RFP_Benefits_Insurance_Broker_Services_3-07-24_Final.pdf

1 | P a g e

Office of Risk and Insurance Management Benefits Insurance Broker Services

RFP # 01042024-002

Governor Gavin Newsom

Notice to Prospective Proposers Request for Proposals (RFP)

RFP# 01042024-002

Date: 03/07/2024

You are invited to review and respond to this Request for Proposals (RFP) entitled Benefits Insurance Broker Services. The Department of General Services (DGS), Office of Risk and Insurance Management (ORIM) is seeking proposals for the most qualified Proposer to provide Benefits Insurance Broker Services. The services specifically required are delineated in the Attachment 17 Sample Standard Agreement (STD 213).

To submit a proposal, the Proposer must comply with all the requirements contained in this RFP. Failure to comply with any of the requirements may result in rejection of your proposal. By submitting a proposal your firm agrees to the terms and conditions stated in this RFP and the proposed contract.

Note that all agreements entered into with the State of California will include by reference Non IT General Terms and Conditions (GTC 04/2017) and Contractor Certification Clauses (CCC 04/2017) that may be viewed and downloaded at the following internet site: https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language. If you do not have Internet access, a hard copy can be provided by contacting the RFP contact listed below.

Proposers are encouraged to carefully read the entire solicitation. The need to verify all documentation and responses prior to the submission of proposals is the responsibility of the Proposer and cannot be overemphasized. Please ensure insurance requirements are considered in your bid amounts. Note: The Proposer must be advised of Executive Order N-6-22 Russia Sanctions per Attachment 19 attached within this RFP.

The State reserves the following rights in its sole and absolute discretion: (i) to reject any or all proposals, (ii) to make an award as the Department of General Services (DGS), ORIM determines to be in the best interest of the State, (iii) to waive any immaterial, informal, or irregular deviations in proposals, and (iv) to amend or withdraw https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language

2 | P a g e this RFP at any time prior to the Response Due Date per RFP Key Action Dates/Times - Section D.1. or as otherwise permissible under the law.

In the opinion of ORIM, this RFP is complete and without need of explanation. The language of the Sample Standard Agreement is not negotiable. However, if you have questions regarding this RFP, please contact the below listed RFP Contact. See Written Questions-Section D.3 for question(s) submission information. Please note that verbal information given will not be binding on the State unless such information is issued in writing as an official addendum to this RFP.

Nav Mahl NavdeepMahl@dgs.ca.gov Phone: 916-376-5305 707 Third St, MS 403 West Sacramento, CA 95605 mailto:NavdeepMahl@dgs.ca.gov

3 | P a g e

Table of Contents Section A. Overview and General Information Section B. Technical Proposal Format Requirements Section C. Mandatory Minimum Requirements for Proposers Section D. Proposal Information Section E. Submitting a Proposal Section F. Proposal’s Submission Section G. Rejection of Proposal Section H. Errors in the Proposal Section I. Proposal Evaluation Section J. Proposal Scoring Section K. Award and Protest Section L. Disposition of Proposals Section M. Agreement Execution and Performance Section N. Preference and Incentive Programs Attachment 1 Required Attachment Checklist Attachment 2 Mandatory Minimum Requirements for Proposers Checklist Attachment 3 Proposal/Proposer Certification Sheet Attachment 4 Bidder Declaration (GSPD-05-105) Attachment 5 Payee Data Record Attachment 6 Proposer References Attachment 7 DARFUR Contracting Act Attachment 8 IRAN Contracting Act Attachment 9 Commercially Useful Function Certification Attachment 10 Copy of Resumes for All Organizational Chart Personnel Attachment 11 Organizational Chart Attachment 12 Cost Proposal Attachment 13 Technical Proposal Attachment 14 State of California, Secretary of State Attachment 15 Department of Insurance License and Number Attachment 16 Written Proposal Evaluation Scoring Attachment 17 Sample Standard Agreement (STD 213) Agreement Exhibit A Scope of Work Agreement Exhibit B Budget Detail and Payment Provisions & Attachment 1 Agreement Exhibit C Non-IT General Terms and Conditions (GTC 04/2017) Agreement Exhibit D Special Terms and Conditions Attachment 18 Benefits Insurance Broker Services - Policy List Attachment 19 Russian Sanction Orders Attachment 20 Disabled Veteran Business Enterprise (DGS PD843)

Willson, Carrie@DGS Switch out for CA sec of state reg copy

Mahl, Navdeep@DGS done

4 | P a g e

A. OVERVIEW AND GENERAL INFORMATION

1. Through this RFP, DGS/ORIM is seeking competitive proposals from insurance brokers to assist ORIM with the marketing, placement, program design, administration, servicing of existing and new emerging insurance policies and programs, consulting, insurance policy claims management, and risk management for the State and its agencies and departments for the entire term of this proposed contract. Through Government Code 11007.7, the State of California Department of General Services has the authority to procure insurance on behalf of state departments. The State, in its sole and absolute discretion, reserves the right to procure any insurance policies and/or insurance programs that are in the best interest of the State. For a complete scope of services, Proposers are to reference Attachment 17 Sample Standard Agreement (STD 213).

2. Possible policies for inclusion in this program are outlined in Attachment 18- Benefits Insurance Broker Services -Policy List. This list is not a guarantee of policies or program(s) to be procured and/or serviced. Each year insurance policy and program needs change based on individual agency or department needs. DGS/ORIM, in its sole and absolute discretion, reserves the right to re-evaluate the State’s agencies or departments need for insurance policies, programs and coverages and will cancel or request coverage changes to any existing and/or future insurance policies or programs.

3. Currently there is one (1) broker of record (“BOR”) under contract covering the policies and programs shown in Attachment 18-Benefit Insurance Broker Services- Policy List. This contract expires as of 06/30/2024. Policies and programs on Attachment 18-Benefit Insurance Broker Services– Policy List to be serviced will transfer as of their renewal date. It is anticipated that the contract for services provided per this RFP will be for a three (3) year period with two, (3) three-year options for the State to extend under the same terms and conditions.

4. The State is a large and diverse governmental organization comprised of many agencies and departments performing a wide range of functions and operations, with an overall annual budget in excess of $290 billion and approximately 230,000 employees. The State prefers to be uninsured where possible.

5. ORIM, with some exceptions, has responsibility for the approval of the purchase of insurance policies and programs for State departments. ORIM will arrange for the procurement of insurance when the decision to purchase an insurance policy or program has been made.

6. The state has approximately 23 benefit insurance policies and programs in force with varying expiration dates throughout the fiscal year. Some of these policies and programs include but are not limited to health, dental, vision, life, AD&D. The following insurance policies and an assortment of miscellaneous remaining insurance policies and programs are detailed in Attachment 18- Benefits Insurance Broker Services-Policy List as of the date of posting of this RFP. Historical information provided is for reference only. The State does not

5 | P a g e guarantee any insurance policies, premiums, fees, or commissions. Copies of insurance policies and loss runs will be provided after agreement award.

a. Business Enterprises Program (BEP)

DGS ORIM and the Department of Rehabilitation (DOR), Business Enterprises Program (BEP) have an interagency agreement to facilitate their insurance needs. The BEP promotes, designs, installs, and supervises food service facilities in government (federal, state, county, and municipal) buildings and locations. The food service facilities consist of cafeterias, snack bars, and vending machine locations. There are also a small number of product storage locations relative to vending machine facilities. There are approximately 56 (visually impaired) full-time BEP Vendors (Vendors), operating around 70 facilities, with roughly 330 Vendor employees throughout the state. Some Vendors manage more than one facility. Note: Vendors and their employees are classified as private employees. This can be a challenge when procuring insurance on behalf of BEP. For more information on this program visit: BEP - CA Department of Rehabilitation

The program is currently facing challenges due to the Covid pandemic impacting BEP locations from operating at full capacity. Prior to Covid, BEP averaged net sales of $35 Million. Since Covid the program has averaged $15M in net sales, impacting BEP, the Vendors, and Vendor employees financially.

BEP procures health insurance and pays the annual premium upfront at the time of policy renewal to offer elective health insurance coverage to its Active Venders and Vender Employees. Each Vendor with a BEP location is considered an “Active Vendor” and can elect to enroll and be billed monthly for benefit coverages. Each Vendor that enrolls, pays a portion for Kaiser Medical HMO plan, Kaiser Medical PPO plan, for United Healthcare Dental PPO plan and/or for United Healthcare Dental HMO plan and/or MetLife Vision plan. Vendor employees pay 100% of health plan costs. The basic life insurance is paid by in full by BEP, and the Vendors do not reimburse those costs. The dental, vision, and supplemental life insurance coverages are paid directly by the BEP vendor or vendor employee that chooses to procure those coverages. The benefit policy premiums are arranged by monthly billings through a Third-Party Administrator (TPA) utilized by the current BOR. The TPA provides for BEP benefit enrollment services and insurance billing including health, dental, vision and life. These services are facilitated by the TPA directly with the enrolled party and ORIM. There are currently 18 Kaiser Medical, 7 Vision, 17 Dental, 56 Basic Life and 4 Supplemental Optional Life enrollees. At each open enrollment period approximately 5 - 10 changes to enrollees and/or coverages are processed.

For further details, see Agreement Exhibit A – Scope Of Work.

b. Miscellaneous Policies Currently the State has dental, AD&D, member voluntary and basic life https://dor.ca.gov/Home/BEP https://dor.ca.gov/Home/BEP

6 | P a g e insurance coverage and other insurance policies detailed in Attachment 18 -Benefits Insurance Broker Services-Policy List as of the date of posting of this RFP. Historical information provided is for reference only. The State does not guarantee any insurance policies, premiums, fees, or commissions.

c. Other Policies The State may have other insurance policies or self-funded insurance programs in effect through other State entities; they are not included in this RFP.

7. At this time, Proposers are not authorized to approach insurers or other underwriting sources on behalf of the State. We specifically request that no insurance market contact be made on behalf of the State and that no market reservations or commitments be made for any purpose with respect to any insurance or reinsurance to be provided for the State. Violation of this request may be subject to disqualification of any Proposer.

8. Remuneration to the successful Proposer will be in the form of a capped commission for all insurance policies as stated on the Cost Proposal. The awarded Proposer will instruct all insurance companies and insurance brokers or agencies to issue their quote with the capped commission rate for all policies per the awarded Proposer’s bid Cost Proposal. The awarded Proposer cannot collect contingency commissions, overrides, broker fees or any other revenues/fees from placement of insurance under this program. This includes, but is not limited to, any entities with common ownership or in any way related to the BOR. Full transparency and disclosure will be required from the successful Proposer throughout the term for any agreement awarded pursuant to this RFP.

9. Contract award will be based on the combined Technical and Cost Proposal scores as described herein. Proposals submitted in response to this RFP that have been deemed responsive and responsible will be evaluated with the intent of awarding a contract to the highest ranked Proposer.

10. The term of this agreement shall be three (3) years, with the State’s option to extend the term by two (2), (3) three-year terms.

11. The State reserves the right, in its sole and absolute discretion, to (i) reject any and all submissions, or any part thereof (ii) accept any submission, or any part thereof, (iii) re-issue or change this RFP, and (iv) procure the services required herein by other means deemed to be in the State’s best interest.

12. The State reserves the right to accept or reject a proposal, or modify or withdraw, in part or in its entirety, this RFP. Changes will be announced by addenda and will be posted to the Cal eProcure website at:

https://caleprocure.ca.gov/pages/index.aspx .

13. Only one proposal from an individual, firm, partnership, corporation, or combination thereof, will be considered. Reasonable ground for believing a Proposer has submitted multiple proposals under more than one name will be cause for rejection of all proposals in which the Proposer is interested.

14. All submissions and all evaluation and scoring sheets that are retained by the https://caleprocure.ca.gov/pages/index.aspx

7 | P a g e

State shall be made available for public inspection.

B. TECHNICAL PROPOSAL FORMAT REQUIREMENTS

1. Submissions are to be clear, concise, and specific to the requirements of this

RFP. The written submissions should not include publications of the Proposer such as published articles, directories, or client lists. Submit only information that is pertinent to the RFP.

2. An original proposal marked “ORIGINAL COPY” and five (5) copies will be required for the Technical Proposal.

3. All pages of the technical proposal (including cover pages, table of contents, references, and resumes) shall have the following header and page numbering format in the upper right-hand corner:

Technical Proposal

RFP # 01042024-002

Page # of #

4. Brochures, tapes, drawings, etc. being submitted with technical proposals shall be clearly identified as to the name of the Proposer and the RFP number. Any materials submitted with your RFP will become the property of the State.

5. The technical proposal must contain a Table of Contents clearly identifying the location where the Proposer addressed or fulfilled each requirement listed below.

6. Preface the technical proposal with an executive summary of two (2) pages or less which provides a concise summation of the proposal.

7. Any costs, identified or stated in any manner in the Technical Proposal, will result in rejection of the proposal.

8 | P a g e

C. MANDATORY MINIMUM REQUIREMENTS FOR PROPOSERS

NOTE: Submissions that do not meet mandatory minimum requirements will be rejected and will not be scored.

Proposers must complete and meet the entire Mandatory Minimum Requirements of Attachment 2-Mandatory Minimum Requirement for Proposers Checklist of this RFP. Proposers must meet all Mandatory Minimum Requirements. Mark Yes or No to the Attachment 2 checklist for the items listed below. Furthermore, Proposer must complete all required requests for information.

Response Format:

i) A “Yes” indicates that the Proposer understands the Requirement as stated in the RFP and shall comply with the Requirement.

ii) A “No” indicates that the Proposer does not understand the Requirement as stated in the RFP and therefore cannot assure its compliance or does understand the Requirement but does not plan to comply with the Requirement.

NOTE: A “No” response to any of the Mandatory Minimum Requirements in Attachment 2 - Mandatory Minimum Requirement For Proposers Checklist will cause the proposal to be rejected as non-responsive and will not be scored.

The Mandatory Minimum Requirements are:

1. The Proposer must have at least one or more physical office locations within

California at the time the Proposer’s submission is made. Location address must be identified in the RFP response.

2. The successful Proposer shall maintain at least one or more physical office locations within California during the term of any contract awarded pursuant to this RFP.

3. The Proposer shall possess appropriate licensure as an insurance broker or agent from the California Department of Insurance. The successful Proposer shall always maintain all requisite licensure during the term of any contract awarded pursuant to this RFP.

4. The Proposer must provide a valid Department of Insurance license number with Proposer’s submission (See Attachment 15 - Department Of Insurance License Number). A copy of the current license must be attached to the RFP response.

5. The Proposer must provide a list of at least 10 insurance carriers to which your firm has a direct appointment for benefits insurance. Each carrier must have an AM Best rating of A-VII or better. The NAIC # must be included for each carrier listed if applicable.

6. The Proposer must have and continue to maintain a minimum annual written benefits premium volume of $30,000,000 or more placed through its California offices.

7. The Proposer must be registered with the State of California, Secretary of State, if required by law. A copy must be included with your bid response. See Attachment 14 – State of California, Secretary of State.

9 | P a g e

8. The Proposer must have and continue to maintain Professional Liability/Errors and Omissions coverage at a limit not less than $10,000,000.

9. The Proposer must provide an organizational chart of the proposed adequately staffed team that includes Name, title, role of all personnel including any subcontractors, back-up personnel, or consultant firms who will be assigned to the State program. The Proposer must specifically designate:

a. The name and the title of the person who will be fully responsible for all aspects of the State program.

b. The name of the Account Manager having day-to-day program management responsibility for administration of Benefits Insurance Broker Services.

10. The Proposer’s Account Manager must have a minimum of 10 years’ public entity experience in benefits insurance marketing, underwriting, designing coverage plans, program development, and performing other insurance-related services as defined in this RFP.

11. The Proposer must provide a current and complete resume for all individuals listed on the organization chart as required above in item 9.

12. The Proposer shall submit the completed Attachment 1-Required Attachment Checklist along with all forms required within Attachment 1- Required Attachment Checklist.

13. The Proposer shall submit all necessary information and completed forms required showing proof of the mandatory 3% DVBE participation per Section N.3.

Disabled Veteran Business Enterprise Incentive of this RFP. The DVBE must perform a commercially useful function as defined in Chapter 623, Statutes of2003 (A.B. 669), see Attachment 9-Commercially Useful Function Certification.

Also, see Attachment 4–Bidder Declaration (GSPD-05-105) and Attachment 20- DVBE Declaration (DGS PD 843).

14. The Proposer must provide three (3) references, for public entity benefits Insurance Broker Services within the last 5 years, for the firm as required on Attachment 13- Technical Proposal, A. Firm Experience. References are required to be submitted on Attachment 6-Proposer References. Any required information and/or documentation identified on Attachment 6-Proposer References must be submitted to be considered responsive.

D. PROPOSAL INFORMATION

1. RFP Key Action Dates/Times

All Proposers submitting proposals are hereby advised of the following RFP KEY ACTION DATES/TIMES and shall adhere thereto. Listed below are the important action dates and times by which actions must be taken or completed. This represents the State’s best estimate of the schedule that shall be followed.

Unless otherwise specified, the time of day for the following events shall be between 8:00 a.m. and 5:00 p.m., Pacific Standard Time.

10 | P a g e

RFP KEY ACTION DATES/TIMES

EVENT DATE TIME (PST)

RFP Available to Prospective Proposers 03/07/2024 Written Questions Submittal Deadline 03/22/2024 2:00 PM Questions and Answers to be Posted 03/26/2024 5:00 PM

Deadline for Final Proposal Submittal 04/10/2024 2:00 PM Evaluation Of Proposals Begins 04/10/2024

Tentative Notice of Intent to Award 04/16/2024 Tentative Contract Award Date 04/23/2024

NOTE: ALL DATES AFTER THE DEADLINE FOR FINAL SUBMITTAL ARE APPROXIMATE

AND MAY BE ADJUSTED AS CONDITIONS INDICATE, WITHOUT ADDENDUM TO THIS

RFP.

2. Proposal Packaging

a. Proposals submitted in response to this RFP shall be submitted in four (4) separately sealed packages/envelopes as follows:

i) Sealed package: Technical Proposal – One original and five copies.

The original must be clearly marked “Original” on its face and each copy must be marked with the Proposer’s name with RFP# and numbered one through five on its face. This must be separate from the Cost Proposal.

ii) Sealed envelope: Technical Proposal - Each Proposer shall include one (1) electronic version of its Technical Proposal only in a searchable pdf format on a thumb drive. The Cost Proposal must not be included.

iii) Sealed envelope: Cost Proposal – Original Cost Sheet only.

Alternatively, the separately sealed Cost Proposal envelope may be placed in the original sealed package containing the Technical Proposal. This must be separate from the Technical Proposal.

iv) Sealed envelope: Cost Proposal - Each Proposer shall include one

(1) electronic version of its Cost Proposal in a searchable pdf format on a thumb drive. Alternatively, the separately sealed Cost Proposal envelope may be placed in the original sealed package containing the Technical Proposal. The Technical Proposal must not be included.

b. Proposals must be received (by mail or hand-delivered) no later than the date and time set forth in SECTION D.1. Any proposal received after the Response Due Date will not be considered.

c. The Proposer will deliver their proposal in such a way that the outside is clearly labeled as indicated below:

Sealed Package(s) Sealed Envelope(s)

11 | P a g e

Department of General Services Office of Risk & Insurance Management

Attn: Nav Mahl 707 Third Street, MS 403 West Sacramento, CA

95605

TECHNICAL PROPOSAL

BENEFITS INSURANCE

BROKER SERVICES

RFP# 01042024-002

DO NOT OPEN

Department of General Services Office of Risk & Insurance Management

Attn: Nav Mahl 707 Third Street, MS 403 West Sacramento, CA

95605

COST PROPOSAL

BENEFITS

INSURANCE

BROKER SERVICES

RFP#01042024-002

DO NOT OPEN

12 | P a g e

NOTE: If submitting proposal by special delivery, proposals must be separately sealed including electronic versions before placing it in the delivery package.

Clarification of specifications or questions regarding arranging hand delivery should be directed to: Nav Mahl, phone 916-376-5305, email Navdeep.Mahl@dgs.ca.gov.

13 | P a g e

3. Written Questions

a. Proposers requiring clarification of the intent or content of this RFP or on procedural matters regarding the competitive procurement process may request clarification by submitting questions via email to the Analyst listed on the Notice to Prospective Proposers with the subject line: “QUESTIONS RELATED TO

THE RFP FOR THE BENEFITS INSURANCE BROKER SERVICES.”

b. It is the Proposer’s responsibility to ensure questions are received prior to the deadline. To ensure a response, questions must be received in writing by the date given for written questions in RFP Key Action Dates/Times-Section D.1.

Question and Answer Sets will be provided to all Proposers without identifying the submitters and will be posted as an official Addendum on eProcure.

https://caleprocure.ca.gov/pages/index.aspx

c. A Proposer who desires clarification or further information on the content of the RFP, but whose questions relate to a proprietary aspect of that Proposer’s proposal submission and if disclosed to other Proposers, would expose that Proposers bid, may submit such questions in the same manner as above, marked “CONFIDENTIAL,” not later than the scheduled date specified per RFP Key Action Date/Times-Section D.1 to ensure a response. The Proposer must explain why any questions are of a sensitive nature. If ORIM concurs that, the disclosure of the question or answer would expose the proprietary nature of the bid, the question will be answered, and both the question and answer will be kept in confidence during the RFP process. If ORIM does not concur with the explanation of the proprietary aspect of the question(s), the question(s) will not be answered in this manner and the Proposer will be so notified.

d. If a Proposer discovers any ambiguity, conflict, discrepancy, omission or other error in this RFP, the Proposer will immediately notify ORIM of such error(s) in writing and request clarification or modification of the document. If a Proposer fails to notify ORIM, prior to the Response Due Date for the RFP Submission, of an error known to the Proposer, or an error that reasonably should have been known, the Proposer will bid at their own risk, and if awarded the contract, will not be entitled to additional compensation or time by reason of the error or its later correction.

14 | P a g e

E. SUBMITTING A PROPOSAL

1. The proposal submission is a mandatory step for all Proposers. Proposers are strongly encouraged to carefully read the entire RFP prior to a submission of proposal. The need to verify all documentation and responses prior to the submission of the proposal cannot be overemphasized.

2. Expensive bindings, colored displays, promotional materials, etc., should not be included in the Proposal submission and if included, may be cause for rejection.

Emphasis should be concentrated on conformance to the RFP instructions, responsiveness to the RFP requirements and completeness and clarity of content.

Developing the proposal submission is entirely the responsibility of the Proposer and will not be chargeable to the State.

3. The proposal must be complete in all respects as described in this RFP. A proposal submission may be rejected if it is conditional or incomplete, or if it contains any alterations of form or other irregularities of any kind. A proposal submission will be rejected if any such defect or irregularity constitutes a material deviation from the RFP requirements.

4. A complete proposal must include Attachment 1-Required Attachment Checklist and all documents identified on the checklist. Documents must be submitted in the order listed. A proposal submission not including all required documents will be deemed non-responsive. A non-responsive proposal is one that does not meet the basic Proposal requirements, which is cause for rejection.

5. Proposals must be submitted for the performance of all the services described herein. Any deviation from the work specifications and forms provided will not be considered and will cause a proposal to be rejected.

6. An individual who is authorized to bind the bidding firm contractually will sign the Attachment 3-Proposal/Proposer Certification Sheet. Attachment 3 must be submitted with proposal submittal package. The signature must indicate the title or position that the individual holds in the firm. An unsigned proposal may be rejected.

7. Electronic signatures including scans of wet signatures are permissible for all proposal documents.

8. Proposals and related documents must be completed in ink, typewritten or electronically prepared. No erasures or “white out” are permitted. Errors may be crossed out and corrections printed in ink or typewritten adjacent to the error. The person signing the Attachment 3-Proposal/Proposer Certification Sheet must initial corrections, in ink.

9. If the proposal is made under a fictitious name or business title, the actual legal name of Proposer must be provided.

15 | P a g e

F. PROPOSAL SUBMISSION

1. All proposals must be submitted under sealed cover to the address listed in

Proposal Packaging-Section D. 2 and must be received by the date and time specified in RFP Key Action Dates/Times-Section D.1. The sealed cover must be plainly marked with the RFP number and title, must show your firm name and address, and must be marked with "DO NOT OPEN.” Proposals not submitted under sealed cover will be rejected. Proposals received after this date and time specified in Section D.1. will be considered non-responsive and will be rejected.

2. A minimum of one original and five copies of the proposal must be submitted. Only one Cost Sheet must be submitted.

3. The original proposal must be marked "ORIGINAL.” All documents contained in the original proposal package must have original signatures and must be signed by a person who is authorized to bind the proposing firm. All additional proposal sets may contain photocopies of the original package.

4. The proposal will be marked by DGS with the time and date upon receipt. It is the responsibility of the Proposer to ensure timely delivery of the bid. A postmark or facsimile transmission will not be accepted as meeting the delivery time requirements if the Proposal is received after the specified deadline. Proposers choosing to hand-deliver their submission should allow extra time for including but not limited to traffic, sparse parking, slow elevators, and security clearance procedures.

5. Developing the proposal submission is entirely the responsibility of the Proposer and will not be chargeable to the State. The proposal submission implies no obligation on the part of DGS to contract for services.

G. REJECTION OF PROPOSAL

1. A Proposal submission not received by the date and time specified in RFP Key Action Dates/Times-Section D.1., or not sealed, as instructed herein, will be rejected.

2. A “No” response to any of the Mandatory Minimum Requirements in Attachment 2-Mandatory Minimum Requirement For Proposers Checklist will cause the proposal to be rejected as non- responsive and will not be scored.

3. To be considered responsive, a submission must comply in all respects with the requirements of the RFP. Proposers shall not be permitted to deviate or take exception to any requirements or clauses in the RFP or its attachments. A submission that attempts to qualify the requirements of the solicitation documents in any way will be determined non-responsive and will be excluded from further consideration in the evaluation and award process.

4. The Proposal submission must not contain false or misleading statements, or provide references, which do not support an attribute or condition claimed by the

16 | P a g e

Proposer. If, in the opinion of DGS, such information was intended to mislead DGS in its evaluation of the Proposer, and the attribute, condition, or capability is a requirement of this RFP, it will be the basis for rejection of the proposal submission.

5. Deviations in the proposal submission, whether or not intentional, may cause the proposal submission to be non-responsive and not considered for award.

6. Material submitted that is marked “CONFIDENTIAL” or “PROPRIETARY” by any Proposer will be returned to the Proposer and cause the entire Proposal submission to be deemed non-responsive and rejected. This does not apply to Written Questions - Section D.3.

7. The State does not accept alternate contract language from a prospective Proposer. A Proposal submission with such language will be considered a counter proposal and will be rejected. Note that all agreements entered into with the State of California will include by reference Non IT General Terms and Conditions (GTC 04/2017) and Contractor Certification Clauses (CCC 04/2017) that may be viewed and downloaded at the following website:

https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services- Resources-List-Folder/Standard-Contract-Language . If you do not have Internet access, a hard copy can be provided by contacting Nav Mahl at the contact information listed within this RFP.

8. DGS is not required to award a contract. DGS reserves the right to reject any or all bids, to waive informalities and minor irregularities in bids received, and to accept all or any portion of a bid, if deemed in the best interest of the State and not contrary to law. DGS’s waiver of any immaterial deviation or defect will in no way modify the RFP documents or excuse the Proposer from full compliance with the RFP specification, if awarded the contract.

H. ERRORS IN THE PROPOSAL

1. The Proposer is cautioned to not rely on DGS during the evaluation to discover and report to the Proposer any defects and errors in the submitted documents.

The Proposer, before providing a Proposal submission, should carefully proof their documents for errors and adherence to the RFP requirements. Proposers should review, correct all errors, and confirm compliance with the RFP requirements.

2. A Proposer may modify a proposal after its submission by withdrawing its original proposal and resubmitting a new proposal prior to the Response Due Date- Section D.1. Proposer modifications offered in any other manner, oral or written, will not be considered.

3. A Proposer may withdraw its proposal by submitting a written withdrawal request to DGS, signed by the Proposer or an authorized agent. A Proposer may thereafter submit a new proposal prior to the Response Due Date-Section D.1.

Proposals may not be withdrawn without cause subsequent to the Response Due Date-Section D.1.

4. DGS may modify the RFP prior to the Response Due Date-Section D.1. by posting an Addendum on the DGS eProcure website:

https://caleprocure.ca.gov/pages/index.aspx

5. DGS reserves the right to reject all proposals. DGS is not required to award an https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language

17 | P a g e agreement.

6. No oral understanding or agreement shall be binding on either party.

7. DGS may, at its sole option, correct discrepancy/errors on the copy set on the basis that if intent is not clearly established by the complete proposal submission the set marked as Original will have priority over additional copies.

8. The State reserves the right, in its sole and absolute discretion, to determine a deficiency is not substantive and waive the deficiency as immaterial. Waiver of an immaterial defect by the State shall in no way modify the RFP documents or relieve the Proposer from full compliance with contract requirements if the Proposer is awarded the contract.

I. PROPOSAL EVALUATION

1. Proposal submission opening is not open to the public. Pursuant to Public Contract Code (PCC) 10344, all proposals and all evaluation and scoring sheets shall be available for public inspection at the conclusion of the completed scoring process.

2. The State will appoint an evaluation committee consisting of state employee(s) to verify and evaluate the submitted proposals. The evaluation committee will be responsible for the review and evaluation of the Proposer’s submission in accordance with the RFP requirements for Items 3.a. and 3.b. below, Administrative Evaluation and Technical Evaluation. Proposals received after the Response Due Date - Section D.1. will be considered non-responsive, will be rejected, and will not be evaluated.

3. During evaluation, the Sealed Package will be opened to verify if the Proposer has met the Proposer Minimum Requirements and provided and completed attachments required by the RFP. If the Proposer Minimum Requirements are not met and/or if any of the required documents are missing, the evaluation committee shall reject the proposal submission as non-responsive. If any of the required documents are incomplete and/or have been modified, the proposal may be rejected as non-responsive.

a. Administrative Evaluation – the Proposal submission will be evaluated on administrative aspects of the submission as described in the RFP to assist in determining a responsive responsible proposal. The administrative review may include, but is not limited to:

i. Validation of References;

ii. SB Preferences have been evaluated, confirmed and calculated;

iii. DVBE Participation Requirement and Incentives have been evaluated, confirmed and calculated;

iv. Darfur certification has been evaluated;

v. Iran certification has been evaluated;

vi. Commercially Useful Function (CUF) Analysis;

vii. Largest tax delinquents eligibility confirmed;

viii. Corporate standing has been verified with State of California, Secretary of State;

ix. Cost Proposal calculations have been verified.

b. The documents provided by the Proposer in their proposal submittal enable ORIM to evaluate for responsiveness. ORIM reserves the right

18 | P a g e to ask clarifying questions during evaluation, such as the CUF;

however, the answers cannot change or alter the proposal submittal.

Should a discrepancy exist between the answer provided and the proposal submittal, the proposal submittal will be considered correct.

c. If a field within the Cost Proposal is left blank, it will be construed as a bid of $0.00 for that line item on the Cost Proposal.

d. If a field within the Cost Proposal is marked with anything other than a number (i.e., N/A), the bid may be deemed nonresponsive.

e. ORIM will determine the validity of references, and signatory authority of winning proposal prior to awarding contract or posting Notice of Intent to Award. ORIM’s determination of proposal being responsive and responsible will be final.

Technical Evaluation - Attachment 13-Technical Proposal will be evaluated and scored in accordance with a 5-point scale shown in the below table. The State’s evaluation committee will provide a consensus score. The Technical Proposal can receive a maximum of 700 points, or 70 percent of the total score.

Evaluation Factor/Sub Factor Weight X Consensus Rating = Weighted Score

Consensus Rating (Range: 0-4)

Rating Definitions

4 Exceeded All Requirements 3 Partially Exceeded Requirements 2 Met All Requirements 1 Partially Met Requirements 0 Requirements Not Met

EXAMPLE ONLY WEIGHT CONSENSUS RATING WEIGHTED

SCORE

Proposer’s Approach to Technical Proposal

X

4. Once a proposal has been evaluated for administrative and technical requirements and after the technical scoring has been completed, sealed envelope (Attachment 12-Cost Proposal), which was submitted in a separate sealed envelope) will be opened, evaluated, and scored.

19 | P a g e

J. PROPOSAL SCORING

1. The RFP Technical Requirements has the below possible points:

Technical Requirement

Firm Experience 80 Points

Technical Requirement

Individual Experience and Qualifications of Proposed Team Members

188 Points

Technical Requirement

Scope of Work Overview 252 Points

Technical Requirement

Additional resources 100 Points

Technical Requirement

Program Challenges 80 Points

Total Technical Requirements Points Possible 700 points

2. The RFP Cost Sheet has the below possible points:

Cost Sheet ATTACHMENT 12 300 Points

Total Cost Points Possible 300Points

a. Cost Sheet Evaluation – The below information is being provided for information only. The evaluation committee will determine the points based on the information derived from the Attachment 12-Cost Proposal provided in the Proposer’s RFP Submission.

b. The Cost Sheet can receive a maximum of 300 points, or 30 percent of the total score.

ORIM seeks Proposers capable of efficiently delivering quality and reasonably priced services, and Cost Proposals will be evaluated with attention paid to those factors. The lowest responsive Cost Proposal submitted will be awarded the full 300 points.

The lowest cost proposal is awarded the maximum cost points. The other proposals are awarded cost points based on the following calculation:

Proposal cost points are determined by dividing the lowest cost proposal amount by the considered proposal amount and multiplying the result by 300 points.

Example: Lowest cost proposal = $75,000 Other cost proposal = $100,000 = 0.75 x 300 points possible = 225 points

The lowest cost proposal receives 300 points.

The other cost proposal receives 225 points.

20 | P a g e

NOTE: If, in the further review of Attachment 12-Cost Proposal, a mathematical discrepancy is found, the Capped Commission Percentage listed in each line for each Program Description will be considered correct and the discrepancy will be adjusted accordingly in the Total.

c. The total points possible for the Benefits Insurance Broker Services evaluation are:

Criteria Points Possible RFP Technical Requirements 700 RFP Cost Sheet 300 Small Business, if applicable To be determined DVBE Incentive, if applicable To be determined

d. In the event of a tie(s) the successful Proposer will be determined based on its employment of and/or qualification for the following State programs in descending order of importance. The order will be as follows:

Most Important – Disabled Veteran Business Enterprise (DVBE) Next – Small Business preference

For example, if one of two tying Proposers utilizes a DVBE, the Proposer utilizing the highest percentage of DVBE participation would be the successful Proposer. This selection process will be followed from most to least important of the State programs.

In the event of a tie through all of the State programs the Proposer with the lowest cost proposal will be selected.

Should a tie continue through the cost proposals the contract award will be based on a coin toss or other methods determined by the ORIM Chief or designee, should there be more than two tying Proposers.

K. AWARD AND PROTEST

1. Award:

a. Contract award, if made, will be awarded to the proposal that receives the highest score after the application of preferences and incentives.

b. A Notice of Intent to Award will be posted online at:

https://caleprocure.ca.gov/pages/index.aspx at least 5 working days prior to the award. If no protests are filed within 5 working days after posting, the award will be final.

2. Protest:

a. If a Proposer, prior to the award of agreement, files a notice of protest with

DGS/OLS, specifying the grounds that the Protestant was the highest scored proposer, then the agreement will not be awarded until either the protest has been withdrawn or DGS/OLS has decided the matter.

21 | P a g e

b. Within five (5) days after filing the notice of protest, the Protestant will file with DGS a full and complete detailed written statement specifying the grounds for the protest. The notice of protest and the full and complete detailed written statement must be sent to both contacts below:

Department of General Services, Office of Legal Services (OLS), Attention: Bid Protest Coordinator;

707 3rd Street, Suite 7-330, Email Address: OLSProtests@dgs.ca.gov

Department of General Services, Office of Risk and Insurance Management (ORIM) Attn: Office Chief, and Nav Mahl 707 Third Street, MS403

Email Address: Navdeep.Mahl@dgs.ca.gov

OLS will accept protests via mail, email, or hand delivery; although, the preference is via email.

3. NEWS RELEASES: News releases pertaining to award of, or work performed as a result of, contract may not be made without prior written approval of:

The Public Information Officer 707 Third Street, MS 101 West Sacramento, CA 95605 Phone: (916) 376-5037 Email: DGSPublicAffairs@dgs.ca.gov

L. DISPOSITION OF PROPOSALS

1. Upon proposal submittal, all documents submitted in response to this RFP will become the property of the State of California, and will be regarded as public records under the California Public Records Act (Government Code Section 6250 et seq.) and subject to review by the public.

2. Proposal packages may be returned only at the Proposer’s expense unless such expense is waived by the Department of General Services and only after the final tabulation has been released.

3. Upon cancellation of the solicitation, the ORIM analyst listed herein will offer to return the proposal at Proposer’s expense. A Proposer may request that ORIM destroy the proposal, rather than pay for its return.

M. AGREEMENT EXECUTION AND PERFORMANCE

1. Service shall be available on the express date set by DGS and the Contractor, after all approvals have been obtained and the agreement is fully executed.

mailto:OLSProtests@dgs.ca.gov mailto:DGSPublicAffairs@dgs.ca.gov

22 | P a g e

Should the Contractor fail to commence work at the agreed upon time, DGS, upon five (5) days written notice to the Contractor, reserves the right to terminate the agreement. In addition, the Contractor shall be liable to the State for the difference between Contractor’s proposal price and the actual cost of performing work by the second lowest Proposer or by another Contractor.

2. Upon award of contract, the winning Proposer must provide a certificate of insurance (“COI”) within ten (10) working days from award of contract. This COI will identify the required insurance and the required insurance endorsements as indicated in AGREEMENT EXHIBIT D-Special Terms And Conditions, Item 7, Insurance Requirements.

3. Upon award of contract, the winning Proposer agrees to execute a contract with the State within thirty (30) calendar days of the award on the State’s Standard Agreement (STD 213), with Exhibits. If winning Proposer fails to execute a contract with the State within that time, the contract will be awarded to the Qualified Proposer with the proposal with the next highest final combined score.

4. Upon award of the contract, the winning Proposer agrees to execute the contract on the State’s Standard Agreement (STD 213), with Exhibits (See Attachment 17 sample). The STD 213 (See sample contract agreement provided in Attachment

17) must be signed by an individual authorized to bind the firm contractually.

5. If the contract is terminated or not renewed for any reason, the State shall have a continuing right to have access to all files maintained by Contractor pertinent in any way to the State’s account. Contractor shall fully cooperate and, at the State’s request, shall provide photo or electronic copies of any or all pertinent files or other documents, including but not limited to, policies, audits, claims and accounting information, and applications for existing policies.

6. Upon award of the contract, the winning Proposer will need to submit a signed certification page of the Contractor’s Certification Clauses (CCC 04/2017) within 10 working days of award of contract. The Contractor’s Certification Clauses are available at the following website: https://www.dgs.ca.gov/OLS/Resources/Page- Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract- Language . If you do not have access to the internet, a hard copy can be provided by contacting Nav Mahl at the contact information listed within this

RFP.

7. Proposer must be aware that time is of the essence in the awarded agreement.

Expeditious and successful completion of the work described in the awarded contract is crucial to DGS.

8. Proposer must be aware that pursuant to Public Contract Code section 10295.4, persons or companies identified as the largest tax delinquents by the Franchise Tax Board (FTB) or the California Department of Tax and Fee Administration (CDTFA) are ineligible to enter into any contract with the state for non-IT goods or services. Any contract entered into in violation of section 10295.4 is void and unenforceable.

https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language https://www.dgs.ca.gov/OLS/Resources/Page-Content/Office-of-Legal-Services-Resources-List-Folder/Standard-Contract-Language

23 | P a g e

9. In the performance of this contract, the Contractor may see or receive information designated confidential. Contractor shall not disclose this information to any party without the express permission of the state.

10. Upon award of the contract, the winning proposer must provide a Payee Data Record STD 204 (See Attachment 5) for each subcontractor listed on Attachment 4, Bidder Declaration (GSPD-05-105), within ten (10) working days of the award of contract.

N. PREFERENCE AND INCENTIVE PROGRAMS

Preference and Incentive Programs are each identified below. When the Proposer satisfies the requirements and requests proposal preferences and incentives, the Proposer must clearly identify in their proposal submission for which of the programs it qualifies. Denial of those preference or incentive requests is not a basis for rejection of the proposal.

1. Small Business Preference:

California Government Code (GC) section 14835, et seq., requires a preference be given to Proposers who are California Certified Small Business (SB). The rules and regulations of this law, including the definition of a SB for the delivery of goods and services, are contained in California Code of Regulations, title 2, section 1896 et seq.

A preference is available to a certified SB. A Proposer claiming this preference must be certified by the Office of Small Business and Disabled Veteran Enterprise Services (OSDS) as a SB.