Item: 1 Date: October 31, 2000 Docket: UT-991627 – Telephone Number Conservation Staff: David Dittemore, Telecommunications Engineer Betty Erdahl, Policy Research Specialist Glenn Blackmon, Assistant Director-Telecommunications Recommendation: Designate Telcordia Technologies as the interim number pooling administrator for Washington and direct the secretary to issue a letter requesting that North American Pooling Portability Management, LLC, enter into a contract with Telcordia Technologies consistent with its proposal. Background On July 20, 2000, the Federal Communications Commission (FCC) granted to the Washington Utilities and Transportation Commission the authority to implement number conservation measures, including thousand-block number pooling. Thousand-block number pooling involves the allocation of blocks of one thousand sequential telephone numbers within the same NXX code to different service providers. The authority delegated to the WUTC is interim and expires when the FCC implements a national number pooling program. The FCC requires that state commissions receiving delegated number pooling authority select a neutral entity to administer the number pooling trial. The number pooling administrator will assist the telecommunications industry in developing an implementation schedule (consistent with a final implementation date established by the WUTC) and collecting the information necessary to establish number pools in each rate area. Once number pooling is implemented, the administrator fills requests from individual carriers for thousand-number blocks and maintains an adequate supply of numbering resources for each rate area. WUTC Process for Selecting Administrator Consistent with this authority, the WUTC on October 3, 2000, issued a request for proposals (RFP) to serve as interim number pooling administrator for Washington. Bidders were to base their proposals on the Generic Pooling Plan for Washington developed by the Washington Exchange Carrier Association pursuant to an earlier order in this docket. The request for proposals included detailed information on the scope of work to be performed and the way in which technical, management, and cost criteria would be evaluated. Once selected, the interim number pooling administrator will be paid, consistent with its proposal, by telecommunications companies using numbering resources within the state of Washington. The pooling administrator contract will be negotiated through the North American Portability Management, LLC (NAPM). Evaluation of Proposals Two firms, Telcordia Technologies and NeuStar, Inc., submitted proposals. On October 24, 2000, WUTC staff interviewed each firm. Staff met with each firm for about three hours to hear their oral presentations and to ask questions. Based on the written proposals and the interviews, Staff evaluated each of the proposals according to the criteria set out in the WUTC’s request for proposals. The evaluations in each category are set out below: Category Possible Points Telcordia Technologies NeuStar, Inc. Technical Proposal 60 60 52 Management Proposal 50 44 47 Cost Proposal 90 90 0 Total 200 194 99 Staff found both firms to be highly qualified to perform the work of number pooling administration. The major difference in the two proposals was cost. Both firms included one-time costs for establishing number pools in each area code and costs for each request for numbers made by a service provider. In each category of cost, Telcordia Technologies proposed significantly lower costs. Based on the evaluation criteria, the difference in cost was such that NeuStar received zero points in this category. A more detailed evaluation of the proposals is attached. Summary Selection of a number pooling administrator is an important step in establishing a more efficient use of telephone numbers in Washington and delaying the need for additional area codes. With this action, Washington will be on track to have number pooling implemented before the 564 overlay area code is introduced in October 2001. Staff recommends that the WUTC select Telcordia Technologies and request NAPM to negotiate a contract for number pooling administration. WUTC Staff Evaluation Of Number Pooling Administration Proposals October 25, 2000 1. TECHNICAL PROPOSAL (60 POINTS OF TOTAL) A. Project Approach/Methodology (10 POINTS POSSIBLE) – Include a complete description of the Consultant’s proposed approach and methodology for the project. This section should convey Consultant’s understanding of the proposed project. Although Neustar has been providing the service to this point, it was troubling to the staff that their organization depended on “Spreadsheet” technology. Telcordia’s presentation demonstrated that they would maintain a database, a level of technology above the “spreadsheet” technology. It explained why Telcordia could operate more efficiently, and have current data always available to staff and users. Telcordia made a very good demonstration of their complete system, including the views that the administrators of the system would be using, to explain their operation. They have used the resources of their large organization to develop a superior system. Score= Telcordia - 10; Neustar - 7 B. Work Plan (30 POINTS POSSIBLE) - Include all project requirements and the proposed tasks, services, activities, etc. necessary to accomplish the scope of the project defined in this RFP. This section of the technical proposal must contain sufficient detail to convey to members of the evaluation team the Consultant’s knowledge of the subjects and skills necessary to successfully complete the project. Include any required involvement of AGENCY or NAPM staff. The Consultant may also present any creative approaches that might be appropriate and may provide any pertinent supporting documentation. Here again, staff thought that Telcordia’s data base technology, implemented with Web access for data input and viewing of current reports, would provide better operation of our Pooling Trial. We did credit Neustar for proposing a combined Implementation meeting for all western Washington area codes. Score= Telcordia - 30; Neustar - 25 C. Project Schedule (10 POINTS POSSIBLE) - Include a project schedule indicating when the elements of the work will be completed and when deliverables, if any, will be provided. We thought both firms showed an understanding of the requested schedule. Both firms showed a willingness to modify the schedule, including the order in which area codes or metropolitan areas are implemented, as circumstances change. Score= Telcordia - 10, Neustar - 10 D. Deliverables (10 POINTS POSSIBLE) – Fully describe deliverables to be submitted under the proposed contract. We also saw that both parties had a good understanding of all steps required to implement our project. Score= Telcordia - 10; Neustar - 10 2. MANAGEMENT PROPOSAL A. Project Management (50 POINTS OF TOTAL) 1. Project Team Structure/Internal Controls (10 POINTS POSSIBLE) - Provide a description of the proposed project team structure and internal controls to be used during the course of the project, including any subcontractors. Provide an organizational chart of your firm indicating lines of authority for personnel involved in performance of this potential contract and relationships of this staff to other programs or functions of the firm. This chart must also show lines of authority to the next senior level of management. Include who within the firm will have prime responsibility and final authority for the work. Staff felt that Telcordia’s depth of resources and personnel was superior to Neustar’s. Score= Telcordia - 10, Neustar - 9 2. Staff Qualifications/Experience (10 POINTS POSSIBLE)- Identify staff, including subcontractors, who will be assigned to the potential contract, indicating the responsibilities and qualifications of such personnel, and include the amount of time each will be assigned to the project. Provide resumes' for the named staff, which include information on the individual’s particular skills related to this project, education, experience, significant accomplishments and any other pertinent information. The Consultant must commit that staff identified in its proposal will actually perform the assigned work. Any staff substitution must have the prior approval of the AGENCY. Neustar has had more actual experience in Pooling. They have an experienced staff that have worked in all facets of this area. Telcordia’s experience, while not specifically with number pooling, is similar. Telcordia provided more information in a non-confidential form, which demonstrated an understanding of the need for public process and open records. Score= Telcordia - 8; Neustar - 10 B. Experience of the Consultant (30 POINTS POSSIBLE) 1. Indicate the experience the Consultant and any subcontractors have in the following areas: Providing number or database administrative services within a competitive, multi-firm industry. As indicated above, Telcordia has more database administration experience. In addition, staff noted that Telcordia had its software quality control certified by an outside organization. Score= Telcordia - 10; Neustar - 8 2. Indicate other relevant experience that indicates the qualifications of the Consultant, and any subcontractors, for the performance of the potential contract. Neustar’s operation of the North American Numbering Plan Administrator is closely related to the Pooling function. Score= Telcordia - 8; Neustar - 10 3. Include a list of contracts the Consultant has had during the last five years that relate to the Consultant’s ability to perform the services needed under this RFP. List contract reference numbers, contract period of performance, contact persons, telephone numbers, and fax numbers/e-mail addresses. Neustar has administered Pooling Trials in several states to this point. However, Telcordia has only recently re-entered this field and performed similar work as national number plan administrator. Telcordia has been selected as Pooling Administrator recently in Tennessee. Score= Telcordia - 8, Neustar - 10 C. References (10 POINTS OF TOTAL) List names, addresses, telephone numbers, and fax numbers/e-mail addresses of three business references for whom work has been accomplished and briefly describe the type of service provided. The Consultant must grant permission to the AGENCY to contact the references. Do not include current AGENCY staff as references. References will be contacted for the top-scoring proposal(s) only. Both vendors submitted adequate references. Score= Telcordia - 10; Neustar - 10 3. COST PROPOSAL (90 POINTS POSSIBLE) Telcordia’s costs were significantly below Neustar’s. This included both the charge for establishing pools in each rate center of an area code and the charge for requesting a block of numbers once the pools are running. Under the evaluation criteria, the higher-cost bidder would get zero points if its cost proposal were more than twice the lower-cost bidder’s proposal. Score= Telcordia - 90; Neustar - 0