The proposed Modification No. 21 to the contract with Paymentech LLC seeks to increase the Not-to-Exceed amount from $6,000,000.00 to $8,000,000.00, providing an additional $2,000,000.00 in funding for the current performance period of Option Period Three. This modification is essential for Paymentech to continue delivering Merchant Processing Services for various District of Columbia agencies, covering both cardholder present and not present transaction processing. The contract, which has a base period of three years and five two-year option periods, has been awarded through a competitive bidding process, with Paymentech demonstrating a strong track record in the industry and confirming no pending legal claims against the District.

Additionally, the bill amends the existing waiver process for subcontracting requirements under D.C. Code 2-218.46, specifically for the Office of the Chief Financial Officer (OCFO). It stipulates that waivers can only be granted if there is insufficient market capacity for the required goods or services, and requests must be submitted to the Department of Small and Local Business Development (DSLBD) at least 30 days prior to the desired decision date. The total contract value for Merchant Processing Services is set at $4,000,000 over five years, with the modification raising the cumulative contract value from $42,750,000.00 to $44,750,000.00, while all other terms and conditions remain unchanged.