RFP 12-66, Core MMIS Pre-Proposal Conference

1. RFP 12-66, Core MMIS Pre-Proposal Conference January 25, 2012 Molly Martin, Dept. of Administration FSSA Sr. Account Manager

2. Agenda • General Information • Overview of RFP • Proposal Preparation & Evaluation • Key Dates • Minority and Women’s Business Enterprises • Question and Answer Session • Proposal Details & Scope of RFP • Question and Answer Session

3. General Information • Sign-In Sheet for Attendees • Sign-In Sheet and PowerPoint will be posted on State’s Solicitation Website • Hold questions until the end of the presentation • Any verbal response is not considered binding; respondents are encouraged to submit any question formally in writing if it affects the proposal that will be submitted to the state.

4. Overview The purpose of this RFP is to select a vendor that can satisfy the State’s need for a Core MMIS solution for the Office of Medicaid Policy and Planning (OMPP). The Core MMIS is part of the Indiana Enterprise Medicaid System (EMS). The State’s Enterprise Medicaid System (EMS) is comprised of its Pharmacy Benefit Management solution (PBM), Data Warehouse/Decision Support System/Business Intelligence solution (DW/DSS/BI), Care and Case Management Solution (Integrated Case Management System – ICMS) and the Core MMIS Solution. The PBM, DW/DSS/BI and ICMS solutions are being acquired through separate procurements.

5. Overview The three components, which comprise the Core MMIS, included in the scope of the RFP are: • Core Systems and Services • Cost Avoidance • Customer Relationship Management (CRM)

6. Proposal Preparation • The state expects respondents to provide cost effective, creative solutions when submitting proposals. • Business & Technical Proposal Contents • A cost proposal template has been provided; please return back in Excel format. • Buy Indiana Preference, 5 definitions • Status shall be finalized by proposal due date. • Attachment C, Indiana Economic Impact • Definition of FTE (Full-Time Equivalent).

7. Proposal Evaluation Summary of Evaluation Criteria: 1. Adherence to Mandatory Requirements • Pass/Fail 2. Management Assessment/Quality (Business & Technical) • 40 points 3. Cost (Cost Proposal) • 15 points 4. Indiana Economic Impact • 15 points 5. Buy Indiana • 10 points 6. Minority (10) and Women Business (10) • Subcontractor Commitment 20 points * 100 Total Points (102 if bonus awarded)

8. Key Dates • Written Questions Due: February 14 • Responses to Questions: March 13 • Proposal Due Date: May 31 • Tentative Award Date: TBD

9. Minority & Women’s BusinessEnterprises Charles Hill, MWBE Division • Contact Information - Email: chahill@idoa.in.gov or Phone: 317-233-0545 • Complete Attachment A, MWBE Form - Include sub-contractor letters of commitment • Goals for Proposal - 8% Minority Business Enterprise - 8% Women’s Business Enterprise

11. Minority & Women’s BusinessEnterprises Prime Contractors must ensure that the proposed subcontractors meet the following criteria: • Must be listed on the IDOA Directory of Certified Firms • Each firm may only serve as once classification – MBE or WBE • A Prime Contractor who is an MBE or WBE must meet subcontractor goals by using other listed certified firms. Certified Prime Contractors cannot count their own workforce or companies to meet this requirement. • Must serve a commercially useful function. The firm must serve a value-added purpose on the engagement. • Must provide goods or service only in the industry area for which it is certified as listed in the directory at http://www.in.gov/idoa/2352.htm • Must be used to provide the goods or services specific to the contract • National Corporate Diversity Plans are generally not acceptable

13. Minority and Women’s Business Enterprises TOTAL BID AMOUNT:

14. Minority & Women’s BusinessEnterprises • Effective April, 2011, a new MWBE scoring methodology will be utilized for all RFP’s released • New Process – MWBE scoring is conducted based on 20 points plus a possible 2 bonus points scale - MBE: Possible 10 points + 1 bonus point - WBE: Possible 10 points + 1 bonus Point • Professional Services Scoring Methodology: - The points will be awarded on the following schedule: - Fractional percentages will be rounded up or down to the nearest whole percentage - Submissions of 0% participation will result in a deduction of 1 point in each category - The highest submission which exceeds the goal in each category will receive 11 points (10 points plus 1 bonus point). In case of a tie both firms will receive 11 points

15. Minority & Women’s BusinessEnterprises

16. Additional Information IDOA PROCUREMENT LINKS AND NUMBERS http://www.in.gov/idoa/2354.htm 1-877-77BUYIN (8946) For Vendor Registration Questions http://www.in.gov/idoa/2464.htm For Inquiries Regarding Substantial Indiana Economic Impact • http://www.in.gov/idoa/2467.htm Link to the developing “one stop shop” for vendor registry with IDOA and Secretary of State. B. Secretary of State of Indiana: Can be reached at (317) 232-6576 for registration assistance. www.in.gov/sos C. See Vendor Handbook: Online version available at http://www.in.gov/idoa/files/vendor_handbook.doc • Minority and Women Owned Business Enterprises: http://www.in.gov/idoa/files/Certification_List(48).xls for table of IDOA certified MBEs and WBEs. For more WBE’s information http://www.in.gov/idoa/2352.htm E. RFP posting and updates: Go to http://www.in.gov/idoa/2354.htm (select “State of Indiana Opportunities” link) Drag through table until you find desired RFP/RFI number on left-hand side and click the link.

17. Questions & Answers

18. Performance Incentive Pools The State will institute a performance incentive pool for vendor performance. Twenty percent (20%) of each Design, Development and Implementation (DDI) activity invoice amount will be allocated to the vendor DDI performance incentive pool. This portion will be earned based on the vendor’s performance throughout the contract period.

19. Design, Development and Implementation (DDI) Reimbursement During the DDI Phase, upon approval by a designated State representative, the State will reimburse the vendor after the successful completion of each DDI Activity, according to the following payment schedule, less 20% for the performance incentive pool. DDI Payment Schedule

20. DDI Performance Incentive Pool Deductions The State will continually assess the performance of the vendor throughout the DDI phase. The Enterprise Medicaid System (EMS) Project Management Office will monitor progress of the vendor to gauge successful completion of the project. If the EMS PMO identifies deficiencies in vendor project activities that negatively impact the likelihood of meeting a key milestone, the EMS PMO will recommend deduction of funds from the vendor’s performance incentive pool. Deduction reasons and amounts are included in Table 10. Table 10 - DDI Performance Incentive Pool Deduction Schedule

21. Performance Incentive Pool Deductions The State will monitor performance in relation to the Key Performance Measures identified In the RFP. Key Performance Measures have been assigned a numeric impact severity level number. If the vendor fails to meet a Key Performance Measure, the vendor will deduct the appropriate funds from the vendor’s performance incentive pool quarterly claim according to the schedule below. The State may, at its sole discretion, waive a deduction for extenuating circumstances.

22. O & M Performance Incentive Pool Deductions Deductions in performance incentive pool payments are not damages and do not preclude the State from assessing state incurred actual damages resulting from vendor’s deficiencies in performance. . Table 12 - O & M Performance Incentive Pool Deductions

23. O & M Monthly Withheld Amount Ten percent (10%) of each O & M monthly invoice will be withheld and shall be denominated as the “Monthly Withheld Amount.” The State will determine, within 30 days of the date of invoice receipt, whether or not the vendor has fully complied with the requirements and responsibilities appropriate for the month invoiced. If, in the sole judgment of the State, requirements and responsibilities have been met, the State will release the Monthly Withheld Amount for payment. For each month requirements or responsibilities have not been met, the State may reduce the Monthly Withheld Amount payable to the Vendor by a sum deemed appropriate by the State. Additionally, the remaining Monthly Withheld Amount will be retained by the State until a corresponding number of months of satisfactory compliance have been achieved.

24. Application Architecture The State and the Indiana Office of Technology (IOT) have a strong preference for solutions which are based upon Service Oriented Architecture (SOA) and commercial-off-the-shelf (COTS) products integrated via an enterprise Service Bus (ESB) platform. This architecture vision involves a SOA framework comprised of business and technical services that are either custom developed or procured as commercial off-the-shelf (COTS), with the intent of promoting SOA in the organization to build loosely coupled services that improve interoperability and support a “plug-and-play” design.

25. Proposal Volumes A responsive proposal should include seven (7) volumes with separate sections and labeled tabs presented in the order presented below. • Volume 1 – Business Proposal – Maximum 50 pages • Volume 2 – Technical Response (Foundation) - Maximum 150 pages • Volume 3 – Technical Response (Functions) - Maximum 100 pages • Volume 4 – Technical Response (Business Processes) - Maximum 350 pages • Volume 5 – Technical Response Attachments • Volume 6 – Work Samples • Volume 7 – Cost Proposal (under separate cover)

26. References Include a list of all clients for whom the Respondent and its subcontractors have provided products and/or services similar in scope to the services requested through this RFP, that were either initiated, are ongoing, or were completed between 2008 and 2011. Include public sector and relevant private sector clients, (e.g., health maintenance organizations, health insurance organizations) meeting the above criteria.

27. Reference Information In addition to project descriptions and client reference contact information, the following information is to be provided for the Respondent and its subcontractors: • Contract terminations prior to original agreement expiration date • Client, client reason for termination, date of termination, services terminated • Negative Audit Findings • Client, description of audit failure, Vendor financial payment resulting from finding • Corrective Action Plans requested by clients • Client, reason for Corrective Action Plan request, description of corrective action

28. Font Preferences Proposals must utilize the following font preferences: • Preferred Font Styles: Arial, Times New Roman, Calibri or Cambria • Preferred Font Size: 12 point font for narrative; no less than 10 point font for tables and figures • Preferred Spacing: No less than 6 point

29. Approach to SDLC First Six Phases Respondent must describe its proposed approach to each phase of the SDLC from Project Planning, through Installation and Acceptance. NOTE WELL: The traditional “waterfall” SDLC model presented in the RFP exemplifies the discipline required for successful completion of a project. As enumerated in the CMS Enhanced Funding Requirements: Seven Conditions and Standards Medicaid IT Supplement (MITS-11-01-v1.0), other methodologies, including, but not limited to, Rapid Application Development (RAD); Spiral Approach; Unified Process or Rational Unified Process (RUP); and Agile Development, may be preferred by the Respondent. If such alternate methodologies are proposed, Respondents must describe the benefits and risks of the proposed methodology and explain how the corresponding “waterfall” development concepts will be addressed in the proposed methodology.

30. Detailed Work Plan The Respondent’s detailed work plan should match the information provided in Cost Schedule B-2: Monthly Design, Development & Implementation Staff Loading and Prices by Task - Schedule B-2, however, without any costs, rates or prices. • Task and activity descriptions. Deliverables must be easily identifiable within task and subtask descriptions • Estimated number of State and Vendor staff hours, identified by levels and types, totaled for each task • Gantt charts showing planned start and end dates of all tasks and major milestones and deliverables, including time frames for the State's review and approval of all deliverables and other material artifacts

31. CMS Conditions & Standards The first portion of this section must address the CMS Enhanced Funding Requirements: Seven Conditions and Standards Medicaid IT Supplement (MITS-11-01-v1.0). Specifically the following Supplement sections: • Modularity Standard • MITA Condition • Industry Standards Condition • Leverage Condition • Business Results Condition • Reporting Condition • Interoperability Condition

32. CMS Conditions & Standards The State is especially interested in evaluating the use of COTS, the functions within the solution which are already configurable and which will become configurable at deployment in Indiana. The structure of this section of the proposal must follow the sequence of the CMS Medicaid IT Supplement sections above. It may reference other Respondent proposal sections, rather than repeating such information. It should include graphical representations which will aid the evaluation team in discerning the level to which the Respondent’s solution meets or will be changed to meet the aforementioned Seven Conditions.

33. Business Process Requirements Volume 4 - MMIS Business Process Requirements Response (RFP Section 6) Note: Volume 4 must not exceed 350 pages. The outline for this portion of the proposal must present a section for each business Process within each business area. For each business process, the Respondent must present a narrative that follows the instructions set forth under Business Area Narrative Response Requirements below. The Respondent must describe its approach to meeting the requirements and key performance measures for each business process within each business area. No need to repeat every requirement

34. Bidder Questions & Answers The following will not count toward page limits and can be included in Volume 5 – Technical Response Attachment: • MWBE Subcontractor Commitment Form (Attachment A) • Indiana Economic Impact Form (Attachment C) • Resumes and Organization Charts

35. Bidder Questions & Answers The following will not count against the page limitations: • Authorizing document (referenced in RFP Section 2.3.7) • Executed subcontracts or letters of agreement • Corporate financials

36. Hard Copy Not Required The following may be provided in CD form and do not need to be provided in hard copy form: • Detailed Work Plan • Work samples • Including Operations Manuals and documents supporting Work Samples

37. Questions & Answers