1-RFP 26-007 Town of Parker Risk Services.pdf

Date

March 13, 2026

Solicitation Number

RFP 26-007

Solicitation Title

Town of Parker Risk Services

Proposals will be received until 10:00 a.m. MST, April 3, 2026 Electronically through Euna Procurement:

https://parkeronline.bonfirehub.com/portal/?tab=openOpportunities

For additional information please contact

Charles Ellis, Chief Procurement Officer Email: cellis@parkeronline.org 303-805-3188

Documents included in this package • Cover Sheet

• Solicitation Instructions

• Scope of Work

• Proposal Submittal Requirements & Evaluation

Criteria

• Sample Services Agreement

The undersigned hereby affirms that 1) they are a duly authorized agent of the vendor, 2) they have read all terms and conditions and technical specifications which were made available in conjunction with this solicitation and fully understands and accepts them unless specific variations have been expressly listed in the offer, (3) that the offer is being submitted on behalf of the vendor in accordance with any terms and conditions set forth in this document, and (4) that the vendor will accept any awards made to it as a result of the offer submitted herein for a minimum of ninety (90) calendar days following the date of submission.

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Company Name: _______________________________________

Address: ______________________________________________ City/State/Zip: __________________________________________

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Email: ________________________________________________ Phone: ________________________________________________

Authorized Representative’s Signature: __________________________________________________ Date: _____________________

Printed Name: _________________________________________ Title: _________________________________________________

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Town of Parker Finance Department

20120 East Mainstreet Parker, Colorado 80138-7334

REQUEST FOR PROPOSAL RFP 26-007

Town of Parker Risk Services

Cover Sheet mailto:cellis@parkeronline.org

SUBMISSION OF OFFERS: The Town of Parker will accept electronic bid proposals submitted through the Bonfire/Euna Procurement bidding portal at: https://parkeronline.bonfirehub.com/portal/?tab=openOpportunities.

SCHEDULE OF ACTIVITIES: The following activities and dates tentatively outline the process to be used to solicit vendor responses and to evaluate each vendor’s proposal.

Distribute Request for Proposal March 13, 2026

Pre-Proposal Teams Meeting March 24, 2026 @ 2:00 p.m. MST

Deadline for Submitting Questions March 26, 2026 @ 10:00 a.m. MST

Proposal Submission Deadline April 3, 2026 @ 10:00 a.m. MST

PRE-PROPOSAL MEETING:

The Teams meeting is located at the address below.

https://teams.microsoft.com/meet/2401752261994?p=zK1lcR2cycDbCRJaYz

RESPONSE TO QUESTIONS:

QUESTIONS REGARDING THIS SOLICITATION SHOULD BE SUMBITTED ELECTRONICALLY VIA

THE EUNA PROCUREMENT PORTAL ONLY.

Questions regarding issues this Solicitation should be entered electronically ONLY via the https://parkeronline.bonfirehub.com/portal/?tab=openOpportunities Q&A system. The Vendor submitting the question(s) shall be responsible for ensuring that the question(s) is received by the date and time listed above in the schedule of activities for submitting the question(s).

Any official interpretation of this Solicitation must be made by a representative of the Town’s Procurement Division who is authorized to act on behalf of the Town. The Town shall not be responsible for interpretations offered by other employees of the Town

SOLICITATION DOCUMENTS: The Town of Parker officially distributes solicitation documents through the Rocky Mountain E-Purchasing System and Euna Procurement. Copies of solicitations obtained from any other source are not considered official copies. Only those vendors who obtain solicitation documents from the https://parkeronline.bonfirehub.com/portal/?tab=openOpportunities portal will be in receipt of officially posted and relevant information regarding solicitations issued by the Town of Parker.

Town of Parker Finance Department

20120 East Mainstreet Parker, Colorado 80138-7334

REQUEST FOR PROPOSAL RFP 26-007

Town of Parker Risk Services

Solicitation Instructions https://parkeronline.bonfirehub.com/portal/?tab=openOpportunities https://teams.microsoft.com/meet/2401752261994?p=zK1lcR2cycDbCRJaYz

1. PROJECT OVERVIEW

The Town of Parker, CO seeks qualified professional risk management consulting services to conduct a comprehensive feasibility study and develop strategic recommendations for transitioning from traditional third-party insurance coverage to a hybrid insurance program.

This engagement will encompass evaluation of multiple lines of coverage including automotive physical damage, property, auto liability, police officer individual liability, workers' compensation, and employers' liability, with current annual premium expenditures of approximately $1,425,807. The selected consultant will provide expert analysis, actuarial modeling, and strategic recommendations to redesign the Town of Parker, CO's risk program and financing structure, over a one- to five-year implementation period.

2. SCOPE OF SERVICES

2.1 Risk Assessment and Current State Analysis

The consultant shall conduct a thorough evaluation of the Town of Parker, CO's current risk profile and insurance program structure. This assessment shall include:

• Comprehensive review of existing insurance policies, coverage terms, limits, deductibles, and exclusions for all specified lines of coverage

• Analysis of historical claims data spanning a minimum of five years, including frequency, severity, and development patterns

• Evaluation of current risk management practices, loss control programs, and administrative processes

• Assessment of the Town of Parker, CO's financial capacity and cash flow considerations for self-insurance funding

• Review of current third-party administrator relationships and service delivery models

• Benchmarking analysis comparing the Town of Parker, CO's risk profile against similar municipal entities

2.2 Self-Insurance Feasibility Study

The consultant shall develop a detailed feasibility study examining the viability of alternate program options, to include self-insurance, across the specified coverage lines (with an option to add additional lines based on discovery). This study shall encompass:

Town of Parker Finance Department

20120 East Mainstreet Parker, Colorado 80138-7334

REQUEST FOR PROPOSAL RFP 26-007

Town of Parker Risk Services

Scope of Work

• Line-by-line evaluation determining optimal candidates for alternate structure or self-insurance versus continued third-party coverage

• Development of multiple program design scenarios, to include self-insurance, with varying retention levels and excess coverage attachment points

• Analysis of regulatory requirements and statutory obligations for self-insurance programs in Colorado

• Identification of administrative infrastructure requirements including claims handling, legal support, and financial reporting systems

• Assessment of potential cost savings and efficiency gains achievable through alternate structures, including self-insurance

2.3 Actuarial Modeling and Financial Projections

The consultant shall provide comprehensive actuarial analysis and financial modeling to support decision-making. Required actuarial services include:

• Development of confidence levels and probability distributions for expected losses under various retention scenarios

• Projection of ultimate incurred losses using recognized actuarial methodologies including paid and incurred development methods

• Calculation of required funding levels incorporating expected losses, incurred but not reported (IBNR) reserves, and administrative expenses

• Stress testing of alternate structure scenarios to include self-insurance under adverse loss development conditions

• Modeling of cash flow requirements and optimal funding patterns over the five-year transition period

• Analysis of aggregate stop-loss and specific excess coverage options to limit catastrophic exposure

2.4 Risk Tolerance Study

The consultant shall conduct a formal risk tolerance assessment and recommend alternate structures that are aligned with the Town of Parker CO's financial objectives and governance requirements:

• Facilitation of risk tolerance workshops with key stakeholders including Town leadership, finance staff, and department directors

• Development of risk appetite statements and tolerance thresholds for each coverage line

• Analysis of the Town of Parker, CO's capacity to absorb loss volatility without impacting essential services

• Assessment of organizational readiness for assuming more direct risk management responsibilities

• Documentation of risk tolerance parameters to guide retention level recommendations

2.5 Funding Strategy Development

The consultant shall design comprehensive funding strategies to support the redesigned program implementation:

• Development of initial capitalization requirements for self-insurance funds

• Design of internal premium allocation methodologies to distribute costs among Town departments

• Analysis of investment strategies for self-insurance reserves consistent with governmental investment restrictions

2.6 Hybrid Program Structure Design

The consultant shall develop recommendations for optimal combinations of self-insurance and commercial coverage:

• Identification of coverage lines best suited for full self-insurance, partial self-insurance, or continued commercial coverage

• Design of layered program structures incorporating primary self-insured retentions and excess insurance

• Development of manuscript policy forms and coverage agreements for self-insured exposures

• Coordination strategies for integrating self-insured and commercially insured programs

• Analysis of alternative risk transfer mechanisms including parametric coverage or insurance-linked securities

• Recommendations for transitioning between coverage structures over the implementation timeline

2.7 Administrative Cost Reduction Analysis

The consultant shall identify and quantify opportunities to reduce administrative expenses through the redesigned program:

• Evaluation of in-house versus outsourced claims administration models with associated cost projections

• Analysis of technology platforms for claims management, reporting, and analytics

• Assessment of opportunities to eliminate redundant administrative functions or broker commissions

• Development of streamlined workflows for claims processing and risk management activities

• Identification of economies of scale achievable through consolidated program administration

• Quantification of cost savings from reduced premium taxes, assessments, and carrier profit margins

2.8 Implementation Planning and Recommendations

The consultant shall provide detailed implementation guidance for the recommended risk financing strategy:

• Development of a phased implementation roadmap spanning the one-to-five-year transition period

• Identification of critical milestones, dependencies, and success factors for each implementation phase

• Creation of detailed transition plans for moving specific coverage lines to self-insurance

• Development of procurement strategies for excess insurance, third-party administration, and other required services

• Recommendations for organizational structure changes and staffing requirements

• Design of performance metrics and monitoring protocols to track program effectiveness

3. DELIVERABLES

The consultant shall provide the following deliverables to support the Town of Parker, CO's decision-making process:

3.1 Comprehensive Feasibility Report including all analysis, findings, and recommendations organized by coverage line

3.2 Actuarial Report with detailed loss projections, confidence levels, and funding requirements

3.3 Risk Tolerance Assessment documenting stakeholder input and recommended retention parameters

3.4 Financial Model in electronic format allowing the Town of Parker, CO to test various scenarios and assumptions

3.5 Implementation Roadmap with detailed timelines, action items, and resource requirements

3.6 Executive Summary presenting key findings and recommendations in a format suitable for Town Council presentation

3.7 Policy and Procedure Templates for self-insurance program administration

3.8 Monthly Progress Reports throughout the engagement period documenting project status and interim findings

4. PROJECT REQUIREMENTS AND CONSTRAINTS

4.1 The consultant must demonstrate expertise in governmental insurance, to include self-insurance programs and all applicable Colorado regulatory requirements

4.2 All actuarial work must be performed by credentialed actuaries with municipal risk experience

4.3 Recommendations must consider the Town of Parker, CO's governmental accounting standards and financial reporting obligations

4.5 The consultant must provide knowledge transfer to ensure the Town of Parker, CO can maintain and update financial models independently

4.6 All work products must be completed within six months of contract execution to support budget planning cycles

5. RESPONSE SUBMISSION & EVALUATION CRITERIA

A. GENERAL FORMAT: The respondent shall submit a response electronically via the Euna Procurement portal.

B. INITIAL REVIEW OF RESPONSES BY PROCUREMENT: Only a complete response with the listed required submittal documents and meeting minimum qualifications will be considered. Failure to meet the minimum qualifications and submit the required documents will result in a response being declared non-responsive.

C. PROPOSAL SUBMITTAL REQUIREMENTS & EVALUATION CRITERIA:

A Town evaluation committee comprised of Town staff will evaluate and score each response based on established criteria. Respondents shall not contact members of the evaluation committee. Respondent’s submission is evaluated and scored on a weighted system to determine the best value for the Town as follows:

1. Technical Approach and Methodology (35 points)

Evaluation will assess the comprehensiveness and soundness of the proposed approach for conducting the alternate design feasibility study for the Town of Parker, CO. Proposals will be evaluated on the clarity and thoroughness of the methodology for analyzing the Town's current risk profile across automotive physical damage, property, auto liability, police officer individual liability, workers' compensation, and employers' liability, etc. coverage lines. The evaluation will consider the proposed framework for assessing the Town of Parker, CO's $1,425,807 annual premium expenditure and developing alternative risk financing structures. The proposed methodology for conducting the risk tolerance study with Town leadership and developing hybrid program structures combining self-insurance and commercial coverage will be critically evaluated.

2. Firm Qualifications and Relevant Experience (25 points)

Assessment will focus on the firm's demonstrated experience in conducting feasibility studies and implementing self-insurance programs for Colorado municipalities of similar size and complexity to the Town of Parker, CO. Evaluation will consider the depth of experience in transitioning governmental entities from traditional third-party insurance to self-insurance programs, particularly for the specific lines of coverage identified. The firm's track record in developing funding strategies, conducting actuarial modeling for municipal clients, and designing hybrid insurance programs will be evaluated. Experience with Colorado governmental accounting standards, financial reporting obligations, and statutory requirements for municipal self-insurance programs will be weighted heavily. Demonstrated success in achieving administrative cost reductions and optimizing risk financing structures for comparable municipal clients will be assessed.

3. Project Team Qualifications (20 points)

Evaluation will examine the qualifications, credentials, and relevant experience of the proposed project team members who will directly serve the Town of Parker, CO. The presence of credentialed actuaries with specific municipal risk experience will be required and evaluated for depth of expertise in governmental entity loss projections and funding analysis. Team members' expertise in Colorado insurance regulations, municipal finance, and governmental risk management will be assessed. The evaluation will consider the team's collective experience in facilitating risk tolerance workshops with municipal stakeholders, developing implementation roadmaps for multi-year transitions, and providing knowledge transfer to municipal staff. The proposed team structure, roles, and time allocation for the Town of Parker, CO engagement will be evaluated for adequacy and efficiency.

4. Cost Proposal (15 points)

The total proposed cost for completing all required services will be evaluated for reasonableness and value relative to the comprehensive scope of work required by the Town of Parker, CO. Cost proposals will be assessed for clarity in fee structure, including breakdown of costs by major task area such as risk assessment, feasibility study, actuarial modeling, risk tolerance study, funding strategy development, and implementation planning. The evaluation will consider whether the proposed costs align with the level of effort required for analyzing multiple coverage lines and developing detailed financial models. Any proposed cost savings or value-added services offered at no additional charge to the Town of Parker, CO will be considered.

5. Implementation Timeline and Project Management (5 points)

Proposals will be evaluated on the feasibility and efficiency of the proposed timeline to complete all deliverables within the six-month requirement to support the Town of Parker, CO's budget planning cycles. The evaluation will assess the proposed project management approach, including milestone scheduling, progress reporting protocols, and communication plans with Town staff. The ability to deliver quarterly progress reports and maintain project momentum while minimizing disruption to Town of Parker, CO operations will be considered. The proposed approach for coordinating with multiple Town departments and stakeholders throughout the engagement will be evaluated for effectiveness and efficiency.

D. NEGOTIATIONS: The Town reserves the right to enter negotiations with one or more selected respondents.

E. BEST AND FINAL OFFER (BAFO): The Town reserves the right to request a BAFO from selected respondent(s).

The respondent(s) shall submit a final price and any added value. If more than one respondent reaches this level, the negotiated terms, references, BAFO and added values will be considered in the award.

F. AWARD: The Town reserves the right to award a contract(s) and purchase order(s) to the company that provides the best value in performance of this service. The Town will make the final determination on the best value and award.

Some material in this document was generated using KaizenIQ on January 27, 2026, and was reviewed for accuracy by a member of the Town’s Procurement Division before publication.