T1775 Amendment 6.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

7/25/2024

To: All Interested Bidders

Re: Bid Solicitation # 23DPP00838

T1775 – State Disbursement Unit Child Support Payment/Receipt Processing

Current Quote Submission Due Date: July 26, 2024 (2:00 p.m. Eastern Time)

Revised Quote Submission Due Date: AUGUST 30, 2024 (2:00 p.m. Eastern Time)

Bid Amendment #6

The following constitutes Bid Amendment #6 to the above referenced Bid Solicitation:

• The Quote Submission Due Date has been extended from Friday, July 26, 2024 to Friday, August 30, 2024; and

• Answers to the second Bidder electronic questions.

It is the sole responsibility of the 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

Section 4.9.4 – Child Support Depository and Disbursement Banking Processes

Q: A. Please list countries where Stored Value Cards were mailed between 11/22 - 11/23.

B. Are the 26 International Cards being mailed to military bases?

C. Will international checks be USD currency?

A: A. From 11/22 -11/23 40 international payments were sent to the following countries: Slovakia, Germany, Switzerland, Hungary, Israel, Dominican Republic and Estonia.

B. Yes, there were payments mailed to military bases.

C. International payments are sent in US currency.

Section 4.9.4 – Child Support Depository

Banking Processes

Q: Since the bank account is to be owned by the Contractor; a. Does the Bidder need to list the bank as a subcontractor?

A: No, the Bidder does not need to list the bank as a subcontractor.

b. Will there be agreements required for the Bank to sign with the State of

NJ

A: No, there will not be agreements required for the Bank to sign with the State.

c. Will the deposits require full collateralization

A: No, the deposits will not require full collateralization.

Support Depository

Bank Processes

Q: Since the bank account is to be owned by the Contractor, does the Bidder need to list the bank as a subcontractor?

A: Refer to Question #159.

Support Depository

Bank Processes

Q: Could the State please indicate is the Average balance listed as $27,000,000 the Averaged Collected Balance or the Average Ledger Balance. Could the State please provide both the Average Collected Balance and the Average Ledger Balance?

A: $27,000,000 is the Average Leverage Balance. The Average Collected Balance is $94,668,548.

Section 4.9.20 – Mispostings, Reversal/Reposts and Erroneous Disbursements

Q: Could the State explain the current misapplied recoupment process and provide statistics for the past 3 years (2021, 2022, 2023), with each calendar year detailed separately to reflect with the gross misapplied funds for each calendar year and the corresponding recouped amount for each calendar year?

A:The current misapplied recoupment process is as follows: review system for any misapplied request; review notes and payment information in the SDU system; determine if error was made by the remitter or SDU; and reverse or repost requested receipt(s). Additionally, there is a quality check for misapplied payments refunded to Third Parties to ensure that all account information is correct and confirmed. Contractor is responsible for the cost of any misapplied payments regardless of whether it was the error of the SDU or the remitter.

Year Total Count of Recoupments Initiated

Total Amount of Recoupments Initiated (Active and Pending)

Amount of Money Recouped (Active and Pending)

2021 28,738 $3,098,418.99 $3,508,987.61

2022 28,525 $2,755,649.54 $2,903,499.84

2023 30,008 $3,834,834.78 $3,444,622.92

Section 4.9.20 – Mispostings, Reversal/Reposts

Q: Could the State clarify the period of time that resulted in the current number of active recoupments and the corresponding dollar amount provided for in the response to this question?

A: As previously stated in Amendment #4 posted on May 21, 2024, the time period was for 36 months through October 2023.

Section 4.9.20 – Mispostings, Reversal/Reposts

Q: A. Does the State currently and if so, will continue to assist in the recoupment of Mispostings, Reversals/Reposts and Erroneous Payments.

a. Recoupment from future payments/receipts?

B. Any other assistance?

A: A. The state will continue to assist with misposts, reversals, reposts, and erroneous payments.

B: No, additional support will not be provided beyond the current support that is provided.

Section 4.9.20 – Mispostings, Q: A. The incumbent Contractor is responsible for any misapplied postings during the 180-day transition period. Per Section 5.2, Contract Transition, Reversal/Reposts and Erroneous Disbursements 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 a active recoupments – 1632 Dollar Amount $7,047,645.86" Please confirm there is no transition of incumbent card activity to the new card program.

A: It is confirmed that there will no transition of the incumbent card activity to the new card program.

Section 4.9.35 –

Debit Card Program Fees

Q: "The Contractor shall allow a minimum of one withdrawal at no charge for each deposit made to the account. Additional withdrawals may be made in-network at no additional costs, except third pary-costs." Does your new requirement for ATM access mean; • All In-Network ATM withdrawals are offered at no charge? • All Out-of-Network ATM withdrawals are offered with a fee from the card issuer and potentially third party costs?

A: Yes, all in-network ATM withdrawals will be at no-charge. Out-of-network fees may be charged.

Section 4.10.3 –

NJFSSC Customer Service Call Center

Q: Could the State provide the number of pages per application, paper size and print specifications (Black & White or Color, DPI) for the Title IV-D applications that are provided by mail?

A: The application is 18 standard letter pages and Black & White.

Section 4.10.3 –

NJFSSC Customer Service Call Center

Q: Based on the IVR Call Matrix provided, could the State provide a breakdown on the number of calls received by CP and NCP, and then further breakdown by call type (i.e. update contact info/forms/preferred method of contact) on a monthly basis for the last calendar year, 2021, 2022, and 2023?

A: No, call types are not recorded to identify call type.

169 Attachment 3 – State- Supplied Price Sheet

Q: 1. The Price Sheet implies Year 1 is 12 months of operations; however, based on the State’s answers to questions, Year 1 begins at contract award and includes the 180 days of implementation time. a. Should bidders assume 6 months of Operations for the Year 1 for Pricing Sheet Section B, Fixed Fees? Otherwise, the price would be inflated for the base term.

A: The Bidder should consider Year 1 pricing to be that amount which encompasses all of the requirements of this Bid Solicitation that will take place during the first Year of Contract award.

b. Does the State intend to modify the volumes for Year 1 of the Pricing Sheet, Section C, to be half the volume of the other two years? Otherwise, the price would be inflated for the base term.

A: No, there will be no adjustments to the price sheet. Bidders are advised that estimated quantities may vary throughout the contract term and do not represent a guaranteed minimum or maximum volume for these price lines.

Attachment 3 – State-

Q: Could the State clarify if the transition/implementation period is 6 months that the pricing providing for in Year 1 of the Pricing Template would be applicable for the subsequent 6 months and then in Contract Months 13-24/Contract Year 2, the pricing provided for in Year 2 of the Pricing Template would be applied, then Pricing Template Year 3 Pricing would take effect in Contracts Months 25-36/Contract Year 3?

A: Please see the answer to Question #169.

171 Attachment 3 – State-

Q:"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." Is the State referring to a monthly account fee?

A: The Contractor is not to charge the State or the cardholder any account fee, including monthly account fees.

172 Attachment 3 – State-

Q: a. Could the State break out the volume information for each calendar year versus the aggregate period of July 2021-October 2023 so that we can see annual trending? Is it possible to provide complete information for Calendar Year 2021 (January through December)?

A:

Bidders are advised that estimated quantities may vary throughout the contract term and do not represent a guaranteed minimum or maximum volume for these price lines.

b. The response to Price Line 37 was cut off/is not visible on the Amendment #4 PDF file. Could this volume information be provided for each calendar year, 2021, 2022 and 2023?

A: There is no longer a Price Line 37 on the State-Supplied Price Sheet. It is advised that Bidders are made aware of any and all changes to the Bid Solicitation and its attachments via a Bid Amendment. Please refer to REVISED

2021 2022 2023

27 2,235,585 1,855,032 1,828,348 28 1,782,166 1,572,859 1,576,602 29 4,444 4,678 5,027 30 307,554 280,743 262,181 31 4,553,566 4,003,368 4,007,336 32 193,553 165,629 136,792

34 0 0 0 4,334 5,263 4,979

Quarterly Coupon, Hardcopy Mailing Payment Receipt Processing (Imaging, Researching Unidentified) Other - Check Printing, Hardcopy Mailing

Priceline

Other - Imaging of Correspondence/Non-Receipt Related Documents

Ad-Hoc Reporting

Description

Electronic Disbursement SVC Electronic Disbursement EFT Weekly Coupon, Hardcopy Mailing

Attachment 3 – State-Supplied Price Sheet 05.21.2024 for the updated State- Supplied Price Sheet.

c. Is it acceptable to enter “zero dollars” into any of the price line items?

A: As stated in Bid Solicitation Section 3.26, the Bidder is to present their pricing in the designated yellow area. If the Bidder wishes to perform a price line free of charge, this must be clearly stated. The preferred way to represent this is to enter $0.00 in the designated yellow area. The State will also accept “zero dollars” or “no charge” to indicate that that a price line item is free of charge.

Any other statements entered on the price sheet which are unclear or ambiguous as to pricing may render the entire Quote non-responsive.

173 Exhibit 21 – Organizational Charts

Q: The provided organization chart details 101 separate individuals/positions. a. Could the State confirm if these positions are 100% dedicated to the New Jersey SDU and work from the physical New Jersey SDU site?

A. The 101 individuals/positions identified on the organizational chart are 100% dedicated to the New Jersey SDU.

b. Could the State provide the position title and % FTE for each individual listed?

A: The only titles not provided are on the call center organization chart. If a staff member is not listed as a supervisor, they are a call center representative.

Each individual is 100% FTE.

c. Could the State confirm the organization charts provided for Payment Processing, Call Center, and IT organizations encompass the full organization of the NJ SDU as process areas such as mail room processing seems to be missing from the organizational charts? If other processing areas are missing, please provide the organizational charts for those areas.

A: The organizational chart provides the current Contractor’s full organization staff for the NJ SDU.

d. Could the State clarify if the individuals listed in the Call Center Org include the staff dedicated to responding to calls related to debit cards? If so, please identify which individuals/how many?

A: Debit card calls are handled by the debit card provider. Any calls to the Call Center that are debit card related are referred to the debit card vendor.

e. Could the State clarify the role and function of “WF MGMT”?

A: The WF MGMT’s role is to vet or screen potential employees prior to hiring.

f. Could the State clarify if the individuals listed in the Call Center Org include the staff dedicated to the depository bank? If so, please identify which individuals/how many?

A: The Payment Processing team interacts with the depository bank when needed, and currently uses nine (9) team members for this function. However, this team has other contractual responsibilities not tied to the depository bank.

Section 3.9 – Disabled Veterans’ Business Set-Aside

Contract

Q: Could the State please indicate if the listing of SBE(s) in the Subcontractor Utilization Plan will be evaluated in the response scoring.

Will the inclusion increase the evaluation score of the Bidder?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this time. Please be advised that this question is unrelated to any first round Q&A revision, and is ineligible to be answered at this time.

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

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

Section 4.9.6 –

Obligor Coupons Printing

Q: RE: Coupon Volumes; are you able to break out the volumes per year versus provide an aggregate for the period of Jul 21-Sept 23 so we can see annual trending? Is it possible to provide complete information for Calendar Year 2021 (January through December)?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

177 Section 4.9.9 – Post Office Boxes

Q: Thank you for clarifying that there are two Post Office locations/addresses. In order to obtain accurate courier bids, could you identify which Box Numbers provided in the table are assigned to which Post Office location/address? b. Are there any required daily courier pick-ups at the State Office?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

Section 4.9.19 – Non-

Sufficient Funds, Closed Accounts, Other Non-Payments

Q: Could the State provide what makes up the $2,342,866.69 in the negative bank adjustment for past 36 months provided in response to this question. Our original question was meant to determine the Bidder's reimbursement obligation for returned unpaid checks or ACH payments due to, but not limited to, Insufficient Funds, Account Closed or Unable to Locate, Invalid Account Number, Stop Payment etc. (RDI). a. Could you please provide the amount of Returned Deposit Item’s (RDI) for the past three years, by year if available?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

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

Q: Does the State currently assist in the recoupment of negative Bank Adjustments and, if so, will continue to assist in the recoupment of Returned Deposit Items (RDIs)? a. Recoupment from future payments/receipts? b. Any other assistance?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

180 Section 4.9.28 – Obligee Debit Card

Q: "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" What is the definition of “active card”?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

Section 4.9.34 –

Debit Card Account and Customer

Service

Q: "A: The State does not accept this proposed modification." Revise original question for more favorable term: Will you 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.

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

Section 4.10 – New Jersey Family

Support Services

Q: "A: Refer to REVISED Exhibit 19, Debit Card IVR Calls, for detail concerning call volumes to the IVR and CSR’s." Confirm that the number provided in Revised Exhibit 19 are the total number of IVR calls and include the debit card calls. Can the number of debit card calls be separated from the total?

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this

Section 4.10 – New Jersey Family

Support Services

Q: Could the State elaborate on the types of calls to be addressed by the Support Services Center? A comprehensive list with a brief description of each potential type would be appreciated.

A: Pursuant to Page 2 of Bid Amendment #4, only questions related to the revisions made in response to the first round of Q&A can be addressed at this