Linking Agreement COG and Hays Companies-Signed-10-12-21 Council Meeting
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1/2/2020
LINKING AGREEMENT
BETWEEN
THE CITY OF GLENDALE, ARIZONA
AND
Hays Companies
THIS LINKING AGREEMENT (this “Agreement”) is entered into as of this day of
, 20 , between the City of Glendale, an Arizona municipal corporation (the “City”), and
Hays Companies, a(n) Minnesota corporation authorized to do business in Arizona (“Contractor”),
collectively, the “Parties.”
RECITALS
A.
On July 1, 2020 under (S.A.V.E Cooperative Purchasing Agreement, the City of Peoria entered
into a contract with Contractor to purchase the goods and services described in the City of
Peoria Solicitation No. P20-0024(“Cooperative Purchasing Agreement”), which is attached
hereto as Exhibit A. The Cooperative Purchasing Agreement permits its cooperative use by
other governmental agencies including the City.
B.
Section 2-149 of the City’s Procurement Code permits the Materials Manager to procure goods
and services by participating with other governmental units in cooperative purchasing
agreements when the best interests of the City would be served.
C.
Section 2-149 also provides that the Materials Manager may enter into such cooperative
agreements without meeting the formal or informal solicitation and bid requirements of
Glendale City Code Sections 2-145 and 2-146.
D.
The City desires to contract with Contractor for supplies or services identical, or nearly
identical, to the supplies or services Contractor is providing other units of government under
the Cooperative Purchasing Agreement. Contractor consents to the City’s utilization of the
Cooperative Purchasing Agreement as the basis of this Agreement, and Contractor desires to
enter into this Agreement to provide the supplies and services set forth in this Agreement.
AGREEMENT
NOW, THEREFORE, in consideration of the foregoing recitals, which are incorporated by reference,
and the covenants and promises contained in this Linking Agreement, the parties agree as follows:
1.
Term of Agreement. The City is purchasing supplies and/or services from Contractor
pursuant to the Cooperative Purchasing Agreement. According to the Cooperative
Purchasing Agreement, purchases can be made by governmental entities from the date of
award, which was July 1, 2020, until the date the contract expires on June 30, 2021 unless the
term of the Cooperative Purchasing Agreement is extended by the mutual agreement of the
original contracting parties. The Cooperative Purchasing Agreement, however, may not be
extended beyond June 30, 2025. The initial period of this Agreement, therefore, is the period
from the Effective Date of this Agreement until June 30, 2022. The City may renew the term
of this Agreement for three (3) additional one (1) year renewals until the Cooperative
Purchasing Agreement expires on June 30, 2025. Glendale renewals are not automatic and
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shall only occur if the City gives the Contractor notice of its intent to renew. The City may
give the Contractor notice of its intent to renew this Agreement 30 days prior to the
anniversary of the Effective Date to effectuate such renewal.
2.
Scope of Work; Terms, Conditions, and Specifications.
A.
Contractor shall provide City the supplies and/or services identified in the Scope of
Work attached as Exhibit B.
B.
Contractor agrees to comply with all the terms, conditions and specifications of the
Cooperative Purchasing Agreement. Such terms, conditions and specifications are
specifically incorporated into and are an enforceable part of this Agreement.
3.
Compensation.
A.
City shall pay Contractor compensation at the same rate and on the same schedule as
provided in the Cooperative Purchasing Agreement, which is attached hereto as
Exhibit C.
B.
The total purchase price for the supplies and/or services purchased under this
Agreement shall not exceed seventy thousand dollars ($70,000) annually or two
hundred and eighty thousand dollars ($280,000) for the entire term of the Agreement
(initial term plus any renewals).
4.
Cancellation. This Agreement may be cancelled pursuant to A.R.S. § 38-511.
5.
Non-discrimination. Contractor must not discriminate against any employee or applicant for
employment on the basis of race, color, religion, sex, national origin, age, marital status, sexual
orientation, gender identity or expression, genetic characteristics, familial status, U.S. military
veteran status or any disability. Contractor will require any Sub-contractor to be bound to the
same requirements as stated within this section. Contractor, and on behalf of any
subcontractors, warrants compliance with this section.
6.
Insurance Certificate. A certificate of insurance applying to this Agreement must be provided
to the City prior to the Effective Date.
7.
E-verify. Contractor complies with A.R.S. § 23-214 and agrees to comply with the
requirements of A.R.S. § 41-4401.
8.
No Boycott of Israel. To the extent A.R.S § 35-393 through § 35-393.03 are applicable, the
parties hereby certify that they are not currently engaged in, and agree for the duration of the
Agreement to not engage in, a boycott of goods or services from Israel, as that term is defined
in A.R.S § 35-393.
9.
Attestation of PCI Compliance. When applicable, the Contractor will provide the City
annually with a Payment Card Industry Data Security Standard (PCI DSS) attestation of
compliance certificate signed by an officer of Contractor with oversight responsibility.
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LINKING AGREEMENT
BETWEEN
THE CITY OF GLENDALE, ARIZONA
AND
Hays Companies
EXHIBIT A
(City of Peoria RFP Solicitation No. P20-0024)
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4/29/2021
LINKING AGREEMENT
BETWEEN
THE CITY OF GLENDALE, ARIZONA
AND
Hays Companies
EXHIBIT B
Scope of Work
PROJECT
Hays Companies will provide Employee Benefit Consulting Services.
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LINKING AGREEMENT
BETWEEN
THE CITY OF GLENDALE, ARIZONA
AND
Hays Companies
EXHIBIT C
METHOD AND AMOUNT OF COMPENSATION
1. Contractor will invoice the City of Glendale monthly or annually for Employee Benefits
Consulting Services.
2. The City of Glendale will pay by Check or by EFT.
NOT TO EXCEED AMOUNT
The total amount of compensation paid to Contractor for full completion of all work required by
the Project must not exceed $70,000 annually or $280,000 for the entire term of the Agreement.
DETAILED PROJECT COMPENSATION
The proposed fees include all costs (i.e. miscellaneous administrative, travel, etc.) and the services
identified in the Scope of Services.
Total Cost Not to Exceed:
July 2021 – June 2022 $60,000
July 2022 – June 2023 $61,000
July 2023 – June 2024 $62,000
July 2024 – June 2025 $63,000
Provide separate fees for any additional services that may be required outside the annual fee (i.e.,
Actuarial Analysis, TPA Audit).
Actuarial Analysis $7,000 - $15,000
Conduct TPA Audit $10,000 - $15,000
REQUEST FOR PROPOSAL
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
INSTRUCTIONS TO OFFEROR
COP202 Rev(11/26/19)CF
Page 2 of 21
1.
PREPARATION OF PROPOSAL:
a.
All proposals shall be on the forms provided in this Request For Proposal package. It is permissible to copy these forms if required.
Telegraphic (facsimile) or mailgram proposals will not be considered.
b.
The Offer and Contract Award document (COP Form 203) shall be submitted with an original ink signature by a person authorized to
sign the offer.
c.
Erasures, interlineations, or other modifications in the proposal shall be initialed in original ink by the authorized person signing the
Vendor Offer.
d.
If price is a consideration and in case of error in the extension of prices in the proposal, the unit price shall govern. No proposal shall
be altered, amended, or withdrawn after the specified proposal due date and time.
e.
Periods of time, stated as a number of days, shall be calendar days.
f.
It is the responsibility of all Offerors to examine the entire Request For Proposal package and seek clarification of any item or
requirement that may not be clear and to check all responses for accuracy before submitting a bid. Negligence in preparing a Proposal
confers no right of withdrawal after proposal due date and time.
2.
INQUIRIES: Any question related to the Request For Proposal shall be directed to the Buyer whose name appears on the front. The Offeror
shall not contact or ask questions of the department for which the requirement is being procured. Questions should be submitted in writing
when time permits. The Buyer may require any and all questions be submitted in writing at the Buyer's sole discretion. Any correspondence
related to a Request For Proposal should refer to the appropriate Request For Proposal number, page, and paragraph number. However,
the Offeror shall not place the Request For Proposal number on the outside of any envelope containing questions since such an envelope
may be identified as a sealed proposal and may not be opened until after the official Request For Proposal due date and time.
3.
PROSPECTIVE OFFERORS CONFERENCE: A prospective offerors conference may be held. If scheduled, the date and time of this
conference will be indicated within this document. The purpose of this conference will be to clarify the contents of this Request For Proposal
in order to prevent any misunderstanding of the City's position. Any doubt as to the requirements of this Request For Proposal or any apparent
omission or discrepancy should be presented to the City at this conference. The City will then determine if any action is necessary and may
issue a written amendment to the Request for Proposal. Oral statements or instructions will not constitute an amendment to this Request for
Proposal.
4.
LATE PROPOSALS: Late Proposals will not be considered, except as provided by the City of Peoria Procurement Code. A vendor
submitting a late proposal shall be so notified.
5.
WITHDRAWAL OF PROPOSAL: At any time prior to the specified proposal due date and time, a Vendor (or designated representative) may
withdraw the proposal. Telegraphic (facsimile) or mailgram proposal withdrawals will not be considered.
6.
AMENDMENT OF PROPOSAL: Receipt of a Solicitation Amendment (COP Form 207) shall be acknowledged by signing and returning the
document prior to the specified proposal due date and time.
7.
PAYMENT: The City will make every effort to process payment for the purchase of goods or services within thirty (30) calendar days after
receipt of goods or services and a correct notice of amount due, unless a good faith dispute exists as to any obligation to pay all or a portion
of the account. Any proposal that requires payment in less than thirty (30) calendar days shall not be considered.
8.
NEW: All items shall be new, unless otherwise stated in the specifications.
9.
DISCOUNTS: Payment discount periods will be computed from the date of receipt of material/service or correct invoice, whichever is later,
to the date Buyer's payment is mailed. Unless freight and other charges are itemized, any discount provided will be taken on full amount of
invoice. Payment discounts of thirty (30) calendar days or more will be deducted from the proposal price in determining the low bid. However,
the Buyer shall be entitled to take advantage of any payment discount offered by the Vendor provided payment is made within the discount
period.
10.
TAXES: The City of Peoria is exempt from Federal Excise Tax, including the Federal Transportation Tax. Sales tax, if any, shall be indicated
as a separate item.
11.
VENDOR REGISTRATION: After the award of a contract, the successful Vendor shall have a completed Vendor Registration Form (COP
Form 200) on file with the City of Peoria Materials Management Division.
12.
AWARD OF CONTRACT:
a.
Unless the Offeror states otherwise, or unless provided within this Request For Proposal, the City reserves the right to award by
individual line item, by group of line items, or as a total, whichever is deemed most advantageous to the City.
b.
Notwithstanding any other provision of this Request For Proposal, The City expressly reserves the right to:
(1)
Waive any immaterial defect or informality: or
(2)
Reject any or all proposals, or portions thereof, or
(3)
Reissue a Request For Proposal.
c.
A response to a Request For Proposal is an offer to contract with the City based upon the terms, conditions and specifications contained
in the City's Request For Proposal and the written amendments thereto, if any. Proposals do not become contracts unless and until
they are accepted by the City Council. A contract is formed when written notice of award(s) is provided to the successful Offeror(s).
The contract has its inception in the award document, eliminating a formal signing of a separate contract. For that reason, all of the
terms and conditions of the procurement contract are contained in the Request For Proposal; unless modified by a Solicitation
Amendment (COP Form 207) or a Contract Amendment (COP Form 217).
STANDARD
TERMS AND CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
COP202 Rev(11/26/19)CF
Page 3 of 21
THE FOLLOWING TERMS AND CONDITIONS ARE AN EXPLICIT PART OF THE SOLICITATION AND ANY RESULTANT CONTRACT.
1.
CERTIFICATION: By signature in the Offer section of the Offer and Contract Award page (COP Form 203), the Vendor
certifies:
a.
The submission of the offer did not involve collusion or other anti-competitive practices.
b.
The Vendor shall not discriminate against any employee or applicant for employment in violation of Federal Executive Order
11246.
c.
The Vendor has not given, offered to give, nor intends to give at any time hereafter any economic opportunity, future
employment, gift, loan, gratuity, special discount, trip favor, or service to a public servant in connection with the submitted
offer. Failure to sign the offer, or signing it with a false statement, shall void the submitted offer or any resulting contracts, and
the vendor may be debarred.
2.
GRATUITIES: The City may, by written notice to the Contractor, cancel this contract if it is found by the City that gratuities, in
the form of entertainment, gifts or otherwise, were offered or given by the Contractor or any agent or representative of the Contractor,
to any officer or employee of the City with a view toward securing an order, securing favorable treatment with respect to the awarding,
amending, or the making of any determinations with respect to the performing of such order. In the event this contract is cancelled
by the City pursuant to this provision, the City shall be entitled, in addition to any other rights and remedies, to recover or withhold
from the Contractor the amount of the gratuity. Paying the expense of normal business meals which are generally made available to
all eligible city government customers shall not be prohibited by this paragraph.
3.
APPLICABLE LAW: In the performance of this agreement, contractors shall abide by and conform to any and all laws of the
United States, State of Arizona and City of Peoria including but not limited to federal and state executive orders providing for equal
employment and procurement opportunities, the Federal Occupational Safety and Health Act and any other federal or state laws
applicable to this agreement.
Contractor specifically understands and acknowledges the applicability to it of the Americans with Disabilities Act, including
Section 508, the Immigration Reform and Control Act of 1986, and the Drug Free Workplace Act of 1989. In addition, if this
agreement pertains to construction, Contractor must also comply with A.R.S. § 34-301, as amended (Employment of Aliens on
Public Works Prohibited) and A.R.S. § 34-302, as amended (Residence Requirements for Employees).
Under the provisions of A.R.S. § 41-4401, Contractor hereby warrants to the City that Contractor and each of its subcontractors
(“Subcontractors”) will comply with, and are contractually obligated to comply with, all Federal immigration laws and regulations
that relate to their employees and A.R.S. § 23-214(A) (hereinafter, “Contractor Immigration Warranty”).
A breach of the Contractor Immigration Warranty shall constitute a material breach of this agreement and shall subject Contractor
to penalties up to and including termination of this agreement at the sole discretion of the City. The City may, at its sole discretion,
conduct random verification of the employment records of Contractor and any Subcontractors to ensure compliance with the
Contractor Immigration Warranty. Contractor agrees to assist the City in regard to any random verifications performed.
Neither Contractor nor any Subcontractor shall be deemed to have materially breached the Contractor Immigration Warranty if
Contractor or the Subcontractor establishes that it has complied with the employment verification provisions prescribed by §§
274A and 274B of the Federal Immigration and Nationality Act and the E-Verify requirements prescribed by A.R.S. §23-214(A).
The provisions of this Paragraph must be included in any contract Contractor enters into with any Subcontractors who provide
services under this agreement or any subcontract. “Services” is defined as furnishing labor, time or effort in the State of Arizona
by a contractor or subcontractor. Services include construction or maintenance of any structure, building or transportation facility
or improvement to real property.
Contractor warrants, for the term of this agreement and for six months thereafter, that is has fully complied with the requirements
of the Immigration Reform and Control Act of 1986 and all related or similar legal authorities.
This contract shall be governed by the City and Contractor shall have all remedies afforded each by the Uniform Commercial
Code, as adopted in the State of Arizona, except as otherwise provided in this contract or in statutes pertaining specifically to the
City. This contract shall be governed by the laws of the State of Arizona and suit pertaining to this contract may be brought only in
courts in the State of Arizona.
This contract is subject to the provisions of ARS §38-511; the City may cancel this contract without penalty or further obligations
by the City or any of its departments or agencies if any person significantly involved in initiating, negotiating, securing, drafting or
STANDARD
TERMS AND CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
COP202 Rev(11/26/19)CF
Page 4 of 21
creating the contract on behalf of the City or any of its departments or agencies, is at any time while the contract or any extension of
the contract is in effect, an employee of any other party to the contract in any capacity or a consultant to any other party of the
contract with respect to the subject matter of the contract.
4.
LEGAL REMEDIES: All claims and controversies shall be subject to resolution according to the terms of the City of Peoria
Procurement Code.
5.
CONTRACT: The contract between the City and the Contractor shall consist of (1) the Solicitation, including instructions, all terms
and conditions, specifications, scopes of work, attachments, and any amendments thereto, and (2) the offer submitted by the Vendor
in response to the solicitation. In the event of a conflict in language between the Solicitation and the Offer, the provisions and
requirements in the Solicitation shall govern. However, the City reserves the right to clarify, in writing, any contractual terms with
the concurrence of the Contractor, and such written contract shall govern in case of conflict with the applicable requirements stated
in the Solicitation or the Vendor's offer. The Solicitation shall govern in all other matters not affected by the written contract.
6.
CONTRACT AMENDMENTS: This contract may be modified only by a written Contract Amendment (COP Form 217) signed
by persons duly authorized to enter into contracts on behalf of the City and the Contractor.
7.
CONTRACT APPLICABILITY: The Offeror shall substantially conform to the terms, conditions, specifications and other
requirements found within the text of this specific Solicitation. All previous agreements, contracts, or other documents, which have
been executed between the Offeror and the City are not applicable to this Solicitation or any resultant contract.
8.
PROVISIONS REQUIRED BY LAW: Each and every provision of law and any clause required by law to be in the contract will
be read and enforced as though it were included herein, and if through mistake or otherwise any such provision is not inserted, or is
not correctly inserted, then upon the application of either party, the contract will forthwith be physically amended to make such
insertion or correction.
9.
SEVERABILITY: The provisions of this contract are severable to the extent that any provision or application held to be invalid
shall not affect any other provision or application of the contract which may remain in effect without the invalid provision or
application.
10. RELATIONSHIP TO PARTIES: It is clearly understood that each party will act in its individual capacity and not as an agent,
employee, partner, joint venturer, or associate of the other. An employee or agent of one party shall not be deemed or construed to
be the employee or agent of the other for any purpose whatsoever. The Contractor is advised that taxes or Social Security payments
will not be withheld from any City payments issued hereunder and that the Contractor should make arrangements to directly pay
such expenses, if any.
11. INTERPRETATION-PAROL EVIDENCE: This contract represents the entire agreement of the Parties with respect to its
subject matter, and all previous agreements, whether oral or written, entered into prior to this contract are hereby revoked and
superseded by this contract. No representations, warranties, inducements or oral agreements have been made by any of the Parties
except as expressly set forth herein, or in any other contemporaneous written agreement executed for the purposes of carrying out
the provisions of this contact. This contract may not be changed, modified or rescinded except as provided for herein, absent a
written agreement signed by both Parties. Any attempt at oral modification of this contract shall be void and of no effect.
12. NO DELEGATION OR ASSIGNMENT: Contractor shall not delegate any duty under this Contract, and no right or interest in
this Contract shall be assigned by Contractor to any successor entity or third party, including but not limited to an affiliated successor
or purchaser of Contractor or its assets, without prior written permission of the City. The City, at its option, may cancel this Contract
in the event Contractor undertakes a delegation or assignment without first obtaining the City’s written approval. Contractor agrees
and acknowledges that it would not be unreasonable for the City to decline to approve a delegation or assignment that results in a
material change to the services provided under this Contract or an increased cost to the City.
13. SUBCONTRACTS: No subcontract shall be entered into by the contractor with any other party to furnish any of the material,
service or construction specified herein without the advance written approval of the City. The prime contractor shall itemize all sub-
contractors which shall be utilized on the project. Any substitution of sub-contractors by the prime contractor shall be approved by
the City and any cost savings will be reduced from the prime contractor's bid amount. All subcontracts shall comply with Federal
and State laws and regulations which are applicable to the services covered by the subcontract and shall include all the terms and
conditions set forth herein which shall apply with equal force to the subcontract and if the Subcontractor were the Contractor referred
to herein. The Contractor is responsible for contract performance whether or not Subcontractors are used.
STANDARD
TERMS AND CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
COP202 Rev(11/26/19)CF
Page 5 of 21
14. RIGHTS AND REMEDIES: No provision in this document or in the vendor's offer shall be construed, expressly or by implication,
as waiver by the City of any existing or future right and/or remedy available by law in the event of any claim of default or breach of
contract. The failure of the City to insist upon the strict performance of any term or condition of the contract or to exercise or delay
the exercise of any right or remedy provided in the contract, or by law, or the City's acceptance of and payment for materials or
services, shall not release the Contractor from any responsibilities or obligations imposed by this contract or by law, and shall not be
deemed a waiver of any right of the City to insist upon the strict performance of the Contract.
15. INDEMNIFICATION: To the fullest extent permitted by law, the Contractor shall defend, indemnify and hold harmless the City,
its agents, representatives, officers, directors, officials and employees from and against all claims, damages, losses and expenses
(including but not limited to attorney fees, court costs, and the cost of appellate proceedings), relating to, arising out of, or alleged to
have resulted from the acts, errors, mistakes, omissions, work or services of the Contractor, its employees, agents, or any tier of
subcontractors in the performance of this Contract. Contractor's duty to defend, hold harmless and indemnify the City, its agents,
representatives, officers, directors, officials and employees shall arise in connection with any claim, damage, loss or expense that is
attributable to bodily injury, sickness, disease, death, or injury to, impairment, or destruction of property including loss of use
resulting therefrom, caused by any acts, errors, mistakes, omissions, work or services in the performance of this Contract including
any employee of the Contractor or any tier of subcontractor or any other person for whose acts, errors, mistakes, omissions, work or
services the Contractor may be legally liable.
The amount and type of insurance coverage requirements set forth herein will in no way be construed as limiting the scope of the
indemnity in this paragraph.
16. OVERCHARGES BY ANTITRUST VIOLATIONS: The City maintains that, in practice, overcharges resulting from antitrust
violations are borne by the purchaser. Therefore, to the extent permitted by law, the Contractor hereby assigns to the City any and
all claims for such overcharges as to the goods and services used to fulfill the Contract.
17. FORCE MAJEURE: Except for payment for sums due, neither party shall be liable to the other nor deemed in default under this
Contract if and to the extent that such party's performance of this Contract is prevented by reason of force Majeure. The term “force
majeure” means an occurrence that is beyond the control of the party affected and occurs without its fault or negligence. Without
limiting the foregoing, force majeure includes acts of God: acts of the public enemy; war; acts of terror, hate crimes affecting public
order; riots; strikes; mobilization; labor disputes; civil disorders; fire; floods; lockouts, injunctions-intervention-acts, or failures or
refusals to act by government authority; events or obstacles resulting from a governmental authority’s response to the foregoing; and
other similar occurrences beyond the control of the party declaring force majeure which such party is unable to prevent by exercising
reasonable diligence. The force majeure shall be deemed to commence when the party declaring force majeure notifies the other
party of the existence of the force majeure and shall be deemed to continue as long as the results or effects of the force majeure
prevent the party from resuming performance in accordance with this Contract.
Force majeure shall not include the following occurrences:
a.
Late delivery of equipment or materials caused by congestion at a manufacturer's plant or elsewhere, an oversold condition of
the market, inefficiencies, or similar occurrences.
b.
Late performance by a subcontractor unless the delay arises out of a force majeure occurrence in accordance with this Force
Majeure term and Condition.
Any delay or failure in performance by either party hereto shall not constitute default hereunder or give rise to any claim for damages
or loss of anticipated profits if, and to the extent that such delay or failure is caused by force majeure. If either party is delayed at
any time in the progress of the work by force majeure, then the delayed party shall notify the other party in writing of such delay
within forty-eight (48) hours commencement thereof and shall specify the causes of such delay in such notice. Such notice shall be
hand delivered or mailed Certified-Return Receipt and shall make a specific reference to this article, thereby invoking its provisions.
The delayed party shall cause such delay to cease as soon as practicable and shall notify the other party in writing. The time of
completion shall be extended by contract modification for a period of time equal to the time that the results or effects of such delay
prevent the delayed party from performing in accordance with this contract.
18. RIGHT TO ASSURANCE: Whenever one party to this contract in good faith has reason to question the other party's intent to
perform he may demand that the other party give a written assurance of this intent to perform. In the event that a demand is made
and no written assurance is given within five (5) days, the demanding party may treat this failure as an anticipatory repudiation of
the Contract.
STANDARD
TERMS AND CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
COP202 Rev(11/26/19)CF
Page 6 of 21
19. RIGHT TO AUDIT RECORDS: The City may, at reasonable times and places, audit the books and records of any Contractor as
related to any contract held with the City. This right to audit also empowers the City to inspect the papers of any Contractor or
Subcontractor employee who works on this contract to ensure that the Contractor or Subcontractor is complying with the Contractor
Immigration Warranty made pursuant to Paragraph 3 above.
20. RIGHT TO INSPECT PLANT: The City may, at reasonable times, inspect the part of the plant or place of business of a Contractor
or Subcontractor which is related to the performance of any contract as awarded or to be awarded.
21. WARRANTIES: Contractor warrants that all material, service or construction delivered under this contract shall conform to the
specifications of this contract. Unless otherwise stated in Contractor's response, the City is responsible for selecting items, their use,
and the results obtained from any other items used with the items furnished under this contract. Mere receipt of shipment of the
material/service specified and any inspection incidental thereto by the City shall not alter or affect the obligations of the Contractor
or the rights of the City under the foregoing warranties. Additional warranty requirements may be set forth in the solicitation.
22. INSPECTION: All material and/or services are subject to final inspection and acceptance by the City. Materials and/or services
failing to conform to the specifications of this Contract will be held at Contractor's risk and may be returned to the Contractor. If so
returned, all costs are the responsibility of the Contractor. The City may elect to do any or all:
a.
Waive the non-conformance.
b.
Stop the work immediately.
c.
Bring material into compliance.
This shall be accomplished by a written determination for the City.
23. TITLE AND RISK OF LOSS: The title and risk of loss of material and/or service shall not pass to the City until the City actually
receives the material or service at the point of delivery, unless otherwise provided within this Contract.
24. NO REPLACEMENT OF DEFECTIVE TENDER: Every tender of materials shall fully comply with all provisions of the
Contract. If a tender is made which does not fully conform, this shall constitute a breach of the Contract as a whole.
25. DEFAULT IN ONE INSTALLMENT TO CONSTITUTE TOTAL BREACH: Contractor shall deliver conforming materials
in each installment of lot of this Contract and may not substitute nonconforming materials. Delivery of nonconforming materials or
a default of any nature, at the option of the City, shall constitute a breach of the Contract as a whole.
26. SHIPMENT UNDER RESERVATION PROHIBITED: Contractor is not authorized to ship materials under reservation and no
tender of a bill of lading will operate as a tender of the materials.
27. LIENS: All materials, service or construction shall be free of all liens, and if the City requests, a formal release of all liens shall be
delivered to the City.
28. LICENSES: Contractor shall maintain in current status all Federal, State and Local licenses and permits required for the operation
of the business conducted by the Contractor as applicable to this Contract.
29. PATENTS AND COPYRIGHTS: All services, information, computer program elements, reports and other deliverables, which
may be patented or copyrighted and created under this contract are the property of the City and shall not be used or released by the
Contractor or any other person except with the prior written permission of the City.
30. PREPARATION OF SPECIFICATIONS BY PERSONS OTHER THAN CITY PERSONNEL: All specifications shall seek
to promote overall economy for the purposes intended and encourage competition and not be unduly restrictive in satisfying the
City's needs. No person preparing specifications shall receive any direct or indirect benefit from the utilization of specifications,
other than fees paid for the preparation of specifications.
31. COST OF BID/PROPOSAL PREPARATION: The City shall not reimburse the cost of developing presenting or providing any
response to this solicitation. Offers submitted for consideration should be prepared simply and economically, providing adequate
information in a straightforward and concise manner.
32. PUBLIC RECORD: All offers submitted in response to this solicitation shall become the property of the City and shall become a
matter of public record available for review, subsequent to the award notification, in accordance with the City’s Procurement Code.
However, subsequent to the award of the contract, any information and documents obtained by the City during the course of an audit
conducted in accordance with Paragraph 19 above for the purpose of determining compliance by Contractor or a Subcontractor with
STANDARD
TERMS AND CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
COP202 Rev(11/26/19)CF
Page 7 of 21
the Contractor Immigration Warranty mandated by Paragraph 3 above shall remain confidential and shall not be made available for
public review or produced in response to a public records request, unless the City is ordered or otherwise directed to do so by a court
of competent jurisdiction.
33. ADVERTISING: Contractor shall not advertise or publish information concerning this Contract, without prior written consent of
the City.
34. DELIVERY ORDERS: The City shall issue a Purchase Order for the material and/or services covered by this contract. All such
documents shall reference the contract number as indicated on the Offer and Contract Award (COP Form 203).
35. FUNDING: Any contract entered into by the City of Peoria is subject to funding availability. Fiscal years for the City of Peoria are
July 1 to June 30. The City Council approves all budget requests. If a specific funding request is not approved, the contract shall be
terminated.
36. PAYMENT: A separate invoice shall be issued for each shipment of material or service performed, and no payment will be issued
prior to receipt of material and/or services and correct invoice.
37. PROHIBITED LOBBYING ACTIVITIES: The Offeror, his/her agent or representative shall not contact, orally or in any written
form any City elected official or any City employee other than the Materials Management Division, the procuring department, City
Manager, Deputy City Manager or City Attorney’s office (for legal issues only) regarding the contents of this solicitation or the
solicitation process commencing from receipt of a copy of this request for proposals and ending upon submission of a staff report
for placement on a City Council agenda. The Materials Manager shall disqualify an Offeror’s proposal for violation of this
provision. This provision shall not prohibit an Offeror from petitioning an elected official after submission of a staff report for
placement on a City Council agenda or engaging in any other protected first amendment activity after submission of a staff report
for placement on a City Council agenda.
38. PROHIBITED POLITICAL CONTRIBUTIONS: Consultant during the term of this Agreement shall not make a contribution
reportable under Title 16, Chapter 6, Article 1, Arizona Revised Statutes to a candidate or candidate committee for any city
elective office during the term of this Agreement. The City reserves the right to terminate the Agreement without penalty for any
violation of this provision.
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 8 of 21
1. Purpose: Pursuant to provisions of the City Procurement Code, the City of Peoria, Materials Management Division intends
to establish a contract for Employee Benefits Consultant Services.
2. Authority: This Solicitation as well as any resultant contract is issued under the authority of the City. No alteration of any
resultant contract may be made without the express written approval of the City Materials Manager in the form of an official
contract amendment. Any attempt to alter any contract without such approval is a violation of the contract and the City
Procurement Code. Any such action is subject to the legal and contractual remedies available to the City inclusive of, but not
limited to, contract cancellation, suspension and/or debarment of the contractor.
3. Offer Acceptance Period: In order to allow for an adequate evaluation, the City requires an offer in response to this
Solicitation to be valid and irrevocable for ninety (90) days after the opening time and date.
4. Cooperative Purchasing: While this contract is for the City of Peoria, other public agencies and political subdivisions
may express interest in utilizing the contract. In addition to the City of Peoria, and with approval of the contractor, this
contract may be extended for use by other eligible public agencies (i.e. municipalities, school districts, nonprofit educational
institutions, public health institutions, community facilities districts, and government agencies of the State). Eligible public
agencies may elect to utilize the contract through cooperative purchasing (or piggybacking) on the contract and do so at
their discretion. No volume is implied or guaranteed, and the contractor must be in agreement with the cooperative
transaction. The Strategic Alliance for Volume Expenditures (SAVE), a group of school districts and other public agencies,
have signed an intergovernmental cooperative purchase agreement to obtain economies of scale. As a member of SAVE,
the City of Peoria will act as the lead agency. Any such usage by other participating public agencies must be in accordance
with the ordinance, charter and/or procurement rules and regulations of the respective public agency. Potential participating
public agencies (i.e. municipalities, school districts, nonprofit educational institutions, public health institutions, community
facilities districts, and government agencies of the State) recognize potential equipment, logistical and capacity limitations
by the contractor may limit the contractor’s ability to extend use of this contract. Any orders placed to the contractor will
be placed by the specific public agency participating in this purchase, and payment for purchases made under this agreement
will be the sole responsibility of each participating public agency. The City of Peoria shall not be responsible for any
disputes arising out of transactions made by others.
5. Contract Type: Fixed Price Term
6. Term of Contract: The term of any resultant contract shall commence on the date of award and shall continue for a period
of one (1) year thereafter, unless terminated, cancelled or extended as otherwise provided herein.
7. Contract Extension: By mutual written contract amendment, any resultant contract may be extended for supplemental
periods of up to a maximum of forty-eight (48) months.
8. Proposal Opening: Proposals shall be submitted no later than the due date and time indicated in the request for proposals.
All information contained in the proposals shall be deemed as exempt from public disclosure based on the City’s need to avoid
disclosure of contents prejudicial to competing Offerors during the process of negotiation. The proposals shall not be open
for public inspection until after contract award. After contract award, the successful proposal and the evaluation
documentation shall be open for public inspection
9. Discussions: In accordance with the City of Peoria Procurement Code, after the initial receipt of proposals, discussions may
be conducted with Offerors who submit proposals determined to be reasonably susceptible of being selected for award.
10. Interview Guidelines: During any requested interview, which would be scheduled in the future, be prepared to discuss your
firm's proposal, staff assignments, project approach and other pertinent information. The presentation shall be approximately
30 minutes, allowing 15 minutes for a question and answer session. The Consultant's Project/Team Manager shall lead the
presentation team and answer questions on behalf of the Consultant. If work involves a major sub-consultant, the firms
Project/Team Manager's presence may also be requested (by the City) at the interview.
11. Affirmative Action Report: It is the policy of the City of Peoria that suppliers of goods or services to the City adhere to a
policy of equal employment opportunity and demonstrate an affirmative effort to recruit, hire, and promote regardless of race,
color, religion, gender, national origin, age or disability. The City of Peoria encourages diverse suppliers to respond to
solicitations for products or services.
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 9 of 21
12. Performance Warranty: Contractor warrants that the services rendered in performance will conform to the requirements
and to the highest professional standards of the industry.
13. Permits and Approvals: Contractor agrees and undertakes to obtain necessary permits and approvals from all local, state
and federal authorities for the project.
14. Investigation of Conditions: The Contractor warrants and agrees familiarity of the work that is required, is satisfied as to
the conditions under which is performed and enters into this contract based upon the Contractor’s own investigation.
15. Invoices: The Contractor shall submit invoices to the City of Peoria Accounts Payable Department, 8401 W. Monroe St,
Peoria AZ 85345. Invoices may also be submitted electronically to accountspayable@peoriaaz.gov.
16. Payments: The City shall pay the Contractor monthly, based upon work performed and completion to date, and upon
submission of invoices. All invoices shall document and itemize all work completed to date. The invoice statement shall
include a record of time expended and work performed in sufficient detail to justify payment.
17. Insurance Requirements: The Contractor, at Contractor's own expense, shall purchase and maintain the herein stipulated
minimum insurance with companies duly licensed, possessing a current A.M. Best, Inc. Rating of A-, or approved unlicensed
in the State of Arizona with policies and forms satisfactory to the City.
All insurance required herein shall be maintained in full force and effect until all work or service required to be performed
under the terms of the Contract is satisfactorily completed and formally accepted; failure to do so may, at the sole discretion
of the City, constitute a material breach of this Contract.
The Contractor's insurance shall be primary insurance as respects the City, and any insurance or self-insurance maintained by
the City shall not contribute to it.
Any failure to comply with the claim reporting provisions of the insurance policies or any breach of an insurance policy
warranty shall not affect coverage afforded under the insurance policies to protect the City.
The insurance policies, except Workers' Compensation, shall contain a waiver of transfer rights of recovery (subrogation)
against the City, its agents, representatives, directors, officers, and employees for any claims arising out of the Contractor's
acts, errors, mistakes, omissions, work or service.
The insurance policies may provide coverage which contain deductibles or self-insured retentions. Such deductible and/or
self-insured retentions shall not be applicable with respect to the coverage provided to the City under such policies. The
Contractor shall be solely responsible for the deductible and/or self-insured retention and the City, at its option, may require
the Contractor to secure payment of such deductibles or self-insured retentions by a Surety Bond or an irrevocable and
unconditional letter of credit.
The City reserves the right to request and to receive, within 10 working days, certified copies of any or all of the herein
required insurance policies and endorsements. The City shall not be obligated, however, to review same or to advise Contractor
of any deficiencies in such policies and endorsements, and such receipt shall not relieve Contractor from, or be deemed a
waiver of the City's right to insist on, strict fulfillment of Contractor's obligations under this Contract.
The insurance policies, except Workers' Compensation and Professional Liability, required by this Contract, shall name the
City, its agents, representatives, officers, directors, officials and employees as Additional Insureds.
18. Required Insurance Coverage:
a.
Commercial General Liability
Contractor shall maintain Commercial General Liability insurance with a limit of not less than $1,000,000 for each
occurrence with a $2,000,000 Products/Completed Operations Aggregate and a $2,000,000 General Aggregate Limit. The
policy shall include coverage for bodily injury, broad form property damage, personal injury, products and completed
operations and blanket contractual coverage including, but not limited to, the liability assumed under the indemnification
provisions of this Contract which coverage will be at least as broad as Insurance Service Office, Inc. Policy Form CG
00011207 or any replacements thereof. The coverage shall not exclude X, C, U.
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 10 of 21
Such policy shall contain a severability of interest provision, and shall not contain a sunset provision or commutation
clause, nor any provision which would serve to limit third party action over claims.
The Commercial General Liability additional insured endorsement shall be at least as broad as the Insurance Service
Office, Inc.'s Additional Insured, Form B, CG 20370704, and shall include coverage for Contractor's operations and
products and completed operations.
Any Contractor subletting any part of the work, services or operations awarded to the Contractor shall purchase and
maintain, at all times during prosecution of the work, services or operations under this Contract, an Owner's and
Contractor's Protective Liability insurance policy for bodily injury and property damage, including death, which may arise
in the prosecution of the Contractor's work, service or operations under this Contract. Coverage shall be on an occurrence
basis with a limit not less than $1,000,000 per occurrence, and the policy shall be issued by the same insurance company
that issues the Contractor's Commercial General Liability insurance.
b. Automobile Liability
Contractor shall maintain Commercial/Business Automobile Liability insurance with a combined single limit for bodily
injury and property damage of not less than $1,000,000 each occurrence with respect to the Contractor's any owned, hired,
and non-owned vehicles assigned to or used in performance of the Contractor's work. Coverage will be at least as broad
as coverage code 1, "any auto", (Insurance Service Office, Inc. Policy Form CA 00010306, or any replacements thereof).
Such insurance shall include coverage for loading and off loading hazards. If hazardous substances, materials or wastes
are to be transported, MCS 90 endorsement shall be included and $5,000,000 per accident limits for bodily injury and
property damage shall apply.
c.
Workers' Compensation
The Contractor shall carry Workers' Compensation insurance to cover obligations imposed by federal and state statutes
having jurisdiction of Contractor's employees engaged in the performance of the work or services; and, Employer's
Liability insurance of not less than $100,000 for each accident, $100,000 disease for each employee, and $500,000 disease
policy limit.
In case any work is subcontracted, the Contractor will require the Subcontractor to provide Workers' Compensation and
Employer's Liability to at least the same extent as required of the Contractor.
d. Professional Liability
The Contractor retained by the City to provide the work or service required by this Contract will maintain Professional
Liability insurance covering acts, errors, mistakes and omissions arising out of the work or services performed by the
Contractor, or any person employed by the Contractor, with a limit of not less than $1,000,000 each claim.
19. Certificates of Insurance: Prior to commencing work or services under this Contract, Contractor shall furnish the City with
Certificates of Insurance, and formal endorsements as required by the Contract, issued by Contractor's insurer(s), as evidence
that policies providing the required coverages, conditions and limits required by this Contract are in full force and effect.
In the event any insurance policy(ies) required by this contract is(are) written on a “claims made” basis, coverage shall extend
for two years past completion and acceptance of the Contractor's work or services and as evidenced by annual Certificates of
Insurance.
If a policy does expire during the life of the Contract, a renewal certificate must be sent to the City fifteen (15) days prior to
the expiration date.
All Certificates of Insurance shall be identified with bid serial number and title. A $25.00 administrative fee will be assessed
for all certificates received without the appropriate bid serial number and title.
20. Cancellation and Expiration Notice: Insurance required herein shall not expire, be canceled, or materially changed without
thirty (30) days prior written notice to the City.
21. Independent Contractor:
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 11 of 21
a.
General
i.
The Contractor acknowledges that all services provided under this Agreement are being provided by him as an
independent contractor, not as an employee or agent of the City Manager or the City of Peoria.
ii.
Both parties agree that this Agreement is nonexclusive and that Contractor is not prohibited from entering into other
contracts nor prohibited from practicing his profession elsewhere.
b. Liability
i.
The City of Peoria shall not be liable for any acts of Contractor outside the scope of authority granted under this
Agreement or as the result of Contractor’s acts, errors, misconduct, negligence, omissions and intentional acts.
ii.
To the fullest extent permitted by law, the Contractor shall defend, indemnify and hold harmless the City, its agents,
representatives, officers, directors, officials and employees from and against all claims, damages, losses and expenses
(including but not limited to attorney fees, court costs, and the cost of appellate proceedings), relating to, arising out
of, or alleged to have resulted from the acts, errors, mistakes, omissions, work or services of the Contractor, its
employees, agents, or any tier of subcontractors in the performance of this Contract. Contractor's duty to defend, hold
harmless and indemnify the City, its agents, representatives, officers, directors, officials and employees shall arise in
connection with any claim, damage, loss or expense that is attributable to bodily injury, sickness, disease, death, or
injury to, impairment, or destruction of property including loss of use resulting therefrom, caused by any acts, errors,
mistakes, omissions, work or services in the performance of this Contract including any employee of the Contractor
or any tier of subcontractor or any other person for whose acts, errors, mistakes, omissions, work or services the
Contractor may be legally liable.
The amount and type of insurance coverage requirements set forth herein will in no way be construed as limiting the
scope of the indemnity in this paragraph.
c.
Other Benefits
The Contractor is an independent contractor, therefore, the City Manager will not provide the Contractor with health
insurance, life insurance, workmen’s compensation, sick leave, vacation leave, or any other fringe benefits. Further,
Contractor acknowledges that he is exempt from coverage of the Comprehensive Benefit and Retirement Act (COBRA).
Any such fringe benefits shall be the sole responsibility of Contractor.
22. Key Personnel: It is essential that the Contractor provide adequate experienced personnel, capable of and devoted to the
successful accomplishment of work to be performed under this contract. The Contractor must agree to assign specific
individuals to the key positions.
a.
The Contractor agrees that, once assigned to work under this contract, key personnel shall not be removed or replaced
without written notice to the City.
b. If key personnel are not available for work under this contract for a continuous period exceeding 30 calendar days, or are
expected to devote substantially less effort to the work than initially anticipated, the Contractor shall immediately notify
the City, and shall, subject to the concurrence of the City, replace such personnel with personnel of substantially equal
ability and qualifications.
23. Confidential Information:
a.
If a person believes that a bid, proposal, offer, specification, or protest contains information that should be withheld, a
statement advising the Materials Manager of this fact shall accompany the submission and the information shall be
identified.
b. The information identified by the person as confidential shall not be disclosed until the Materials Manager makes a written
determination.
c.
The Materials Manager shall review the statement and information and shall determine in writing whether the information
shall be withheld.
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 12 of 21
d. If the Materials Manager determines to disclose the information, the Materials Manager shall inform the bidder in writing
of such determination.
24. Confidentiality of Records: The contractor shall establish and maintain procedures and controls that are acceptable to the
City for the purpose of assuring that information contained in its records or obtained from the City or from others in carrying
out its functions under the contract shall not be used or disclosed by it, its agents, officers, or employees, except as required
to efficiently perform duties under the contract. Persons requesting such information should be referred to the City. Contractor
also agrees that any information pertaining to individual persons shall not be divulged other than to employees or officers of
contractor as needed for the performance of duties under the contract.
25. Identity Theft Prevention: The Contractor shall establish and maintain Identity Theft policies, procedures and controls for
the purpose of assuring that “personal identifying information,” as defined by A.R.S. § 13-2001(10), as amended, contained
in its records or obtained from the City or from others in carrying out its responsibilities under the Contract, is protected at all
times and shall not be used by or disclosed to unauthorized persons. Persons requesting such information should be referred
to the City. Contractor also agrees that any “personal identifying information” shall not be disclosed other than to employees
or officers of Contractor as needed for the performance of duties under the Contract. Contractor agrees to maintain reasonable
policies and procedures designed to detect, prevent and mitigate the risk of identity theft. Contractor is required under this
contract to review the City of Peoria’s Identity Theft Program and to report to the Program Administrator any Red Flags as
defined within that program. At a minimum, the contractor will have the following Identity Theft procedures in place:
a.
Solicit and retain only the “personal identifying information” minimally necessary for business purposes related to
performance of the Contract.
b. Ensure that any website used in the performance of the contract is secure. If a website that is not secure is to be used,
the City shall be notified in advance before any information is posted. The City reserves to right to restrict the use of
any non-secure websites under this contract.
c.
Ensure complete and secure destruction of any and all paper documents and computer files at the end of the contracts
retention requirements.
d. Ensure that office computers are password protected and that computer screens lock after a set period of time.
e.
Ensure that offices and workspaces containing customer information are secure.
f.
Ensure that computer virus protection is up to date
26. Ordering Process: Upon award of a contract by the City of Peoria, Materials Management Division may procure the specific
material and/or service awarded by the issuance of a purchase order to the appropriate contractor. The award of a contract
shall be in accordance with the City of Peoria Procurement Code and all transactions and procedures required by the Code for
public bidding have been complied with. A purchase order for the awarded material and/or service that cites the correct
contract number is the only document required for the department to order and the contractor to delivery the material and/or
service.
Any attempt to represent any material and/or service not specifically awarded as being under contract with the City of Peoria
is a violation of the contract and the City of Peoria Procurement Code. Any such action is subject to the legal and contractual
remedies available to the City inclusive of, but not limited to, contract cancellation, suspension and/or debarment of the
contractor.
27. Licenses: Contractor shall maintain in current status all Federal, State and Local licenses and permits required for the
operation of the business conducted by the Contractor.
28. City of Peoria Business License: Peoria City Code requires that all persons conducting business in the City of Peoria must
first obtain a license. This includes businesses within the Peoria city limits, or those outside the limits who conduct business
or perform services within Peoria. For business license questions or to obtain a license, please contact the City of Peoria Sales
Tax & License Division at (623) 773-7160 or via email at salestax@peoriaAZ.gov.
29. Business in Arizona: The City will not enter contracts with foreign corporations not granted authority to transact business,
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 13 of 21
or not in good standing, in the state of Arizona by the Arizona Corporation Commission. Businesses outside of Arizona may
file documents to obtain a business license from the Arizona Corporation Commission. Information is available on the Arizona
Corporation Commission's website at https://www.azcc.gov for more information. Businesses are cautioned the processing
time can be lengthy.
30. Contract Termination: Any contract entered into as a result of this Solicitation is for the convenience of the City and as
such, may be terminated without default by the City by providing a written thirty (30) day notice of termination.
31. Cancellation: The City reserves the right to cancel the whole or any part of this contract due to failure by the contractor to
carry out any obligation, term or condition of the contract. The City will issue written notice to the contractor for acting or
failing to act as in any of the following:
a.
The contractor provides material that does not meet the specifications of the contract;
b. The contractor fails to adequately perform the services set forth in the specifications of the contract;
c.
The contractor fails to complete the work required or to furnish the materials required within the time stipulated in the
contract;
d. The contractor fails to make progress in the performance of the contract and/or gives the City reason to believe that the
contractor will not or cannot perform to the requirements of the contract.
Upon receipt of the written notice of concern, the contractor shall have ten (10) days to provide a satisfactory response to the
City. Failure on the part of the contractor to adequately address all issues of concern may result in the City resorting to any
single or combination of the following remedies:
a.
Cancel any contract;
b. Reserve all rights or claims to damage for breach of any covenants of the contract;
c.
Perform any test or analysis on materials for compliance with the specifications of the contract. If the results of any test
or analysis find a material non-compliant with the specifications, the actual expense of testing shall be borne by the
contractor;
d. In case of default, the City reserves the right to purchase materials, or to complete the required work in accordance with
the City Procurement Code. The City may recover any actual excess costs from the contractor by:
i.
Deduction from an unpaid balance;
ii. Collection against the bid and/or performance bond, or;
iii. Any combination of the above or any other remedies as provided by law.
32. Project Travel Reimbursable Expenses: If travel expenses are allowed as part of the contract the reimbursable expenses
will be as follows. All expenses will be billed to the City at cost without markup. Copies of bills for expenses are to be
submitted with the invoice. Travel time to and from job site is excluded from this contract. There will be no allowances for
parking or personal car mileage. No incidentals for travel of any kind are allowed under this contract.
The following is a list of allowable travel expenses under this contract agreement:
a.
Transportation:
i.
Air Transportation – coach class fares, minimum 14 days advanced purchase, unless otherwise agreed upon.
ii. Car Rental – mid size car, gas for rental car (City assumes no liability regarding additional insurance costs).
b. Lodging and Meals:
i.
Meals – three meals per day, at the current federal per diem rate for Maricopa County.
ii. Lodging – not to exceed the current federal rate for Maricopa County. Vendors are encouraged to stay in hotels
located within the City of Peoria when practical. A listing of accomodations within Peoria can be found on the
SPECIAL TERMS AND
CONDITIONS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP209 Rev(11/26/19)CF
Page 14 of 21
following website: https://www.visitpeoriaaz.com/local-amenities/where-to-stay
33. Protest Policy and Procedures: The City of Peoria protest policy and procedures are available for review at the following
public websites.
a.
The City of Peoria Protest Policy and Procedures are available online at https://www.peoriaaz.gov/government/city-
law/city-code. The policy is contained within the City of Peoria Procurement Code, Chapter 26 - Administration, section
26-121. Procurement Code Protests; Informal and Formal.
b. The specific protest procedures are contained in the Materials Management “Procurement Guidelines” and can be
accessed at http://www.peoriaaz.gov/procurement.
SCOPE OF WORK
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 15 of 21
I. BACKGROUND
The City of Peoria, Arizona is soliciting proposals from qualified consulting firms to provide Employee
Benefits Consulting Services.
The City has approximately 1,200 employees who are eligible for benefits. This includes both full-time
and part-time regular status employees, City Council Members, and three (3) Charter Officers (City
Manager, City Attorney, City Judge). Open enrollment is held in the spring with an effective date of
July 1. The plan year is July 1 through June 30 (fiscal year). The benefit plans for which services are
requested are listed below:
An asterisk (*) indicates a benefit incorporated into a Section 125 flexible benefits plan.
Benefit
Funding
Medical Plan*
Self-Funded
Dental Plan*
Fully Insured
Dental Plan*
Self-Funded
Vision Plan*
Fully Insured
Short-Term Disability
Fully Insured
Basic Life and AD&D
Fully Insured
Voluntary Life
Voluntary Option
Employee Assistance Program
Fully Funded
Travel/Accident
Fully Insured
Flexible Spending Account
Voluntary Option
Accident Insurance
Voluntary Option
Critical Care Insurance
Voluntary Option
II. SCOPE OF SERVICES
A. Self-Funded Health Plan (Medical and Dental)
1. Statistical analysis:
• Provide monthly and quarterly reporting which includes an analysis of income and expense
for the prior quarter.
• Provide quarterly presentations to the Employee Benefit Trust Board including analysis of
income and expenses for the quarter and year to date (YTD).
• Provide annual report which includes an analysis of income and expense for the prior year
and a projection for the forthcoming year including projected adequate reserve levels for
plan.
• Make recommendation for establishing annual premium rates.
• Advise on required reserves for medical and other self-funded plans (if applicable).
2. Policy analysis:
• Provide general guidance on trends in benefits offered and eligibility requirements.
Recommend plan changes based on these trends.
• Advise and consult on methods for improving cost containment and claims administration.
• For above, where applicable, provide cost analysis of possible impact on plan.
SCOPE OF WORK
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 16 of 21
• Provide guidance and analysis of self-funding other insurance programs such as vision,
short-term disability, etc.
B. Administrative/Other Support:
• Assist in developing long-term benefit objectives and goals.
• Assist in the modification and pricing of any current, or newly considered, benefit programs.
• Review plan documents and summary plan descriptions, including amendments and
restatements, for accuracy. Serve as liaison with providers in making any needed changes.
• Review contracts with vendors to insure accuracy and comprehensiveness of coverage. Provide
guidance in contract interpretation, as needed.
• Advise and consult on trends in benefit plans that are offered locally and nationally, including
information on plans that are not currently offered by the City.
• Assist in problem resolution with providers.
• Assist with development of Request for Proposals (RFP’s) for various vendors in compliance
with the City’s purchasing requirements. This may include developing a scope of services,
evaluation criteria and evaluating/summarizing proposal information.
• Assist the City in the development of an integrated employee benefit communication plan and
strategy to include, enrollment forms, open enrollment materials, benefit guide, and other
employee communications as needed.
• Provide subject matter expertise in support of an Employee Healthcare Task Force, established
to assist in the evaluation and recommendation of benefit programs.
• Provide subject matter expertise and consulting in support of the Employee Benefits Trustees in
the performance of their fiduciary responsibilities.
C. Contract Negotiations:
• Annual review, analysis, and negotiation of renewal rates for health plans: medical, dental,
vision, short-term disability, life insurance, EAP, flexible spending, travel insurance and third
party administrators. Advise when competitive quotes should be solicited from other carriers.
D. Legal Support:
• Assist in the preparation of governmental filings.
• Prepare alternative funding analysis and conduct actuarial analysis of claims reserves and funds
requirements as requested.
• Provide necessary actuarial services including projecting funding needs for upcoming fiscal
year.
• Maintain records of the financial and claims experience condition and progress of the plans and
provide quarterly financial reports for the self-funded plans.
• Assist with performance guarantees relating to vendor performance of services.
• Provide notification and updates on changing laws, regulations, and administrative or judicial
rulings that relate to benefits programs in general, and the City’s programs specifically. Make
recommendations based on these changes or legal requirements.
SCOPE OF WORK
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 17 of 21
• Review plan documents to ensure compliance with appropriate laws and regulations and notify
of any necessary plan document amendments.
• Assist the City to be in compliance with all legal and regulatory requirements including but not
limited to: ACA, HIPAA, COBRA, FMLA, ADA, and Medicare D.
E. General Guidance:
• Provide answers or guidance to general or technical benefits questions.
• If requested, review communication materials for content, appearance, and compliance with
laws and regulations.
• The Consultant will be working on a frequent basis with the Human Resources Manager,
Human Resources Supervisor and the benefits team. The Consultant will be expected to assist
the City on a regular basis and in a timely manner to provide guidance to technical problems
that may arise.
• The Consultant may be expected to attend open enrollment meetings with employees, employee
Health Care Task Force meetings, Council meetings, and /or Trust Board meetings.
F. Additional Requests for Other Services:
• The City reserves the right under the terms of this RFP to request duties unrelated to this defined
set of consulting services. The scope of these services and related cost will be agreed to prior to
the consultant performing any work.
• The City may ask that the consultant perform a cafeteria plan feasibility study and will request
that the Consultant review and provide recommendations on that plan.
• If the City should decide to move forward with a cafeteria plan, assistance will be required to
establish a timeline detailing the strategy, individual components, cost share, communications,
written documentation, etc.
• A detailed operation review of Third Party Administrator to include objective review of
received and processed claims to determine whether the claims are adjudicated according to
contractual performance standards, appropriate benefits, and industry standards.
III. QUALIFICATIONS
1. A minimum of three (3) years prior experience with governmental entities or large private
employers as clients at local or corporate level.
2. Must have prior experience within last three (3) years with organizations with no less than 500
employees as clients at a local or corporate level.
3. Prior experience with self-funded medical, dental, vision, short-term disability, etc.
4. Understanding of, and direct experience with our demographic area health care delivery concerns
(e.g. hospitals, consolidated specialty physicians, etc.).
5. Experience working with cafeteria-style benefit programs, including Sections 125 and 129 flexible
spending plan arrangements.
6. Experience in evaluating benefit program designs and in making recommendations for program
improvements and/or restructuring.
SCOPE OF WORK
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 18 of 21
7. Proposals will be accepted on a fee only basis. The City will not consider a commission-based
proposal.
SUBMITTAL REQUIREMENTS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 19 of 21
I. PROPOSAL CONTENT:
A. Method of Approach
• The method of approach should include a written narrative to demonstrate the firm’s ability to
satisfy the scope of work.
• Discuss other services that may not have been identified in the Scope of Work, but that may
be of relevance and importance based upon your firm's experience in providing these services.
B. Firm Experience & Staff Qualifications
• Brief history of the firm history and experience
• Location of the offices performing the services
• Provide firm applicable certifications and licenses
• Number of staff, assignments and qualifications
• Include individual staff credentials/licenses/certifications
• Provide a minimum of three (3) references, prefer references from governmental / municipal
clients, who can attest to firm’s knowledge, quality of work, timeliness, diligence, and
flexibility.
C. Cost Considerations
• Provide annual fee for services identified in the Scope of Work for each year of the contract
term (5 fiscal years – July–June).
• Provide separate fees for any additional services that may be required outside the annual fee,
i.e., Actuarial Analysis, TPA Audit.
D. Conformance to RFP
• Failure to provide all requested information may result in firm’s proposal being rejected as
non-responsive.
• Complete and return all City forms.
• Exceptions – Any exceptions to any part of the RFP must be clearly noted and identified.
II. EVALUATION CRITERIA:
In accordance with the City of Peoria Procurement Code, awards shall be made to the responsible
offeror whose proposal is determined in writing to be the most advantageous to the City, based upon
the evaluation criteria listed below. The evaluation factors are listed in their relative order of
importance.
a. Method of Approach
b. Firm Experience & Staff Qualifications
c. Cost Considerations
d. Conformance to Request for Proposal
The City reserves the right to consider historic information and facts, whether gained from the Offeror’s
proposal, questions and answer conferences, references, or other source and the views of the
evaluator(s) with prior Contract or service delivery experience with any of the Offerors, while
conducting the proposal evaluations.
SUBMITTAL REQUIREMENTS
Materials Management
Procurement
9875 N. 85th Ave., 2nd Fl.
Peoria, Arizona 85345-6560
Phone:
(623) 773-7115
Fax:
(623) 773-7118
Solicitation Number: P20-0024
COP205 Rev(11/26/19)CF
Page 20 of 21
The City may shortlist firms based on the above criteria to bring forward for interviews. Interviews
may be held on April 20, 2020. If the selection committee determines the scoring shows an interview
is not required then no interviews will be held.
III. INSTRUCTIONS FOR PREPARING AND SUBMITTING RESPONSE:
A. Proposals shall be submitted through the City of Peoria’s Purchasing Portal (Bonfire) website at
https://peoriaaz.bonfirehub.com/portal
under
the
appropriate
solicitation
opportunity.
Submissions submitted elsewhere or under the wrong solicitation will not be considered.
B. Solicitation Amendments: Any changes to the solicitation document will be in the form of a
Solicitation Amendment. Amendments are posted on the City of Peoria’s Purchasing Portal
(Bonfire) website at https://peoriaaz.bonfirehub.com/portal under the appropriate solicitation
opportunity. Interested parties are cautioned to check the Purchasing Portal (Bonfire) for
amendments prior to submitting their proposal. The City will not be held responsible if a vendor
fails to receive any amendments issued.
The City shall not be responsible for any oral changes to the scope of work or specifications
made by any employees or officer of the City and interested parties are cautioned not to rely on
any such changes.
IV. QUESTIONS:
All questions regarding the solicitation should be sent in writing to the designated purchasing agent
via email or through Messages/Opportunity Q&A on the City of Peoria’s Purchasing Portal
(Bonfire).
The designated purchasing agent for this solicitation is:
Lisa Houg, Contract Officer
Phone: (623) 773-7191
Email: Lisa.Houg@peoriaaz.gov
All questions must be submitted no later than the date and time indicated on the City of Peoria’s
Purchasing Portal (Bonfire).
Contact with City staff, other than the designated contact person indicated in the RFP, regarding
this solicitation is strictly prohibited during the proposal process.
V. PROPOSAL DUE DATE:
Proposals are due no later than 5:00 P.M. on March 24, 2020, unless the RFP is otherwise extended
or cancelled via formal Solicitation Amendment.
Request for Proposal
Response to:
RFP # P20-0024
Employee Benefits Consulting Services
Presented to:
City of Peoria, Arizona
Lisa Houg
Purchasing Agent
9875 N. 85th Avenue
Peoria, AZ 85345
Email: lisa.houg@peoriaaz.gov
Respondent Name:
Hays Companies, Inc.
Charlie Broucek
Senior Vice President
3200 E. Camelback Road, Suite 129
Phoenix, AZ 85018
Phone 602.977.3806 I Fax 602.977.3801
Submital Date:
March 24, 2020 @ 5:00PM AZ Time
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 2
I. COVER LETTER
We appreciate the opportunity to showcase our capabilities and continued dedication to servicing the City of Peoria throughout this Request
for Proposal response. We appreciate and value our 10-year partnership with the City of Peoria and believe we are uniquely qualified to
continue handling the City of Peoria benefit service needs. We believe our distinction lies in the experience and expertise of our team, our
institutional knowledge gained throughout our partnership, the vast array of value-added services we provide our clients, along with our
exclusive reporting tools, advanced technologies and the in-depth industry and insurance market knowledge we possess.
Proposer:
Hays Companies, Inc.
3200 E. Camelback Road, Suite 129
Phoenix, AZ 85018
602.977.3800
Contact:
Charlie Broucek
Senior Vice President
3200 E. Camelback Road, Suite 129
Phoenix, AZ 85018
602.977.3806 (O) 602.692.3564 (C) 602.977.3801 (F)
cbroucek@hayscompanies.com
In reviewing our responses to this Request for Proposal, you will discover that Hays offers specific advantages to each area outlined. We
add value for our clients where most firms cannot. We strive to exceed our client’s service expectations and raise the bar for ourselves
every year. We are much more than a transactional broker.
We believe we are the right partner to continue delivering superior service while demonstrating a commitment to placing the interests of
City of Peoria at the forefront. We are confident that our response will support this belief.
We believe that our comprehensive, all-inclusive employee benefit consulting offering goes above and beyond most insurance brokerages
and is what differentiates Hays vs. our competitors. The best way for us to explain how Hays is differentiating ourselves from other
consulting firms is to tell you how and why our client retention is significantly higher than industry norms. Time and time again our clients
are telling us that contract with Hays because of one or a combination of the following reasons:
Innovation & Creativity - Risk Pool Management Strategy
Hays is not the typical consulting firm that follows industry standards. We challenge the status quo and we challenge our clients. We do
not follow carrier benchmarks as most of the time they are in the insurance carrier’s or broker’s best interest and not City of Peoria’s. As
such, we have developed a proprietary strategy we call “Risk Pool Management” (RPM). This strategy is innovative, creative and has
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 3
proven to lower medical/pharmacy spend and ongoing trend for current Hays’ clients. This is highlighted by our ability to have managed
the City of Peoria plans to a trend much lower than industry norms.
So, what is risk pool management? It starts by addressing employee choice before utilization to create healthier and more efficient risk
pools which leads to lower total cost. We understand the importance of focusing on the choices individuals are making to enroll in your
medical plan before City of Peoria spends one dollar.
Risk pool management is one of the fundamental principles we will continue addressing with City of Peoria whereas other consulting firms
focus on addressing utilization habits first. Your risk pool is comprised of the employees and dependents in your medical plan. Your risk
pool is dictated by the choice you offer your employees, how they choose, and then how they utilize your medical plan. We have found
that most employers are inviting the less healthy individuals to be on their health plan or have encouraged adverse selection between plan
designs. This is due to misaligned plan design values, employee contributions and plan tier/budget structures. This was one of the first
concerns we addressed with the City of Peoria 10-years ago and we continue to address annually.
We will continue thoroughly evaluating plan design, benefit plan values, employee/employer premium and contribution strategies and
employee tier structures. We will then help you effectively align these items to ensure your risk pool is optimal and efficient. In doing so,
you can reduce the level of “bad risk” while attracting “good risk” to the health pool of participants. This is one of the reasons why many of
our clients are running well below standard medical trend nationally.
Auditors First
We are skilled auditors who listen, do our homework and transform data into smart solutions. We can’t tell you today exactly what strategies
will make sense for City of Peoria over the next 5-years because your claims data and demographics will continue to evolve. Everything
we do and all decisions we make will be driven by your claims information and the culture of your organization. Once we know WHY your
plan is running the way it is, then we can implement a strategic plan to determine HOW we are going to structure a plan of attack to resolve
whatever it is that is driving your plans costs. We focus on the WHY!
We are very good at what we do because of the reporting analytics available through our proprietary Health Plan Intelligence (HPI) reporting
tool. We are experts at building efficient medical/pharmacy plans to meet your financial, recruitment and retention needs. Our financial
strategies empower our clients to obtain real results. As Jim Hays would say, “We solve problems for our clients, plain and simple.”
Our People & Integrity
The integrity of the individuals at Hays is one of our key differentiators. Hays strives to hire honest professionals who demonstrate ethical
standards on behalf of our clients and the insurance marketplace always and in all places. We are individuals of integrity and care about
the results we deliver for our clients. The same team that partnered with the City of Peoria 10-years ago is 100% the same team that
will continue serving the City!
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 4
Service with a Sense of Urgency
Your consistent and tenured Hays service team is a clear differentiator from our peers. As you know, HR departments and leadership are
being stretched more than ever and we view our service role as a literal extension of your HR department. We offer a unique “extension of
staff” service model that equally supports your benefit administration needs and the challenge of managing rising benefit costs.
City of Peoria’s service team has a sundown policy which means that if by sundown we haven’t been able to provide you an answer to an
inquiry, we will call, email or even text you and let you know the status by sundown. We will make every effort to have an answer or resolve
the benefits issue within the then required 24-48 hours.
Your Hays service team will continue delivering a customized service package for the City of Peoria and is focused and experienced to
guide you through the ever-changing employee benefits environment.
Again, thank you for the opportunity to continue partnering with the City of Peoria. We look forward to continuing to grow with the City’s
needs and expectations.
Sincerely,
Charlie Broucek
Sr. Vice President
TABLE OF CONTENTS
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 5
I.
Cover Letter
II.
Scope of Services
III. Qualifications
IV. Proposal Content
A. Method of Approach
B. Firm Experience and Staff Qualifications
C. Cost Considerations
D. Conformance to RFP
E. Appendices
1) Offer (Signed)
2) Questionnaire
3) Arizona Corporate Insurance License
4) Arizona Producer License
5) Mobile Application
6) Sample Renewal Underwriting
All Together. Engaged
All Together. Custom
All Together. Enlightened
All Together. Easy
All Together. Nimble
All Together. Simplified
All Together. Certain
All Together. Different
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 6
II. SCOPE OF SERVICES
Our understanding is that the City of Peoria is seeking a benefits partner that can provide professional, highly qualified benefits guidance
and services. This includes the following services (Scope of Services):
A. Self-Funded Health Plan (Medical and Dental)
1. Statistical analysis:
•
Provide monthly and quarterly reporting which includes an analysis of income and expense for the prior quarter.
•
Provide quarterly presentations to the Employee Benefit Trust Board including analysis of income and expense for the
quarter and year to date (YTD).
•
Provide annual report which includes an analysis of income and expense for the prior year and a projection for the
forthcoming year including projected adequate reserve levels for plan.
•
Make recommendation for establishing annual premium rates.
•
Advise on required reserves for medical and other self-funded plans (if applicable).
2. Policy analysis:
•
Provide general guidance on trends in benefits offered and eligibility requirements.
Recommend plan changes based on these trends.
•
Advise and consult on methods for improving cost containment and claims administration.
•
For above, where applicable, provide cost analysis of possible impact on plan.
•
Provide guidance and analysis of self-funding other insurance programs such as vision, short-term disability, etc.
B. Administrative/Other Support:
•
Assist in developing long-term benefit objectives and goals.
•
Assist in the modification and pricing of any current, or newly considered, benefit programs.
•
Review plan documents and summary plan descriptions, including amendments and restatements, for accuracy. Serve as
liaison with providers in making any needed changes.
•
Review contracts with vendors to insure accuracy and comprehensiveness of coverage. Provide guidance in contract
interpretation, as needed.
•
Advise and consult on trends in benefit plans that are offered locally and nationally, including information on plans that are not
currently offered by the City.
•
Assist in problem resolution with providers.
•
Assist with development of Request for Proposals (RFP’s) for various vendors in compliance with the City’s purchasing
requirements. This may include developing a scope of services, evaluation criteria and evaluating/summarizing proposal
information.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 7
•
Assist the City in the development of an integrated employee benefit communication plan and strategy to include, enrollment
forms, open enrollment materials, benefit guide, and other employee communications as needed.
•
Provide subject matter expertise in support of an Employee Healthcare Task Force, established to assist in the evaluation and
recommendation of benefit programs.
•
Provide subject matter expertise and consulting in support of the Employee Benefits Trustees in the performance of their
fiduciary responsibilities.
C. Contract Negotiations:
•
Annual review, analysis, and negotiation of renewal rates for health plans: medical, dental, vision, short-term disability, life
insurance, EAP, flexible spending, travel insurance and third-party administrators. Advise when competitive quotes should be
solicited from other carriers.
D. Legal Support:
•
Assist in the preparation of governmental filings.
•
Prepare alternative funding analysis and conduct actuarial analysis of claims reserves and funds requirements as requested.
•
Provide necessary actuarial services including projecting funding needs for upcoming fiscal year.
•
Maintain records of the financial and claims experience condition and progress of the plans and provide quarterly financial
reports for the self-funded plans.
•
Assist with performance guarantees relating to vendor performance of services.
•
Provide notification and updates on changing laws, regulations, and administrative or judicial rulings that relate to benefits
programs in general, and the City’s programs specifically. Make recommendations based on these changes or legal
requirements.
•
Review plan documents to ensure compliance with appropriate laws and regulations and notify of any necessary plan
document amendments.
•
Assist the City to be in compliance with all legal and regulatory requirements including but not limited to: ACA, HIPAA, COBRA,
FMLA, ADA, and Medicare D.
E. General Guidance:
•
Provide answers or guidance to general or technical benefits questions.
•
If requested, review communication materials for content, appearance, and compliance with laws and regulations.
•
The Consultant will be working on a frequent basis with the Human Resource Manager, Human Resources Supervisor and the
benefits team. The Consultant will be expected to assist the City on a regular basis and in a timely manner to provide guidance
to technical problems that may arise.
•
The Consultant may be expected to attend open enrollment meetings with employees, employee
Health Care Taskforce meetings, Council meetings, and /or Trust Board meetings.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 8
F. Additional Requests for Other Services:
•
The City reserves the right under the terms of this RFP to request duties unrelated to this defined set of consulting services.
The scope of these services and related cost will be agreed to prior to the consultant performing any work.
•
The City may ask that the consultant perform a cafeteria plan feasibility study and will request that the Consultant review and
provide recommendations on that plan.
•
If the City should decide to move forward with a cafeteria plan, assistance will be required to establish a timeline detailing the
strategy, individual components, cost share, communications, written documentation, etc.
•
A detailed operation review of Third-Party Administrator to include objective review of received and processed claims to
determine whether the claims are adjudicated according to contractual performance standards, appropriate benefits, and
industry standards.
III. QUALIFICATIONS
1. A minimum of three (3) years prior experience with governmental entities or large private
employers as clients at local or corporate level.
2. Must have prior experience within last three (3) years with organizations with no less than 500 employees as clients at a local or
corporate level.
3. Prior experience with self-funded medical, dental, vision, short-term disability, etc.
4. Understanding of, and direct experience with our demographic area health care delivery concerns
(e.g. hospitals, consolidated specialty physicians, etc.).
5. Experience working with cafeteria-style benefit programs, including Section 125 and 129 flexible spending plan arrangements.
6. Experience in evaluating benefit program designs and in making recommendations for program improvements and/or restructuring.
7. Proposals will be accepted on a fee only basis. The City will not consider a commission-based proposal.
Based on the SCOPE OF SERVICES, QUALIFICATIONS and experience with the City of Peoria, we believe that Hays Companies is
the right consulting partner. Our structure allows us to bring you creative solutions and assist you through both the implementation
and ongoing management of your employee benefit programs. Unlike other consulting organizations, Hays Companies operates as
wholly-owned subsidiary of our publicly traded owner, Brown & Brown Insurance, with flexibility to leverage our size while maintaining
a “boutique consulting” experience.
Hays Companies has developed a unique service model that utilizes the experience and expertise of our employee benefit
professionals, while establishing strategic resources in order to provide superior products and services to our clients. Our service
model has been instrumental in our continued growth and success in the marketplace.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 9
IV. PROPOSAL CONTENT
A. Method of Approach
•
The method of approach should include a written narrative to demonstrate the firm’s ability to satisfy the scope of
work.
a. Operations and Strategic Planning
Hays Companies will continue attending all required meetings and serve as an industry expert and educator/advisor on all
matters relative to operations of the City of Peoria benefit plans. As a professional services firm, Hays Companies
understands the unique benefit needs of a diverse organization. In our role as consultant, we work with very diverse
organizations including public entities and commercial clients. Although industry and employee profile is important, it is
important to recognize that plan performance is a direct reflection of the risk pool on the plan and ensuring financial alignment
between plans and coverage tiers.
The claim and demographic information provided by our analytics tool, Health Plan Intelligence (HPI) coupled with the on-
going monitoring of membership and enrollment data allow for the precise actuarial alignment of rate and contribution
structures. Taken together, these processes are what we refer to as Risk Pool Management. This was one of the first
projects addressed at the City of Peoria when we began consulting in 2010.
In the absence of Risk Pool Management techniques, organizations often find themselves in an environment of misalignment
where the choices made by employees are to the financial detriment of the plan. Misalignment can lead to any or all the
following:
•
An insufficient budget
•
A large renewal increase
•
Miscalculated employee contributions
•
Incorrect cost-projections of COBRA participation
Risk Pool Management is a set of sophisticated projection and modeling techniques which corrects misalignment thereby
mitigating the variation of year-over-year costs while maximizing the financial performance of plan offerings. The
components of Hays’ exclusive Risk Pool Management approach include:
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 10
•
Cost projections
•
The determination and alignment of premium equivalency rates
•
The actuarial development of employee premiums
Strategic Planning – create an optimal benefits strategy that is consistent with our business objectives.
Our strategic planning process involves an extensive evaluation of our clients’ programs and needs for both the upcoming
(short-term) plan year, as well as a multi-year (long-term) approach. We utilize a wide variety of resources to organize our
clients’ needs, including strategic planning calendars, strategic planning processes and service checklists, thorough analysis
of CPT-4 and ICD data, as well as contribution structure analysis to name a few. In addition to your health and welfare
programs, we also take the extra step to ensure compliance of the local and federal labor and employment laws.
Regarding a specific process, Hays performs the following steps for all existing clients when developing or refining a strategy
for benefit programs and plans:
Outline Current State
During this phase, we meet with our clients to clearly document the plans and programs currently in place. This phase
includes inventorying all existing benefits and partners through the development of a benefit atlas and benefit manual, a
complete review of all legal contracts and compliance related documents, and an analysis of the medical plan to determine
the major cost and utilization trends within the population.
Set Strategic Direction
During this phase, your Hays’ account service team will meet with you to deliver our findings as well as recommendations
for alterations or improvements to the current benefit plan. From this phase, we collectively agree on a short-term direction
and work with you to develop an annual service calendar for the upcoming year.
Implement Improvements
Following the establishment of our strategic direction, we manage the process of improving your benefit model. This phase
would include, if necessary, marketing existing benefit programs, working with your current partners to improve/change
existing benefits, and the development and implementation of new programs.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 11
Evaluating Effectiveness
At Hays, our processes do not end with implementation. Core to all our processes is a thorough review of all our
recommendations and actions to evaluate their effectiveness. We believe in regular in-person meetings with our clients to
continually evaluate the performance of the plan.
Industry Trends and Emerging Issues –update City of Peoria on benefits industry trends and emerging benefit issues.
Hays has an in-house Research & Compliance team who actively monitors changes in benefits trends. Your Hays’ service
team will also be actively monitoring these issues and communicate them to you as they emerge.
Cost Projections – project the plan cost and assist with developing an annual budget.
As a partially self-insured plan, the City of Peoria should not solely rely upon carrier projections of cost when budgeting for
a new plan year. Unfortunately, most projections that are tied to the purchase of stop-loss insurance are largely automated
and have what reinsurers sometimes refer to as Acceptable Variability and/or are deliberately under-estimated for strategic
or carrier competitive purposes. The result of either can be an underfunded estimate of actual cost that creates the following
problems for group health and/or dental plans:
• An insufficient budget
• A large renewal increase
• Employee-contributions do not match the employer’s intent, which results in a higher cost to the employer.
• The actual cost of COBRA participation is incorrectly defined, which also results in a higher cost to the employer.
To eliminate these concerns, we have developed a sophisticated projection modeling tool that eliminates as much statistical
variation as possible, which allows for the following as it pertains to the carrier’s projections:
• If the projection is correct – our formula merely corroborates their estimate.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 12
• If the projection is too high – our formula allows for informed negotiations with the vendor regarding their contractual
premium costs.
Regardless of the relationship between the two
projections, our clients enjoy the comfort of
knowing that, (a) variation from the budget will be
insignificant, (b) renewal increases higher than
trend will be virtually non-existent, (c) employee
contributions will reflect the intent of the employer,
and (d) COBRA participants will be paying the
appropriate amount of premium.
Underwriting Services – develop funding rates,
COBRA rates, IBNR, plan design modeling,
utilization analysis & cost drivers, employee contribution modeling and trend analysis.
Through ongoing analysis and underwriting expertise, Hays Companies ensures that the City of Peoria is using the optimum
plan design, networks and funding arrangements. Our Underwriting/Actuarial Services team uses a variety of tools to
actuarial analyze renewal/funding calculations. By thoroughly reviewing renewal calculations in this manner we ensure the
most appropriate underwriting criteria and guidelines are used. Our renewal validation process will provide concrete support
for any argument we use with a given insurance company in negotiating your renewal. Hays’ Underwriting Unit leverages
our knowledge of insurer practices in an applied manner that situates our clients in the position likeliest to achieve the best
possible outcome, year after year. Our track record with renewals for groups that directly utilize our analytics annually places
our clients on the favorable side of medical trend.
Our core services include extensive analysis, reporting, and health plan utilization. The following is a partial list of our
financial reporting and analysis capabilities:
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We have underwriting consultants on staff and their responsibilities, aside from calculating funding rates, reserves and
reporting, include benefit modeling, specific stop loss level analysis and aggregate funding limitations analysis. We can
provide you with a monthly snapshot as to how the plan (s) is performing from a financial perspective. In the City of Peoria’s
self-funded arrangement, we track participation, fixed expenses, claims, claims that exceed specific stop loss attachment
points, and compare monthly totals to budget.
From any point in time, the City of Peoria can see how each benefit program is performing and which of the plans are not
meeting expectations. This methodology allows us to stay on top of all financial situations to ensure that the client is aware
of the projected funding balances or projected premium adjustments at the end of the year. By taking this active monthly
role, we can very easily and effectively move into the rating of the plans. Whatever the issue may be, corrective actions can
be discussed, and an action plan can be devised. Our underwriting unit then moves into the renewal phase where they give
City of Peoria their first review of the renewal rate action. Along with benefit modeling capabilities, you will have a clear and
concise vision of the appropriate steps needed to keep the plan healthy and robust.
By including enrollment and membership in the monthly experience reports, we can provide you with valuable consultative
information that is frequently overlooked by less detailed reporting packages. Closely monitoring enrollment and
membership trends, in conjunction with demographic data extracted from the Health Plan Intelligence (HPI) report, allows
for precise, quantitative analysis of the tier-structure (i.e. two-tier, three-tier, or four-tier rates) and the pricing-relationship
that exists among the tiers. In the absence of this analysis, groups are unknowingly paying far more than they need to by
inadvertently inviting costlier contracts onto the plan through inappropriate tier-structuring and unintentional subsidization
among the tiers. This analysis, along with our unique contribution modeling techniques, allow for risk pool management,
which is frequently overlooked.
▪ IBNR funding
▪ Corridor Reserve Funding
▪ Rate Stabilization Reserves
▪ Taxable Trusts/Asset Accounts
▪ Contingent (Minimum) premium
▪ HCAT (High Claims Analysis
Tool)
▪ Partial Self-Funding
▪ Transplant Carve-outs with Excess
Risk Analysis
▪ Prospectively Rated
▪ Actuarial and rate alignment tools
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Financial Reporting and Analysis – provide experience reporting, ongoing management assistance, including regular
monitoring of claim activity reports.
We have outlined in detail our experience with reporting, underwriting, and claims activity reports. We are confident that
the experience of your local Hays’ service team and the extension of our Underwriting team will continue providing the
appropriate financial analysis to help you make more informed financial decisions.
Data Warehousing - Hays’ data and metric driven approach to supporting our clients is a clear differentiator from our
competition and one that will be of tremendous benefit to the City of Peoria when it comes to information, plan design, and
cost containment.
We believe one of the major differentiators to Hays is the delivery of our annual Plan Analytics & Modeling tool, Health Plan
Intelligence, more commonly referred to as HPI. HPI is our primary tool in a comprehensive analysis of a given plan year,
as well as developing options for all means of plan design, a powerful combination. HPI is a HIPAA compliant medical claims
warehousing and analysis engine which identifies areas where City of Peoria would benefit from making design changes
and provide real-time financial modeling of those changes. HPI uses 24 months of incurred claims including all relevant data
– ICD and CPT codes, submitted/paid charges, patient demographics, place of service, etc.
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The HPI analysis answers the following questions: What is driving the cost of your employer-sponsored health plan? Is it
your plan design? Is it the demographics of the group? Is it utilization? Is it the network? It also identifies potential savings
available through population health management programs (i.e., Health Risk Appraisals, on-site screening, smoking
cessation, fitness and chronic disease support).
We benchmark eleven major categories of your health plan expenses (inpatient, outpatient, ER, physician, mental health,
etc.) in terms of utilization, unit cost and plan efficiency/rate of payment. The analysis also indicates how lifestyle factors
(tobacco use, physical activity and poor nutrition) and members with chronic diseases (cardiac conditions, diabetes, etc.)
impact your plan. The HPI analysis tool also compares current year costs in each utilization category to prior years, to
establish trend patterns.
The core of any successful approach to plan management is to ensure that all design recommendations and decisions are
founded on strong empirical data. To effectively execute a successful plan, we must fully analyze all components of a benefit
model and have a complete understanding of the precise cost drivers for each major spending component. As stated
already, the first step in performing this type of analysis is to ensure you receive detailed and actionable data which we
provide through our HPI reporting and analytic tools. Further information and videos of HPI’s components are provided
below.
HPI Portal
The HPI-Portal provides a secure and central access point for all Health Plan Intelligence content. The HPI portal is web
based and allows easy access to all HPI content. Additionally, the HPI portal allows us to monitor the status of current HPI
projects as well as access sample content and demos.
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HPI Dashboard
The HPI Dashboard is a management-level, key performance indicator and benchmarking report. The HPI Dashboard
provides an understandable and intuitive view of
how a health plan is performing with specific focus
on the cost of key employee and dependent
populations, key service areas, as well as
underlying conditions.
The HPI Dashboard is fundamental to answer many
critical questions, including:
▪ How much are we paying for health care?
▪ How much are other companies paying?
▪ Which areas within our plan are most costly?
▪ How efficient is our plan design?
▪ How much does chronic disease cost?
The HPI Dashboard provides
the
key
metrics
and
performance indicators that
afford
organizations
the
opportunity to understand how
their plan is performing, how
they
compare
to
other
companies,
and
identify
specific problem areas, which
warrant
additional
investigation.
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HPI Analytics
HPI Analytics provides direct access to powerful views of underlying
health care data. All the underlying data have been enhanced to
include logical population groupings and descriptions which are critical
for the development and application of Risk Pool Management
processes.
With the HPI Analytics we utilize an intuitive interface which enables:
•
Easy access to pre-defined views of the underlying data
•
Ability to apply multiple filters to retrieve custom analysis and results
•
Ability to drill-down into specific areas uncovering hidden problems and opportunities
•
Extremely powerful and advanced analysis through cross-drill technology
•
Customized data to include company-specific values such as plan design, location, division, etc.
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HPI BeneCalc
HPI BeneCalc is the online plan modeling application of HPI. HPI BeneCalc provides Hays the ability to calculate exact
plan values which is fundamental to appropriate rate and contribution development. Once plans have been defined, HPI
BeneCalc gives us the advantage of modeling both the financial and member impact of potential plan changes. This
affords organizations the opportunity to pursue changes that maximize plan savings, while minimizing member disruption.
▪
Plan Design & Value
▪
Medical Inflation
▪
Network Performance
▪
Utilization (behavior)
▪
Contributions
▪
Stop loss Parameters
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b. Staff Assistance
Your Hays service team is a clear differentiator from our peers. Today, HR departments and Plan Sponsors are being
stretched more than ever and we view our service role as an extension of your departments. We offer a unique “extension
of staff” service model that equally supports your benefit administration needs and the challenge of managing rising benefit
costs.
City of Peoria’s service team will have a sundown policy which means that if by sundown we haven’t been able to provide
you an answer to an inquiry, we will call, email or even text you and let you know the status by sundown. We will make
every effort to have an answer or resolve the benefits issue within the then required 24-48 hours.
Your Hays service team delivers a customized service package for City of Peoria and will have the focus and experience to
guide you through the ever-changing employee benefits environment.
This list is not all inclusive, but listed below are issues/challenges our clients may experience:
•
Claims and customer service issues
•
RX issues
•
Eligibility issues
•
Vendor management issues
•
Questions regarding compliance, plan docs, etc.
•
Questions regarding employee benefit strategy
In addition to ongoing communication referenced above, we have periodic client stewardship meetings to ensure client
satisfaction.
Employee Communication Services
We believe effective communication is essential to your benefit program’s success. At Hays, we do not view communication
as an open-enrollment only process, but as a continuous process that allows an employee to recognize the health and
welfare plans as a valuable benefit. Our service delivery model for employee benefit consulting goes beyond program
design, it includes strategic communication consulting as well as development and design of materials, fulfillment and
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integration of plan vendor websites and materials. Additionally, we understand that City of Peoria employs individuals at
different stages of their life requiring specific means of communication. We work with clients to define the most effective
approach to communicating benefits. Here is an overview of typical communication approaches based on different
generations.
Beyond developing detailed benefit summaries, Hays has successfully developed and administered benefit attitude surveys,
personalized communication statements, facilitated client focus groups, and conducted group meetings. In addition, we
have experience with plan selection tools used to promote rational employee elections during open enrollment.
Hays recognize the importance of high-quality communications in support of new and existing benefits programs. Using
professional communication tools, we help you effectively deliver the program message and reinforce the benefit program
objectives. We routinely provide clients with communications services ranging from associate surveys and focus groups to
customized enrollment forms. We contribute to internal client newsletters and draft “new benefit” introduction letters for our
clients. In general, the goal of our communication services is to generate the following advantages for City of Peoria:
•
Improved costs by encouraging participants to make smart, informed choices
•
Enhanced morale/productivity, particularly if the City of Peoria makes benefit changes
•
Decreased burden on HR/internal staff
•
Lower risk of litigation
•
Increased choice
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•
Reduced production time of communication materials
Here is a brief description of services:
Print Communication - To include benefit booklets, open enrollment posters, open enrollment presentations, etc. Hays
Companies designs and provides print solutions for the employee open enrollment brochures. This solution will provide a
professional Fortune 500 quality benefit communication piece for use at open enrollment or during employee recruitment.
The 8-12 page communication brochures will effectively outline your company’s benefit program in a concise and multi-
color benefits brochure. Printing cost would be a pass-through expense to the City of Peoria.
Additionally, we will create Digital Flipbook for distributions via email and/or to post on intranet site.
Mobile Application - In addition to print and/or digital flipbooks, we can build custom, informational Apps for mobile devices.
This will give employees access to all benefit information on their Smart Phone.
Brainshark – Hays, with the direction of City of Peoria, can provide Brainshark communications for both open enrollment
and onboarding of new employees. This approach ensures that all employees and their family members receive the same
information regarding the City of Peoria Employee Benefits. We will design the presentation, write the script, and provide
voice-over services. Once we complete the presentation and get City of Peoria’s approval, we will provide a URL that
employees can access to review benefits.
Wellness Services
Hays has been very successful both locally and nationally in developing wellness programs in conjunction with our clients.
One recent success is with a group of similar size who was struggling to get employees to participate in their wellness
program. In conjunction with their HR Team and carrier, we developed a premium credit program based on different
activities and met all required metrics to earn a 5% discount off their fully insured premium. Some of the activities included
the following: Use of Premium Designated Providers, Generic/Tier 1 RX utilization, > 65% of employees completing
biometrics, > 65% of employees completing health assessment, > 35% of employees with a BMI less than 27.5, > 60% of
employees with a blood pressure of less than 140/90 and > 90% of employees non-tobacco users. Additionally, this client
just completed a 5-week competition. They created 5 teams with the goal to “walk” from Phoenix to Washington D.C. In
total, the teams walked a combined total of 29,033,629 steps with the winning team walking almost 9 million steps. The
winning team was treated to a healthy lunch with their CEO and each team member received a $100 gift card.
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Hays will work with City of Peoria to build on the current wellness culture or work with you to develop a wellness program.
If one is in place, we want to maximize current investments in internal resources and outside vendor partnerships. Working
with your wellness team, the goal of the strategic plans is to improve the health of City of Peoria’s employees and
dependents with resulting benefits for City of Peoria in terms of dollars and productivity. Your Hays Health Strategies team,
led by Heather Kopnicky, is ideally qualified to help City of Peoria’s team build a plan that achieves your objectives.
The following core meetings and services will occur in the development of a one and five-year Health Promotion
Strategic Plan:
Initial Interview & Data Collection- Review of past and current initiatives, and collection of information which may include:
health plan design, utilization data, integrated disability program details, EAP, care management vendors, contribution
strategies, sample employee communications, and District strategic planning documents.
Clinical Data Analysis Results- Present findings of clinical data analysis to key stakeholders and others as appropriate.
Discovery Meeting with Key Stakeholders- Using a Hays proprietary Well Workforce Planning Tool, this discussion will
gain consensus on corporate expectations and the health of City of Peoria. The session will also review the many health
promotion program choices available and begin the development of the following:
• Health Promotion Objectives/Operating Principals
• Strategies and Supporting Tactics to include corporate goals, plan design, risk management, senior management
support, resource commitment, use of data, use of incentives, and integration
• Establishment of activities and timelines
Deliverable- Hays Companies will deliver a One-Year and a Five-Year Strategic Plan, mapping out an integrated approach
to health promotion at City of Peoria. Deliverable to include:
• Strategic Objectives/Operating Principals
• Identification of Key Metrics for measuring success of program
• Strategies and Tactics
• Activities & Timelines addressing Senior Management support, Plan Design, Incentives, Communications, Health
Programs, and Integration as they relate to maintaining a healthy workforce:
• Next Steps
• Planning Work Sheets
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Program Implementation Assistance - Your Hays team will assist with the implementation of new programs through the
end of year one of the strategic plan. Further implementation support and ongoing consulting can be negotiated for an
additional fee.
Disease Management and Case Management Recommendations - Assessing the impact of a Disease Management
program is not as simple as it sounds. Statistically validating a ROI (return on investment) in any group less than 10,000 is
not possible. Therefore, other metrics need to be employed to assess the value. These other metrics can include simple
scores related to member satisfaction or member participation. It can also include pre and post program implementation
compliance with standards of care (for example, how many of the members with diabetes have at least two A1c, hemoglobin
A1c, a blood test to assess the management of blood sugar levels, tests in the preceding 12 months). Other utilization
metrics drawn from claims data can also be used depending on the depth and detail available.
Ultimately the key to analyzing Disease Management programs is choosing metrics that have meaning to the organization.
Defining outcome metrics is part of the process Hays goes through when working with their clients to define and implement
health programs.
Wellness Incentive Analysis - Almost every wellness program is driven by incentives – those external motivators that get
employees to participate in the program. We are encouraging many of our clients to indirectly address autonomy, mastery,
and purpose in their wellness communications that is aligned with their overall culture and business strategy. We will assist
you in clearly defining goals and objectives before implementing incentives. Our process ensures accountability for both
the members and service providers by:
• Establishing a baseline
• Measuring the impact of incented behaviors / outcomes against the baseline
• Assess opportunities for improvement through program evaluation and redesign if necessary
In addition to developing the appropriate incentive designs, we assist you in the creation of a series target communication
materials so that plan participants know the programs requirements, are aware of their progress and understand where to
find additional or supportive information.
c. Vendor Relations
We have a very good reputation both nationally and in Arizona with carriers for being fair, but tough. Our clients certainly
benefit from our size, scope and relationships. Although we represent our clients only, it is extremely important to foster
and build long term relationships with carriers built on trust. Our carrier relationship extends beyond the local level. Should
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we need to work with a National Carrier resource, we have developed relationship and leverage the collective size of Hays
Companies/Brown & Brown on behalf of our clients.
As detailed in Operations & Strategic Planning section of this response, Hays Companies uses HPI data analytics to both
underwrite and negotiate vendor renewals. Our system includes both predictive modeling tools in addition to the ability to
better understand the expected high case activity. This High Case Analysis Tool (HCAT) enables us to price stop-loss
insurance based on the likelihood of high case activity. We have found that carrier underwriters respect our date-driven
approach and work closely with us to ensure pricing is in line with the risk.
Lastly, we work on behalf of our clients to negotiate performance guarantees both from a service perspective and claims.
d. Compliance
Hays Companies maintains a full-service, government compliance department and provides numerous services both to our
own employees and to our clients in the areas of research, support and compliance assistance. We have a dedicated team
to serve this purpose. Our team has access to several on-line support systems, such as the Bureau of National Affairs and
the International Foundation of Employee Benefits. In addition, we subscribe to ten services that issue monthly updates on
topics specific to benefits, such as HIPAA, COBRA, ERISA requirements for benefit plans and sponsors. Augmenting these
other sources are many other manuals and benefits surveys. When it becomes necessary to seek legal advice, we engage
the services of our local attorney partner. You will also have access to our client community web portal. This is an online
informational portal for City of Peoria to access resources and articles concerning regulatory and legislative issues.
Hays Companies recognizes one of the most important aspects of working with clients is to provide timely and accurate
information on topics that affect how employers and benefit plans operate. As brokers and consultants, our value to our
clients depends on how well we can achieve this goal. This is increasingly important as the benefits’ field continues to look
for products and systems that can make plans more effective and efficient.
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To achieve our goals, the Research & Compliance Department utilizes the following vehicles:
•
Update meetings with your assigned Lead Consultant detailing the legislative changes that impact City of Peoria;
ACA impact analysis regarding the employer mandates, variable hour analysis, etc.
•
Periodic Webinars hosted by our Research and Compliance Department (approximately 6-8 per year). Also, we
record each Webinar, so our clients can access content on demand.
•
Periodic Seminar Events.
•
Consistent email communications from our Research and Compliance Department with any applicable changes
that would potentially impact City of Peoria.
•
Monthly updates on various topics, including Medicare and the Group Plan, PPACA, Waivers of Life Premium,
etc.
•
Quarterly the Hays Solutions newsletter which provides information from all our departments.
•
White papers detailing important issues, such as FMLA, ADA, etc.
•
Information and research to help our staff respond to client questions.
Our Consultants also review all plan documents using a comprehensive Compliance Checklist ensuring that all documents
follow appropriate laws and regulations and contain the language required by these laws and regulations. Lastly, Hays
Companies assists in the preparation of governmental filings on behalf of our clients. Your account team works in conjunction
with our Compliance Department to prepare required documents (such as the Form 5500.) The documents are delivered to
our clients file ready.
Compliance Communications
Through our corporate website (www.hayscompanies.com), clients can access our industry research and compliance tool,
MyWave/Zywave. MyWave/Zywave is an online resource utilized by Hays Companies to provide timely, accurate and useful
information to our clients. Our compliance department utilizes this tool to distribute topical compliance data on a periodic
basis via email. This portal also provides access to legislation, human resources topics, health and wellness and business
and technology information to which clients can access.
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Human Resources Support
In addition to our in-house compliance resources, our clients have access to ThinkHR. ThinkHR provides easy and
immediate access to expert HR Advisors who will provide information and answers to minimize risk associated with legal
and regulatory matters pertaining to HR compliance, employment law and health care.
e. Market Awareness
Hays provides our clients with access to numerous benchmarking surveys and sources. We readily have access to all the
major national benchmarking studies through our Compliance team and our partner ThinkHR.
Some of the national benchmarking surveys we subscribe to are the Mercer National Survey of Employer Sponsored Health
Plans resource book, The Hay Benefit Report, Kaiser-National Survey of Employer Sponsored Health Plans and many
more. Hays also maintains several state and local benchmarking resources such as Mercer’s Survey of Employer
Sponsored Health Plans on the State and Metropolitan Statistical Areas.
Also, our proprietary Health Plan Intelligence database which includes over 4 billion in claims and 3.2 million members
benchmarks your medical utilization against normative data. In addition to the hard copy output provided by the Hays
account service team, you are also able to access the raw data online via the web to perform virtually any drilldown scenario
possible. Clients can run “what if” scenarios on inpatient, outpatient, physician office, wellness, and chronic disease data to
identify what cost drivers are driving their health care costs.
City of Peoria can be confident we will meet your needs with all benchmarking requests.
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•
Discuss other services that may not have been identified in the Scope of Work, but that may be of relevance and
importance based upon your firm’s experience in providing these services.
All standard and enhanced services including communications, wellness and HR Services (ThinkHR) have been detailed in
the proceeding question.
B. Firm Experience & Staff Qualifications
•
Brief history of the firm history and experience
Hays Companies (Hays) is a national, full-service, brokerage and consulting firm which specializes in employee benefits, risk
management and commercial insurance. James C. Hays and partners founded Hays in 1994 on a customer-centric principle
that blends creative ideas and quality customer service. To this day, that entrepreneurial spirit remains fundamental to the
Hays culture, guiding and empowering independent thinkers. What was once a small operation has now matured into a national
company of more than 800 people.
In November 2018, Hays became a part of Brown & Brown, Inc., the 6th largest U.S. insurance broker with over 240 offices
nationally. In Hays Companies, Brown and Brown saw similar company synergies that put clients first through exceptional
service and consulting capabilities. While now part of the larger Brown and Brown umbrella, Hays still works independently to
provide the same quality experience our customers have come to expect. The only difference is the additional resources
available to our clients. We will always stand by the entrepreneurial spirit that allows our service teams to make custom
decisions based on the need of individual clients. Our growth continues to be organic—one client at a time.
Brown & Brown, Inc. is a leading insurance brokerage firm, providing risk management solutions to individuals and businesses.
With Brown & Brown’s almost 80 years of proven success and thousands of teammates, we offer knowledge you can trust and
strive to deliver superior customer service.
Hays Companies, Inc. is a wholly-owned subsidiary of Brown & Brown, Inc. Brown & Brown is publicly traded on the NYSE
under the ticker symbol BRO.
Brown & Brown, Inc. markets and sells insurance products and services in the United States, England, Canada, Bermuda, and
the Cayman Islands. It operates through four segments: Retail, National Programs, Wholesale Brokerage, and Services. The
Retail segment offers commercial packages, group medical, workers' compensation, property risk, and general liability
insurance products; and group and individual life, accident, disability, health, hospitalization, medical, dental, and other ancillary
insurance products, as well as risk management, loss control survey and analysis, consultancy, and claims processing
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services. It serves commercial, public and quasi-public entities, professional, and individual customers. The National Programs
segment offers professional liability and related package insurance products for dentists, oral surgeons, hygienists, lawyers,
optometrists, opticians, ophthalmologists, insurance agents, financial advisors, registered representatives, securities broker-
dealers, benefit administrators, real estate title agents, and escrow agents, as well as supplementary insurance products
related to weddings, events, medical facilities, and cyber liabilities. This segment also offers outsourced product development,
marketing, underwriting, actuarial, compliance, and claims and other administrative services to insurance carrier partners; and
commercial and public entity-related programs, and flood insurance products. It serves through independent agents. The
Wholesale Brokerage segment markets and sells excess and surplus commercial and personal lines insurance through
independent agents and brokers. The Services segment offers third-party claims administration and medical utilization
management services in the workers' compensation and all-lines liability arenas, Medicare Set-aside, Social Security disability,
Medicare benefits advocacy, and claims adjusting services. Brown & Brown, Inc. was founded in 1939 and is headquartered
in Daytona Beach, Florida.
Please visit https://investor.bbinsurance.com/ for additional financial information, Annual Reports, pending litigation, etc.
Hays Companies has significant experience working with public entities in the State of Arizona and Nationally. Our service
and financial approach has proved successful in managing these accounts while having retained 100% of the public sector
business with which we have engaged in Arizona. In addition to our response and background detailed in this RFP, we focus
on four primary areas of risk and bringing the most advanced analytics and the highest level of talent in the marketplace. The
four areas are:
Rate Risk: Risk Pool Management
• Recalibrates premium/rates so each benefit tier is a proper reflection of the clients’ demographic risk
• Optimizes the use of a multiple tier structure offering, demonstrating whether a three tier of four tier solution is optimal
for the client
• When multiple plans are offered, establishes proper rate spread between the plans
• Puts client in charge of the most important factor, the risk pool itself
• Allows employers to manage member burden properly by establishing acceptable spread between contribution and
plan design costs
Claims Risk: Health Plan Intelligence
• What are primary factors driving your healthcare costs?
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• Chronic disease: Since 50%-80% of healthcare spend is from members with a chronic disease, we identify, isolate
and then focus on these dollars
• Create health improvement strategies around the actual cost drivers of claims
• We determine the performance level of your network
• We show you how efficiently your plan is operating compared to peer groups you establish
Renewal Risk
• Benefit Modeler tool allows us to demonstrate the “real” value of plan changes
• Benefit Modeler also allows users to demonstrate the proper spread between multiple plan offerings
• For self-funded employers our High Claims Analysis Tool allows us to show you at what reinsurance level you attain
the maximum cost savings for the minimum amount of risk
• Our renewal forecaster tool allows us to project your renewal with greater accuracy, not relying on a “reverse”
negotiation whereby the carrier supplies the renewal without rebuttal. We force the carrier to answer the questions
surrounding their renewal action.
Compliance Risk
• Complete compliance review
• Access to legal professionals for HR related issues
• Administrative tools and services
•
Location of the offices performing the services
Although we operate Nationally, 95% of the work performed for the City of Peoria will and has been perform by our local office:
Hays Companies, Inc.
3200 E. Camelback Road, Suite 129
Phoenix, AZ 85018
As part of our ongoing consulting engagement with the City of Peoria, we have and will continue leveraging National, subject-
matter experts on the City’s behalf. Although this is further detailed in the “Number of staff, assignments and qualifications”
section, we have leveraged the following additional resources on the City’s behalf: Government Compliance (Minneapolis,
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MN), Pharmacy Benefit Group (Milwaukee, WI), Marketing & Communications (Minneapolis, MN), Analytics (Minneapolis, MN)
and Health Strategies (National/Dallas, TX). It should be noted that these services are in conjunction with our local consulting
team, not in lieu of our local consulting team. We will continue to assess City of Peoria needs and leverage National resources
to address any specific challenges. Our structure and services model allows for this ongoing collaboration amongst offices to
bring a consolidated, full-service solution to the City of Peoria.
•
Provide firm applicable certifications and licenses
Hays Companies is a licensed Life & Health Broker in all 50 states including Arizona.
•
Number of staff, assignments and qualifications
The City of Peoria’s core consulting team will continue to be led by Charlie Broucek. Charlie is the “Executive In-Charge” and
is primarily responsible for executive direction and strategic planning. He will primarily be involved in plan design analysis, risk
pool management strategies, and financial performance. Paula Cambell will remain the main point of contact for day-to-day
activities related to the Scope of Services. These activities include vendor management, compliance, communications, claims
resolution services, contract review & marketing, plan benchmarking, etc. She will be responsible for coordinating both the
core consulting team as well as specialty resources. Jamison Davis is the primary underwriter responsible for projecting claims,
setting rates, analyzing stop-loss level, risk pool management strategies, contribution analysis, and plan reporting/analytics.
He is supported by Patrick Clelland. Lastly, Megan Flanagan is responsible for the development and implementation of
communication strategies including employee benefit brochures, digital flipbooks, mobile applications, and other open
enrollment materials.
In addition to the core consulting team referenced above, we have included national subject matter experts providing support
to the City of Peoria. Heather Kopnicky is our Hays Health Strategist and is in our Dallas, TX office. She is responsible for
strategic direction, design, implementation and monitoring of wellness/Population Health Management. Heather is supported
by a team of Health Strategists led by our Medical Director, Dr. Louise Short. Ben Graves is our Director of Compliance and
is in our Minneapolis, MN office. Ben is responsible for disseminating compliance information to our core consulting team and
regularly is available for both in-person meetings and conference calls. Lastly, Frank Bacon leads our Pharmacy Benefit
Practice and is in our Milwaukee, WI office. Frank is responsible for contract review and negotiation on behalf of our core
consulting team. Although the above, National resources work with multiple offices, they regularly support the Arizona market
and thus integrated with many of our clients. At the direction of the core consulting team, they are mobilized consistently to
assist with client specific needs.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 31
•
Include individual staff credentials/licenses/certifications
CHARLIE BROUCEK – SENIOR VICE PRESIDENT, EMPLOYEE BENEFITS
Charlie is a Sr. Vice President and Partner for the Hays Companies. In this role, he provides strategic consultation and benefit
plan structure and design for partially self-funded and fully-insured clients.
Charlie brings over 23 years of experience in consulting and business development including employee benefits and insurance,
recruiting and staffing, and employee relations. Charlie has worked with a diverse group of industries including: Non-Profit,
Retirement Communities, Educational Institutions, Telecommunications, Technology, Banking, Government, and Construction.
Charlie holds a BS in Business Management from the W.P. Carey School of Business at Arizona State University. Additionally,
he is a licensed Life/Health Producer in Arizona, Utah, New Mexico, Texas, California, Oklahoma, Virginia, Washington,
Oregon.
Role
Name
Job Title
Location
CITY OF PEORIA
Team
Responsibilities
# Yrs Company/ #
Yrs Industry
# Yrs in similar role
Executive In-Charge
Charlie Broucek
SVP
Phoenix, AZ
Executive Oversite
and Strategy
17/19
17
Senior Consultant
Paula Campbell
VP
Phoenix, AZ
Day-to-Day Lead
15/30
20
Lead Financial
Resource
Jamison Davis
VP & Technical
Consultant
Phoenix, AZ
Underwriting
Projections, Rate
Setting, Contributions
11/16
11
Financial Resource
Patrick Clelland
Analyst
Phoenix, AZ
Reporting, UW
Support
3.5/5
3.5
Communications Lead
Megan Flanagan
Sr. Analyst
Phoenix, AZ
Communications
1/5
1
Other Specialty Resources:
Pharmacy
Frank Bacon
National Director -
Pharmacy
Milwaukee, WI
Pharmacy/PBM
Analysis and Pricing
3/13
3
Wellness
Heather Kopnicky
Health Strategies
Consultant
Dallas, TX
Health and Wellness
Strategy
1/20
20
Legal/Compliance
Ben Graves
Director, Research &
Compliance
Minneapolis, MN
Compliance Support
Services
10/30
30
Data Analytics
Mike Davis
EVP & PlanIT
Minneapolis, MN
Data Warehouse
25/27
15
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 32
Charlie is a Past President of the W.P Carey Alumni Chapter at ASU, Former Board Member – ASU Alumni Association,
Current member of the ASU President’s Club, Past Director – Valley of the Sun Human Resources Association, Lifetime Board
Director – Esperanca, Inc. (Phoenix Based Non-Profit), Alumni of the National Advisory Council Member, UHC and involved
in youth athletics.
PAULA CAMPBELL – VP, CONSULTANT / ACCOUNT MANAGER, EMPLOYEE BENEFITS
Paula has over 25 years of experience in the health care industry. She began her career working for a Third-Party Administrator
(TPA) and held various positions including Account Manager and Customer Service, as well as leading projects management
teams within the Network Development and Quality Assurance Departments.
As the Manager of Account Services for Benesight (now owned by UHC), she was responsible for managing a team of Account
Executives as well as managing both middle market and national accounts.
Paula’s primary focus at Hays is client service, plan marketing, analysis and maintenance of employee benefit programs, and
managing carrier relationships. Paula is a licensed Life/Health Producer in Arizona.
JAMISON DAVIS – VP, TECHNICAL CONSULTANT / UNDERWRITER, EMPLOYEE BENEFITS
Jamison has been Vice President at Hays Companies of Arizona since August of 2007. In his role as a Consultant, he provides
strategic consulting, budget forecasting, monthly reporting, benchmarking analysis and plan analytics. As the local
underwriting resources, he stays very involved with all self-funded clients from renewals to monitoring of plan financials and
budgets.
Jamison is a licensed Life/Health Producer in Arizona and brings over 15 years of experience in employee benefits and
insurance. He holds a BS in Marketing from Northern Arizona University.
Jamison has a passion for helping others and serves the public as a fundraising Life Member for the EC 70 and a former board
member for Fresh Start Women’s Foundation. In his first five years, he raised over $100,000 in charitable contributions.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 33
MEGAN FLANAGAN – SR. BENEFITS ANALYST
Megan joined Hays with five years of employee benefits experience. Her career in the industry began with a human resource
consulting PEO firm where she specialized in HR and Benefits. After moving on from the PEO firm she went to work for a
benefits broker who created a specialized database for their clients and other vendor brokerages. Megan assumed the position
of Senior Account Executive/Data Specialist where she maintained the database and used her knowledge of technology,
benefits and communication to work with employees, clients, and carriers to maintain all accounts.
Megan is a licensed Life/Health Producer in Arizona. She specializes in employee communication. Her current role at Hays
Companies will be to support the Consultant team, our clients and their employees. She holds BA’s in Psychology and
Sociology from the University of Arizona.
PATRICK CLELLAND – BENEFIT ANALYST, EMPLOYEE BENEFITS
Patrick joined Hays in August of 2015. He has employee benefit experience both in the group and individual
marketplaces. Prior to joining Hays, he worked at a private insurance carrier as a producer specializing in Medicare
Supplement insurance, as well as life, dental, and annuities.
Patrick is a licensed Life/Health Producer in the state of Arizona. He specializes in client reporting and client management. His
current role at Hays Companies will be to support the Consulting team, our clients, and their employees. He holds a BA in
American History from Arizona State University.
BEN GRAVES – DIRECTOR, GOVERNMENT COMPLIANCE
Ben C. Graves is the Director of Research & Compliance in the Employee Benefits division of Hays Benefits Group, LLC. He
has been with Hays since 2008. Ben has been the Director of Compliance for Administration Resources Corporation, a
Cafeteria Plan and COBRA administration services company. In his current role, Ben is responsible for technical and
compliance advice for Cafeteria Plan and COBRA administration services, plan document management, and seminar
presentations and web casts on COBRA, FMLA, HIPAA Privacy and HIPAA Portability, Cafeteria Plans, Consumer Driven
Health Care, Integration of FMLA, ADA, and Workers’ Compensation.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 34
Previously, Ben was the Director of Compliance for A.E. Roberts Company, a nationally recognized training and consulting
company for human resources, benefits, and insurance professionals.
Ben holds a BS in Sociology from Central Michigan University, a Masters of Industrial Safety from the University of Minnesota,
Duluth, and a JD from William Mitchell College of Law obtained in 1993. He is licensed to practice law in the State of Minnesota.
MIKE DAVIS – EXEC. VICE PRESIDENT; PLANIT, INC.
Mike Davis is an Executive Vice President and Partner for Hays Companies since 1994. In his role, he provides coordination
of all aspects of program design and analysis for Hays Companies customers. He assists clients with strategic planning, policy
and procedure development and execution. Mike also works closely with our data analytics company, PlanIT. In this role, Mike
is responsible for strategic direction and system output.
Mike was a consultant with John Hancock Insurance Companies where he developed expertise in benefit, retirement and
executive compensation plans. Mike has extensive experience in employee benefits and retirement plans including: 401(k)
vendor selection, retirement plan communication, transition or retirement plans from one vendor to another, medical plan
vendor selection, benefit plan budgeting and development of proprietary service products.
Mike is licensed with Series 6 and 63 and is also an advisor with Hays Investment Advisors. He is licensed for life and health
and holds memberships with International Society of Certified Employee Benefit Specialists (CEBS) and Advantage Insurance
Network.
Mike received his Bachelor of Science degree from the University of North Dakota. Following graduation, Mr. Davis spent three
years in the Aviation field before entering the employee benefits industry in 1993.
HEATHER KOPNICKY – CONSULTANT, HAYS HEALTH STRATEGIES
Heather has been the wellness industry for the past 20 years, with majority of the time in corporate health. Heather earned her
Bachelor of Science degree in Health from Texas A&M University and a Master of Business degree from Texas Woman’s
University. Heather holds a community health education specialist certification, as well as a Well coaches certification from the
American College of Sports Medicine.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 35
Heather’s experience ranges from account management, onsite biometric screenings, telephonic coaching to product
development, deploying long-term strategic strategies, predictive modeling, utilization review and disease management.
In this role, Heather works with employers to develop and implement a strategic wellness plan to help mitigate high claims.
She monitors data throughout the year to measure the effectiveness of the wellness initiatives and provides the client
summaries highlighting the program achievements. She also serves as a liaison between the client’s and their health insurer
and vendors to optimize the client’s worksite wellness program.
FRANK BACON – NATIONAL PHARMACY CONSULTANT
Frank serves as Hays Companies’ Pharmacy Consultant. He provides advisory services to Hays clients and consultants,
supporting efforts to manage effective delivery of prescription benefits to employees while maximizing cost efficiencies. Frank
joined Hays Companies in 2016.
Frank’s responsibilities include advising clients in pharmacy benefit design and PBM contracting. This entails creating
customized PBM contracts based on client-specific utilization, conducting audits of pharmacy claims experience to ensure
contracted rate adherence, as well as establishing and maintaining collaborative purchasing arrangements to minimize cost
for Hays clients.
Frank brings over 10 years of pharmacy experience to Hays, most recently working as a PBM Network Pricing Consultant for
one of the nation’s largest Pharmacy Benefit Managers. His experiences working in the PBM industry allow him to provide
Hays’ clients unique insight as to how to manage and mitigate cost in the face of a complicated and costly pharmacy benefit
delivery system.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 36
•
Provide a minimum of three (3) references (prefer references from governmental/municipal clients) who can attest to
firm’s knowledge, quality of work, timeliness, diligence, and flexibility.
In addition to having supported the City of Peoria since 2010, we have several other governmental/municipal clients that we
manage for the Arizona office. These clients include: City of Scottsdale, City of Tempe, City of Glendale, City of Clovis (New
Mexico), City of Cedar Park (Texas), Town of Sahuarita, Valley Schools Employee Benefit Trust (Financial & Compliance),
and Valley Metro. We were recently awarded 2 additional governmental/municipal clients through competitive bid processes,
but we are not at liberty to discuss publicly at this point. These 2 additional clients have approximately 3,500 employees and
7,000 total members.
Reference #1
Reference #2
Reference #3
Consultant Since
2014
2011
2017
Company Name
City of Tempe
City of Scottsdale
City of Glendale
Contact / Title
Kathleen Broman; Human
Resource Manager
Lauran Beebe; Human
Resources Manager
Jim Brown; Director, HR &
Risk Management
Address
20 E. Sixth Street
Tempe, AZ 85281
9191 E. San Salvador
Scottsdale, AZ 85258
5850 W. Glendale Ave.
Glendale, AZ 85301
Phone #
480.350.8204
480.312.2746
623.930.2277
Brief Description of Services Offered
EB Consulting Services; Self-
Funded Medical & Dental
EB Consulting Services; Self-
Funded Medical & Dental
EB Consulting Services; Self-
Funded Medical
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 37
C. Cost Considerations
•
Provide annual fee for services identified in the Scope of Work for each year of the contract term (5 fiscal years – July
to June).
The proposed fees include all costs (i.e. miscellaneous administrative, travel, etc.) and the services identified in the Scope of
Services.
Total Cost Not to Exceed:
July 2020 – June 2021 (Annual Fee)
$59,000
July 2021 – June 2022 (Annual Fee)
$60,000
July 2022 – June 2023 (Annual Fee)
$61,000
July 2023 – June 2024 (Annual Fee)
$62,000
July 2024 – June 2025 (Annual Fee)
$63,000
•
Provide separate fees for any additional services that may be required outside the annual fee (i.e., Actuarial Analysis,
TPA Audit).
Actuarial Analysis
$7,500 - $15,000
Conduct TPA Audit
$10,000 - $15,000
D. Conformance to RFP
•
Failure to provide all requested information may result in firm’s proposal being rejected as non-responsive.
•
Complete and return all City forms.
•
Exceptions – Any exceptions to any part of the RFP must be clearly noted and identified.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 38
The above “Conformance to RFP” requirements have been reviewed and confirmed.
THANK YOU
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 39
> Benefits & Coverage Information
> Medical ID Cards
> Benefit Forms & Documents
> Educational Videos
> Provider Directories
> Service Contact Information
> Wellness Plans
> Accessible on Mobile, Tablet
& Desktop
> Customized Branded Design
Hays Companies offers Mobile Benefits Solutions to provide your employees with
24/7 access to employee benefit information from any mobile device. The app is
designed to help employees easily use and better understand their benefits, saving
both the member and company valuable time and money.
KEY APP FEATURES
Access your employee benefits
anytime, anywhere!
Do I have to download an app to use it?
No, when you access the website address for the app with your mobile device, you will be automatically
directed to the mobile app. The app is a web app, which means there is nothing to download, no need to
access an app store, etc...it’s ready for use when you access the site address from your device.
But, what if I want an “app-like” icon on my home screen? You can add an icon to your Home Screen by
clicking the Add to Homescreen icon when you are on the app’s home page.
Mobile Compatibility
iOS (iPhone/iPad), Android, and Windows
Contact your Hays Consultant for more information today!
City of ABC
2019-2020 Plan Year - Renewal Projection
V1.3
February 1, 2019
HAYS COMPANIES OF ARIZONA | 3200 E CAMELBACK RD | Suite 129 | Phoenix | AZ | 85018
City of ABC
2019-2020 Plan Year - Renewal Projection
Dashboard
The City of ABC Medical Plan Projection is increasing by 6.8%
Prior Year Renewal Info
EE
EE+SP
EE+CH
Fam
EE
EE+SP
EE+CH
Fam
Estimated Medical Cost
Estimated Fixed Cost
Estimated EE Contribution
CIGNA OAP In-Network
Total Budget Rate
$623
$1,349
$1,131
$1,937
$666
$1,441
$1,208
$2,069
EE Contributions
$137
$337
$283
$484
$146
$360
$302
$517
6.9%
6.8%
6.8%
6.8%
Assumed Enrollment
453
236
241
530
453
236
241
530
CIGNA Local Plus
Total Budget Rate
$564
$1,221
$1,023
$1,753
$603
$1,304
$1,093
$1,873
EE Contributions
$124
$305
$256
$438
$133
$326
$274
$468
6.9%
6.8%
6.8%
6.8%
Assumed Enrollment
57
9
14
27
57
9
14
27
CIGNA OAP
Compliance Considerations
Total Budget Rate
$545
$1,180
$990
$1,695
$582
$1,261
$1,058
$1,811
2022 Excise Tax*
EE Contributions
$87
$248
$208
$356
$93
$265
$222
$380
6.8%
6.9%
6.9%
6.8%
Assumed Enrollment
146
33
46
78
146
33
46
78
Affordability
Cigna OAP + HSA
Total Budget Rate
$521
$1,129
$946
$1,620
$557
$1,206
$1,011
$1,731
EE Contributions
$56
$202
$158
$326
$60
$216
$169
$348
6.9%
6.8%
6.9%
6.9%
Assumed Enrollment
121
22
41
46
121
22
41
46
HDHP and ACA Update
Medical Plan Year Comparison
Plan Year 2019 Discussion
>2019 No Change to the IRS Minimum Deductible
$1,350 in / $2,700 Fam
>2019 Change to Out of Pocket Max
From $6,650 to $6,750
>2019 ACA Out of Pocket Max
$7,900 Ind / $15,800 Fam
>HSA Contribution Limit :
$3,500 Ind / $7,000 Fam
Trends
6.8%
>CIGNA Admin:
Wellness FTE (Onsite), OneGuide, Comprehensive Oncology, Preferred
HMCM
>Reduce number of plan options
>Change City Contribution to 80% employee and 75% Employee + Family on
all plans
> Prior year renewal increase was 8.2%.
> Plan performance thru PYTD is 96%
>Deductible change to the HDHP because
of IRS increase to the minmum deductible
6.8%
6.8%
> Medical Trend: 7.3%
> Rx Trend: 9.7%
6.8%
>If the lowest paid employee earns $11.00
an hour, based on a 9.86% safe harbor for
2019, the lowest single tier contribution
should not exceed $140.99 per month.
February 1, 2019
5.7%
36.6%
6.8%
Current
Renewal
% Change
$28,925,017
$30,573,504
$6,989,460
$7,466,910
$1,098,971
$1,500,792
1
2
3
4
5
$28.93M
$.41M
$.92M
2018
$30.57M
$.56M
$1.05M
2019
Expected Claims
Admin Fee
StopLoss
6
Page 2 of 6
City of ABC
High-Case Normalization – $100,000 to $325,000
Expected Members
Network / Demographic Factor
Pooling Threshold
Specific Deductible
Analysis Period
Membership
Actual Claims above $100,000
Actual Claims above $325,000
Expected Liability between $100,000 and $325,000
Net Underwriting Adjustment
$100,000
19.7
24
20.9
39
7.4
8
$125,000
14.0
13
14.9
28
5.3
3
$150,000
10.2
7
10.8
20
3.8
3
$175,000
7.7
4
8.2
13
2.9
1
$200,000
6.0
1
6.4
10
2.3
1
$225,000
4.6
1
4.9
7
1.7
1
$250,000
3.8
1
4.0
5
1.4
0
$275,000
3.3
1
3.5
5
1.3
0
$300,000
2.8
1
2.9
4
1.0
0
$350,000
1.9
1
2.0
3
0.7
0
$400,000
1.4
1
1.5
1
0.5
0
$450,000
1.1
0
1.2
0
0.4
0
$500,000
0.9
0
1.0
0
0.3
0
$600,000
0.7
0
0.8
0
0.3
0
$750,000
0.4
0
0.5
0
0.2
0
$1,000,000
0.3
0
0.3
0
0.1
0
$1,500,000
0.1
0
0.1
0
0.0
0
Specific Deductible
Expected Members
in Excess of Deductible
Actual Members
in Excess of Deductible
Expected Members
in Excess of Deductible
Expected Members
in Excess of Deductible
Actual Members
in Excess of Deductible
7/1/2018 to 10/31/2018
5,420
5,353
5,285
Actual Members
in Excess of Deductible
$569,272
$115,075
$199,276
$0
February 1, 2019
* Partial Year
High Case Analysis Tool
0.85
$361,421
($1,437,838)
$257,686
$100,000
$325,000
$3,042,568
$311,586
$1,145,688
$1,507,109
$1,604,729
7/1/2016 to 6/30/2017
7/1/2017 to 6/30/2018
Page 3 of 6
City of ABC
2019-2020 Plan Year - Renewal Projection
Medical Claims Projection
February 1, 2019
7/1/2016 to
6/30/2017
7/1/2017 to
6/30/2018
7/1/2018 to
10/31/2018
Rolling 12
7/1/2016 to
6/30/2017
7/1/2017 to
6/30/2018
7/1/2018 to
10/31/2018
Rolling 12
Medical Claims
1
$18,914,606
$22,793,756
$7,257,216
$20,148,626
$6,212,697
$6,470,947
$2,243,807
$6,434,771
Rx Claims
Actual Claims above $325,000
2
($216,044)
Actual Claims above $100,000
3
($1,145,688)
($3,042,568)
($311,586)
$0
Expected Liability between $100,000 and $325,000
4
$1,507,109
$1,604,729
$569,272
$0
Medical Claims Less Excess
5
$19,276,027
$21,355,918
$7,514,902
$19,932,583
Laser Adjustment(2)
6
1.000
1.000
1.000
1.000
Benefit Adjustment(3)
7
0.994
0.994
1.000
0.996
1.000
1.000
1.000
1.000
Benefit Adjustment(3)
Network Discount Adjustment
8
1.000
1.000
1.000
1.000
1.000
1.000
1.000
1.000
Network Discount Adjustment
Migration
9
1.000
1.000
1.000
1.000
1.000
1.000
1.000
1.000
Migration
Benefit Adjusted Medical Claims
10
$19,160,371
$21,227,782
$7,514,902
$19,852,852
$6,212,697
$6,470,947
$2,243,807
$6,434,771
Benefit Adjusted Rx Claims
Member-Months
11
65,038
64,240
21,140
64,438
65,038
64,240
21,140
64,438
Member-Months
PMPM
12
$294.60
$330.44
$355.48
$308.09
$95.52
$100.73
$106.14
$99.86
PMPM
7.3% Annual Trend
13
1.2354
1.1513
1.0985
1.1246
1.3201
1.2034
1.1314
1.1668
9.7% Annual Trend
Capitation
14
$0.00
$0.00
$0.00
$0.00
-$16.91
-$16.91
-$16.91
-$16.91
RX Rebate Credit
Projected Medical PMPM
15
$363.95
$380.45
$390.50
$346.48
$109.20
$104.31
$103.18
$99.61
Projected Rx PMPM
16
Period Weight
17
35%
40%
25%
35%
40%
25%
Period Weight
Adjusted Membership
18
22,763
25,696
5,285
22,763
25,696
5,285
Adjusted Membership
Member-Adjusted Period Weight
19
42.4%
47.8%
9.8%
42.4%
47.8%
9.8%
Member-Adjusted Period Weight
Medical PMPM Claims Projection
20
$346.48
$99.61
Rx PMPM Claims Projection
% of Total PMPM Claims Projection
21
78%
22%
% of Total PMPM Claims Projection
Total PMPM Claims Projection 22
Total PEPM Claims Projection 23
% Change from Current
24
Preferred Method:
34
Current Membership
Stop Loss Credits
25
($115,075)
($199,276)
$0
35
Current Enrollment
Medical Claims Less Excess
26
$18,799,531
$22,594,480
$7,257,216
36
Preferred Methods PEPM
Projected Medical PMPM
27
$354.95
$402.52
$377.11
37
Admin (Cigna, EAP, MotivateME, Stoploss Interface)
Total PMPM Claims Projection
28
38
ISL @325,000
Est @ 20% increase
Total PEPM Claims Projection
29
39
Wellness and Consulting Fee
% Change from Current
30
40
Est. Disabled Retiree Subsidy
42
$1,272.79
Total Fixed and Claims PEPM
43
Projected Monthly Fixed and Claims Cost
44
Projected Annual Fixed and Claims Cost
Total PMPM Claims Projection
31
45
Current Annual Fixed and Claims Budget
Total PEPM Claims Projection
32
46
% Change from Current
% Change from Current
33
(2) Laser adjustments accounts for expected liability for the projection year.
(3) Benefit adjustments accounts for plan design changes from each time period
(4) The normalization adjustment can be used to diminish the volatility associated with high-case activity.
Medical
Pharmacy
2,100
$374.45
$106.27
78%
22%
Blending Three Time Periods: Method 2
Normalization - Method 1
$1,213.23
$22.40
$446.09
5,300
6.83%
$31.48
$2,672,858
$32,074,296
$30,023,988
$486.14
$1,226.92
$10.22
($4.54)
-0.51%
Normalization - Method 1
$480.72
$1,213.23
7.98%
Rolling 12 - Method 3
6.83%
$1,125.85
Page 4 of 6
City of ABC
2019-2020 Plan Year - Renewal Projection V1.3
1-Feb-19
In
Out
In
Out
In
Out
In
Out
Deductible
NA
NA
NA
NA
$750 / $1,500
$2,000 / $4,000
$1,350 / $2,700
$3,500 / $7,000
Maximum out-of-pocket
$2,500 / $5,000
NA
$2,500 / $5,000
NA
$4,500 / $9,000
$4,500 / $9,000
$4,000 / $8,000
$6,000 / $12,000
Coinsurance
100%
NA
100%
NA
90%
70%
90%
70%
PCP visit copay
$10 or $25
NA
$10 or $25
NA
$10 or $25
Ded Then 70%
Ded Then 90%
Ded Then 70%
Specialist copay
$40
NA
$40
NA
$40
Ded Then 70%
Ded Then 90%
Ded Then 70%
Urgent care copay
$50
NA
$50
NA
$50
Ded Then 70%
Ded Then 90%
Ded Then 70%
ER copay
Inpatient Hospital
$500
NA
$500
NA
Ded Then 90%
Ded Then 70%
Ded Then 90%
Ded Then 70%
Outpatient Hospital
$250
NA
$250
NA
Ded Then 90%
Ded Then 70%
Ded Then 90%
Ded Then 70%
Pharmacy
$10/20%/40%
NA
$10/20%/40%
NA
$10/20%/40%
0.5
Ded then $10/20%/40%
50%
EE
453
$623.00
57
$564.00
146
$545.00
121
$521.00
EE+SP
236
$1,349.00
9
$1,221.00
33
$1,180.00
22
$1,129.00
EE+CH
241
$1,131.00
14
$1,023.00
46
$990.00
41
$946.00
Fam
530
$1,937.00
27
$1,753.00
78
$1,695.00
46
$1,620.00
By Plan
All Plans
In
Out
In
Out
In
Out
In
Out
Deductible
NA
NA
NA
NA
$750 / $1,500
$2,000 / $4,000
$1,350 / $2,700
$3,500 / $7,000
Maximum out-of-pocket
$2,500 / $5,000
NA
$2,500 / $5,000
NA
$4,500 / $9,000
$4,500 / $9,000
$4,000 / $8,000
$6,000 / $12,000
Coinsurance
100%
NA
100%
NA
90%
70%
90%
70%
PCP visit copay
$10 or $25
NA
$10 or $25
NA
$10 or $25
Ded Then 70%
Ded Then 90%
Ded Then 70%
Specialist copay
$40
NA
$40
NA
$40
Ded Then 70%
Ded Then 90%
Ded Then 70%
Urgent care copay
$50
NA
$50
NA
$50
Ded Then 70%
Ded Then 90%
Ded Then 70%
ER copay
Inpatient Hospital
$500
NA
$500
NA
Ded Then 90%
Ded Then 70%
Ded Then 90%
Ded Then 70%
Outpatient Hospital
$250
NA
$250
NA
Ded Then 90%
Ded Then 70%
Ded Then 90%
Ded Then 70%
Pharmacy
$10/20%/40%
NA
$10/20%/40%
NA
$10/20%/40%
0.5
Ded then $10/20%/40%
50%
EE
453
$665.54
57
$602.51
146
$582.22
121
$556.58
EE+SP
236
$1,441.12
9
$1,304.38
33
$1,260.58
22
$1,206.10
EE+CH
241
$1,208.23
14
$1,092.86
46
$1,057.61
41
$1,010.60
Fam
530
$2,069.28
27
$1,872.71
78
$1,810.75
46
$1,730.63
By Plan
% Change from Current
All Plans
% Change from Current
Plan Recommendations
$32,074,296
CIGNA OAP
Plan Design
6.83%
Funding Rates
Expected
Annual Cost
$24,353,964
$1,343,352
$3,797,896
6.83%
6.83%
6.83%
$150
$150
Ded Then 90%
$2,579,085
Current Plan Year 2018-2019
CIGNA OAP In-Network
CIGNA Local Plus
CIGNA OAP
Plan Design
Cigna OAP + HSA
$150
$150
$150 + Ded Then 90%
Ded Then 90%
6.83%
Funding Rates
Expected
Annual Cost
$22,797,168
$1,257,480
CIGNA OAP In-Network
CIGNA Local Plus
Plan Year 2019 - 2020
$3,555,120
Cigna OAP + HSA
$150 + Ded Then 90%
$2,414,220
$30,023,988
Page 5 of 6
City of ABC
2019-2020 Plan Year - Renewal Projection
Total Cost and Contributions (No Plan Change & Same Contribution Schedule)
Smoking Surcharge:
$20
Blood Pressure Discount:
$20
Employees Charged:
84
Enrolled:
854
Corresponding Percent Enrolled:
4.0%
Corresponding Percent Enrolled:
31.2%
Estimated Cost
$204,960
Tier
Enrollment
Monthly Plan
Cost
Monthly EE
Contributions
Monthly ER
Contributions
ER % of
Monthly
Contribution
Tier
Estimated
Enrolled
Monthly Plan
Cost
Monthly EE
Contribution
s
Monthly ER
Contributions
ER % of Monthly
Contribution
Monthly EE
Contributions
Change Amount
% Change EE
Contribution
CIGNA OAP In-Network
EE Only
453
$623.00
$137.00
$486.00
78.01%
EE Only
453
$666.00
$146.46
$519.54
78.01%
$9.46
6.9%
EE + Spouse
236
$1,349.00
$337.00
$1,012.00
75.02%
EE + Spouse
236
$1,441.00
$359.98
$1,081.02
75.02%
$22.98
6.8%
EE + Child(ren)
241
$1,131.00
$283.00
$848.00
74.98%
EE + Child(ren)
241
$1,208.00
$302.27
$905.73
74.98%
$19.27
6.8%
Family
530
$1,937.00
$484.00
$1,453.00
75.01%
Family
530
$2,069.00
$516.98
$1,552.02
75.01%
$32.98
6.8%
CIGNA Local Plus In-Network
EE Only
57
$564.00
$124.00
$440.00
78.01%
EE Only
57
$603.00
$132.57
$470.43
78.01%
$8.57
6.9%
EE + Spouse
9
$1,221.00
$305.00
$916.00
75.02%
EE + Spouse
9
$1,304.00
$325.73
$978.27
75.02%
$20.73
6.8%
EE + Child(ren)
14
$1,023.00
$256.00
$767.00
74.98%
EE + Child(ren)
14
$1,093.00
$273.52
$819.48
74.98%
$17.52
6.8%
Family
27
$1,753.00
$438.00
$1,315.00
75.01%
Family
27
$1,873.00
$467.98
$1,405.02
75.01%
$29.98
6.8%
CIGNA OAP
EE Only
146
$545.00
$87.00
$458.00
84.04%
EE Only
146
$582.00
$92.91
$489.09
84.04%
$5.91
6.8%
EE + Spouse
33
$1,180.00
$248.00
$932.00
78.98%
EE + Spouse
33
$1,261.00
$265.02
$995.98
78.98%
$17.02
6.9%
EE + Child(ren)
46
$990.00
$208.00
$782.00
78.99%
EE + Child(ren)
46
$1,058.00
$222.29
$835.71
78.99%
$14.29
6.9%
Family
78
$1,695.00
$356.00
$1,339.00
79.00%
Family
78
$1,811.00
$380.36
$1,430.64
79.00%
$24.36
6.8%
Cigna OAP + HSA
EE Only
121
$521.00
$56.00
$465.00
89.25%
EE Only
121
$557.00
$59.87
$497.13
89.25%
$3.87
6.9%
EE + Spouse
22
$1,129.00
$202.00
$927.00
82.11%
EE + Spouse
22
$1,206.00
$215.78
$990.22
82.11%
$13.78
6.8%
EE + Child(ren)
41
$946.00
$158.00
$788.00
83.30%
EE + Child(ren)
41
$1,011.00
$168.86
$842.14
83.30%
$10.86
6.9%
Family
46
$1,620.00
$326.00
$1,294.00
79.88%
Family
46
$1,731.00
$348.34
$1,382.66
79.88%
$22.34
6.9%
HSA EE Contribution
121
$41.67
$0.00
$41.67
100.00%
HSA EE Contribution
121
$41.67
$0.00
$41.67
100.00%
HSA Fam Contribution
109
$83.33
$0.00
$83.33
100.00%
HSA Fam Contribution
109
$83.33
$0.00
$83.33
100.00%
Monthly Total
$2,516,124
$582,455
$1,933,669
$2,687,094
$622,242
$2,064,852
Annual Total
2,100
$30,193,488
$6,989,460
$23,204,028
76.9%
2,100
$32,245,128
$7,466,910
$24,778,218
76.8%
Smoking Surcharge
$20,160
-$20,160
$20,160
-$20,160
Blood Pressure Discount
-$204,960
$204,960
-$204,960
$204,960
Funding Total
$30,193,488
$6,804,660
$23,388,828
77.5%
$32,245,128
$7,282,110
$24,963,018
77.4%
Difference ($)
$2,051,640
$477,450
$1,574,190
Difference (%)
6.8%
7.0%
6.7%
HSA Difference
$0.00
February 1, 2019
2018-19(Current)
2019-20
EE CHANGE
Page 6 of 6
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 6
II. SCOPE OF SERVICES
Our understanding is that the City of Peoria is seeking a benefits partner that can provide professional, highly qualified benefits guidance
and services. This includes the following services (Scope of Services):
A. Self-Funded Health Plan (Medical and Dental)
1.
Statistical analysis:
•
Provide monthly and quarterly reporting which includes an analysis of income and expense for the prior quarter.
•
Provide quarterly presentations to the Employee Benefit Trust Board including analysis of income and expense for the
quarter and year to date (YTD).
•
Provide annual report which includes an analysis of income and expense for the prior year and a projection for the
forthcoming year including projected adequate reserve levels for plan.
•
Make recommendation for establishing annual premium rates.
•
Advise on required reserves for medical and other self-funded plans (if applicable).
2.
Policy analysis:
•
Provide general guidance on trends in benefits offered and eligibility requirements.
Recommend plan changes based on these trends.
•
Advise and consult on methods for improving cost containment and claims administration.
•
For above, where applicable, provide cost analysis of possible impact on plan.
•
Provide guidance and analysis of self-funding other insurance programs such as vision, short-term disability, etc.
B. Administrative/Other Support:
•
Assist in developing long-term benefit objectives and goals.
•
Assist in the modification and pricing of any current, or newly considered, benefit programs.
•
Review plan documents and summary plan descriptions, including amendments and restatements, for accuracy. Serve as
liaison with providers in making any needed changes.
•
Review contracts with vendors to insure accuracy and comprehensiveness of coverage. Provide guidance in contract
interpretation, as needed.
•
Advise and consult on trends in benefit plans that are offered locally and nationally, including information on plans that are not
currently offered by the City.
•
Assist in problem resolution with providers.
•
Assist with development of Request for Proposals (RFP’s) for various vendors in compliance with the City’s purchasing
requirements. This may include developing a scope of services, evaluation criteria and evaluating/summarizing proposal
information.
EXHIBIT B
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 7
•
Assist the City in the development of an integrated employee benefit communication plan and strategy to include, enrollment
forms, open enrollment materials, benefit guide, and other employee communications as needed.
•
Provide subject matter expertise in support of an Employee Healthcare Task Force, established to assist in the evaluation and
recommendation of benefit programs.
•
Provide subject matter expertise and consulting in support of the Employee Benefits Trustees in the performance of their
fiduciary responsibilities.
C. Contract Negotiations:
•
Annual review, analysis, and negotiation of renewal rates for health plans: medical, dental, vision, short-term disability, life
insurance, EAP, flexible spending, travel insurance and third-party administrators. Advise when competitive quotes should be
solicited from other carriers.
D. Legal Support:
•
Assist in the preparation of governmental filings.
•
Prepare alternative funding analysis and conduct actuarial analysis of claims reserves and funds requirements as requested.
•
Provide necessary actuarial services including projecting funding needs for upcoming fiscal year.
•
Maintain records of the financial and claims experience condition and progress of the plans and provide quarterly financial
reports for the self-funded plans.
•
Assist with performance guarantees relating to vendor performance of services.
•
Provide notification and updates on changing laws, regulations, and administrative or judicial rulings that relate to benefits
programs in general, and the City’s programs specifically. Make recommendations based on these changes or legal
requirements.
•
Review plan documents to ensure compliance with appropriate laws and regulations and notify of any necessary plan
document amendments.
•
Assist the City to be in compliance with all legal and regulatory requirements including but not limited to: ACA, HIPAA, COBRA,
FMLA, ADA, and Medicare D.
E. General Guidance:
•
Provide answers or guidance to general or technical benefits questions.
•
If requested, review communication materials for content, appearance, and compliance with laws and regulations.
•
The Consultant will be working on a frequent basis with the Human Resource Manager, Human Resources Supervisor and the
benefits team. The Consultant will be expected to assist the City on a regular basis and in a timely manner to provide guidance
to technical problems that may arise.
•
The Consultant may be expected to attend open enrollment meetings with employees, employee
Health Care Taskforce meetings, Council meetings, and /or Trust Board meetings.
March 24, 2020
Response to Employee Benefits Consulting Services RFP #P20-0024 for the City of Peoria | 37
C. Cost Considerations
•
Provide annual fee for services identified in the Scope of Work for each year of the contract term (5 fiscal years – July
to June).
The proposed fees include all costs (i.e. miscellaneous administrative, travel, etc.) and the services identified in the Scope of
Services.
Total Cost Not to Exceed:
July 2020 – June 2021 (Annual Fee)
$59,000
July 2021 – June 2022 (Annual Fee)
$60,000
July 2022 – June 2023 (Annual Fee)
$61,000
July 2023 – June 2024 (Annual Fee)
$62,000
July 2024 – June 2025 (Annual Fee)
$63,000
•
Provide separate fees for any additional services that may be required outside the annual fee (i.e., Actuarial Analysis,
TPA Audit).
Actuarial Analysis
$7,500 - $15,000
Conduct TPA Audit
$10,000 - $15,000
D. Conformance to RFP
•
Failure to provide all requested information may result in firm’s proposal being rejected as non-responsive.
•
Complete and return all City forms.
•
Exceptions – Any exceptions to any part of the RFP must be clearly noted and identified.
EXHIBIT C