01. 2223-04 RFP TR FICA Alternative.pdf

Failure to file a protest within the time prescribed in section 120.57(3), Florida Statutes, or failure to post the bond or other security required by law within the time allowed for filing a bond shall constitute a waiver of proceedings under chapter 120, Florida Statutes.

State of Florida

Department of Financial Services

Request for Proposals (RFP)

Number: 2223-04 RFP TR

Social Security Alternative Retirement Income

Security Program for Other Personal Service (OPS)

Employees

Procurement Officer:

Edward Nabong

Government Operations Consultant III

Department of Financial Services

Office of Purchasing and Contractual Services

200 E. Gaines Street, Larson Building

Tallahassee, FL 32399-0347

Email: DFSpurchasing@myfloridacfo.com

RFP # 2223-04 RFP TR

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

TABLE OF CONTENTS

SECTION 1. Introduction

SECTION 2. RFP Process

SECTION 3. Proposal Instructions

SECTION 4. Selection Methodology

SECTION 5. Award

Appendices

Letter

Name

Attachment

Sub-components, If Any

To Be

Completed and

Returned

Attached for

Reference

Only

A Standard Contract Contract Signature

Page

Attachment 1, Standard Terms and Conditions

Attachment 2, Statement of Work

Attachment 3, Price

Proposal

Attachment 4, PUR

Attachment 5, Investment Policy for Product

Selection and

Retention

Attachment 6, Bureau of State

Payroll File Format

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

Attachment 7, People First File

Interface Layout and Specifications

Attachment 8, Distribution

Process for

Proceeds Received from Settlement

Checks

Attachment 9, Planwatch

Addendum A, Public Records

Requirements

Addendum B, Data

Security

Requirements

B Questions Template

C Mandatory Criteria Certification Form

D Evaluator Score Sheet

E Award Preferences Form

-Remainder of this Page is Intentionally Left Blank-

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

SECTION 1. INTRODUCTION

1.1 Purpose

The Department of Financial Services (Department), an agency of the State of Florida (State), is issuing this Request for Proposals (RFP) seeking a vendor to provide investment, administration, and record keeping services for the alternative retirement income security program (FICA Alternative

Program, hereafter Program) established pursuant to section 110.1315, Florida Statutes (F.S.), in accordance with Section 3121(b)(7)(F) of the Internal Revenue Code for eligible temporary, part-time, and seasonal employees of the State who are compensated from appropriations for Other

Personal Services. The Department intends to award one (1) contract resulting from this RFP but reserves the right to award multiple contracts by region or to make no award as determined by what is the most advantageous to the State. The RFP will be administered through the

MyFloridaMarketPlace Vendor Information Portal (VIP). It is the responsibility of all potential

Proposers to monitor this site prior to and after submitting a Proposal. A submitted Proposal must comply with the terms and conditions stated in this RFP.

The Department intends to enter into a contract (Contract) using Appendix A, Standard Contract, which is hereby incorporated by reference. The Department intends to award the Contract as provided in

Section 5, Award, of this RFP.

1.2 Program Statistics

Program Statistics as of December 2022:

Monthly Average Payroll Contributions $1,583,160.91

Total Assets $100,511,164.51

Number of Accounts 28,546

Number of Incorrect Addresses 9

Number of Incorrect Social Security Numbers 0

Number of Active Accounts 7,661 participants

1.3 Term

The initial term of the Contract will be five (5) years beginning on the date of execution or January 5, 2024, whichever is later. The Contract may be renewed, for up to five (5) years, in accordance with section 287.057(14), F.S. Renewal(s) will be made at the renewal pricing specified in the Proposer’s

Attachment 3 to its Proposal.

1.4 Definitions

The following definitions apply to this RFP:

Business Days – Monday through Friday, inclusive, except for holidays declared and observed by

State government.

Confidential Information – Any documents, data, or records that are confidential and not subject to disclosure pursuant to chapter 119, F.S., the Florida Constitution, or any other legal authority.

Contract – The agreement that results from this competitive solicitation, if any, between the

Department and the awarded Proposer.

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

Contractor – The selected Proposer that executes the Contract with the Department pursuant to this

RFP.

Federal Insurance Contributions Act (FICA) – a federal payroll law requiring contribution directed towards both employees and employers to fund Social Security and Medicare.

Internal Revenue Service (IRS) – federal agency responsible for collecting federal taxes and administering the Internal Revenue Code.

Other Personal Service (OPS) – Temporary, part-time, and seasonal employees of the State who are compensated from appropriations for Other Personal Services.

Participant – Eligible OPS employee enrolled in the FICA Alternative Program.

FICA Alternative Program/Program – Refers to the alternative retirement income security program for OPS employees established pursuant to section 110.1315, F.S., in accordance with section

3121(b)(7)(F) of the Internal Revenue Code (I.R.C.). The Program may otherwise be referred to as the Social Security Alternative Retirement Income Security Program for Other Personal Services.

Program Administrator –The person employed by the Department who has authority over the

Program on behalf of the Department.

Representative – any employee of the Contractor that performs services under the Contract.

Proposer – an entity that submits a Proposal in response to this RFP.

Proposal– the total written response submitted by a Proposer to this RFP.

Securities and Exchange Commission (SEC) – the federal agency responsible for overseeing securities exchanges, securities brokers and dealers, investment advisors, and mutual funds to promote fair dealing, the disclosure of important market information, and to prevent fraud.

State - The State of Florida.

State Data – Any information provided by, or related to, the State, its agencies, or Participants to the Contractor in connection with the Contract, including any information that is (i) collected or processed by the Contractor in the performance of the Contractor’s duties under the Contract, including information regarding information processing input and output, performance measures, asset information, reports, third party service and product contracts, and the Contractor’s charges to the Department, or (ii) resides in or is accessed through the Department’s operating environment or the Contractor’s service delivery infrastructure; as well as any information derived from the foregoing.

Vendor Information Portal (VIP) - The State’s internet-based vendor information system located at the website: https://vendor.myfloridamarketplace.com/ Procurement Officer

Pursuant to section 287.057(25), F.S., the Department’s Procurement Officer (Procurement Officer) is the sole point of contact for this solicitation.

https://en.wikipedia.org/wiki/Taxation_in_the_United_States https://en.wikipedia.org/wiki/Internal_Revenue_Code https://vendor.myfloridamarketplace.com/

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

The Procurement Officer is:

Edward Nabong

Government Operations Consultant III

Office of Purchasing and Contractual Services

Department of Financial Services

Email: DFSpurchasing@myfloridacfo.com

***PLACE THE SOLICITATION NUMBER IN THE SUBJECT LINE OF ALL EMAILS TO THE

PROCUREMENT OFFICER.***

Please note that questions will NOT be answered by telephone. All inquiries must be directed to the

Procurement Officer in writing. For expediency, the Procurement Officer at his sole discretion may initiate phone calls to Proposers to resolve procedural or administrative issues. As all questions should be submitted in writing, the Department is under no obligation to acknowledge or respond to oral inquiries, and potential Proposers are not entitled to rely upon any clarification or change to this RFP, or answer to any vendor question, except as may be provided in an addendum to this RFP by the

Department in response to questions submitted pursuant to Section 2.4, Question and Answer Period, of the RFP.

Proposers to this solicitation or persons acting on their behalf may not contact, between the release of the solicitation and the end of the 72-hour period following the agency posting the notice of intended award, excluding Saturdays, Sundays, and State holidays, any employee or officer of the executive or legislative branch concerning any aspect of this solicitation, except in writing to the procurement officer or as provided in the solicitation documents. Violation of this provision may be grounds for rejecting a Proposal.

Should any person with a business relationship with a Proposer or any person who is an existing or prospective subcontractor to a Proposer contacts the Department, it will be assumed the contact is on behalf of the Proposer.

1.5 Special Accommodations

Any person requiring a special accommodation due to a disability should contact the Department’s

Procurement Officer. Requests for accommodations for meetings must be made at least five (5)

Business Days prior to the meeting. A person who is hearing or speech impaired can contact the

Procurement Officer by using the Florida Relay Service at (800) 955-8771 (TDD).

1.6 Cooperation with Inspector General

By submitting a Proposal in response to this RFP, a Proposer understands its duty, pursuant to section

20.055(5), F.S., to cooperate with the Inspector General in any investigation, audit, inspection, review, or hearing, in the event the Proposer is awarded the Contract. The Contractor will comply with this duty and ensure that subcontracts issued under the Contract, if any, impose this requirement, in writing, on its subcontractors.

1.7 Commitment to Diversity in Government Contracting

The State is committed to supporting its diverse business industry and population through ensuring participation by woman-, veteran-, and minority-owned business enterprises in the economic life of the

State. The State of Florida Mentor Protégé Program connects certified business enterprises with private corporations for business development mentoring. We strongly encourage firms doing business with the State to consider participating in this initiative. For more information on the Mentor Protégé mailto:DFSpurchasing@myfloridacfo.com

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

Program, please contact the Office of Supplier Diversity at (850) 487-0915 or osdinfo@dms.myflorida.com.

The Department supports diversity in its procurement program and requests that all subcontracting opportunities afforded by this solicitation enthusiastically embrace diversity. The award of subcontracts should reflect the vast array of citizens in the State. The Contractor can contact the Office of Supplier

Diversity at (850) 487-0915 for information on certified business enterprises that may be considered for subcontracting opportunities.

SECTION 2. RFP PROCESS

2.1 Overview of the RFP

Under this RFP, the Department will not hold a pre-Proposal conference. Potential Proposers may submit questions regarding this RFP to the Department during the Question and Answer Period provided in Section 2.4, Question and Answer Period.

Proposers must submit its Proposal by the deadline listed in Section 2.2, Timeline. The Department will open Proposals at a public opening. After the public opening, the Procurement Officer will review

Proposals in accordance with Section 4.1, Review of Mandatory Responsiveness Requirements.

Proposals that the Procurement Officer determines are responsive to the RFP will be evaluated by the evaluation team. If the Department awards a Contract or multiple Contracts resulting from this RFP, the Department will award the Contract(s) to the responsible and responsive Proposer(s) whose

Proposal(s) is deemed the most advantageous to the State based upon the criteria set forth in the RFP, as determined by total points awarded (i.e., the highest scoring Proposers).

This section is only intended to be an overview. Read the RFP in its entirety for further details. In the event of a conflict between this overview and another section of this RFP document, the other section of the RFP document will control.

2.2 Timeline

The following timeline will be strictly adhered to in all actions relative to this RFP. The Department reserves the right to adjust this timeline by posting addenda on the VIP. It is the Proposer’s responsibility to check the VIP on a regular basis for such updates.

Event

Event Time

Eastern Time

(ET)

Event Date

RFP posted on the VIP. 11:00 AM 09/06/2023

Deadline to submit questions to Procurement Officer. 5:00 PM 09/20/2023

Anticipated date to post answers to potential Proposers questions on VIP. N/A 10/04/2023

Deadline to submit Proposals and all required documents to the

Department.

3:00 PM 10/25/2023

Public opening of Proposals.

Department of Financial Services 200 E. Gaines Street, Larson Building Tallahassee, FL, 32399

3:30 PM 10/25/2023

mailto:osdinfo@dms.myflorida.com

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

2.3 Pre-Proposal Conference

The Department will not hold a Pre-Proposal Conference.

2.4 Question and Answer Period

Potential Proposers may submit written questions to the Procurement Officer by the deadline listed in

Section 2.2, Timeline. Questions may include requests for clarification regarding the terms, conditions, and requirements of the RFP and its appendices, and any processes described in those documents. If terms included in Appendix A, Standard Contract, are impractical or, for legal or operational reasons, impossible, potential Proposers must submit a question requesting modification of the Standard

Contract terms, and the Department will issue an addendum to this RFP, which the Department will answers as to whether such modifications are acceptable to the Department.

***PLACE THE SOLICITATION NUMBER IN THE SUBJECT LINE OF ALL EMAILS

CONTAINING QUESTIONS.***

Submit questions using Appendix B, Questions Template, which is posted to the VIP with this RFP.

Questions do not constitute a formal protest of the specifications of the RFP.

The Department will provide an answer to all questions that are timely submitted through an addendum that is posted on the VIP. If modifications are made to the RFP document or appendices, the

Department will post the modifications in an addendum on the VIP.

2.5 Public Opening of Proposals

The Department will open the Proposals in a public opening at the date, time, and location noted in

Section 2.2, Timeline. Please note, the public opening will also be conducted via conference call as stated in Section 2.2, Timeline.

2.6 Addenda to the RFP

The Department reserves the right to make changes to this RFP by posting addenda on the VIP. It is the Proposer’s responsibility to check for any posted addenda on the VIP.

2.7 Contract Formation

The Department will enter into a Contract with the awarded Proposer pursuant to Section 5, Award.

The Contract will consist of the documents listed under Appendix A, Standard Contract, unless modified by the Department in an addendum posted to the VIP.

Event

Event Time

Eastern Time

(ET)

Event Date

NOTE: The public opening will also be conducted via conference call. To attend the public opening call 888-585-9008 and when prompted use

Conference No.: 819-252-704. Attendance at this public opening is not required.

Anticipated date to post Notice of Intent to Award on VIP. N/A 11/06/2023

Anticipated Contract start date. N/A 11/14/2023

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

The Proposer shall bring any perceived inconsistencies among any of the provisions of the RFP and its appendices to the attention of the Department prior to the submission of its Proposal. At any time during the solicitation, the Department may specifically identify and incorporate by reference any additional documents which are to be incorporated into the Contract.

SECTION 3. PROPOSAL INSTRUCTIONS

3.1 Instructions to Proposers

This section contains the General Instructions (PUR 1001) and Special Instructions to Proposers. The

PUR 1001 can be accessed at http://dms.myflorida.com/business_operations/state_purchasing/documents_forms_references_resour ces/purchasing_forms.

The Special Instructions are in the remainder of Section 3 of this RFP. In accordance with Rule 60A-

1.002, Florida Administrative Code (F.A.C.), in the event any conflict exists between the Special

Instructions and General Instructions, the Special Instructions will prevail.

Section 13 of the PUR 1001 is replaced by Section 5.5 of the RFP. Sections 3, 5, and 9 of the PUR

1001 are replaced with the following:

Section 3. Electronic Submission of Proposals.

Proposals shall be submitted in accordance with Section 3.4, How to Submit a Proposal, of the

RFP.

Section 5. Questions.

Questions shall be submitted in accordance with Section 2.4, Question and Answer Period, of the

RFP.

Section 9. Proposer’s Representation and Authorization.

(a) By submitting its Proposal, the Proposer understands, represents, and acknowledges the following:

• The Proposer is not currently under suspension or debarment by the State of Florida or any other governmental authority.

• The Proposal is made in good faith and not pursuant to any agreement or discussion with, or inducement from, any firm or person to submit a complementary or other noncompetitive Proposal.

• The Proposer will conform to this RFP, Attach 2, the Statement of Work, and all attachments and addenda without exception or caveat.

• If an award is made to the Proposer, the Proposer agrees that it intends to be legally bound to the Contract with the Department.

• The Proposer has made a diligent inquiry of its employees and agents responsible for preparing, approving, or submitting its Proposal, and has been advised by each of them that he or she has not participated in any communication, consultation, discussion, agreement, collusion, act, or other conduct inconsistent with any of the statements and representations made in the Proposal.

• The Proposal shall indemnify, defend, and hold harmless the Department and its employees against any cost, damage, or expense which may be incurred or be caused by any error in the Proposer’s preparation of its Proposal.

• All information provided by, and representations made by, the Proposal may be considered material and may be relied upon by the Department in awarding the Contract. Any misstatement may be treated as fraudulent concealment from the Department of the true http://dms.myflorida.com/business_operations/state_purchasing/documents_forms_references_resources/purchasing_forms http://dms.myflorida.com/business_operations/state_purchasing/documents_forms_references_resources/purchasing_forms

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees facts relating to submission of the Proposal. A misrepresentation shall be punishable under law, including, but not limited to, chapter 817, F.S.

(b) In submitting a Proposal, the Proposer understands, represents, and acknowledges the following (NOTE: If the Proposer cannot certify to any of following, the Proposer shall submit with its Proposal a written explanation of why it cannot do so. The Proposer’s explanations may result in the Proposer being found to not be a responsible or responsive vendor as defined in sections 287.012(25) and (27), F.S.):

• To the best of the knowledge of the person signing the Proposal, the Proposer, its affiliates, subsidiaries, directors, officers, and employees are not currently under investigation by any governmental authority and have not in the last ten (10) years been convicted or found liable for any act prohibited by law in any jurisdiction, involving conspiracy or collusion with respect to bidding on any public contract.

• Proposer currently has no delinquent obligations to the State of Florida, including a claim by the State of Florida for liquidated damages under any other contract.

• The Proposer has fully informed the Department in writing of all convictions of the firm, its affiliates (as defined in section 287.133(1)(a), F.S.), and all directors, officers, and employees of the firm and its affiliates for violation of state or federal antitrust laws with respect to a public contract and for violation of any state or federal law involving fraud, bribery, collusion, conspiracy or material misrepresentation with respect to a public contract. This includes disclosure of the names of current employees who were convicted of contract crimes while in the employ of another company.

• Neither the Proposer nor any person associated with it in the capacity of owner, partner, director, officer, principal, investigator, project director, manager, auditor, or position involving the administration of federal funds:

o Has within the preceding three years been convicted of or had a civil judgment rendered against them or is presently indicted for or otherwise criminally or civilly charged for: commission of fraud or a criminal offense in connection with obtaining, attempting to obtain, or performing a federal, state, or local government transaction or public contract; violation of federal or state antitrust statutes; or commission of embezzlement, theft, forgery, bribery, falsification or destruction of records, making false statements, or receiving stolen property; or o Has within a three-year period preceding this certification had one or more federal, state, or local government contracts terminated for cause or default.

3.2 Mandatory Responsiveness Requirements

A Proposer whose Proposal does not meet the mandatory responsiveness requirements listed below will be deemed non-responsive and will not be scored or considered for Contract award.

The mandatory responsiveness requirements are as follows:

1. The Proposal must include a completed, Attachment 3, Price Proposal.

2. The Proposal must include an Appendix C, Mandatory Criteria Certification Form, that meets the requirements provided in Section 3.3.3(A), Mandatory Criteria Certification.

3. The Proposal must include a copy of the Proposer’s most recent Statements on Standards for

Attestation Engagements (SSAE) 18 reports, including and System and Organization

Controls (SOC) 1 and 2, Type I and II reporting.

The Department will not evaluate a Proposal from a Proposer that does not meet the mandatory responsiveness requirements. The Department reserves the right to re-evaluate its responsiveness determination at any time during the solicitation.

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

3.3 Contents of the Proposal

Submit the Proposal in the following format. See Sections 4.2-4.3 of this RFP for how Proposals will be evaluated.

3.3.1 Volume 1: General Information

A. Cover Letter

Submit a cover letter on the Proposer’s letterhead that contains the following information:

1. The name and principal place of business of the Proposer;

2. The Proposer’s Federal Employer Identification Number (FEIN); and

3. The name, title, mailing address, telephone number, and e-mail address of the Proposer’s contact person for purposes of the RFP and, if available, an alternate contact person.

B. Responses or Disclosures Required by the PUR 1001.

1. Submit any disclosures required by Section 6 of the PUR 1001.

2. Submit any disclosures required by Section 9 of the PUR 1001, as modified by Section 3.1 of this RFP. If unable to certify to any of the provisions of part (b) of Section 9 of the PUR

1001, as modified by Section 3.1 of this RFP, submit a written explanation of why the

Proposer cannot do so. The Proposer’s explanations may result in the Department finding the Proposer not to be a responsible or responsive vendor as defined in sections

287.012(25) and (27), F.S. No exceptions to part (a) of Section 9 of the PUR 1001, as modified by Section 3.1 of this RFP document, will be accepted.

C. Award Preferences Form

Submit a completed Appendix E, Award Preferences Form. Refer to Section 5.2, Award

Preferences for Identical Evaluation of Proposals, for further information on how this form will be used. A Proposer who fails to submit a completed Appendix E, Award Preferences Form, as part of its Proposal will be considered to have no award preference, if the Department’s evaluation results in two or more Proposals receiving an identical highest score.

3.3.2 Volume 2: Technical Proposal

The Technical Proposal must be organized in the following sections and should contain the information described below. Do not include price information in the Technical Proposal.

Failure to follow this outline and the instructions contained in the RFP may result in the rejection of the Proposal. The information provided in a Technical Proposal should be clearly and concisely stated in unambiguous terms.

A. Narrative on Experience and Ability

1. The Proposer should provide a narrative of the Proposer’s company history, and commitment to public sector retirement planning.

2. The Proposer should describe its prior experience, and the prior experience of any subcontractor, affiliate, subsidiary, parent, or predecessor entity of the Proposer in providing the types of services described in the SOW for ten (10) plans of similar size and scope. Preference is for 401a programs, however governmental 457b or 403b programs are sufficient. Similar size and scope is: $100MM in assets, 25,000 total participants, 7,500 actively contributing participants, and $1.5MM in monthly contribution settlement.

3. The Proposer should provide an organizational chart and identify the Proposer’s key personnel who will perform or supervise the services solicited by this RFP. Include a summary of the background for each key personnel which demonstrates their

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees suitability for their designated role. The summary should include a discussion of key personnel’s knowledge of the program area; education and training; and management experience with the Proposer or any subcontractor(s). Identify the client manager or state director that shall have overall responsibility to coordinate the administration, operations, and communications of the Program.

B. Proposer’s Proposed Approach

1. The Proposer shall provide a technical plan which explains how it intends to perform the services required by this RFP as specified in Attachment 2, Statement of Work.

The Proposer should organize the requested information into the following tabs.

a. Tab A: Regulatory Compliance and Financial Reports

(1) Describe any pending agreements to merge or sell the Proposer to the extent that such information is public.

(2) Describe how the Proposer keeps Participants and Program sponsors informed of legislative changes or issues.

(3) Describe how the Proposer will ensure that the system and controls used for administration and investment services of the Program will be in accordance with proper standards of care, regulatory requirements, and the

Contract.

b. Tab B: Communication and Education

(1) Summarize Proposer’s enrollment process and attach sample documents and instructions that will be used to enroll Participants. Additionally, describe how the Proposer intends to distribute information about the

Program to human resource staff at all State agencies and directly to

Participants.

(2) Describe your online environment, as well as provide a link to a website or sample website that demonstrates the level of detail provided to

Participants, the usability and functionality, and the interactive tools

Participants or their beneficiaries would use to estimate future retirement income needs and assess the impact of different asset allocations on retirement income.

(3) Attach samples of communication materials to Participants that Proposer intends to distribute on a regular basis as required in Attachment 2, Statement of Work. These materials should include investment product description booklets and prospectuses, information on retirement planning, newsletters, and other topical materials. Identify any non-

English languages(s) that may be used in communication materials.

(4) Regarding phone Representatives, describe the minimum credentials and training your Representatives shall have. Provide the number of

Representatives and their tenure, the number of hours of training, the training methodology (classroom, on-line, outside classes, other), the qualifications of instructors, and the performance requirements for satisfaction of training program.

(5) Explain how Proposer will obtain accurate Participant personal identifying information, including but not limited to accurate mailing addresses, email addresses, and telephone numbers. Provide details on any methodology used to confirm social security numbers are accurate.

c. Tab C: Innovation

(1) The Department desires to engage a Contractor that will continuously improve its processes and technology and invest in its people to provide

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees outstanding customer service. The Proposer should describe innovative processes and technologies that it has implemented or will implement to gain operational efficiencies to perform the Attachment 2, Statement of

Work, if awarded the Contract. With that said, the Proposer should also describe its approach to identify business problems, evaluating or generating innovations, and applying those innovations during the term of the Contract, if the Proposer is awarded the Contract.

d. Tab D: Services

(1) The Proposer must identify whether the Proposer will directly provide all services to Participants in-house or whether the Proposer will sub-contract with a third party for any portion of the services in Attachment 2, Statement of Work. Please describe how Proposer intends to provide the following services and give examples:

o Distribution and cash-out procedures, including direct deposit o Identifying and establishing account beneficiaries o Contributions;

o Participant account information (financial and non-financial);

o Annual statements (shall be produced by the Proposer);

o Payout of Participant account (lump sum and periodic);

o Delayed distributions;

o Maintain accurate Participant contact information (email and physical addresses and social security numbers);

o Distribution of W-2 and 1099 forms;

o Participant confirmations for in-house exchanges;

o Program-to-Program transfers (IRA’s, 47(b), 401(k), other pension Programs), include confirmations;

o Communication of trading fees to Participants;

o Rejection report; and o Correct social security numbers.

(2) Please describe Proposer’s Program specific website contents, including historical account information and any changes Participants can make.

Provide sample transactional and change confirmations.

(3) Describe Program reports that will be available for the Department to access from the Proposer’s recordkeeping system.

(4) How does Proposer measure and evaluate Participant-level satisfaction?

How does Proposer intend to report the results of such measurements to the Department?

(5) What documentation and audit procedures does Proposer have in place to ensure the confidentially, integrity, and protection of the Program and

Participant records and transactions? Identify any adopted policies and procedures, as well as provide copies of Proposer’s adopted policies and procedures.

(6) To safeguard against computer crime (i.e., deletion of Participant records, sabotaging records, introducing computer virus, etc.), describe Proposer’s ability to:

o Utilize anti-virus computer software (please give product name);

o Assign a unique password to each Representative working on the

State Program;

o Perform daily backup of Participant records;

o Restrict access to the Program’s Participant files to authorized

Proposer’s staff;

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees o Require more than one Representative to be able to assist

Participants and the Department. For example, cross-train on reconciliation of bi-weekly and monthly investments, reconciliation of monthly retiree payroll, etc. vs. specialization of employees;

o Provide quality control and quality assurance processes to confirm

1) compliance with standard operating procedures and policies; 2) self-report and manage all performance measures; and 3) cultivate process improvements throughout the term of the Contract;

o Implement internal disciplinary actions for employees who use any computer without authorization;

o Maintain off-site computer data backup; and o Ensure Participant records are safe from outside and viral intrusion.

(7) Describe Proposer’s backup capabilities for disaster recovery. The

Proposer should explain whether the State Data will be mirrored or replicated on a second system. The Proposer should identify the last full-scale disaster recovery test, as well as the results.

(8) Describe Proposer’s internal audit procedures. The Proposer should identify whether it has an internal audit staff and explain how they regularly evaluate all controls, systems, record keeping, and risks associated with Proposer’s investment and technology services.

(9) Describe any investments in technology, communication, and other services Proposer has made within the last twelve (12) months, as well as identify any investments Proposer intends to make within the next five (5) years. Specify the areas targeted, the reasons for targeting those areas, and the percentage of total company revenues allocated to these investments.

(10) Describe Proposer’s system capabilities and operating procedures designed to ensure that the Program and each Participant’s account are in balance with respect to deferrals, exchanges, and transfers in and out.

e. Tab E: Investment Products

(1) Identify and describe the types (and number) of investment products available through the Proposer’s recordkeeping platform:

o Target Date Funds o Mutual funds or Trust accounts o Fixed income products o Other

(2) Provide a list and describe the mutual funds the Proposer plans to offer

Participants. Include in the list: MorningStar fund category; MorningStar

5-year rating; ticker symbol; inception date; 1, 3, 5, 10 year historical rates, 5-year percentile ranking and comparative index. Identify all fees, including, but not limited to: reimbursement fees, frequent trading fees, 12b-1 fees, and redemption fees.

(3) Explain how the Proposer will provide to the Department on a quarterly basis the mutual fund data and fixed income product data as required by section 5.H. of Attachment 2, Statement of Work.

(4) Identify the Proposer’s investment analyst and describe his/her experience and qualifications related to the retirement plan industry and the

Proposer’s commitment to have the analyst attend the investment review meeting at least twice a year for the Program investment review.

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

(5) Describe the Proposer’s process to add or replace a mutual fund during the

Contract period.

(6) Describe the Proposer’s fixed income product. Provide the most current information below for your fixed income product:

o Average Maturity and Average Life of the fixed account;

o Effective Duration to Average Maturity and Average Life, as appropriate for use in the Crediting Rate Formula;

o Market Value and Book Value;

o Investment Policy Statement Compliance Letter (semi-annually);

o Underlying Investment Portfolio guidelines regarding allocation to Sectors, Ratings, Derivatives, types of securities;

o Sector weightings;

o Average ratings of corporate bonds held and percentage of whole portfolio with ratings below BBB+;

o Crediting Rate Formula;

o Reporting of any changes in the operation of the fund;

o List of people who can make changes involving the fund;

o Spread of credit rate for Participants; and o Historical rates.

(7) Is the Proposer’s fixed income product fully liquid? If not, please describe in detail any restrictions to the Department and Participants.

(8) On the Proposer’s investment recordkeeping platform are there any limitations on the number of changes to investment allocations or exchanges between investment options? Are the limitations clearly identified to Participants prior to the exchange?

(9) Describe and provide a timeline of a Participant’s purchase and sale of the investment products the Proposer is offering.

(10) Does the Proposer’s recordkeeping system have any restriction on the number of investment products it can offer?

f. Tab F: Implementation and Conversion

(1) Provide a detailed description of the Proposer’s last comparable implementation including details of specific problems and solutions.

(2) Provide a standard conversion and implementation plan. Include a schedule of dates related to the conversion and implementation of the

Proposer’s services and systems to administer the Program. At a minimum, this standard conversion implementation plan shall include identification of the following:

o Activities/steps that the Proposer will undertake during the period between the Department’s notification of award and the start date of the resulting Contract, including anticipated timeframes and interdependencies between the activities;

o Activities/steps that the Proposer will undertake, if awarded the

Contract, after the start date of the Contract, including anticipated timeframes and interdependencies between the activities;

o Identify Proposer’s staff responsible for each activity/step;

o Identify any known or potential risks in the Proposer being able to provide the services described herein, if awarded the Contract, and identify any Department assistance or information that may be needed to mitigate such risks; and

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

(3) Describe a communication plan for informing existing Participants and

State agencies’ human resource staff of a change to the Program

Contractor.

(4) Describe how the Proposer will distribute new forms and documents to the State agencies’ human resource staff.

3.3.3 Volume 3: Mandatory Responsiveness Requirements

A. Mandatory Criteria Certification

Submit an Appendix C, Mandatory Criteria Certification Form, that provides a “Yes”

Certification Answer for each Certification Question. A Proposer’s failure to provide a

“Yes” Certification Answer for each Certification Question will result in the Proposal being deemed non-responsive.

B. Price Proposal

Submit a completed Attachment 3, Price Proposal.

C. Reporting Requirement

Submit the most recent Statements on Standards for Attestation Engagements (SSAE) 18 reports, including and System and Organization Controls (SOC) 1 and 2, Type I and II reporting.

The Department’s Office of Information Technology (OIT) will review the SSAE 18 reports for the selected Proposer prior to Contract execution to ensure that the selected

Proposer has sufficient controls related to security, availability, processing integrity, confidentiality, and privacy to protect State Data. In the event that the Department’s OIT determines that the selected Proposer does not have sufficient controls related to security, availability, processing integrity, confidentiality, and privacy, the Department reserves the right, at its discretion, to award the Contract to the Proposer who submitted the

Proposal that received the next highest Proposal Score, readvertise, or take other action deemed appropriate by the Department.

3.4 How to Submit a Proposal

The Proposer shall submit:

• One (1) printed UNREDACTED version of each volume of the Proposal.

• One (1) printed REDACTED version of the Proposal, if redactions are required (see Section 3.6, Confidential Proposal Materials and Redacted Submissions).

• One (1) scanned copy of the complete UNREDACTED the Proposal on a flash drive, with large files scanned as separate .pdf files.

One (1) scanned copy of the complete REDACTED the Proposal on a flash drive, if applicable

(see Section 3.6, Confidential Proposal Materials and Redacted Submissions). The Proposer must ensure that all metadata has been removed from the files in the redacted copy.

• Three (3) additional copies of Volume 2 of the Proposal.

NOTE: The printed copies of the Proposal must be bound. The Proposer may use an alternate method of binding other than a binder and include separate tabs or other methods of separation of the volumes of the Proposal in lieu of separate binders.

Proposals must be sent in sealed packages to the Department of Financial Services at 200 East Gaines

Street, Larson Bldg., Suite 146 – Office of Purchasing and Contractual Services, Tallahassee, Florida

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

32399-0347, by the deadline listed in Section 2.2, Timeline. The Proposer must clearly label the outside of the sealed packages with the RFP number and the Proposer’s name.

3.5 Disclosure of Proposal Contents

All documentation submitted as a Proposal to the RFP will become the exclusive property of the

Department and will not be returned to the Proposer. Proposals received by the Department may be disclosed pursuant to a public records request, subject to any confidentiality claims and the timeframes identified in section 119.071(1)(b), F.S. The Department has the right to use any or all ideas or adaptations of the ideas presented in any Proposal. Selection or rejection of a Proposal will not effect this right.

3.6 Confidential Proposal Materials and Redacted Submissions

In addition to the public records requirements of the PUR 1001, section 19, if the Proposer considers any portion of its Proposal to be Confidential Information or exempt from disclosure under Chapter

119, F.S., or other legal authority (Public Records Law), then the Proposer must simultaneously provide the Department with an unredacted version of the materials and a separate redacted electronic copy of the materials. If providing both a redacted and unredacted copy, the Proposer should mark the unredacted version of the document as “Unredacted Version – Contains Confidential Information” and place such information in an encrypted electronic form or a sealed separate envelope. If a Proposer fails to submit a Redacted Copy of its Proposal, the Department is authorized to produce the entire unredacted Proposal submitted to the Department in response to a public records request.

3.6.1 Redacted Submissions

If submitting a redacted version of its Proposal, the Proposer should mark the redacted electronic copy with the Proposer’s name, Department’s RFP name and number, and the words “Redacted

Copy.” The Redacted Copy should only redact those portions of material for which a Proposer can legally support a claim that the information is Confidential Information or exempt from disclosure pursuant to Public Records Law. In the Redacted Copy, the Proposer shall redact and maintain in confidence any materials the Proposer provides or seeks regarding security of a proposed technology system or information subject to sections 119.011(14), 119.071(1)(f), and

119.071(3), F.S.

In addition, the Proposer must submit a separate index listing the Confidential Information or exempt portions of its Proposal. The index should briefly describe in writing the grounds for claiming exemption from the Public Records Law, including the specific statutory citation for such exemption.

The Redacted Copy will be used to fulfill public records and other disclosure requests and will be posted on the FACTS website. The Department will follow the procedures identified in the

Standard Contract’s Addendum A, Public Records Requirements, if the Department receives a further request for Confidential Information or exempt material that has been clearly identified as such in writing by the Proposer.

3.6.2 Proposer’s Obligations to Defend its Claims

The Department is not obligated to agree with a Proposer’s claim of exemption or Confidential

Information. By submitting a Proposal, the Proposer agrees to defend its claim that each and every portion of its redactions is exempt from inspection and copying under Florida’s Public

Records Law. By submitting a Proposal, the Proposer agrees to protect, defend, and indemnify the Department for any and all claims arising from or relating to the Proposer’s determination that the redacted portions of its Proposal are Confidential Information or otherwise not subject to disclosure. The Department may use the counsel of its choosing to defend any such claims, and

Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees the Proposer shall promptly pay the Department’s invoices for legal services on a monthly basis for all costs and expenses, including legal fees, incurred in defending such claims.

3.7 Withdrawal and Modification of Proposals

The Proposer may modify its Proposer at any time prior to the submittal deadline by submitting a request to the Procurement Officer. A submitted Proposal may be withdrawn from consideration by the

Department if the Proposer submits a signed, written request for withdrawal to the Procurement Officer within seventy-two (72) hours after the deadline for Proposal submittal.

3.8 Reservations

In addition to any other rights reserved or afforded to the Department under this RFP and under applicable law, the Department reserves the right to:

1. Cancel this RFP at any time prior to the Department’s execution of the Contract, without incurring any cost obligations or liabilities.

2. Accept or reject any Proposal at any time.

3. Terminate evaluation of any Proposal at any time.

4. Modify any dates set or projected in this RFP.

5. Waive minor informalities or irregularities in Proposals.

3.9 Additional Information

The Department reserves the right to seek information from outside sources regarding the Proposers and Proposers’ offerings, capabilities, references, or performance, if the Department determines that such information is pertinent to the RFP. The Department may consider such information throughout the solicitation process including, but not limited to, when determining whether the award is ultimately the most advantageous to the State. This may include, but is not limited to, the Department engaging consultants, subject matter experts, and others to ensure that the Department has a complete understanding of the information provided by Proposers in response to the RFP.

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Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

SECTION 4. SELECTION METHODOLOGY

4.1 Review of Mandatory Responsiveness Requirements

The Procurement Officer will review each Proposal to determine whether the Proposal satisfies the requirements of Section 3.2, Mandatory Responsiveness Requirements. Only those Proposals that meet the mandatory responsiveness requirements will be evaluated. A Proposer who submits a Proposal that does not satisfy the requirements of Section 3.2, Mandatory Responsiveness Requirements, will be deemed non-responsive and will not be scored.

4.2 Evaluation Team

The Department’s evaluation team will consist of at least three (3) persons who collectively have experience and knowledge in the program area and service requirements for the contractual services sought under the RFP.

4.3 Evaluation Criteria

Each Proposal will be evaluated as set forth in the remainder of this Section 4.3, Evaluation Criteria.

The Procurement Officer will add a Proposer’s Technical Proposal Score (as described in 4.3.1) and

Price Proposal Score (as described in 4.3.2) to determine the total points awarded to each Proposer. The total number of points available to a Proposer for this RFP is 600 points. The total points awarded for each Proposer will be used to determine the final ranking of Proposers.

4.3.1 Evaluation of Technical Proposal

Each evaluation team member will independently evaluate each Proposer’s Volume 2: Technical

Proposal against the evaluation criteria set forth in Appendix D, Evaluator Score Sheet. The maximum score for each criterion is set forth in Appendix D, Evaluator Score Sheet. The maximum available points for the evaluation of the Technical Proposal is 300 points. The

Procurement Officer will add the score awarded by each evaluator for a Proposer and divide the total by the number of evaluators to determine a Proposer’s Technical Proposal Score.

4.3.2 Price Proposal

The Procurement Officer will score Attachment 3, Price Proposal. Price Proposals for the

Contract, including any renewal or extension, will be awarded a maximum of 300 points. The

Procurement Officer will tally the points awarded for each criterion in Attachment 3, Price

Proposal, to equal the total points awarded for each Proposer.

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Social Security Alternative Retirement Income Security Program for Other Personal Service (OPS) Employees

SECTION 5. AWARD

5.1 Basis of Award

If the Department awards a Contract resulting from this RFP, the Department will award the Contract to the responsible and responsive Proposer whose Proposal is deemed the most advantageous to the

State based upon the criteria set forth in the RFP, as determined by total points awarded (i.e., the highest scoring Proposer).