RFP_Haiti_Defined_Contribuition_Pension_Plan_-_Haiti.pdf

SECTION 1

RFP NUMBER PR8171325

SCHEDULE OF SUPPLIES/SERVICES

DESCRIPTION/SPECIFICATIONS/WORK STATEMENT

Description of Direct Insurance Defined Contribution Pension (DCP) Plan

Type of Plan: Direct Insurance Defined Contribution Pension (DCP) Plan with benefit levels as described in the following plan rules.

Objective – The main objective of this Plan is to provide retirement benefits and certain other benefits as hereinafter-defined employees of the Embassy of the United States of

America, Haiti. The services acquired thereunder are for the benefit of the program participants and not the U.S Government. The funds held by the pension program are held in trust for the benefit of the participants.

This is a service contract to administer Department assets of approximately $6 to $12 million dollars. A financial institution (bank, insurance company, Investment Company or financial service plan administrator) may service this contract. In this type of contract

Locally Employed Staff, (LE Staff) retirement plan contributions are considered assets of the USG until either separation from service, a PID or official change of the plan rules.

The service contract will be based on fees for administering Department assets, which may include any of the following:

Accounting fees

Banking fees

Investment fees

Annuity insurance purchase fees

Per participant

Annual fees

Definitions:

A. Applicability: All LE Staff who participate in the plan at the time of vendor servicing asset transfer who are (1) working on a full-time or part-time basis, temporary direct hire appointments, or personal services agreements/contracts and (2) paid under the terms of the Local Compensation Plan.

B. Creditable Service: Includes all verifiable service under a direct-hire appointment or personal services agreement/contract deemed creditable in the LCP in which the employee or employer contributed to the plan.

C. Pensionable Salary: the average of a participant’s annual basic salaries in the last five year(s) prior to his retirement or termination of employment. For participants who are employed on a part-time basis for all or any part of the last five years prior to retirement or termination of employment, the average of the applicable annual salaries for a full-time (40 hour workweek) at the participant’s grade and step will be used in computing benefits.

D. Contributions: The USG will contribute 3.0% of basic salary earned by the participant each pay period. Employee contribution is 7.0%. Contributions by both the

USG and the participant will cease when the participant separates from service. Basic salary is exclusive of allowances, bonuses, premium pay, one-time payments, or any other separate payment. The USG will not contribute unless the employee contributes to the plan. Additional cost for life insurance or survivor pension elections will be at the expense of the employee.

E. Currency: Contributions to the plan and payments at separation will be made in the local currency of Haiti.

F. Plan Manager: The Plan Manager, with oversight by the Embassy and in coordination with local legal counsel, will independently review the Plan’s policy or contract to ensure compliance with the Insurance Supervisory Act.

G. Pension Program Manager: The Pension Program Manager holds funds to provide retirement benefits for individuals participating in the pension program.

H. Trust Agreement: Does not collect and hold money of the United States, but rather holds funds to provide retirement benefits for individuals participating in the pension program. These funds are held in trust for the benefit of the participants.

I. Embassy Oversight: The Embassy, through the offices of the Minister Counselor for

Management, the Director of the Financial Management Center and the Supervisory

Human Resources Officer, ensures that the Plan Manager maintains separate accounts for each Participant and opens accounts for new Participants.

J. Investment Policy Statement: The Plan should include an investment policy statement that is in compliance with local law, if applicable.

K. Withdrawals from the Plan: A Participant may not withdraw funds from the Plan while still employed and eligible to participate. The participant may withdraw no monies from the Plan prior to final separation unless the Department of State authorizes such.

No loans or advances from the Plan are permitted. If local law requires loans or withdrawals from the plan Post must submit the local law to HR/OE to adjust this provision.

L. Retirement Age: 65 years of age or minimum retirement age to become eligible for benefits without tax penalty or a reduction in benefits based on local law.

M. Vesting: 10 years of credible service and eligible for Normal Retirement, Early

Retirement or Disability Retirement.

N. Benefit Paid at Separation from USG Service in Haiti:

a) Separation at or after Retirement Age: The benefit paid is the total amount of the employee’s account, consisting of both the employee’s contributions plus earnings thereon and the USG’s contributions plus earnings thereon less any administrative charges, subject to any vesting period required by the plan and c) below.

b) Separation for any reason before Retirement Age: The benefit paid is the amount in the employees’ account that is attributable to the employee and employer at its current value, subject to any vesting period required by the plan.

c) If at the time of separation the Participant owes a debt to the USG, the USG reserves the right to contact the Plan manager to withhold payment to the participant pending authorization from the employer. The USG shall be the sole judge as to whether a debt exists, and such decision shall be final and binding.

d) Form of Payment: The normal form of payment is a lump sum payment equal to 100% of the benefit entitlement. Subject to the approval of the selected insurance company, the contract may provide that each employee may choose to instead receive/purchase an annuity. The annuity amount will be determined by the insurance company. Insurance riders or options, at the sole expense of the employee, to provide life insurance, disability insurance, and a survivor annuity for a spouse and dependent children should be offered as an option.

O. Benefit Payment:

1. NORMAL RETIREMENT BENEFIT:

The annual Normal Retirement Benefit payable upon Normal Retirement Date shall be equal to 2 percent of the Pensionable Salary for each year of Pensionable Service, not to exceed 30 years of Pensionable Service.

2. EARLY RETIREMENT BENEFIT:

With the consent of the Policyholder, a Participant may retire earlier than his/her Normal

Retirement Date, provided he/she has attained age 55 and has completed 10 years of

Pensionable Service. The Early Retirement Benefit shall be based on Pensionable Salary and Pensionable Service at the time of early retirement. The Early Retirement Benefit will be actuarially reduced and will commence on the first day of the month following receipt of written notice to the Insurance Company that the Participant is to retire.

3. LATE RETIREMENT BENEFIT:

With the consent of the Policyholder, a Participant may retire later than his/her Normal

Retirement Date. The Late Retirement Benefit· shall be based on Pensionable Salary and Pensionable Service at Normal Retirement Date. The Late. Retirement Benefit will be actually increased and will commence on the first day of the month following receipt of written notice to the Insurance Company that the Participant is to retire, or after the maximum deferment period, whichever is earlier. No further Participant contributions, if any, will be required or permitted after Normal Retirement Date.

commence on the first day of the month following receipt of written notice to the

Insurance Company that the Participant is to retire, or after the maximum deferment period, whichever is earlier. No further Participant contributions, if any, will be required or permitted after Normal Retirement Date.

4. DISABILITY RETIREMENT BENEFIT :

With the consent of the Policyholder and as further outlined in Rule VII of the Plan Rules

(Ref E), a Participant who has completed 10 or more years of Pensionable Service and who shall have become, from some unavoidable cause, totally and permanently medically disabled, shall be entitled to an Early Retirement Benefit regardless of age and provided the evidence produced is satisfactory. The amount of the Disability

Retirement Benefit shall be equal to 2 percent of Pensionable Salary for each year of

Pensionable Service, not to exceed 30 years of Pensionable Service, based on

Pensionable Salary and Pensionable Service as of the date of disablement.

5. MAXIMUM RETIREMENT BENEFIT:

The Maximum Retirement Benefit payable for any type of retirement will be 60 percent of the Participant's Pensionable Salary.

6. BENEFITS AT TERMINATION OF SERVICE:

a. LESS THAN TEN YEARS OF CREDIBLE SERVICE

A Participant terminating his/her service with the Policyholder prior to completing 10 years of Pensionable Service will be entitled to a refund of his contributions plus interest.

b. AT LEAST TEN YEARS OF SERVICE

A Participant terminating his/her service with the Policyholder after completing 10 years of Pensionable Service, but before qualifying for Normal, Early or Disability Retirement will be entitled to a choice of either: (A) a refund of his/her contributions plus interest, or

(B) a deferred Retirement Benefit payable at Normal Retirement Date in the same manner as his/her Normal Retirement Benefit, and based on Pensionable Salary and

Pensionable Service as of the date of termination of service.

7. DEATH BENEFITS:

a. PRE-RETIREMENT DEATH BENEFIT:

In the event of the death of a Participant while still in the Service of the Policyholder, including a Participant who has voluntarily continued in service past his/her Normal

Retirement Date, his/her designated Beneficiary shall be entitled to a refund of the

Participant's contributions plus interest.

b. POST-RETIREMENT DEATH BENEFIT:

In the event of death of a Participant who has retired under the Plan, the death benefit, if any, shall be as provided in Rule VI.

P. Unclaimed Benefits: Amounts unclaimed by a Participant or heir within thirty years following separation shall revert back to the plan and be used to offset future USG contributions. In the case of claims to recurring payment amounts unclaimed by a

Participant or heir shall revert back to the plan after three years.

Q. Death in Service: Payment to beneficiaries or heirs will be either a lump sum of the eligible benefit, a life insurance, or survivor pension based on the employee election selected if applicable.

R. Administrative Charges: Reasonable and customary administrative fees and charges shall be deducted from the employer’s contributions, as appropriate, or from the fund itself where applicable.

SECTION 2 – PROPOSAL / SOLICITATION PROVISIONS

Instructions to Offeror. Each proposal must consist of the following:

1. List of clients over the past 10 years, demonstrating prior experience with relevant past performance information and references (provide dates of contracts, places of performance, value of contracts, contact names, telephone, fax numbers and email addresses). If the offeror has not performed comparable services in

The United States and Caribbean, then the offeror shall provide its other international experience. Offerors are advised that the past performance information requested above may be discussed with the client’s contact person.

In addition, the client’s contact person may be asked to comment on the offeror’s:

Quality of services provided under the contract;

Compliance with contract terms and conditions;

Effectiveness of management;

Willingness to cooperate with and assist the customer in routine matters, and when confronted by unexpected difficulties; and

Business integrity / business conduct.

The Government will use past performance information primarily to assess an offeror’s capability to meet the solicitation performance requirements, including the relevance and successful performance of the offeror’s work experience. The

Government may also use this data to evaluate the credibility of the offeror’s proposal.

2. Evidence that the offeror/quoter can provide the necessary personnel, equipment, and financial resources needed to perform the work;

3. The offeror shall address its plan to obtain all licenses and permits required by local law. If offeror already possesses the locally required licenses and permits, a copy shall be provided.

4. The offeror’s strategic plan for Direct Insurance Defined Contribution Plan to include but not limited to:

(a) A work plan taking into account all work elements in Section 1, Scope of

Work Statement.

(b) Plan of ensuring quality of services including but not limited to contract administration and oversight.

SECTION 3 - EVALUATION FACTORS

The Government intends to award a contract resulting from this solicitation to the lowest priced, technically acceptable offeror/quoter who is a responsible Contractor.

The decision will be made based on the lowest priced

(see Section 1: R Administrative Charges), technical acceptable, responsible offeror.

The offeror shall submit a complete proposal according to Sections 1 and 2.

The Government will determine offeror acceptability by assessing the offeror's compliance with the terms and conditions of this RFP.

The evaluation process shall include the following:

(a) COMPLIANCE REVIEW. The Government will perform an initial review of proposals/quotations received to determine compliance with the terms of the solicitation.

The Government may reject as unacceptable proposals/quotations that do not conform to the solicitation.

(b) TECHNICAL ACCEPTABILITY. Technical acceptability will include a review of past performance and experience as defined in Section 2, along with any technical information provided by the offeror with its proposal/quotation.

(c) PRICE EVALUATION. The lowest price will be determined by offered prices for administrative fees and charges. The Government reserves the right to reject proposals that are unreasonably low or high in price.

(d) RESPONSIBILITY DETERMINATION. The Government will determine

Contractor responsibility by analyzing whether the apparent successful offeror complies with the requirements of the scope of work requirements, including:

adequate financial resources or the ability to obtain them;

ability to comply with the required performance period, taking into consideration all existing commercial and governmental business commitments;

satisfactory record of integrity and business ethics;

necessary organization, experience, and skills or the ability to obtain them;

necessary equipment and facilities or the ability to obtain them; and otherwise qualified and eligible to receive an award under applicable laws and regulations.

license to offer “Direct Insurance” in Haiti;

experienced with the Haiti pension / retirement system;

return on investment in the past (period 10/20/30 years);

ability to provide roll-out plan for “Direct Insurance”, incl. educational information material and seminar offer for all U.S. Mission Haiti locations;

ability to provide information / documents in English / French;

ability to provide employee access to insurance data via internet;

designate POC (Point of Contact) for U.S. Embassy