RFP: Financial Examination Services Pre-Qualification

Michigan's Department of Technology, Management & Budget is seeking to establish a pre-qualified contractor pool for financial examination and analysis services through RFP 260000002108, with proposals due September 2, 2026 and written questions due August 17, 2026. If subcontractors perform more than 20 percent of deliverables, at least 20 percent of subcontracted work must be awarded to Michigan-based Geographically Disadvantaged Business Enterprises.

The scope encompasses full and partial financial examinations and financial analyses of approximately 1,400 Michigan-based insurance companies conducted in accordance with National Association of Insurance Commissioners guidelines and Michigan insurance laws. Contractors must develop examination plans, document findings in work papers meeting firm and NAIC standards, submit findings within 10 calendar days of on-site completion, and prepare draft and final examination reports and management letters. Work will be assigned through second-tier RFPs via email, with each project allowing approximately three weeks for proposal submission and 180 calendar days for examination completion. Contractors must assign certified public accountants familiar with Michigan insurance laws to supervise examinations and maintain a designated Contractor Representative available during state business hours (Monday–Friday, 7:00 a.m. to 6:00 p.m. EST).

The contract is effective April 1, 2027, through March 31, 2030, with renewal options for up to three additional two-year periods at the State's discretion. Pricing is firm for the entire contract term; all costs, including travel expenses, must be included in hourly rate submissions. The State retains 25 percent of invoiced amounts as retainage. Late or improper completion triggers liquidated damages of $5,000 plus $100 per day; service level credits of 1 percent of monthly invoice value apply for failures to execute cursory reviews within 10 business days, complete worksheets within three business days, submit findings within 10 calendar days, or finish second-tier evaluations within 180 calendar days. Unauthorized removal of designated Key Personnel results in credits up to $50,000 per individual plus daily penalties up to $25,000.

Contractors must maintain Commercial General Liability Insurance of $1,000,000 per occurrence and $2,000,000 aggregate; Automobile Liability of $1,000,000; Workers Compensation; Employers Liability of $500,000 per accident and per employee; Privacy and Security (Cyber) Liability of $1,000,000 per loss; and Professional Liability of $3,000,000 per occurrence and $3,000,000 annual aggregate, all with A.M. Best ratings of A- VII or higher.

Proposals will be evaluated on technical criteria (100 points) and pricing, weighted as Schedule A Sections 3–9 and 17–27 (20 percent), Schedule A Sections 10–16 (30 percent), and Vendor Questions Worksheet (50 percent). A minimum of 80 technical points is required for pricing evaluation. Contracts valued at $250,000 or more require State Administrative Board approval. Proposals must be submitted electronically through the SIGMA VSS system in modifiable formats with a 30 MB file-size limit.