Data Center Services RFOPre-proposal Conference #1

Texas Department of Information ResourcesTexas Department of Information Resources

April 13, 2006April 13, 2006

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Presented ByBrian Rawson, Service Delivery Director

Cindy Reed, Service Delivery Deputy Director

Kim Weatherford, Statewide Technology Operations Director

Shaun Daly, Technology Partners International

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AgendaIntroductions

Meeting Objectives

Key Dates and Activities (RFO Instructions Part 2)

Logistics HUB Subcontracting Plan (RFO Appendix J) Question and Answer Process (RFO Instructions Part 2) Data Room Overview (RFO Instructions Part 2)

Key Technical Deliverables Technical Solution, Transition Plan, and Transformation Plan (RFO

Instructions Part 4) Due Diligence Plan (RFO Instructions Part 2 and Addendum 2)

Pricing Structure (RFO Exhibit 4-A)

Master Services Agreement (MSA)

Evaluation Criteria and Protocol (RFO Instructions Part 3)

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Meeting objectivesClarification of RFO key points

Focus attention on critical areas

Provide input to help bidders develop questions No questions will be taken today

Review of answers to procurement logistics

Cindy ReedService Delivery Deputy Director

RFO Schedule and Procurement ProcessRFO Schedule and Procurement Process

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Key Dates and Activities

Due DiligenceAugust 28 – October 6

Contract ExecutionDec

Proposals DueMay 31

Data Center Services RFO ReleasedMarch 31

Pre-proposal Conference 1April 13

Master Services Agreement ReleasedApril 7

Pre-proposal Conference 2May 5

Data Room AvailableApril 18 – May 25

Question and Answer PeriodApril 10 – May 12

Service Provider Clarification SessionsJune 22 – June 30

Down SelectAugust 18

Proposal Clarifications DueOctober 13

Contract Begins

March 31

Amended Proposals SubmittedJuly 10 – 17

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HUB Subcontracting Plan (HSP)DIR has determined that subcontracting opportunities are probable under this contract

Therefore, respondents must make a Good Faith Effort to utilize Historically Underutilized Businesses (HUBs)

Responses submitted without a HSP will be rejected

All respondents are required to submit a HSP (including HUBs)

If not subcontracting, the HSP must include a written explanation of how the company intends to perform the entire scope of the contract with its own resources

The HSP form includes specific instructions for meeting the Good Faith Effort requirements

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HSP Key PointsThese HUB requirements are commonly missed.

All respondents must

Notify three (3) or more Texas Building Procurement Commission (TBPC) certified HUBs for EACH subcontracting opportunity identified

Provide notice of subcontracting opportunities to at least one (1) minority or women trade organization or development center

Provide notification of subcontracting opportunities no less than five (5) working days prior to the submission of your response to the RFO

DIR encourages all respondents to seek HUB subcontractors and maximize HUB participation in their proposals.

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Submitting Questions (April 10 – May 12)Download the question form (http://www.dir.state.tx.us/datacenter/vendor/rfoDocuments.htm)

Select one Primary Contact per company to submit questions, provide clarification if needed, and receive answers (preferably one Primary Contact per bid team)

Complete the form with one or more questions (yellow shaded area below)

Email question forms to the DIR RFO Point of Contact (bill.miller@dir.state.tx.us)

What does Server mean in Cell E2.3-22?ServersExhibit 2.3E2.3-22

ABC001

Cross-Reference to Posted Answer #

QuestionCategory/DocumentLocation/Cell Reference

Service Provider Acronym/Unique Question Number

EXAMPLE

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Receiving Answers (April 18 – May 19)Public Questions and answers will be posted to the DIR Website

each Tuesday and Thursday (http://www.dir.state.tx.us/datacenter/vendor/rfoDocuments.htm)

Questions and answers will be posted anonymously, without reference to submitting company or team

Private DIR will email the each Primary Contact their questions with

cross reference to posted answers, as shown below

3What does Server mean in Cell E2.3-22?ServersExhibit 2.3

ABC001

Cross-Reference to Posted Answer #

QuestionCategory/DocumentLocation/Cell Reference

Service Provider Acronym/Unique Question Number

EXAMPLE

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Data RoomThe Data Room will be open from April 18 through May 25 Tuesday through Thursday 8:00 – 11:00 AM and 1:00 – 4:00 PM

Scheduling an appointment Submit attendees names/titles and requested dates/times to

DIR RFO Point of Contact The DIR RFO Point of Contact will confirm appointments Due to space constraints, a maximum of 4 people can be in

the Data Room at any given time

Rules DIR will schedule appointments to ensure equitable access

for all bidders Service providers cannot copy materials or remove them

from the Data Room

Kim WeatherfordStatewide Technology Operations

Director

Key Technical DeliverablesKey Technical Deliverables

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Technical SolutionThe Technical Solution describes the overall strategy for meeting the state’s technical requirements

The Technical Solution needs to

Explain how the solution meets the state’s overall objectives, service objectives, and sourcing objectives

Align with specific responses to the technical requirements

Describe the proposed data center system Use of the State Data Center in San Angelo

Use of other proposed facilities (State or Service Providers)

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Transition PlanThe Transition Plan describes the schedule for turnover of assets and resources.

The Transition Plan needs to address:

Pre-commencement planning and activities

Post-commencement activities to complete transition

Activities required at the program office level (service provider)

Considerations at the individual agency level

Key milestones to meet initial service objectives (employee transition, portal development, agency billing requirements, etc.)

Timing and dependencies

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Transformation PlanThe Transformation Plan describes the strategy for consolidation.

The Transformation Plan should address

Implementation of processes, tools and methodology to meet the state’s desired service levels and disaster recovery requirements

Planning for consolidation to proposed facilities

Upgrades to data center facilities

Agency migrations to the enterprise solution

Implementation of standardized processes for all agencies and future customers

Timing and dependencies

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Due DiligenceDue Diligence Plan should

Include those activities which will allow you to stand behind your solution without assumptions/reservations

Provide sufficient detail so DIR can understand state resource commitments

Be designed to minimize disruption to normal operations and personnel

The proposed plan needs to be reasonable

Concentrate on complex and/or unique requirements

Focus on eliminating assumptions and risk (no general questions)

Balance face to face interviews with surveys or other vehicles for gathering data

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Due Diligence, continuedAll service provider representatives will require escorts for any visits to requested sites

Any request for information (interviews, surveys, or questionnaires) needs to be concise and relevant for the RFO and submitted in advance for review and approval by DIR

Due diligence must be conducted during the established time frame No post contract due diligence

Shaun DalyTechnology Partners International

Pricing and FinancialsPricing and Financials

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Pricing StructureBid Guidelines

Pricing should be on a consolidated enterprise basis; not on an individual DIR Customer basis

Exhibit 4 – use track changes to mark changes

Pricing should include Initial stub period (4/07 – 8/07)

The subsequent 7 fiscal year periods

Optional 3 year pricing at the end of term

Compliant Bid (required)Complete Attachment 4-A

Price complete scope of work

Alternative Bids (optional)Price alternative scope of work

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Pricing Structure, continuedPricing should align with the resource baselines provided in Attachment 4-D (Resource Baselines); however, service providers should project contractually guaranteed consolidations and reflect these in 4-D and 4-A Base Charges.

One-time Charges

Like other charges, provide on an “As incurred,” un-engineered basis

Project how one-time charges would be allocated over the term (including finance charges and interest rate) on summary fees tab

Cindy ReedService Delivery Deputy Director

MSA and Evaluation ProcessMSA and Evaluation Process

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Master Services Agreement ExpectationsAccept the Agreement substantially in the form written

Review Agreement with everyone whose authorization or approval may be required prior to submitting response

Follow MSA instructions for any changes

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Evaluation CriteriaEvaluation criteria

Quality of Service (technical) 30%Business Relationship Terms 20%Terms and Conditions 10%Financial 30%Human Resources Solution 10%

100%

Important considerations

Understanding of agency requirements

Quality, integrity, and completeness of response

Acceptance of terms and conditions

Early savings and savings over the term of the contract

Data centers located in Texas; services in U.S.

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Evaluation ProcessAgency personnel, including business leaders, from the 27 participating agencies comprise the evaluation team

DIR will participate and facilitate

The state CTO will make the final decision

Service providers cannot communicate about the RFO with any evaluation team members

Data Center Services

Financial

Analysis

Human

Resources

Terms &

Conditions

Technical

Solution

Executive

Advisory Panel

Evaluation Team Structure

CTO

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Key Milestones for Service ProvidersNext pre-proposal conference May 5

Last day to submit questions May 12 (4:00 p.m.)

Proposals Due May 31

Clarification Sessions June 22 – June 30

Due Diligence August 28 – October 6

Contract Execution December 15

Contract Commencement March 31 (midnight)