FY27-32 IL-1040 Data Entry Services - Invitation for Bid

The Illinois Department of Revenue (IDOR) is issuing an Invitation for Bid (IFB) to establish a five-year service contract (FY27-32, solicitation number 27-492DOR-ACCOU-B-52155) for IL-1040 Individual Income Tax Return Data Entry Services. The primary deliverables include key entry and verification of paper and digital images of IL-1040 returns using IDOR's "key from image" application, with the vendor responsible for developing and maintaining the "key from paper" program at no cost to the State. The vendor must meet a mandatory 72-hour turnaround schedule for pick-up and delivery of returns using only land motor vehicles, maintain error rates not exceeding one percent, and comply with strict confidentiality requirements under Section 917 of the Illinois Income Tax Act. The work encompasses processing of multiple Illinois tax schedules and attachments, including Schedule ICR (tax credits), Schedule G (charitable donations), Schedule IL-E/EITC (exemptions and earned income tax credits), Schedule NR (nonresident computations), Schedule 1299-C (income tax subtractions and credits), Schedule M (additions and subtractions), Schedule IL-WIT (income tax withholding reconciliation), and Schedule CR (credit for taxes paid to other states). Pricing is structured as a firm fixed price per thousand billable keystrokes, with an estimated keystroke volume of approximately 525 keystrokes per document based on previous years' returns and no guaranteed minimum or maximum volume. The contract commences January 1, 2027, and ends December 31, 2031, with bids due by May 28, 2026. Bidders must submit electronically through BidBuy all required documents including Vendor Disclosure or IPG Active Registered Vendor Disclosure, Offer to the State of Illinois, and applicable Business Enterprise Program/Veterans Small Business Program Utilization Plans, with pricing entered in the Quote Items Tab. Questions must be submitted in writing no later than seven business days prior to bid opening, and the State will award the contract to the lowest priced responsive and responsible bidder meeting specified criteria, with evaluation based on responsibility, responsiveness, and lowest overall total price.

This procurement is exclusively designated as a Small Business Set-Aside Program opportunity, restricting eligibility to vendors registered in the Illinois Small Business Set-Aside Program at the time bids are due. Small business awardees may subcontract no more than 49 percent of the contract value to non-small business vendors. The vendor must meet stringent mandatory security requirements, including automated fire alarm and burglar detection systems, fire suppression systems, electronic security devices on entry and exit doors, employee and visitor sign-in/sign-out logs, and facility lockdown protocols. The vendor must maintain a Department of Revenue-approved facility, possess a high-speed internet connection with minimum 100 Mbps download and 10 Mbps upload speeds, and comply with specific technical record layout specifications for data file transmission, including End of File (EOF) record formatting requirements. Required insurance includes General Commercial Liability coverage of $1,000,000 per occurrence and $2,000,000 annual aggregate, Auto Liability insurance of $1,000,000, and Workers' Compensation insurance as required by law. The State may partially or fully fund the resulting contract with Federal funds, with specific funding percentages and amounts to be disclosed upon notice of award. No bid or performance bonds are required, and the bid must remain firm for 180 days from opening. No specific incumbent vendor information or existing award values are disclosed in the solicitation documents.