5-00 - 26-50RFP Solicitation - FINAL.pdf

RFP No. 26-50RFP

CITY OF McKINNEY

REQUEST FOR PROPOSAL (RFP)

FOR

INSURANCE BROKER OF RECORD

City of McKinney exclusively uses Bonfire for the notification and dissemination of all solicitations. The receipt of solicitations through any other means may result in your receipt of incomplete specifications and/or addendums which could ultimately render your bid/proposal non-compliant. The City of McKinney accepts no responsibility for the receipt and/or notification of solicitations through any other means.

https://mckinneytexas.bonfirehub.com/

TABLE OF CONTENTS

LEGAL NOTICE

GENERAL CONDITIONS OF BIDDING AND TERMS OF CONTRACT

NOTICE TO RESPONDENTS

MINIMUM REQUIREMENTS

PROPOSAL FORM SIGNATURE PAGE

LEGAL NOTICE

City of McKinney, Texas

Advertisement for Proposals

The City of McKinney is accepting submittals for an Insurance Broker of Record.

Specifications for this project may be obtained on our electronic procurement portal, Bonfire, at https://mckinneytexas.bonfirehub.com/.

A Virtual pre-submittal conference will be conducted at 2 p.m., Tuesday, February 3, 2026.

The conference will be held at:

https://cityofmckinney.webex.com/cityofmckinney/j.php?MTID=m783a4d3d7fa64edcba1 50fd352fa17de

The opening of submittals will be broadcast via video conference meeting hosted inside City Hall at the address below. Each Respondent’s name will be read aloud shortly after the specified time for delivery. Respondents are strongly encouraged to attend virtually versus in-person by following the meeting details outlined in the bid specifications.

Submittal Deliveries: It is the Respondent’s obligation to timely submit their response to this Advertisement for Proposals. The City encourages all submittals be submitted electronically on the City’s electronic procurement portal. However, the City will also accept paper submittals, if received on or before the due date and time listed below. The City of McKinney cannot guarantee that the electronic procurement portal will be fully operational and capable of always receiving and processing submittals prior to the closing date and time. Similarly, the City of McKinney cannot guarantee, due to internal mail delivery procedures, that any submittal sent priority mail will be picked up from the post office by city mail employees and delivered to Procurement Services by the closing date and time. It is recommended that submittal deliveries be made either in person or via an alternate delivery method ensuring delivery to the physical address. Respondent shall bear full responsibility for ensuring the submittal is delivered to the specified location by the due date and time. Late submittals will be rejected as non-responsive.

All hard copy submittals must be clearly addressed to Procurement Services and include the submittal name and number on the outside of the envelope/package.

PROPOSAL NAME: Insurance Broker of Record

PROPOSAL NO.: 26-50RFP

DUE DATE/TIME: 2:00 p.m. (CT), Thursday, February 12, 2026

MAIL OR DELIVER TO: City of McKinney Procurement Services 401 E. Virginia Street McKinney, Texas 75069

The City reserves the right to reject any and all submittals and to waive any informality in submittals received, deemed to be in the best interest of the City. No officer or employee of the City of McKinney shall have a financial interest, direct or indirect, in any contract with the City of McKinney.

https://mckinneytexas.bonfirehub.com/ https://cityofmckinney.webex.com/cityofmckinney/j.php?MTID=m783a4d3d7fa64edcba150fd352fa17de

In accordance with the Americans with Disabilities Act, it is the policy of the City of McKinney to offer its public programs, services and meetings in a manner that is readily accessible to everyone, including individuals with disabilities. If you are a person with a disability and require information or materials in an appropriate alternative format; or if you require any other accommodation, please contact the ADA Coordinator at least 48 hours in advance of the event. contact-adacompliance@mckinneytexas.org.

TO APPEAR IN THE MCKINNEY COURIER GAZETTE IN THE FOLLOWING EDITIONS:

First Publication: Friday, January 23, 2026 Second Publication: Friday, January 30, 2026 mailto:contact-adacompliance@mckinneytexas.org

GENERAL CONDITIONS OF BIDDING AND TERMS OF CONTRACT

By execution of this document, the vendor accepts all general and special conditions of the contract as outlined below and, in the specifications, and plans.

I. PROPOSALS

A. PROPOSALS – The City encourages all responses to be submitted electronically on the City’s electronic procurement portal, Bonfire. However, the City will also accept paper proposals. All proposals, electronic and paper, must be received by the due date and time at the location specified in the legal notice. Paper proposals submitted to the office of the Procurement Services Manager shall be a minimum of one (1) original and one (1) electronic copy in PDF format on USB.

B. AUTHORIZED SIGNATURES – The proposal must be executed personally by the vendor or duly authorized partner of the partnership or duly authorized officer of the corporation. If executed by an agent, a power of attorney or other evidence of authority to act on behalf of the vendor shall accompany the proposal to become a valid offer.

C. LATE PROPOSALS – Proposals must be in the office of the City Purchasing Manager before or at the specified time and date proposals are due. Proposals received in the office of the Purchasing Manager after the submission deadline shall be rejected as non-responsive proposals.

D. WITHDRAWAL OF PROPOSALS PRIOR TO OPENING – A proposal may be withdrawn before the opening date by submitting a written request for its withdrawal to the City Purchasing Manager.

E. WITHDRAWAL OF PROPOSALS AFTER OPENING – A proposal may not be withdrawn or cancelled by the vendor for a period of ninety (90) days following the date and time designated for the receipt of proposals unless otherwise stated in the request for proposals and/or specifications.

F. PROPOSAL AMOUNTS – Proposals should show net prices, extensions and net total where applicable. In case of conflict between unit price and extension, the unit price will govern.

G. TAX EXEMPT STATUS – The City is exempt from federal excise tax and state sales tax. Unless specifications specifically indicate otherwise, the price proposal must be net exclusive of above-mentioned taxes and will be so construed.

Therefore, the proposal price shall not include taxes.

H. AWARDS – The City reserves the right to be the sole judge as to whether such items proposed will serve the purpose intended. The City reserves the right to accept or reject in part or in whole any proposal submitted, and to waive any technicalities or informalities for the best interest of the City. Award of contract shall be made to the most responsible, responsive offeror whose negotiated best and final offer is determined to be the best value offer, taking into consideration the relative importance of price and other factors set forth in the Request for Proposals.

I. SILENCE OF SPECIFICATIONS FOR COMPLETE UNITS – All materials, equipment and/or parts that will become a portion of the completed work including items not specifically stated herein but necessary to render the service(s) complete and operational per the specifications are to be included in the proposal price.

Vendor may be required to furnish evidence that the product or service, as proposed, will meet or exceed these requirements.

J. ADDENDA - Any interpretations, corrections or changes to the specifications and plans will be made by addenda no later than forty-eight (48) hours prior to proposal opening. Addenda will be distributed to all known recipients of proposal documents. Vendors shall acknowledge receipt of all addenda with submission of proposal.

K. GENERAL BID BOND/SURETY REQUIREMENTS – Failure to furnish bid bond/surety, if requested, will result in the proposal being declared non-responsive. Non-responsive proposals will not be considered for award.

L. GENERAL INSURANCE REQUIREMENTS – Failure to furnish Affidavit of Insurance or Certificate of Insurance if, insurance coverage is required in these specifications, will result in proposal being declared non-responsive. Non-responsive proposals will not be considered for award.

M. RESPONSIVENESS – A responsive proposal shall substantially conform to, or exceed, the minimum requirements of this Request for Proposals. Offers containing any clause that would limit contracting authority shall be considered non-responsive. Example of proposals that would limit contracting authority is one made contingent upon award of other offers currently under consideration.

N. RESPONSIBLE STANDING OF OFFEROR – To be considered for award, offeror must at least: have the ability to obtain adequate financial resources; be able to comply with required or proposed delivery/completion schedule; have a satisfactory record of performance; have a satisfactory record of integrity and ethics; and be otherwise qualified and eligible to receive award.

O. PROPRIETARY DATA – Offeror may, by written request, indicate as confidential any portion(s) of a proposal that contain proprietary information, including manufacturing and/or design processes exclusive to the vendor. The City of McKinney will protect from public disclosure such portions of a proposal unless directed otherwise by legal authority including existing Open Records Act requirements.

P. PUBLIC OPENING – Offerors are invited to join a video conference opening for acknowledgement of proposals. Proposals duly received will be publicly acknowledged at an official public opening in such a manner so as to avoid disclosure of the contents to competing offerors through the negotiation process.

After the official public opening, a period of not less than one week is necessary to evaluate proposals. The amount of time necessary for proposal evaluation may vary and is determined solely by the City. Following City Council action to award or reject, all proposals submitted are available for public review.

Q. WAIVER OF CLAIMS - Each Offeror by submission of a response to this RFP waives any claims it has or may have against the City and the City’s Representative(s) in this process and their respective employees, officers and elected officials, members, directors and partners, agents and representatives regarding the administration of the RFP process, the RFP evaluation, and the critique and selection of qualified Respondents. Submission of a proposal indicates the Offeror’s and Respondent’s acceptance of the evaluation technique set out in this Proposal. In this regard, Respondent acknowledges that the selection process and evaluations of proposals submitted constitute public information under Texas law and Respondent waives any claim it has or may have regarding any information contained in or derived from such evaluations.

II. PURCHASE ORDERS AND PAYMENT

A. PURCHASE ORDERS – A purchase order(s) shall be generated by the City

Purchasing Manager to the successful vendor. The purchase order number must appear on all itemized invoices and packing slips. The City will not be held responsible for any work orders placed and/or performed without a valid current purchase order number. Payment will be made for all services rendered and accepted by the contract administrator for which a valid invoice has been received.

B. INVOICES – All invoices shall reference the Purchase Order number. Invoices shall provide a detailed description for each item invoiced. Payment will be made under terms of net thirty (30) days unless otherwise agreed upon by seller and the procurement services.

C. FUNDING – The City of McKinney is operated and funded on an October 1 to September 30 basis; accordingly, the City reserves the right to terminate, without liability to the City, any contract for which funding is not available.

D. PAYMENT – Any payment to the Insurance Broker of Record related to the services provided by the Insurance Broker of Record in conjunction with the performance of services related to this RFP and the Agreement shall be limited solely to the payments made to the Insurance Broker of Record by the City.

The payments for services made by the City under this Agreement shall be in lieu of any policy commissions for insurance marketing or otherwise. Commissions shall not be paid to Broker of Record for contract services unless specifically required based on underwriting guidelines and/or regulations and upon advance written consent of the City. Such commissions and the pertinent underwriting guidelines and/or regulations shall be disclosed to the City, and all commissions shall be credited against the annual service fee paid by City to the Insurance Broker of Record.

III. CONTRACT

A. CONTRACT DEFINITION – The General Conditions of Bidding and Terms of Contract, Specifications, Proposal, Addenda, Negotiated Changes and any other documents made a part of this proposal shall constitute the complete proposal.

This proposal, when accepted by the City, shall constitute a contract equally binding between the successful offeror and the City of McKinney.

B. CONTRACT AGREEMENT – Once a contract is awarded, agreed upon prices shall remain firm for the term of the contract. Contract shall commence on date of award and continue until all terms and conditions are satisfied and complete.

C. CONTRACT TERMINATION – The City reserves the right to cancel and terminate this contract, without cause, upon thirty (30) days written notice to the other party.

D. CHANGE ORDER – No different or additional terms will become part of this contract with the exception of a change order. No oral statement of any person shall modify or otherwise change, or affect the terms, conditions or specifications stated in the resulting contract. All change orders to the contract will be made in writing and at the discretion and approval of the City. No change order will be binding unless signed by an authorized representative of the City and the vendor.

E. NEGOTIATION – The City of McKinney may elect to negotiate a contract with the selected offeror(s). Any and all verbal communications and/or commitments made during the negotiation process that are deemed agreeable to both the City and selected offeror shall be submitted in written form and made part of the resulting contract. Although the City of McKinney reserves the right to negotiate, contract award may be made on the basis of initial proposals received without discussions.

Therefore, initial proposals will contain the offeror’s best terms.

F. PRICE REDETERMINATION – A price redetermination may be considered by the City of McKinney only at the anniversary dates of multiple year contracts. Request for price redetermination shall be in written form and include written documentation from third party source of increase, substantiating cost increase. City of McKinney reserves the right to approve or disapprove any request as it deems to be in the best interest of the City. A vendor’s history of honoring contracts at the awarded price will be an important consideration in evaluating lowest and best value proposal. Any adjustment in pricing must be presented to the City of McKinney at least ninety (90) days prior to the expiration or renewal of the current agreement.

G. TERMINATION FOR DEFAULT – The City of McKinney reserves the right to enforce the performance of this contract in any manner prescribed by law or deemed to be in the best interest of the City in the event of breach or default of this contract. The City reserves the right to terminate the contract immediately in the event the vendor fails to perform to the terms of specifications or fails to comply with the terms of this contract. Breach of contract or default authorizes the City to award to another vendor, purchase elsewhere and charge the full increase in cost and handling to the defaulting party.

H. TRANSITIONAL PERIOD – Upon normal completion of this contract, not to include termination for default, and in the event that no new contract has been awarded by the original expiration date of the existing contract including any extension thereof, it shall be incumbent upon the Vendor to continue the contract under the same terms and conditions until a new contract can be completely operational. At no time shall this transition period extend more than ninety (90) days beyond the original expiration date of the existing contract and any extension thereof.

I. INVALID, ILLEGAL, OR UNENFORCEABLE PROVISIONS – In case any one or more of the provisions contained in the Contract shall for any reason be held to be invalid, illegal, or unenforceable in any respect, such invalidity, illegality, or unenforceability shall not affect any other provision thereof and this contract shall be considered as if such invalid, illegal, or unenforceable provision had never been contained herein.

J. INJURIES OR DAMAGES RESULTING FROM NEGLIGENCE – Successful vendor shall defend, indemnify and save harmless the City of McKinney and all its officers, agents and employees from all suits, actions, or other claims of any character, name and description brought for or on account of any injuries or damages received or sustained by any person, persons, or property on account of any negligent act or fault of the successful vendor, or of any agent, employee, subcontractor or supplier in the execution of, or performance under, any contract which may result from award. Successful vendor shall pay any judgment with cost which may be obtained against the City of McKinney growing out of such injury or damages.

K. INTEREST BY PUBLIC OFFICIALS – No public official shall have interest in this contract, in accordance with Texas local government code.

L. DISCLOSURE OF CERTAIN RELATIONSHIPS – Chapter 176 of the Texas Local Government Code requires that any vendor or person considering doing business with the City of McKinney disclose in the Questionnaire Form CIQ, the vendor or person’s affiliation or business relationship that may cause a conflict of interest with the City of McKinney. By law, this questionnaire must be filed with the City Secretary, City of McKinney, PO Box 517, McKinney, Texas 75070, not later than the seventh business day after the date the person becomes aware of facts that require the statement to be filed. Go to www.mckinneytexas.org to view Section 176, Local Government Code and for Questionnaire CIQ. A person commits a Class C misdemeanor offense if the person violates Section 176.006, Local Government Code. By submitting a response to this request, bidder represents that it is in compliance with the requirements of Chapter 176 of the Texas Local Government Code.

M. CERTIFICATE OF INTERESTED PARTIES (FORM 1295) – Required for by Awarded Vendor(s) only.

In 2015, the Texas Legislature adopted House Bill 1295, which added section

2252.908 of the Government Code. The law states that a governmental entity or state agency may not enter into certain contracts with a business entity unless the business entity submits a disclosure of interested parties to the governmental entity or state agency at the time the business entity submits the signed contract to the governmental entity or state agency. The disclosure requirement applies to a contract entered on or after January 1, 2016.

Filing Process:

The commission has made available on its website a new filing application that must be used to file Form 1295. A business entity must use the application to enter the required information on Form 1295 and print a copy of the completed form, which will include a certification of filing that will contain a unique certification number. An authorized agent of the business entity must sign the printed copy of http://www.mckinneytexas.org/ the form. The completed Form 1295 with the certification of filing must be filed with the City of McKinney.

The City of McKinney must notify the commission, using the commission’s filing application, of the receipt of the filed Form 1295 with the certification of filing not later than the 30th day after the date the contract binds all parties to the contract.

The commission will post the completed Form 1295 to its website within seven business days after receiving notice from the City of McKinney.

Form Availability:

Certificate of Interested Parties Form is available from the Texas Ethics Commission website at the following address:

https://www.ethics.state.tx.us/filinginfo/1295/

For questions regarding and assistance in filling out this form, please contact the Texas Ethics Commission at 512-463-5800.

N. ETHICAL BEHAVIOR - The City of McKinney requires ethical behavior and compliance with the law from all individuals and companies with whom it does business.

O. WARRANTY – The successful vendor shall warrant that all materials utilized in the performance of this contract shall conform to the proposed specifications and/or all warranties as stated in the Uniform Commercial Code and be free from all defects in material, workmanship and title.

P. UNIFORM COMMERCIAL CODE – The successful vendor and the City of McKinney agree that both parties have all rights, duties, and remedies available as stated in the Uniform Commercial Code.

Q. VENUE –- This agreement will be governed and construed according to the laws of the State of Texas. This agreement is performable in the County of Collin, Texas.

R. SALE, ASSIGNMENT, OR TRANSFER OF CONTRACT – The successful vendor shall not sell, assign, transfer or convey this contract, in whole or in part, without the prior written consent of the City of McKinney.

S. SILENCE OF SPECIFICATIONS – The apparent silence of specifications as to any detailed description concerning any point, shall be regarded as meaning that only the best commercial practices are to prevail. All interpretations of these specifications shall be made on the basis of this statement.

T. ANTI-BOYCOTTING & ANTI-DISCRIMINATION –

Israel:

In accordance with Chapter 2271, Texas Government Code, a Texas governmental entity may not enter into a contract with a company for the provision of goods or services unless the contract contains a written verification from the company that it: (a) does not boycott Israel; and (b) will not boycott Israel during the term of the contract.

https://www.ethics.state.tx.us/filinginfo/1295/

Chapter 2271 does not apply to (1) a company that is a sole proprietorship; (2) a company that has fewer than ten (10) full-time employees; or (3) a contract that has a value of less than One Hundred Thousand Dollars ($100,000.00). Unless the company is not subject to Chapter 2271 for the reasons stated herein, the signatory executing this contract on behalf of the company verifies by its signature on this Contract that the company does not boycott Israel and will not boycott Israel during the term of this contract.

Energy Companies:

In accordance with Chapter 2276, Texas Government Code, a Texas governmental entity may not enter into a contract with a company for the provision of goods or services unless the contract contains a written verification from the company that it: (a) does not boycott energy companies; and (b) will not boycott energy companies during the term of the contract.

Chapter 2276 does not apply to (1) a company that has fewer than ten (10) full-time employees; and (2) a contract that has a value of less than One Hundred Thousand Dollars ($100,000.00). Unless the company is not subject to Chapter 2274 for the reasons stated herein, the signatory executing this contract on behalf of the company verifies by its signature on this Contract that the company does not boycott energy companies and will not boycott energy companies during the term of this contract.

Firearm Entity or Firearm Trade Association:

In accordance with Chapter 2274, Texas Government Code, a Texas governmental entity may not enter into a contract with a company for the provision of goods or services unless the contract contains a written verification from the company that it: (a) does not have a practice, policy, guidance, or directive that discriminates against a firearm entity or firearm trade association; and (b) will not discriminate during the term of the contract against a firearm entity or firearm trade association.

Chapter 2274 does not apply to (1) a company that has fewer than ten (10) full-time employees; and (2) a contract that has a value of less than One Hundred Thousand Dollars ($100,000.00). In addition, this provision does not apply to: (1) a contract with a sole-source provider; or (2) a contract for which the governmental entity did not receive any bids from a company that is able to provide the required written verification. Unless the company is not subject to Chapter 2274 for the reasons stated herein, the signatory executing this contract on behalf of the company verifies by its signature on this Contract that the company does not discriminate against energy companies and will not boycott any firearm entity or firearm trade association and will not discriminate against any firearm entity or firearm trade association during the term of this contract.

NOTICE TO RESPONDENTS

I. Request for Proposal Notice:

RESPONDENTS ARE CAUTIONED TO READ THE INFORMATION CONTAINED

IN THIS RFP CAREFULLY AND TO SUBMIT A COMPLETE RESPONSE TO ALL

REQUIREMENTS AND QUESTIONS AS DIRECTED.

II. Pre-submittal Conference:

A virtual pre-submittal conference will be held via Zoom at the date and time listed in Section XI of the Notice to Respondents.

https://cityofmckinney.webex.com/cityofmckinney/j.php?MTID=m783a4d3d7fa64edc ba150fd352fa17de

The purpose of this conference is to discuss with potential Respondents the services to be provided and for potential Respondents to ask questions arising from their review of the Request for Proposals. This conference is for informational purposes only. Any answers provided will not be official until verified in writing by the issuance of an addendum.

III. Proposal Format:

Proposals must comply with the submittal requirements set out in the Minimum Requirements Section of this RFP.

IV. Submittal Deadline:

The City will accept proposals to this RFP until the date and time listed in Section XI of the Notice to Respondents, after which time all responses timely received will be publicly opened and the names of the Respondents read aloud. Proposals received after the submittal deadline will not be considered.

V. Place for Submission:

Proposals are encouraged to be submitted electronically on the City’s electronic procurement portal, Bonfire. First time users should consider submitting their proposal early to ensure receipt. Hard copy submissions will able be accepted at the City of McKinney, Procurement Services by mail or hand delivery and shall be marked as follows:

Procurement Services Manager

401 E. Virginia Street McKinney, TX 75069

It is the responsibility of each Respondent to ensure responses are submitted in a timely manner. Th City is not responsible for delays in mail delivery or failure of the couriers to deliver responses prior to the expiration of the submission deadline. The City shall not be obligated to reimburse any expenses incurred by any Respondents in preparing their response.

The City cannot guarantee, due to internal mail delivery procedures that any proposal sent priority mail will be picked up from the post office by City employees and delivered to Procurement Services by the required closing date and time. It is recommended that proposal deliveries be made either in person or via an alternate delivery method ensuring delivery to the physical address. Respondent shall bear full responsibility for ensuring proposal is delivered to the specified location by due date and time.

VI. Inquiries and Interpretations:

All questions regarding the meaning or intent of these documents shall be submitted via the “Public Q&A” tab related to the project, on the City’s electronic procurement portal prior to the date and time listed in Section XI of the Notice to Respondents. The City of McKinney, as it determines necessary for interpretation or clarification, will respond to such questions through written addenda. Formal written addenda will be published and made available through the City’s electronic procurement portal. No other interpretations or clarifications shall have legal effect.

VII. Public Information:

The City considers all information, documentation, and other materials requested to be submitted in response to this solicitation to be of a non-confidential and / or non-proprietary nature and therefore shall be subject to public disclosure under the Texas Public Information Act (Texas Government Code, Chapter 552.001, et seq.) after a contract is awarded.

Respondents are hereby notified that the City strictly adheres to all statutes, court decisions, and opinions of the Texas Attorney General with respect to disclosure of public information.

VIII. Respondent’s Acceptance of Evaluation Methodology:

WAIVER OF CLAIMS: Each Respondent by submission of a response to this RFP waives any claims it has or may have against the City and the City’s Representative(s) in this process and their respective employees, officers and elected officials, members, directors and partners, agents and representatives regarding the administration of the RFP process, the RFP evaluation, and the critique and selection of qualified Respondents. Submission of a qualifications statement indicates the Offeror’s and Respondent’s acceptance of the evaluation technique set out in this Request. In this regard, Respondent acknowledges that the selection process and evaluations of responses submitted constitute public information under Texas law and Respondent waives any claim it has or may have regarding any information contained in or derived from such evaluations.

IX. Respondent’s Commitment:

Respondent understands and agrees that the City has the ability to terminate its selection process at any time, and to reject any and all responses, or any and all submittals, and that the City has made no representation, written or oral, that it will award a contract for these project(s). Furthermore, Respondent recognizes and understands that any cost incurred by the Respondent which arises from

Respondent’s submittal of a response to this RFP, or any subsequent submittal to the City’s future RFP, if applicable, shall be the sole responsibility of Respondent.

X. Respondent’s Eligibility:

Any firms obligated by law to register with the Texas Secretary of State must include their filing number with their proposal. Responses from entities that are required to register and maintain an active right to transact business in Texas but fail to provide a filing number or lack an active right to transact business, may be deemed non-responsive and subsequently rejected.

XI. Key Events Schedule:

The tentative timeline established by the City for its selection process is:

Issue RFP: Friday, January 23, 2026 Pre-submittal Conference: Tuesday, February 3, 2026, 2:00 PM CST Interpretation Deadline: Thursday, February 5, 2026, 2:00 PM CST RFP Deadline: Thursday, February 12, 2026, 2:00 PM CST

This timeline is subject to change by the City.

XII. Insurance Requirements

The successful Respondent will be required to obtain the following insurance:

1. Before commencing work, the vendor shall, at its own expense, procure, pay for and maintain the following insurance written by companies approved by the state of Texas and acceptable to the City of McKinney. The vendor shall furnish to the City of McKinney Procurement Services Manager certificates of insurance executed by the insurer or its authorized agent stating coverages, limits, expiration dates and compliance with all applicable required provisions. Certificates shall reference the project/contract number and be addressed as follows:

INSURANCE BROKER OF RECORD

City of McKinney c/o Procurement Services P O Box 517 McKinney, TX 75070 Or Email to: procurement@mckinneytexas.org

a. Commercial General Liability insurance, including, but not limited to

Premises/Operations, Personal & Advertising Injury, Products/Completed Operations, Independent Contractors and Contractual Liability, with minimum limits of $1,000,000 per-occurrence and $2,000,000 general aggregate.

Coverage must be written on an occurrence form. The General Aggregate shall apply on a per project basis.

b. Workers’ Compensation insurance with Texas statutory limits; and Employer’s Liability coverage with minimum limits for bodily injury: a) by accident, $500,000 each accident, b) by disease, $500,000 per employee with a per policy aggregate of $500,000.

c. Business Automobile Liability insurance covering owned, hired and non-owned vehicles, with a minimum combined single limit of $1,000,000.

d. Professional Liability Insurance to provide coverage against any claim which the vendor becomes legally obligated to pay as damages arising out of the performance of professional services caused by error, omission or negligent act with minimum limits of $1,000,000 each occurrence and $2,000,000 aggregate.

2. With reference to the foregoing required insurance, the vendor agrees to the following:

a. A waiver of subrogation in favor of City of McKinney, its officials, employees, and officers shall be contained in the Workers’ Compensation insurance policy.

b. The City of McKinney, its officials, employees and officers shall be covered as additional insureds on the Commercial General Liability and Business Automobile Liability policies.

c. Policies of insurance shall not be cancelled, non-renewed, terminated, or materially changed unless and until thirty (30) days notice has been given to City of McKinney.

3. Insurance limits can be met with a combination of primary and excess/umbrella coverage.

4. All insurance shall be purchased from insurance companies that meet a financial rating of A-VI or better as assigned by A.M. Best Company or equivalent.

5. The vendor shall require any contractors, sub-contractors, and other persons doing business with or for the vendor related to the work to maintain at least the insurance as required, or their liability shall be covered by the vendor.

MINIMUM REQUIREMENTS

I. INTRODUCTION

The City seeks proposals from qualified firms to serve as the sole Insurance Broker of Record (Broker) to assist the City in professional risk management, insurance consulting, and non-health-related Commercial Insurance marketing and related services as needed to obtain proposals and coverages for excess or surplus insurance that provides necessary coverage and adequate limits of coverage in structuring layered excess coverages in all areas of risk requiring special consideration, including public official liability, police professional liability, and airport liability.

The selected Proposer will be the Insurance Broker of Record for the City of McKinney, for facilities leased, owned, and managed by the City of McKinney, and select associate boards, commissions, and related authorities.

The purpose of the Insurance Broker of Record is to assist in professional risk management, insurance consulting, and non-health-related insurance marketing and related services. The scope of work requires the contractor to provide the following services that include, but are not limited to:

a. Basic insurance marketing services and procurement of all property and other commercial insurance (non-health related) and bonds for excess or surplus insurance that provides necessary coverage and adequate limits of coverage in structuring layered excess coverages in all areas of risk requiring special consideration;

b. Property and casualty insurance and contract consulting services;

c. Advising the City on risk management related issues;

d. Assistance in insurance claim recoveries; and

e. Completion of designated insurance replacement cost appraisals.

This will be a three-year (3) contract with two (2) one-year options to renew, for a maximum five (5) year term.

II. PAYMENT

Any payment to the Insurance Broker of Record related to the services provided by the Insurance Broker of Record in conjunction with the performance of services related to this RFP and the Agreement shall be limited solely to the payments made to the Insurance Broker of Record by the City.

The payments for services made by the City under this Agreement shall be in lieu of any policy commissions for insurance marketing or otherwise. Commissions shall not be paid to Broker of Record for contract services unless specifically required based on underwriting guidelines and/or regulations and upon advance written consent of the City.

Such commissions and the pertinent underwriting guidelines and/or regulations shall be disclosed to the City, and all commissions shall be credited against the annual service fee paid by City to the Insurance Broker of Record.

III. MINIMUM QUALIFICATIONS/ELIGIBILITY REQUIREMENTS

The Proposer shall:

a. Have extensive, proven experience in providing property and casualty insurance and contract consulting services for public entities.

b. Routinely provide expert counsel in various insurance matters, risk assessments, and risk financing alternative disciplines.

c. Have a direct relationship with domestic and international insurance markets / Lloyds of London and Bermuda.

d. Have extensive experience with insurance recovery of catastrophic losses and compliance with Federal Emergency Management Agency (FEMA) insurance obligations.

e. Have significant experience providing risk management and insurance programs for national political conventions, national/international sporting events, and other special events.

f. The primary and secondary account representatives are required to have fifteen (15) years or more of experience.

g. Be licensed to broker insurance in the State of Texas, and primary and secondary account representatives shall operate out of the State of Texas.

h. NOTE: This Request for Proposals (RFP) is not an authorization to approach insurance markets at this time. The City specifically requests that the Proposer not contact or solicit insurance companies or attempt to reserve insurance markets to respond to this RFP. Failure to comply with this request may be grounds for disqualification of the proposal.

IV. SCOPE OF WORK

1. Basic Services Requirements

The Contractor is required to perform the following basic services related to insurance consulting, insurance marketing, and other additional services as outlined below. Insurance consulting services to be performed by the Contractor include, but are not limited to

a. Contractor shall provide property and casualty insurance and contract consulting services.

b. Contractor shall review and assess the City’s risk and loss exposures.

c. Contractor shall provide information and perform research requested by City’s Administration, Human Resources, or the Legal Department.

d. Contractor shall develop professional insurance recommendations.

e. Contractor shall review, analyze and interpret insurance policies and bonds to update and enhance coverage.

f. Contractor shall review insurance requirements and indemnity clauses in major contracts and Agreements.

g. Contractor shall review, analyze and update insurance requirements as requested.

h. Contractor shall recommend alternatives to commercial insurance as necessary, including but not limited to self-insurance programs, capital markets, and/or alternative risk financing methods, as beneficial to the City.

i. Contractor shall advise the City of requirements to comply with FEMA insurance obligations.

j. Contractor shall advise the City of new and amended legislation affecting the City’s commercial insurance programs.

k. Contractor shall make recommendations for implementation of legislation affecting the City’s business practices.

l. Contractor shall advise the City in the establishment of standards and usage of rating agencies for evaluation of carrier capabilities.

m. Contractor shall have a primary and secondary account representative.

n. Contractor’s primary account representative(s) shall attend meetings and Council sessions when requested and/or required.

o. Contractor shall provide claims consulting services to support the City’s insurance recoveries and be available to attend insurance claim meetings.

p. One hundred (100) loss control hours.

2. Insurance Marketing Services include, but are not limited to:

a. Contractor shall research and assist in defining, developing, and organizing underwriting criteria necessary to complete a comprehensive market submission package that accurately describes the City as an insurable risk to procure coverage.

b. Contractor shall develop natural catastrophe analytics modeling.

c. Contractor shall utilize analytics and other appropriate tools to determine the appropriate limits and retentions.

d. Contractor shall evaluate all factors affecting property/casualty insurance procurements, including flood zones, probable maximum loss, the concentration of risk, catastrophic analytics modeling, surveys, and market trend analysis.

e. Contractor shall utilize natural catastrophe analytics modeling in the negotiation of property insurance.

f. Contractor shall review all data placed into market submission packages for accuracy and anomalies.

g. Contractor shall avail all Broker resources to maintain all insurance policies and bonds without lapse in coverage.

h. Contractor shall maintain a direct relationship with domestic and international insurance markets / Lloyd’s of London and Bermuda.

i. Contractor shall develop broad specially tailored manuscript policy forms, when appropriate.

j. Contractor shall solicit and negotiate underwriting quotations competitively for recommended excess or surplus insurance coverages that provide necessary coverage and adequate limits of coverage in structuring layered excess coverages in all areas of risk requiring special consideration, including public official liability, police professional liability, and airport liability from various qualified insurance markets on behalf of the City and other associated entities.

k. During the term of this contract, the contractor may be required to solicit and negotiate underwriting quotations for additional layers of excess coverages, such as Fleet Catastrophe Insurance and National Flood Insurance Program Insurance.

l. Contractor shall provide periodic property insurance marketing status reports.

m. Contractor shall facilitate underwriting quotes from Risk Pools, upon request or as necessary.

n. Contractor shall provide the City a summary of market solicitations, comparison analysis, and evaluation of underwriter response.

o. Contractor shall service the City’s commercial insurance policies and bonds, including the issuance of binders, processing of changes, endorsements, premium billings, and carrier remittance.

p. Contractor shall provide monthly billing statements.

3. Additional Services

The City may require the Contractor to perform the following additional services:

a. Audit property/casualty claim actions to evaluate claim practices, procedures, and timeliness of investigations, inspections, and claim payments.

b. Conduct workers’ compensation claim audits, and review practices and procedures for compliance with applicable laws and program guidelines.

c. Review certificates of insurance to verify compliance with contractual indemnification requirements. Respond to the City within one business day regarding coverage deficiencies.

4. Meetings

The Contractor(s) must participate in meetings, general discussions, and consultations throughout the period of engagement at no additional cost to the City.

5. Attachments

The following documents are provided as aids in responding to this solicitation:

• Appendix I Schedule of Insurance

• Appendix II Insurance Loss History

• Appendix Ill Insured Property Schedule Summary

V. PROPOSAL REQUIREMENTS

The City encourages all responses to be submitted electronically on the City’s electronic procurement portal, Bonfire. However, the City will also accept paper proposals. All proposals, electronic and paper, must be received by the due date and time at the location specified in the Notice to Respondents. All paper proposals must be submitted with one

(1) original and one (1) electronic copy of all response documents on USB in pdf format.

The proposal shall be divided into tabbed and/or marked sections and shall include, but not limited to, information for the following items:

A. Company Profile

• Brief summary of the firm’s background history

• Proven records that your firm is well stable/established

• Number of years in business

• Total number of employees

• Relevant certifications and/or partnerships

• Narrative of how your proposal is optimum for the City

• Any legal action filed during the past 5 years

• Number of public entity clients.

• Provide 3 references of similar size and project scope to the City

• Provide the previous 3-5 years of financial background

• Total commercial lines’ premium volume and average size for public entity clients.

• The largest single-account premium.

• The number of similar-sized accounts placed through international markets/Lloyd’s of London and Bermuda.

• Liability, terrorism liability, and cyber liability provided through the DFW area account office and any proposed affiliates.

• Describe expertise in emergency preparedness, aviation liability, and pollution.

B. Proposed Plan of Action and Quality of Proposed Services

• Describe the proposed operational strategy for marketing commercial insurance coverage and managing the City's commercial insurance program throughout the term of the contract.

o Address areas such as marketing risk and catastrophic claims management.

o Address access to international markets/Lloyd’s of London and Bermuda.

o Address underwriting market philosophy.

• Explain the firm/organization’s process for the development of natural catastrophe analytics modeling.

• Describe how natural catastrophe modeling is used in property insurance negotiations.

• Explain the benefits of natural catastrophe modeling.

• Describe the frequency for updating the models.

• Provide a sample model produced by your firm and explain how it would be used in discussions with the City, carriers, and underwriters.

• Describe how appropriate limits and retentions would be determined using analytics and other appropriate tools.

• Describe your approach towards limits reinstatement and renewal marketing after a catastrophic property loss.

• Describe the commercial insurance marketing strategies for the City and any potential insurance program participants, including any intermediaries.

• Describe your understanding and the approach to the following areas:

o Insurance consulting services;

o Risk Analysis;

o Certificates of Insurance Review;

o Insurance legislation analysis; and o Formation of professional insurance recommendations.

C. Qualifications and Specialized Experience of Key Personnel

• Provide Resumes of the primary and secondary account representatives that will be assigned to the City of McKinney’s account.

• Provide Licenses and Certifications of the Team members.

• Specify the years of experience the Team members have in commercial insurance and broker client servicing.

• Specify the years of experience the Team members have marketing commercial property and casualty insurance.

• Specify the years of experience providing contract consulting services for large public entities.

• Indicate the role of Team members in any aspect of the scope described within this RFP, and detail relevant experience in comparable role and other public entity clients.

• An organization chart depicting the name and role of each proposed assigned account team member.

• Describe the specialized experience of assigned account team members relevant to the proposed role(s). For these team members, please provide the following:

• A list of public entity clients with similar underwriting volume;

• The number of clients assigned to account team members that will be servicing the City's account;

• The number of years of direct experience with international markets/Lloyd's of

London and Bermuda;

• Details regarding direct experience with the settlement of claims including recovery of catastrophic losses; and

• Experience with compliance with FEMA insurance obtaining and maintaining regulations.

• Describe the plan for continuity of day-to-day service of the City's account when assigned account team members are unavailable.

D. Cost Proposal

• Proposer shall complete and submit Exhibit “A” - Cost Proposal. THE COST PROPOSAL MUST BE SUBMITTED IN A SEPARATE SEALED ENVELOPE that is clearly marked with the RFP title and solicitation number and the label “Cost Proposal.”

REQUIRED DOCUMENTS

• Respondent’s Proposal

• Proposal Form Signature Page

• Exhibit A – Cost Proposal

• W-9

VI. EVALUATION CRITERIA AND FACTORS

The evaluation criteria will be grouped into point factors as follows:

25 points – Qualification and Experience of Firm 25 points – Proposed Plan of Action and Quality of Proposed Services 25 points – Qualification and Specialized Experience of Key Personnel 25 points – Cost Proposal

The City reserves the right to reject any and all proposals, and is under no obligation to award a Contract. The City reserves the right to negotiate a contract with the highest evaluated Respondent as determined by the review committee. Should negotiations with the highest evaluated Respondent not produce an acceptable contract, the City reserves the right to begin negotiations with the second highest evaluated Respondent, and so on, until an acceptable contract is negotiated, or to break off negotiations with all firms and not award a contract. The responsibility for the final selection and award of a contract rest solely with the City Council of the City of McKinney. The City shall not be liable to any Respondent for costs associated with responding to this RFP, for Respondent’s participation in any oral interview, or any cost associated with negotiations.

PROPOSAL FORM SIGNATURE PAGE

As permitted under Chapter 791 of the Texas Government Code, other governmental entities may wish to participate under the…