• Consumers


  • Producers/Agents


  • Companies


Notice of Request for Proposals

for Lockbox Banking Services

Contact: Reyn Norman, General Counsel



3/15/2006

[Notice revised April 5, 2006]

The Alabama Department of Insurance (DOI) hereby gives notice of the issuance of a Request for Proposals (RFP) for qualified respondents to provide the DOI with professional Lockbox Banking Services.

A contract is contemplated to be awarded for the term July 1, 2006, through June 30, 2008.

Responses to the RFP must be received not later than April 14, 2006, at 3:00 PM CDT. Each response should be made up of three individual files, as follows: The RFP, the exhibits to the RFP, and a Disclosure Statement. All three documents must accompany any response.

Additional information is set forth in the attached documents, each accessible in either Word or Adobe format, as indicated:

  • RFP for Professional Lockbox Banking Services: Word | Adobe

    All exhibits:

    • Exhibit A, Form Contract for Lockbox Services: Adobe
    • Exhibit B, Lockbox Questionnaire: Word | Adobe
    • Exhibit C-1, Lockbox 691 Processing Specifications: Adobe
    • Exhibit C-1, Forms, Part 1A: Adobe
    • Exhibit C-1, Forms, Part 1B: Adobe
    • Exhibit C-1, Forms, Part 1C: Adobe
    • Exhibit C-1, Forms, Part 2A: Adobe
    • Exhibit C-1, Forms, Part 2B: Adobe
    • Exhibit C-1, Forms, Part 3A: Adobe
    • Exhibit C-1, Forms, Part 3B: Adobe
    • Exhibit C-1, Forms, Part 4A: Adobe
    • Exhibit C-1, Forms, Part 4B: Adobe
    • Exhibit C-1, Forms, Part 5: Adobe
    • Exhibit C-1, Forms, Part 6: Adobe
    • Exhibit C-1, Forms, Part 7: Adobe
    • Exhibit C-2, Lockbox 707 Processing Specifications: Adobe
    • Exhibit C-2, Forms: Adobe
    • Exhibit C-3, Lockbox 704 Processing Specifications: Adobe
    • Exhibit C-3, Forms, Part 1: Adobe
    • Exhibit C-3, Forms, Part 2: Adobe
    • Exhibit C-4, Lockbox 720 Processing Specifications: Adobe
    • Exhibit C-4, Forms: Adobe
    • Exhibit C-5, Lockbox 922 Processing Specifications: Adobe
    • Exhibit C-5, Forms: Adobe

    Please note: A copy of the RFP and Exhibit B (questionnaire) is included in Adobe format with all other files. The additional copy of the RFP and Exhibit B in Word format is included for ease of responding to the RFP and the questionnaire. Responses do not need to change any of the other documents but must include a copy with the proposal.

The Disclosure Statement can be accessed from the Attorney General’s web site at http://www.ago.state.al.us/ag_items.cfm?Item=70

For the procedures and forms for foreign corporations to qualify to do business in the State of Alabama, please visit the web page for the Alabama Secretary of State at http://www.sos.state.al.us/. The direct link to the page regarding foreign corporations is http://www.sos.state.al.us/business/forqual.htm.

For additional information, please send an E-Mail request to Reyn.Norman@insurance.alabama.gov

REVISIONS TO THIS NEWS RELEASE AND RESPONSES TO QUESTIONS WILL BE POSTED BELOW.

  • Question: Does the PO Box need to be located in the state of AL?

    Answer: Paragraph 2.1.1.2 requires the firm to have a “principal office” in the state of Alabama. While the RFP does not specifically state this, it is anticipated that the lockbox address will also be in the state of Alabama.

  • Question: Does the processing site need to be located within the state of AL?

    Answer: Paragraph 2.1.1.2 requires the firm to have a “principal office” in the state of Alabama. While the RFP does not specifically state this, it is anticipated that the processing site will be at a location within the state of Alabama. Paragraph 3.28 indicates the DOI can require daily delivery of all materials received through the lockbox. Paragraph 7 of Section B of Exhibits C1, C2, C3, C4, and C5 requires overnight delivery of all material to the DOI. The DOI currently requires daily delivery by 10:00 AM of the prior day’s materials.

  • Question: Are the exhibits samples of each remittance type?

    Answer: Yes.

  • Question: Should we include the exhibits in our proposal back to the state?

    Answer: Yes. The entire RFP must be submitted, which includes the exhibits.

  • Question: Will the number of items received vary each month?

    Answer: Yes.

  • Question: Are your collections cyclical?

    Answer: Yes.

  • Question: What % of historical payments came in with a different amount than the amount notated on the tax return?

    Answer: The typical filing will be for the amount on the form. We cannot give a precise percentage or number of time that a different amount will be paid, but it may happen a few times per month.

  • Question: Should all returns be re-deposited or just the NSF or uncollected items?

    Answer: Paragraph 10 in Section B of Exhibit C1, C2, and C5, as well as Paragraph 9 in Section B of Exhibits C3 and C4, call for all returned items to be redeposited one time.

  • Question: For clarification purposes…..We are assuming that there will be the following transmission files/layouts per lockbox:

    • Lockbox 691 = 2 different file layouts (1 for Company and 1 for Licensee). Within this box we could potentially have 14 different forms for the different company types.

      Answer: No. There is only one file layout, with 31 fields. The layouts are shown twice to indicate that only companies will have an NAIC number in the first field. There are 49 different tax forms from which this data is captured.

    • Lockbox 707 = 1 file layout with potentially 4 different forms in which data will be captured from.

      Answer: Yes.

    • Lockbox 704 = 1 file layout with potentially 9 different forms in which data will be captured from.

      Answer: Yes.

    • Lockbox 720 = 2 file layouts with potentially 3 different forms in which data will be captured from.

      Answer: Yes.

    • Lockbox 922 = 1 file layout with potentially 14 different forms.

      Answer: Yes.

  • Question: Would this be a wholesale lockbox?

    Answer: Yes.

  • Question: Is there a standard "coupon" that goes out with each payment, or are the exhibits included examples of what will be mailed in along with payment?

    Answer: The exhibits are exemplars of the forms that will accompany payments.

  • Question: What are the average balances kept with the bank? Are you currently using balances (Earnings Credit) to pay for your services?

    Answer: Please see Paragraph 2.2.2 of RFP. All balances are to be transferred daily.

  • Question: Is DOI solely interested only with the receivables, or should we include any disbursement literature?

    Answer: Only receivables.

  • Question: Would your group be interested in a tour of our lockbox facilities?

    Answer: Not at this point but perhaps in the future.