Risk Management Analysis COVID-19 Services Requirement

THIS IS A SOURCES SOUGHT NOTICE ONLY. This is not a request for offers, quotes or proposals. This notice does not represent a commitment by the Government to issue a solicitation or award a contract. This is a market research tool only to determine the capability of potential sources. The Department of Housing and Urban Development (HUD) is contemplating establishing a contract under NAICS Code(s) 541611, Administrative Management and General Management Consulting Services and the Small Business Standard is $16.5M, PSC Code R408, for Risk Management Analysis COVID-19 Services and is issuing this Request For Information (RFI) in order to solicit responses from capable sources and capability statements to ensure sufficient competition exists to meet the government's requirements. Teaming arrangements and joint ventures will be considered for any subsequent procurement based on the Government's market research. Please review the performance work statement (PWS), and provide feedback, if there are questions, email contract specialist, Robert Caldwell at: robert.e.caldwell@hud.gov with subject line: Question- Risk Management Analysis COVD-19 Services. So, what exactly is HUD contemplating acquiring? The Department of Housing and Urban Development (HUD), Office of Healthcare Programs (OHP) requires contractor support to analyze the hospital portfolio and provide comprehensive financial risk management services. Since the beginning of the COVID-19 pandemic, the Office of Hospital Facilities (OHF) has and continues to receive more asset management requests than ever before in its program history. The types of the requests vary and include releases of collateral, releases of reserve accounts, emergency debt incurrence, and emergency renovations - all directly related to COVID-19. The types of requests received often have major credit implications and require extremely short turnaround times. In the absence of analytic resources, it is difficult for OHF to assess the overall credit impact these decisions are having on individual borrowers and/or the portfolio as a whole. Amidst the backdrop of a global pandemic and the velocity and significance of the requests OHF is receiving, without adequate risk assessment resources, it is nearly impossible to predict and track in real time the hospitals that are headed for liquidity crises. The Office of Healthcare Programs requires risk management analysis service to meet the needs of our hospitals and identify credit risks attributable the COVID-19 emergency. BACKGROUND The Office of Hospital Facilities (OHF) insures nearly 100 hospital mortgages with an unpaid principal balance of almost $6.0 billion. For each hospital in the application pipeline and in the portfolio, OHF assigns an Account Executive, a HUD staff member who is the hospitals principal point of contact in the program and who is responsible for knowing the hospital in detail, providing client service to the hospital, and evaluating the financial and operational performance of the hospital. However, the current method of assessing risk has limitations that prevents effective dashboard reporting for risk data on a portfolio-wide and by borrow basis, thus making effective risk mitigation measures difficult to implement and monitor. DEFINITIONS None. GENERAL DESCRIPTION OF WORK OHP requires additional risk management services and business risk tools to enhance the underwriting and asset management decision making process for Account Executives. These services and tools will also be useful for the Office of Risk Management to ensure that all facilities are of acceptable risk, and to monitor the entire portfolio of OHP exposures at HUD using a single platform, replacing multiple platforms currently in use. The Contractor shall be required to furnish all the necessary services, qualified personnel, materials, equipment, not otherwise provided by the Government. Services and capabilities include: Financial Statement Spreading Financial Modeling Portfolio Risk Analysis and Monitoring Database Maintenance Training and Support Custom Ad Hoc Analysis and Reports Specifically, the Contractor shall provide a risk management analysis tool. The Contractor's tool should be able to do the following: Collect Administrative, Financial and Utilization Data Provide the capability to create, edit, and delete hospital administrative, financial, and utilization information. Import existing historical data. Facilitate and support ongoing data entry from Account Executives. Minimize data entry errors. Update database data in real-time. Analyze and Report Quarterly and Annual Financial and Utilization Data Develop hospital industry-specific probability of default analysis and hospital industry-specific shadow ratings. (Critical Function) Provide database search capabilities. Spread hospital financial and non-financial data (balance sheet, profit/loss statements, ratios, cash flows, and utilization statistics). Build and model financial projections. Model financial statement data for underwriting new deals and managing existing credits. Model and analyze UCA Cash Flow for both historical data and future projections. Benchmark performance to comparable hospitals and regions. Develop risk rating analysis on individual obligors and portfolio. Run multiple projection scenarios (i.e. feasibility, budget, Affordable Care Act impact, etc.) and perform sensitivity analysis based on changing economic and legislative issues. Allow the creation and analysis of "family entities based on parent, subsidiary, holding companies, etc. Provide System Administration and Data Maintenance Maintain analytic tools and databases Provide flexible data storage capabilities. Ensure system scalability to accommodate any potential future program or user growth. Export financial data to HUDs Online Property Integrated Information Suite (OPIIS) to manage individual financial information on borrowers, counterparty risk and the portfolio consistent with Multi-Family and Assisted Living programs. Ensure system compatibility with business intelligence software used at HUD such as Oracle and SAS. Provide security and technical controls outside of HUDs firewall. It is expected that 75 HUD employees in multiple geographic locations will access the tools. Possess the flexibility to possibly manage the future data requirements of the Office of Residential Care Facilities (Section 232). Train and Support Account Executives, OHP Management, and Other HUD Users The Contractor shall prepare training materials and will provide initial staff-led training for Account Executives, OHF management and other HUD users via a variety of classroom, electronic, and self-study techniques. The Contractor shall develop and maintain efficient and effective methods for providing ongoing guidance, training, and support to Account Executives, OHP management, and other HUD users. Fulfill Data Request and Conduct Special Analysis The Contractor shall conduct ad hoc special analyses upon request of the project manager, using annual financial statement data, program data, and other available data sources to (a) improve OHF underwriting, asset management, resource management, or portfolio analysis, and/or to (b) improve methods for analyzing these activities. CONTEMPLATED REPORT REQUIREMENTS Adhoc/TBD CONTEMPLATED MAGNITUDE OF THE PROJECT $2 to 3 million CONTEMPLATED PLACE OF PERFORMANCE Performance will be at contractor's location RESPONSE REQUESTED Small Businesses are encouraged to respond. This synopsis is a market research tool being used to determine the availability and capability of potential sources prior to determining the method of acquisition and whether the government will proceed with this acquisition. The Government will not pay for any information solicited. If a contract is ultimately pursued, responses to this synopsis will be used to aid in determining whether the acquisition is set-aside for small business or in establishing small business subcontracting goals. All qualified firms are encouraged to respond. The capability statement shall address, at a minimum, the following for the past three years: Name and address of company and or companies (if there is a teaming arrangement or joint venture); Technical expertise relevant to the requirement; Technical approach relevant of the requirement (1 to 2 paragraphs); Management approach relevant to the requirement (1 to 2 paragraph); Corporate experience relevant to the requirement (1 to 2 paragraph); Indicate if you are a small business or any other socio-economic categories that apply to your firm under the designated NAICS code; Whether you have had unequal access to any information relevant to the acquisition that could provide an unfair competitive advantage; Relevant past performance. Your capability statement needs to include a list of three customers (Government/non-Government) within the past three (3) years highlighting similar work in nature, scope, complexity, and difficulty and a brief description of the scope of work. Your submission for relevant past performance must include for each customer: Contract name; Contracting Agency or Department, POC and contact information; Yearly contract value (in $$); Whether your firm was the prime or a subcontractor; Period of performance; Description of work and how it relates to the requirements. Interested firms responding to this market survey must provide a capability statement demonstrating their experience, skills and capability to fulfill the Governments requirements for the above. The capability statement shall be in sufficient enough detail, but not exceed 5 pages TOTAL, so that the Government can determine the experience and capability of your firm to provide the requirements above. Please specify one primary and one alternate Point of Contact (POC) within your firm, including telephone numbers and email addresses in case clarifications of your submission are needed. Only electronic copies of capability statements will be accepted and should be emailed to: robert.e.caldwell@hud.gov. The e-mail shall contain the following subject line: Response to Sources Sought Notice - Risk Management Analysis COVID-19 Services Requirement. The Government may use the responses received to determine whether to proceed with the acquisition as a set-aside, or in the absence of a least two small business responses to this notice, may determine to proceed with a full and open competition. This decision and whether to proceed with the acquisition is at the sole discretion of the Government. All interested contractors should submit their capability statements by 8:00 a.m. on Wednesday, June 10, 2020 attention POC: Contract Specialist: Robert Caldwell. Late responses will not be considered.