COMMONWEALTH OF VIRGINIA
COUNTY OF HENRICO
RFP #15-1045-9CS
DEPARTMENT OF FINANCE
CECELIA H. STOWE, CPPO, C.P.M.
PURCHASING DIRECTOR
November 6, 2015
REQUEST FOR PROPOSAL
403(b) / 457 Deferred Compensation Plan: Plan Administrative, Recordkeeping, Investment
Management, and Employee Education Services
COUNTY OF HENRICO, VIRGINIA
Your firm is invited to submit a proposal to provide 403(b)/457b Plan Administrative, Recordkeeping, Investment Management and
Employee Education Services in accordance with the enclosed specifications. The submittal, consisting of the original proposal, seven
(7) additional copies marked Henrico County 403(b)/457 Services, and one electronic copy of the proposal saved to a flash drive in
a format designated by Henrico County will be received no later than 2:00 p.m., January 14, 2016 by:
IN PERSON OR SPECIAL COURIER
County of Henrico
Department of Finance
Purchasing Division
OR
8600 Staples Mill Road  NEW ADDRESS
Henrico, Virginia 23228
U.S. POSTAL SERVICE
County of Henrico
Department of Finance
Purchasing Division
P.O. Box 90775
Henrico, Virginia 23273-0775
This RFP and any addenda are available on the County of Henrico Purchasing website at http://henrico.us/purchasing/ To
download the (IFB or RFP), click the link and save the
document to your hard drive. To receive an email copy of this document, please send a request to: sto05@henrico.us
Any proposal received after 2:00 p.m., January 14, 2016 whether by mail or otherwise, will be returned unopened. Those firms who
wish to respond to the RFP, please contact Nichole Labott at nlabott@sageviewadvisory.com to coordinate the receipt of the
flash drive in which the soft copy of the response should be submitted. The requested information from the Offeror and
contained on the flash drive will be submitted with hard copy proposal submission to the County no later than January 14,
2016 at 2:00 p.m. The time of receipt shall be determined by the time clock stamp in the Purchasing Office, Department of Finance.
Proposals shall be placed in a sealed, opaque envelope, marked in the lower left-hand corner with the RFP number, title, and date and
hour proposals are scheduled to be received. Offerors are responsible for insuring that their proposal is stamped by Purchasing Office
personnel by the deadline indicated.
A pre-proposal conference will be held on December 8, 2015 at 2:30 p.m. in the Purchasing Office, 8600 Staples Mill Road,
Henrico, VA. 23228. Offerors are strongly encouraged to attend the pre-proposal conference in order to ask questions
regarding the RFP requirements and to familiarize themselves with purchasing procedures. Only two representatives from
each firm will be allowed to attend the meeting. A teleconference number has been established for suppliers who are unable to
travel to the County of Henrico. To join the meeting, call 804-501-7555 and enter meeting ID#7002 and Password #1999. It is
limited to one caller from each supplier. Please bring a copy of the RFP with you in order to discuss the requirements.
Nothing herein is intended to exclude any responsible firm or in any way restrain or restrict competition. On the contrary, all responsible
firms are encouraged to submit proposals. The County of Henrico reserves the right to accept or reject any or all proposals submitted.
The awarding authority for this contract is the Department of Finance, Purchasing Director.
Technical questions concerning this Request for Proposal should be submitted to Cecelia Stowe, sto05@henrico.us no later than
December 11, 2015.
Very truly yours,
Cecelia H. Stowe, CPPO, C.P.M.
Purchasing Director
Sto05@henrico.us
804-501-5685
8600 Staples Mill Road/P.O. Box 90775/Henrico, Virginia 23273-0775
(804) 501-5660 Fax: (804) 501-569
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REQUEST FOR PROPOSAL
403(b) / 457 Deferred Compensation Plan: Plan Administrative, Recordkeeping, Investment
Management, and Employee Education Services
COUNTY OF HENRICO, VIRGINIA
I.
PURPOSE:
Henrico County is seeking proposals for custodial, recordkeeping/administration and
communication/education services for the County’s 457 Deferred Compensation plan, 403(b)
plan and 457(b) plan. While open to considering a single provider solution for all plans, the
County will consider awarding to provider(s) who can best meet the administrative and
compliance needs of both populations.
Henrico County seeks to use a provider(s) who will assist the Plan Sponsor with the following:





Support a more progressive outlook on achieving plan administration efficiencies
Have significant experience with governmental 403(b) and 457 plans (to the extent that a
single provider can fulfill the need for both plans)
Offer competitive fees
Provide a best in class, strategic approach to educating employees while showing
measurable results.
Provide access to an open architecture approach to investment offerings
As all full-time employees also participate in the Virginia Retirement System (VRS), with
certain employees participating in the VRS Hybrid Plan, the County is interested to hear
through the responses to selective questions how your deliverable compares to VRS plans
and additionally how your communication team coordinates with VRS in consideration of their
contributions to both plans.
Henrico County has hired SageView Advisory Group, an independent Registered Investment
Advisory and Consulting Firm, to assist with development, marketing and review of proposals
received for this RFP, along with ongoing investment consulting services.
II.
BACKGROUND:
Henrico County is located in the Commonwealth of Virginia with a population over 315,000.
In Virginia, cities and counties do not overlap, therefore the County performs a wide array
of services that include education through a public school system, public safety, public
utilities, human services, public works, recreation, parks and libraries.
The following information provides a general overview of the deferred compensation
programs. Both plans are utilized by Henrico County employees as a supplement, via
voluntary payroll deduction, to their benefits through the Virginia Retirement System (VRS).
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General Government:
Henrico County General Government (HCGG) offers a 457 deferred compensation program
to over 4,000 eligible employees; for which over 1,400 employees actively contribute. Over
2,100 employees and former employees have deferred compensation accounts. Total plan
assets are over $130,000,000. From the program’s start, HCGG has used VOYA and
ICMA-RC to administer the program, with individual provider information included as
Attachment G and Attachment H as of June 30, 2015:
Schools:
Henrico County Public Schools (HCPS) offers a 403(b) and a 457(b) program to over 9,200
eligible employees at 73 sites; for which over 2,600 actively contribute. Over 3,500
employees and former employees have a tax sheltered annuity program. Total plan assets
are over $90,000,000. The program has been in place since the early 1970’s and providers
of the program have been selected through an RFP process. Since March 1, 2007, the
program has been administered through a single provider, VALIC with provider information
included as Attachment G and Attachment H as of June 30, 2015:
III.
SCOPE OF SERVICES:
A.
The scope of services shall include but may not be limited to the following
requirements set forth by the Plan Sponsor, and also contained in the
Questionnaire, Attachment F.
The Successful Offeror(s) shall provide the following minimum requirements:
1.
2.
3.
4.
5.
Provide recordkeeping, plan administration and participant services for the
County’s 403(b) Plan and 457 Deferred Compensation Plans, including
account balances, rollovers, contributions, fund transfers, distributions,
loans, rebalancing, hardship withdrawals, tax reporting, quarterly participant
statements, technical support, etc.
Provide an administrative procedures guide that includes, at a minimum,
procedures for the following items and processes: enrollment and
contribution data file transfers; former employee distributions; County
website report generation, plan administration contacts and responsibilities,
and administrative issue escalation contacts.
Provide a single point of contact who is responsible for quality control,
resolving problems and expediting services related to the overall
performance of the Offeror.
Provide custodian/trustee services for the assets of the Plans.
Develop and maintain a secure website for the County that must provide, at
a minimum, information regarding: plan‐level participation, usage statistics,
investment selections, participant accounts, beneficiaries and participant
loans. The site also must enable the County to run reports and export to
Microsoft Excel.
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6.
7.
8.
9.
10.
11.
12.
13.
14.
15.
16.
17.
18.
19.
20.
21.
Provide the County with quarterly plan data regarding plan demographics
and the use of plan services– website hits, customer service calls, etc.
Develop and maintain a secure website that allows plan participants to view
and change beneficiary information and investment options, view
statements, personal rates of return, educational and planning resources.
Ensure timely turnaround on participant requests including, but not limited to
phone requests to local representatives, fund transfer requests, distribution
requests, etc.
Maintain a toll‐free customer service number for participants and additionally
provide access to multilingual customer service representatives either
directly or through a free translation service.
Furnish to each eligible employee accessible information outlining and
defining all plan features, vendor services, investment options and ALL fees
(including fund expenses, revenue sharing arrangements, mortality and
expense (if applicable), wrap fees, and other fees).
Performance guarantees must be approved, and a draft contract must be
prepared and delivered no later than thirty (30) days prior to the contract
effective date.
Provide all compliance and plan document services as required by
regulation. The Contractor will keep the County abreast of changes in the
regulations governing the programs, recommend edits to the plan
documents and/or services agreement as needed.
Monitor, administer and communicate Required Minimum Distributions
(RMD) to affected participants in accordance with regulatory requirements.
Meet with the County at least annually to review participant education
activities.
Create and execute a comprehensive program for employees and retirees
that will provide general financial education, including saving for retirement
and college, investments, budgeting and other relevant topics. Deliver this
program through on‐site group presentations, mass communication and
web‐based educational resources and tools.
Provide one‐on‐one financial/retirement counseling to employees and
retirees by appointment.
Provide an open architecture platform for investment fund selection.
Provide a self‐directed brokerage option to allow both 457 and 403(b) plan
participants to use a portion of their account to access mutual funds not
available in the Plan Sponsor’s investment lineup.
Provide access to managed account services for participants who prefer to
pay a fee to have their accounts actively managed.
Maintain a secure method for electronic data interchange with the County for
enrollments, participant address changes, contribution processing, and
participant employment termination data, etc.
The Successful Offeror shall maintain and archive all participant 403(b) and 457
plan files and will ensure strict confidentiality of all employee data, records, and
files. The Successful Offeror will not make available to any outside vendor or
sales/marketing organization, any records or information pertaining to Henrico
County employees;
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22.
23.
24.
25.
B.
Provide transition management and education services to minimize
participant disruption (if applicable).
Provide a detailed implementation plan, including the proposed dedicated
implementation team, timeline and County resources required.
Communicate with the County and participants about the transition process,
including any transaction blackout periods and services that will be available
after the transition. Conduct onsite meetings to educate employees about
the transition including new investment options and services available.
All representatives assigned to Henrico County must be licensed to do
business in the Commonwealth of Virginia;
Transfer of Records at Future Cancellation
The Successful Offeror(s) of HCPS 403(b) and 457(b) and HCGG 457 services
agrees to furnish all required data and records necessary to administer the program
to any new provider upon termination and within thirty (30) days notification of
termination. Such transfer may be accomplished by electronic means.
IV.
ANTICIPATED SCHEDULE:
The following represents a tentative outline of the process currently anticipated by the
County:
V.

Request for Proposals distributed
November 6, 2015

Pre-proposal conference
2:30 p.m., December 8, 2015

Deadline for submission of questions
December 11, 2015

Receive written proposals
2:00 p.m., January 14, 2016,

Conduct oral interviews/negotiations

Notice of Award
April/May 2016

Contract begins
TBD
March 2016
COUNTY RESPONSIBILITIES:
Henrico County will designate individuals to act as Project Managers for all work performed
under this contract. The Project Managers shall coordinate the work, and shall have the
authority to make decisions in writing binding their respective employers on matters within
the scope of the contract.
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VI.
GENERAL CONTRACT TERMS AND CONDITIONS:
A.
Annual Appropriations
It is understood and agreed that the contract resulting from this procurement
(“Contract”) shall be subject to annual appropriations by the County of Henrico, Board of
Supervisors. Should the Board fail to appropriate funds for this Contract, the Contract
shall be terminated when existing funds are exhausted. The Successful Offeror
(“Successful Offeror” or “contractor”) shall not be entitled to seek redress from the
County or its elected officials, officers, agents, employees, or volunteers should the
Board of Supervisors fail to make annual appropriations for the Contract.
B.
Award of the Contract
1. The County reserves the right to reject any or all proposals and to waive any
informalities.
2. The Successful Offeror shall, within fifteen (15) calendar days after Contract
documents are presented for signature, execute and deliver to the Purchasing office
the Contract documents and any other forms or bonds required by the RFP.
3. The Contract resulting from this RFP is not assignable.
4. Notice of award or intent to award may also appear on the Purchasing Office
website: http://henrico.us/purchasing/
C.
Collusion
By submitting a proposal in response to this Request for Proposal, the Offeror
represents that in the preparation and submission of this proposal, said Offeror did
not, either directly or indirectly, enter into any combination or arrangement with any
person, Offeror or corporation or enter into any agreement, participate in any
collusion, or otherwise take any action in the restraint of free, competitive bidding in
violation of the Sherman Act (15 U.S.C. § 1 et seq.) or Section 59.1-9.1 through 59.19.17 or Sections 59.1-68.6 through 59.1-68.8 of the Code of Virginia.
D.
Compensation
The Successful Offeror shall submit a complete itemized invoice on each delivery or
service that is performed under the Contract. Payment shall be rendered to the
Successful Offeror for satisfactory compliance with the Contract within forty-five (45)
days after receipt of a proper invoice.
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E.
Controlling Law and Venue
The Contract will be made, entered into, and shall be performed in the County of
Henrico, Virginia, and shall be governed by the applicable laws of the Commonwealth
of Virginia without regard to its conflicts of law principles. Any dispute arising out of the
Contract, its interpretations, or its performance shall be litigated only in the Henrico
County General District Court or the Circuit Court of the County of Henrico, Virginia.
F.
Default
1. If the Successful Offeror is wholly responsible for a failure to perform the Contract
(including, but not limited to, failure to make delivery of goods, failure to complete
implementation and installation, and/or if the goods and/or services fail in any way
to perform as specified herein), the County may consider the Successful Offeror
to be in default. In the event of default, the County will provide the Successful
Offeror with written notice of default, and the Successful Offeror shall provide a
plan to correct said default within 20 calendar days of the County’s notice of
default.
2. If the Successful Offeror fails to cure said default within 20 days, the County,
among other actions, may complete the Contract work through a third party, and
the Successful Offeror shall be responsible for any amount in excess of the
Contract price incurred by the County in completing the work to a capability equal
to that specified in the Contract.
G.
Discussion of Exceptions to the RFP
This RFP, including but not limited to its venue, termination, and payment schedule
provisions, shall be incorporated by reference into the Contract documents as if its
provisions were stated verbatim therein. Therefore, Offerors shall explicitly
identify any exception to any provisions of the RFP in a separate “Exceptions
to RFP” section of the proposal so that such exceptions may be resolved
before execution of the Contract. In case of any conflict between the RFP and any
other Contract documents, the RFP shall control unless the Contract documents
explicitly provide otherwise.
H.
Drug-Free Workplace to be Maintained by the Contractor (Va. Code § 2.2-4312)
1. During the performance of this Contract, the contractor agrees to (i) provide a
drug-free workplace for the contractor’s employees; (ii) post in conspicuous
places, available to employees and applicants for employment, a statement
notifying employees that the unlawful manufacture, sale, distribution,
dispensation, possession, or use of a controlled substance or marijuana is
prohibited in the contractor’s workplace and specifying the actions that will be
taken against employees for violations of such prohibition; (iii) state in all
solicitations or advertisements for employees placed by or on behalf of the
contractor that the contractor maintains a drug-free workplace; and (iv) include the
7
provisions of the foregoing clauses in every subcontract or purchase order of over
$10,000, so that the provisions will be binding upon each subcontractor or vendor.
2. For the purposes of this section, “drug-free workplace” means a site for the
performance of work done in connection with a specific contract awarded to a
contractor in accordance with the Virginia Public Procurement Act, the employees
of whom are prohibited from engaging in the unlawful manufacture, sale,
distribution, dispensation, possession or use of any controlled substance or
marijuana during the performance of the contract.
I.
Employment Discrimination by Contractor Prohibited
1. During the performance of this Contract, the contractor agrees as follows (Va.
Code § 2.2-4311):
(a)
The contractor will not discriminate against any employee or applicant for
employment because of race, religion, color, sex, national origin, age,
disability, or other basis prohibited by state law relating to discrimination in
employment, except where there is a bona fide occupational qualification
reasonably necessary to the normal operation of the contractor. The
contractor agrees to post in conspicuous places, available to employees and
applicants for employment, notices setting forth the provisions of this
nondiscrimination clause.
(b)
The contractor, in all solicitations or advertisements for employees placed by
or on behalf of the contractor, will state that such contractor is an equal
opportunity employer.
(c)
Notices, advertisements and solicitations placed in accordance with federal
law, rule or regulation shall be deemed sufficient for the purpose of meeting
the requirements of this section.
2. The contractor will include the provisions of the foregoing subparagraphs (a), (b),
and (c) in every subcontract or purchase order of over $10,000, so that the
provisions will be binding upon each subcontractor or vendor.
J.
Employment of Unauthorized Aliens Prohibited
Any contract that results from this Request for Proposal shall include the following
language: "As required by Virginia Code §2.2-4311.1, the contactor does not, and
shall not during the performance of this agreement, in the Commonwealth of Virginia
knowingly employ an unauthorized alien as defined in the Federal Immigration
Reform and Control Act of 1986."
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K.
Indemnification
The Successful Offeror agrees to indemnify, defend and hold harmless the County of
Henrico (including Henrico County Public Schools), the County’s officers, agents and
employees, from any claims, damages, suits, actions, liabilities and costs of any kind or
nature, including attorneys’ fees, arising from or caused by the provision of any
services, the failure to provide any services or the use of any services or materials
furnished (or made available) by the Successful Offeror, provided that such liability is
not attributable to the County’s sole negligence.
L.
Insurance Requirements
The Successful Offeror shall maintain insurance to protect itself and Henrico and
Henrico’s elected officials, officers, agents, volunteers and employees from claims
under the Workers' Compensation Act, and from any other claim for damages for
personal injury, including death, and for damages to property which may arise from the
provision of goods and/or services under the Contract, whether such goods and/or
services are provided by the Successful Offeror or by any subcontractor or anyone
directly employed by either of them. Such insurance shall conform to the Insurance
Specifications. (Attachment A).
M.
No Discrimination against Faith-Based Organizations
The County does not discriminate against faith-based organizations as that term is
defined in Va. Code § 2.2-4343.1.
N.
Offeror's Performance
1. The Successful Offeror agrees and covenants that its agents and employees shall
comply with all County, State and Federal laws, rules and regulations applicable to
the business to be conducted under the Contract.
2. The Successful Offeror shall ensure that its employees shall observe and exercise
all necessary caution and discretion so as to avoid injury to person or damage to
property of any and all kinds.
3. The Successful Offeror shall cooperate with Henrico officials in performing the
Contract work so that interference with normal operations will be held to a minimum.
4. The Successful Offeror shall be an independent contractor and shall not be an
employee of the County.
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O.
Ownership of Deliverable and Related Products
1. The County shall have all rights, title, and interest in or to all specified or
unspecified interim and final products, work plans, project reports and/or
presentations, data, documentation, computer programs and/or applications, and
documentation developed or generated during the completion of this project,
including, without limitation, unlimited rights to use, duplicate, modify, or disclose
any part thereof, in any manner and for any purpose, and the right to permit or
prohibit any other person, including the Successful Offeror, from doing so. To the
extent that the Successful Offeror may be deemed at any time to have any of the
foregoing rights, the Successful Offeror agrees to irrevocably assign and does
hereby irrevocably assign such rights to the County.
2. The Successful Offeror is expressly prohibited from receiving additional payments
or profit from the items referred to in this paragraph, other than that which is
provided for in the general terms and conditions of the Contract.
3. This shall not preclude Offerors from submitting proposals, which may include
innovative ownership approaches, in the best interest of the County.
P.
Record Retention and Audits
1. The Successful Offeror shall retain, during the performance of the Contract and for a
period of five years from the completion of the Contract, all records pertaining to the
Successful Offeror’s proposal and any Contract awarded pursuant to this Request
for Proposal. Such records shall include but not be limited to all paid vouchers
including those for out-of-pocket expenses; other reimbursement supported by
invoices, including the Successful Offeror’s copies of periodic estimates for partial
payment; ledgers, cancelled checks; deposit slips; bank statements; journals;
Contract amendments and change orders; insurance documents; payroll
documents; timesheets; memoranda; and correspondence. Such records shall be
available to the County on demand and without advance notice during the
Successful Offeror’s normal working hours.
2. County personnel may perform in-progress and post-audits of the Successful
Offeror’s records as a result of a Contract awarded pursuant to this Request for
Proposals. Files would be available on demand and without notice during normal
working hours.
Q.
Severability
Each paragraph and provision of the Contract is severable from the entire agreement
and if any provision is declared invalid the remaining provisions shall nevertheless
remain in effect.
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R.
Small, Women-Owned and Minority-Owned (SWAM) Businesses
The County welcomes and encourages the participation of small businesses and
businesses owned by women and minorities in procurement transactions made by the
County. The County actively solicits both small business, women-owned and minority
(SWAM) businesses to respond to all Invitations for Bids and Requests for Proposals.
All solicitations are posted on the County’s Internet site.
http://www.henrico.us/purchasing/
S.
Subcontracts
1. No portion of the work shall be subcontracted without prior written consent of the
County. In the event that the Successful Offeror desires to subcontract some part
of the work specified in the Contract, the Successful Offeror shall furnish the
County the names, qualifications, and experience of the proposed
subcontractors. The Successful Offeror shall, however, remain fully liable and
responsible for the work to be done by his/her subcontractor(s) and shall assure
compliance with all the requirements of the Contract.
2. The County encourages the contractor to utilize small, women-owned, and
minority-owned business enterprises. For assistance in finding subcontractors,
contact the Supplier Relations Manager (804-501-5689) or the Virginia
Department
of
Small
Business
&
Supplier
Diversity
(SBSD) www.sbsd.virginia.gov.
T.
Taxes
1. The Successful Offeror shall pay all county, city, state and federal taxes required by
law and resulting from the work or traceable thereto, under whatever name levied.
Said taxes shall not be in addition to the Contract price between Henrico and the
Successful Offeror, as the taxes shall be solely an obligation of the Successful
Offeror and not of Henrico, and Henrico shall be held harmless for same by the
Successful Offeror.
2. Henrico is exempt from the payment of federal excise taxes and the payment of
State Sales and Use Tax on all tangible, personal property for its use or
consumption. Tax exemption certificates will be furnished upon request.
U.
Termination of Contract
1. The County reserves the right to terminate the Contract immediately in the event
that the Successful Offeror discontinues or abandons operations; is adjudged
bankrupt, or is reorganized under any bankruptcy law; or fails to keep in force any
required insurance policies or bonds.
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2. Failure of the Successful Offeror to comply with any section or part of the Contract
will be considered grounds for immediate termination of the Contract by the County.
3. Notwithstanding anything to the contrary contained in the Contract between the
County and the Successful Offeror, the County may, without prejudice to any other
rights it may have, terminate the Contract for convenience and without cause, by
giving 30 days’ written notice to the Successful Offeror.
4. If the County terminates the Contract, the Successful Offeror will be paid by the
County for all scheduled work completed satisfactorily by the Successful Offeror up
to the termination date.
V.
County License Requirement
If a business is located in Henrico County, it is unlawful to conduct or engage in that
business without obtaining a business license. If your business is located in the
County, include a copy of your current business license with your proposal
submission. If your business is not located in the County, include a copy of your
current business license with your proposal submission. If you have any questions,
contact the Business Section, Department of Finance, County of Henrico, telephone
(804) 501-4310.
W.
Environmental Management
The Successful Offeror shall comply with all applicable federal, state, and local
environmental regulations. The Successful Offeror is required to abide by the
County’s Environmental Policy Statement:
http://www.henrico.us/pdfs/hr/risk/env_policy.pdf which emphasizes environmental
compliance, pollution prevention, continual improvement, and conservation. The
Successful Offeror shall be properly trained and have any necessary certifications to
carry out environmental responsibilities. The Successful Offeror shall immediately
communicate any environmental concerns or incidents to the appropriate County
staff.
X.
Safety
1.
The Successful Offeror shall comply with and ensure that the Successful
Offeror’s personnel comply with all current applicable local, state and federal
policies, regulations and standards relating to safety and health, including, by
way of illustration and not limitation, the standards of the Virginia Occupational
Safety and Health Administration for the industry. The provisions of all rules
and regulations governing safety as adopted by the Safety and Health Codes
Board of the Commonwealth of Virginia and issued by the Department of
Labor and Industry under Title 40.1 of the Code of Virginia shall apply to all
work under the Contract.
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The Successful Offeror shall provide or cause to be provided all technical
expertise, qualified personnel, equipment, tools and material to safely
accomplish the work specified and performed by the Successful Offeror.
Y.
2.
Each job site shall have a supervisor who is competent, qualified, or
authorized on the worksite, who is familiar with policies, regulations and
standards applicable to the work being performed. The supervisor must be
capable of identifying existing and predictable hazards in the surroundings or
working conditions which are hazardous or dangerous to employees or the
public, and is capable of ensuring that applicable safety regulations are
complied with, and shall have the authority and responsibility to take prompt
corrective measures, which may include removal of the Successful Offeror’s
personnel from the work site.
3.
In the event the County determines any operations of the Successful Offeror to
be hazardous, the Successful Offeror shall immediately discontinue such
operations upon receipt of either written or oral notice by the County to
discontinue such practice.
Authorization to Transact Business in the Commonwealth
1.
A contractor organized as a stock or nonstock corporation, limited liability
company, business trust, or limited partnership or registered as a registered
limited liability partnership or other business form shall be authorized to
transact business in the Commonwealth as a domestic or foreign business
entity if so required by Title 13.1 or Title 50 of the Code of Virginia or as
otherwise required by law.
2.
An Offeror organized or authorized to transact business in the Commonwealth
pursuant to Title 13.1 or Title 50 of the Code of Virginia must include in its
proposal the identification number issued to it by the State Corporation
Commission. (Attachment D) Any Offeror that is not required to be authorized
to transact business in the Commonwealth as a foreign business entity under
Title 13.1 or Title 50 of the Code of Virginia or as otherwise required by law
shall include in its proposal a statement describing why the Offeror is not
required to be so authorized.
3.
An Offeror described in subsection 2 that fails to provide the required
information shall not receive an award unless a waiver is granted by the
Purchasing Director, his designee, or the County Manager.
4.
Any falsification or misrepresentation contained in the statement submitted by
the Offeror pursuant to Title 13.1 or Title 50 of the Code of Virginia may be
cause for debarment.
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5.
Z.
Any business entity described in subsection 1 that enters into a contract with a
public body shall not allow its existence to lapse or allow its certificate of
authority or registration to transact business in the Commonwealth if so
required by Title 13.1 or Title 50 of the Code of Virginia to be revoked or
cancelled at any time during the term of the contract.
Payment Clauses Required by Va. Code § 2.2-4354
Pursuant to Virginia Code § 2.2-4354:
1.
The Successful Offeror shall take one of the two following actions within seven
days after receipt of amounts paid to the Successful Offeror by the County for
all or portions of the goods and/or services provided by a subcontractor: (a)
pay the subcontractor for the proportionate share of the total payment received
from the County attributable to the work performed by the subcontractor under
that contract; or (b) notify the County and subcontractor, in writing, of the
Successful Offeror’s intention to withhold all or a part of the subcontractor's
payment with the reason for nonpayment.
2.
Pursuant to Virginia Code § 2.2-4354, the Successful Offeror that is a
proprietor, partnership, or corporation shall provide its federal employer
identification number to the County. Pursuant to Virginia Code § 2.2-4354, the
Successful Offeror who is an individual contractor shall provide his/her social
security numbers to the County.
3.
The Successful Offeror shall pay interest to its subcontractors on all amounts
owed by the Successful Offeror that remain unpaid after seven days following
receipt by the Successful Offeror of payment from the County for all or
portions of goods and/or services performed by the subcontractors, except for
amounts withheld as allowed in Subparagraph 1. above.
4.
Pursuant to Virginia Code § 2.2-4354, unless otherwise provided under the
terms of the Contract interest shall accrue at the rate of one percent per
month.
5.
The Successful Offeror shall include in each of its subcontracts a provision
requiring each subcontractor to include or otherwise be subject to the same
payment and interest requirements with respect to each lower-tier
subcontractor.
6.
The Successful Offeror's obligation to pay an interest charge to a
subcontractor pursuant to the payment clause in Virginia Code § 2.2-4354
shall not be construed to be an obligation of the County. A Contract
modification shall not be made for the purpose of providing reimbursement for
the interest charge. A cost reimbursement claim shall not include any amount
for reimbursement for the interest charge.
14
AA.
BB.
Contract period:
1.
The contract period shall be from date of award through a three year period.
Contract prices shall remain firm for the contract period.
2.
The contract may be renewed for 2 additional one-year periods upon the sole
discretion of the County at a price not to exceed 3% above the previous year's
prices.
3.
The resulting contract should require the Successful Offeror to give at least a
ninety (90) day written notice if they do not intend to renew the contract at any
annual renewal.
4.
The contract shall not exceed a maximum of five (5) years.
Contact with Students
Offerors shall certify that any of their employees who will provide services under the
Contract resulting from this procurement and will be in direct contact with Henrico
County Public School students: (1) has not been convicted of a felony or any offense
involving the sexual molestation or physical or sexual abuse or rape of a child; and
(2) such person has not been convicted of a crime of moral turpitude. Offerors shall
cause any of their subcontractors to provide the same certification described herein
with regard to the subcontractors’ employees.
Henrico County cannot award a contract to an Offeror that does not complete
the Attachment E as part of their proposal/submission.
CC.
Conduct
1.
Fraternization between supplier and teachers or students is strictly prohibited.
2.
Use, consumption, and/or possession of any controlled substance, substances
considered to be illegal, and alcohol are strictly prohibited on school grounds.
3.
Cigarette smoking is prohibited on school grounds.
4.
Use of vulgar, suggestive or abusive language or gestures is strictly prohibited
on school grounds.
5.
Use of radios/stereos or other noise producing equipment shall not be used. No
weapons of any kind are allowed on school grounds.
15
DD.
Tobacco-Free Requirement:
County Public Schools (“HCPS”) has a tobacco-free policy on school property.
Therefore, the use or display of tobacco products by the Contractor, its suppliers
and/or subcontractors on school property is strictly prohibited at all times, including
days and/or hours when school is not in session. This includes, but is not limited to,
outdoor areas of school properties and personal or business vehicles present on
school property.
“Tobacco products” include any lit or unlit cigarette (including candy cigarettes), cigar,
pipe, smokeless tobacco, dip, chew, and snuff in any form. This includes electronic
cigarettes, cigarette packages, smokeless tobacco containers, lighters, and any other
items containing or reasonably resembling tobacco, tobacco product images and
tobacco company logos, such as key chains, t-shirts, ash trays, and coffee mugs.
“School property” includes land, buildings, facilities, and vehicles owned or rented by
HCPS. School property includes parking lots, playgrounds and recreational areas.
VII.
PROPOSAL SUBMISSION REQUIREMENTS:
A.
The Purchasing Division will not accept oral proposals, nor proposals received by
telephone, FAX machine, or other electronic means.
B.
All erasures, interpolations, and other changes in the proposal shall be signed or
initialed by the Offeror.
C.
The Proposal Signature Sheet (Attachment B) must accompany any proposal(s)
submitted and be signed by an authorized representative of the Offeror. If the Offeror
is a firm or corporation, the Offeror must print the name and title of the individual
executing the proposal. All information requested should be submitted. Failure to
submit all information requested may result in the Purchasing Division requiring
prompt submission of missing information and/or giving a lowered evaluation of the
proposal.
D.
The proposal, the proposal security, if any, and any other documents required, shall
be enclosed in a sealed opaque envelope. The envelope containing the proposal
shall be sealed and marked in the lower left-hand corner with the number, title, hour,
and due date of the proposal.
E.
The time proposals are received shall be determined by the time clock stamp in the
Purchasing Division. Offerors are responsible for insuring that their proposals are
stamped by Purchasing Division personnel by the deadline indicated.
F.
By submitting a proposal in response to this Request for Proposal, the Offeror
represents it has read and understand the Scope of Services and has familiarized
itself with all federal, state, and local laws, ordinances, and rules and regulations that
in any manner may affect the cost, progress, or performance of the Contract work.
16
VIII.
G.
The failure or omission of any Offeror to receive or examine any form, instrument,
addendum, or other documents or to acquaint itself with conditions existing at the
site, shall in no way relieve any Offeror from any obligations with respect to its
proposal or to the Contract.
H.
Trade secrets or proprietary information submitted by an Offeror in response
to this Request for Proposal shall not be subject to public disclosure under the
Virginia Freedom of Information Act; however, the Offeror must invoke the
protection of this section prior to or upon submission of data or materials, and
must identify the data or other materials to be protected and state the reasons
why protection is necessary (Va. Code § 2.2-4342.F). (Attachment C)
I.
A proposal may be modified or withdrawn by the Offeror any time prior to the time
and date set for the receipt of proposals. The Offeror shall notify the Purchasing
Division in writing of its intentions.
1.
If a change in the proposal is requested, the modification must be so worded
by the Offeror as to not reveal the original amount of the proposal.
2.
Modified and withdrawn proposals may be resubmitted to the Purchasing
Division up to the time and date set for the receipt of proposals.
3.
No proposal can be withdrawn after the time set for the receipt of proposals
and for one-hundred twenty (120) days thereafter.
J.
The County welcomes comments regarding how the proposal documents, scope of
services, or drawings may be improved. Offerors requesting clarification,
interpretation of, or improvements to the proposal general terms, conditions, scope of
services or drawings shall submit technical questions concerning the Request for
Proposal no later than December 11, 2015 in writing. Any changes to the proposal
shall be in the form of a written addendum issued by the Purchasing Division and it
shall be signed by the Purchasing Director or a duly authorized representative. Each
Offeror is responsible for determining that it has received all addenda issued
by the Purchasing Division before submitting a proposal.
K.
All proposals received in the Purchasing Division on time shall be accepted. All late
proposals received by the Purchasing Division shall be returned to the Offeror
unopened. Proposals shall be open to public inspection only after award of the
Contract.
PROPOSAL RESPONSE FORMAT:
A.
Offerors shall submit a written proposal that present the Offeror’s qualifications and
understanding of the work to be performed. Offerors are asked to address each
evaluation criterion and to be specific in presenting their qualifications. Your proposal
should provide all the information considered pertinent to your qualifications for this
project.
17
B.
The Offeror should include in their proposal the following:
1.
Table of Contents – All Pages are to be numbered
2.
Introduction
Cover Letter-on company letterhead, signed by a person with the corporate
authority to enter into contracts in the amount of the proposal.
Insurance Specifications – Attachment A
Proposal Signature Sheet – Attachment B
Proprietary/Confidential Information – Attachment C
Virginia State Corporation Commission Identification Number – Attachment D
Bid/Proposal Response- Attachment E
Questionnaire and Proposed Pricing – Attachment F
Plan Information and Background – Attachment G
Current Plan Assets by Fund – Attachment H (Excel Spreadsheet)
IX.
PROPOSAL EVALUATION/SELECTION PROCESS:
A.
Offerors are to prepare a written response, which presents the Offeror's qualifications
and understanding of the work to be performed. Offerors are asked to address each
evaluation criteria and to be concise yet specific in presenting their qualifications.
18
B.
Selection of the Successful Offeror will be based upon submission of proposals
meeting the selection criteria. The minimum selection criteria will include:
Criteria
Weight
Experience
•
Overall structure of the firm and experience of the client
service team
•
Quality and reputation in the marketplace of firm and client
service team
•
Historical experience serving 403(b) and 457
governmental plans
•
Reliability, availability and team structure for client support
•
Implementation/ Conversion process including dedication
of key personnel
•
Quality of References
Recordkeeping/Administration/Reporting
•
Payroll, contribution and distribution processing
•
Compliance capabilities to include plan document design
and administration
•
Overall systems and technology capabilities
•
Plan sponsor and participant reporting capabilities
Education and Communication
•
Proven success in achieving desired plan outcomes
•
Experienced representatives with proven track record
•
The participant experience to include communication /
education strategy, implementation and quality of
deliverables
•
Ease of access for participant to utilize tools and education
resources
•
Availability for on-site meetings and participant interaction
•
Ability to monitor and track the success of employee
education strategies
Investments
•
Access to a completely open investment architecture
solution
•
Ability to access custom asset allocation solutions
•
Managed accounts
•
Stable Value / Fixed Fund
•
Brokerage Window
Fees
•
Required revenue
•
Additional administrative fees
•
Total fees
•
Any and all revenue sharing fully disclosed
•
Performance Guarantee
Quality of proposal submission/oral presentation
Total
15
19
25
25
15
15
5
100
C.
Selection will be made of two or more Offerors deemed to be fully qualified and best
suited among those submitting proposals. Negotiations shall then be conducted with
each of the Offerors so selected. Price shall be considered, but need not be the sole
determining factor. After negotiations have been conducted with each Offeror(s) so
selected, the County shall select the Offeror(s), which, in its opinion, has made the
best proposal, and shall award the contract to that Offeror(s). Should the County
determine in writing and in its sole discretion that only one Offeror is fully qualified or
that one Offeror is clearly more highly qualified that the others under consideration, a
contract may be negotiated and awarded to that Offeror. The award document will
be a contract incorporating by reference all the requirements, terms and conditions of
the solicitation and the Offeror’s proposal as negotiated.
20
ATTACHMENT A
INSURANCE SPECIFICATIONS
The Successful Offeror shall carry Public Liability Insurance in the amount specified below,
including contractual liability assumed by the Successful Vendor, and shall deliver a Certificate of
Insurance from carriers licensed to do business in the Commonwealth of Virginia. The Certificate
shall show the County of Henrico and Henrico County Public Schools named as an additional
insured for the Commercial General Liability coverage. The coverage shall be provided by a
carrier(s) rated not less than “A-“ with a financial rating of at least VII by A.M. Bests or a rating
acceptable to the County. In addition, the insurer shall agree to give the County 30 days’ notice of
its decision to cancel coverage.
Workers’ Compensation
Statutory Virginia Limits
Employers’ Liability Insurance - $100,000 for each Accident by employee
$100,000 for each Disease by employee
$500,000 policy limit by Disease
Commercial General Liability - Combined Single Limit
$1,000,000 each occurrence including contractual liability for specified agreement
$2,000,000 General Aggregate (other than Products/Completed Operations)
$2,000,000 General Liability-Products/Completed Operations
$1,000,000 Personal and Advertising injury
$ 100,000 Fire Damage Legal Liability
Business Automobile Liability – including owned, non-owned and hired car coverage
Combined Single Limit - $1,000,000 each accident. If no autos are owned, non-owned coverage
can be included as an extension to the general liability.
NOTE 1:
The commercial general liability insurance shall include contractual liability. The
contract documents include an indemnification provision(s). The County makes no
representation or warranty as to how the Vendor’s insurance coverage responds or
does not respond. Insurance coverages that are unresponsive to the indemnification
provision(s) do not limit the Vendor’s responsibilities outlined in the contract
documents.
NOTE 2:
The intent of this insurance specification is to provide the coverage required and the
limits expected for each type of coverage. This insurance shall apply as primary and
non-contributory with respect to any other insurance or self-insurance programs
afforded the County of Henrico and Henrico County Public Schools. This policy shall
be endorsed to be primary with respect to the additional insured.
21
NOTE 3:
Title 65.2 of the Code of Virginia requires every employer who regularly employs
three or more full-time or part-time employees to purchase and maintain workers'
compensation insurance. If you do not purchase a workers’ compensation policy, a
signed statement is required documenting that you are in compliance with Title 65.2
of the Code of Virginia.
Cyber Liability
Cyber and Privacy policies to protect County employees from a data breach in which
your firm's customers' personal information, such as Social Security or credit card
numbers, is exposed or stolen by a hacker or other criminal who has gained access
to your electronic network. Coverage shall include credit monitoring services or other
protection as reasonably requested. Limit shall be not less than $2,000,000 per
occurrence.
Professional Liability
Professional Liability to protect The County against the Professional Errors and
Omissions of the contractor. Limit shall be not less than $5,000,000 per occurrence.
22
Attachment B
SUBMIT THIS FORM WITH PROPOSAL
PROPOSAL SIGNATURE SHEET
Page 1 of 2
My signature certifies that the proposal as submitted complies with all requirements specified in
this Request for Proposal (“RFP”).
My signature also certifies that by submitting a proposal in response to this RFP, the Offeror
represents that in the preparation and submission of this proposal, the Offeror did not, either
directly or indirectly, enter into any combination or arrangement with any person or business entity,
or enter into any agreement, participate in any collusion, or otherwise take any action in the
restraining of free, competitive bidding in violation of the Sherman Act (15 U.S.C. Section 1) or
Sections 59.1-9.1 through 59.1-9.17 or Sections 59.1-68.6 through 59.1-68.8 of the Code of
Virginia.
I hereby certify that I am authorized to sign as a legal representative for the business entity
submitting this proposal.
LEGAL NAME OF OFFEROR (DO NOT USE TRADE NAME):
ADDRESS:
SIGNATURE:
NAME OF PERSON SIGNING (print):
TITLE:
TELEPHONE:
FAX:
E-MAIL ADDRESS:
DATE:
23
Attachment B
Page 2 of 2
Legal Name of Offeror:
____________________________________________________________________
PLEASE SPECIFY YOUR BUSINESS CATEGORY BY CHECKING THE APPROPRIATE
BOX(ES) BELOW.
(Check all that apply.)
□ WOMEN-OWNED BUSINESS
SUPPLIER REGISTRATION – The County of
Henrico encourages all suppliers interested in doing
business with the County to register with eVA, the
Commonwealth of Virginia’s electronic procurement
portal, http://eva.virginia.gov.
□ MINORITY-OWNED BUSINESS
eVA Registered? □ Yes
□ SMALL BUSINESS
□ No
□ SERVICE DISABLED VETERAN
□ LARGE
□ NONPROFIT
□ NONE OF THE ABOVE
If certified by the Virginia Minority Business Enterprises (DMBE), provide DMBE certification
number and expiration date. ___________________NUMBER
______________________DATE
DEFINITIONS
For the purpose of determining the appropriate business category, the following definitions apply:
"Small business" means a business, independently owned and controlled by one or more individuals who are U.S. citizens or legal resident aliens,
and together with affiliates, has 250 or fewer employees, or annual gross receipts of $10 million or less averaged over the previous three years. One
or more of the individual owners shall control both the management and daily business operations of the small business.
"Women-owned business" means a business that is at least 51 percent owned by one or more women who are U.S. citizens or legal resident aliens,
or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the equity ownership interest is owned
by one or more women who are U.S. citizens or legal resident aliens, and both the management and daily business operations are controlled by one
or more women.
"Minority-owned business" means a business that is at least 51 percent owned by one or more minority individuals who are U.S. citizens or legal
resident aliens, or in the case of a corporation, partnership, or limited liability company or other entity, at least 51 percent of the equity ownership
interest in the corporation, partnership, or limited liability company or other entity is owned by one or more minority individuals who are U.S.
citizens or legal resident aliens, and both the management and daily business operations are controlled by one or more minority individuals.
"Minority individual" means an individual who is a citizen of the United States or a legal resident alien and who satisfies one or more
of the following definitions:
1. "African American" means a person having origins in any of the original peoples of Africa and who is regarded as such by the
community of which this person claims to be a part.
2. "Asian American" means a person having origins in any of the original peoples of the Far East, Southeast Asia, the Indian
subcontinent, or the Pacific Islands, including but not limited to Japan, China, Vietnam, Samoa, Laos, Cambodia, Taiwan, Northern
Mariana Islands, the Philippines, a U.S. territory of the Pacific, India, Pakistan, Bangladesh, or Sri Lanka and who is regarded as such by
the community of which this person claims to be a part.
3. "Hispanic American" means a person having origins in any of the Spanish-speaking peoples of Mexico, South or Central America, or
the Caribbean Islands or other Spanish or Portuguese cultures and who is regarded as such by the community of which this person
claims to be a part.
4. "Native American" means a person having origins in any of the original peoples of North America and who is regarded as such by the
community of which this person claims to be a part or who is recognized by a tribal organization.
"Service disabled veteran business" means a business that is at least 51 percent owned by one or more service disabled veterans or, in the case of
a corporation, partnership, or limited liability company or other entity, at least 51 percent of the equity ownership interest in the corporation,
partnership, or limited liability company or other entity is owned by one or more individuals who are service disabled veterans and both the
management and daily business operations are controlled by one or more individuals who are service disabled veterans.
"Service disabled veteran" means a veteran who (i) served on active duty in the United States military ground, naval, or air service, (ii)
was discharged or released under conditions other than dishonorable, and (iii) has a service-connected disability rating fixed by the
United States Department of Veterans Affairs.
“Large business” means any non-women- or minority-owned, or service-disabled business as defined above or any business
having more than 250 employees or more than $10 million in gross receipts averaged over the previous three years.
Nonprofit” means a corporation or an association that conducts business for the benefit of the general public without
shareholders and without a
profit motive.
24
ATTACHMENT C
PROPRIETARY/CONFIDENTIAL INFORMATION IDENTIFICATION
NAME OF FIRM/OFFEROR: ______________________________
Trade secrets or proprietary information submitted by an Offeror shall not be subject to public
disclosure under the Virginia Freedom of Information Act; however, the Offeror must invoke the
protections of Va. Code § 2.2-4342.F in writing, either before or at the time the data or other
material is submitted. The written notice must specifically identify the data or materials to be
protected including the section of the proposal in which it is contained and the page numbers, and
state the reasons why protection is necessary. The proprietary or trade secret material submitted
must be identified by some distinct method such as highlighting or underlining and must indicate
only the specific words, figures, or paragraphs that constitute trade secret or proprietary
information. In addition, a summary of proprietary information submitted shall be submitted on this
form. The classification of an entire proposal document, line item prices, and/or total proposal
prices as proprietary or trade secrets is not acceptable. If, after being given reasonable time, the
Offeror refuses to withdraw such a classification designation, the proposal will be rejected.
SECTION/TITLE
PAGE
REASON(S)
FOR
NUMBER(S) DISCLOSURE
25
WITHHOLDING
FROM
ATTACHMENT D
VIRGINIA STATE CORPORATION COMMISSION (SCC)
REGISTRATION INFORMATION
The Bidder or Offeror:
□ is a corporation or other business entity with the following SCC identification number:
________________________________ -OR□
is not a corporation, limited liability company, limited partnership, registered limited liability
partnership, or business trust -OR-
□
is an out-of-state business entity that does not regularly and continuously maintain as part
of its ordinary and customary business any employees, agents, offices, facilities, or
inventories in Virginia (not counting any employees or agents in Virginia who merely solicit
orders that require acceptance outside Virginia before they become contracts, and not
counting any incidental presence of the Bidder/Offeror in Virginia that is needed in order to
assemble, maintain, and repair goods in accordance with the contracts by which such
goods were sold and shipped into Virginia from offer or’s out-of-state location) -OR-
□
is an out-of-state business entity that is including with this bid/proposal an opinion of legal
counsel which accurately and completely discloses the undersigned Bidder’s/Offeror’s
current contacts with Virginia and describes why whose contacts do not constitute the
transaction of business in Virginia within the meaning of § 13.1-757 or other similar
provisions in Titles 13.1 or 50 of the Code of Virginia.
Please check the following box if you have not checked any of the foregoing options but currently
have pending before the SCC an application for authority to transact business in the
Commonwealth of Virginia and wish to be considered for a waiver to allow you to submit the SCC
identification number after the due date for bids/proposals: □
26
ATTACHMENT E
BID/PROPOSAL RESPONSE
Name of Bidder/Offeror: ________________________________
Pursuant to Va. Code § 22.1-296.1, prior to awarding a contract for the provision of services that
require the contractor, his employees (or subcontractors) to have direct contact with students,
the school board shall require the contractor and any employee who will have direct contact with
students, to provide certification that (i) he has not been convicted of a felony or any offense
involving the sexual molestation or physical or sexual abuse or rape of a child; and (ii) whether he
has been convicted of a crime of moral turpitude.
Any person making a materially false statement regarding any such offense shall be guilty of a
Class 1 misdemeanor and, upon conviction, the fact of such conviction shall be grounds for the
revocation of the Contract to provide such services and, when relevant, the revocation of any
license required to provide such services.
As part of this submission, I certify that the employees of, or subcontractors to, the above
mentioned contractor that will be providing services to the School Board under the
resulting Contract (i) will have not been convicted of a felony or any offense involving the
sexual molestation or physical or sexual abuse or rape of a child; and/or (ii) will not have
been convicted of a crime of moral turpitude. Furthermore, I understand that the duty to
certify is ongoing and extends to future employees and employees of subcontractors for
the duration of the Contract.
Signature of Authorized Representative
Printed Name of Authorized Representative
Printed Name of Vendor (if different than
Representative)
27
Attachment F
Questionnaire and Pricing
Section 1: Provider Background
1.
State the name and address of your company. Provide the name, title, address, e-mail
address, and telephone and fax numbers of the person(s) from your company whom
Henrico County or SageView should contact with questions regarding your response.
2.
Give a brief overview of your company and history of your organization, including an
organizational chart of your retirement plan operations.
3.
Are the services provided under a joint venture arrangement? If so, describe the
arrangement, its terms and conditions, and whether your company and the other companies
have been involved in similar joint ventures in the past.
4.
What is the name of the trustee that you use to provide non-discretionary / directed trustee
services?
5.
Does your company have any pending agreements to merge or sell your company? i.e. –
demutualization, I.P.O.
6.
Has your company ever filed a petition in bankruptcy, been petitioned into bankruptcy or
insolvency, or made any assignment for the benefit of your creditors? If so, provide
complete details.
7.
In the last 5 years, has your company:
a.
b.
c.
d.
Been involved in litigation or is there any pending litigation arising out of your
performance or participation in a defined contribution plan?
Been cited or threatened with citation by any federal or state regulators for violations of
any state or federal law or impending regulations?
Had a contract terminated by a client for cause?
Been denied a license or have had a license revoked or suspended to do business? If
so, describe.
8.
For how many years has your company been providing recordkeeping and administration
services to defined contribution plan clients?
9.
Please complete the following table, providing as much detail on client plan demographics
as possible, as of 6/30/2015.
28
Employees
Under 100
100-499
500-999
1,000 –
4,999
Over 5,000
Totals
10.
Plans
403(b) Plans
Participants
Assets
457 Governmental Plans
Plans
Participants
Assets
Please provide a breakdown of the number of institutional clients you service by plan type
as a percentage of your total business.
Plan Type
Percentage of
Total Business
by Revenue
Number of
Plans
Total Assets
Average
Plan Size
ERISA 403(b)
Plans
Non-ERISA 403(b)
Plans
401(a) Plans
(including 401(k)
Plans)
457 Governmental
Plans
Other Plans
Totals
Section 2: Client Service
11.
How does your firm measure and evaluate client satisfaction? How does your firm report
the results of such measurements to your clients?
12.
What distinguishes your client service program for defined contribution plans from that of
other companies?
13.
How often do the Relationship Manager, Account Manager and/or Plan Administrator meet
with their client?
14.
Is there a standard turnaround time to resolve issues/concerns?
15.
Please use the chart below to provide information on additional people who might support
the plans from your organizations (transition, compliance, employee education).
29
Name
Tenure with
Role on the
Location your
account
company
Number of
clients and
plans this
team member
services
16.
How many of your employees work on defined contribution plans? Provide a breakdown by
functional area.
17.
What are your client retention statistics for each of the last 3 years?
a. For those clients who left, what percentage left due to service related issues?
b. What is your average client relationship tenure?
18.
Please provide three references of current clients similar in size to the Henrico County
plans. Please fully describe the circumstances of your engagement.
19.
Describe your standards for performance in participant service. Assume all data, wires or
other requests are received in reasonably good condition and before your cutoff time for the
day.
Activity
Contribution reconciliation
Contribution posting
Hardship withdrawals paid
Loans funded
Final distributions paid
Investment fund transfers processed
Rollovers into the plan processed and
invested
Confirmations mailed
Participant statements mailed
Quality Standard
[ ] days from receipt of deposit
[ ] days from receipt of deposit
[ ] days from receipt of request
[ ] days from receipt of request
[ ] days from receipt of request
[ ] days from receipt of request
[ ] days from receipt of deposit
[ ] days from execution of transaction or
request
[ ] business days from period end
30
Section 3: Recordkeeping Services
20.
Please describe your recordkeeping system.
a. What recordkeeping system do you currently use? Are any recordkeeping functions
outsourced to a third party?
b. If purchased, how has your company modified the system?
c. If leased, who has responsibility for system maintenance and enhancements?
d. What is your average annual investment spent on system enhancements / technology?
(provide your response in dollars as opposed to a percentage of revenues)
21.
Describe any maximum system limits for investment options and contribution sources.
22.
Describe your company’s system back up, security, and disaster recovery procedures.
23.
Are you going through any system conversions or major changes now or in the next three
years? If so, please describe and give the schedule. What effect will this have on your
clients and their plan participants?
24.
Describe how your system handles participant loans. Can you accept ACH and/or payroll
deduct loan repayment?
a. How many loans can a participant have on file at any time?
b. Can loans be re-negotiated?
c. How are defaults handled?
d. How are payoffs handled?
e. Can you accept loan repayments by check from terminated participants or those on
leave?
f.
Does your system provide for paperless loans?
25.
Can your company’s recordkeeping system track eligibility and participating employees to
determine participation rate?
26.
Can enrollment materials be mailed to a participant’s home address? Please describe your
online enrollment capabilities.
27.
What controls are in place to ensure that the Plan is administered according to the Plan
provisions?
28.
Do you foresee any specific problems incorporating either the 403(b) or 457 plans onto your
recordkeeping system? If so, please describe in detail.
29.
Describe your procedures for handling distributions (to include hardship withdrawals and inservice distributions) without plan sponsor involvement (assume plan sponsor has
outsourced the responsibility to your firm). Please expand your response to address the
distribution of small account balances under $1,000 and rollover IRA options for balances
between $1,000 and $5,000.
31
30.
Can beneficiary designation forms be stored and updated by the participant online?
31.
Describe your procedures for handling Domestic Relations Orders without plan sponsor
involvement (assume plan sponsor has outsourced the responsibility to your firm).
32.
What assistance do you provide in locating missing participants? (Please include all fees
for this service).
33.
Please provide a case study or example of administrative efficiencies or best practices
you’ve been successful in implementing for a plan structure such as ours.
Section 4: Plan Document Services
34.
Please provide a non-ERISA specimen plan document to include adoption agreement, trust
agreement and summary plan description.
35.
Will you provide required amendments to the document?
Section 5: Reporting
36.
Describe the reports that are furnished to the plan sponsor and participants. To what extent
can these reports be customized? Please provide sample reports.
37.
With client approval, can view-only access to your plan sponsor website be granted to
consultants?
38.
Provide instructions and a demo log-in for your plan sponsor website.
39.
Provide instructions and a demo log-in for your participant website.
40.
Provide a sample participant statement. Can you calculate and report a personal rate of
return for each participant? If so, list the reporting methods (i.e.: Participant statement,
Internet)
Section 6: Voice Response, Internet Access and Call Center
41.
As it relates to your live customer service operators and voice response system, please
respond to the following:
a. Can participants transfer to a Client Service Representative midway through a voice
response conversation? If so, what is the average time before a line representative
answers the call?
b. Can participants who have lost their PIN number or never received one access a
Client Service Representative?
c. During what days/hours is a benefit service representative available?
d. During what days/hours is the voice response and Internet system available?
32
42.
In the following chart, indicate with an “X” which services are available through each
communication medium. Only transactions, which can be completely processed through
that medium, should be classified as available.
Medium
Service
VRS
Written
Operator
Internet (paper)
Assisted
Request
Personal Access Code – PIN
Plan Information and Provisions
Enrollment of Employees
Amount of Current Contributions
Investment Allocation of Current
Contributions
Change Contributions Levels by %
Change Contribution Levels by $
Transaction History
Investment Transfers by %
Investment Transfers by $
Rebalancing of Investment Allocation
On-Demand Account Statements
Fund Price Information
Fund Performance Information
Status of Current Loans
Loan Modeling
Loan Transactions with Plan Sponsor
Approval
Loan Transactions without Plan Sponsor
Approval
Hardship Withdrawals with Plan Sponsor
Approval
Hardship Withdrawals without Plan Sponsor
Approval
QDRO’s with Plan Sponsor Approval
Initiate Withdrawals
43.
How are personal identification numbers (PINs) handled?
33
44.
Please provide the following statistics for your participant 800 service line for the six months
ended June 30, 2015.
Number of calls received
Average response time (service rep
pickup)
Call abort rate
Average length of calls
Percentage of calls requiring operator
call–back
Percentage of calls elevated from VRS
To operator assistance
45.
Do you monitor and /or record in-bound calls?
46.
What are your procedures for addressing calls that involve service issues?
47.
Describe what distinguishes your participant website from your competitor’s website.
Section 7: Employee Education / Retirement Readiness
48.
Based on the information included in the RFP, fully describe your proposed education
campaign by plan for Henrico County participants. Please describe any customized pieces
or strategic initiatives that you’ve taken that have been proved to be more effective in
driving participant behavior.
49.
How many staff members will be solely allocated to the Henrico relationship? Please
designate the time (number of meetings) and resources (proposed action plan for driving
behavior) that will be allocated to each plan.
50.
Do you measure retirement readiness or overall plan health? Please describe your
analysis.
51.
Please describe the extent to which your standard materials, including employee
statements, can be customized.
52.
How many employee group and individual meetings will you provide for each plan? Please
distinguish between initial new introductory vendor meetings and on-going meetings.
53.
As an alternative to in-person meetings, do you offer live webcasts, brainsharks, or prerecorded seminars?
54.
Can you create customized hypothetical retirement projections for participants utilizing their
existing account balances and current deferral percentage? If so, please provide a sample.
34
55.
Do you provide tools for individual retirement projections? If so, do they include offset of
VRS income, income replacement ratios, social security offset, required savings rate,
suggested strategy to meet goals?
56.
Please complete the following chart, indicating, with an “X”, the communication materials
and services that are included in the fees you quoted in this proposal.
Standard
Modified
(company
name and
logo)
Complete
custom
design
Enrollment booklet
Enrollment forms in enrollment booklet
Plan highlights in enrollment booklet
Fund descriptions
Announcement letter
Retirement calculator
Modeling software
Fund prospectuses
Performance updates
Newsletter
Articles
Voice Response System menu map
Other:
Section 8: Participant Asset Allocation Tools
57.
Please describe any and all interactive tools your organization will provide to the employees
which will help with asset allocation and planning for their retirement.
58.
Do you provide asset allocation advice? (i.e. Financial Engines, Morningstar, etc.) What is
the annual fee? Who pays the fee, participants or Plan Sponsor?
59.
Do you offer customized portfolio models (designed by the client / consultant) using the
Plan’s core investment options? If yes, please provide the following information regarding
these customized models:
a. How many portfolios can your system accommodate?
b. Do you offer auto-rebalancing on the portfolios?
c. What are the fees for customized portfolios?
d. Do you have a proprietary fund requirement for the portfolios?
e. Do these customized target date and/or asset allocation models automatically provide for
age migration as participant nears retirement? Note: this question does NOT apply to
target date, lifestyle, or asset allocation funds. It applies ONLY to customized asset
allocation and/or target date models).
f. Can models be used as the default investment option?
35
60.
Do you offer managed accounts that enable participants to receive discretionary account
management services? If so, please describe in detail, including costs for such services.
Section 9: Investments
61.
Discuss your organization’s ability to provide investment vehicles for 403(b) and 457
governmental plans. Be sure to discuss whether you promote funding 403(b)’s through
individual annuity contracts, group annuity contracts, or non-annuity custodial accounts, and
please describe the pros and cons of each of these three alternatives.
62.
The Plan Sponsor has expressed some interest as it pertains to the 457 plan in considering
collective investment trusts. Please comment on the ability to access CIT’s on your platform
and any limitations. Please also share a list of current ETF or CIT offerings available on
your platform.
63.
The Plan Sponsor wishes to have full flexibility with regard to offering best in class
investment offerings. The Plan Sponsor first wants to understand your required revenue to
administer the plan (as requested later in the RFP) and then augment the platform with best
in class institutionally priced investment offerings. Please describe any limitations to this
approach based on your platform or experience.
64.
Are there any specific investment offerings that are required to be offered as part of your
platform? If so, please explain. Do any of the required funds have withdrawal restrictions,
possible market value adjustments, contingent deferred sales charges, wrap fees or
minimum balance requirements or any other type of restrictions? Please describe.
65.
How many mutual fund companies do you currently have selling agreements with in place?
66.
Can you accommodate non-unitized custom models created by an advisor using the core
investment offering? If so, can a participant invest a portion of their balance in the model or
must it be 100%? On the participant statement, will the participant see the model or just the
underlying funds?
67.
Does your organization offer a self-directed brokerage window as a potential investment
option? Are self-directed brokerage accounts limited to mutual funds? Can a limit be
imposed to restrict that only a portion be invested in the self-directed brokerage option?
Please fully describe the service and fees associated with the administration of the
brokerage accounts.
68.
Does your organization offer “managed accounts” or personalized portfolio management?
Is this service provided through a third‐party arrangement? What are the fees for plan
participants? Explain the methodology used to develop investment allocations and provide
samples of participant communication materials available to participants.
69.
Do you offer an in-plan annuity option? If so, please describe.
36
70.
Please provide a copy of your stable value/fixed fund option contract agreement and supply
the following information:
a.
Your policies for:
1)
2)
3)
b.
Participant-initiated withdrawals
Plan sponsor-initiated withdrawals
Inter-fund transfers
Asset allocation
Insurance Company General Account
Assets
Traditional
GICs
Indexed GICs
Synthetic GICs
Insurance Company Separate Account
Assets
BICs
STIF/Cash Equivalents
Other
TOTAL
c.
%
%
%
%
%
%
%
%
100%
For GIC or separate account products, provide the average credit quality of the
portfolio and percentage in each investment grade as categorized by S&P and
Moody’s. If your fund is a general account annuity product, provide your
company’s A.M. Best, S&P, Moody’s, and Duff & Phelps ratings. Describe and
provide your company’s S&P, Moody’s rating. Also provide the portfolio’s average
maturity and duration as of December 31 for each of the last five years.
d.
Liquidity management
1)
2)
3)
4)
Percentage of holdings in cash – normal range
Percentage of contracts with benefit responsive features
Percentage of contracts with one-year put options
Weighted average maturity – normal range
e.
Does your product offer a contractually guaranteed long-term interest rate? If so,
how long does it remain in force? Provide a complete history of your company’s
actual interest crediting rates for the previous 12-month period. The history should
list actual interest credited as an effective annual yield for each year net of all
asset-based fees and charges. State the interest rate currently in effect and the
date through which that rate is effective. This rate should be stated as an effective
annual yield.
f.
Provide the market-to-book ratio (or formulaic equivalent adjustment factor) for the
proposed stable value/fixed product for each of the previous 5 years.
37
g.
Describe your company’s interest crediting method. If other than the portfolio
method, include above the effective annual yield credited for each band, cell or
investment year.
h.
What are the consequences should the Plan Sponsor choose to move to a
different Stable Value fund on your platform?
i.
What are the consequences to the Plan Sponsor as it relates to your Stable
Value/Fixed option if they terminate services with your company?
j.
For GIC or separate account products, provide the average credit quality of the
portfolio and percentage in each investment grade as categorized by S&P and
Moody’s. If your fund is a general account annuity product, provide your
company’s A.M. Best, S&P, Moody’s, and Duff & Phelps ratings. Describe and
provide your company’s S&P, Moody’s rating. Also provide the portfolio’s average
maturity and duration as of December 31 for each of the last five years.
k.
Liquidity management
1)
2)
3)
4)
Percentage of holdings in cash – normal range
Percentage of contracts with benefit responsive features
Percentage of contracts with one-year put options
Weighted average maturity – normal range
l.
Does your product offer a contractually guaranteed long-term interest rate? If so,
how long does it remain in force? Provide a complete history of your company’s
actual interest crediting rates for the previous 12-month period. The history should
list actual interest credited as an effective annual yield for each year net of all
asset-based fees and charges. State the interest rate currently in effect and the
date through which that rate is effective. This rate should be stated as an effective
annual yield.
m.
Provide the market-to-book ratio (or formulaic equivalent adjustment factor) for the
proposed stable value/fixed product for each of the previous 5 years.
n.
Describe your company’s interest crediting method. If other than the portfolio
method, include above the effective annual yield credited for each band, cell or
investment year.
o.
What are the consequences should the Plan Sponsor choose to move to a
different Stable Value fund on your platform?
p.
What are the consequences to the Plan Sponsor as it relates to your Stable
Value/Fixed option if they terminate services with your company?
38
71.
What is the average number of investment options for the plans you record keep? Please
provide an anonymous sample investment menu for a client similar in type and size.
Section 10: Implementation
72.
How many staff members work exclusively on plan implementations? Do you provide a
separate team apart from the ongoing administrative service team for implementation
responsibilities? Describe the involvement of the Relationship Manager as part of the
transition.
73.
What involvement will be required from the Plan Sponsor(s) during the implementation
process?
74.
Please provide a work plan and chart of activities, responsibilities and time frames for
implementation of a vendor change and/or consolidation.
75.
How will you guarantee your stated implementation time frame?
76.
Please provide any information that you share with participants to communicate the change
in vendor and/or consolidation as well as any interim websites you make available for
sharing updates.
Section 11: Fees
Please base all fee assumptions on the plan, participant and cash flow data specified in
Attachment G
77.
Will you provide an annual reconciliation between all plan revenues (both explicit participant
fees and investment revenue) and all plan administration costs?
78.
Please disclose your asset management fee offsets / revenue sharing agreements on any
proprietary fund that’s required to be used in the plan.
79.
What is your firm's proposed annual required revenue as a percentage of plan assets, for
record keeping, participant services, Plan Sponsor services and on site education and
counseling assuming a 3 year contract with the option for two one year renewals.
80.
Does your platform provide for fee equalization?
81.
Are you able to set up reimbursement accounts (also known as “ERISA/PERA credit
accounts” or “crediting reimbursement accounts”)?
82.
Please describe any restrictions or fees for terminating the contract.
83.
Please describe any agreements you are willing to make putting a portion of the
recordkeeping fees at risk if performance standards are not met.
39
84.
To the extent that you charge additional fees beyond your required revenue stated above,
please complete the following fee chart.
Ongoing Fee
Implementation
Plan Document Fee
Annual Base Fee
Annual Recordkeeping Fee
Annual Trustee Fee
Per Participant Fee
Per Eligible Fee
Fund to Fund Transfer Fee
DRO (processing only)
DRO (complete outsourcing)
Loan Set-Up
Annual Loan Maintenance
Distribution / 1099R
Postage Charge to Mail Quarterly Statements to
Participants
Manual Check (stop payment / reissue)
Fee for Enrollment Kits
Enrollment Kit Mailing (direct to participant homes)
Fee for Employee Meetings NOT already included in
pricing
Self Directed Brokerage (Plan Sponsor Fee)
Self Directed Brokerage (Participant Fee(s))
Any Other Fees
40
$
$
$
$
$
$
$
$
$
$
$
$
$
$
One-Time
Fee
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
$
Attachment G
Plan Information and Background
Henrico County Government 457 Plan (Voya)
6/30/15
$50,243,900.91
12/31/14
$51,111,676.37
12/31/13
$48,518,041.46
1,074
1,080
1,116
Total # Active (currently employed)
Participant Accounts
648
712
756
Total # Inactive Participant
Accounts
Employee Contributions ($)
426
368
360
$1,509,697.68
$2,530,544.36
$2,363,910.16
Total Distributions ($)
$2,842,942.88
$4,007,427.09
$4,702,572.33
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
Assets ($)
Total # of Participant Accts.
Total Loans
6/30/2015
Voya Fixed Account / Voya Fixed Plus
Account
4.00%, this is the floor rate
Stable Value / Fixed Account
Crediting Rate (Voya Fixed Account)
Participant Assets in Stable Value / Fixed
Account ($)
Crediting Rate (Voya Fixed Plus Account)
Participant Assets in Stable Value / Fixed
Account ($)
41
$12,780,967.70
3.00%, this is the floor rate
$1,676,986.10
Henrico County Government 457 Plan (ICMA-RC)
6/30/15
$79,409,838.54
12/31/14
$77,571,831.19
12/31/13
$74,396,318.86
1,122
1,129
1,139
Total # Active (currently
contributing) Participant
Accounts
698
709
720
Total # Inactive Participant
Accounts
424
420
419
Employee Contributions ($)
$1,603,325.76
$3,143,978.53
$3,154,336.94
$675,783.02
$4,163,101.18
$3,144,408.83
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
Assets ($)
Total # of Participant Accts.
Total Distributions ($)
Total Loans
6/30/2015
VT PLUS Fund
1.77%
Stable Value / Fixed Account
Crediting Rate (6/30/2015)
Participant Assets in Stable Value / Fixed
Account
42
$25,689,823
Henrico County Public Schools 403(b) Plan (VALIC)
6/30/15
$95,016,984.17
12/31/14
$92,177,940.6
12/31/13
86,402,392.27
Total # of Participant Accts.
3,537
3,441
3,230
Total # Active (currently
contributing) Participant
Accounts
2,680
2,557
2,451
$7,188,946.04
(includes prior 12
months, not 6)
$6,660,027.39
(includes prior 12
months, not 6)
$776,934.36
$6,581,852.93
$6,504,258.90
$6,611,498.06
$6,592,441.78
$829,761.75
$662,774.79
Assets ($)
Total Contributions
Total Distributions
Loans
6/30/2015
VALIC Fixed Account
2.15% reset monthly
Stable Value / Fixed Account
Crediting Rate
Contractual Minimum
Participant Assets in Stable Value / Fixed
Account
Managed Account Provider Name
Total # of Participants Who Have Elected
the Managed Account Service
Participant Assets under Management
43
2.00%
$16,615,394.87
8/15/2015
Guided Portfolios Services
1,737
$37,784,700
Henrico County Public Schools 457(b) Plan (VALIC)
6/30/15
12/31/14
12/31/13
$218,056.03
$169,745.48
$37,001.22
Total # of Participant Accts.
20
15
6
Total # Active (currently
contributing) Participant
Accounts
19
16
6
$106,453
$86,809
$35,228
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
N/A – Loans are not
permitted in the plan
Assets ($)
Total Contributions
Loans
44