HomeMy WebLinkAboutAgenda Report - September 15, 1993 (61)OR
CITY OF LODI
COUNCIL COMMUNICATION
AGL•'.NDA TITLE: Plans and Specifications and Advertisements for Bids
for Flexible Spending Account (IRS Section 125 Plan).
MEETING DATE: September 15, 1993
PREPARED BY: Joanne Narloch, Personnel Director
RECOMMENDED ACTION: That the City Coun;il approve the plans
specifications for administration of the Flexible Spending Account
authorize advertising for bids.
BACKGROUND INFORMATION: In 1991, the City evaluated the merits of!
offering a Flexible Spending Account to employees. Under a flexible%
benefit plan, employees are eligible to elect to pay for benefits!
normally payed for with taxed dollars on a pre -taxed basis. These)
benefits include reimbursement for unreimbursed medical care,
dependent care, and certain insurance premium expenses. Because of
the shift to Employees paying a share of cost of medical insurance and,
the number of employees with child care expenses, it was determined
that this plan would benefit City of Lodi employees.
A request for proposal was advertised in 1991 and Delta Benefit Plans
was selected as the administra�or. On September 7, 1993 a letter was
received from Delta Benefit Plans advising the City of Lodi that they
have decided to discontinue administering Flexible Spending Account
plans effective January 1, 1994.
Because we will no longer have an administrator, we are !requesting
authorization to advertise for bids to provide this service.
The cost of administration for this plan is borne by the city and is'.
approximately $2,10J.00 per year.
FUNDING: Currently appropriated.
1 1
l\v- �-t
)Joanne M. Narloch
Personnel Director
Ira
APPROVED:
THOMAS A. PETERSON,,,,,
` City Manager
L
I.
1.
2.
CITY OF LODI
REQUEST FOR PROPOSAL
Flexible Spending Account
COVER PAGE
September 15, 1993
The city of Lodi is requesting written proposals to administer a flexible spending account
(Section 125 Plan). The firm selected will be expected to commence services to
implement a flexible spending account to be effective January 1, 1994. Prospective
suppliers are to provide specific information in the spaces below and attach •this sheet to
the fa nt of the proposal as a cover sheet.
Cost for administration of plan $
Cost for any additional services $
Name of Firm:
Address of Firm:
Contact Representative: Phone:
I hereby certify that the above price quotation and attached written proposal represents
an authorized offer on behalf of my firm/company, and that I have read and understand
all of the bid specifications set fora by the City of Lodi in their Request for Proposal.
By: Title:
Date:
Please Submit Your Proposal To:
The City of Lodi
Joanne Narloch
Personnel Director
P.O. Box 3006
Lodi, CA 95241-1910
II. CONTENT
Your proposal should be a clear and concise statement which addresses the following
areas of concern:
1. Deve'_oping a plan which includes all benefits legally possible and preparing the
necessary documentation.
2. Meeting with employees to orient them to the plan and provide informational
materials which explain the plan in an easi.y understood manner.
3. Meeting with individual employees to determine their specific benefit needs.
4. Training City employees who provide accounting or benefit support to the plan
as appropriate.
5. Administering the plan and providing all appropriate records and reports required
by the IRS. Administration should provide for payment of claims, including
writing of checks and banking of funds.
it should also contain:
1. Resume(s) fo- the principal employee(s) who will work on the evaluation.
2. Client references.
3. A budget proposal.
III. FINANCIAL STATEMENT
A general financial statement of your firm showing your financial status, solvency, and
history of ownership.
IV. SUBMITTAL OF PROPOSALS
Please submit three (3) copies of your proposal and other information for providing the
services outlined herein to the City of Lodi, Personnel Department no later than
5:00 p.m. on October 8, 1993 at the address shown on the cover page.
FAX submittals WILL NOT be accepted.
The City assumes no responsibility for costs incurred in the preparation and presentation
of this proposal.
V. AVAILABILITY FOR INTERVIEWS
The firm proposals selected as finalists for consideration may be invited to attend
interviews in Lodi. It shall be understood that the City of Lodi will not be obligated to
pay for the firm's expenses to attend such interviews. The tentative date for interviews
is October 22, 1993.
VI. AWARD OF A CO, . ,RACT
Proposals shall be considered using the following criteria:
1. The degree that each proposal complies with the specification herein.
2. Qualifications and competency of the firm and their staff.
3. The cost and anticipated benefits shown in the proposals.
4. Your firm's specific experience with similar work.
5. Client references.
6. Other criteria deemed necessary by the City.
The City of Lodi is not required to select the proposal that may indicate the lowest price
or cost. The City may reject all proposals when, in its opinion, none of them meet the
requiremcnts or specifications of this request for proposal, the benefits derived will be
less than anticipated or desired, or the rejection in the best interest of the City. If all
proposals are rejected, the City may or may not request additional proposals.
END: City of Lodi
Request for Proposal
Flexible Spending Account