Wayne County Airport Authority

REQUEST FOR PROPOSALS (RFP) FOR TELECOMMUNICATIONS BILLING AUDIT

CONTROL No. S08-073 ADDENDUM No. 2

ISSUE DATE: 9/26/08

DUE DATE: 10/3/08 AT 2:00 PM

This addendum is issued to change the due date and to respond to questions related to the above referenced project submitted prior deadline as follows: CHANGE:

The time for the Response Deadline has been extended as follows: From: 2:00 PM, 9/26/08 LOCAL TIME (EST.) To: 2:00 PM, 10/3/08 LOCAL TIME (EST.)

CLARIFICATION:

1. Should the services/proposal include telecommunications cost reduction or other consumption management as part of the audit? Answer: The RFP focus is on past billing accuracy and the recovery of overbilled amounts. There is no provision in the RFP to compensate the vendor for consumption management services or future cost reductions. 2. When was the last date(s) of any prior audit and/or rate/tariff analysis? Answer: There are no prior audits or analyses performed. 3. What was the outcome of the most recent such audit? Answer: Not applicable (see answer to number 2, above). 4. How will the data be provided for the historical audit and analysis and reporting? Answer: The WCAA Finance department has past invoice summary information. Current billing detail information is available from the WCAA Technology Services group. Additional detail is available from the various services providers. THIS ADDENDUM MUST BE ACKNOWLEDGED ON THE RESPONSE FORM IN THE RFP

Addendum #2 Page 1 of 4 5. How will the data be provided for 'current usage, billing and payment data? Answer: Current billing is available in paper form. Some current billing information is available on CD. 6. How and where are the billing to be audited stored? Answer: Historical invoice summary and current detail information is stored at the WCAA offices. 7. Are there physical limitations of the storage site (e.g., electricity not convenient, no high speed copier, no work area, etc.)? Answer: No, the storage site is an active office environment. 8. What is the process for retrieving the information to be audited? Answer: Information available at the WCAA offices will be made directly available to the vendor. A letter of authorization will be provided to the vendor when access is needed to services provider-based information. 9. Will we be able to remove originals or be able to copy on site? Answer: The vendor will be able to make copies of originals on-site. 10.What invoice information do you have in electronic format, either as electronic invoices or scanned invoices? Answer: Approximately one year of scanned invoices are available in Adobe (pdf) format. 11.Are all contracts for services readily available? Answer: Yes. 12.What documentation do you have for your telecommunications services? Answer: Contracts and invoices are available. 13 Will the RFP process allow us as a vendor to demonstrate our web-based telecom expense management solution in a 45-minute webex to decision makers as part of the evaluation process? Answer: No. 14.As a web-based solution with assigned contractor working remotely, does RFP require contractor to work on-site? Answer: The WCAA does not require the vendor to work on-site. 15.Is this RFP for a fixed fee? If so, what is fixed fee? What is payment schedule? Answer: No. See the RFP Price and Additional Information Sheet. 16.If not a fixed fee RFP, can RFP accommodate a "startup fee" since our application based solution uses most resources loading the database during the first 4 weeks? Answer: No. See the RFP Price and Additional Information Sheet.

THIS ADDENDUM MUST BE ACKNOWLEDGED ON THE RESPONSE FORM IN THE RFP

Addendum #2 Page 2 of 4 17.To avoid wasting your time looking at our RFP response, can you share the following concerns with the key decision makers? The RFP sounds like you are looking for Audit of Telecom invoices/billings which are really a one time event with several checks points to validate costs/savings over a two year period. Typically this type of model is paid for through a ‘Shared Savings’ even which would mean you only pay for the audit services based on actual ‘Savings’ you can recover through the audit. However our model is very different as this solution represents an ongoing monthly audit through the use of browser based software applications to proactively manage your expenses and scrub invoices before they are paid. In addition we will also perform the one time historical audit you are seeking but again the difference comes in post that audit as we will redirect all of your invoices to our processing center so we can receive and audit them each month to ensure accuracy. Our pricing model is not a Shared Savings program as we will instead have a one-time set up fee to build out the software applications and then a monthly flat fee that will include all audit processes, invoice management, dispute resolution, Accounts Payable files and even payment of your invoices if you wish. This fee is determined based on several data points we would have to gather from you prior to providing a proposal. Also…we would want to understand if your current budget would allow for a set up fee and an ongoing flat monthly fee? Ex. If you spend around $1M annually our fees would be in the neighborhood of $25k up front and $3,500 per month for a two year contract. Please let me know if we can talk through this and/or if you have other questions about our deliverables so we can collectively determine if this solution would be a good fit based being that our deliverable is different than your current scope of work. Answer: The RFP does not provide a means for vendors to submit an alternate proposal. 18.Response offered to the request for clarification of the previously submitted FUTURE SAVINGS question. For example - Should the vendor determine the current Telecommunications Tariff Rate Plan is not economically suitable with consumption habits, recommendations for an alternate rate might result in future savings for The Wayne County Airport Authority. With each passing month, due to the recommendation, savings would occur due to the change in the telecommunications rate plan. In this scenario, do RFP S08-073 payment provisions allow for the chosen vendor to receive payment for The Wayne County Airport Authorities increased telecommunications efficiency? Answer: The RFP does not provide a means for vendors to be compensated for future savings. Rather, vendors will be compensated only for past billing error amounts actually recovered from the services provider.

Addendum #2 Page 3 of 4 19. What is your annual telecommunications spend?

Local: $545,000 Internet:$10,000 Wireless:$170,000 LD: $18,000 Data: $76,000 CPE: $7,000 Total: $826,000

20. I - General Information a. How many locations are represented in the telecom spend? 2 b. How many telecom invoices do you receive each month? 45 c. How many of these invoices are electronic? 0 d. How many cost centers are telecom invoices allocated across? 4 e. How many total wireless devices do you have? 172 f. Do you audit invoices today on a monthly basis? Yes If yes to above, how do you audit the bills (manually, etc)? Manually

II - Wireless Information a. How many of your devices are cell phones only? 70 b. How many of your devices are PDA (voice/data) devices? 93 c. How many of your devices are data/broadband cards? 7 d. Are MACD’s handled centrally? If not, who else handles them? Yes e. How many devices do you turn on and/or off each month? Less than 1 f. Are you interested in Help Desk and Provisioning as well? No

III - Bill Payment a. How often do you pay telecom invoices each month? Each on arrival b. Would you like BroadSource to process carrier payments? No

IV - Top 3 telecom expense management initiatives: 1) determine if billing overcharges are occurring, 2) assist Wayne County Airport Authority recover overcharges and 3) manage inventory of both wireline and wireless without using resources of Wayne County Airport Authority. Answer: The above paragraph is a statement and not a question. Note that paragraph item 3 is not within the scope of the RFP.

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Addendum #2 Page 4 of 4