In August of 2017, the Department of Education, the Federal Student Aid released a special notice related a new repayment model for the student loan borrowers through a program called “FSA Next Generation Financial Services Environment”.

Although there were many changes in the amendments during this period of time, the Government recently released a new special notice in the official website of Federal Business Opportunities related to a new combination of NextGen Financial Services Environment Solicitation for Component E (Solution 3.0 Business Process Operations) and Solicitation for Component F (Solution 2.0 Business Process Operations).

This is a proposed system that is supposed to make student loan repayment much more straightforward for borrowers. This plan aims to create a single U.S. Department of Education website where borrowers can manage their accounts and eases processes. The flexible, world-class financial solution intends to leverage citizen support and modernize the technical and operational architecture of the FSA.

FSA NextGen is a two-phase source selection in accordance with EDAR, and anticipates to use commercial solutions to meet the objectives of this initiative and requests responses from interested vendors for nine components including:

  • Component A: Enterprise-wide digital platform and related middleware
  • Component B: Enterprise-wide contact center platform, customer relationship management (CRM), and related middleware
  • Component C: Solution 3.0 (core processing, related middleware, and rules engine)
  • Component D: Solution 2.0 (core processing, related middleware, and rules engine)
  • Component E: Solution 3.0 business process operations
  • Component F: Solution 2.0 business process operations
  • Component G: Enterprise-wide data management platform
  • Component H: Enterprise-wide identity and access management (IAM)
  • Component I: Cybersecurity and data protection
  • Independent quality assurance support

After completing phase I, FSA announced the eligible vendors to participate in Phase II of the procurement. As mentioned above, the Components E and F will be combined in the second phase, and cover the following business operation processes:

  • Edfinancial Services LLC
  • General Dynamics Information Technology Inc (GDIT)
  • Missouri Higher Education Loan Authority (MOHELA)
  • Nelnet Diversified Solutions, LLC
  • Oklahoma Student Loan Authority (OSLA)
  • Pennsylvania Higher Education Assistance Agency (PHEAA)
  • Teleperformance
  • Trellis Company
  • Utah Higher Education Assistance Authority (UHEAA)

Furthermore, in the notice was stated that Past Performance volumes shall be submitted by October 9, 2018, by all interested Offerors; whereas, the final proposal due date for the remaining volumes may be announced after the award of the NextGen Transitional Core Processing and Related Support Activities.

What we know?

The award for Phase II of the FSA Next Generation Financial Services Environment will be an indefinite-delivery-indefinite-quantity contract.  This is a base ordering period of five years, with one five-year optional ordering period. FSA is planning to award one or more contractors for Business Process Operations.

The solution proposed by interested vendors must meet or exceed existing Federal rules and regulations applicable to the FSA operating environment; as well as efficiently execute servicing across the entire student aid lifecycle.

Evaluation Factors:

  • Cyber security Compliance
  • Technical Approach
  • Past Performance
  • Price

Moreover, the Government has decided that due to security considerations, attachments will be distributed directly to the vendors selected to participate in Phase II. For more information on new federal contract opportunities, please stay updated by reading our daily news!