EDR ProjectIndependent Verification and Validation Consultant ServicesBidder’s Conference01.12.11

Procurement OfficialThe Department Procurement Official is your ONLY point of contact during this procurement process.

Bill ChristianFranchise Tax BoardProcurement and Asset Management (MS-A374)P.O. Box 2128Rancho Cordova, CA 95741-2128Phone (916) 845-6219 Fax (916) 845-3599bill.christian@ftb.ca.gov

Please Note: Oral communications directly with department officers and State employees concerning this IFB are highly discouraged and shall not be binding on the State.

Bidder’s Conference Purpose and Objectives

• Objective– to provide information related to the procurement

• Opportunity – to ask questions

• Network – with potential business partners

• The EDR IFB for the IVVC was released on DGS eProcurement on 12-17-10

• eProcurement is the public, central repository for all State of California solicitations

• All IFB Addendum and Question & Answers and any other procurement documents will be posted on eProcurement

IFB on eProcurement

• Bidders’ Conference sign-in sheet and PowerPoint presentation will be posted on eProcurement

• All questions and answers from the Bidders’ Conference will be posted on eProcurement

IFB on eProcurement

Submission of Questions at the Conference• If you have questions, please write your

question(s) and your name on the cards provided at the sign in desk• Write only one question per card, and please make sure it is legible• Some questions will be answered at the end of this presentation. All questions will be answered in a Question and Answer set and will be posted on eProcurement at:

http://www.eprocure.dgs.ca.gov/default.htm

EDR Project Objectives

• California’s tax gap, difference between taxes owed and paid, is estimated to be about $6.5 billion annually.

• FTB’s ability to narrow the tax gap is constrained by six Strategic Business Problems.

• The Enterprise Data to Revenue (EDR) Project will solve these six problems and generate hundreds of millions of additional revenue to materially narrow the tax gap.

EDR Project - Business Problems 1. FTB data is in silos and unavailable to

the enterprise.2. Return processing is inefficient and

requires too much manual intervention.3. System redundancy is out of control and

reuse is nonexistent.4. Data analysis tools are limited and

unavailable to the enterprise.5. Taxpayer self-services are limited.6. Business Entities Tax System (BETS) is

at risk of maintainability.

EDR Project – Business Problem Solutions

1. Implement Enterprise Data Warehouse to make data available to the enterprise.

2. Reengineer return processing to make more efficient and increase data capture for enterprise, validation and Fraud detection.

3. Implement Seven New Enterprise Architecture technologies with an overall Service Oriented Architecture approach.

EDR Project – Business Problem Solutions

4. Expand and integrate new modeling processes and data analysis on all data

5. Implement a Taxpayer Folder to provide a common access for internal and external users to enterprise data and self-services

6. Decouple Business Entities Tax System (BETS) to remove proprietary software

EDR Project Overview and ScheduleThe EDR Project is a 66 month large scale IT Project with almost 350 state and vendor staff at it’s peak. Upon implementation, the project is forecasted to produce almost $1 billion dollars in revenue annually.

EDR Project Prime Solution Provider (PSP) procurement is underway with a targeted contract start of July 1, 2011.

Contract award and Contract work is based on PSP schedule for the EDR Project. If the PSP schedule is delayed, this Contract will be delayed accordingly

Section III-Current System or Problem

Due to the complexity and size of the EDR Project, the IVVC services are essential to the EDR Project. The IVVCs will work directly with the EDR Project Team, under the direction of the EDR Project Director. The role of the IVVC is to provide oversight of the Project’s Technical Management approach activities and deliverables as defined in the Statement of Work.

Section III-Current System or Problem

All services will be performed in accordance with applicable industry standards, such as Project Management Institute (PMI) and Institute of Electrical and Electronics Engineers (IEEE) standards required for each deliverable. IV & V services are required to be performed until final State acceptance of the EDR Solution.

Section IV-Proposed ServicesThe Independent Verification and Validation Consultants (IVVC) must work with the EDR Project’s Technical Integration Manager (TIM) under the direction of the EDR Project Director.

FTB requires the following minimum consultant staffing levels: •Months 1 - 36: Five Full Time Staff •Months 37 - 54: Four Full Time Staff •Months 55 - 66: Two Full Time Staff

Section IV-Proposed Services

Section IV-Proposed Services

All required IV & V consultant tasks and project deliverables must be completed to the State’s satisfaction and approval.

Section VI-Bidder Requirements

Criteria Required ExperienceA Performed at least sixty (60) months of full time Independent Verification &

Validation services for a Complex IT Project(s) (as defined in the Glossary) that must meet requirements subject to IT industry standards including:IEEE 1012-2004 Software Verification and Validation IEEE 12207 Standard for Information Technology – Software Life Cycle Processes.IEEE 730-2002 Standard for Software Quality Assurance Plans.IEEE 830 Requirements Specifications.

B Performed at least twenty-four (24) months of full time Independent Verification & Validation services within the last seven (7) years on a Large and Complex IT Project(s) (as defined in the Glossary).

Bidder’s Experience and Past Performance Criteria

Section VI-Bidder Requirements

• (1) Project Manager

• (3) IT Technical Analysts

• (1) IT Business Analyst

Section VI-Bidder Requirements

• EXHIBIT VI-A : CUSTOMER ENGAGEMENT REFERENCE FORM

• EXHIBIT VI-B, C, D: KEY PERSONNEL SELF-CERTIFICATION & CUSTOMER CERTIFICATION

Section XI-Contract and SOW

1. Manages all IV&V activities consistent

with the terms of the contract2. Reviews and recommends acceptance on

selected PSP Technical Management Requirement Deliverables (MRDs)

3. Reviews and recommends acceptance on all Management Review Events (MREs)

IVVC Tasks:

Section XI-Contract and SOW

4. Performs assessments of the overall

health of the PSP’s system development effort;

5. Performs quality assurance on selected State accepted PSP Technical Management processes;

6. Performs quality control testing on the PSP’s Compensation Deliverables planned for production; and

7. Performs other IV&V tasks as directed by the EDR Project Director.

IVVC Tasks:

Section I-Introduction and Overview

KEY ACTION DATES

Action Numb

er

Action DateTime

(Pacific Time)

4.

Last day to submit a Letter of Intention to Submit a Bid (Exhibit I-A) and signed

Confidentiality Statement (Exhibit I-B)

01/14/2011 2:00 pm

Section I-Introduction and Overview

Action Numbe

rAction Date

Time(Pacifi

c Time)

5.Last day to submit questions prior to Final Bid

01/21/2011 2:00 pm

6.Last day to request a change to IFB requirements.*

01/26/2011 2:00 pm

7. Last Day to file requirements protest 01/28/2011 2:00 pm

*Or 5 days following the last addendum that changes the requirements

Section I-Introduction and OverviewAction

Number

Action DateTime

(Pacific Time)

8.Submission of Draft Bids – Review of

Administrative Details01/31/2011 2:00 pm

10. Submission of Final Bids 03/21/2011 2:00 pm

11.

Public Cost Opening held at:Franchise Tax Board9646 Butterfield Way

Sacramento, CA 95827California Town Center

04/06/2011 10:00 am

15. Contract starts 07/01/2011

Section II-Rules Governing Competition

Section II - II.B.4: Information on Questions Regarding the IFB

• Submit questions by email to the Department Procurement Official listed in Section I (questions not submitted today)

• Questions received either posted to eProcurement or by email will be answered and posted on eProcurement

• Last day to submit questions prior to Final Bids 01/21/2011 2:00 p.m.****Or 5 days following the last

addendum that changes the requirements

Section V-Administrative Requirements

WORKERS COMPENSATION  A Workers’ Compensation Certification must be completed and submitted with an original signature with the bidders’ Final Bid. See Exhibit V-A.

Section V-Administrative Requirements

VERIFICATION OF CALIFORNIA TAX STATUS

Prior to Contract award, the State will verify the bidders’ tax status. The successful bidder will be required to be active and in good standing with FTB with all payments and tax filings in compliance.

Section V-Administrative Requirements

DISABLED VETERAN BUSINESS ENTERPRISE (DVBE) PARTICIPATION PROGRAM

For this procurement, the State has established a mandatory DVBE participation requirement of three percent (3%) of the total Contract cost. Due to a recent change in law, a good faith effort is no longer an option for meeting the DVBE program requirements.

Section V-Administrative Requirements

BIDDER DECLARATION FORMS

All bidders must complete the Bidder Declaration GSPD-05-105 (08/09). The completed declaration must identify all subcontractors proposed for participation in the Contract. The bidder awarded the Contract is contractually obligated to use the subcontractors for the corresponding work identified.

Section V-Administrative Requirements

BIDDER DECLARATION FORMS

Bidders who have been certified by California as a DVBE or who have obtained the participation of subcontractors certified by California as a DVBE must also submit a completed form(s) STD 843 (Disabled Veteran Business Enterprise Declaration).

Section V-Administrative Requirements

EXHIBIT V-BCOMMERCIALLY USEFUL FUNCTION

DOCUMENTATION 

All certified small business, micro business, or DVBE contractors, subcontractors or suppliers must meet the commercially useful function requirements under Government Code Section 14837(d)(4) (for SB) and Military and Veterans Code Section 999(b)(5)(B) (for DVBE).

Section VII-Costs

Line Key StaffRate Per

HourEstimated

HoursRate x Estimated Hours

1. Project Manager $________ 10,000 $___________

2. Project Analyst $________ 30,000 $___________

3. Project Analyst $________ 10,000 $___________

GRAND TOTAL $

PERSONAL SERVICES – COST – HOURLY RATE

Enter the “RATE PER HOUR” for each classification. Multiply the “Rate Per Hour” times the “Estimated Hours” and enter the product in the “Rate X Estimated Hours” column. The sum of the “Rate X Estimated Hours” column should be put in the “Grand Total” row.

Section VIII-Bid Response Format

Volume I – Response to RequirementsThis volume must contain all of the section contents listed in Table VIII-1, complete in every detail, except for cost. The inclusion of any cost data in Volume I may result in the rejection of the bidders’ bid.

Requirement

Section 1 – Cover Letter and Bid SignatureThis section includes the bidder cover letter as required in IFB Section VI.

Section 2 – Table of Contents The table of contents must:Identify all major parts of the bid by volume and page number.Identify all tables, figures, charts, and graphs.

Section 3 – Administrative Requirements ResponseThe administrative requirements response must include all the completed forms, exhibits and information requested for each mandatory requirement identified in IFB Section V, including:Workers’ Compensation Certification, Exhibit V-APayee Data Record, STD 204Certificate of Status from California Secretary of StateState of California preference and incentive forms

o TACPA – STD 830 (if applicable)o EZA – STD 831 (if applicable)o LAMBRA – STD 832 (if applicable) o Bidder’s Summary of Contract Activities and Labor Hours – DGS/PD 526 (if applicable)o Manufacturer’s Summary – DGS/PD 525 (if applicable)

DVBE Declarations – STD 843 Bidder Declaration Form GSPD-05-105 (08/09)Small business approval letter (if applicable)Commercially Useful Function Documentation, Exhibit V-D

Section 4 – Bidder Requirements ResponseThe bidder requirements response must include the following completed documents:Exhibit VI-A – Customer Engagement FormExhibit VI-B – Key Personnel Self-Certification – Project Manager (1)Exhibit VI-C – Key Personnel Self-Certification –IT Technical Analyst (3)Exhibit VI-D – Key Personnel Self-Certification – IT Business Systems Analyst (1)

Section 5 – Standard Agreement, STD 213 ITInclude one form with original signature of an individual authorized to bind the firm on the Standard Agreement, STD 213 IT found in IFB Section XI.Do not include the term dates and dollar amounts on the Standard Agreement, STD 213 IT.Fill in the bidder’s name and contact information on the Standard Agreement, STD 213 IT.

Section VIII-Bid Response Format

VOLUME II – COST DATA

Volume II must be in a separately sealed and marked envelope containing completed the cost worksheet from Section VII of this IFB, Exhibit VII-A Personal Services – Cost – Hourly Rate.

Section IX-Evaluation

Evaluation CategoriesMaximum

Score

Administrative Requirements Pass/Fail

Non-Financial Requirements

Bidder’s Experience and Past Performance Pass/Fail

Proposed Key Personnel Experience and Past Performance Pass/Fail

Proposed Key Personnel Experience and Past Performance Requirements (Per Key Personnel Qualifications Certification) 200

Total Non-Financial Requirements Score: 200

Cost

Total Evaluated Cost Amount 200

Total Evaluated Cost Score: 200

TOTAL SCORE: 400

Questions?

Thank You