Damage claims recovery

The South Carolina Department of Transportation (SCDOT) is seeking a contractor to provide comprehensive damage claims recovery services for state assets on interstate and state highway systems. The primary objective is to identify, document, and recover costs associated with damages to state property, including expenses from vehicle removals, right-of-way obstructions, and environmental cleanup. Qualified vendors will be responsible for researching and identifying responsible parties, verifying insurance coverage, collecting repair costs, and submitting detailed monthly reports to SCDOT's Statewide Risk Manager. The solicitation (5400026305) requires offerors to submit a technical proposal demonstrating innovative approaches to claims tracking and recovery, along with a cost proposal that includes a startup fee, percentage rate for recovered payments, and maximum dollar amount per claim. Key submission deadlines include February 14, 2024, for questions, March 5, 2024, for proposal submissions, and an anticipated award posting between April 8 and April 30, 2024. The contract will have an initial one-year term with four optional one-year renewals, with an estimated start date of February 15, 2024, and end date of February 14, 2029.

The procurement does not specify any specific set-aside designations or restrictions on vendor types. Historical data indicates that between 592 and 956 claims were invoiced annually from 2021-2023, with recovery rates ranging from 46-62 percent. SCDOT currently has no incumbent contractor for these services and estimates approximately 500 accounts may be transferred to the new contractor at program inception. Contractor compensation will be structured as an administrative fee based on a percentage of recovered payment amounts, which can be directly deducted from collected funds. The contractor will not be responsible for court representations or debt collection reporting and will be prohibited from charging travel expenses. While no specific budget range is provided, the compensation model suggests the potential value will be directly tied to successful claim recoveries. The contractor must also comply with South Carolina laws regarding debarment, drug-free workplace requirements, ethics compliance, and information security standards, with a critical emphasis on maintaining strict confidentiality of government information.