RFP for Swap Valuation Services ***See Attached***

The Michigan State Housing Development Authority (MSHDA) issued a Request for Proposals (RFP) for Swap Valuation Services to be performed for Grand Traverse County and three jurisdictions within Lansing City. The procurement seeks a financial service provider authorized to conduct business in Michigan to evaluate whether the Authority's derivative instruments constitute effective hedges under Governmental Accounting Standards Board (GASB) No. 53 standards and to negotiate and execute swap ISDA documents with new counterparties. Key deliverables include performing regression analyses, obtaining market quotations for the Authority's swap portfolio, reviewing current ISDA agreements, analyzing the swap counterparty landscape, recommending credit terms based on comparable State Housing Finance Agencies, identifying prioritized counterparties, coordinating ISDA document drafts, and facilitating negotiations to completion. Services are required for three year-end periods (June 30, 2021, June 30, 2022, and June 30, 2023), with all tasks completed by the third week of October each year and contract commencement anticipated July 1, 2021 with a minimum three-year term through October 31, 2023. The RFP evaluation criteria consisted of 40 points for experience, education, or certification; 30 points for communication skills and clarity; 15 points for adequacy of proposed methodology, staffing, and timeframes; and 15 points for reasonableness and feasibility of fees. Written questions were due by May 5, 2021 with answers posted May 7, 2021, and proposals were due May 20, 2021 at 4:00 p.m. Eastern Time, with contractor selection notification anticipated on or about June 17, 2021 subject to Michigan Civil Service Commission and Board approval.

Pricing must be submitted as a firm fixed price with no adjustments permitted during the contract term, with the budget including detailed line items for individual staff costs with hours and rates, lodging and meals based on State of Michigan per diem rates, transportation at standard State mileage rates, supplies, materials, and other direct costs. Michigan-based businesses, geographically disadvantaged businesses, and qualified service-disabled veteran-owned businesses are eligible for statutory preferences under this procurement. Mandatory insurance requirements include General Liability Insurance ($1,000,000), Errors and Omissions Insurance ($1,000,000 per occurrence and annual aggregate), Worker's Compensation Insurance as required by state law, and Cyber Security Insurance ($1,000,000 if applicable). No incumbent vendors or specific budget ranges were identified in the RFP documentation. The Authority reserved the right to award based on best value rather than lowest price, and contractors must note that pensioned retirees of the State Employees Retirement System rendering services under the contract must forfeit their pensions for the contract duration.