Third Party Administration of Flexible Spending Accounts

This NOTICE OF INTENT TO AWARD A NON-COMPETITIVE CONTRACT is conducted in accordance with Federal Acquisition Regulations (FAR) 15, and the authority for this non-competitive award is 6.302-1. The exception to full and open competition for this procurement is identified in Federal Acquisition Regulations (FAR) 6.302-1 - Only One Responsible Source and No Other Supplies or Services Will Satisfy Agency Requirements. OPM intends to issue a request for proposal to the incumbent contractor for an interim contract for Flexible Spending Accounts with a resulting contract awarded no later than 23 December 2015. This contract will have a base award period of four (4) months with three (3) one month option periods. THE PURPOSE OF THIS NOTICE IS TO SATISFY THE REQUIREMENTS OF FAR SUBPART 5.2. THIS NOTICE OF INTENT IS NOT A REQUEST FOR COMPETITIVE PROPOSALS. However, all responsible parties who identify their interest and capability to satisfy this requirement will be considered. No competitive solicitation will be issued, therefore, any requests for the solicitation will be considered non-responsive. A determination not to compete this action based upon responses received is at the sole discretion of the Government. All interested parties must express their interest and capabilities to fulfill this requirement in writing via e-mail to Barbara Hansen, contact@example.gov within three (3) days of the published date of this notice. Verification of receipt of electronic transmission is the sole responsibility of the contractor. System for Award Management (SAM) registration is required of all OPM contractors prior to execution of award. If no other viable competitive proposals are received, award will be made to ADP Benefit Services KY. DESCRIPTION OF THIS REQUIREMENT BELOW: This procurement is intended to procure third party administration services for the Federal Flexible Spending Accounts Program (FSAFEDS) to allow OPM to continue offering this benefit to Federal employees on an INTERIM basis. A new competitive contract is anticipated to be complete no later than April/May 2016 and will replace this interim contract. The United States Office of Personnel Management (OPM) is the Federal Executive Branch Agency with primary responsibility for the Federal Government's human resources management policy and structure. As part of its basic mission, OPM administers the Civil Service Retirement System, Federal Employees Retirement System, Federal Employees Health Benefits Program, Federal Employees Dental and Vision Insurance Program, Federal Employees' Group Life Insurance Program, and the Federal Long Term Care Insurance Program. OPM also exercises a leadership role in the development of new benefit programs for Federal employees. At the direction of the President, OPM implemented a Health Insurance Premium Conversion Plan in October 2000 for approximately 1.6 million Executive Branch employees. OPM also conducted a study of design and pricing options for implementation of medical and dependent care flexible spending accounts (FSAs) across the Executive Branch. These accounts, also referred to as reimbursement accounts, provide tax advantages authorized under the Internal Revenue Code and are widely used by both private and public employers in the United States. In the years since their development, flexible spending account programs have become an expected benefit that is popular among employees. From the employee's perspective, FSAs offer an attractive opportunity to convert some health care and dependent care expenses from an after-tax expense to a pre-tax expense or to provide for benefits that may not be provided on a pre-tax basis through the employer's benefit program. On benefit attitude surveys for individual employers, the robustness of the employer's health benefit package regularly ranks in the top two or three factors in importance of employee attitudes toward FSAs relative to other benefits. Why is it important for the Federal Government to provide FSAs for likely participants? The demographics of the Federal workforce show that we can anticipate substantial retirements in the next few years. The Federal Government must compete energetically to recruit high-quality workers and to retain gifted and experienced workers. With so many Federal employees eligible to retire by the year 2020, the Government must be able to attract and keep an excellent high performing workforce. Many private and public sector employers have offered FSAs and other pre-tax benefits to their employees for years and now consider health care and dependent care FSAs an integral component in making their benefits packages attractive to both prospective and current employees. Employees who have worked in the private sector or in parts of the public sector have come to expect that FSAs for medical and daycare expenses will be available. The Federal Executive Branch must remain competitive with private employers and state and local governments. Continuing to offer pre-tax spending accounts as a component of the Federal benefits package will help us to recruit and retain the top-performing employees the Government needs. The current contractor for FSAFEDS is ADP Benefit Services KY. Contracting Office Address: 600 Arch Street, Room 3500 Philadelphia, PA 19106 United States Primary Point of Contact: Barbara Hansen Contracting Officer