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HomeMy WebLinkAbout~Master - Approving Contract for Administrative and Claims Processing Services for Flexible Spending Account Program RESOLUTION NO. 19-600 RESOLUTION APPROVING CONTRACT FOR ADMINISTRATIVE AND CLAIMS PROCESSING SERVICES FOR FLEXIBLE SPENDING ACCOUNT PROGRAM FOR THE CITY OF AMES,IOWA WHEREAS,the City of Ames Human Resources Department manages the employee benefits and one of these benefits is the Health Care and Dependent Care Flexible Spending Accounts for City employees and their dependants; and, WHEREAS, there has been a number of challenges with the level of services provided by the current vendor, so the Human Resources Department decided to evaluate the marketplace and determine if there were other vendors available that would improve the service experience for the City of Ames employees and their dependants; and, WHEREAS, the City enlisted Gallagher, Inc., to assist in developing the scope of services and to provide guidance during the evaluation process; and, WHEREAS, on October 11,2019,the City initiated a Request for Proposals (RFP)process for Flexible Spending Account Administration with the contract services including flexible spending account administration for both health care and dependant care along with the contract having a three-year term with two additional one-year terms; and, WHEREAS, the RFP was issued to 16 firms and four bid services and the City received responses from eight firms; and, WHEREAS, an evaluation committee was put together and each proposal was evaluated based on a combination of services provided, cost of services, references, and the availability to implement a program by January 1, 2020; and, WHEREAS,the top three firms were invited to give a demonstration and interview and each firm was evaluated based on the ease of use of their websites and apps for both employees and City Administration, substantiation of claims that meet regulations and the City's expectations, ability to implement the program in a short time period, and what sets them apart from other firms; and, WHEREAS, the evaluation committee members are recommending TASC, of Madison, Wisconsin,for these services because of their beliefthis firm provides the best value and aligns most thoroughly with the goals of the City of Ames flexible spending account administration; and, WHEREAS, with TASC, substantiation of claims would not require more medical information than a provider prescription for Over the Counter medications(OTC)and dual purpose services, reimbursements to members would not take longer than 48 hours, there is a local Iowa presence for customer service on the account, and invoicing occurs on an incurred claim basis and not a pre-funded basis; and, WHEREAS, funds for the services for the proposed contract will be paid from the City's Health Insurance Budget and the allocated FY 2019/20 Budget is $11,000 for these services. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Ames, Iowa, that the contract for Flexible Spending Account Administration awarded to TASC of Madison, Wisconsin,beginning January 1,2020 to December 31,2023,in an amount of$10,895/year is hereby approved. ADOPTED THIS 26'day of November, 2019. DianelZ. Voss, City Clerk John A. Haila, Mayor Introduced by: Nelson Seconded by: Corrieri Voting aye: Beatty-Hansen, Corrieri, Gartin, Martin,Nelson Voting nay: None Absent: Betcher Resolution declared adopted and signed by the Mayor this 26t1i day of November, 2019.