Retiree Health Savings (RHS) Program Recordkeeping, Administration & Claims Processing

The City of Newport Beach is conducting a Request for Proposal (RFP) No. 26-16 for comprehensive recordkeeping, administration, and claims processing services for its Retirement Health Savings (RHS) Program. The procurement seeks a vendor to manage a plan currently serving 1,995 participants with $59.8 million in assets, covering two contribution structures: a "Hybrid" structure for pre-2006 employees and a "Fully-Converted" structure for post-2006 employees. Providers must demonstrate experience with at least 10 governmental retiree health plans having assets over $20 million and 500 participants. The RFP requires the selected vendor to provide comprehensive services including recordkeeping, claims processing, participant communication, education, and investment platform management. Evaluation criteria will be weighted as follows: recordkeeping/administration/claims processing (40%), communication/education (10%), investment platform (20%), and fees (30%). The proposal is due on November 1, 2025, at 5:00 P.M. PT, with the City seeking a 3-year contract potentially starting May 1, 2025, with options for two additional one-year extensions.

The current plan is administered by MissionSquare for recordkeeping and Meritain Health for claims processing, with a participant charge of 0.135% of assets. The RFP requires maintaining the existing fund lineup, which includes 19 core investment options, target date funds, and the MissionSquare PLUS Fund as the capital preservation option. While no specific set-aside designations for disadvantaged enterprises are mentioned, the RFP suggests a competitive procurement process open to qualified providers with demonstrated expertise in governmental retiree health plans. The current participant charge of 0.135% suggests a potential annual revenue opportunity for the selected vendor, though specific budget ranges are not explicitly stated. The City has retained Benefit Financial Services Group (BFSG) to assist the Retirement Health Savings Committee in administering and evaluating the RFP, with the Committee retaining final discretion on all RFP-related decisions.