Medical/Telehealth/Pharmacy, Wellness, Health Savings Account (HSA) and Health Reimbursement Arrangement (HRA) Administration, Dental, and Employee Assistance Program (EAP) Coverage
Closed State & local contract opportunity
- Solicitation number
- 260125
- State
- Arizona
- Responses due
Opportunity facts
- Jurisdictions
- NIGP codes
- 269 Drugs And Pharmaceuticals
- 271 Drug And Feeding Administration, Infusion, And Irrigation Equipment And Supplies
- 91840 Employee Benefits Consulting
- 91867 Human Services Consulting (To Include Mental Health Consulting Services)
- 91869 Insurance Consulting
- 91878 Medical Consulting
- 948 Health Related Services (See Class 952 For Human Services)
- 94807 Administration Services, Health
- 94827 Dental Laboratory Services
- 94828 Dental Services
Show all 27
- 94829 Dental Prosthetic Manufacturing Services
- 94832 Dietician Services
- 94845 Home Health Care Services
- 94846 Hospital Services, Inpatient And Outpatient
- 94847 Health Care Center Services
- 94848 Health Care Services (Not Otherwise Classified)
- 94855 Medical And Laboratory Services (Non-Physician)
- 94857 Medical Services, Surgical
- 952 Human Services
- 95238 Employee Assistance Programs (Including Unemployment Compensation Administration Services)
- 95259 Human Services (Not Otherwise Classified)
- 95262 Mental Health Services: Vocational, Residential, Etc.
- 95285 Support Services
- 95337 Disability
- 95348 Health/Hospitalization (Including Dental And Visual Insurance)
- 95380 Retirement Benefit Plan Insurance
- 95392 Worker's Compensation
- Point of contact
-
- Troy Rombough troy.rombough@tucsonaz.gov (520) 837-4139
Opportunity details come from procurement.opengov.com. Updated .
About this opportunity
The City of Tucson is soliciting a comprehensive Request for Proposal (RFP #260125) for multi-year healthcare and benefits administration services covering Medical/Telehealth, Pharmacy, Wellness, Employee Assistance Program (EAP), and Dental Coverage for its employees and retirees, with a July 1, 2026 effective date. The procurement seeks third-party administrators to provide services for approximately 4,498 employees and 2,306 retirees across five distinct service lines, with vendors able to bid on one or more lines of service. Minimum requirements include having at least five years of business experience, 10,000 full-service covered members, and three clients with a minimum of 2,000 total members. Prospective bidders must submit detailed questionnaires demonstrating capabilities in network management, customer service, claims processing, and specialized healthcare support. The RFP requires comprehensive documentation including method of approach, qualifications, experience, and performance guarantees. Questions from potential bidders are due by October 21, 2025 at 5:00 p.m. local Arizona time, with proposals due on November 12, 2025 at 2:00 p.m. local time. Evaluation criteria will focus on network/provider access, approach methodology, costs, and contractor qualifications.
The current incumbent for most services is Cigna, and while no specific set-aside designations are explicitly mentioned, the RFP suggests a preference for vendors with established public sector experience and robust capabilities in Arizona. The solicitation allows for potential multiple award scenarios, particularly for the Wellness line of service. Current monthly rates vary by service, with the dental DHMO currently ranging from $8.67 to $21.16 and the EAP currently priced at $1.96 Per Employee Per Month (PEPM). The City currently pays 100% of employee and dependent costs for most services and has a wellness incentive fund of $100 per subscriber annually. The contract includes an initial one-year term with options to renew for six additional one-year periods, providing potential long-term stability for the selected vendor(s). While specific total contract value is not disclosed, the comprehensive nature of the services and the sizeable employee/retiree population suggest a significant multi-year procurement opportunity.
Opportunity text
The City of Tucson is soliciting proposals for Medical/Telehealth, Pharmacy, Wellness, Health Savings Account (HSA) and Health Reimbursement Arrangement (HRA) Administration, Employee Assistance Program (EAP), and Dental Coverage and services for employees and retirees for a July 1, 2026 effective date.
- Chapter 1A -- Medical/Telehealth (HSA/HRA Administration)
- Chapter 1B -- Pharmacy
- Chapter 1C -- Wellness
- Chapter 1D -- Employee Assistance Program (EAP)
- Chapter 1E -- Dental
Offerors may bid on one or more of the lines of service A-E. Offerors do not have to bid on all lines of service to be considered, however, offeror must provide ALL services of the group, i.e. Medical and Telehealth Third Party Administrator (TPA) and AND HSA/HRA Administration. Please note that the Wellness line of service may be awarded to more than one contractor.
MINIMUM REQUIREMENTS
Minimum Requirements as applicable to each Line of Service will be found in the Attachments. Please note that the requirements listed in the Scope of Work of each line of service Attachment are minimum service levels the City expects to receive through this solicitation. Any offeror may introduce enhanced services as part of their comprehensive response to this solicitation given that the minimum service levels are met.
Any offeror not meeting the minimum requirements will be rejected.
NO PRE-BID/PROPOSAL CONFERENCE: The City is foregoing a Pre-Bid/Proposal conference for this solicitation. Prospective bidders/offerors are invited to submit questions in the Question & Answer feature within this RFP in OpenGov Procurement. The deadline for questions is October 21, 2025 at 5:00 p.m. Local Arizona Time. Ordinarily, the purpose of this conference is to clarify the contents of this solicitation in order to prevent any misunderstanding of the City's position. Any doubt as to the requirements of this solicitation or any apparent omission or discrepancy should be presented to the Contract Officer before the submittal due date. The City will then determine the appropriate action necessary, if any, and issue a written addendum to the solicitation. Oral statements or instructions shall not constitute an addendum to this solicitation.
PLEASE NOTE:
Offerors must complete, sign, and return via email the attached "Request for Confidential Documents Form" to receive confidential documents such as repricing documents, census, claims, etc. Please see the form for specific instructions. This form must be submitted within one (1) week of RFP publication date.
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