Deferred Compensation Plan Services

Louisville Metro Government is seeking proposals for a comprehensive 457(b) Deferred Compensation Plan administration and record-keeping service, targeting approximately 5,400 benefit-eligible employees with an effective contract date of July 1, 2026. The Request for Proposal (RFP) requires vendors to have a minimum of five years of experience administering governmental 457 deferred compensation plans and be capable of providing bundled services including administrative services, recordkeeping, technology and cybersecurity, investment offerings, and participant services. The current plan manages $213 million in assets with 3,511 participants. Proposals are due on December 9, 2025, at 3 p.m., with a mandatory question-and-answer period running from November 18 to November 24, 2025. The evaluation process will involve reviewing submissions, scoring proposals using predetermined criteria, and inviting the top three submissions for in-person interviews, with the ultimate goal of selecting a vendor through a two-stage negotiation process.

The procurement includes specific set-aside and preference provisions, with a 5% local vendor preference for businesses established in the Louisville Metropolitan Statistical Area for at least twelve consecutive months and a 5% minimum wage preference for businesses paying employees at least $10.10 per hour. Vendors must comply with affirmative action requirements and complete Good Faith Effort documentation demonstrating outreach to minority and disadvantaged businesses, with specific participation goals of 15% for Minority Business Enterprises (MBE), 5% for Female Business Enterprises (FBE), and 0.5% for Historically Black Enterprises (HBE). Proposing firms must also adhere to Louisville Metro Codified Ordinance Section 112.30's "ban the box" hiring practices, which restricts inquiries about criminal history on initial employment applications. Insurance requirements include $1,000,000 in Commercial General Liability and Professional Liability coverage. While no specific contract value is disclosed, the comprehensive nature of the services and the size of the employee base suggest a significant potential contract value for the selected vendor.