FRTIB1-22-Q-0010 M0001 Insurance Brokerage.pdf

(x)

FRTIB1-22-Q-0010

x x

1 copies of the amendment; (b) By acknowledging receipt of this amendment on each copy of the offer submitted ; or (c) By separate letter or telegram which includes a reference to the solicitation and amendment numbers. FAILURE OF YOUR ACKNOWLEDGEMENT TO BE RECEIVED AT

THE PLACE DESIGNATED FOR THE RECEIPT OF OFFERS PRIOR TO THE HOUR AND DATE SPECIFIED MAY RESULT IN REJECTION OF YOUR OFFER. If by virtue of this amendment you desire to change an offer already submitted , such change may be made by telegram or letter, provided each telegram or letter makes reference to the solicitation and this amendment, and is received prior to the opening hour and date specified.

x

OED_ACQ_MGT_DIV ISS

Washington DC DC 20002 Suite 1000 77 K Street NE

FRTIB

11/23/20220001

13. THIS ITEM ONLY APPLIES TO MODIFICATION OF CONTRACTS/ORDERS. IT MODIFIES THE CONTRACT/ORDER NO. AS DESCRIBED IN ITEM 14.

12. ACCOUNTING AND APPROPRIATION DATA (If required) is not extended.is extended, Items 8 and 15, and returning

Offers must acknowledge receipt of this amendment prior to the hour and date specified in the solicitation or as amended , by one of the following methods: (a) By completing

The above numbered solicitation is amended as set forth in Item 14. The hour and date specified for receipt of Offers

11. THIS ITEM ONLY APPLIES TO AMENDMENTS OF SOLICITATIONS

FACILITY CODE CODE

10B. DATED (SEE ITEM 13)

10A. MODIFICATION OF CONTRACT/ORDER NO.

9B. DATED (SEE ITEM 11)

9A. AMENDMENT OF SOLICITATION NO.

CODE

8. NAME AND ADDRESS OF CONTRACTOR (No., street, county, State and ZIP Code)

7. ADMINISTERED BY (If other than Item 6)CODE 6. ISSUED BY

PAGE OF PAGES

4. REQUISITION/PURCHASE REQ. NO.3. EFFECTIVE DATE2. AMENDMENT/MODIFICATION NO. 5. PROJECT NO. (If applicable)

1. CONTRACT ID CODE

AMENDMENT OF SOLICITATION/MODIFICATION OF CONTRACT

11/07/2022

CHECK ONE A. THIS CHANGE ORDER IS ISSUED PURSUANT TO: (Specify authority) THE CHANGES SET FORTH IN ITEM 14 ARE MADE IN THE CONTRACT

B. THE ABOVE NUMBERED CONTRACT/ORDER IS MODIFIED TO REFLECT THE ADMINISTRATIVE CHANGES (such as changes in paying office, C. THIS SUPPLEMENTAL AGREEMENT IS ENTERED INTO PURSUANT TO AUTHORITY OF:

D. OTHER (Specify type of modification and authority) appropriation date, etc.) SET FORTH IN ITEM 14, PURSUANT TO THE AUTHORITY OF FAR 43.103(b).

E. IMPORTANT: Contractor is not, is required to sign this document and return __________________ copies to the issuing office.

ORDER NO. IN ITEM 10A.

14. DESCRIPTION OF AMENDMENT/MODIFICATION (Organized by UCF section headings, including solicitation/contract subject matter where feasible.)

The purpose of this modification is to update Sections A, B, C, I & L of the subject solicitation and to extend the due date for quotes.

See continuation pages.

Period of Performance: 12/16/2022 to 12/15/2027

16A. NAME AND TITLE OF CONTRACTING OFFICER (Type or print)15A. NAME AND TITLE OF SIGNER (Type or print)

15C. DATE SIGNED 16B. UNITED STATES OF AMERICA 15B. CONTRACTOR/OFFEROR 16C. DATE SIGNED

(Signature of person authorized to sign) (Signature of Contracting Officer)

Danielle Tapp

STANDARD FORM 30 (REV. 10-83)

Prescribed by GSA

FAR (48 CFR) 53.243

NSN 7540-01-152-8070

Previous edition unusable

Except as provided herein, all terms and conditions of the document referenced in Item 9 A or 10A, as heretofore changed, remains unchanged and in full force and effect .

TEL: EMAIL: Danielle.Tapp@FRTIB.GOV

FRTIB1-22-Q-0010

FRTIB1-22-Q-0010

Insurance Brokerage Services Amendment 0001

The purpose of this modification is to update Sections A, B, C, I & L of the subject solicitation and to extend the due date for quotes.

1. Section A.2., Sentence 1 is changed to “FRTIB is procuring insurance for the purpose of protecting Agency assets and employees.”

2. CLINs 0002, 1002, 2002, 3002 & 4002 are reclassified as optional CLINs. Section B.1., Paragraph 2, Sentence 7 is added as follows: “CLINs 0002, 1002, 2002, 3002 & 4002 (Cyber Insurance) are optional CLINs that may or may not be exercised at the Government’s discretion.”

3. Section B.1., Contract Line-Item Numbers (CLINs) Tables, the NTE designation is removed from the 5th column heading for all years. The revised heading is changed from “NTE Price” to “Total Price.”

4. Section B, Contract Line-Item Numbers (CLINs) Tables, a new section “Optional Contract Line- Item Numbers (CLINs)” is added to the bottom of each table. CLINs 0002, 1002, 2002, 3002 & 4002 are moved from the current section, “Contract Line-Item Numbers (CLINs)”, to the new section “Optional Contract Line-Item Numbers (CLINs)” for each year and each table.

5. Section B.3. CLIN 0002 is removed from the minimum quantity Section

6. Section C.1.5, Financial Institutions Policy. This entire section is deleted from the Cyber Policy Section.

7. Section C.1.5. The following text is added as Paragraph 5: “The Cyber Policy limits are to be reasonably based on industry standards using the best judgment from prospective offerors.”

8. Section I. The following FAR Clause is added and incorporated by reference: FAR 52.217-7 Option for Increased Quantity-Separately Priced Line Item

9. Section L.4., Sentence 1 is changed to “Offeror shall submit their price quote as Firm Fixed Price for the insurance policies and Labor Hours for the consulting services.”

10. Section L.4., Sentence 5 is changed to “Offerors shall propose a fixed price premium cost for each insurance package and an hourly labor rate and total price for consulting services in accordance with Section B.2.”

11. Section L.4. The following text is added as Sentence 6: “Offerors shall propose a total price for CLIN 0006 (and subsequent CLIN 6, i.e. 1006, 2006) by multiplying the hourly rate by the number of hours requested each year.”

12. Section L.6. is changed to: Submission Deadline: All quotes shall be submitted no later than 4:00 pm EST on Friday, December 2, 2022. Late quotes will not be accepted.

All other terms & conditions remain unchanged and in full force & effect.

Section A: Solicitation/Contract Form

A.1. Background

The Federal Retirement Thrift Investment Board (FRTIB or Agency) is an independent Federal Agency in the Executive branch created by the Federal Employees’ Retirement System Act of 1986 (FERSA), Pub. L.

No. 99-335, 100 Stat. 514 (codified as amended largely at 5 U.S.C. § 8351 and §§ 8401-79) to administer the Thrift Savings Plan (TSP). The TSP is a daily-valued, participant-directed retirement savings and investment plan for Federal civilian employees and members of the uniformed services. It offers its participants the same type of saving and tax benefits that many private corporations offer their employees under 401(k) plans. The TSP is the largest defined contribution plan in the world covering millions of participants and managing multi-billion-dollar assets. It is responsible for fulfilling its duties prudently, pursuant to standards that are similar as apply to fiduciaries as Commercial Insurance, ERISA Bond

Insurance, and Fiduciary Insurance.

A.2. Objectives

FRTIB is procuring insurance for the purpose of protecting Agency assets and employees.. Insurance sought would encompass a number of different packages to include; ERISA Bond Crime, Fiduciary, Commercial Liability, Cyber, and Excess, and Umbrella Policies. This aligns with the FRTIB goal

“Optimize business processes to allow continuous improvement of TSP and Agency operations. The proposed duration of contract is for five years, inclusive of one (1) 12-month base year period and four (4)

12-month option year periods to align with facility leases and to avoid a lapse of service. These services are to be performed at the Government facility, FRTIB headquarters located at 77 K Street, NE Washington, DC, 20002. FRTIB is seeking an insurance broker, not an agent or provider of insurance policies.

A.3. Scope

This RFQ contains instructions governing the proposals to be submitted and the material to be included therein; a description of the service to be provided; requirements which must be met to be eligible for consideration; general evaluation criteria; and other requirements to be met by each quote.

FRTIB intends to award a five (5) year, single award, Indefinite-Delivery, Indefinite-Quantity (IDIQ) contract that allows for Firm-Fixed Price (FFP) Delivery Orders for the insurance packages and provisions for a minimal number of supporting Labor Hour (LH) Task Orders as needed by the program office. This solicitation and any resulting contract will be governed by the regulations set forth in FAR 13.5.

Section B: Supplies or Services and Prices/Cost

B.1. Contract Line Item Number (CLIN) Structure

This RFQ will result in a single award IDIQ contract, with one (1) 12 Month base year and four (4) 12 month option years. The contract period of performance is not to exceed 60 months. The Government is obligated only to the extent of authorized delivery or task orders actually awarded under the IDIQ contract.

Specific tasks and/or work to be performed, will be detailed in, and solicited by, individual delivery/task orders issued under this IDIQ contract.

Each CLIN identifies a particular type of insurance product or service required by FRTIB. The commercial liability package is subdivided into eight (8) Sub-CLINs based on the value of the assets held by FRTIB.

The purpose of including these Sub-CLINs is to capture the fluctuating value of FRTIB assets each year.

The amount and value of the assets held by FRIB will vary each year based on the commissioning or decommissioning of equipment and/or facilities distributed throughout the area. The Sub-CLIN selected will be determined by the value of assets held at the time of purchase. It is expected that only one Sub-

CLIN for the commercial liability package will be purchased per year. CLINs 0002, 1002, 2002, 3002 &

4002 (Cyber Insurance) are optional CLINs that may or may not be exercised at the Government’s discretion.

Base Year - Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

Qty/Qualifier Total Price

0001 ERISA Fidelity Bond 1 YR

0003 Fiduciary Liability Insurance Policy 1 YR

0004 Excess and Umbrella Insurance Policy 1 YR

0005 Commercial Liability Insurance Policy

0005-01 Commercial Liability Insurance Policy FRTIB Asset Value $60,000,000 - $65,000,000

1 YR

0005-02 Commercial Liability Insurance Policy FRTIB Asset Value $55,000,000 - $59,000,000

1 YR

0005-03 Commercial Liability Insurance Policy FRTIB Asset Value $50,000,000 - $54,999,000

1 YR

0005-04 Commercial Liability Insurance Policy FRTIB Asset Value $45,000,000 - $49,999,000

1 YR

0005-05 Commercial Liability Insurance Policy FRTIB Asset Value $40,000,000 - $44,999,000

1 YR

0005-06 Commercial Liability Insurance Policy FRTIB Asset Value 35,000,000 - $39,999,000

1 YR

0005-07 Commercial Liability Insurance Policy FRTIB Asset Value 30,000,000 - $34,999,000

1 YR

0005-08 Commercial Liability Insurance Policy FRTIB Asset Value 20,000,000 - $29,999,000

1 YR

0006 Consultant (NTE 80 Hours)

* Base Year requirement is 80 hours. All other Option Years are 20 hours each year.

1 YR

Base Year - Optional Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

Qty/Qualifier Total Price

0002 Cyber Insurance Policy 1 YR

Option Year One (1) - Contract Line-Item Numbers (CLINs)

Price/Rate

Qty/Qualifier Total Price

1001 ERISA Fidelity Bond 1 YR

1003 Fiduciary Liability Insurance Policy 1 YR

1004 Excess and Umbrella Insurance Policy 1 YR

1005 Commercial Liability Insurance Policy

1005-01 Commercial Liability Insurance Policy FRTIB Asset Value $60,000,000 - $65,000,000

1 YR

1005-02 Commercial Liability Insurance Policy FRTIB Asset Value $55,000,000 - $59,000,000

1 YR

1005-03 Commercial Liability Insurance Policy FRTIB Asset Value $50,000,000 - $54,999,000

1 YR

1005-04 Commercial Liability Insurance Policy FRTIB Asset Value $45,000,000 - $49,999,000

1 YR

1005-05 Commercial Liability Insurance Policy FRTIB Asset Value $40,000,000 - $44,999,000

1 YR

1005-06 Commercial Liability Insurance Policy FRTIB Asset Value 35,000,000 - $39,999,000

1 YR

1005-07 Commercial Liability Insurance Policy FRTIB Asset Value 30,000,000 - $34,999,000

1 YR

1005-08 Commercial Liability Insurance Policy FRTIB Asset Value 20,000,000 - $29,999,000

1 YR

1006 Consultant (NTE 20 Hours) 1 YR

Option Year One (1) - Optional Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

1002 Cyber Insurance Policy 1 YR

Option Year Two (2) - Contract Line-Item Numbers (CLINs)

Price/Rate

Qty/Qualifier Total Price

2001 ERISA Fidelity Bond 1 YR

2003 Fiduciary Liability Insurance Policy 1 YR

2004 Excess and Umbrella Insurance Policy 1 YR

2005 Commercial Liability Insurance Policy

2005-01 Commercial Liability Insurance Policy FRTIB Asset Value $60,000,000 - $65,000,000

1 YR

2005-02 Commercial Liability Insurance Policy FRTIB Asset Value $55,000,000 - $59,000,000

1 YR

2005-03 Commercial Liability Insurance Policy FRTIB Asset Value $50,000,000 - $54,999,000

1 YR

2005-04 Commercial Liability Insurance Policy FRTIB Asset Value $45,000,000 - $49,999,000

1 YR

2005-05 Commercial Liability Insurance Policy FRTIB Asset Value $40,000,000 - $44,999,000

1 YR

2005-06 Commercial Liability Insurance Policy FRTIB Asset Value 35,000,000 - $39,999,000

1 YR

2005-07 Commercial Liability Insurance Policy FRTIB Asset Value 30,000,000 - $34,999,000

1 YR

2005-08 Commercial Liability Insurance Policy FRTIB Asset Value 20,000,000 - $29,999,000

1 YR

2006 Consultant (NTE 20 Hours) 1 YR

Option Year Two (2) – Optional Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

2002 Cyber Insurance Policy 1 YR

Option Year Three (3) - Contract Line-Item Numbers (CLINs)

Price/Rate

3001 ERISA Fidelity Bond 1 YR

3003 Fiduciary Liability Insurance Policy 1 YR

3004 Excess and Umbrella Insurance Policy 1 YR

3005 Commercial Liability Insurance Policy

3005-01 Commercial Liability Insurance Policy FRTIB Asset Value $60,000,000 - $65,000,000

1 YR

3005-02 Commercial Liability Insurance Policy FRTIB Asset Value $55,000,000 - $59,000,000

1 YR

3005-03 Commercial Liability Insurance Policy FRTIB Asset Value $50,000,000 - $54,999,000

1 YR

3005-04 Commercial Liability Insurance Policy FRTIB Asset Value $45,000,000 - $49,999,000

1 YR

3005-05 Commercial Liability Insurance Policy FRTIB Asset Value $40,000,000 - $44,999,000

1 YR

3005-06 Commercial Liability Insurance Policy FRTIB Asset Value 35,000,000 - $39,999,000

1 YR

3005-07 Commercial Liability Insurance Policy FRTIB Asset Value 30,000,000 - $34,999,000

1 YR

3005-08 Commercial Liability Insurance Policy FRTIB Asset Value 20,000,000 - $29,999,000

1 YR

3006 Consultant (NTE 20 Hours) 1 YR

Option Year Three (3) – Optional Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

Qty/Qualifier Total Price

3002 Cyber Insurance Policy 1 YR

Option Year Four (4) - Contract Line-Item Numbers (CLINs)

Price/Rate

Qty/Qualifier Total Price

4001 ERISA Fidelity Bond 1 YR

4003 Fiduciary Liability Insurance Policy 1 YR

4004 Excess and Umbrella Insurance Policy 1 YR

4005 Commercial Liability Insurance Policy

4005-01 Commercial Liability Insurance Policy FRTIB Asset Value $60,000,000 - $65,000,000

1 YR

4005-02 Commercial Liability Insurance Policy FRTIB Asset Value $55,000,000 - $59,000,000

1 YR

4005-03 Commercial Liability Insurance Policy FRTIB Asset Value $50,000,000 - $54,999,000

1 YR

4005-04 Commercial Liability Insurance Policy FRTIB Asset Value $45,000,000 - $49,999,000

1 YR

4005-05 Commercial Liability Insurance Policy FRTIB Asset Value $40,000,000 - $44,999,000

1 YR

4005-06 Commercial Liability Insurance Policy FRTIB Asset Value 35,000,000 - $39,999,000

1 YR

4005-07 Commercial Liability Insurance Policy FRTIB Asset Value 30,000,000 - $34,999,000

1 YR

4005-08 Commercial Liability Insurance Policy FRTIB Asset Value 20,000,000 - $29,999,000

1 YR

4006 Consultant (NTE 20 Hours) 1 YR

Option Year Four (4) – Optional Contract Line-Item Numbers (CLINs)

CLIN Product/Service Description Unit Price/Rate

Qty/Qualifier Total Price

4002 Cyber Insurance Policy 1 YR

B.2. Ordering

FRTIB will order insurance packages on an annual basis to align with agency lease agreements. FRTIB will request a quote from the contractor prior to the expiration of current policies. FRTIB will select the appropriate CLINs and Sub-CLINs for the effort and communicate the asset value to the contractor during the RFQ process. The Contractor shall provide a quote for the required insurance policies on a firm fixed price (FFP) basis. The Contractor’s cost shall be at or below negotiated IDIQ contract pricing for the applicable IDIQ contract year.

FRTIB may order consulting services that are related to insurance matters, areas, or issues identified in the

Statement of Work. Task order RFPs will include specific task order requirements as well as response instructions and evaluation criteria. The Contractor shall have the opportunity to provide a technical proposal as well as pricing for required services on a firm fixed price (FFP) basis, as required by individual task order requests for proposal. The Contractor shall have up to 5 business days to respond to task order request for proposals. The Contractor’s hourly rate shall be at or below negotiated IDIQ contract pricing for the applicable IDIQ contract year. The hourly rate shall include all costs necessary to complete the work for which the price is established including indirect costs, fees, taxes and profit.

B.3. Minimum and Maximum Quantities

The Agency establishes the minimum quantity as CLINs 0001, 0003, 0004 and 0005 of the Base Year. The

Agency is obligated only to the minimum value of the IDIQ contract and to the extent of additional authorized purchases actually awarded via delivery/task orders under the IDIQ.

Section C: Statement of Work

FRTIB is procuring insurance for the purpose of protecting Agency assets including funding for participants and beneficiaries. Insurance sought would encompass a number of different packages to include ERISA Bond Crime, Fiduciary, Commercial Liability, Cyber, and Excess, and Umbrella Policies.

This aligns with the FRTIB goal “Optimize business processes to allow continuous improvement of TSP and Agency operations. The proposed duration of contract is for five years, inclusive of one (1) base year period and four (4) 12-month option year periods to align with lease of the building and to avoid a lapse of service. These services are to be performed at the Government facility, FRTIB headquarters located at 77 K

Street, NE Washington, DC, 20002.

C.1. Insurance Packages and Inclusive Services

The contractor shall provide insurance packages and inclusive support services as described below:

C.1.1 ERISA Bond

All ERISA plans must obtain an ERISA bond unless an exception applies. Errors and omissions

(E&O) insurance generally insures a company against specific wrongful acts by employees, and directors and officers liability (D&O) insurance protects a company from wrongful acts by a director or officer. These coverages usually exclude liability for (in) actions relating to a retirement plan. A rider can extend coverage to retirement plans. This is more common for D&O policies than E&O policies since employees are generally not fiduciaries with personal liability.

The required ERISA fidelity bond coverage is provided to Agency pursuant to the Crime Insurance

Policy. It provides a limit of liability of $1,000,000 per loss for losses due to employee dishonesty. It includes an “ERISA Endorsement” which modifies the Employee Dishonesty Insuring Clause to provide the following coverage:

The Insurer shall indemnify the Insured for:

Loss of or damage to Money, Securities or Property resulting directly from Employee Theft or

Employee Forgery, and

Loss of Money, Securities or Property sustained by an ERISA Plan resulting from a Fraudulent or

Dishonest Act committed by an Employee acting alone or in collusion with others.

This endorsement defines “ERISA Plan” as “any Employee Benefit Plan, Pension Benefit Plan, or

Welfare Benefit Plan, defined and required to be bonded under Title 1 of the Employee Retirement

Income Security Act of 1974, as amended, or the thrift savings fund required to be bonded under #5

USC Section 8478, which is operated solely by an Organization.”

The terms, conditions, and exclusions of the Crime Insurance Policy appear to be fairly standard in the industry. In addition to the ERISA Endorsement, the policy has been endorsed to delete Exclusion

A.20 for “loss caused by an Employee which is Discovered after a director, trustee, officer, administrator, manager, partner or Executive Shareholder of the Insured acquires at any time knowledge of: (a) Employee Theft while such Employee is employed with an Insured; or (b) fraud or dishonesty involving Money, Securities or Property valued at $25,000 or more committed by such

Employee prior to his or her employment with an Insured.” The definition of Employee has also been endorsed as follows: to modify that an Employee includes a person in the regular services of the

Insured or for 60 days after termination of service (the form language limits this to 30 days after termination); to specify that the person meeting the definition is an Employee “whether or not they are compensated directly by the Insured through salary, wages or commissions; and to include “an employee of IBS while performing functions coming within the scope of the SERCO contract.” If

FRTIB does not intend to provide coverage for employee of IBS while performing functions coming within the scope of the SERCO contract, this endorsement should be modified.

In addition to Employee Dishonesty coverage, fidelity bonds like the Crime Insurance Policy can provide additional coverage including coverage for Computer Fraud and Funds Transfer Fraud

C.1.2 Fiduciary Liability Policy

Agency has Fiduciary Liability Insurance Policy which has a $5,000,000 limit of liability excess of a

$250,000 retention per claim. It includes the following Insuring Clauses:

The Insurer shall pay on behalf of the Insureds all Loss resulting from any Claim for a Wrongful Act first made against the Insureds, provided such Claim is first made during the Policy Period or, if applicable, the Extended Reporting Period and reported in writing to the Insurer as soon as practicable after the General Counsel first becomes aware of such Claim. Without negating the foregoing requirements, such notice of Claim must also be reported no later than sixty (60) days after the end of the Policy Period or, if applicable, the Extended Reporting Period.

The Insurer shall pay on behalf of the Insureds in an amount not to exceed $250,000 any Voluntary

Compliance Fees and Defense Costs incurred with respect to a Voluntary Compliance Notice given as soon as practicable to the Insurer during the Policy Period or, if applicable, the Extended Reporting

Period, but in no event later than sixty (60) days after the end of the Policy Period or, if applicable, the

Extended Reporting Period. Such amount shall be subject to the Retention set forth in Item 4. of the

Declarations and shall be part of and not in addition to the Limit of Liability set forth in Item 3.a. of the Declarations. This Insuring Clause shall not apply to any Voluntary Compliance Fees and Defense

Costs incurred with respect to any Insured’s participation in any Voluntary Compliance Agreement initiated prior to the Inception Date of this Policy.

As noted above, in addition to coverage for a Wrongful Act, discussed below, this policy also provides up to $250,000 in coverage to pay for “Voluntary Compliance Fees and Defense Costs.” “Voluntary

Compliance Fees” are defined as “any costs of corrections, fees, penalties or sanctions imposed by law under a Voluntary Compliance Agreement that any Insured becomes legally obligated to pay as a result of Wrongful Acts, but shall not include any other costs, charges, expenses, fees, penalties, sanctions, assessments, damages, taxes or matters that may be deemed to be uninsurable under the law pursuant to which this Policy shall be construed.”

The fiduciary liability policy provides coverage for Loss resulting from a Claim for a Wrongful Act, which is defined as:

1. As respects a Fiduciary or a Plan:

(a) Any actual or alleged violation of any of the responsibilities, obligations or duties imposed on

Fiduciaries by ERISA in connection with a Plan; or

(b) Any matter claimed against an Insured by reason of his, her or its status as a Fiduciary of a

Plan.

2. As respects an Administrator:

(a) Any actual or alleged act, error or omission in the performance of administration; or

(b) Any matter claimed against an Administrator by reason of his or her status as such.

The terms, conditions, and exclusions of the Fiduciary Liability Insurance Policy appear to be fairly standard in the industry.

1. For the failure to collect contributions owed to any Plan from any employer unless such failure is due to the negligence of an Insured; or

2. For Benefits, which are or may become due except to the extent:

(a) Such sums are payable as a personal obligation of a natural person Insured; or

(b) Such sums are a monetary award in, or fund for settling, a Claim against any Insured to the extent it alleges a loss to a Plan and/or loss in the actual accounts of participants in a Plan by reason of a change in value of the investments held by that Plan, regardless of whether the amounts sought in such Claim have been characterized by plaintiffs as “benefits” or held by a court to be “benefits”;

3. In addition, the policy should include a “HIPAA Endorsement.” This provides changes to the policy based upon a “HIPAA Wrongful Act” which is defined as:

(a) A breach of fiduciary duty in the discharge of duties as respects any welfare plan; or

(b) Any Wrongful Act by an Administrator; in violation of the privacy provisions of Health

Insurance Portability and Accountability Act (HIPAA).

C.1.3 Commercial General Liability Insurance

Provide standard liability coverage with a $1,000,000 per occurrence limit, and $2,000,000 aggregate limit of liability, as well as a $1,000,000 advertising injury and personal injury aggregate limit, $10,000 medical expenses limit, and $1,000,000 damages to premises rented to you limit.

This coverage section includes coverage for Employee Benefits Errors or Omissions, which provides the following coverage:

Subject to the applicable Limits of Insurance, we will pay damages the insured becomes legally obligated to pay for any claim arising out of a negligent act, error or omission to which this insurance applies, by or on behalf of the insured in the administration of employee benefit programs.

The claim must be made by:

• Your employee;

• Your former employee;

• The beneficiaries or legal representatives of your employee or former employee; or

• Your prospective employee.

This insurance applies to a negligent act, error or omission only if a claim is first made against any insured during the policy period.

This coverage section is endorsed to include a professional services exclusion, which excludes coverage for “damages, loss, cost or expense arising out of the rendering or failure to render any professional service, advice or instruction whether or not such service, advice or instruction is ordinary to any insured’s profession and regardless of whether or not a claim or suit is brought by any client or any other person or organization.”

This coverage section also is endorsed to preclude coverage with respect to “any damages, loss, cost or expense arising out of any: corruption of; inability to access; inability to manipulate; loss of; or other injury or damage to or loss of use of; any software, data or other information that is in electronic form.”

C.1.4. Excess and Umbrella Insurance Policy

This policy shall provide endorsement excluding coverage for “any liability or loss, cost or expense arising out of: the use or misuse of any data; faulty data; any errors or omissions in program design or application; or the failure of any computer equipment or computer service to accomplish its intended purpose.”

It also includes a professional services exclusion, similar to that in the underlying policy, which precludes coverage for “any liability or loss, cost or expense arising out of the rendering or failure to render any professional service or advice, whether or not that service or advice is ordinary to the insured’s profession, regardless of whether a claim or suit is brought by a client or any other person or organization.”

In addition, this policy has a loss of use of electronic data exclusion that precludes coverage for “any liability or loss, cost or expense arising out of any: corruption of; inability to access; inability to manipulate; loss of; or other injury or damage to or loss of use of; any software, data or other information that is in electronic form.”

The Excess and Umbrella Insurance Policy has also been endorsed to exclude coverage for access to or disclosure of confidential or personal information. The endorsement provides:

This insurance does not apply to bodily injury, property damage, advertising injury or personal injury arising out of any access to or disclosure of any person's or organization’s confidential or personal information, including any patents, trade secrets, processing methods, customer lists, financial information, credit card information, health information or any other type of non-public information.

This exclusion applies even if damages are claimed for notification costs, credit monitoring expenses, forensic expenses, public relations expenses or any other loss, cost or expense incurred by you or others arising out of any access to or disclosure of any person's or organization's confidential or personal information.

Workers’ Compensation - Contractor Insures the Agency against obligations imposed by applicable

State Workers’ Compensation law. Limits: $500,000 per occurrence each accident / $500,000 per occurrence each disease / $500,000 disease policy limit.

C.1.5 Cyber Policy

Cyber insurance mitigates the risks of cyber security data breaches. Most standard cyber insurance policies exclude data held by retirement plans, and our investigation determined that of the few retirement plans that seek to obtain cyber coverage for retirement plan data, most decide that the value of the policy (what is covered, compared to the deductible and premiums) makes it imprudent and they forego such coverage. We understand that FRTIB has sought out cyber policy information. If it determines to purchase such coverage, that would appear to put it further ahead of the retirement plan market.

Most investment providers have their own cyber coverage; some will extend that coverage over plan sponsors if they meet or implement certain system requirements, like dual authentication for employees to access data. If FRTIB has not inquired about this from its current providers, we recommend it do so.

COMPUTER FRAUD AND FUNDS TRANSFER FRAUD

Underwriters shall indemnify the Insured for:

1. Loss of or damage to Money, Securities or Property resulting directly from Computer Fraud committed solely by a Third Party; or

2. Loss of Money or Securities contained in a Transfer Account at a Financial Institution resulting directly from Funds Transfer Fraud committed solely by a Third Party.

This additional coverage is a potential enhancement that FRTIB can consider adding to its coverage, though it may not be relevant if FRTIB does not directly handle the funds in the managed accounts.

Policyholders often make claims under Computer Fraud and Funds Transfer Fraud insuring agreements when their computers are hacked and a loss occurs because of fraud committed by a third party.

Similarly, some fidelity bonds include impersonation fraud coverage endorsements. These can provide coverage if someone impersonating an employee directs a transfer of funds resulting is a loss. In that situation, the third party might not directly access the insured’s computer to transfer the funds, but directs the fraudulent transfer, for example by sending a fraudulent email. Again, FRTIB will need to consider whether such a coverage enhancement makes sense if it is not directly handling the funds or directing the handling of the accounts.

The Cyber Policy limits are to be reasonably based on industry standards using the best judgment from prospective offerors.

C.1.6 Inclusive Services

The contractor shall provide the following inclusive services in support of the insurance packages identified above:

1. Provide binders, policies, endorsements and certificates of insurance for all insurance coverages placed by the broker on behalf of the Agency. Broker must indicate its internal standards for timely delivery.

2. Represent the Agency in all negotiations with insurers, underwriters, adjusters and other parties with regard to the insurance program.

3. Assure that insurance policies are placed with reputable and financially responsible insurers in accordance with the Government and other rating agencies. Keep the Agency informed of any changes in the financial rating of its insurers, make recommendations and take appropriate actions based upon such changes.

4. Coordinate and oversee the performance of all related services performed by insurance companies, underwriters, adjusters and/or other arranged or bundled service providers.

5. Assist the Agency in the completion of all underwriting applications (initial or renewal), including the presentation of any documents or data that may be requested by insurance companies and underwriters.

C.2 Consulting Services

The contractor shall provide the following services as needed by the Government. These services will be ordered separately by task order if required:

1. Review and analyze the specifications (coverage amounts, terms, conditions, limits, and deductibles) of the Agency’s existing insurance policies. Make recommendations to enhance existing policy specifications. The recommendations shall weigh the benefit of policy enhancements and additional coverage against the cost.

2. Identify any insurable risk for which the Agency does not have an existing policy. For each risk identified, provide the Agency with a description of the specifications available in the market, the range of premiums commonly charged in the market, and the factors that would influence the specifications and premiums the Agency could obtain in the market. Prepare and submit each of the Agency’s policy specifications to the market. Present the specifications, along with risk exposure and other information, in a customary form acceptable to underwriters.

3. Provide general insurance and risk management consultative services including review of contractual insurance requirements to ensure that the Agency is in compliance. Based on the business nature of the Agency, professional advice is recommended to ensure proper coverage amounts are solidified with help eliminate any potential monetary liability to Agency.

Section D: Packaging and Marking

Not applicable

Section E: Inspection and Acceptance

The basis for acceptance shall be in compliance with the requirements set forth in the award resulting from this RFQ. The Contracting Officer Representative (COR) will have the right to reject or require correction of any deficiencies found in deliverables. In the event of rejection of any deliverable, the Contractor will be notified in writing by the COR of the specific reasons the deliverable was rejected. If no comments from the COR are provided within 10 business days of receipt, the deliverable will be deemed to have been accepted by the Agency. Documents not approved by the FRTIB must be resubmitted with changes within

10 business days and the FRTIB will have another 10 business-day review period. If after the third submission the deliverable is unacceptable to FRTIB, the Program Manager, COR, and Contracting Officer will meet to discuss corrective actions.

Section F: Deliverables/Performance

F.1 Deliverable Management

Deliverables for Task/Delivery Orders: Deliverables will be defined for each Task or Delivery Order. All deliverables must be submitted in a format approved by the Contracting Officer’s Representative (COR), to the COR and the CO

DELIVERABLES SCHEDULE (BASED ON PRODUCTS AND SERVICES ORDERED)

Deliverable Ref. Delivery Date

Initial Meeting with COR N/A Kick-off Meeting 3 days after award

F.2 Deliverable Submission

All deliverables shall be submitted to the COR

F3. Period of Performance

The Period of Performance (POP) for this requirement is for five (5) years. The POP will begin upon award date of the contract. The POP shall be a one (1) 12-month base period and four (4) subsequent

12-month option periods. Periods are on or about as follows:

Base: 12/16/2022 – 12/15/2023

Option Year 1: 12/16/2023 – 12/15/2024

Option Year 2: 12/16/2024 – 12/15/2025

Option Year 3: 12/16/2025 – 12/15/2026

Option year 4: 12/16/2026 – 12/15/2027

F4. Place of Performance

FRTIB Headquarters

77 K Street, NE

Washington, DC 20002

Section G: Contract Administration Data

G1. Contracting Officer (CO)

Responsibility for contracting activities rests solely with the Agency’s CO. No conversation, recommendations, or direction, whether given directly by, or implied by Agency personnel, that will affect the scope, schedule, or price of the program, shall be acted upon by the Offeror unless specifically approved by the Agency CO. In the event that the Offeror implements changes to the contract at the direction of any person other than the CO, the Offeror will not receive reimbursement for the work performed pursuant to those unauthorized changes. Contractual interpretation and assistance may be obtained by contacting the CO.

G1.1 Contracting Officer Point of Contact

Name: Danielle Tapp

Phone: 202.864.8612

Email: danielle.tapp@frtib.gov

G2. Contracting Officer Representative (COR)

The CO shall designate a COR, who is responsible for administering the performance under the contract by:

1. Monitoring the Offeror’s performance

2. Assessing performance

3. Recommending changes to the CO

4. Interpreting the scope of work

5. Performing inspection and acceptance

G.2.1 Contracting Officer Representative Point of Contact

Name: TBD

Email: TBD

Phone: TBD

G3. Invoices

Electronic Invoicing and Payment Requirements – Invoice Processing Platform (IPP) Payment request must be submitted electronically through the U.S. Department of Treasury’s Invoice Processing Platform

(IPP) system using the “Bill to Agency” of Interior Business Center – FMD. “Payment request” means any request for contract financing payment or invoice payment by the Contractor. Any changes to submitted invoice (short-pay or withhold) will require resubmission of invoice with revised amount. To constitute a proper invoice, the payment request must comply with the requirements identified in the applicable Prompt

Payment clause included in the contract, or the clause 52.212-4 Contract Terms and Conditions –

Commercial Items include in commercial item contracts. The IPP website address is: https://www.ipp.gov.

The Contractor must use the IPP website to register, access and use IPP for submitting requests for payment. The Contractor must attach invoices in IPP. The Contractor Government Business Point of mailto:danielle.tapp@frtib.gov https://www.ipp.gov./

Contact (as listed in SAM) will receive enrollment instructions via email from the Federal Reserve prior to the contract award date, but no more than 3 – 5 business days of the contract award date. Contractor assistance with enrollment can be obtained by contacting the IPP Production Helpdesk via email

IPPCustomerSupport@fiscal.treasury.gov or phone (866) 973–3131.

G4. Legal Holidays: The following Federal holidays are observed by the Agency:

Holiday Date New Year’s Day January 1, as observed Inauguration Day – National Capital Region only

January 20, as observed

Martin Luther King’s Birthday Third Monday in January President’s Day Third Monday in February Memorial Day Last Monday in May Juneteenth National Independence Day June 19, as observed Independence Day July 4, as observed Labor Day First Monday in September Columbus Day Second Monday in October Veteran’s Day November 11, as observed Thanksgiving Day Fourth Thursday in November Christmas Day December 25, as observed

Section H: Agency Contract Clauses

H.1 Safeguarding Controlled Unclassified Information (CUI) (JULY 2020)

(a) Definitions. As used in this clause—

“Adequate security” means protective measures that are commensurate with the consequences and probability of loss, misuse, or unauthorized access to, or modification of information.

“Covered contractor information system” means an unclassified information system that is owned, or operated by or for, a contractor and that processes, stores, or transmits Controlled Unclassified Information.

“Controlled Unclassified Information” means unclassified controlled technical information or other information, as described in the Controlled Unclassified Information Registry at http://www.archives.gov/cui/registry/category-list.html, that requires safeguarding or dissemination controls pursuant to and consistent with law, regulations, and Government-wide policies, and is—

(1) Marked or otherwise identified in the contract, task order, or delivery order and provided to the contractor by or on behalf of FRTIB in support of the performance of the contract; or

(2) Collected, developed, received, transmitted, used, or stored by or on behalf of the contractor in support of the performance of the contract.

“Computer software” means computer programs, source code, source code listings, object code listings, design details, algorithms, processes, flow charts, formulae and related material that would enable the software to be reproduced, recreated, or recompiled. Computer software does not include computer data bases or computer software documentation.

“Information system” means a discrete set of information resources organized for the collection, processing, maintenance, use, sharing, dissemination, or disposition of information.

“Technical information” means technical data or computer software, as those terms are defined in this clauses--Noncommercial Items, regardless of whether or not the clause is incorporated in this solicitation or contract. Examples of technical information include research and engineering data, engineering drawings, and associated lists, specifications, standards, process sheets, manuals, technical reports, technical orders, catalog-item identifications, data sets, studies and analyses and related information, and computer software executable code and source code.

“Technical data” means recorded information, regardless of the form or method of the recording, of a scientific or technical nature (including computer software documentation). The term does not include computer software or data incidental to contract administration, such as financial and/or management information.

(b) Adequate security. The Contractor shall provide adequate security on all covered contractor information systems. To provide adequate security, the Contractor shall implement, at a minimum, the following information security protections:

(1) For covered contractor information systems that are part of and Information Technology (IT) service or system operated on behalf of the Government, the following security requirements apply:

(i) Cloud computing services shall be subject to the security requirements specified in the Cloud Computing Services clause of this contract.

(ii) Any other such IT service or system (i.e., other than cloud computing) shall be subject to the security requirements specified elsewhere in this contract.

(2) For covered contractor information systems that are not part of an IT service or system operated on behalf of the Government and therefore are not subject to the security requirement specified at paragraph (b)(1) of this clause, the following security requirements apply:

(i) Except as provided in paragraph (b)(2)(ii) of this clause, the covered contractor information system shall be subject to the security requirements in National Institute of Standards and Technology (NIST) Special Publication (SP) 800-171, “Protecting Controlled Unclassified Information in Nonfederal Information Systems and Organizations” (available via the internet at https://csrc.nist.gov/publications/detail/sp/800- 171/rev-2/final) in effect at the time the solicitation is issued or as authorized by the Contracting Officer.

(ii)

(A) The Contractor shall notify the FRTIB Chief Information Security Officer (CISO), via email, within 30 days of contract award, of any security requirements specified by NIST SP 800-171 not implemented at the time of contract award.

(B) The Contractor shall submit requests to vary from NIST SP 800-171 in writing to the Contracting Officer, for consideration by the FRTIB Chief Technology Officer (CTO) or CISO. The Contractor need not implement any security requirement adjudicated by an authorized representative of the FRTIB CTO to be non-applicable or to have an alternative, but equally effective, security measure that may be implemented in its place. FRTIB acknowledges its understanding and acceptance of the variance that at the time of the execution of this contract the Contractor does not provide insider threat training but will use good faith efforts to put such training in place.

(C) If the FRTIB CTO has previously adjudicated the contractor’s requests indicating that a requirement is not applicable or that an alternative security measure is equally effective, a copy of that approval shall be provided to the Contracting Officer when requesting its recognition under this contract.

(D) If the Contractor intends to use an external cloud service provider to store, process, or transmit any covered information in performance of this contract, the Contractor shall require and ensure that the cloud service provider meets security requirements equivalent to those established by the Government for the Federal Risk and Authorization Management Program (FedRAMP) Moderate baseline (https://www.fedramp.gov/resources/documents/) and that the cloud service provider complies with requirements in the clause for Cyber Incident Reporting, including malicious software, media preservation and protection, access to additional information and equipment necessary for forensic analysis, and cyber incident damage assessment.

(3) Apply other information systems security measures when the Contractor reasonably determines that information systems security measures. These measures may be addressed in a system security plan.

(c) The contractor shall provide access to the Contractor’s facilities, personnel and information system documentation for the purposes of audit or inspection by an authorized regulator or designated security certification activity to ensure appropriate information security practices are in place.

(d) The Contractor shall conduct activities under this clause in accordance with applicable laws and regulations on the interception, monitoring, access, use, and disclosure of electronic communications and data.

(e) Other safeguarding or reporting requirements. The safeguarding and cyber incident reporting required by this clause in no way abrogates the Contractor’s responsibility for other safeguarding or cyber incident reporting pertaining to its unclassified information systems as required by other applicable clauses of this contract, or as a result of other applicable U.S. Government statutory or regulatory requirements.

(f) Subcontracts. The Contractor shall—

(1) Include this clause, including this paragraph, in subcontracts, or similar contractual instruments, for operationally critical support, or for which subcontract performance will involve Controlled Unclassified Information, including subcontracts for commercial items, without alteration, except to identify the parties.

The Contractor shall determine if the information required for subcontractor performance retains its identity as Controlled Unclassified Information and will require protection under this clause, and, if necessary, consult with the Contracting Officer; and

(2) Require subcontractors to notify the prime Contractor (or next higher-tier subcontractor) when submitting a request to vary from a NIST SP 800-171 security requirement to the Contracting Officer, in accordance with paragraph (b)(2)(ii)(B) of this clause.

(End of Clause)

H.2 Compliance with Controls for Safeguarding Controlled Unclassified Information (CUI) (JULY 2020)

(a) Definitions. As used in this provision—

“Controlled Unclassified Information (CUI),” “covered contractor information system,” “cyber incident,” “information system,” and “technical information” are defined in clause H.1, Safeguarding Controlled Unclassified Information (CUI) and H.6, Cyber Incident Reporting.

(b) The security requirements required by contract clause H.2, Safeguarding Controlled Unclassified Information (CUI) and Cyber Incident Reporting, shall be implemented for all Controlled Unclassified Information (CUI) on all covered contractor information systems that support the performance of this contract.

(c) For covered contractor information systems that are not part of an information technology service or system operated on behalf of the Government (see (b)(2) of clause H.1, Safeguarding Controlled Unclassified Information (CUI) and H.6 - Cyber Incident Reporting.

(1) By submission of this offer, the Offeror represents that it will implement the security requirements specified by National Institute of Standards and Technology (NIST) Special Publication (SP) 800-171 “Protecting Controlled Unclassified Information (CUI) in Nonfederal Information Systems and Organizations” (see http://dx.doi.org/10.6028/NIST.SP.800-171) that are in effect at the time the solicitation is issued or as authorized by the contracting officer.

(2) If the Offeror proposes to vary from any of the security requirements specified by NIST SP 800-171 that are in effect at the time the solicitation is issued or as authorized by the Contracting Officer, the Offeror shall submit to the Contracting Officer, for consideration by the CISO, a written explanation of…