SOW_Haiti_-_Defined_ContributionBenefit_Plan_4-2019.pdf

Section 1

RFP Number

Schedule of Supplies and Services

SOW

Description of a Defined Benefit Plan

A Defined Benefit Retirement Plan with the option of a lifetime annuity, survivor annuity option, or lump sum payment. The preferred funding vehicle is a Deposit Administration Fund; however, the U.S.

Embassy of Haiti will consider other funding vehicles, which can provide the required benefit levels listed below.

A. Applicability: All LE Staff who participate in the plan at the time of vender 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. Pensionable Service: a participant’s completed years of participation in the plan. Participant’s may have purchased prior service credit for service prior to March 1, 1989. Any years or partial years of participation as a part-time employee shall be prorated on the scheduled workweek.

40 hours shall be considered a fulltime workweek. Pensionable Service shall not accrue during periods of leave without pay.

E. 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.

F. Currency: Contributions to the plan and payments at separation will be made in the U. S.

dollars.

G. Plan Manager/Administrator: The Plan Manager/Administer, 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 local law.

H. 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 servicing vender maintains separate accounts for each participant.

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

J. Withdrawals from the Plan: A Participant may not withdraw funds from the Plan while still employed and eligible to participate. No monies may be withdrawn from the Plan by the participant 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.

K. 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.

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

Disability Retirement.

M. 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. Normal

Retirement is upon reaching age 62 with at least 10 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.

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 sat is factory. 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 the attached Plan Rules, Rule VI.

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 Germany, then the offeror shall provide its 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, Work Statement.

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

SECTION 3 - EVALUATION FACTORS

• The decision will be made based on the lowest priced (see Section 1: 12. 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 of the RFP.

• The Government will determine offeror responsibility by analyzing whether the apparent successful offeror complies with the requirements, including:

• adequate financial resources;

• satisfactory record of integrity and business ethics ;

• necessary organization, experience and skills;

• license to offer “Direct Insurance” in Germany;

• experienced with the German 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 Germany locations;

• ability to provide information / documents in English / German;

• ability to provide employee access to insurance data via internet;

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