Minimum Qualifications for Gross Billings

Q1: Is the proposer allowed to include all media placement billings from a media buying partner in order to meet the gross billings minimum qualification requirement?

A: Only the billings of the proposer’s clients’ media buys can be included in the minimum billings requirement if there is sufficient oversight by the proposing agency. Sufficient oversight will be determined by CDPH through additional inquiry. Unrelated billings of the media buying partner cannot be used to meet the minimum billings.

Q2: Can the proposer include media billings of a long-term client if the proposing agency leads the media strategy and has other media oversight responsibilities, but the client pays the media buyer directly? If it can be included, how should this be shown if it is not included in the gross billings of the proposer’s financial statements?

A: Yes, a proposing agency can include a client’s media billings if they have oversight of the media, but the client pays the media buyer directly. If this is the case, a statement should be included following Attachment 1 detailing this situation. CDPH reserves the right at any stage to ask for additional clarification, verification or documentation. This could include a request by CDPH in Stage 3 to include a signed statement from the client in question, and the media buyer, confirming the nature of this arrangement and the involvement of the proposing agency.

A: No, the proposing agency may not partner with subcontractors to meet the minimum billing qualification. We are entering into a contract with one agency, so we are focusing on that agency’s capabilities in the minimum qualifications. Only the media placement billings completed by an external buying service for the proposing agency’s clients may be used to meet the minimum gross billings.

Certification of California Office and Gross Billings (Attachment 1)

Q4: Most of the media runs through us, but sometimes, when it benefits a client, we use an external service. Should we select both boxes in Attachment 1, even though it says to select one?

A. No, do not select both boxes. In these cases, please check the box that describes the majority of the media purchases completed by your agency. Attachment 3 - Agency Fact Sheet, provides an opportunity for the proposing agency to indicate what is purchased in house and what is purchased by a buying service by specific media type.

Subcontractors

Q5: Which subcontractors should complete the Subcontractor Fact Sheet (Attachment 3a)?

A: Only subcontractors needed to fulfill major ongoing services as identified in the Scope of Work, Exhibit A are required to complete Attachment 3a. This could include media buyers, advertising agencies specializing in priority populations, public relations services, etc.

Vendors required for intermittent Scope of Work services, such as media tracking and focus group moderators, would not be required to complete this form.