Debt Collection Services

The Washington Department of Enterprise Services is soliciting bids for Debt Collection Services under Competitive Solicitation 11425, establishing an Enterprise Procurement Solution Contract pool available to Washington State agencies and eligible public entities, with bids due September 1, 2026, and a pre-bid conference scheduled for July 29, 2026, at 10:00 a.m. Pacific Time via Microsoft Teams.

The solicitation encompasses four categories: General Collections (unsecured debts owed by individuals or businesses), Educational Collections (private student loans), Court-Ordered Collections (court-imposed financial obligations including fines, fees, restitution, and penalties), and Add-On Services. Enterprise Services intends to award up to three contracts in each of the first three categories to the highest-scored responsive and responsible bidders. Eligible purchasers include all Washington State agencies, institutions of higher education, political subdivisions, federal agencies, public-benefit nonprofit corporations receiving federal, state, or local funding, and federally recognized Indian tribes in Washington.

Bidders must hold at least two years of industry experience, maintain a Washington State collection agency license, establish a debt collection process and quality control system, acknowledge receipt of referred debts within five business days, provide bi-weekly updates, and remit collected funds within 30 days. Contractors must pay a 1.5% vendor management fee on all contract sales and maintain comprehensive insurance coverage including commercial general liability ($2 million per occurrence/$4 million aggregate), workers' compensation, employers' liability ($1 million limits), cyber risk liability ($1 million per claim/annual aggregate), and professional liability ($1 million per occurrence/$2 million annual aggregate).

The contract term is up to 72 months with an initial 12-month pricing period, adjustable annually according to U.S. Department of Labor Bureau of Labor Statistics indices for NAICS Code 561440. Performance-based contract extension of up to 48 months is available if the contractor meets specified performance metrics. Historical sales data shows approximately $1.34 million in annual sales, with 61.6% of purchases from cities and towns and 35.61% from state agencies.

Questions are due August 18, 2026. Apparent Successful Bidders will be announced October 17, 2026, with final awards anticipated by November 16, 2026. A 50-point preference applies to bidders certifying compliance with Executive Order 18-03. Evaluation will be conducted on a cost basis, with the lowest average bid percentage receiving 1,000 points and proportional scoring for higher bids.