GSAFederal Acquisition Service

`

September 28, 2006

Dear Prospective Offeror:

Thank you for your interest in the General Services Administration’s (GSA) SmartPay® 2 (SP2) Request for Proposals (RFP). It is the culmination of years of market research, focus groups, and numerous meetings with our customers and stakeholders.

GSA SmartPay® is the largest government charge card program in the world. Use of charge cards in government was nothing more than a curiosity a decade ago. Today, use of purchase, travel, fleet, and integrated charge cards under the program has grown into a $25 billion a year business encompassing 350 government agencies/organizations and in excess of 92 million transactions annually. While these historical statistics are not a guarantee of future business, they are indicative of how these cards have become essential support tools for government agencies/organizations in supporting mission delivery. To view these cards as simple “payment tools” is to miss much of the value proposition they offer to the government and the value offerors need to bring to the competition. In short, we are seeking capabilities that enhance the Government’s ability to address business challenges in the purchase, travel and fleet areas of administrative management.

Offerors need to understand that due to agency reliance on these charge cards, any service interruption is unacceptable and the need for a smooth transition between the existing GSA SmartPay® contracts and the new GSA SmartPay® 2 is critical.

As the agent for our customer agencies, we are looking to contract with firms that offer secure, innovative products that support government needs – which can vary greatly in diversity and complexity from agency to agency – at a reasonable price.

Based on input from our customers, GSA seeks to provide improvements from the existing contract in a number of areas. Here are a few examples:

  • New products and services. New products and services as core requirements, separately priced items, and value added items, including: pre-paid cards, contactless cards, and cards in foreign currencies. The government also desires offerors to propose alternatives to convenience check use;
  • Enhanced customer service. 24/7 worldwide customer service has been expanded to include the option for agencies/organizations to receive foreign language customer support for cardholders using their cards overseas, as specified at the task order level;
  • Security of systems and data. The SP2 solicitation contains increased security requirements regarding data management and handling, including new requirements that successful offerors comply with the Federal Information Security Management Act of 2002 (FISMA) and the Payment Card Industry (PCI) security standards, house their data facilities in the United States and restrict data access to Contractor personnel as outlined in C.3.1 Security Requirements.
  • Interchange rates. Lower interchange rates for government to government transactions are required, as well as reduced rates or other alternative approaches for “large ticket” purchases;
  • Enhanced data capture. Innovative solutions are sought from offerors to improve the quality of data (e.g., expanded collection of Level 3 data) to support the Government’s strategic sourcing initiatives, risk mitigation measures, management reports, and other program reporting objectives;

U.S. General Services Administration

CrystalPlaza 4

2200 Crystal Drive

Arlington, VA20406

  • Tax reclamation. Improvements in tax recovery are required to facilitate recovery of taxes paid by agencies/organizations on tax exempt government transactions; and
  • Live test demonstrations. Offerors are required submit their Electronic Access Systems to GSA testing.

The contract period for SP2 includes a transitional period and a transactional period. The transitional period begins on the date of award and ends November 29, 2008. The transactional period (when actual transactions can begin to be processed through systems belonging to/associated with successful offerors) begins as early as November 30, 2007, and has a four-year base period, with one four-year option period, and onethree-year option period.

A successful offeror cannot process transactions under this contract until such time that the customer agency/organization and GSA agree that the Contractor is fully compliant with all master contract and task order requirements and can clearly demonstrate that it can successfully process the transactions through the customer agency’s interface and financial system(s).

The Government reserves the right to limit the number of proposals in the competitive range to the greatest number that will permit an efficient competition among the most highly rated proposals. Thus, an offeror could have an acceptable proposal yet not receive an award as its contract was beyond the greatest number the government considers necessary for efficient competition. Proposals which fall outside of the established competitive range will not be considered for award. Bid and proposal costs will not be reimbursed by the Government.

Proposals submitted in response to this RFP via commercial express delivery should be sent to:

Bertha L. Gelhaus, Contracting Officer

GSA/FSS/FCXC

2200 Crystal Drive, Suite 706

Arlington, VA 22202

Proposalssubmitted via the U. S. Postal Service, are sent to thesameaddress as above, exceptthe zip code to beusedis: 20406.

Potential offerors should read the solicitation carefully. Questions or comments regarding the RFP can be submitted from the date of solicitation issuance until 4:30 pm Eastern Time, October 10, 2006. All comments/questions regarding this RFP must be received by this time, and shall include reasoning associated with any suggested changes/comments to the RFP. The government will periodically post replies to these questions/comments on the FedBizOpps website ( Please e-mail any comments or questions to: .

Proposals are due no later than 4:30 pm Eastern Time, Tuesday, November 28, 2006. Thank you for your interest in the GSA SmartPay® 2 program.

Sincerely,

The GSA SmartPay® Team

CP-FSS-1-C(MAY 2000)

WORLDWIDE FEDERAL SUPPLY SERVICE CONTRACT FOR PURCHASE, TRAVEL,FLEET, AND INTEGRATED CARD SERVICES

GENERAL SERVICES ADMINISTRATION

SOLICITATION NO. FCXC-G1-060001-N

NAICS: 522110, 522210

CONTRACT PERIOD: Date of award through November 29, 2018

ANY INFORMATION THAT MAY BE DESIRED ON THIS PARTICULAR SOLICITATION

CAN BE OBTAINED FROM THE ISSUING OFFICE ADDRESS SHOWN HEREIN.

TABLE OF CONTENTS

A.1 STANDARD FORM 1449

B.1 BACKGROUND INFORMATION

B.2 DEFINITIONS

B.3 PRICING REQUIREMENTS

B.4 REFUNDS

B.4.1 SALES REFUND

B.4.2 PRODUCTIVITY REFUND

B.4.3 ADDITIONAL REFUNDS

B.4.4 INSUFFICIENT REFUNDS

B.5 FREQUENCY OF REMITTANCE

B.6 REFUND OFFSETS ON TRAVEL CARD REFUNDS

B.7 PERFORMANCE BASED METHODS

B.8 BLOCKS 19-24 OF SF 1449: CONTRACT LINE ITEM NUMBERS

C.1 GENERAL SCOPE AND TERMS

C.1.1 BACKGROUND

C.1.2 SCOPE OF WORK

C.1.3 SCHEDULE OF SERVICES

C.1.4 DEFINITIONS

C.1.5 AGENCY/ORGANIZATION ELIGIBILITY DETERMINATIONS

C.1.6 OBJECTIVES

C.1.7 CARD PROGRAM REQUIREMENTS

C.1.8 CREDIT BUREAUS

C.1.9 DELINQUENCY CONTROL

C.1.10 RELEASE OF PROGRAM INFORMATION

C.1.11 CARD FEES

C.1.12 GOVERNMENT-WIDE SHUT DOWN

C.1.13 LIABILITY

C.1.14 MARKETING AND ADVERTISING

C.1.15 CARD DESIGN AND EMBOSSING

C.1.16 QUALITY ASSURANCE

C.1.17 CONTINUITY OF OPERATIONS

C.1.17.1 BACKUP SYSTEM

C.1.18 ESTABLISHING AND MAINTAINING ACCOUNTS

C.1.18.1 PROGRAM ACCOUNTS

C.1.18.2 ACCOUNT SUSPENSION AND CANCELLATION

C.1.19 TAX EXEMPT STATUS

C.1.20 RISK MITIGATION

C.1.21 CONTRACTOR PROBLEM REPORT

C.1.22 GOVERNMENT TO GOVERNMENT TRANSACTIONS

C.2 PRODUCTS, SERVICES, AND SUPPORT

C.2.1 MERCHANT ACCEPTANCE

C.2.2 PROGRAM SUPPORT

C.2.2.1 STRATEGIC SOURCING SUPPORT

C.2.2.2 DATA MINING

C.2.2.3 DELINQUENCY ASSISTANCE

C.2.2.4 RISK MITIGATION ASSISTANCE

C.2.2.5 TAX RECLAMATION

C.2.2.6 KNOWLEDGE SHARING

C.2.2.7 LARGE TICKET TRANSACTIONS

C.2.3 COLLABORATION WITH FRAUD, WASTE, AND ABUSE REVIEWS

C.2.3.1 INVESTIGATION ASSISTANCE

C.2.3.2 AUDIT ASSISTANCE

C.2.4 COMMUNICATION

C.2.4.1 MASTER CONTRACT NEWSLETTER

C.2.4.2 STATEMENT INSERTS

C.2.4.3 STATEMENT MESSAGING

C.2.5 ACCOUNT NUMBER

C.2.6 TECHNOLOGY

C.2.6.1 ELECTRONIC COMMERCE SUPPORT

C.2.6.2 PROGRAM VOLUME GROWTH AND TECHNOLOGICAL ADVANCES

C.2.6.3 ELECTRONIC ACCESS SYSTEMS (EAS)

C.2.7 TRAINING

C.2.7.1 MASTER CONTRACT TRAINING CONFERENCE

C.2.7.2 TRAINING REQUIREMENTS

C.2.8 TRAINING MATERIALS

C.2.9 CUSTOMIZED SERVICES

C.2.10 TRANSITION

C.2.10.1 START-UP/IMPLEMENTATION TRANSITION REQUIREMENTS

C.2.10.2 AGENCY/ORGANIZATION TRANSITION

C.2.10.3 MASTER CONTRACT TRANSITION

C.2.10.4 TECHNOLOGICAL ADVANCE TRANSITION

C.2.10.5 POST CONTRACT REQUIREMENTS

C.2.11 REQUIRED ADDITIONAL PRODUCT AND SERVICE OFFERINGS (TIER 1)

C.2.12 VALUE ADDED PRODUCT AND SERVICE OFFERINGS (TIER 2)

C.2.13 CUSTOMER SERVICE

C.2.14 CARD DELIVERY

C.3 DATA MANAGEMENT AND TRANSACTION SUPPORT

C.3.1 SECURITY REQUIREMENTS

C.3.2 PROGRAM AND TRANSACTION DATA

C.3.2.1 PROGRAM DATA

C.3.2.2 TRANSACTION DATA

C.3.3 REPORTING REQUIREMENTS

C.3.3.1 AGENCY/ORGANIZATION REPORTS

C.3.3.2 GSA REPORTS

C.3.4 RECORD RETENTION AND RETRIEVAL

C.3.5 TRANSACTION AUTHORIZATIONS

C.3.6 AUTHORIZATION CONTROLS

C.3.7 POSTING OF TRANSACTIONS

C.3.8 FOREIGN CURRENCY CONVERSION

C.4 CONTRACT TERMS AND CONDITIONS

C.4.1 CONTRACT TERMS AND CONDITIONS-- COMMERCIAL ITEMS (SEPT 2005) 52.212-4 (DEVIATION-SEPT 2006)

C.5 ADDENDUM TO CLAUSE 52.212-4: ADDITIONAL COMMERCIAL ITEM CONTRACT TERMS AND CONDITIONS

C.5.1 PLACE OF PERFORMANCE: 52.215-6 (OCT 1997)

C.5.2 OPTION TO EXTEND THE TERM OF THE CONTRACT: 52.217-9 (MAR 2000) Deviation

C.5.3 AVAILABILITY OF FUNDS FOR TASK ORDERS: CITC-FCXC-360 (MAR 2006)

C.5.4 BANKRUPTCY: 52.242-13 (JUL 1995) (DEVIATION)

C.5.5 AUTHORIZED DEVIATIONS IN CLAUSES (DEVIATIONFAR52.252-6) (SEP1999)

C.5.6REQUIREMENTS FOR COST OR PRICING DATA OR INFORMATION OTHER THAN COST OR PRICING DATA: 52.215-20 (OCT1997) ALTERNATE IV (OCT 1997)

C.5.7 REQUIREMENTS FOR COST OR PRICING DATA OR INFORMATION OTHER THAN COST OR PRICING DATA—MODIFICATIONS: 52.215-21 (OCT1997) (ALTERNATEIV—OCT1997)

C.5.8 TYPE OF CONTRACT: 52.216-1 (APR 1984)

C.5.9 INDEFINITE QUANTITY: 52.216-22 (OCT1995)

C.5.10 SINGLE OR MULTIPLE AWARDS: 52.216-27 (OCT1995)

C.5.11 NOTICE TO THE GOVERNMENT OF LABOR DISPUTES: 52.222-1(FEB1997)

C.5.12 INTEREST: 52.232-17 (JUN1996)

C.5.13F.O.B. DESTINATION: 52.247-34 (NOV 1991)

C.5.14 CONTRACT TERMS AND CONDITIONS APPLICABLE TO GSA ACQUISITION OF COMMERCIAL ITEMS: 552.212-71 (JUL 2003)

C.5.15 INDUSTRIAL FUNDING FEE (IFF): CITC-FCXC-370 (MAR 2006)

C.5.16 RESERVED

C.5.17 MODIFICATIONS (MASTER CONTRACTS): CITC-FCXC-380 (MAR 2006)

C.5.18 ORDER LIMITATIONS: CITC-FCXC-390 (MAR 2006)

C.5.19 CHANGES—FIXED-PRICE: 52.243-1 (AUG1987)

C.5.20 TERMINATION OF TASK ORDERS: CITC-FCXC-400 (MAR 2006)

C.5.21 ELECTRONIC COMMERCE—FACNET: I-FSS-599 (APR1997)

C.5.22 INTERPRETATION OF MASTER CONTRACT REQUIREMENTS: CITC-FCXC-410 (MAR 2006)

C.5.23 ORGANIZATIONAL CONFLICT OF INTEREST: CITC-FCXC-420 (MAR 2006)

C.5.24 AUTHORIZED NEGOTIATORS: CITC-FCXC-430 (MAR 2006)

C.5.25 CONTRACT ADMINISTRATION PLAN: CITC-FCXC-440 (MAR 2006)

C.5.26 GOVERNMENT POINTS OF CONTACT: CITC-FCXC-450 (MAR 2006)

C.5.27 GSA CONTRACTING OFFICER'S AUTHORITY: CITC-FCXC-460 (MAR 2006)

C.5.28 ORDERING: CITC-FCXC-470 (MAR 2006)

C.5.29 CARD ACTION TEAMS (CATS): CITC-FCXC-480 (MAR 2006)

C.5.30 KICK OFF MEETING: CITC-FCXC-490 (MAR 2006)

C.5.31 KEY PERSONNEL: CITC-FCXC-500 (MAR 2006)

C.5.32 SERVICE IMPROVEMENTS: CITC-FCXC-510 (MAR 2006)

C.5.33 CONTRACT PERFORMANCE STANDARDS: CITC-FCXC-520 (MAR 2006)

C.5.34 PRIVACY ACT NOTIFICATION: 52.224-1 (APR 1984)

C.5.35 PRIVACY ACT: 52.224-2 (APR 1984)

C.5.36 GUARANTEED MINIMUM: CITC-FCXC-530 (MAR 2006)

C.5.37 CONTRACTOR REQUEST FOR PAYMENT OF THE GUARANTEED MINIMUM: CITC-FCXC-540 (MAR 2006)

C.5.38 GRATUITIES: 52.203-3 (APR1984)

C.5.39 PRINTING/COPYING DOUBLE-SIDED ON RECYCLED PAPER: 52.204-4 (AUG 2000)

C.5.40 RESTRICTIONS ON CERTAIN FOREIGN PURCHASES: 52.225-13 (FEB 2006)

C.5.41 OPTION TO EXTEND THE TERM OF TASK ORDERS: CITC-FCXC-550 (MAR 2006)

C.5.42 NOTICE TO OFFERORS OF SUBCONTRACTING PLAN REQUIREMENTS: 552.219-71 (JUN 2005)

C.5.43 LIQUIDATED DAMAGES -SUBCONTRACTING PLAN: 52.219-16 (JAN 1999)

C.5.44 DATA UNIVERSAL NUMBERING SYSTEM (DUNS) NUMBER: 52.204-6(OCT 2003)

C.5.45 CENTRAL CONTRACTOR REGISTRATION: 52.204-7 (JULY 2006)

C.5.46 RESERVED

C.5.47 RESTRICTION ON ADVERTISING (SEP 1999) 552.203-71

C.6 CONTRACT TERMS AND CONDITIONS REQUIRED TO IMPLEMENT STATUTES OR EXECUTIVE ORDERS— COMMERCIAL ITEMS (AUG 2006) 52.212-5

D.1 INSTRUCTIONS TO OFFERORS--COMMERCIAL ITEMS (JAN2006): 52.212-1

D.2 ADDENDUM TO 52.212-1 – ADDITIONAL INSTRUCTIONS TO OFFERORS

D.2.1 SUBMISSION OF OFFERS IN THE ENGLISH LANGUAGE: 52.214-34 (APR1991)

D.2.2 SUBMISSION OF OFFERS IN U.S. CURRENCY: 52.214-35 (APR1991)

D.2.3 PREAWARD ON-SITE EQUAL OPPORTUNITY COMPLIANCE REVIEW: 52.222-24 (FEB1999)

D.2.4 SERVICE OF PROTEST: 52.233-2 (AUG1996)

D.2.5 PERIOD FOR ACCEPTANCE OF OFFERS: L-FSS-FCXC-020 (JUL1997)

D.2.6 RESERVED

D.2.7 AWARD: L-FSS-FCXC-150 (APR 2006)

D.2.8 DISPOSITION OF PROPOSALS: L-FSS-FCXC-160 (APR 2006)

D.2.9 ANNOUNCEMENT OF AWARD(S): L-FSS-FCXC-170 (APR 2006)

D.2.10 SUBMISSION OF PROPOSALS: L-FSS-FCXC-180 (APR 2006)

D.2.11 RECEIPT OF OFFERS: L-FSS-FCXC-190 (APR 2006)

D.2.12 552.219-72 PREPARATION, SUBMISSION, AND NEGOTIATION OF SUBCONTRACTING PLANS (JUN2005) 519.708-70(b)

D.2.13 552.219-73GOALS FOR SUBCONTRACTING PLAN (JUN2005) (ALTERNATEI--JUN2005) 519.708-70(c)(2)

D.2.14 SPECIAL REQUIREMENTS: CITC-FCXC-570 (APR 2006)

D.3 EVALUATION—COMMERCIAL ITEMS: M-FSS-FCXC-130 (APR 2006)

D.3.1 METHOD OF AWARD: M-FSS-FCXC-140 (APR 2006)

D.3.2 EVALUATION OF TECHNICAL CRITERIA: M-FSS-FCXC-150 (APR 2006)

D.3.3 EVALUATION OF PRICE FOR EACH BUSINESS LINE: M-FSS-FCXC-160 (APR 2006)

E. DOCUMENTS, EXHIBITS, OR ATTACHMENTS

1

A.1 STANDARD FORM 1449

SOLICITATION/CONTRACT/ORDER FOR COMMERCIAL ITEMS
OFFEROR TO COMPLETE BLOCKS 12, 17, 23, 24, & 30 / 1. REQUISITION NUMBER / PAGE 1 OF
2. CONTRACT NO. / 3. AWARD/EFFECTIVE DATE / 4. ORDER NUMBER
N/A / 5. SOLICITATION
FCXC-G1-060001-N / 6. SOLICITATION ISSUE DATE
09/28/2006
7.FOR SOLICITAITON
INFORMATION CALL: / A. NAME
Bertha L. Gelhaus, Contracting Officer / B. TELEPHONE NUMBER (No collect calls)
703-605-2865 / 8. OFFER DUE DATE/
LOCAL TIME
11/28/2006 4:30 p.m.
9. ISSUED BYCODE |______
GSA/FSS/FCXC
2200 Crystal Drive, Suite 706
Arlington, VA22202 / 10. THIS ACQUISITION IS
 UNRESTRICTED OR SET ASIDE:% For:
 SMALL BUSINESS EMERGING SMALL BUSINESS
 HUZONE SMALL BUSINESS
 SERVICE-DISABLED VETERAN- 8(a)
OWNED SMALL BUSINESS
NAICS: 522110, 522210
SIZE STANDARD:
IMPORTANT: Complete all shaded blocks and submit proposal to the address above.
11. DELIVERIES FOR FOB DESTINATION UNLESS BLOCK IS MARKED
SEE SCHEDULE / 12. DISCOUNT TERMS /  13a. THIS CONTRACT IS A RATED ORDER UNDER DPAS
(15 CFR 700) / 13b. RATING
14. METHOD OF SOLICITATION
 RFQ IFB RFP
15. DELIVER TOCODE |______
As Shown On Individual Delivery/Task Orders / 16. ADMINISTERED BYCODE |______
See Block 9
17a. CONTRACTOR/OFFERORCODE|__N/A__|FACILITY CODE |___N/A___ / 18a. PAYMENT WILL BE MADE BYCODE |______
As Shown On Individual Delivery/Task Orders
TELEPHONE NO.
 17b. CHECK IF REMITTANCE IS DIFFERENT AND PUT SUCH ADDRESS IN OFFER / 18b. SUBMIT INVOICES TO ADDRESSD SHOWN IN BLOCK 18a UNLESS BLOCK BELOW IS CHECKED  SEE ADDENDUM
19.
ITEM NO. / 20.
SCHEDULE OF SUPPLIES/SERVICES / 21.
QUANTITY / 22.
UNIT / 23.
UNIT PRICE / 24.
AMOUNT
See Section B
25. ACCOUNTING AND APPROPRIATION DATA / 26. TOTAL AWARD AMOUNT (For Govt. Use Only)
 27a. SOLICITATION INCORPORATES BY REFERENCE FAR 52.212-1, 52.212-4. FAR 52.212-3, AND 52.212-5 ARE ATTACHED.ADDENDA  ARE  ARE NOT ATTACHED.
 27b. CONTRACT/PURCHASE ORDER INCORPORATES BY REFERENCE FAR 52.212-4, AND 52.212-5 IS ATTACHED.ADDENDA  ARE  ARE NOT ATTACHED.
 28. CONTRACTOR IS REQUIRED TO SIGN THIS DOCUMENT AND RETURN ____10_____ COPY TO ISSUING OFFICE. CONTRACTOR AGREES TO FURNISH AND DELIVER ALL ITEMS SET FORTH OR OTHERWISE IDENTIFIED ABOVE OR AND ON ANY ADDITIONAL SHEETS SUBJECT TO THE TERMS AND CONDITIONS SPECIFIED /  29. AWARD OF CONTRACT: REF. ______OFFER
DATED ______. YOUR OFFER ON SOLICITATIONS (BLOCK 5). INCLUDING ANY ADDITIONS OR CHANGES WHICH ARE SET FORTH HEREIN, IS ACCEPTED AS TO ITEMS.
30a. SIGNATURE OF OFFEROR/CONTRACTOR / 31a. UNITED STATES OF AMERICA (SIGNATURE OF CONTRACTING OFFICER)
30b. NAME AND TITLE OF SIGNER (Type or Print) / 30c. DATE SIGNED / 31b. NAME OF CONTRACTING OFFICER (Type or Print) / 31c. DATE SIGNED

SECTION B

Blocks 19-24 of SF 1449: Contract Line Item Numbers—Continued

B.1 BACKGROUND INFORMATION[1]

The current GSA SmartPay® Program master contract was awarded in November 1998, and the GSA SmartPay® Program has become the premier program for purchase, travel, fleet, and integrated card use throughout the Federal Government. The program experienced its strongest growth in its first years, as convenience and savings from program use over traditional procurement methods drove increased acceptance throughout the Federal Government. Meanwhile, the total number of cardholders has leveled or trended down due to the deactivation of dormant or infrequently used cards. This general trend is attributable to efforts in reducing government exposure to the risks associated with unused or underused cards. The following exhibits display the historical trends for spend, transactions, and number of cardholders for purchase, travel, and fleet card data:

*Cards (thousands) data from 2003-2005 is incomplete. This created the

sudden drop in cards as compared to transactions and spend.

B.2 DEFINITIONS

Agency/Organization Gross Refund: The calculated amount of the agency/organization refund (Sales, Productivity, and additional refunds as discussed in B.4 Refunds) inclusive of GSA’s Industrial Funding Fee (IFF).

Agency/Organization Net Refund: The calculated amount of the Agency/Organization Gross Refund in dollars less GSA’s IFF in dollars and other applicable adjustments.

Agency/Organization Net Refund after Positive/Negative Incentives: The calculated amount of agency/organization net refund adjusted for performance based positive/negative incentives.

Basis Point (bp): One hundredth of one percent.

Corrective Refund: Payments from the charge card Contractor to the agency/organization to correct improper or erroneous payments, or an invoice adjustment.

Credit: Any transaction that lowers the Government’s amount due.

Credit Loss Rate: Fee offset against agency/organization individually billed refunds when net credit losses on individually billed travel accounts during the reporting period are greater than or equal to 30 basis points of Net Charge Volume for individually billed travel accounts. The rate shall be calculated by dividing the net charge volume (for individually billed accounts) into the dollar amount of the 1) Net Credit Losses greater than or equal to 30 basis points in the current reporting period and 2) Net Credit Losses carried over from previous reporting period, if applicable. The rate shall be calculated at the Level 2 hierarchy, (i.e., Army, Navy, Air Force, Agency/organization Bureau, etc.) or in those cases where the agency/organization calculates the refunds at a higher level, at that level.

Dollar Basis to Determine Sales Refund: Net Charge Volume less Gross Credit Losses.

File Turn: Sum of Daily Balances divided by Sum of Daily Sales.

Gross Basis Points: The number of Contractor-offered basis points.

Gross Credit Loss: Balances that reach 180 calendar days past the closing date on the statement of account in which the charges appeared for the reporting period.

Industrial Funding Fee (IFF): Fee assessed against all agencies/organizations for all products and services under the GSA SmartPay® program.

Net Charge Volume: The sum of all purchases, including Travelers Checks, Convenience Checks, ATM, and other fee-generating products/services less merchant credits.

Net Credit Losses: Balances in individually billed accounts that reach 180 calendar days past the closing date on the statement of account in which the charges appeared for the reporting period less recovered amounts. Recovered amounts are net of recovery fees paid to third parties.