Request for Qualifications (RFQ) for Employee Benefits Brokerage and Advisor Services Released on December 19, 2016
St. Charles Park District ‐ 101 S. 2nd Street ‐ St. Charles, IL 60174
I. INTRODUCTION A. PURPOSE AND SCOPE OF WORK The purpose of this Request is to solicit responses from qualified and experienced firms to provide insurance brokerage and advising services to the St. Charles Park District (“Park District” or “District”) in support of the District’s health and associated benefits programs. The intent of the scope of work is to provide a basis for comparison of the submissions that are received. It is expected that a qualified company, by submitting an RFQ, has exercised their own judgement on the tasks required and level of effort necessary to provide the expected service. The District maintains the right to modify the scope of work to fit within available resources and objectives. Such services within the Scope of Work will include, but may not be limited to: Developing an understanding of the District’s needs with regard to health and benefit plans; Evaluating current plans and recommending alternative plan and funding designs; Advising District on plans, products and carriers that have the potential to reduce expenses; Recommending emerging benefit models, insurance trends, and evolving technology; Analyzing insurance provider proposals and providing a comprehensive written assessment; Negotiating with insurance providers to obtain the best possible value for services prescribed; Assisting in the future preparation of bid specifications; Advising and assisting in securing reinsurance and/or excess insurance when applicable; Assisting in the development, implementation, and enhancement of a wellness program; Offering periodic educational sessions to employees and retirees on relevant benefit topics; Working with District officials and human resources staff to acquire and administer benefit plans; Providing consultation and guidance to District employees on insurance benefits upon request; Participating in meetings with District staff, committee(s) and/or elected officials; Acting as an advocate for employees, retirees and dependents with insurance companies and providers; Producing applicable communication strategies and materials for the District and employees; Reviewing plan documents and benefit summaries to ensure federal and state compliance; Maintaining knowledge of related Governmental Accounting Standards Board (GASB) regulations; Coordinate with providers to obtain relevant performance data and providing benefit plan analysis; and Tracking and reporting progress of plan utilization and experience on a monthly basis to the District. The group benefit plans include medical, prescription drugs, dental, vision, life, accidental death and dismemberment (AD&D) insurance, flexible spending accounts (FSAs), and a health reimbursement account. Dental, vision, life and accidental death and dismemberment (AD&D) coverage are provided by the District. In addition to the group benefit programs for eligible employees, the District offers an assortment of voluntary programs that provide employees with products that assist in their financial planning and wellness.
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B. DISTRICT OVERVIEW The Park District is a special unit of local governmental that owns, operates and/or manages over 1,500 acres of open space, four community centers, four seasonal facilities, five maintenance buildings, and thousands of programs and community events annually. The District is governed by an elected Board of Commissioners, led by a Director of Parks and Recreation, and managed by the administrative staff that oversee the business, golf, marketing, parks and planning, and recreation departments. The District employs approximately 76 health insurance eligible full time employees, part time employees, and eligible retirees. The District annually employs at least another 500 part time and seasonal employees to support the operations and fulfill the ongoing mission of the District who are not generally eligible for insurance plans. The single criterion for insurance eligibility is working an annual minimum of 1,560 hours. The District offers one traditional PPO plan, two PPO driven Health Reimbursement Account (HRA) plans, and one HMO plan. All programs are offered through Blue Cross Blue Shield of Illinois. As of September 1, 2016, employees, dependents and retirees participated in the program as follows: Eligible Park District Employees and Dependents Under Group Plan Employee Coverage PPO HRA 1 HRA 2 HMO EE Totals
Employee EE Only
EE + Spouse EE SP
EE + Child(ren) EE >1 Ch
EE
Family Fam
Health Waivers
EE Totals
2 8 0 11
0 7 1 1
0 7 1 1
1 2 0 1
1 2 0 1
2 8 2 16
5 23 4 45
14
See Below
21
9
9
4
4
28
77
14
152
n/a
Retiree Totals
Eligible Park District Retirees and Dependents Under Group Plan Retiree Coverage PPO‐RET HRA 1‐RET HRA 2‐RET HMO‐RET RET Totals
Employee EE Only
EE + Spouse EE SP
EE + Child(ren) EE >1 Ch
EE
Family Fam
1 5 0 0
0 2 0 0
0 2 0 0
0 2 0 0
0 3 0 0
0 1 0 1
0 2 0 2
n/a
See Below
6
2
2
2
3
2
4
n/a
21
14
187
Combined Total Of Lives for Employees, Retirees and Dependents
Total Lives
27
11
11
6
7
30
81
Health insurance tier options include employee, employee plus spouse, employee plus child(ren) and family coverage. Eligible employees may “waive” health coverage and instead receive a $1,500 payment split over 26 pay periods. Employees have been extremely satisfied with health insurance from Blue Cross and Blue Shield for many years. The District provides employees with dental and life insurance through Lincoln Financial at no cost to the employee. The District also provides employees with a vision plan through VSP at no cost to the employee. The District uses Flexible Benefit Services to administer the Cross Tech product for electronic processing of HRA and FSA transactions and for Cobra Administration. The District performs FMLA administration internally. The District offers, a $2,550 maximum Flexible Spending Account and a $5,000 Dependent Child Care Account.
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II. RFQ TIMELINE AND SUBMITTAL Release of Request for Qualifications
Week of December 19, 2016
Written Questions Due By Email¹ RFQ questions may be emailed or faxed to: Sash Dumanovic, Human Resources and Risk Manager Email:
[email protected] Fax: 630‐584‐1396 RFQ Submissions are Due Submit two copies of RFQ Enclose RFQ in a single signed and sealed envelope Address envelope and deliver to: Employee Benefit Brokerage and Advisor Services RFQ St. Charles Park District Cathy Camm, Superintendent of Finance and Administration 101 S. 2nd Street St. Charles, IL 60174 Panel Reviews RFQ submissions
January 9, 2017
January 16, 2017
Week of January 23, 2017
Oral Presentations to Panel
Week January 30, 2017
Park Board of Commissioners Consideration of Submissions
February 14, 2017
Open Enrollment Period Begins For All Staff
July 15, 2017
New Plan Year Begins for Dental and Life Insurance
August 1, 2017
New Plan Year Begins for Health Insurance
August 15, 2017
New Plan Year Begins for Vision Insurance
September 1, 2017
Memo of Understanding Upon final selection of an advisor by the Park Board of Commissioners, a Memo of Understanding may be required. 1. Questions or comments must be put in writing and received by the District no later than January 9, 2017.
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III. EVALUATION OF SUBMISSIONS AND SPECIAL PROVISIONS A. EVALUATION OF SUBMISSIONS RFQ submissions for Benefit brokerage and advising services will be evaluated by a panel of elected commissioners and administrative staff. All submissions received in accordance with these instructions and will be evaluated to determine if they are complete and meet the specified requirements. Qualified firms will be invited to make oral presentations to the panel the week of January 30, 2017. The panel shall have the authority and discretion to determine the qualifications, responsibility, capability, responsiveness and other factors important to the District including, but not limited to, past performance and professional references; experience and reputation; financial responsibility; service history and capabilities; and level of educational, supportive, and value added services available. EVALUATION PROCEDURES All submissions received in accordance with these instructions will be reviewed, analyzed, evaluated and scored in accordance with the criteria described below. If needed, additional information may be requested from one or more firms. Oral presentations, interviews and professional service reference checks may be conducted with one or more firms. The panel will then identify firms that best meet the needs of the St. Charles Park District and its employees and continue with the selection process. Any selection of a benefit advisor is subject to review by the District’s Corporation Counsel and authorization by the Board of Commissioners for the St. Charles Park District EVALUATION CRITERIA Proposals will be evaluated by the District against the factors specified below: 1. Overall firm and team qualifications and experience; 2. Staffing and team assignments specific to the Park District; 3. Ability to carry out the Scope of Work; 4. Expertise and effectiveness with cost containment strategies, plan negotiations, and representation; 5. Experience advising local Districts or agencies of similar size, complexity and financial constraints; 6. Professional references of firm; 7. Communication protocols, advisor website, marketing support, and other benefit materials; 8. Cost and expenses; 9. The insurers that the firm represents; 10. Miscellaneous (other relevant factors not considered elsewhere) The District reserves the right to reject any or all submissions, to waive any irregularities or informalities in the offers received, allow a firm or firms to clarify content within their submission, withdraw the request for qualifications, or to change the evaluation process described above if circumstances dictate this or it is otherwise in the best interest of the District to do so. FINAL SELECTION OF ADVISOR The final selection of a benefit advisor will require authorization by the Park District Board of Commissioners and may require the execution of a memo of understanding or similar instrument. B. PROPOSAL ERRORS AND CORRECTIONS Offerors are cautioned to verify their proposals prior to submission. Negligence on the part of the offeror in preparing the proposal confers no right for withdrawal or modification of the proposal. Offerors shall promptly notify the District of any ambiguity, inconsistency, or error they may discover upon examining of the specification documents.
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C. PUBLIC ACTS The District must comply with the Illinois Freedom of Information Act (FOIA), Park District Code, Open Meetings Act, Local Records Act and other state and federal legislation. D. TAXES The District is exempt from state and local sales and use taxes. E. INFORMATION TO INCLUDE IN THE SUBMISSION 1. List of all insurers, including self‐insurance cooperatives, on whose behalf you can submit proposals for insurance contracts. 2. For each insurance or cooperative listed above, indicate the compensation you would receive from the insurer or cooperative for securing an insurance contract with that entity on behalf of the District. 3. Are you willing to provide the services requested under this proposal without receiving a commission or fee from the insurer or cooperative? If yes, what would you charge the District to provide the services?
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