P23001870 Unemployment Insurance Modernization Project

The State of Hawaii, Department of Labor and Industrial Relations (DLIR) is seeking proposals for a comprehensive Unemployment Insurance (UI) System Modernization project (RFP-23-01-UI) to be implemented in Honolulu County. The procurement aims to replace the existing UI system with a modern software solution that improves system security, reduces fraud, enhances core performance measures, and enables better workflow, process automation, and analytics. Qualified contractors must provide UI system modernization software, implementation services, and ongoing maintenance, with a complete system solution required to be deployed within three years of the contract date. Key deliverables include project planning, analysis and design, configuration and development, testing and training, data conversion, deployment support, and a 12-month warranty period. Offerors must have successfully implemented at least one UI system that includes contributions/tax, benefits, and/or appeals with business rule-driven workflows, and must meet FedRAMP Moderate certification requirements. The procurement timeline includes a pre-proposal conference on March 17, 2023, written question submissions by March 31, 2023, proposal due date of April 28, 2023, offeror demonstrations from June 19 to July 15, 2023, and an anticipated contract award on September 22, 2023, with a contract start date of November 1, 2023.

The RFP includes a 10% price preference for qualifying Hawaii software development businesses, with proposals to be evaluated based on functional and technical requirements, testing and training plans, and cost competitiveness. While no specific set-aside designations for disadvantaged enterprises are explicitly mentioned, the state will utilize an Independent Verification and Validation (IV&V) contractor to assist with project oversight. The contract will be awarded for an initial five-year term, with an option to extend for an additional five-year term. The procurement does not specify the current incumbent vendor or provide a precise budget range. Contractors must demonstrate organizational and financial stability, experience with cloud-based solutions, and the ability to provide a configurable system that can adapt to changing economic conditions. The project requires comprehensive services including implementation, ongoing maintenance and operations, software and hardware provision, and support for various UI program types based on Hawaii's specific business rules.