices, revised;

o Section 4.9.33, Debit Card Issuance, revised;

o Section 4.9.35, Debit Card Program Fees, revised;

o Section 4.10.3, NJFSSC Customer Service Call Center, revised;

o Section 4.10.6, IVR and Call Center Infrastructure and Support Services Responsibilities, revised;

o Section 5.1, Contract Term and Extension Option, revised;

o Section 5.4, Ownership of Material, revised;

o Section 5.10, Electronic Payments, revised;

o Section 5.11, Reporting and Supplier Convenience Fee, deleted and replaced with

Procurement Efficiency Program;

o Section 6.25, Threat Management, revised;

o Section 7.1, Indemnification, revised;

o Section 7.2.1, Professional Liability Insurance, revised;

o Section 7.2.2, Cyber Breach Insurance, revised;

o Section 8.14, Poor Performance, revised;

o Section 9.1, Crosswalk, deleted and replaced in its entirety; and o Section 9.2, Definitions, revised.

• The second electronic Question and Answer period will be received until 2:00 p.m. Eastern Time on

May 31, 2024. Questions that will be considered will be limited to subject matter related to the following:

o The revisions to the Revised Bid Solicitation Sections listed above. Refer to “REVISED T1775 Bid Solicitation 05.21.2024”;

o Attachment 1 – State of New Jersey Standard Terms and Conditions (02.08.2024) 05.21.2024;

o REVISED Attachment 3 – State-Supplied Price Sheet 05.21.2024;

o REVISED Exhibit 17 – Transaction Data for Paper EFT Cash 05.21.2024;

o REVISED Exhibit 19 – Customer Service IVR Live Agent Calls 05.21.2024;

o Exhibit 21 – Organizational Charts 05.21.2024;

o Exhibit 22 – Current Debit Card Fee Schedule 05.21.2024;

o Exhibit 23 – Call Log Information 05.21.2024;

o Exhibit 24 – IVR Call Matrix 05.21.2024; and o Exhibit 25 – Current Incumbent Card Fees 05.21.2024.

Please refer to Bid Solicitation Section 2.1, Electronic Question and Answer Period, for more information related to submitting electronic questions.

It is the sole responsibility of the Vendor {Bidder} to be knowledgeable of all of the additions, deletions, clarifications, and modifications to the Bid Solicitation and/or the New Jersey Standard Terms and Conditions relative to this Bid Solicitation as set forth in all Bid Amendments.

All other instructions, terms, and conditions of the Bid Solicitation shall remain the same.

Bid Solicitation #23DPP00838

T1775 – State Disbursement Unit Child Support Payment/Receipt Processing

Answers to Questions

Where applicable, each question references the appropriate Bid Solicitation section.

# Bid Solicitation Section Reference Question (Bolded) and Answer

1 Quote Submission

Q: Please confirm a Bidder may deliver a hardcopy quote instead of submitting a response electronically.

A; Please be advised that all Quotes shall be submitted electronically through

NJSTART.

2 Quote Submission

Q: Should I check that I have properly completed and attached all of the required documents with my submitted Quote?

A: Yes. Prior to the Quote Opening Deadline, a Bidder should review the documents comprising the submitted Quote to ensure that all of the required documents have been completed and attached. Oftentimes a Quote is deemed non-responsive because a Bidder fails to attach a required form or attaches a blank form. To review a submitted a Quote, a Bidder should log into NJSTART and review each document attached to the Quote submission. Instructions on how to review a submitted Quote can be found in the Quick Reference Guide entitled How to Review a Submitted Quote, which is available on the NJSTART Vendor Support Page under Vendor Reference Guides.

3 PDF Documents

Q: When trying to open a Portable Document Format (PDF), I am receiving an error message and am unable to access the PDF. How should I proceed?

A: It is recommended that users utilize Microsoft Edge to view PDFs. Certain PDF forms cannot be opened in the Chrome or Firefox built in PDF viewers that are enabled by default. If using Chrome or Firefox it is recommended that the file be downloaded instead by clicking the download button in the upper right-hand corner of the browser after an error message is received. An alternative option is to disable the built in PDF viewers in Chrome or Firefox.

4 Exceptions

Q: Will the State allow Bidders to take exception to any of the Standard Terms and Conditions?

A: As stated in Bid Solicitation Section 2.2, Exceptions to the State of NJ Standard Terms and Conditions (SSTC): “Questions regarding the State of New Jersey Standard Terms and Conditions and exceptions to mandatory requirements MUST be posed during the Electronic Question and Answer period and shall contain the Bidder’s suggested changes and the reason(s) for the suggested change(s).” Moreover, as stated in Bid Solicitation Section 3.11, Bidder proposed terms or conditions that conflict with those contained in the

State of New Jersey Standard Terms and Conditions may render a Quote non-responsive.

5 Section 1.2 – Background

Q: Please confirm that bidders should not provide a response or solution for requirements documented via amendments in the current contract that are not covered by this specific Bid Solicitation. For example, the T1775ChangeInScope1 hyperlink via Agency Attachments of NJSTART indicates a change of scope for Foster care/adoptive care disbursements through a Stored Value Card; the T1775LineItemAddition2 hyperlink via Agency Attachments of NJSTART indicates a change of scope for disbursement of Independent Living Stipend (ILS) payments for Foster care youth through a stored value card system.

A: The Bidder should present a Quote for the Bid Solicitation, Attachments, and Exhibits that are associated with Bid Solicitation #23DPP00838.

6 Section 1.2.4 – NJKiDS Process Map

Q: Please confirm who has responsibility for processing State and Federal Offset payments as these two sections seem to contradict who has responsibility for processing these types of payments.

A: The Contractor would only be responsible for processing a refund if required.

Please refer to section 4.9.20, Mispostings, Reversals/Reposts and Erroneous Disbursements for more information on the Contractor’s responsibilities for refunds.

7 Section 1.3 – Contract Amount

Q: What is the anticipated budget for this project?

A: The anticipated budget for the three-year base contract is $30,000,000.

8 Section 1.3 – Contract Amount

Q: What is the anticipated budget for this project?

A: Please see the response for Question #7.

Section 3.8 – Small Business Set-Aside

Contracts

Q: States the Small Business Set-Aside Contracts is NOT APPLICABLE TO THIS PROCUREMENT, however in Section 3.13.8.1 there is reference to this contract with a set-aside subcontracting for New Jersey Small Business Enterprises and/or Disabled Veterans’?? Business. Please clarify this requirement, including how it will be included in the evaluation.

A: The awarded Contractor does not have to be registered as a Small Business Enterprise (SBE) with the Division of Revenue and Enterprise Services (DORES). However, pursuant to Section 3.13.8, if Bidders intend to subcontract, Bidders must submit a Subcontractor Utilization Plan and shall take the actions listed therein as a good faith effort to solicit and hire eligible New Jersey SBEs.

Section 3.9 – Disabled Veterans’ Business Set-Aside

Contract

Q: States the Disabled Veterans’ Business Set-Aside Contract is NOT APPLICABLE TO THIS PROCUREMENT, however in Section 3.13.8.1 there is reference to this contract with a set-aside subcontracting for New Jersey Small Business Enterprises and/or Disabled Veterans’ Business.

Please clarify this requirement, including how it will be included in the evaluation.

A: The awarded Contractor does not have to be registered as a Small Business Enterprise (SBE) with the Division of Revenue and Enterprise Services (DORES). However, pursuant to Section 3.13.8, if Bidders intend to subcontract, they must submit a Subcontractor Utilization Plan and shall take the actions listed therein as a good faith effort to solicit and hire eligible New Jersey Disabled Veterans’ Businesses.

11 Section 3.12 – Quote Content

Q: Specifies “The Quote should be submitted with the attachments organized in following manner: Forms, Technical Quote, State-Supplied Price Sheet For a response to be compliant, please confirm the State is only requesting the following sections to be addressed in the bidder’s response: Forms - Section 3.13 and its subsections 3.13.1 - 3.13.14 for the Forms. Technical Quote - Section 3.14, which includes addressing all requirements listed under Section 4.0 - Statement of Work, and Sections

3.15 - 3.25. State-Supplied Price Sheet - Section 3.26.

A: Any requirement designated as a “must” or “shall” within the Bid Solicitation is mandatory and is to be made part of the bid submission. Failure to submit mandatory Quote submission requirements will deem the Bidder’s Quote non-

Section 3.13.12 –

Ownership Disclosure Form

Q: Section 3.13.12 indicates the State has executed a Confidentiality/Non- Disclosure Agreement, which the Bidder should countersign and include it with its submitted Questionnaire. Is it also necessary for Bidders to identify the security questionnaire on the Confidentiality/Commitment to Defend Form discussed in Section 3.13.7?

A: Certain proprietary, financial, security and confidential information may be exempt from public disclosure by OPRA and/or the common law when the Bidder has a good faith, legal/factual basis for such assertion. As part of its Quote, a Bidder may request that portions of the Quote be exempt from public disclosure under OPRA and/or the common law with a submitted signed and completed Confidentiality/Commitment to Defend Form. There, the Bidder must provide a detailed statement clearly identifying those sections of the Quote that it claims are exempt from production, and the legal and factual basis that supports said exemption(s) as a matter of law. The State reserves the right to make the determination as to what to disclose in response to an OPRA request.

Any information that the State determines to be exempt from disclosure under OPRA will be redacted.

13 Section 3.18 – Mobilization Plan

Q: A. Section 3.18 references a mobilization period not to exceed 90 days from Contract award. Section 4.2 indicates the Contractor must provide an Implementation Plan that demonstrates implementation of all Contract requirements within 180 days of Contract award. Please confirm that the implementation of all requirements must occur within 180 days of Contract award.

B. Can the State provide an estimated date for Contract award?

A: A. Yes, all requirements of the Implementation Plan must be implemented within 180 days of contract award. The Mobilization Plan is a requirement of the Implementation Plan.

B. No, the State cannot provide an estimated date for contract award.

14 Section 3.19 – Additional Plans

Q: This requirement states “the Contractor must maintain all processing activity records (both electronic and hard copy formats) for seven (7) years” Could the State define the type of data that will be needed in hard copy format?

A: The type of data that will be needed in a hard copy format is any processing activity records that cannot be maintained in an electronic format.

15 Section 3.19 – Additional Plans

Q: Can the Records related to the Prepaid Card program be retained at a location outside of New Jersey location? The prepaid card manager, nor its Bank Sponsor have locations in New Jersey.

A: The records for the prepaid card program can be outside of New Jersey but must be with in the United States.

Section 3.20 – Organizational

Experience

Q: Would the State please provide the required and preferred number of references?

A: The Bidder should include, with their Quote, the level of detail it determines necessary to assist the Evaluation Committee in its review of Bidder’s Quote.

Section 3.25 –

Financial Capability of the Bidder

Q: As a privately held corporation, we consider our Financial Statement as a trade secret and thus proprietary and confidential. May we provide our Financial Statement in response to this section in a separate, password-protected PDF file marked “Confidential” in addition to providing the required Confidentiality form referenced in Section 3.13.7?

If yes, how would you like to receive the password.

A: For Bidders who are privately held corporations, corporate financial information included in their Quote is automatically redacted by the State.

Bidders should not password protect any forms submitted with their Quote.

Section 3.26 – State- Supplied Price Sheet

Instructions

Q: Are bidders permitted to deviate in any way from any manner of quoting fees you may be expecting? For example, if there is a pricing page in the RFP, can bidders submit an alternate fee structure? If there is no pricing page in the RFP, do you have any preference for how bidders should quote fees or can bidders create their own pricing categories?

A: Pursuant to Section 3.26, State-Supplied Price Sheet Instructions, of this Bid Solicitation, the Bidder is to present their pricing in the designated yellow area.

The Bidder is not to change the descriptions given on this Price Sheet. The Bidder is to not change the type of pricing that is being requested for each description (e.g.: change firm-fixed to annually, annually to hourly). If any price line is not filled out by the Bidder, then the Bidder’s Quote will be deemed non-responsive. The Bidder is not to add price lines in order to designate the hourly pricing for different Years. Doing so will deem the Bidder’s Quote non-

Section 3.26 – State-

Instructions

Q: A. Since fees assessed to cardholders and payors directly affect the firm-fixed cost presented in the State Supplied Price Sheet, will the State consider evaluating the schedule of fees associated with debit cards and all payor payments (e.g., registration, convenience, or other fees) within the price evaluation?

B. On what timeframe is the estimated annual occurrence based?

A: A. The State will evaluate a Bidder’s pricing as presented on the Bidder’s State-Supplied Price Sheet. Bidders are to use Section 3.26, State-Supplied Price Sheet Instructions, for further instructions on filling out the State-Supplied Price Sheet.

Additionally, pursuant to Section 4.9.35, Debit Card Program Fees, of this Bid Solicitation, the Contractor shall not charge an account fee to the State or cardholder.

B. The annual time frame is based on twelve (12) months.

20 Section 4.1 – General

Q: Could the State provide the current SDU organizational staffing including position type and corresponding number of FTEs?

A: Refer to Exhibit 21 – Organizational Charts 05.21.2024.

Section 4.2 –

Mobilization and Implementation

Q: Is the 180 day implementation period part of the initial contract term meaning that full service operations would commence 180 days (6 months) into the first year of the initial three year contract?

A: Yes, all requirements must be implemented within 180 days of contract award.

Section 4.2 –

Mobilization and Implementation

Q: Please confirm whether the Mobilization Plan is a subset of the requirements and narrative included within the Contractor’s Implementation Plan or is it a separate project deliverable plan.

A: The Mobilization Plan is part of the Implementation Plan.

Section 4.3.2 –

OCSS

Responsibilities

Q: The requirement as written in the RFP says, "The Contractor must meet the following requirements". Should the requirement be updated to say, "OCSS must meet the following requirements"?

A: Yes, Section 4.3.2 are OCSS’ responsibilities. Please reference REVISED T1775 Bid Solicitation 05.21.2024 for updates.

Section 4.3.2 –

OCSS

Q: Please confirm the requirement listed in Section 4.3.2 will be met by OCSS and not the Contractor.

A: See response to Question #23.

Section 4.6 – Contractor

Cooperation, Assistance, and

Space Requirements

Q: Could you provide more detail on the requirements/definition of adequate space at the NJFSPC for 6 State or federal staff?

A: Adequate space can be defined as a dedicated work station.

26 Section 4.7 – Primary Operations Facility

Q: May the Prepaid Card portion of the work be performed at a location outside of the primary operations facility? The prepaid card manager, nor its Bank Sponsor have locations in New Jersey.

A: The prepaid card program can be performed outside of New Jersey but must be within the United States.

Section 4.8.2 –

Hosting and Backup Services

Q: What is the volume we should expect daily/monthly/peak?

A: At any given time, there are approximately 242,000 active cases.

Section 4.8.4 – Disaster Recovery, Contingency, and

Backup Plan

Q: States,”An offsite backup facility must be designated that is capable of operating within 48 hours and processing payments for a minimum of two (2) months.” Is the Contractor permitted to have more than one backup facility in use or is it limited to one specific location?

A: Yes, the Contractor is permitted to have more than one (1) backup facility.

Please see the update in Section 4.8.4, Disaster Recovery, Contingency, and Backup Plan in REVISED T1775 Bid Solicitation 05.21.2024.

Section 4.9 – New Jersey Family

Support Payment Center

Q: For any circumstance requiring a notation be made in NJKiDS, is NJKiDS able to receive information that can be automatically received and entered?

A: Yes, NJKiDS will be able to receive information that is automatically received and entered in the NJFSPC.

30 Section 4.9 – New Jersey Family

Support Payment Center

Q: How many paper checks mailed internationally? How many electronic disbursements internationally? 1. ACH? 2. Stored Value Card?

A: For the time period of 11/2022-11/2023:

Paper Checks mailed internationally - 2025 Electronic Disbursements internationally:

1. ACH - 0

2. SVC - 26

Section 4.9.1 – Contractor Operational

Standards Overview

Q: States a “Type II SAS-70 audit”. Please clarify which of the following reports will suffice for this requirement? i. Annual SOC 1, Type 2, or ii.

Annual SOC 2, Type 2 If an Annual SOC 2, Type 2 is required, would the State accept a SOC 1, Type 2 for the first year only, then a SOC 2, Type 2 for the subsequent years? Please clarify which of the following Trust Services Criteria are required: i. Security ii. Availability iii. Confidentiality

iv. Privacy v. Processing Integrity

A: First year requires SOC1, Type 1 and SOC2, Type 1.

SOC 1, Type 2 and SOC2, Type 2 for subsequent years, including extensions.

For SOC2, all Trust Services Criteria.

Section 4.9.2 – Support Payment

Receipt and Processing

Q: Lists multiple third-party payment vendors that provide overlapping payment services with those provided by the new NJFSPC contractor, and 4.9.25 Credit Card Payments. It is important that the new NJFSPC contractor be able to curate its own partner vendor ecosystem for data security, equitability, and long-term contract viability. Will the State allow NJFSPC contractor to curate their payment partners if there is no loss of payment methods to payor, with future payment methods or vendors added only if mutually agreed upon by State and NJFSPC contractor?

A: A new NJFSP Contractor can curate their own partner vendor ecosystem but the current third-party payment vendors will remain operational.

Section 4.9.3 – Child

Support Payment Disbursements

Q: Please define “expedited same day” in hours?

A: This cannot be defined in hours as processing times vary from day to day due to volume.

Section 4.9.4 – Child Support Depository and Disbursement Bank Processes

Q: Can you clarify the requirement that the account is owned by the OCSS and not the contractor?

A: The bank account is to be owned by the Contractor. Please refer to Section 4.9.4, Child Support Depository and Disbursement Banking Processes, for further requirements.

35 Section 4.9.4 – Child Support Depository

Q: Requirement states Bank charges must not be imbedded within the Contractor’s services unit rate structure and shall be separately and Disbursement Bank Processes identified; Please clarify where the State would like Contractor’s services unit rate structure separately identified.

A: Pursuant to Section 4.9.4, Child Support Depository and Disbursement Banking Processes, bank charges are the responsibility of the Contractor and must not be imbedded within the Contractor’s services unit rate structure to be charged to the State.

Support Depository

Q: Subsection 4.9.4.B requires that bank charges be imbedded within the Contractor’s service rate and separately identified. Subsection C.

prohibits the Contractor from marking up banking fees. Please confirm all banking charges and fees are to be included in Priceline 7 and 14 of the State-Supplied Price Sheet. Would the State consider handling bank charges and fees as a pass-through to ensure it represents actual costs?

A: Please refer to the answer to Question #35.

Support Depository

Q: A. Can the State provide a copy of the most recent existing redacted Account Analysis Statement?

A: No. The State will not provide an Account Analysis Statement of the current Vendor.

B. What is Earnings Credit Rate (ECR)? How is it calculated?

A: The rate is negotiated with the financial institution each time there is a rate change. For 2023, the rate ranged from 1.85% to 3.45%. The rate is calculated based on the collected balance. It is noted that the ledger balance is not used because it tends to be less accurate (i.e., some of the funds may still be in the clearing process). The ledger balance is what appears on a bank statement, and is generally higher than the collected balance.

C. Average daily bank account balances?

A: Average balance is $27,000,000.

D. Do you require check scan capability (Remote Deposit Capture) If so, how many check scanners?

A: Yes. Remote capture averages 29 payments per month. The Contractor must ensure sure that their payment processing platform is compatible with the Pannini Vision E scanners already owned by the State. Refer to Section 4.9.4(R), Child Support Depository and Disbursement Banking Processes in REVISED T1775 Bid Solicitation 05.21.2024.

E. What is the volume of International Disbursements? Location of International transactions? Which Countries?

A: For the time period of 11/2022-11/2023:

Paper Checks - 2025

ACH - 0

SVC – 26

International transactions go to - AT, AU, BR, BY, CA, CH, CO, CZ, DE, DO, FI, IL, IN, JP, MX, NI, NO, PH, PL, PR, PT, RU, SE, UK

38 Section 4.7 – Primary Operations Facility

Q: May the Contractor outsource the check printing and distribution services operation to a location outside of the primary operations facility if it demonstrates efficiencies and advantages to the State?

A: The Contractor may perform check printing and distribution services outside of the primary operations facility but operations must be maintained within the United States.

Section 4.9.5 –

Check Printing and Distribution Services

Q: Will the State consider allowing check printing and mailing from a Contractor location other than the New Jersey primary operating facility if the Contractor can demonstrate necessary security along with efficiencies and advantages to the State?

A: Please refer to the answer to Question #38.

Section 4.9.5 –

Check Printing and Distribution Services

Q: Can you please provide Annual volume, for each or the past 3 years?

A: Annual volume for 2021: 192,846 Annual Volume for 2022: 165,621 Annual Volume for 2023: 126,919 (as of 11/2023)

Section 4.9.6 –

Obligor Coupons Printing

Q: Can you please provide Annual Volume, for each or the past 3 years?

A:: Weekly Coupons - July 2021 – September 2023 – 10,772 Quarterly Coupons – July 2021 – September 2023 – 636,343

42 4.9.7 – Special Notices

Q: A. Please clarify if there is an existing corresponding line item on the State-Supplied Price Sheet for providing the cost estimate for these Special Notices. We were unable to identify a line item with a similar description and the corresponding 2M annual volumes. If not an existing line item, please advise as to where the Contractor should provide its cost estimate as requested in this section.

B. Since there are some unknown parameters such as size and content, may a cost range be provided?

A: Section 4.9.7, Special Notices is removed from the Bid Solicitation.

Additionally, price lines 29 and 30 are removed from the State-Supplied Price Sheet. Please refer to REVISED T1775 Bid Solicitation 05.21.2024 and REVISED Attachment 3 – State-Supplied Price Sheet 05.21.2024.

43 Section 4.9.9 – Post Office Boxes

Q: A. Since Post Office Box is a line item on the price sheet (Priceline #17), is the State able to provide the current cost of the PO Boxes?

B. Could the State provide the address of the post office where the current PO Boxes are located?

C. What is the current daily pick-up times, Monday through Saturday?

D. What is the earliest mail pickup availability?

E. Please provide the average number of envelopes picked up each day of the week.

A:

Box Number Cost Pick Up Time 4480 $1550.00 6:00am Monday – Friday 5003 $388.00 7:00am Monday – Friday 5313 $194.00 7:00am Monday – Friday 5558 $248.00 7:00am Monday – Friday 50558 $1650.00 7:00am Monday – Friday 5485 $248.00 7:00am Monday – Friday 9288 $226.00 7:00am Monday – Friday TOTAL $4504.00 annually

Currently at two (2) Post Office locations:

Trenton 680 US Highway 130 Hamilton NJ 08650 Circle 2601 Brunswick Ave Lawrenceville NJ 08638

Average Mail Pick up:

Monday – 5 trays = 3250 items Tuesday – Friday Average – 3 Trays = 1950 items

44 Section 4.9.9 – Post Office Boxes

Q: States “The Contractor must retrieve all mail according to a mutually agreed upon schedule” What are the current post offices box pick up times?

A: Please see the response to Question #43.

Section 4.9.10 – Mail

Q: States, “At a minimum, every envelope received shall be candled in order to ensure that the entire content of each envelope is removed.

Candling is the process of slitting three (3) sides of the envelope and laying it open. This process must be completed by the Contractor who must ensure that 99.9% of the time the entire contents of an envelope will be removed.”

A) How is this currently measured?

A: This is currently measured through established reports and physical auditing.

B.) Are alternative candling methods allowed?

A: Yes, alternate candling methods are allowed with SCM approval prior to implementing.

C.) Would Using an OPEX Falcon that includes electronic candling as part of its opening/scanning solution be acceptable?

A: Yes, OPEX Falcon can be an acceptable opening/scanning solution.

Section 4.9.11 –

Payment Processing Timeframe

Q: States “The Contractor must process all Child Support payments received by 3:00 p.m. Eastern Time each day, except Sundays and holidays observed by the State.”

A. Is this required on Saturdays as well?

A: No, processing is not required on Saturdays. Please see the edits made to Section 4.9.11, Payment Processing Timeframe in UPDATED T1775 Bid Solicitation 05.21.2024.

B. Is this cutoff time related to NJKIDS processing of the daily collections file?

B: Yes, this is the cutoff time related to NJKiDS processing of the daily collections file.

Section 4.9.13 –

Transaction Storage

(NJKIDS)

Q: States “the Contractor can combine multiple days’ worth of data for transmission to the State’s automated system, but multiple deposits into the Contractor’s bank account must be reconcilable to the total State’s automated system data transmission. Processed payments must be reconciled to deposits before transmission to NJKiDS.”

A. Are deposits to the bank allowed on Saturdays and Sunday A: Yes, deposits to the bank are allowed on Saturdays and Sundays.

B. Can NJKIDS receive multiple posting files per day?

A: Yes, NJKiDS can receive multiple posting filings per day.

Section 4.9.16 – Case Number

Verification and Identification

Q: How many total paying party participants are there in NJKiDS and what percentage of participants do not have a valid SSN in the system?

A: Current Open Caseload – 242,453 Immediate Income Withholding – 101,396

The SSN is not a requirement to verify a payment.

Section 4.9.17 –

Unidentified Items Processing

Q: What is the SLA time required for resolving Unidentified payments?

A: Ten business days.

Section 4.9.18 –

Income Withholding Discrepancies

Q: States “Any income withholding payments from employers for which a discrepancy exists between the check amount and the corresponding total on the attached employee listing shall be resolved by the Contractor within two (2) business days from the date of receipt. If the amount of the check is less than the amount on the list, the check must be returned to the employer with a letter explaining the discrepancy. If the amount of the check exceeds the amount on the list, the check shall be deposited, and payments posted as directed with the remainder either being refunded back to the employer within two (2) business days or posted by the employer as directed (in writing).”

A. How is this handled if no remittance information is provided?

B. Does “in writing” require paper or can the interaction with employer be facilitated via email or other digital method as long as documented?

A: For questions A & B please refer to Section 4.9.17, Unidentified Items Processing.

Section 4.9.19 – Non- Sufficient Funds, Closed Accounts, Other Non-Payments

Q: Could the State provide the prior 36 months of negative bank adjustments funded by the Contractor and corresponding recoupment amounts?

A: Negative bank adjustment amount for the past 36 months - $2,342,866.69.

Section 4.9.19 – Non- Sufficient Funds, Closed Accounts, Other Non-Payments

Q: Could the State provide a summary of the State’s and current vendor’s process for recoupment of negative bank adjustments. Is this process under the new contract going to remain, if not, what are the expected modifications.

A: To support the State’s business model, it is the responsibility of the Contractor to fund and recoup receipt reversal/over disbursement liability except for Negative Tax Adjustments which will be funded and recouped by the State. However, for purposes of quality control and performance measurement, each agency involved in the receipt reversal process will be monitored by the State. The current Contractor will notify the State of any Non-Sufficient Funds, Closed Accounts and other Non-Payments to update the applicable case(s) to prevent future processing of said methods if warranted (i.e., Bank Accounts).

This current process is to remain.

Section 4.9.20 – Mis postings, Reversals/Reposts and Erroneous

Payments

Q: Are misapplied funds expected to be reimbursed to the State within 24 hours on a case-by-case basis?

A: Misapplied funds are not reimbursed to the State they are to be reconciled with the impacted case or party.

Section 4.9.20 – Mis postings, Reversals/Reposts

Q: Does the contractor have exposure to Federal Tax Information (FTI) when recouping funds and if so, how often?

A: Yes, the Contractor will have exposure to FTI. Exposure to FTI is not limited to recoupment of funds but is contained within multiple pages within the NJKiDS system.

Section 4.9.20 – Mispostings, Reversals/Reposts

Q: Could the State provide the most recent thirty-six (36) months (up through October 2023) of statistics on misposts including the number of payments, average amount of misposted payments, total dollar amount Contractor made whole, and the total dollar amount recovered by Contractor? (Reference Price Sheet, Priceline #25) How will the State ensure the incumbent contractor will control its mispostings to a reasonable level during the transition period since the new contractor will be financially responsible for its misposting? Previous RFP in 2011 which resulting in current contract had a provision under section 3.20.1.10 CONTRACTOR RESPONSIBILITIES that required : “For up to one year from the end of the contract, the contractor shall be responsible for reimbursing the State for any expenditures that are or were the result of the contractors mis-posting of payments or failure to comply with the agreed upon Turnover Plan.” Please confirm that the current vendor is responsible for their own mispostings discovered during the first year of the new contract awarded under this RFP?

B. Could the State provide a summary of the State’s and current vendor’ s process for recoupment of misposted payments. Is this process under the new contract going to remain, if not what are the expected modifications?

A: A. The incumbent Contractor is responsible for any misapplied postings during the 180-day transition period. Per Section 5.2, Contract Transition, the awarded Contractor would be responsible after the 180-day transition period.

Please see the edits made to Section 4.9.20, Mis postings, Reversals/Reposts and Erroneous Payments in UPDATED T1775 Bid Solicitation 05.21.2024.

Number of active recoupments – 1632

Dollar Amount $7,047,645.86

B. See response to Question #52.

Section 4.9.20 – Mispostings, Reversals/Reposts

Q: Section 4.9.20 requires the current Contractor to reimburse any payment identified as a mispost, including those received under the previous Contract period. Can the State estimate the expected value of mispostings that the new Contractor would need to reimburse from the current contract?

A: See response to Question #55.

Section 4.9.23 –

Payment Transmissions

Q: A. Are payment transmissions currently sent to NJKIDS on Saturdays?

B. Could they be sent on Saturdays and/or Sundays?

A: Payment transmissions can be sent on Saturdays but will not be processed until the next business day. No payment transmissions are to be sent on Sunday.

Section 4.9.24 – Automatic Withdraws from Obligor Bank Accounts

Q: A. What is the average amount of each electronic debit payment?

B. Is there a fee charged to the payor for these payments?

A: A. The average amount of each electronic debit payment in 2023 was $217.

B. The current Contractor charges a one-time $2.50 registration fee to set up electronic debit payments. This registration fee is a one-time fee to the non-custodial parent when setting up their ACH to be withdrawn from their bank account. This fee is to be completed at no cost to the State.

Section 4.9.25 –

Credit Card Payment

Q: What is the average, for each or the past 3 years, amount of each credit card payment?

Could the State provide the current fee(s) charged to payors for credit card transactions?

A: All credit card payments must be completed via a Contractor managed payment processing tool. No direct credit card payments are available.

The current fee is 2.95% of payment not to exceed $60.00.

60 Section 4.9.25 – Credit Card Payment

Q: Is the estimate of 3,600 credit card transactions per month for only the SDU Contractor’s credit card payments, or does it include all credit card transactions received from any of the payment option programs listed in Section 4.9.2?

A: The estimate of 3,600 credit card transactions per month represents the SDU Contractor processed payments through their managed payment processing tool.

Section 4.9.26 –

Payments Received at Local Offices

Q: A) Are the Cash Payments received at local level deposited same day received?

A: No, cash payments received at the local level are not deposited the same day.

B) Is the contractor able to influence the flow of the cash funds received and how deposits are made?

A: The state is open to alternative processes, which can be discussed with the State Contract Manager after Contract Award.

C) Do the States cash handling procedures allow disbursement of funds prior to deposit?

A: Yes.

D) Are checks and money orders also able to be accepted at the local offices?

A: Yes.

E) Please describe in detail the process for all payment types and Non- Cash payment transactions, including what they are, how they are received and processed, and if they have the same day processing requirements?

A: Local offices accept payments in cash, check or money order. Checks and money orders are currently bundled and sent to the State Disbursement Unit for processing. Cash is logged within NJKiDS, deposited to a Judiciary account and then the money is sent via wire transfer to the State Disbursement Unit.

F) How many locations currently receive payments at local offices?

A: Payments are currently received by all 21 local counties. Number of physical payment windows in each county differ based on the county.

Section 4.9.26 –

Payments Received at Local Offices

Q: What are the State’s cash handling procedures?

A: Local County finance offices handle cash payments.

Section 4.9.27 – Obligee Direct

Deposit

Q: Is this currently a fully paper-based authorization process? If not, what is currently the process?

A: Under the current Contract, a paper form option as well as a web-based option is available.

64 Section 4.9.28 – Obligee Debit Card

Q: Where should the debit card fee schedule be provided within our response?

A: Pursuant to Section 4.9.35, Debit Card Program Fees, of this Bid Solicitation, the Contractor shall not charge an account fee to the State or cardholder.

65 Section 4.9.28 –

Q: Can you please provide; A) Monthly Deposit Amounts, B) Monthly Active Cards, C) Monthly Aggregate Spending Breakdown, i. signature point of sale, ii. ATM withdrawals, iii. POS w/Pin

A: For 2023: Debit card averages were:

• 153,365 disbursement transactions per month

• $33,300,000 deposited amount per month

B: 101,931 active cards as of November 30, 2023

C: This information is maintained by the current Contractor and it is not available.

66 Section 4.9.28 –

Q: A) Could the State provide the current debit card fee schedule?

A: Refer to Exhibit 22 – Current Debit Card Fee Schedule 05.21.2024.

B) What is the average, for each or the past 3 years, monthly Deposit/load amounts?

A: 2023: $33,300,000;

2022: $33,614,000;

2021: $37,207,000

C) What is the average, for each or the past 3 years, total volume of monthly Deposits/loads?

A: 2023: 153,365 transactions;

2022: 154,586 transactions;

2021: 186,299 transactions

D) What is the average, for each or the past 3 years, total volume of card transactions?

A: Based on approximately 15,000 transactions per month, it is 180,000 per year.

E) What is the average, for each or the past 3 years, number of monthly Active Cards?

A: As of November 30, 2023, there are 101,931 active debit cards.

F) Monthly Aggregate Spend, for each or the past 3 years, including Spending Breakdown? i. Signature point of sale, ii. ATM withdrawals, iii.

POS w/Pin, A: This information cannot be provided because the spend associated with POS Signature, ATM withdrawals and POS PIN transactions is combined with other debit card related solution charges that cannot be separated into the requested categories.

G) Number of participants on pre-paid cards?

A: As of November 30, 2023, there is 1 participant for each of the 101,931 active debit cards.

H) Volume, for each or the past 3 years, of all card transactions?

A: Based on approximately 15,000 transactions per month, it is 180,000 per year.

67 Section 4.9.33 – Debit Card Issuance

Q: Would the State consider, "The Contractor shall not deny access to the Electronic Debit Card Program to any customer referred by the State, except to comply with applicable law." Rationale: The Prepaid Card Manager performs OFAC testing on cardholders and they are prohibited as an SDN the Prepaid Card Manager cannot permit the proposed cardholder to be a part of the program.

A: Please see the addition made to Section 4.9.33, Debit Card Issuance in REVISED T1775 Bid Solicitation 05.21.2024.

Section 4.9.34 – Debit Card Account and Customer Service

Q: States, "The Contractor shall notify the SCM at least ninety 90 days in advance of any proposed changes in policy that affect the Debit Cardholders or their debit accounts. The State will have the ability to allow or disallow any changes in policy since they impact the customer."

Will the State consider changing this language to read as follow? "The Contractor shall notify the SCM at least ninety 90 days in advance of any proposed changes in policy that affect the Debit Cardholders or their debit accounts. The State will have the ability to allow or disallow any changes in policy, with the exception of fraud prevention measures, regulatory changes, and methods that will improve the cardholder experience." Rationale: To minimize the risk of fraud the recipient.

A: The State does not accept this proposed modification.

Debit Card Account

Q: Would the State consider, "The Contractor shall notify the SCM at least Twenty-one 21 days in advance of any proposed changes in policy that affect the Debit Cardholders or their debit accounts. The State will have the ability to allow or disallow any changes in policy since they impact the customer that are not applicable to other cardholders in Contractor’s other programs. - The Contractor shall maintain a complaint file to specifically report all complaints of fraud involving Debit Cards.

Contractor shall establish a procedu3re to resolve complaints of fraud in a manner consistent with the. The Contractor shall update the complaint record, and contact and update the complainant as required by applicable law until the complaint is resolved. In the event that the Contractor compensates a customer for any reported loss, they shall do so at no cost to the State." Rationale: 21 days notice is what is required by applicable law. It is not possible to permit one client to avoid or prohibit uniform application of policies related to The Prepaid Card Manager’s enterprise card programs. Rationale: Cardholder information regarding disputes cannot be legally shared with a third party under Reg E. Rationale: The Prepaid Card Manager cannot set up an individual dispute process and will follow legal requirements in resolving disputes.

Debit Card Account

Q: States, "The Contractor shall notify the SCM at least ninety 90 days in advance of any proposed changes in policy that affect the Debit Cardholders or their debit accounts. The State will have the ability to allow or disallow any changes in policy since they impact the customer."

Will the State consider changing this language to read as follow? "The Contractor shall notify the SCM at least ninety 90 days in advance of any proposed changes in policy that affect the Debit Cardholders or their debit accounts. The State will have the ability to allow or disallow any changes in policy, with the exception of fraud prevention measures, regulatory changes, and methods that will improve the cardholder experience." Rationale: To minimize the risk of fraud the recipient.

Section 4.9.35 –

Debit Card Program Fees

Q: Would the State consider, "The Contractor shall not charge an account fee (e.g., monthly or annually) to the State or cardholder. The Contractor shall allow unlimited balance inquiries at no charge to cardholder at in- Network ATMs or online. The Contractor shall allow Debit cardholders to make deposits to their Debit Card accounts at no fee to the cardholder, however, cardholders may be subject to third party fees. The Contractor shall allow a minimum of one withdrawal in Network at no charge for each deposit made to the account, however, cardholders may be subject to third party fees. Additional withdrawals may be made in-Network at no additional costs, except third party costs. The Contractor shall not limit the amount of cash funds a cardholder may withdraw from their Debit Card account at any one time with the exception of bank required Automatic Teller Machine (ATM) limits." Rationale: State does not have access to cardholder accounts or its information. Rationale: In- Network limitations must apply. Rationale: Third parties over which The Prepaid Card Manager has no control may levy fees, i.e. foreign ATMs or foreign banks.

A: Yes. Please see the additions made to Section 4.9.35, Debit Card Program Fees in REVISED T1775 Bid Solicitation 05.21.2024.

Q: States, "The Contractor shall not limit the amount of cash funds a cardholder may withdraw from their Debit Card account at any one time with the exception of bank required Automatic Teller Machine (ATM) limits." For the purposes of minimizing potential fraud losses, would the Agency consider placing a limit of $8,000 per day for teller assisted withdrawals?

Q: We acknowledge loads from the SDU to debit card will be done with no charge to the cardholder. We interpret requirement 4.9.35 "The Contractor shall allow Debit cardholders to make deposits to their Debit Card accounts at no fee to the cardholder" as allowing the cardholder to load outside dollars from various sources to the card, which turns the card into a General Purpose Reloadable card. This conflicts with Requirement

4.9.33 "The Contractor shall not deny access to the Electronic Debit card Program to any customer referred by the State". If it is the stateâ??s intent to allow outside loads/funds/deposits to the card, we must complete Customer Identification Program (CIP) to verify the identity of each recipient. This may disqualify someone from receiving a debit card.

To allow outside loads, please remove requirement 4.9.33 "The Contractor shall not deny access to the Electronic Debit card Program to any customer referred by the State". Rationale: To remove conflict between Sections 4.9.35 and 4.9.33

A: Please see the edits made to Section 4.9.35, Debit Card Program Fees in UPDATED T1775 Bid Solicitation 05.21.2024.

Section 4.10 – New Jersey Family

Support Services

Q: What is the minimum required total call capacity?

A: Refer to REVISED Exhibit 19, Debit Card IVR Calls, for detail concerning call volumes to the IVR and CSR’s.

Section 4.10 – New Jersey Family

Q: What is the minimum simultaneous inbound call capacity?

A: The minimum simultaneous inbound call capacity is 100 calls.

Jersey Family

Q: What is the maximum hold time?

A: The maximum hold time is not to exceed five (5) minutes.

Jersey Family

Q: What percentage of inbound calls must be answered by a live operator?

A: 100% of calls where a customer makes a selection to speak to a live representative.

Jersey Family

Q: What percentage of calls must be resolved without a transfer, second call, or a return call?

A: 75% of calls must be resolved without a transfer, second call, or a return call.

Jersey Family

Q: Is there a minimum or maximum number of operators and supervisors?

A: The number of operators and supervisors should be adequate to support the requirements required for the New Jersey Family Support Services Center

Jersey Family

Q: What is the required degree of dedication for the operators? (Can operators work on other contracts at the same time as this one)?

A: No, operators are to work solely on this Contract.

Jersey Family

Q: What information is to be included in call logs?

A: Please refer to Exhibit 23 – Call Log Information 05.21.2024.

Jersey Family

Q: What is the current number of seats for operators and supervisors at your existing call center?

A: See response to Question #20.

Section 4.10 – New Jersey Family

Q: What is the current average wait time for phone calls?

A: 07:10 (MM:SS).

Jersey Family

Q: What is the current average handle time for phone calls and other types of communications?

A: 10:49 (MM:SS).

Jersey Family

Q: What is the current average after-call work time for operators?

A: 03:00 (MM:SS).

Jersey Family

Q: Over the past year, what is the percentage of calls received in English…