Ancillary Insurance Benefits

The City of Burleson, Texas, located in Johnson County, is seeking competitive proposals through Request for Proposals 2026-018 for Ancillary Insurance Benefits administration services covering life insurance, disability insurance (both short-term and long-term), Employee Assistance Program (EAP), Health Savings Account (HSA)/Flexible Spending Account (FSA)/Health Reimbursement Arrangement (HRA) administration, COBRA continuation coverage administration, and voluntary worksite products. The solicitation was posted on February 28, 2026, with a deadline for written questions at 5:00 PM CST on March 12, 2026, and proposals due electronically through the City's Bonfire e-procurement system at https://burlesontx.bonfirehub.com by March 26, 2026, at 2:00 PM CST, followed by a virtual bid opening via Microsoft Teams at 3:00 PM CST the same day. Projected interviews are scheduled for the week of April 20, 2026, with a City Council recommendation anticipated in June 2026. Evaluation criteria emphasize proposed terms, plan designs, administrative fees, and transition disruption minimization (40% weight); proposed services, account management structure, and technology capabilities (30% weight); and references, qualifications, third-party integration capabilities, and RFP adherence (30% weight), with an optional 15 additional points available for selected finalists interviewed. The procurement covers approximately 410 eligible employees based on current enrollment data, with the City maintaining the discretion to award one contract for all requirements or multiple contracts to different proposers based on unit pricing and best value determination. All proposals must be submitted electronically with no tax included, as the City is tax-exempt in Texas, and performance, payment, and maintenance bonds equal to 100% of the contract price are required.

There are no identified set-asides or restrictions limiting the types of organizations that can respond to this procurement; all qualified vendors meeting the technical and service delivery requirements are eligible to bid. The incumbent service providers for various benefit categories include Symetra Life Insurance Company for life insurance and disability products (under Policy Number 01-017859-00), Alliance Work Partners for Employee Assistance Program services, Flores & Associates for HSA/FSA/HRA administration and COBRA services, and Colonial Life & Accident Insurance Company for voluntary supplemental products including accident insurance, critical illness coverage, and hospital indemnity benefits. The City's existing infrastructure includes integration requirements with BenTek for benefits enrollment administration and payroll processing, with vendor proposals requiring confirmation of data integration capabilities and cooperation with incumbent administrators during transition periods. Current billing data indicates annual premiums across all ancillary benefit categories totaling approximately $337,000 to $338,000 based on December 2025 and January 2026 invoices, with specific premium rates varying by employee age bands, coverage type, and plan selections. The contract allows for termination by the City for cause with seven days' written notice or for convenience with thirty days' written notice, and contractors must comply with prevailing wage rate requirements and certify compliance with Texas anti-boycott statutes regarding Israel, energy companies, and firearm entities. Standard City of Burleson contract terms apply, including payment within thirty days of invoice approval per Texas Government Code Chapter 2251, governance exclusively under Texas law with dispute resolution in Johnson County courts or federal courts for the Northern District of Texas, and preservation of the City's constitutional right to claim governmental immunity.