R -- MODIFICATION OF CREDIT RISK ASSESSMENT FRAMEWORK FOR THE RAILROAD REHABILITATION AND IMPROVEMENT FINANCING PROGRAM

Notice Date

August 29, 2001

Contracting Office

Department of Transportation, Federal Railroad Administration (FRA), Office of Acquisition and Grants Services, 1120 Vermont Avenue, NW Mail Stop 50, Washington, DC, 20590

ZIP Code

20590

Solicitation Number

DTFR53-01-R-00051

Response Due

September 14, 2001

Point of Contact

Thomas Riddle, Contracting Officer, Phone (202) 493-6149, Fax (202) 493-6171, Email tom.riddle@fra.dot.gov -- Illona Williams, Contracting Officer, Phone (202) 493-6130, Fax (202) 493-6171, Email illona.williams@fra.dot.gov

Description

This notice of proposed contract action (synopsis) is issued pursuant to Federal Acquisition Regulation (FAR) 5.101(a)(1) and 5.201(b)(1). The Federal Railroad Administration (FRA) intends to negotiate a one-year base period contract with four (4) additional one-year option periods, for services directed at modifying and supporting the Credit Risk Assessment Framework for the Railroad Rehabilitation and Improvement Financing Program. The Transportation Equity Act for the 21st Century established a new program of credit assistance, the Railroad Rehabilitation and Improvement Financing (RRIF) Program. Under this Program, loans and loan guarantees are available to acquire, improve, or rehabilitate intermodal or rail equipment or facilities, including track, components of track, bridges, yards, buildings and shops, to refinance existing debt incurred for the previous purposes, and to develop or establish new intermodal or railroad facilities. Eligible applicants include States, local governments, government sponsored authorities, and corporations, Amtrak and freight railroads. There is a statutory maximum amount of outstanding unpaid principal at any point in time of $3.5 billion. Of this, $1 billion is reserved for projects primarily benefitting shortline and regional railroads. Unlike other Federal credit programs, the RRIF Program does not need an appropriation to cover the estimated long-term cost to the Government of a loan or loan guarantee, provided that a non-Federal entity makes a cash payment, called a Credit Risk Premium, that covers the risk of the transaction. A contractor previously has developed for FRA a Credit Risk Assessment Framework to calculate the amount of the Credit Risk Premium needed to cover the risk of a RRIF transaction. The purpose of the proposed contracting action is to modify the Credit Risk Assessment Framework based on actual applications for assistance and to provide support for the RRIF Program. The successful offeror will be responsible for performing services in the following four primary task categories: Task 1: Updating the Credit Risk Assessment Framework; Task 2: Inputting Actual Applicant Data and Calculating Preliminary Credit Risk Premiums; Task 3: Developing Loan Analysis and Surveillance Procedures; and Task 4: Training, Technical Presentations and Ongoing Assistance. The FRA has determined that the Credit Risk Assessment Framework and the support services being synopsized and subsequently solicited are commercial items, as defined in FAR Part 2 -- Definitions of Words and Terms. As such, the policies and procedures for solicitation, evaluation and award prescribed in FAR Part 12 -- Acquisition of Commercial Items; FAR Part 13 -- Simplified Acquisition Procedures; and FAR Part 15 -- Contracting by Negotiation, as appropriate, will be used in acquiring the needed services in support of the FRA, Office of Railroad Development, Freight Programs Office. In keeping with FAR Part 12, any resulting contract that is to be awarded may only be awarded on Firm-Fixed-Price (FFP) basis, as use of any other contract type to acquire commercial items is prohibited. For this proposed contract action, as authorized under FAR 12.204 (b), consistent with the requirements at FAR 5.203 (a), the contracting officer will allow fewer than 15 days before issuance of the solicitation. As of the release of this notice, it is anticipated that on or about September 2, 2001, the subject solicitation will be issued (i.e., made available) in electronic media and posted to the Federal Business Opportunities (FedBizOpps) website (formerly known as the Electronic Posting System (EPS)). Once posted, the solicitation may be download or printed from the following Internet address: http://www.fedbizopps.gov/ (the same site is also accessible/co-located at http://www.eps.gov). The FRA does not intend to make the solicitation available in hard copy. (Note: The anticipated solicitation release date is a target date and is provided for information purposes only. The actual date of posting at FedBizOpps may be before or after that date.) For this proposed contract action, as authorized under FAR 12.205 (c), consistent with the requirements at FAR 5.203 (b), the contracting officer will allow fewer than 30 days response time for receipt of offers for commercial items. As of the release of this notice, it is anticipated that the closing date for receipt of offers for the subject solicitation will be on or about September 14, 2001. (Note: The anticipated solicitation closing date is a target date and is provided for information purposes only. The RFP, and the RFP alone, shall establish and specify the closing or due date for receipt of offers.) This is an unrestricted, competitive procurement. All eligible, responsible sources may submit a proposal which shall be considered by the Agency. ATTENTION: The Department of Transportation (DOT), Short-Term Lending Program (STLP) offers working capital financing in the form of lines of credit to finance accounts receivable for transportation related contracts. Maximum line of credit is $500,000 with interest at the prime rate. For further information, call (800) 532-1169. Internet address: http://osdbuweb.dot.gov=20

Web Link

Visit this URL for the latest information about this (http://www.eps.gov/spg/DOT/FRA/OAGS/DTFR53-01-R-00051/listing.html)

Record

Loren Data Corp. 20010831/RSOL023.HTM (D-241 SN50W2E1)