health and welfare consultant rfp bidders’ conference november 16, 2011
TRANSCRIPT
Health and Welfare Consultant RFP Bidders’
Conference
November 16, 2011
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LACERS Health Benefits Administration Division
Alex Rabrenovich, Division Manager Mimi Lin, Assistant Division Manager Anthony Torres, Section Manager James Aceron, Health Contracts
Administrator Pat Badger-Alston, Health Member Services Dan Goto, RFP Administrator Theresa Stamus, Sr. Asst. City Attorney
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Background
LACERS Health and Welfare Program Health Plans Health Benefits
Membership 17,000 + retired members 27,000 + active members
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LACERS Health Goals
Implementation of Strategic Initiatives Long-term sustainability of our health benefits
program Manage the rise in premium costs Increase participation in disease
management/wellness programs Communicate useful information to our members Partner with carriers to achieve desirable results Develop transparency in carrier rate calculations
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Current Environment
City of LA 2012 projected $400 million general fund shortfall
Retiree pension reform
Changes for employee retirement contributions
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Current Environment
LACERS Health care cost trends Premiums expected to exceed $100
million by 2012 Health care reform
Impact on future costs and program benefits
Medicare Sustainability Impact on future costs and plan offerings
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Current Environment
Health Care Reform
Patient Protection and Affordability Care Act of 2010 (PPACA); and
Health Care and Education Reconciliation Act of 2010 (HCERA).
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Consultant Traits
Reliable Responsive Available Engaged Creative Motivated Positive Flexible
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LACERS
Board of Administration 7 Members – Five year terms
4 appointed by Mayor 2 elected by active members 1 elected by retired members
General Manager, Tom Moutes Assistant General Managers, Li Hsi and Lita
Payne
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LACERS Benefits
Medical and Dental Subsidies Medical can be applied to:
dependents, surviving spouse, domestic partner Dental available to retiree only
Medical Premium Reimbursement Program (MPRP)
LACERS Medicare Requirement Medicare Part B Reimbursement
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RFP Component: Carve-Out
LACERS may carve-out the Strategic Planning component of its Scope of Services and award a separate three-year contract.
Proposers may submit separate bids as outlined in Section III (Scope of Services) of RFP for: All services except Strategic Planning Strategic Planning Only (carve-out bid) All services including Strategic Planning
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LACERS 2012 Health Plans
Medical Carriers Anthem Blue Cross HMO, PPO, and LPPO Kaiser Permanente HMO and Kaiser Senior Advantage SCAN UnitedHealthcare of CA, NV, and AZ
Dental Carriers MetLife PPO SafeGuard HMO
Vision Carrier Vision Service Plan (included for all plans except
Kaiser)
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Health Plan Enrollment Stats
Over 18,138 covered lives Approximately 13,043 retirees Approximately 5,095 dependents
Under age 65 Approximately 6,490
65 + with Medicare Part B Approximately 1,132
65 + with Medicare Parts A and B Approximately 10,516
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Health Plan Enrollment Stats
Anthem Blue Cross- 5,556 Kaiser Permanente- 11,187 SCAN- 349 UnitedHealthcare- 1046 MetLife- 13,749 SafeGuard- 4,573 Vision Service Plan- 6,951
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Health Care Cost History
2010 2011 2012
Maximum MonthlyHealth Subsidy $1123.00 $1190.00 $1190.00
Percent Increase 0.27% 5.97% 0.00%
Aggregate Medical Premium Increase 4.5% 6.2%
0.2% 10 year average premium increase = 7.6 %
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RFP Overview
Services Consultation and Advisory Services Health Plan Bid Renewal Process Strategic Planning Program Evaluation and Development Legislation and Regulatory Analysis Communications Special Projects
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RFP Overview
General Responsibilities and Conditions
RFP TimeLine Release RFP October 26, 2011 Bidder’s Conference November 16, 2011 Proposal Deadline December 5, 2011 Finalist Interviews December 2011-January
2012 Selection of Consultant January 2012 Contract Negotiations January 2012 Contract Effective Date March 15, 2012
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RFP Overview
Qualifications
City of L.A. Standard Provisions
Proposal Requirements
Questionnaire
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RFP Overview
Fee Structure Two Proposals
Fixed Fee – maximum cost per category of service
Monthly Retainer – monthly cost to perform any of the listed services during a three-year contract Includes direct and indirect costs
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Contract Guidelines
General Conditions and
Compliance Documents
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RFP Administration
Dan Goto - RFP Administrator
Phone – (213) 473-7209 FAX – (231) 473-7222 E-Mail – [email protected]
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RFP Administrator
As RFP Administrator, I am responsible for:
The Administrative Process associated with the RFP
All Communications related to the RFP
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Marketing Cessation Policy
Proposing firms are prohibited from communicating with LACERS Board membersand staff concerning this RFP except with the designated RFP administrator and at meetings scheduled by the RFP administrator. Violation of this policy will result in automatic
disqualification of the firm involved.
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RFP Questions and Answers
Deadline for Questions and Answers – Today, November 16, 2011 at 3:00 P.M.
Questions pertaining to the RFP must be submitted in writing and may be mailed, e-mailed or faxed to the administrator.
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RFP Questions and Answers
All questions and addenda that arise from this RFP will be posted on the LACERS Website. It is the responsibility of the proposer to monitor the website for any updates to the RFP’s questions and addenda.
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RFP Submittal
Deadline for Submission – December 5, 2011at 3:00 P.M.
No Exceptions. Late responses will not be considered.
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RFP Submittal
Proposal Is Complete Well organized and easy to read LACERS may deem a proposer non-
responsive if the proposer fails to provide all required documents and copies.
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RFP Submittal
If the proposer submits alternatives and/or substitutions to the terms and conditions, LACERS reserves the right to determine if the alternatives/substitutions are acceptable.
All proposers are to document their alternative or substitution in the cover letter with justification.
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RFP Submittal
There will be two levels of review.
#1 The administrative review determines the responsiveness to proposal requirements and mandatory document submissions.
All proposers must pass the administrative review to go to the next level of review.
#2 The review of proposal plan, costs and qualifications.
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Acceptance of Terms & Conditions
Submission of a response to this RFP/RFQ/RFI (“RFP”) shall constitute acknowledgment and acceptance of the standard terms and conditions.
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Right to Withdraw
A proposer may withdraw its response, in writing, prior to the final due date and time. After withdrawing a previously submitted proposal, the proposer may submit another proposal at any time prior to the specified submission deadline.
LACERS reserves the right to withdraw this RFP or reject all proposals at any time without prior notice and retains the right to reject any and all proposals.
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Verification of Information
LACERS reserves the right to verify the information in the response. If a firm knowingly and willfully submits false information or other data, the City reserves the right to reject that response. If a contract was awarded as a result of false statements or other data submitted in response to this RFP, LACERS reserves the right to terminate that contract.
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Contractor History of Responsibility
A firm will not be recommended for a contract award, regardless of the merits of the response submitted, if it has a history of contract noncompliance with LACERS or any other entity or poor past or current performance with LACERS or any other entity.
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Proposer Qualifications
LACERS may make investigations as necessary to determine the ability of the proposer to provide required services and comply with the requirements of the RFP.
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Public Records Act
All responses to this RFP are subject to public disclosure pursuant to the California Public Records Act
The Act provides generally that all records relating to a public agency’s business are open to public inspection and copying, unless specifically exempted under one of several exemptions set forth in the Act.
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Public Records Act
Any proposed contract awards brought before the Board of Administration will appear on a publicly posted agenda for a public meeting of said Board.
If the proposer considers any portion of the proposal is exempt from public disclosure under the Act, such protion may be marked “CONFIDENTIAL.”
LACERS will consider denying public disclosure of any portions so designated.
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Public Records Act
The submittal of a response with portions marked “CONFIDENTIAL” shall constitute a request for LACERS to consider the material confidential.
LACERS is not liable for any claim for damages if LACERS determines that the material is not exempt from disclosure, notwithstanding the request to consider the material confidential, and will be disclosed under the laws described above.
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Confidentiality & Non-Disclosure of Member Information
Any proposer awarded a contract pursuant
to this RFP must agree that: All information provided by LACERS
regarding its members and beneficiaries shall remain confidential and private.
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Contract Guidelines
DEMONSTRATION OF COMPLIANCE REQUIRED WITH PROPOSAL
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RFP Warranty
Proposers must complete this warranty/affidavit (Attachment 3) which includes a statement of non-collusion and identifies persons authorized to bind the firm in contracts.
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Non-Discrimination, Equal Employment Practices and Affirmative Action Certification
The proposer must sign and submit with their proposal a Nondiscrimination, Equal Employment Practices and Affirmative Action Certification Declaration, Composition of Total Workforce Report (Attachment 4), or a signed version of proposer’s own affirmative action plan which meets all the requirements of the City’s Affirmative Action Plan. If the proposer elects to submit its own plan, it must be submitted to the Office of Contract Compliance (213) 847-2631 for approval.
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Municipal Lobbying Ordinance
Each proposer is required to read the Los Angeles Municipal Lobbying Ordinance (Los Angeles Municipal Code § 48.02) found on the web at: http://ethics.lacity.org/pdf/laws/law_mlo.pdf. If proposers qualify as a lobbying entity please complete and return the Bidder Certification CEC Form 50 (Attachment 5) with your proposal.
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Campaign Contributions and Campaign-Related Activities
Proposers may not make campaign contributions to and/or engage in in fundraising for certain elected officials or candidates for elected City office from the time they submit the response until either the contract is approved or, for successful bidders, 12 months after the contract is signed.
Bidders are required to complete and submit CEC Form 55.
City Ethics Commission at (213) 978-1960 or ethics.lacity.org.
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Business Inclusion Program
LACERS strongly encourages all bid respondents to make an effort to include members of Minority Business Enterprise (MBE), Women Business Enterprise (WBE), Other Business Enterprise (OBE), Small Business Enterprise (SBE), Emerging Business Enterprise (EBE), and Disabled Veterans-Business Enterprise (DVBE) groups in any subcontracting work to be performed if awarded the contract.
Bidders must submit with their proposal the MBE/WBE/ OBE Subcontractor Information Form (Attachment 7).
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Contract Guidelines
COMPLIANCE REQUIREMENTS IF AWARDED A CONTRACT
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Standard Provisions for City Contracts (Rev. 03/09)
If awarded a contract, the City of Los Angeles requires its contractors to adhere to the Standard Provisions for City Contracts (Rev. 03/09). A copy of the Standard Provisions for City Contracts (Rev. 03/09) is found on the web at: http://www.lacers.org/aboutlacers/request-for-proposals/index.html
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Bonding, Insurance and Indemnification
If awarded a contract, the respondent will furnish the City evidence of insurance coverage with minimum limits prescribed by LACERS.
Proof of insurance must be submitted in accordance with requirements of the City Administrative Office Insurance and Bonds Section prior to contract execution. For more information, visit the City Risk Manager’s website at: http://www.cao.lacity.org/risk/
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Los Angeles Business Tax Registration
All contractors of the City of Los Angeles are required to register their business with the City of Los Angeles Office of Finance and are subject to Los Angeles City Business Tax. For information, visit the Office of Finance website at: http://www.lacity.org/finance/
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Questions
Questions and Answers Please submit any questions in writing. Questions and Answers will be posted on
the LACERS website.
LACERS Web Site –http://www.lacers.org/AboutLACERS/RFPs/
20121124Healthandwelfareconsultant/index.ht.