1-DBM Health Plan Admin&Svcs, Functional Area 3

The Maryland Department of Budget and Management (DBM), State Law Enforcement Officers Labor Alliance (SLEOLA), and Maryland Department of Transportation Maryland Transit Administration (MDOT-MTA) are jointly procuring comprehensive health plan administration and services through a complex Request for Proposal (RFP) covering multiple functional areas. The procurement encompasses health insurance services for approximately 71,000 active employees, 9,000 non-Medicare retirees, 44,000 Medicare-eligible retirees, and their dependents, with solicitation numbers F10B6600001, F10B6600004, and AGY-24-026-SR-A. The contract will have a five-year base period with two optional three-year renewal periods, anticipated to go-live on January 1, 2027. Functional areas include Preferred Provider Organization (PPO), Exclusive Provider Organization (EPO), Integrated Health Model, Point Solutions, and Vision plans, both self-funded and fully insured. Evaluation criteria will likely include technical capabilities, administrative services, network management, claims processing, population health management, and support for wellness program initiatives. Key proposal deadlines include a pre-proposal conference on August 25, 2025, and proposal submissions due by October 6, 2025, at 3:00 PM Local Time.

The procurement includes significant focus on diversity and economic participation requirements, with Minority Business Enterprise (MBE) participation goals ranging from 1% to 6% and Veteran-Owned Small Business Enterprise (VSBE) participation goals from 0.1% to 1%. Current medical plan vendors include CareFirst of Maryland, United Healthcare Services, and Kaiser Foundation Health Plan, suggesting potential integration requirements for new contractors. The state currently provides an 85% premium subsidy for EPO and Integrated Health Management plans and 80% for PPO plans. While specific award values are not explicitly stated, the comprehensive nature of the procurement involving over 124,000 covered lives indicates a significant contract value. Contractors must demonstrate capabilities in areas including digital health technologies, complex claims processing, comprehensive reporting, data security, and compliance with federal and state healthcare regulations. The procurement method allows the state to potentially award up to two contracts for certain functional areas, providing flexibility in vendor selection.