Opportunity Detail

Questions and Answers

INTEGRATED iLOTTERY SYSTEM
Document #:  LOT RFP01128


Question:   Attachment One, Part Two: Work and Contract Administration, Page 95 – “Replacement Personnel” – In the first full paragraph, the Lottery imposes an obligation that the Contractor to use commercially reasonably efforts not remove certain persons (including Key Project Personnel) from the Project without the Lottery’s consent. It is unclear what is meant by “the Project” as this appears to be defined as all activities, goods and services related to the iLottery System. If that understanding is correct, this requirement may act to interfere both with the Contractor’s ability to manage its own personnel and with a Contractor employee’s career advancement. Please consider replacing the Lottery’s consent requirement to an obligation to provide notice and replacement with personnel of materially comparable capability.

Answer:   Please review the amendments to the Integrated iLottery System RFP for updated language.

Date: 8/9/2019

Inquiry: 65125


Question:   Correction to previous submission Attachment One: General Terms and Conditions Bonds Fidelity bond or Crime Insurance Page 92 The Crime insurance section requires a specific loss payable endorsement it is industry standard to have a blanket loss payee wording on a Crime policy. Will the Lottery agree to the following changes: CRIME INSURANCE: The Contractor must purchase and maintain a third-party crime contract specific coverage policy with a per occurrence limit of $1,500,000.00 for the Primary Contractor and $500,000.00 per occurrence for each Secondary Contractor. The policy must provide on and off premises employee dishonesty, theft and disappearance of other property and must include a blanket loss payable endorsement recognizing the State of Ohio and the Ohio Lottery Commission as loss payees. If the Contractor utilizes contract employees or independent contractors, the policy will be endorsed to include such individuals in the definition of “employee.” The policy will be in effect for the duration of the Contract and/or any approved extension periods as listed in the Contract.

Answer:   The Lottery declines to change the language.

Date: 8/9/2019

Inquiry: 65193


Question:   Section 1.2.5, page 9 – This section references a marketing list of 1,000,000 "registered and active" members. Assuming the 1,000,000 figure is for all registered could Lottery provide a definition or definitions for "active" and the accompanying list counts? A count of registrations by calendar month and/or year would also be helpful.

Answer:   Registered and active users mean that the user has completed registration and has total users and activity within a year. Accounts that have no activity in a 365-day period are suspended or marked dormant. The average number of active users per month in 2019 has been more than 96,000 with an average increase of 16,000 per month.

Date: 8/9/2019

Inquiry: 65159


Question:   Section 1.2.5, page 9 – Of the 1,000,000 active MyLotto Rewards members, how is their activity being monitored (i.e., visits, clicks, usage)? Can the Lottery provide these numbers? In addition, can the Lottery provide monthly activity numbers (i.e., new registrations per month, monthly active players, etc.)?

Answer:   Activity is monitored by entry of tickets, redemption of points, interaction with poll questions, instant wins and second chance entries. The average number of active users per month and average increases is answered in a separate question. There have been approximately 220 million tickets entered from January 1, 2017 through per month in 2019 with an average

Date: 8/9/2019

Inquiry: 65169


Question:   Attachment One, Part Two: Work and Contract Administration, Page 90 – “Subcontracting” – Please confirm which provisions of the Contract the State expects to be passed through to all subcontractors.

Answer:   The Lottery and Contractor will discuss after contract award

Date: 8/9/2019

Inquiry: 65120


Question:   In order to build a more specifically tailored brand and marketing strategy for the Ohio Lottery Commission (OLC), would the OLC kindly provide their Net Promoter Score, Equity Ratings and any equivalent brand reputation, trust scores or marketing funnel statistics?

Answer:   The Lottery does not use scores or ratings.

Date: 8/9/2019

Inquiry: 65071


Question:   In order to build a more specifically tailored brand and marketing strategy for the Ohio Lottery Commission (OLC), would the OLC kindly provide their Net Promoter Score, Equity Ratings and any equivalent brand reputation, trust scores or marketing funnel statistics?

Answer:   The Lottery does not use scores or ratings.

Date: 8/9/2019

Inquiry: 65070


Question:   Attachment One, Part Seven: Law and Courts, Page 111 – “Prohibition of the Expenditure of Public Funds for Offshore Services” – Please confirm that the prohibitions against the Contractor providing services outside the United States do not apply to a United States-based bidder using the services and resources of its wholly-owned subsidiaries or of affiliated entities owned by the same parent company that utilize the same secure, authenticated and role based access-controlled network environment and global support organization?

Answer:   Development may be able to be undertaken outside of the United States, if there is no Lottery data used in development any other services will be discussed after Contract award.

Date: 8/9/2019

Inquiry: 65154


Question:   Attachment One: General Terms and Conditions Bonds Page 92-93 The Media Liability section states that limits must be not less than $5,000,000 per occurrence or claim for the Primary Contractor and $1,500,000 per occurrence or claim for each Secondary Contractor. Since these policies are written on a claims made basis the limits should be stated as $5,000,000 per claim/aggregate. Will the Lottery amend this section as follows: Limits must not be less than $5,000,000 per claim/aggregate for the Primary Contractor and $1,500,000 per claim/aggregate for each Secondary Contractor.

Answer:   The Lottery declines to change this section with the language provided, please review the amendments to the Integrated iLottery System RFP for updated language.

Date: 8/9/2019

Inquiry: 65192


Question:   Attachment One: General Terms and Conditions Bonds Fidelity bond or Crime Insurance Page 92 The Crime insurance section requires a specific loss payable endorsement it is industry standard to have a blanket loss payee wording on a Crime policy. Will the Lottery agree to the following changes: CRIME INSURANCE: The Contractor must purchase and maintain a third-party crime contract specific coverage policy with a per occurrence limit of $1,500,000.00 for the Primary Contractor and $500,000.00 per occurrence for each Secondary Contractor. The policy must provide on and off premises employee dishonesty, theft and disappearance of other property and must include a blanket loss payable endorsement naming recognizing the State of Ohio and the Ohio Lottery Commission as loss payees. If the Contractor utilizes contract employees or independent contractors, the policy will be endorsed to include such individuals in the definition of “employee.” The policy will be in effect for the duration of the Contract and/or any approved extension periods as listed in the Contract.

Answer:   The Lottery declines to change the language.

Date: 8/9/2019

Inquiry: 65191


Question:   Attachment One: General Terms and Conditions Bonds Fidelity bond or Crime Insurance Page 92 Crime policies include coverage for Fidelity, otherwise known as Employee Dishonesty coverage, which is broader than a Fidelity bond. Will the Lottery accept evidence of Employee Dishonesty coverage under a Crime policy, in lieu of a Fidelity Bond?

Answer:   Yes, as long as the Employee Dishonesty coverage covers what a standard Crime Policy would cover.

Date: 8/9/2019

Inquiry: 65190


Question:   Section 1.2.5, page 9 – Could Lottery elaborate on the hygiene of the MyLotto Rewards registered and active members list - Has any contact information verification been done? Have lists been regularly purged of dormant accounts and/or duplicate accounts?

Answer:   To be an active MyLotto Rewards member a user must have activity in a 365 day period.  Users who have no activity in 365 days, the account is marked dormant or inactive.  Duplicate accounts are not allowed, there is only one account allowed per email and only 2 accounts allowed per physical address. All new registrants to the MyLotto Rewards program must enter a valid email address and physical address.  Email addresses are verified by a system generated email requiring a user to click a link within the email to activate their account.  A user’s physical address is verified via a USPS service that validates a true and properly formatted physical US address. *Legacy users that were registered prior to the USPS validation services have been run through a USPS lookup and their accounts have been flagged if improper formatting or invalid values were found. A check has been implemented at login so if a legacy user’s account has been flagged, the system will force the user to update their address to a valid USPS address before allowing the user to continue to use the MyLotto Rewards system.

Date: 8/9/2019

Inquiry: 65160


Question:   Attachment Two page 121 As an example, iLottery System Configuration provides that the Offeror must respond to requirements listed in section 5.1.2, 5.1.2.6. Given that 5.1.2.6 is a subsection under 5.1.2 (as are many other subsections) we are confused as to why this one subsection is identified. Could the Lottery please explain?

Answer:   This subsection is specifically identified because as defined in section 5.1.2.6, Offerors should describe their current capabilities that support ADA accessibility guidelines.

Date: 8/9/2019

Inquiry: 65175


Question:   Section 5.1.7.2.4 lists credit cards as an option for player withdrawals, however they are not listed as an option to fund Wagering Accounts in 5.1.7.2.3. Can the Lottery confirm that credit cards are an acceptable option for both depositing and withdrawing funds from a Wagering Account?

Answer:   Credit cards are an acceptable option for both depositing and withdrawing funds from a Wagering Account.

Date: 8/9/2019

Inquiry: 65168


Question:   Attachment One, Part Four: Representations, Warranties and Liabilities, Page 107 – “Limitation of Liability” – This paragraph refers to a “Not-to-Exceed Fixed price” which is inconsistent with the pricing required under the RFP. Please confirm whether this was included in error, and if not how Not-to-Exceed Fixed pricing applies to this RFP.

Answer:   Please review the amendments to the Integrated iLottery System RFP for updated language.

Date: 8/9/2019

Inquiry: 65153


Question:   iLottery Payouts - Typically iLottery games offer higher payouts than their retail counterparts. Can the Lottery please confirm that it is able and open to utilizing higher payouts for its iLottery games?

Answer:   Please see section 5.1.8.2. Interactive Games response requirement. The Lottery realizes that the payouts for iLottery games will be higher than the retailer selling games and the current traditional games offered will be the same payout and prize structures as established in our current game portfolio.

Date: 8/8/2019

Inquiry: 65167


Question:   Please define the term “services” in context of software products in the following RFP sections: Attachment One, Part Seven: Law and Courts, page 111 Attachment Three, “Bill to” Address, page 125 Attachment Ten: Affirmation and Disclosure Form, page 138 and 139 Attachment Fourteen: Governing the Expenditure of Public Funds on Offshore Services, page 150 and 151

Answer:   The Glossary of Terms has been updated to include the definition of Services. The definition of Services is the furnishing of labor, time, or effort by a person, not involving the delivery of a specific end product other than a report which, if provided, is merely incidental to the required performance. "Services" does not include services furnished pursuant to employment agreements or collective bargaining agreements.

Date: 8/8/2019

Inquiry: 65172


Question:   Attachment One, Part One: Performance of Payment, Page 86 – “Statement of Work” – Please clarify what is meant by the Lottery when it says that the Contractor shall “meet all milestones in a proper manner”? In other words, please clarify what standards the Contractor must meet in order to be certain that it is meeting all milestones in a proper manner.

Answer:   The Lottery and Contractor will agree to the milestones contained in the System Implementation Plan as identified in 5.1.15.

Date: 8/8/2019

Inquiry: 65156


Question:   5.2.8.1.2 page 49 Contractor is required to integrate with the Lottery Central Gaming System to manage liability caps associated with DBGs. Will the Lottery ensure that provider of the Central Gaming System be contractually required to work with the Contractor to ensure the seamless integration for purposes of establishing liability caps? Which party – the Contractor or the vendor of the Central Gaming System – is responsible for the costs associated with such integration work?

Answer:   The Lottery will ensure that the provider of the Central Gaming System will be required to work with the Contractor. Each party will be responsible for the costs associated with integration.

Date: 8/8/2019

Inquiry: 65178


Question:   5.1.7.1.6 page 40 Regarding the player Database data element requirements, please specify what Federal and Lottery reporting information is required to maintain?

Answer:   The database element must include Federal and State tax reporting information.

Date: 8/8/2019

Inquiry: 65184


Question:   5.1.7.2.4 page 42 For check payments, what entity is issuing the checks?

Answer:   The Contractor must issue the check payment.

Date: 8/8/2019

Inquiry: 65186


Question:   Attachment One: General Terms and Conditions Bonds page 91 The Performance Bond/Proposal guarantee section requires a letter of commitment from a bonding company be included with the Proposal. The industry standard is to provide a Bid Bond as the bid bond guarantees the Performance Bond will be written. Will the Lottery please delete the letter of commitment requirement in this section as the Bid bond should suffice?

Answer:   The Lottery will amend the Performance Bond/Proposal Guarantee section on page 91 to remove the sentence - Offerors must enclose a letter of commitment from a bonding company for the performance bond with its Proposal.

Date: 8/8/2019

Inquiry: 65189


Question:   Can the Lottery provide information on number of projected players? Anticipated active daily users? Anticipated registered users?

Answer:   The Lottery does not have projections related to the player population for iLottery.

Date: 8/8/2019

Inquiry: 65170


Question:   5.1.8.2.9 page 51 Due to the tight timeframes to get third party contracts in place for this proposal along with providing the Lottery a firm commitment for a July 1, 2020 delivery we are asking for clarification of 5.1.8.2.9 Considering that most 3rd parties are open to work with all Lotteries and to allow the Lottery some input into which game libraries and third parties they would want their vendor to consider, would the lottery be amendable to integration of a minimum of two, third party game libraries within 1 year of go-live?

Answer:   The Lottery declines to change the language.

Date: 8/8/2019

Inquiry: 65195


Question:   5.1.14.2.4 page 68 The Lottery reserves the right to require additional staffing at any point throughout the Term of the Contract. Incremental staff adds to ongoing staffing needs will be accompanied by an incremental expense increase which the Contractor cannot forecast (and therefore not build into its costing model) at the time it submits its Proposal. Would the Lottery confirm that any incremental staffing personnel following the execution of the Contract will result in pricing increases to account for such incremental expense?

Answer:   Refer to Section 5.1.14. for clarification. The Contractor is expected to provide the services described in section 5.1.14. As the program expands, the Contractor will be expected to add additional staff to meet those service levels (e.g. expanded customer service volume). The Lottery and the Contractor may agree to additional staffing and services and to negotiate the pricing for those items.

Date: 8/8/2019

Inquiry: 65179


Question:   3 Page 18 Can the Lottery clarify which independent third parties they may use in this evaluation?

Answer:   The Lottery will not disclose parties to the evaluation.

Date: 8/8/2019

Inquiry: 65196


Question:   5.1.10.1 page 55 Based on this requirement, can the lottery indicate what the annual marketing budget the Lottery expects to spend for each of the items listed? If the Lottery wants the vendor to propose a budget, would the Lottery please indicate their overall annual marketing budget planned for iLottery?

Answer:   The Lottery has not set a final budgeted amount for the first fiscal year. The final budget will be set after Contract award.

Date: 8/8/2019

Inquiry: 65200


Question:   5.1.7.5 Page 47 The Lottery states “The Lottery will have the sole discretion to designate funding limits.” As it relates to the forecast provided by the Lottery can the Lottery give the default parameters used?

Answer:   The Offeror may propose a set of responsible gambling defaults and limits for the Lottery’s consideration. Final funding limits have not been determined. Forecasting information can be found in the answer to inquiry 65096.

Date: 8/8/2019

Inquiry: 65198


Question:   Attachment One, Part One: Performance of Payment, Page 86 – “Term” – This section states that June 30, 2023 is expected to be the end of the first biennium. Would the Lottery please confirm whether this means the launch date will not take place until June 29, 2021?

Answer:   The intended launch date is no later than July 1, 2020.

Date: 8/8/2019

Inquiry: 65157


Question:   Section 5.1.10, page 54 - Are payout structures (return to player models) for iLottery games beholden to having to achieve certain profit margins, similar to traditional lottery sales and revenues?

Answer:   The Offeror must provide their recommended game portfolio with the rationale for the payouts and prize structures based on targeted segment, prior success in other jurisdictions, theme, price point and strategy of the portfolio mix. The Lottery has no statutory limitations on payouts. The Lottery must maximize our returns to the Lottery Profit Education Fund and provide winning experience to our players

Date: 8/8/2019

Inquiry: 65163


Question:   5.1.7 page 37 Could the Lottery please confirm what third party verification system is currently used for Cashing Accounts and what data elements (PII) require successful verification?

Answer:   Cashing accounts have not launched yet. Updates will be provided post launch.

Date: 8/8/2019

Inquiry: 65182


Question:   Section 5.1.8.9.2.1, page 51 – If the Lottery were to request specific game providers to be integrated into the iLottery system in the future, how will the cost for these games be handled? In addition, can the Lottery confirm that only third-party game providers that agree with Lottery SLAs would be added to the portfolio? If not, can the Lottery please elaborate on how would SLA gaps would be addressed?

Answer:   Please refer to Section 5.1.8.2.9.1 Third Party Game Contracts and 5.1.8.2.9.2 – Lottery-Directed Game Integrations for information.

Date: 8/8/2019

Inquiry: 65180


Question:   Attachment Two page 122 Could the Lottery please provide the “Scoring Breakdown” Table as mentioned on page 122 of Attachment Two?

Answer:   The Scoring Breakdown table is omitted. The Lottery has not disclosed the technical and cost weighting for this procurement.

Date: 8/8/2019

Inquiry: 65201


Question:   5.1.14.3 B. Ohio Training Requirement, page 69 - How many support staff currently support this requirement?

Answer:   Currently there is no staff, the Contractor is required to provide staffing

Date: 8/8/2019

Inquiry: 65204


Question:   5.1.8 page 48 Could the Lottery please better define the difference between Decentralized and Centralized. Would Multi-state Lottery games be classified as Decentralized?

Answer:   See Glossary of Terms for more detailed definitions of these terms. Multi-state lottery games are classified as decentralized games.

Date: 8/8/2019

Inquiry: 65202


Question:   5.1.7.1.1 / 5.1.7.21 page 37, 41 For Cashing Accounts, what entity or entities hold the stored financial accounts, and by what means are they securely transmitting to contractor?

Answer:   Cashing accounts have not launched at this time. Updates will be provided post launch.

Date: 8/8/2019

Inquiry: 65183


Question:   Section 4, Award of the Contract, Page 23,– This section states that the Contactor “must be able to begin work within 15 business days of issue of a purchase order”. However, it is not clear from the RFP when the purchase order will be issued. Will the Lottery please confirm the anticipated timing for the issuance of the purchase order?

Answer:   The Lottery will issue a Purchase Order 1-2 days following contract approval from the Ohio Controlling Board, a legislative approving body of certain agency contracts.

Date: 8/8/2019

Inquiry: 65155


Question:   5.1.7.2.7 page 43 Please clarify meaning of “transfer” in this requirement: Contractor must track, report and transfer any Wagering Account funds that have become dormant and may be subject to relevant escheatment or personal property regulations.

Answer:   The Contractor is responsible for payment reconciliation and reporting to the Lottery any unclaimed prizes. The process for transfers will be mutually agreed upon

Date: 8/8/2019

Inquiry: 65187


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 104 – “License in Commercial Material” – Point D in the sixth full paragraph appears to grant the Lottery the right to modify software licensed to it by the Contractor, whether the Contractor’s own software or that of a third party. Please consider deleting this right since no source code will be licensed to the Lottery and any changes will need to be made by the Contractor or the third party that owns such software.

Answer:   The Lottery declines to change the language.

Date: 8/8/2019

Inquiry: 65152


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 104 – “License in Commercial Material” – The first paragraph as drafted could be interpreted to require that Contractor provide source code of either its own or third party software, which will not be provided to the Lottery, with the exception of the materials put into the escrow account. Please confirm that our understanding is correct.

Answer:   This is a correct interpretation of the language

Date: 8/8/2019

Inquiry: 65150


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 103 – “Software and Documentation Escrow” – This section appears to require updates to the escrowed materials every time there is a change. It is our experience that this approach creates an unduly burdensome process and recommend that the Lottery consider changing this to regular periodic updates, such as quarterly, semi-annually or annually.

Answer:   The Lottery declines to change the language.

Date: 8/8/2019

Inquiry: 65149


Question:   As noted in the previous Q&A, we acknowledge and understand that the Lottery must adhere to its project launch timelines, and as such, requests for an extension of the Proposal have been declined. However, due to the need to source Minority Business Enterprises, requirements and timelines for shipping of proposal copies, and staff absences as a result of summer vacations, would the Lottery please consider extending the Proposal due date by a minimum of one calendar week in order to ensure the quality of proposals submitted?

Answer:   At this time, no changes in the calendar are contemplated.

Date: 8/8/2019

Inquiry: 65147


Question:   Section 5.1.10.2.3, sub-section A, page 57. Can the Lottery elaborate on the drawing pool functionality? Is this a functionality to be provided by the contractor? If so, how is the draw pool schedule to be managed, when are draws to be opened and closed, how are the draws to be executed, how are winner(s) determined, how are prizes and payouts configured, et

Answer:   Please reference 5.1.10.2.1 Promotion Types - Subsection (F) as an example of a promotion type that will work in combination with this configurable rule.

Date: 8/8/2019

Inquiry: 65146


Question:   Section 5.1.11.1, page 59 – the Lottery states that “Offerors must describe their solution to extract, transfer, and load disparate sources of data from the Lottery’s entire line of businesses (e.g., iLottery, retail, loyalty, etc.) into a unified database…”. a. Is it the Lottery’s expectation that the contractor will provide a system which will manage all BI aspects of the MyLotto Reward Club program? b. What is the extent of the data analytic scope and coverage that the Lottery expects in regards to its retail activity?

Answer:   The Player Marketing Database does not replace any program-specific reporting or admin tools (e.g., the backend customer service tool for MyLotto Rewards, or its reporting interface) but rather is the repository that intakes disparate data from all of those programs and correlates them into a single-view of each player. In terms of retail activity; the Contractor would be expected to analyze iLottery activities which are funded or redeemed at retail. There may be other items the Lottery will want to integrate into their single player view database. For example, cashless transactions at retail terminals using a card proxy ID (not storing credit card info), ticket checker activity in mobile apps, remote ticket cashing activity, coupon redemption extract

Date: 8/8/2019

Inquiry: 65143


Question:   Under 5.1.12.2, the Lottery indicates that the contractor will need to integrate to “Tableau” as a Data Analytics and Segmentation system. However, under 5.1.11, the Lottery states that “The Contractor must supply a system that offers tracking, analytics, data modeling, data segmentation,…” Can the Lottery explain: a. Which system segmentation is expected to take place? b. What is the role of Tableau within the overall analytic solution, and whether such roles can be excluded from the data analytic system requested by the Contractor?

Answer:   The system supplied by the Contractor is expected to be the primary system utilized for tracking, analytics, data modeling, data segmentation, etc... Player segmentation needs to occur in the Player Marketing Database. The Lottery uses Tableau as its data analytics and segmentation system and requires the Contractor to interface with it to provide requested payer data.

Date: 8/8/2019

Inquiry: 65142


Question:   On page 51, 5.1.8.2.9 - Third-Party Interactive Game Integrations, states that a minimum of two third party game providers must be available at all times. If the winning Offeror and Ohio Lottery agree to launch with two providers but the Offerors proposal includes more than two, will the Lottery be in the position to choose what two providers they would like to feature at program launch?

Answer:   Two providers are the minimum requirement, the Offeror may propose more than two to utilize. The number of additional sources is expected to increase as technologies continue to evolve and innovation continues.

Date: 8/8/2019

Inquiry: 65140


Question:   Attachment One, Part One, Bonds, pages 91-93 – This section of the RFP includes bond and insurance requirements for Secondary Contractors. Secondary Contracts are not typically awarded for iLottery contracts of this nature. Can the Lottery please confirm that it does not intend to engage a Secondary Contractor for the duration of the iLottery contract?

Answer:   Please refer to Attachment One, Part Two, Other Contractors. The Lottery has the right to engage other contractors.

Date: 8/8/2019

Inquiry: 65138


Question:   Attachment One, Part Two: Work and Contract Administration, Page 92 - “Litigation Bonds” – In the first full paragraph at the top of the page, please confirm that is it correct that a claim on the litigation bond may be made if (i) Offeror sues and OLC prevails, or (ii) If a court determines that such suit or any portion of that suit is frivolous, in bad faith or unreasonable?

Answer:   This is a correct interpretation of the language.

Date: 8/8/2019

Inquiry: 65123


Question:   Attachment One, Part Two: Work and Contract Administration, Page 92 – “Litigation Bonds” – In the first full paragraph at top of page, please confirm whether the litigation referred to in this section includes (i) administrative protests regarding the award, and (ii) appeals to any administrative decision regarding a protest of the award?

Answer:   The Litigation Bond would not apply to any administrative protest and would not apply to any appeal to an administrative decision. There is no statutory or administrative right or process.

Date: 8/8/2019

Inquiry: 65122


Question:   On page 67, “5.1.14 – Staffing, Services and Operations”, the RFP states the Offeror is required to provide substantial information so that the Lottery may affirm suitability and experience. As such, third party game providers will be providing critical content that will be accessed directly by Lottery players. Question below: As the online gaming and online lottery industry is more mature in international jurisdictions, it has opened international black/grey markets where vendors can operate. While the US iLottery is nascent, it is absolute best practice for Lotteries to protect citizens of respected states, in this case Ohio, from games/companies who operate in black/grey markets. Assuming the Ohio Lottery will follow this best practice, can you please confirm what information can be provided to ensure each game provider is properly vetted during the RFP evaluation? Further, would you require complete disclosure from all game providers where their content is sold?

Answer:   Refer to Section 5.1.8.2.9 which requires that the contractor will impose same / greater standards.

Date: 8/8/2019

Inquiry: 65108


Question:   With at least 20% of the portfolio dedicated to third party games at all times, the Cost Proposal on page 152 (Attachment Fifteen) incorporates system and game pricing into one rate, thus the Lottery would be unnecessarily paying for two game rates for third-party game providers. In order to keep costs competitive between providers, thus driving innovation and resource, will the Ohio Lottery consider an approach that separates system pricing and e-Instant game pricing? For purposes of definition, a separate pricing example is as follows: 1) Base system rate: Would be applied to all transactions sold on the system 2) e-Instant Game rate: Would only be applied to the game provider, whether it is a third-party provider or from system provider.

Answer:   i-lottery game products: Centralized and De-centralized gaming products, which are defined in the glossary section of the RFP. Accordingly, section 5.1.16.2 provides, Offerors must submit pricing per the Cost Proposal in Attachment Fifteen, assuming a 4-year Contract base period for the pricing. The Cost Proposal requires: 1.) Pricing as a percentage of Gross Gaming Revenue for iLottery games whether it is a third-party provider or from system provider (e-instants, i-keno), and 2.) Pricing as percentage of Gross Sales (gross sales, less cancels) for Decentralized iLottery Games (draw-based games, as defined in the glossary). Therefore, the Lottery did consider an approach that separates system pricing and e-instant game pricing.

Date: 8/8/2019

Inquiry: 65100


Question:   5.1.14.3 B. Ohio Training Requirement, page 69 - Does a training program currently exist for this requirement? If so, how long does it take to administer the training?

Answer:   While the Lottery will assist with the education on the Lottery’s policies, procedures, games, Player’s Club, etc; training of CSC staff is a requirement and responsibility of the Contractor.

Date: 8/8/2019

Inquiry: 65205


Question:   5.1.14.3 B. Ohio Training Requirement, page 69 – Can the Lottery please provide the average length of time to process each interaction, and quantity of each interaction for the last 6 months?

Answer:   The Contractor will be responsible for gathering this information based on experience and best practices.

Date: 8/8/2019

Inquiry: 65206


Question:   Attachment Eleven: Schedule of Service Levels and Liquidated Damages (LDs), page 146 - “iLottery System Customer Support Communication Outages, Hold Times, Response Times and Service Levels.” - Will the Lottery utilize a monthly measurement period for these SLA’s?

Answer:   The Lottery will utilize a calendar month for these SLAs.

Date: 8/8/2019

Inquiry: 65208


Question:   Attachment One, Part Two: Work and Contract Administration, Page 96-97 – “Suspension and Termination” – In the last paragraph beginning on page 96 and continuing on page 97, the Lottery describes a method of compensating the Contractor in the event of a termination of the Contract by the Lottery for its convenience. However, the reference to “contract price” and the formulation for calculating such compensation does not appear to be consistent with the pricing methodology required under the RFP, which is a percentage of sales. Please clarify in detail how this provision will apply in the circumstances of a Lottery termination for convenience.

Answer:   If the Lottery terminates the contract for convenience, the contractor will be entitled to compensation based on the percentage of sales as described in the RFP. Compensation will be determined based on unpaid invoices through the date of termination plus outstanding sales commission due. For items not specifically priced, the Lottery will use fair market value to determine the price owed.

Date: 8/8/2019

Inquiry: 65128


Question:   On page 51, the RFP states: “The Contractor will be responsible for contracting with all third-party game providers and will impose the same, or greater, standards for game specifications and performance as specified in the Contract. Some lotteries get resistance from their iLottery system provider related to the provision of 3rd party games, even when required in the RFP. Will Offeror be required to have in-place agreement with proposed 3rd party provider to redistribute their content in OH? If so, will Offeror be required to submit with proposal evidence, such a copy of its agreement with proposed 3rd party” that Offeror has rights to supply all proposed 3rd party content?

Answer:   The Contractor selected must have in-place agreements with proposed 3rd party vendors. Evidence will be required once the contract is awarded.

Date: 8/8/2019

Inquiry: 65099


Question:   Attachment 2, page 121 - We noticed that several chapter 5 subsections (e.g. 5.1.7.1.6, 5.1.8.1.2, 5.1.8.1.3, 5.1.8.2.3, 5.1.8.2.4, 5.1.8.4, 5.1.8.5, 5.1.8.6, 5.1.10.3.3, 5.1.12.2, 5.1.12.3, 5.1.12.4, 5.1.14.2.5, 5.1.14.6, 5.1.14.8, 5.1.14.9, 5.1.14.10, 5.1.15.4) are not included in Table 2 "Scorable Proposal Requirements". Will the subsections not mentioned in Table 2 be scored? If these subsections not mentioned in Table 2 are to be scored, could the Lottery please provide an updated scoring table?

Answer:   Section 5.1.10.3.3 will be added to the Retailer Support section of Table 2. Other sections listed contain deliverables by the Contractor not the Offeror.

Date: 8/8/2019

Inquiry: 65086


Question:   Attachment 4, page 126. RFP states that "Additionally, Offerors must include the entire content of Attachment Four as a single section in their Proposal. Offerors must include a statement at the beginning of the section indicating that they have read, understand and agree to the General Terms and conditions contained in Attachment One." Could the Lottery please clarify if the offerors need to include the content attachment four (4) or attachment one (1) as a single section in their proposal?

Answer:   Yes, Offerors must include the entire content of Attachment 4: Requirements of Proposals as a single section.

Date: 8/8/2019

Inquiry: 65030


Question:   Section 5.1.14.3, page 69 states: “The Contractor will provide staff and operate a Customer Support Center (CSC) for handling player support services that utilizes modern support technologies through interactive channels in order to maximize player convenience and satisfaction.” Question: Is this the definition of all player support services as written in Section 1.2.2 on page 9 (copied below)? Section 1.2.2, page 9 - “The Lottery’s current digital platforms include MyLotto Rewards®, content related to promoting game play, new games promotions, winners, ePlayslip generation, ticket checker functionality, general lottery information and increasing player engagement and awareness.”

Answer:   Please see Section 5.1.14.3 (C) on page 69 for the scope of services for the CSC.

Date: 8/8/2019

Inquiry: 65166


Question:   5.1.7.2.7 page 43 Will registration be limited to OH residence only?

Answer:   Players do not need to be a resident of the state of Ohio in order to have a wagering account; however, players MUST be within the state in order to deposit or wager on Ohio's iLottery platform.

Date: 8/8/2019

Inquiry: 65188


Question:   Could the Lottery please clarify the proposed term of the Contract? Is it four years, as the pricing sheet suggests bidders use as the basis for pricing, or three years plus the potential of three additional two-year extensions as stated on page 22 of Section 4?

Answer:   The proposed first term of the contract is October 1, 2019 to June 30, 2023. The cost proposal sheet has been amended to reflect those dates.

Date: 8/8/2019

Inquiry: 65203


Question:   5.1.7.1.6 page 40 Regarding the player Database data element requirements, please specify what action the vendor is expected to take by “intercepting information for Child support and sate debt account status and any outstanding debts”

Answer:   Please refer page 44 Section 5.1.7.3.1 subsection E. Intercept information for Child Support and State Debt is expounded upon there. The system must deduct the offset from the prize payment, reflect the offset to the player and report all offset payments daily to the Lottery

Date: 8/8/2019

Inquiry: 65185


Question:   5.1.14.3 C. Scope of Services, page 69 – This section references Section 5.1.10.3.2 which requires the CSC staff to be trained to provide support for Affiliate Online Partners. How many Affiliate Partners, including Lottery retailers that have a digital presence does the Lottery already have? How much labor support will be required for this function?

Answer:   The Lottery does not currently have affiliate online partner program. The amount of labor support will be determined by the Offeror's proposed program that will be mutually agreed upon with the Lottery.

Date: 8/8/2019

Inquiry: 65207


Question:   Section 5.1.10, page 54 - Does Lottery have any regulatory or in-house restrictions specific to the state of Ohio or Ohio Lottery with regards to player acquisition or retention strategies and tactics?

Answer:   The only restriction would be to follow the Responsible Gambling standards and not contact players that have signed up on an exclusion list.

Date: 8/8/2019

Inquiry: 65162


Question:   5.11 Page 24 Many of the US Lotteries do not require in-state data centers. Would the lottery consider allowing for the primary and secondary data center which meet the Ohio Lotteries requirements but located outside of the state of Ohio be used for this procurement?

Answer:   No, the Ohio Lottery requires the primary data center be located in the State of Ohio.

Date: 8/8/2019

Inquiry: 65197


Question:   Attachment Two Table 1 Mandatory Requirements page 119 Due to the potential volume and size of requested three years’ financial statements, would the Lottery please confirm submission of financial statements on electronic media only is acceptable?

Answer:   Yes, the Lottery will accept electronic media submissions of financial statements.

Date: 8/8/2019

Inquiry: 65181


Question:   5.1.7.1.4(F) page 40 The requirement here is impossible to cost. While Offerors can provide an effective GLS solution that is consistent with lottery industry best practices in U.S. Lotteries, a cost-free upgrade should any U.S. Lottery independently establish different, higher standards, is unreasonable. Would the Lottery please remove this subsection?

Answer:   No. It is imperative to the Lottery to have the most effective GLS solution for its iLottery platform and it will make the final determination on if the Offeror's GLS solution is acceptable.

Date: 8/8/2019

Inquiry: 65176


Question:   5.1.7.3.1(M) page 46 This Section requires the System to handle Unclaimed Prizes in accordance with policy. Would the Lottery please confirm who is responsible for notification, reporting and transfer obligations related to dormant funds in Wagering Accounts required to be escheated under applicable law?

Answer:   The Contractor is responsible for payment reconciliation and reporting to the Lottery any unclaimed prizes. The process for transfers will be mutually agreed upon.

Date: 8/8/2019

Inquiry: 65177


Question:   Section 2.2 page 16 Confidential, proprietary or trade secret information should not be voluntarily included in a Proposal because the Lottery will have the right to use any materials or ideas submitted in any Proposal without compensation to an Offeror. We assume, but ask the Lottery to confirm, that the use of such information is not unfettered and may be used by the Lottery solely for evaluative purposes?

Answer:   This is a correct interpretation of the language.

Date: 8/8/2019

Inquiry: 65174


Question:   Section 2.1 page 15 The Lottery is obligated to reject a Proposal if it fails to meet any requirement of the RFP. This would imply the Lottery has no discretion. However, the RFP later states that the Lottery may waive any Proposal defects if doing so is in the Lottery’s best interest and will not cause any material unfairness to any other Offerors. Would the Lottery please confirm that it may accept a Proposal that does not meet all of the requirements in the event it determines that doing so is in the Lottery’s interest and would not be materially unfair to other Offerors?

Answer:   This is a correct interpretation of the language in this section. Please refer to the Waiver of Defects language.

Date: 8/8/2019

Inquiry: 65173


Question:   Does the Lottery plan on sending mass mailers during the launch?

Answer:   The Offeror is required to propose a launch plan which may include mass mailings.

Date: 8/8/2019

Inquiry: 65171


Question:   Section 5.1.10, page 54 - Does Lottery have a budgeted amount or associated limit of the paid media budget planning to support the iLottery program in the first fiscal year?

Answer:   The Lottery has not set a final budgeted amount for the first fiscal year. The final budget will be set after Contract award.

Date: 8/8/2019

Inquiry: 65161


Question:   Page 28 Section 5.1.2.3.5 Lottery Testing Environments “B. Access. This Lottery Testing System must support testing from Lottery Headquarters or other Lottery-approved locations.” Offeror assumes there is one testing location that is in a Lottery owned or leased facility with network connectivity to the Lottery Headquarters. Can the Lottery please confirm?

Answer:   Correct, the Lottery has a test environment located at Lottery headquarters.

Date: 8/8/2019

Inquiry: 65158


Question:   5.1.2.2 Configuration at the Backup Data Center, page 26 - Can the Lottery please confirm that the requirement is for a single backup data center which contains two redundant processing systems and not two backup data centers?

Answer:   The requirement is for two redundant systems, these may be located in two separate backup centers or in a single backup center.

Date: 8/8/2019

Inquiry: 65165


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 104 - “License in Commercial Material” – The sixth full paragraph of this section refers to “items (1) through (6) of this section”, but the section is unnumbered. Is this referring items (A) through (F)?

Answer:   Correct, the items noted in this paragraph and referred to as (1) through (6) should be items (A) through (F).

Date: 8/8/2019

Inquiry: 65151


Question:   Attachment One, Part Two: Work and Contract Administration, Page 90 – “Subcontracting” – Please confirm whether, in connection with the obligation that Contractor be the sole point of contact set forth in the second full paragraph of this section, that Contractor will also be the sole point of contact with all third party content providers that may be subcontracted to provide such game content.

Answer:   Contractually the day to day single point of contact will be the Contractor, however, the Lottery reserves the right to consult with the subcontractor at any time.

Date: 8/8/2019

Inquiry: 65119


Question:   Attachment Two: Evaluation Criteria, page 119 Would the Lottery accept the last 3 years financial statements on a USB drive in PDF format?

Answer:   Yes, the Lottery will accept electronic media submissions of financial statements.

Date: 8/8/2019

Inquiry: 65164


Question:   Section 5.1.2, page 25 - Lottery requirements are for a primary data center and at least two remote backup systems of the same sizing. Can the two backup systems reside within a single remote data center or are the two backups systems required to be located in two remote data center locations (i.e., a total of three remote data centers within the state of Ohio)?

Answer:   The two or more remote backup systems may reside within a single remote data center.

Date: 8/8/2019

Inquiry: 65145


Question:   Under 5.1.12.2, the Lottery indicates that the solution is to be integrated with a “lottery supplied email marketing system”. However, under 5.1.11.3 the Lottery states that it requires the solution to provide “The ability to deliver email marketing messages…”. a. Can the Lottery clarify the role of the “lottery supplied email marketing system” within the overall solution? b. Does the “lottery supplied email marketing system” also support other means of communication (e.g., SMS, push notifications, etc.)? c. Should the Contractor integrate to the “lottery supplied email marketing system”, provide its own means of email marketing, or both?

Answer:   Currently, the Lottery utilizes an email marketing system to engage with MyLotto Rewards users and retailers via email blasts, newsletters and updates. The Lottery also has the ability within MyLotto to utilize SMS, push notifications, etc..). It is possible that the Lottery will continue to message retailers and customers sporadically about Lottery specific issues and updates. The Contractor should provide its own means of email marketing, it does not have to integrate with the Lottery supplied email marketing system.

Date: 8/8/2019

Inquiry: 65144


Question:   Section 5.1.14.3, sub section C, page 69 - Will the CSC be required to support the loyalty program or the relationship between iLottery and the loyalty program?

Answer:   Yes, the CSC will be required to support the Lottery's loyalty program and how it interacts with the system.

Date: 8/8/2019

Inquiry: 65141


Question:   Attachment One, Part Two: Work and Contract Administration, Page 96 - “Suspension and Termination” – In the first full paragraph at the top of the page, please consider inserting a provision that the cure period will be thirty days “or such other reasonable time period allowed by the Lottery”.

Answer:   The Lottery declines to change the language.

Date: 8/8/2019

Inquiry: 65126


Question:   5.1.8.2.1 page 49 In order to provide prize structures as requested in this requirement. would the lottery please list the prize payout for each price point they plan to offer Instant Win games?

Answer:   The Offeror is required to provide recommendations of prize structures and payouts with the exception of the existing DBG's offered.

Date: 8/8/2019

Inquiry: 65199


Question:   Attachment One, Part Two: Work and Contract Administration, Page 91 – “Right to Terminate Because of Audit Findings” – In the first paragraph, please confirm that the reference to “the results of any examination” refers only to results of the formal audits required under the Contract.

Answer:   This is a correct interpretation of the language.

Date: 8/8/2019

Inquiry: 65121


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 103 – “Ownership of Deliverables” – The paragraph continuing from page 102 requires that the Contractor obtain the Lottery’s prior approval and consent to use Pre-existing Materials in any custom “Deliverable”. This requirement seems likely to create a burdensome development process that may delay or discourage innovation that could benefit the Lottery. Please consider replacing this approval requirement with an obligation to grant an appropriate license to the Lottery for such Pre-existing Materials.

Answer:   The Lottery and Contractor may agree to an alternate process.

Date: 8/8/2019

Inquiry: 65135


Question:   Attachment One, Part Two: Work and Contract Administration, Page 90 – “Other Contractors – Please confirm that access to Contractor’s information is subject to Contractor’s safety and security protocols and procedures.

Answer:   This is a correct interpretation of the language.

Date: 8/8/2019

Inquiry: 65118


Question:   Attachment One, Part Two: Work and Contract Administration, Page 89 – “Other Contractors” – Please confirm that Contractor’s obligation to cooperate with other lottery contractors, including independent verification and validation contractors, is subject to a commercial reasonableness standard.

Answer:   This is a correct interpretation of the language.

Date: 8/8/2019

Inquiry: 65117


Question:   Attachment One: General Terms and Conditions Insurance Page 93 Technology Professional Liability (Errors and Omissions) This section also states E and O limits as “per occurrence” Professional Liability policy are written on a claims made basis therefore, we request that this section ready as follows: Technology Professional Liability (Errors and Omissions) Insurance appropriate to the Contractor’s profession, with limits not less than $2,000,000 per claim, $2,000,000 aggregate.

Answer:   The Lottery declines to change this language – please note the word “or” in the Technology Professional Liability section.

Date: 8/8/2019

Inquiry: 65194


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 102 – “Confidentiality Agreements” – We object to the Lottery’s imposing obligations of confidentiality that may be enforceable against individual employees of the Contractor. Our employees will be acting in their capacities and within their duties as an employee of the Contractor and therefore will be subject to the same obligations of confidentiality as the corporate entity. Please confirm that no individual employee will be required by the Lottery to enter into a separate confidentiality agreement that may subject them to personal liability vis-à-vis the Lottery or the state of Ohio or its political subdivisions.

Answer:   That is not a correct interpretation of the specified language. The Lottery declines to change the language.

Date: 8/8/2019

Inquiry: 65148


Question:   Attachment One, Part One: Performance and Payment, Page 88 – “Right of Offset” – In the first full paragraph the Lottery is given the right to offset certain liabilities that include “claims for damages” and for amounts owed under other contracts between the parties. Please confirm that the offset rights may be exercised only for proven or final damages amounts and not simply any amount claimed by the Lottery as damages.

Answer:   This is a correct interpretation of the specified language.

Date: 8/8/2019

Inquiry: 65116


Question:   Attachment One, Part One: Performance and Payment, Page 86 – “Term” – in the fourth full paragraph, the Lottery imposes a five business day deadline to provide notice of a potential delay in Contractor’s performance due to a failure of Lottery to meet its own obligations. Since the circumstances of such a delay are virtually impossible to predict, please consider changing this hard 5-day deadline to “within a reasonable time”.

Answer:   The Lottery declines to change this section.

Date: 8/8/2019

Inquiry: 65115


Question:   Attachment One, Part One: Performance and Payment, Page 86 – “Term” – In the fourth full paragraph appears to exclude Contractor’s liability for a failure to meet a particular deadline due to the Lottery’s failure to meet its own obligations. Please confirm that this exclusion of liability would also apply to the failure of any third party acting at the direction or for the benefit of the Lottery, such as the failure of another Lottery supplier to meet its obligations?

Answer:   This is a correct interpretation of the specified language.

Date: 8/8/2019

Inquiry: 65114


Question:   General Comment – Throughout the terms and conditions in Attachment One, the Lottery has authority in numerous provisions to act in its discretion or in its sole and exclusive judgement or opinion. We understand that the Lottery will need this authority to act to ensure it can maintain the integrity of its operations, however we ask that this authority include an obligation on the Lottery to act reasonably with making these decisions. While this may be an implied obligation under general contract law, we ask that this be made express throughout the terms and conditions.

Answer:   The Lottery thanks you for your general comment.

Date: 8/8/2019

Inquiry: 65112


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 103 – “Ownership of Deliverables” – The last paragraph of this section appears to conflict with the definition of “Confidential Information”. The definition applies to Contractor’s confidential information and this section would prohibit or limit the Contractor from using its own information in connection with its performance under the Contract. Please confirm who’s confidential information is referred to and intended to be limited in this paragraph?

Answer:   This section is related to confidential information provided by the Lottery as defined in the first paragraph of Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information.

Date: 8/8/2019

Inquiry: 65136


Question:   First paragraph in Attachment Ten (the Affirmation and Disclosure Form) and Attachment Fourteen - Thank you for your response to the question regarding offshore services. Can the OLC please confirm that the prohibition on providing/performing services outside of the United States expressly stated in these sections pertains only to Lottery data meaning that services can be performed outside of the United States provided that no Lottery data is transferred outside of the United States. Assuming this is correct, can the Ohio Lottery Commission please confirm that the appropriate waivers will be available.

Answer:   This interpretation is correct, waivers will be discussed after Contract award.

Date: 8/8/2019

Inquiry: 65134


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 102 – “Ownership of Deliverables” – The scope of the “Pre-existing Materials” as defined in this section is unclear. As currently drafted, this provision could be interpreted to mean that ownership of the software comprising Contractor’s existing iLottery System may transfer to the Lottery, which we do not believe to be the intent of this provision. Please confirm that ownership of only the materials contained in the Deliverables that are developed or created specifically for the Lottery as a requirement of the RFP or the Contract will transfer to the Lottery and that the other materials constitute Pre-existing Materials owned by the Contractor.

Answer:   This is a correct interpretation of the specified language.

Date: 8/8/2019

Inquiry: 65132


Question:   Attachment One, Part Three: Ownership and Handling of Intellectual Property and Confidential Information, Page 101 – “Confidentiality” – Please confirm that the Lottery is also subject to confidentiality obligations subject to the application of the Ohio Open Records Act.

Answer:   Yes, the Ohio Lottery is subject to the Ohio Open Records Law.

Date: 8/8/2019

Inquiry: 65131


Question:   Attachment One, Part Two: Work and Contract Administration, Page 97 – “Suspension and Termination” – in the last full paragraph on this page, it states that Contractor is solely responsible for satisfying any claims of its subcontractors for any suspension or termination of the Contract. While such an obligation may be appropriate in the event of Contractor’s breach or inability to perform, it appears inapplicable and commercially unreasonable in the event of a termination for convenience by the Lottery. Please confirm that the compensation received by the Contractor in relation to a Lottery termination of the Contract for convenience will include reimbursement for the reasonable and support claims of Contractor’s subcontractors.

Answer:   This is addressed on page 96, the terms state that, “If the termination is for the convenience of the Lottery, the Contractor will be entitled to the Contract prices as prorated by the Lottery Contract price for deliverables, products or services accepted by the Lottery….

Date: 8/8/2019

Inquiry: 65130


Question:   Attachment One, Part Two: Work and Contract Administration, Page 97 – “Suspension and Termination” – In the last full paragraph on this page, it states that a default by Contractor and any of its subcontractors will be considered a default by Contractor and all of its subcontractors. Since each subcontractor will be providing different and unique goods and/or services, please clarify how one subcontractor can be held liable by the Lottery for the default of a separate and wholly unrelated subcontractor?

Answer:   The Lottery will amend the first sentence of the last full paragraph to read – Any default by the Contractor and any of its subcontractors will be considered a default by the Contractor.

Date: 8/8/2019

Inquiry: 65129


Question:   Attachment One, Part Two: Work and Contract Administration, Page 96 – “Suspension and Termination” – In the first full paragraph at the top of the page, it appears the Lottery is given the right to terminate the Contract if it provides the Contractor with three notices of a failure to meet any obligation at any time during the entire Contract Term, regardless what the obligation is and whether Contractor timely cures the failure. In our view this is unreasonable and ask the Lottery to consider that the three notices should relate to the same failure to be considered a “Persistent” failure.

Answer:   The Lottery will not amend Attachment One, Part Two: Work and Contract Administration.

Date: 8/8/2019

Inquiry: 65127


Question:   On page 51, the RFP states: “The Contractor must have a minimum of two, third-party provider game libraries available at all times. Game library integrations, once completed during an initial project, must provide capabilities for a continuous pipeline of third-party games from that provider without the need for additional integration efforts other than the standard quality assurance cycle.” Questions below: “A continuous pipeline of third-party games from that provider without the need for additional integration efforts…” is only achieved with a Remote Games Server (RGS) integration for third party game content. A major benefit to the proven RGS model in the US iLottery/iGaming markets is it maximizes system-provider and third-party games provider vendor resources for the Lottery. It allows each party to work independently, thus providing maximum vendor resource for the Ohio Lottery. Can the Ohio Lottery confirm that the RGS integration is required for third party games, or that at least one of the third-providers available at launch is required to be integrated via RGS?

Answer:   The RFP does not specify an RGS as a requirement for third party games. The Offeror's must respond with a detailed description of the integration method, workflow, responsibilities and capabilities that will be utilized. This may include an RGS.

Date: 8/7/2019

Inquiry: 65097


Question:   Attachment 4: The link on page 129 does not lead to an active site directory. Could the Lottery please provide the Vendors with a correct link?

Answer:   Any vendor who would like to request the "Acceptance of State Architecture and Computing Standards, Security and Privacy, IT Computing Policy and Data Handling Requirements" as a PDF must send a request to lot.finance2@lottery.ohio.gov.

Date: 8/7/2019

Inquiry: 65084


Question:   Attachment Four: Requirements for Proposals, page 129 - #9 The link provided for the Acceptance of State Architecture and Computing Standards, Security and Privacy, IT Computing Policy and Data Handling Requirements does not work. Will the Lottery please provide an updated link or email each vendor contact the document?

Answer:   Any vendor who would like to request the "Acceptance of State Architecture and Computing Standards, Security and Privacy, IT Computing Policy and Data Handling Requirements" as a PDF must send a request to lot.finance2@lottery.ohio.gov.

Date: 8/7/2019

Inquiry: 65073


Question:   In reference to Attachment 3 section “Location of Data”: Can the Ohio Lottery Commission please explain their understanding of how this will apply in the circumstances of this RFP? Is it contemplated, for example, that development, maintenance and support of all software used must take place by staff physically located at all material times in the United States? Additionally, does this section apply to all data, or only to personal data? Will the Commission provide the circumstances under which they will be prepared to accept a request for waiver?

Answer:   UPDATED RESPONSE: As stated in Section 7 of Attachment 1, and again in the Affirmation and Disclosure Form in Attachment Ten, the Lottery will not enter into any contract where Lottery data is sent, taken, accessed, tested, maintained, backed-up, stored or made available remotely outside of the United States. The applies to all Lottery data. Development may be undertaken outside of the United States, if there is no Lottery data used in said development.

Date: 8/7/2019

Inquiry: 65068


Question:   Attachment 4, page 126. RFP states that "An Offeror’s response to RFP must be inserted in this section of an Offeror’s Proposal response." Could the Lottery please clarify if the Vendors are required to respond to each section of the RFP? If not, please provide a list with the RFP sections where a response is expected.

Answer:   Yes. Vendors are expected and should respond to each RFP section.

Date: 8/6/2019

Inquiry: 65031


Question:   On page 50, section 5.1.8.2.6 Prize Pool Configuratio,the RFP states: "Offerors must describe their capabilities, and recommendation, to support Interactive Game prize pools such as depleting or replenishing prize pools. Offerors must specify any differences in methodology among third-party game providers." Has the Lottery decided if it intends to offer depleting prize pools or replenishing prize pools for its eInstant games?

Answer:   The decision to offer depleting prize pools or replenishing prize pools will be made in conjunction with the Contractor. The Offeror must provide a recommendation of depleting or replenishing prize pools and the capabilities to support the option.

Date: 8/6/2019

Inquiry: 65101


Question:   On page 49, the RFP states “Interactive Games should leverage play styles from the Lottery’s existing portfolio of games and should also include games that are new, engaging, unique play styles not presently offered, yet are legally permitted by the Lottery.” Can the Lottery please define what Interactive Game elements are legally permissible in Ohio? Or, alternatively, define what game elements are not legally permissible in Ohio?

Answer:   The Lottery is able to offer its current games via digital channels that consumers today prefer. Ohio law gives the Lottery the flexibility to determine which games it offers which are predominately of chance. It does not permit the Lottery to offer table games or games of skill. The Lottery will make the final determination as to which games it will offer on its iLottery platform, but is asking the Offeror to provide its recommended approach. A link to the Lottery's current portfolio of games can be found here: https://www.ohiolottery.com/Games/Index

Date: 8/6/2019

Inquiry: 65094


Question:   On page 49, the RFP states: “The Contractor must provide a full suite of Interactive Games for the initial launch of iLottery. At all times during the Contract Term, the Contractor must ensure that at least 20% of the Interactive Games are delivered by third-party providers. Interactive Games must not be reliant on a Flash plugin to be playable in a browser.” Obviously the role of 3rd party game providers is very important for the success of Ohio’s internet lottery program. Can the Lottery confirm that its intends to work directly with 3rd party game providers for QA, working papers, account management, strategic planning and various day to day business activity?

Answer:   The contracts with the 3rd party game providers will be the responsibility of the Contractor as specified in Section 5.1.8.2.9.1.  The Lottery expects that the iLottery Contractor will be the conduit for all information regarding 3rd party games, and provide the necessary specs, QA and day to day activity management.  Strategic planning should be a joint effort between the Lottery, iLottery Contractor and all 3rd party game providers.

Date: 8/6/2019

Inquiry: 65098


Question:   On page 148, the RFP displays iLottery projections. Questions below: a) Can you please describe in high level detail the model you used to determine eInstant projections? b) What payout percent was used to establish eInstant GGR? c) Does “iKeno” represent traditional keno sold online or does it represent instant, on-demand keno in an instant game format?

Answer:   a) Can you please describe in high level detail the model you used to determine eInstant projections? Staff from the Ohio Lottery contacted several U.S. Lotteries to review their implementation strategies and launch results. From this, we developed a revenue model based on this research along with specific Ohio market demographics and the general gaming landscape in Ohio. b) What payout percent was used to establish eInstant GGR? Eighty-seven percent payout for e-instant games were used to establish Gross Gaming Revenue. c) Does "iKeno" represent traditional keno sold online or does it represent instant, on-demand keno in an instant game format? iKeno is an on-demand keno instant style format, not the traditional 4-minute Keno played at retail. Note: The i-lottery table attached on page 148 of the RFP lists fiscal years 2020, 2021, and 2022. Those fiscal years should be 2021, 2022, and 2023. An amended table will be provided. Please email your request to: lot.finance2@lottery.ohio.gov

Date: 8/6/2019

Inquiry: 65096


Question:   On page 49, the RFP states “Offerors must provide a plan for launch and an additional twelve-month release schedule for Interactive Games. The plan must address the game types, game mix, prize structures and rationale. The rationale is defined as examples of research, case studies, and outcomes in other jurisdictions. The provider of each game should be clearly labeled in the Proposal." A few questions on the above: 1) RFP does not specify lottery’s preference for payout percentage for interactive games. Does Lottery have any legislated or regulated limitation on payout percent offered for interactive games? 2) Has the lottery determined target payout percent for interactive games? Alternatively, will the Lottery use the information from this and other sections of the Offerers response to determine the payout % of interactive games? 3) Will the Lottery use revenue performance in the US market place as an evaluation criteria for proposed interactive games, whether from system provider or 3rd party? If so, is this the response section where Offerer should include performance data of its proposed game library? 4) Further, as certification adds cost, can the Lottery confirm if interactive games (provided by system or 3rd parties) need to be certified by independent labs?

Answer:   1) Currently, the Lottery's statute grants the Lottery Commission and Director the authority to determine game types and structures-including payout percentages. 2) The Lottery is expecting the Offerors to provide recommended payout percentages in their response. The Lottery will take the responses and other information received from outside entities into account when finalizing payout percentages. Recommended payouts and prize structures should include the rationale based on other jurisdiction results, segment target, theme, and game portfolio mix . 3) Many criteria will be used to evaluate proposed interactive games. Performance data can be included in this section. 4) Yes, all games must be certified by an independent lab.

Date: 8/6/2019

Inquiry: 65095


Question:   Attachment 2: Evaluation Criteria. On page 121, under the Player Banking Services, subsection 5.1.7.2 is listed twice. Is this a typo error and should there be a different subsection?

Answer:   The Ohio Lottery recognizes a typo on page 121, Attachment 2: Evaluation Criteria. The subsections that should be listed under Player Banking Services are 5.1.7.2, 5.1.7.2.2, 5.1.7.2.3, 5.1.7.2.4 and 5.1.7.2.7.1.

Date: 8/6/2019

Inquiry: 65085


Question:   Section 5.1.8.9.2.1, page 51 – This section requires the Contractor to be responsible for contracting with all third-party game providers, however can the Lottery clarify who is expected to pay the fees for usage of the games?

Answer:   Pricing for the RFP is a percent of Gross Gaming Revenue and a percent of Gross Sales, Offerors are encouraged to include alternate pricing models which may benefit both the Offeror and the Lottery, however, this option will not be scored.

Date: 8/6/2019

Inquiry: 65033


Question:   In reference to Attachment 1, Part 7 on page 111 the section headed “Prohibition of the Expenditure of Public Funds for Offshore Services”: Can the Ohio Lottery Commission please provide their understanding of how this will apply in the circumstances of this RFP? Is it contemplated, for example, that development, maintenance and support of all software used must take place by staff physically located at all material times in the United States? Additionally, is the Commission willing to consider a request for waiver for some or all portions of this understanding?

Answer:   As stated in Section 7 of Attachment 1, and again in the Affirmation and Disclosure Form in Attachment Ten, the Lottery will not enter into any contract where Lottery data is sent, taken, accessed, tested, maintained, backed-up, stored or made available remotely outside of the United States. Development may be undertaken outside of the United States, if there is no Lottery data used in said development.

Date: 8/6/2019

Inquiry: 65067


Question:   Section 1.4, page 24 – The State of Ohio procurement site states the Opening Date as August 27, 2019 at 1:00pm (EST) as does the cover page of the RFP, however in 1.4 Summary of Key Dates and Deadlines, the Proposal Due Date is listed as August 28, 2019 at 1:00pm (EST). Can the Lottery confirm which is the correct due date for the proposal?

Answer:   The correct Proposal Due Date is August 27, 2019 at 1:00 pm (EST).

Date: 8/5/2019

Inquiry: 65023


Question:   Section 1.2.1, page 8 – Can the OLC please provide additional information regarding its responsible gambling programs and support, including the Ohio for Responsible Gambling (ORG)?

Answer:   The Ohio Lottery is committed to Responsible Gambling. Some of the ways the Lottery supports Responsible Gambling includes: public awareness campaigns; financial support for problem gambling treatment centers and for workforce development training for treatment professionals; annual Responsible Gambling training for all Lottery and VLT employees; a problem gambling hotline button on all lottery terminals; and most recently created a statewide Voluntary Exclusion Program at Ohio’s eleven casinos and racinos. The Lottery is also a part of a multi-agency collaborative, Ohio for Responsible Gambling (ORG), which is an initiative aimed at promoting responsible gambling in Ohio. Four state agencies in Ohio are working together in this effort: The Ohio Lottery Commission, the Ohio Casino Control Commission, the Ohio State Racing Commission, and the Ohio Department of Mental Health and Addiction Services (OhioMHAS). Additional information on how the Lottery encourages responsible play can be found on our website linked here: https://www.ohiolottery.com/Resources/Play-Responsibly

Date: 8/5/2019

Inquiry: 65024


Question:   Requirement 5.1.14.2.4 Ongoing Staffing, page 68 - This section indicates that one of the proposed locations be located within one mile of Lottery Headquarters. Would the Lottery consider updating this requirement to the following "Offerors must provide a minimum of two proposed locations for the operations and ongoing support staff. One of these locations must be located within ten miles of Lottery Headquarters. The final location for operations and ongoing support staff must be selected and approved by the Lottery during contract negotiation". This requirement update provides equal treatment for all Offerors, will allow all Offerors additional flexibility in facility selection, and not impact the service level anticipated by the Lottery.

Answer:   No, one proposed location must be within one mile of Lottery Headquarters.

Date: 8/5/2019

Inquiry: 65074


Question:   Would the Ohio Lottery please provide vendors with access to a downloadable version of RFP01128 in MS WORD format as is required by RFP per section Attachment Four: Requirements for Proposals , page 126?

Answer:   Any vendor who would like to request the RFP as a Word document must send a request to lot.finance2@lottery.ohio.gov.

Date: 8/2/2019

Inquiry: 64979


Question:   Section 5.1.8.1, page 48 – Can the Lottery please clarify which additional games will be required post launch?

Answer:   As stated in Section 5.1.8.1, the Offeror must provide a plan that defines the 5 games that will be available at the initial launch and the remainder of the games must be delivered one calendar year after startup. The games remaining to be delivered, the strategy for selection and the road map to deliver all remaining games must be identified by the Offeror.

Date: 8/2/2019

Inquiry: 65028


Question:   Section 5.1.7, page 37 – Would the Lottery please provide the type of verification currently required for Cashing Accounts, as well as the vendor/system used for verification services?

Answer:   The Cashing Account program has not launched at this time. Once launched updates will be provided.

Date: 8/2/2019

Inquiry: 65027


Question:   Section 5.1.7, page 37 – Can the Lottery provide the number of users/players that are currently part of the Cashing Accounts program?

Answer:   The Cashing Account has not been launched at this time, therefore, numbers of users of the cashing accounts are not available. Once launched this information can be updated.

Date: 8/2/2019

Inquiry: 65036


Question:   Section 5.1.8.1.4, page 49 – Can the Lottery provide examples of third-party DBG gaming systems that may be required?

Answer:   As stated in section 5.1.8.2, a Contractor must ensure that at least 20% of the Interactive Games are delivered by 3rd party providers. Additionally, section 5.1.8.2.9 states the Contractor must have a minimum of two, third-party provider game libraries available at all times. We would anticipate that these requirements would necessitate integration with 3rd party gaming systems.

Date: 8/2/2019

Inquiry: 65029


Question:   Section 5.1.2.3.1, page 27 – This section of the RFP specifies that the “CGS must allow the system to readily integrate with any third-party gaming system.” Later in the requirement, it states, “The CGS is required to be a stand-alone system, meaning it may not be integrated with any other central gaming system…” Can the Lottery please clarify this specification?

Answer:   As noted in section 5.1.2.3.1, the CGS is required to be a stand alone system, meaning it may not be integrated with any other central gaming system with the sole exception of iCash, withdraw at retail and liability caps. For example, the CGS may not be used for both iLottery and sales at traditional retail locations. However, the CGS must be able to integrate with any 3rd party gaming system to allow sales of 3rd party games.

Date: 8/2/2019

Inquiry: 65025


Question:   Section 5.1.2.6, page 28 – Can the Lottery define which aspects of the solution require ADA compliance?

Answer:   The Ohio Lottery Commission, as a “public entity” (42 U.S.C. §12131-12134 [Title II of the ADA] and 28 C.F.R. §35.104), is responsible for ensuring that qualified individuals with disabilities are not excluded from receiving the benefits of the services, programs, and activities offered by the entity, or are otherwise subjected to discrimination, because its facilities or games are inaccessible to or unusable by such individuals. Title II also requires that a public entity deliver each service, program, or activity so that the service, program, or activity, when viewed in its entirety, is readily accessible to individuals with disabilities (28 C.F.R. §35.150). The Ohio Administrative Code (§3770-4-03(C)) requires the Lottery to use its “best efforts” to make its games easily accessible to the public. Section 5.1.2.6, on page 28, asks each Offeror to describe what efforts, if any, have been taken to ensure that its offerings are free from barriers or are accessible to individuals with disabilities. Please describe if and how your solution has considered individuals protected by the ADA.

Date: 8/2/2019

Inquiry: 65026


Question:   As mentioned in Section 1.2, would the Lottery please provide the Executive Summary of the November 2018 Segmentation study?

Answer:   Any vendor who would like to request the RFP as a Word document must send a request to lot.finance2@lottery.ohio.gov

Date: 8/2/2019

Inquiry: 65066


Question:   Will the Lottery please allow an additional four (4) weeks to respond to this RFP, moving the RFP Due Date to September 27, 2019? A response to any government-issued RFP in four (4) weeks is difficult, and given the complexity of the iLottery system requirements contained in this RFP, Bidders would find it extremely difficult (and some potential bidders might find it effectively impossible) to develop and deliver a thoughtful, comprehensive response to provide the Lottery the best value in such a compressed timeframe.

Answer:   Due to project launch timelines the Lottery must uphold the deadlines as set forth in the RFP, which are being consistently applied to all Offerors.

Date: 8/2/2019

Inquiry: 65017


Question:   Due to the detailed response, MBE components and complex solution requirements of the RFP, would the Lottery please extend the due date 3 weeks (September 17)?

Answer:   Due to project launch timelines the Lottery must uphold the deadlines as set forth in the RFP, which are being consistently applied to all Offerors.

Date: 8/2/2019

Inquiry: 65005


Question:   Would the Lottery please provide access to a Microsoft Word version of the RFP as required on page 126 - "An Offeror’s Proposal submission must be submitted using the Microsoft Word version of the RFP to provide responses to the RFP."?

Answer:   Any vendor who would like to request the RFP as a Word document must send a request to lot.finance2@lottery.ohio.gov

Date: 8/1/2019

Inquiry: 65018


Question:   s stated in page 126 of the RFP, "An Offeror’s Proposal submission must be submitted using the Microsoft Word version of the RFP to provide responses to the RFP." Would the Lottery please provide the MS Word version of the RFP to be used by the Vendors to respond to the RFP?

Answer:   Any vendor who would like to request the RFP as a Word document must send a request to lot.finance2@lottery.ohio.gov

Date: 7/31/2019

Inquiry: 65016


Question:   As offered in Section 1.2 Ohio Customer Base, can the Lottery kindly supply the Executive Summary of the Segmentation study completed in November 2018?

Answer:   Any vendor who would like to request the RFP as a Word document must send a request to lot.finance2@lottery.ohio.gov.

Date: 7/31/2019

Inquiry: 65002


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Inquiry period ended:  8/7/2019 8:00:00 AM