Escrow Services

Performance Work Statement (PWS)

This Performance Work Statement (PWS) outlines the requirements for escrow, tax, and insurance sub-servicing to support the U.S. Department of Agriculture (USDA) Rural Development (RD) Section 502 Direct Loan Program. The goal is to ensure timely payment of real estate taxes and insurance premiums, protecting the Government's security and financial interests for approximately 132,000 Direct Single-Family Housing loans nationwide.

The contractor will provide nationwide non-personal escrow sub-servicing for RD's Direct Single-Family Housing loan portfolio and obtain delinquent real estate tax information for RD Multi-Family Housing properties. Key services include:

• Contract Implementation & Transition: Managing the transition-in and startup of services.
• Tax Services: Establishing tax lines, paying bills, conducting delinquent tax searches, and managing tax liabilities.
• Insurance Services: Establishing insurance lines, paying premiums, managing renewals, and providing lender-placed insurance and flood determinations.
• Loss Claims Processing: Administering insurance loss claims, including issuing loss drafts and negotiating claims.
• Escrow Analysis: Performing annual and ad hoc escrow account analyses.
• Payment Processing: Handling refunds and returned payments.
• Communication: Managing mail, fax, email, and a web-based interface for processing and information access.
• Call Center Operations: Operating an escrow call center for borrowers, insurers, and taxing authorities.
• Program Management Support: Developing and executing a Program Management Plan, tracking milestones, and providing reporting.

Performance will be monitored based on metrics such as Average Speed to Answer (ASA), Abandonment Rate, Document Processing timeliness, Tax and Insurance Payment timeliness, and Loss Claims processing times. Specific Acceptable Quality Levels (AQLs) are defined for various performance areas, including implementation reporting, milestone achievement, and system readiness.

Services are to be performed nationwide, supporting properties throughout the United States and its territories. The contract type is Indefinite Delivery Indefinite Quantity (IDIQ).

• Compliance: Services must comply with USDA Handbook HB-2-3550, Chapter 7, applicable federal regulations, and state/local laws. Consumer Financial Protection Bureau (CFPB) regulations do not apply.
• Systems: The contractor must utilize a system capable of interfacing with RD’s Loan Origination System (UNIFI) and Loan Servicing System (Sagent/Sagent LoanServ). Cloud-based systems must be FedRAMP authorized.
• Data Security: All work and data generated must be within the United States. Personnel require Public Trust clearance. Confidentiality and nondisclosure of PII are critical.
• Reporting: Numerous reports are required, including monthly performance reports, daily disbursement reports, and specific loss claims and flood determination reports.
• Key Personnel: Specific qualifications are required for Project Manager, Chief Legal Counsel, Relationship Manager, and Business Manager roles.

Sources Sought Notice

This Sources Sought Notice (SSN) is issued by the U.S. Department of Agriculture, Rural Development (RD) to gather market information and identify qualified vendors capable of providing nationwide escrow services. The goal is to understand market capabilities and conditions for a potential future solicitation. This notice is for market research purposes only and is not a Request for Proposal (RFP) or Request for Quote (RFQ). Submissions are voluntary and do not commit the government to a contract.

The SSN is being used to research comprehensive escrow services for RD's Direct Single-Family Housing loan portfolio, which as of January 2026, includes approximately 132,000 loans with about 96% of the portfolio escrowed for real estate taxes and insurance. The portfolio is geographically dispersed across all 50 states and U.S. territories.

• Due Date: No later than 12:00 PM ET, May 7, 2026.

• Format: MS Word (doc) and/or Portable Document Format (PDF).

• Submission Method: Email to Sora.Jung@usda.gov and Lawanda.Henry@usda.gov.

• Page Limit: 15 pages (8x11), single-spaced, 12-point font minimum.

• Content: Responses should address questions in Exhibit A and provide information substantiating capability in the attached draft Performance Work Statement (PWS).

• Cost Proposal: Do not submit a cost proposal.

• Company information (Name, Address, Website, POC details)

• SAM UEI and CAGE code

• Size classification (Small Business, Other Than Small Business)

• Socio-economic status (SDB, WOSB, EDWOSB, VOSB, SDVOSB, HUBZone, 8(a), ANC, etc.)

• Experience in nationwide escrow sub-servicing, including loan volume and types.

• Technology platform details, including cloud-based status and FedRAMP authorization.

• Capability to interface with government systems and supported data formats.

• Onboarding capabilities for large portfolios.

• Experience with portfolio transitions (in/out) and risk mitigation.

• Call center capabilities.

• Approach to lender-placed insurance and compliance.

• Insurance loss claims processing.

• Delinquent tax identification and resolution.

• Flood determination and monitoring.

• Feedback on the achievability of draft PWS performance standards.

• Preferred pricing models and estimated pricing for various services.

• Views on bundling services vs. separate procurement.

• Responses become government property and will not be returned.

• Proprietary information must be clearly marked.

• The government is not obligated to acknowledge receipt or provide feedback on submissions.

• This SSN is subject to change and does not commit the government to procure services.