Questions & Answers #1.pdf

45 Calvert Street ∙ Annapolis, MD 21401-1907 Tel: 410-260-7041 ∙ Fax: 410-974-2585 ∙ Toll Free: 1-800-705-3493 ∙ TTY Users: Call via Maryland Relay http://dbm.maryland.gov

YAAKOV “JAKE” WEISSMANN

Acting Secretary

MARC L. NICOLE

Deputy Secretary

WES MOORE

Governor

ARUNA MILLER

Lieutenant Governor

QUESTIONS AND ANSWERS

PROJECT NO: BPM054797

Department of Budget & Management Third-Party Administrator Services for Flexible Spending Accounts – Healthcare and

Dependent Daycare

February 19, 2026

Ladies/Gentlemen:

This List of Questions and Responses, questions #1 - 38, is being issued to clarify certain information contained in the above-named solicitation.

In most instances the Department’s response to the submitted questions merely serves to clarify the existing requirements of the solicitation. Sometimes, however, in submitting questions potential Offerors may make statements or express interpretations of contract requirements that may be inconsistent with the

Department’s intent. To the extent that the Department recognizes such an incorrect interpretation, the provided answer will note that the interpretation is erroneous and either state that the question is moot once the correct interpretation is explained or provide the answer based upon the correct interpretation. No provided answer to a question may in and of itself change any requirement of the solicitation. If it is determined that any portion of the solicitation should be changed based upon a submitted question, the actual change may only be implemented via a formal amendment to the solicitation. In this situation the answer provided will reference the amendment containing the change.

1. Please confirm if the State moves forward with Commuter Benefits if the contractor would be expected to capture enrollment and report deductions back to the State. Is it possible that the current enrollment system can support the Commuter Benefits enrollment?

Answer: The current enrollment system will capture enrollment and deductions.

http://dbm.maryland.gov/

2. Can you confirm your current medical, dental, and vision carriers? Do you currently integrate claims data with your FSA program to support debit card substantiation?

Answer: Medical and Dental information can be found on our website

(https://dbm.maryland.gov/benefits) or microsite

(https://mymdbenefits.com/). Claim data is not currently integrated to support debit card substantiation.

3. 2.3.3D Please confirm the approximate cost share for the State conducted satisfaction survey. Will that amount be billed to the provider annually?

Answer: The State is currently conducting the satisfaction survey in-house at no charge. In the event the survey is outsourced, the Offeror will be responsible for sharing in the cost and would be billed annually.

4. 2.3.10A. Please provide the rational for the requirement to print a unique identification number on all employee communications. If the system of record can house a unique ID number is that sufficient?

Answer: The State’s system of record houses a unique ID number for all employees and can be used on employee communications.

5. 3.3.2D: Would it be appropriate to provide two distinct invoices for the Active and Satellite Employee groups?

Answer: This is an option to explore.

6. 2.3.7K: Please confirm if this statement refers to Debit Card transactions that have been unsubstantiated and place in overpayment? Is this process specific to any possible claim errors that result from processing? What is the number of letters being sent to individual employees and at what frequency (i.e., monthly)?

Answer: Confirming the statement is related to debit card transactions that are unsubstantiated AND claim errors during processing.

Letters are released quarterly. Usually less than 100 per year.

7. 2.3.9C: Would it be possible to provide a sample report with all the data elements included in one report?

Answer: Refer to RFP section 2.3.2 Table 2 - Implementation Timeline.

Within thirty (30) calendar days of the NTP, the Contractor shall provide methodologies and examples of supporting documentation for each

Performance Guarantee to the Contract Manager and Contract https://mymdbenefits.com/

Administrator. The methodologies and supporting documentation shall provide the State the ability to independently test each Performance

Guarantee. (See Exhibit 5) At this time, the State will work with the

Contractor on format and formatting of reports and documentation.

8. Attachment Q: Labor Resume Form: there is a note indicating the specific

Labor Resume Form document would be provided by the Procurement Officer.

Please provide the form or indicate if this is not required.

Answer: Refer to Amendment #4 on the eMMA website.

9. Page 3 of the FSA_-_Exhibit_5_-_Updated document Section II Plan Design, #2: the drop down box is locked and will not allow us to change the answer to

Yes or No. Please advise.

10. Page 5 of the FSA_-_Exhibit_5_-_Updated document Section III

Administrative and Operational Information, #7: the chart is locked from editing and will not allow us to answer. Please advise.

11. Page 13 of the FSA_-_Exhibit_5_-_Updated document Exhibit 5-4: Compliance

Checklist CC-7, Section 2.3.3E and CC-8, Section 2.3.3F refers to Section 3.10 of the RFP; however, in the Third_Party_Administrator_for_FSA_RFP_- _Updated document Section 3.10 Work Orders, it indicates “this section is inapplicable to this RFP”. Please advise.

Answer: Refer to Amendment #4 on the eMMA website

12. Would you be able to unlocked the footer in the FSA_-_Exhibit_5_-_Updated document? We do not have access to change the number in the footer, in order to comply with the numerical order in the RFP requirements.

13. Performance Guarantee-9: “The contractor shall report on remittance payments due to the State twice a year, at six (6) month intervals.” Please confirm if the remittance reporting included in PG-9 is specific to contribution/ banking requirements or penalties for missed performance guarantees.

Answer: Confirming PG-9 is specific to contributions / banking / reimbursements.

14. Tab F states that “The Offeror shall address each RFP requirement (RFP

Section 2) in its Technical Proposal with a cross reference to the requirement and describe how its proposed goods and services, including the goods and services of any proposed subcontractor(s), will meet or exceed the requirement(s).” The RFP document references Exhibit 5, the word document questionnaire, for this section. Can you confirm if our responses to Exhibit 5 will suffice here, or if we need to also address each element in Section 2?

Answer: Each RFP requirement (RFP Section 2) should be addressed with a cross reference to the requirement and description of how its proposed goods and services will meet or exceed the requirement(s). In addition, any paragraph in the Technical Proposal that responds to an RFP requirement shall include an explanation of how the work will be performed. The response shall address each requirement in Section 2 in order and shall contain a cross reference to the requirement.

15. Can you clarify where to find the Labor Resume Form? The form does not appear to be included in the original RFP, nor is there a link to download the form.

16. Exhibit 5 states “Section 2.3.3D: Contractor shall assume a share of the cost of an annual State-conducted Participant satisfaction survey on its health plan.”

Can you confirm what those approximate costs will be?

Answer: The State is currently conducting the satisfaction survey in-house at no-charge. In the event the survey is outsourced, the Offeror will be responsible for sharing in the cost.

17. Section 3.4 describes liquidated damages. Can you confirm what the total costs would be? The RFP says “insert value” where the damages would be listed.

Answer: The value of liquidated damages is calculated and inserted into the contract agreement once the award decision has been completed.

18. Under which tab should we include any supporting attachments, including the ones requested in Exhibit 5?

Answer: Submit supporting attachments as identified for each Tab in Table

A of Section 5.3.

19. Both Attachment D (MBE forms) and Attachment E (VSBE forms) include several different forms. Can you confirm which forms from each attachment are required to be included with our RFP response?

Answer: Appendices 4 and 5, as well as Attachments D and E, provide detailed instructions on the required forms to submit with the RFP response.

20. On page 4 of Exhibit 5, we are asked to complete a table labeled “Work Volume”. Should this table reflect all available reimbursement accounts, or just

FSA plans?

Answer: Please include all available reimbursement accounts.

21. On page 5 of Exhibit 5, we are asked to complete a table for total claims in 2025. Should this table reflect all of P&A’s book of business, or just for the State of Maryland?

Answer: Please report all of P&A’s book of business.

22. Are digital signatures on forms acceptable?

Answer:The State will accept electronic signatures on all Word and PDF documents for which a signature is required.

23. Will the state accept an MBE partner for each referenced goal and sub-goal that provide similar or the same services?

Answer: No. An MBE prime contractor can only count up to 50% of its work toward the overall MBE goal and up to 100% of only ONE MBE subgoal per

Code of Maryland Regulations 21.11.03.12-1(D).

24. The stated total MBE goal is 18%, and the subgoals are a total of 15%. Can the remaining 3% be used on any certified MBE partner of any category?

Answer: Yes, the remaining 3% can be used on any certified MBE partner of any category. Appendix 4.1 Establishment of Goal and Subgoals states, “Notwithstanding any subgoals established for this RFP, the Contractor is encouraged to use a diverse group of subcontractors and suppliers from any/all the various MBE classifications to meet the remainder of the overall

MBE participation goal.

25. Can any of the various Asian certified MBE companies be used to meet the 3%

Asian American sub-goal, specifically Asian American Pacific, Asian American Pacific / Female, Asian American sub-continent or Asian American sub-continent / Female?

Answer: Yes, any of the various Asian certified MBE companies can be used to meet the 3% Asian American subgoal. Code of Maryland Regulations

21.11.03.03.B(16)(b)(iii).

26. Can you confirm the specific location in Tab F where we should include Exhibit 5 questions?

Answer: Each section of the proposal prepared by the Offeror should be labeled accordingly. The proposal should restate each requirement and responses should follow.

25. Section 2.3.6 - Website, Mobile App, and Online Access for Participants: Please confirm how State of Maryland defines dedicated website and mobile app.

Answer: The State of Maryland does not have a definition for websites and mobile apps; refer to RFP section 2.3.6 for what the State is looking for with regards to a website and mobile app.

26. 2.3.9 (E) – Reporting: Please confirm the requested form and format.

Answer: The form and format of ad-hoc reporting depends on the type of report requested by the State but will follow the specifications of section

2.3.9A.

27. 2.3.11 (N) - Special Provisions: Weekly Eligibility Feeds: Can you provide a sample?

Answer: No. We are not able to provide a sample eligibility file feed.

28. Is a bid bond required for this solicitation?

Answer: No. A bid bond is not required for this solicitation.

29. Exhibit 5-7: Performance Guarantees: Is there any flexibility around the performance guarantees?

Answer: No.

30. Is the current contract a 10-year agreement?

Answer: The current contract began on 1/1/2017 and expires on

12/31/2026.

31. What service enhancements is the City anticipating with the new contract?

Answer: The State of Maryland is interested in any service enhancement that may be available in the industry over the past 7 years.

32. What is the total number of eligible employees, including all subgroups?

Answer: ~ 125,000

33. What are the current administrative fees in place?

Answer: This is confidential information and cannot be shared.

34. What is your current HRIS system?

Answer: The State uses Workday.

35. Under the current contract’s MBE and VBE goals, what services or vendors are currently being utilized for this project?

Answer: Offerors should select MBE and VSBE vendors needed to support and enhance the Offerors operation.

36. What is the likelihood of the State deploying the Commuter / Transit services?

Would those services begin in 2027 or 2028?

Answer: Earliest implementation will be 2028.

37. Regarding marketing materials, is electronic communication dissemination acceptable?

Answer: Electronic communication dissemination is acceptable in combination with hard copy via U.S.P.S.

38. Page 55 3.19 Non-Compete Clause Prohibition, is this stating that the winner bidder must employ a current employee/account manager from the State’s incumbent vendor?

Answer: 3.19 is not a mandate but a requirement to waive any non-compete clause during a transfer, if applicable.