21st Century Project RFP SCO-22191058 Bidders Conference March 19, 2009

Briefing Topics Housekeeping Welcome and Introductions Opening Remarks Procurement Overview Procurement Goals / Process Procurement Timeline Stage I – Key Components Stage II– Key Components Stage II Contract Questions and Answers – Procurement Overview System Demonstration Procurement Library Overview Closing Remarks Key Action Dates – Stage I

Welcome and Introductions Kayla Dann, DGS Procurement Official 707 Third Street, 2nd Floor (North) West Sacramento, CA 95605 Phone: (916) 375-4381 FAX: (916) 375-4505 E-mail: kayla.dann@dgs.ca.gov DVBE Protests

Welcome and Introductions 21st Century Project Leadership Team Name SCO Title Project Role Jim Lombard Chief Administrative Officer Project Sponsor Dave Dawson Chief Information Officer Project Director Don Scheppmann Chief Personnel/Payroll Services Division Project Executive Cheryl Hotaling 21st Century, Project Manager Project Manager Susan Bolin 21st Century, Manager Project Planning Office Natalie Clohossey Organizational Change Management Dennis Duarte 21st Century, Chief Business Operations Russ Nichols Technical Operations Andrew Koenigsberg 21st Century, Consultant Project Advisor Lowell Magee

Opening Remarks Jim Lombard SCO Chief Administrative Officer, Project Sponsor

Procurement Goals and Process Cheryl Hotaling, 21st Century Project Manager Procurement Goals The procurement process is designed to balance the following goals: Encourage competition Ensure clarity of scope of services/solution to be provided Expedite procurement to retain the value of existing project artifacts Allow Bidders the option to leverage existing project artifacts (documentation, configuration, developed enhancements) as “accelerators” to reduce cost and time to implement Procurement Conducted Under Public Contract Code 6611 PCC 6611: Provides, in part, that the Department of General Services may use a negotiation process if the department finds that the business need or type of solution can be further defined as a result of a negotiation process or that negotiation is necessary to ensure that the department is receiving the best value. Two- Stage Competitive Procurement Stage I – Award contracts to the 2 highest scoring bidders to perform assessment/critical design validation Stage II – Award a single contract to complete MyCalPAYS to one of the Stage I contractors

Procurement Timeline

Procurement Overview – Stage I Stage I selection criteria based on: SAP certification (Pass/Fail) Financial Capacity/Responsibility (Pass/Fail) Corporate References (Scored) Key Staff Proposed (Scored) Stage I will allow selected Contractors to assess work to date and engage in confidential discussions with the State prior to Stage II proposal Contracts will be for actual costs, to a maximum of $500K each Contract deliverables will include: Cost/Benefit Assessment Critical Design Evaluations Stage II Proposal for Completing MyCalPAYS Contract terms and conditions will not be negotiated for the Stage I contract period

Procurement Overview – Stage II Stage II selection criteria based on: Functional and Technical Requirements 750 Executive Summary Pass/Fail Project Scope 150 Proposed Approaches, Process and Procedures 350 Functional Design Changes 100 Technical Requirements Project Constraints Agreement to Scope of Services Project Plan Response to Supplemental Software Tools Proposed Staffing Proposed Key Staff Experience 400 Proposed Key Staffing with Prior Working Relationships 50 Key Staffing Proposed in Stage II from Stage I contract Staff Loading Chart 250 Cost 1000 Contract will be fixed-price, deliverables based Single envelope method (administration, functional, technical and cost) Best and Final Offer negotiation process included

Procurement Overview – Stage II Contract Stage II Contract – Negotiation Process Stage I Key Activity in Preparation for Stage II (Prior to Stage I Proposal Submission) Bidder to provide requested changes to standard contract terms and conditions to DGS Within 1 week, DGS to provide initial response to requested changes Stage I potential Bidders can decline to bid if initial response is unacceptable Stage II Procurement Activity DGS will negotiate specific language for requested changes to standard contract terms and conditions with Bidders selected in Stage I Approved changes will be made available to both Bidders Approved changes to be incorporated into Bidders’ Stage II final proposals Best and Final Offer (BAFO) The State may conduct negotiations after receipt and scoring of the final proposals to select the best value All components of the final proposal may be negotiated Bidder will submit written revisions to final proposal based on negotiations Revised proposals will be “re-scored”

Procurement Overview Questions and Answers

System Demonstration Demonstrator - Karen Roy, Functional Team Member MyCalPAYS live functional demonstration within our development client environment, simulating: Creation of a new State of California position A State of California new employee hiring action Functional module integration (OM and PA) Enterprise Structure and infogroup configurations

Procurement Library Overview The library is available at end of Bidders Conference to certified SAP Global Partners – Services Structure: 0. Read Me First! MyCalPAYS Design Functional Technical Testing Org Change Mgmt Project Management Office Content Overview Read Me First!, MyCalPAYS Design & Functional (Dennis Duarte) Technical & Testing (Russ Nichols) Org Change Management (Kathy James) Project Management Office (Cheryl Hotaling)

Closing Remarks Stage I – Key Action Dates Action Date 1. Release Request for Proposal 03/13/2009 2. Bidder’s Conference – 9:00 AM PDT 710 Riverpoint Court, Suite 150 West Sacramento, CA 95605 03/19/2009 3. Last day to submit questions for clarification of RFP – Stage I 03/20/2009 4. Bidders submit initial Stage II Contract Change Request 03/23/2009 5. DGS responds to questions for clarification of RFP – Stage I 03/26/2009 6. DGS submits initial response to Stage II Contract Change Requests 03/30/2009 7. Submission of Stage I Proposals (12:00 p.m. PDT) 04/07/2009 8. Stage I Contracts Award and Execution 04/20/2009