Response to Offeror Questions document.pdf

This file is a Response to Offeror Questions document related to the State of South Dakota's Request for Proposals for Account Based Plans administration, specifically covering Health Reimbursement Accounts (HRA), Health Savings Accounts (HSA), and Flexible Spending Accounts (FSA). The State of South Dakota, Bureau of Human Resources and Administration, is soliciting comprehensive administration services for six account types serving approximately 12,944 eligible employees, with 12,064 active employees and 94 COBRA participants currently enrolled. The RFP requires vendors to respond to all plan designs under a single contractual arrangement, with proposals due October 28, 2026, at 5:00 PM CDT. Written questions from offerors were due October 16, 2026, and this document contains the State's responses to those submitted questions. Technical reviews are scheduled to begin November 9, 2026, with demonstrations and presentations occurring November 16-20, 2026, and an anticipated contract award decision by December 14, 2026. The contract term is five years, commencing July 1, 2027, through June 30, 2032, with the opportunity for up to two additional one-year renewals at the State's discretion.

The State requires vendors to meet substantial IT and security requirements, including Single Sign-On integration with OAuth 2.0 protocol, Web Content Accessibility Guidelines 2.1 Level AA compliance, SOC 2 Type II reporting or FedRAMP certification, cyber liability insurance, multifactor authentication, and AES-256 encryption, with all data residing exclusively within continental United States data centers. Vendors must sign a Business Associate Agreement establishing HIPAA compliance obligations and complete a comprehensive Security and Vendor Questionnaire. Cost proposals must be submitted in Excel format with itemized fees, and administrative services fees cannot increase during the initial five-year contract term. Contract awards are subject to BIT approval.