Loren Data's SAM Daily™

FBO DAILY ISSUE OF AUGUST 12, 2012 FBO #3914
SOLICITATION NOTICE

A -- General Lockbox Network (GLN) Financial Agent Selection Process and Lockbox Pricing Methodologies

Notice Date

8/10/2012
 

Notice Type

Justification and Approval (J&A)
 

NAICS

522320 — Financial Transactions Processing, Reserve, and Clearinghouse Activities
 

Contracting Office

Department of the Treasury, Financial Management Service (FMS), Acquisition Management Division, 401 14th Street, S.W., Room 454D, Washington, District of Columbia, 20227
 

ZIP Code

20227
 

Solicitation Number

FMS-HQ-12-Q-0030
 

Archive Date

9/26/2012
 

Point of Contact

Henry Fisher, Phone: 2028746788
 

E-Mail Address

henry.fisher@fms.treas.gov
(henry.fisher@fms.treas.gov)
 

Small Business Set-Aside

N/A
 

Award Number

TFMS-HQ-12-Q-0030
 

Award Date

8/27/2012
 

Description

ACQUISITION MANAGEMENT DIVISION LIMITED SOURCE JUSTIFICATION I recommend other than a competitive effort for the acquisition of the following supplies or services. If deemed necessary, negotiations will be conducted with the indicated proposed supplier. This acquisition is conducted under the authority of the Multiple Award Schedule Program (FAR 8.405-6(g)(1). TITLE OF THE PROCUREMENT: Support Services for General Lockbox Network Financial Agent Selection Process 1. REQUISITION NUMBER FF110023 2. NAME OF PROPOSED SOURCE(S): Garrett Consulting Group, 294 Spear Road, Peachtree City, GA 30269-1342 3. COST ESTIMATE: $223,000 Orders placed under Federal Supply Schedules are exempt from the requirements in Part 6. However, an ordering activity must justify its action when restricting consideration of schedule contractors to fewer than required in 8.405-1 or 8.405-2. Circumstances that may justify restriction include: [FAR 8.405-6(b)] _X Only One Responsible Source Only one source is capable of responding due to the unique or specialized nature of the work (explain what makes this contractor the only responsible source.) ___ Logical Follow-On The new work is a logical follow-on to an original Federal Supply Schedule order provided that the original order was placed in accordance with the applicable Fedral Supply Schedule ordering procedures. The original order must not have been previously issued under sole source or limited source procedures. ___ Peculiar to One Manufacturer The item is peculiar to one manufacturer. A brand name item, whether available on one or more schedule contracts, is an item peculiar to one manufacturer. ___ Urgent and Compelling An urgent and compelling need exists and following the ordrering procedures would result in unaceptable delays. 4. JUSTIFICATION (FAR 8.405-6(g) (Attach additional pages if needed) 1. A description of the supplies or services required to meet the agency's needs. FMS Federal Finance (FF) is engaged in a major initiative called Cash Management Collections Modernization (CCMM) and as part of this FMS priority initiative, FF must arrive at the most optimal end-state for its General Lockbox Network (GLN). FF needs a valuable expert with in depth knowledge of the lockbox industry to advise on how this end-state might look and to assist FF in achieving for the Federal Government the largest cost savings and the greatest efficiencies for a lockbox network that will likely be around for another 10 years or more. Over the next year, FF requires expert contract service support to help develop a Financial Agent Selection Process (FASP) aimed at achieving the desired results for the GLN in support of the priority CCMM initiative. Follow-on contract phases in support of the FASP execution and implementation are also required. Under this first phase, specific expert services required to support the development of the FASP include assistance on the following: 1) recommendation of an optimal GLN end state for all retail, wholesale and specialized lockboxes; 2) in support of the desired GLN end state, development of a FASP strategy and all associated supporting documentation including the FASP announcement and overall requirements document; 3) development of clear and concise Statement of Work (SOW) and pricing template for all GLN cashflows and/or only those cashflows that will accompany the FASP invitation to bid. The contractor shall also: 4) assist in the development of the FASP evaluation methodology and criteria; 5) assist in the development of a scorecard for evaluating proposals in response to the FASP offer; 6) recommend improvements to the GLN Service Level Agreements (SLAs); 7) recommend penalties associated with non-compliance with SLAs; and, 8) make improvements to the GLN FA SLA tracking system. 2. Identification of the justification rationale [see 8.405-6(a)(b)] and, if applicable, a demonstration of the proposed contractor's unique qualifications to provide the required supply or service. Federal Finance needs to ensure that the next large Rebid of the General Lockbox Network (GLN) is done based on the best available expertise of the current lockbox industry in order to ensure the lowest GLN price to the Federal Government and the most efficient operations and best service for Federal agencies. Among the unique features that Garrett Consulting Group provides are: Garrett is the only consulting firm with extensive detailed knowledge of the Financial Management Service's combined GLN and Mail Channel services. Utilizing this extensive background and knowledge, and given their one-of-a-kind business offering, they have become the only firm that can offer FMS: • With ease ability to work with Federal Finance (FF) in taking a critical look at the current work flows for U.S. State Department's Passport and U.S. Custom's and Immigration Service (USCIS) lockboxes. • Based on already detailed knowledge of these major lockboxes, Garrett can partner with FF to redo the workflow to produce the greatest efficiencies and core requirements devoid of proprietary platform requirements. • Partnered assistance in defining the most effective GLN business requirements utilizing background knowledge of FMS' GLN as well as cross-industry expertise of lockbox technology and business processes. • Expert ability to advise on lockbox processes which are independent of any propriety hardware, software or FA platform. • With Garrett's industry expertise and insight in the direction the lockbox industry is going, Garrett can offer assistance in achieving a GLN end state that is competitively situated over the next 10 or more years. • Continuation of work already begun on establishing Service Level Agreements (SLAs), such as a metric for timeliness of deposits, for Financial Agents under the new future GLN. • Given Garrett's detailed knowledge of FF's current GLN pricing methodology, and building on their valuable suggested competitive style pricing models, FMS should expect to achieve substantial savings over what we are currently paying our FA's for lockbox services including CIS, Passport. • Building on Garrett's already detailed understanding of FF's GLN business requirements, Garrett will be key to achieving the cost reductions we should be receiving by helping FF to clearly document our business requirements in the FASP in a way that the industry can clearly understand. Garrett has the expertise to communicate to the industry/players in terms they understand. • With Garrett's industry expertise, and insight in the direction the lockbox industry is going, Garrett will help FF with achieving an end state that optimizes GLN processing across the ideal number of FAs, minimizes mail float and optimizes customer service. Garrett is very familiar with the role of all the players in the industry and is knowledgeable about those not tied to any one city - this can help in deciding the optimal GLN end state. 5. JUSTIFICATION CONTINUED (Attach additional pages if needed) 3. A determination by the ordering activity contracting officer that the order represents the best value consistent with 8.404(d). The Contracting Officer will determine price reasonableness by comparison with previous contracts and seek appropriate discount. 4. A description of the market research conducted among schedule holders and the results or a statement of the reason market research was not conducted. Our organization did conduct a search on HTTP://WWW.GSA.GOV/FSS, however we were unable to identify an organization that could provide the depth and breadth of information needed to accomplish what we need to achieve. 5. Any other facts supporting the justification. Garrett Consulting Group, Inc.(GCG) is an independent firm that specializes in lockbox process consulting. Their niche in the lockbox market involves a unique understanding of how to ensure that the right technology and workflow are used to meet the business requirements of their clients. This involves the ability to identify and clearly communicate business needs, evaluate proposed technology and processes, and provide oversight of the design and implementation to ensure cost-effective and quality lockbox processing solutions. They know the vendors in this market, understand the technology they use, and are experts in client requirement documentation, workflow, and system design. This combination of skills make them uniquely positioned in lockbox process consulting. Garrett Consulting Group is one of only two consulting firms in the United States that specializes in lockbox process consulting. They are the only independent firm in the industry, meaning that they are not associated with lockbox hardware / software sales or marketing. There are many hardware and software lockbox vendors in the industry that offer consulting services, but their services are tied to sales of the products they offer. FTP Consulting in Dallas, Texas, is their only direct competitor in lockbox process consulting, but they are not truly independent or unbiased. The owner of the company also owns and manages transactiondirectory.com, a website designed to market lockbox products and services. Garrett Consulting Group has the added advantage of experience with Federal Government lockbox processing. They just completed a pricing and metrics analysis for the Treasury FMS General Lockbox Network (GLN). Included in the scope of this project was a review of the pricing and metrics used in many of the 200+ GLN lockboxes, including USCIS and Passport, and a recommendation of revised pricing models and metrics. This analysis was designed to lay the groundwork for the rebid of the GLN work slated to begin next year. As part of this same project, GCG also redesigned the GLN Lockbox Metrics Tracking System to make it more user friendly and informative. The Metrics Tracking System is used by Treasury FMS to measure and report the performance of the four banks used as designated financial agents for GLN lockbox processing. No other consulting firm in the country has the level of knowledge of GLN operations that Garrett Consulting Group obtained during the course of this project. 6. JUSTIFICATION CONTINUED (Attach additional pages if needed) 6. A statement of the actions, if any, the agency may take to remove or overcome any barriers that led to the restricted consideration before any subsequent acquisition for the supplies or services is made. Presently, the only independent consulting firm that can offer the services required under this contract is Garrett Consulting Group. After this contract is complete, we will do market research to see if any new comparable businesses have entered this specialized market. 7. Evidence that any supporting data that is the responsibility of technical or requirements personnel (e.g., verifying the Government's minimum needs or requirements or other rationale for limited sources) and which form a basis for the justification have been certified as complete and accurate by the technical or requirements personnel. I certify that these statements are complete to the best of my knowledge.
 

Web Link

FBO.gov Permalink
(https://www.fbo.gov/spg/TREAS/FMS/AMD/FMS-HQ-12-Q-0030/listing.html)
 

Place of Performance

Address: The Contractor will manage the project and relationship and will supervise Consultants who will work at the lockbox sites on-site and/or at FMS, 401 14th Street, SW, Washington, D.C. 20227, during the engagement as needed., Washington, District of Columbia, 20735, United States

Zip Code: 20735
 

Record

SN02834880-W 20120812/120810235957-45d7a048cac1f36134da60dc7dd9cb68 (fbodaily.com)
 

Source

FedBizOpps Link to This Notice
(may not be valid after Archive Date)

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