HomeMy WebLinkAboutContract 26195 CITY SEC
TARY
CON RACTENo.
STATE OF TEXAS
COUNTY OF OF TARRANT
AGREEMENT FOR CONSULTING SERVICES
FOR THE CITY OF FORT WORTH, TEXAS
GROUP HEALTH AND LIFE INSURANCE PROGRAMS
WHEREAS, The City of Fort Worth recognizes the need and value of expert consulting
services in the increasingly complex and expensive health and life insurance field in
order to control costs and to provide the best possible program of coverages and
benefits to its active employees, retired employees and their eligible dependents; and
WHEREAS, the firm of Effective Plan Management, Inc. has previously provided excellent
and beneficial advice and services to the City in this field and offers to continue the
provision of advice and services as more fully set out below,
NOW, THEREFORE, KNOW ALL BY THESE PRESENTS:
1. PARTIES
The parties to this agreement are the City of Fort Worth, Texas ("City"), a home-rule
municipal corporation whose authorized signatory is Charles Boswell, Assistant City
Manager, and Effective Plan Management, Inc. ("EPM"), a Texas corporation whose
authorized signatory is Jim C. Mosley, President.
2. TERM
This agreement shall become effective on October I st, 2000 until September 30th,
2001 unless sooner terminated as set out in paragraph 6 of the Agreement.
3. CONSIDERATION
In return for services rendered by EPM pursuant to this Agreement, the City will pay
EPM the sum of$5,000 per month in advance.
051
CG�M ,EY
FT. KU r)EXc 'i vM.
4. SERVICES TO BE RENDERED
EPM agrees to provide general consulting services for the City' s group health and life
insurance programs involving active employees, retired employees and their eligible
dependents. EPM's services will include but will not necessarily be limited to the following:
1. Confer with City designees as needed regarding health care and life insurance
programs.
2. Represent the interests of the City in the health care field.
2. Assist in the review of health care programs to determine their cost
effectiveness.
4. Assist in the general management of the health care plans.
5. Develop bid specifications for proposal requests as desired by the City.
6. Work with potential bidders during the Request For Proposal (RFP) process to
answer any questions regarding the RFP in order to assure their complete understanding
of the City's intent.
7. Evaluate bids and/or proposals received and offer recommendations.
8. Assist, as needed, with the transition between vendors if the RFP results in a change of
vendors.
9. Examine reports of exposures, expenses and paid losses at appropriate intervals to
determine patterns of risk and to assure conformity of the vendor to its proposal(s).
10. Act as contact between insurance agents and representatives of HMOs,
PPOs and insurance companies who make inquiries regarding benefits
offered by or through the City.
11. Review performance of the vendor and, if requested by the City, negotiate
contract renewal rates for the health care plans in a manner calculated to be acceptable to
the City.
12. Assist with drafting or redrafting of the health care plan's Plan Document or
its Summary Plan Description.
13. Assist the Employee Committee in reviewing optional benefits available
through payroll deduction at the employee's sole cost.
14. Assist in development of specifications and discussions with vendors as
selection of a plan for optional long term disability insurance becomes
available.
15. Assist with the preparation of any reports which the Treasury Department
might require of the City.
16. Assist with the expansion of the City's IRC Sec. 125 Plan at the City's request.
17. Attend and participate in scheduled meetings of IGR Committee, designees from City
Manager's office, Doctors for Excellence and Harris Methodist Health Plan, Inc. which
are to be conducted to assure progress toward M/WBE and Performance Guarantee goals
for the 2000-2001 Plan Year.
18. Assist with the transition, as needed, of the health care plans from Harris Methodist
Health Plan to PacifiCare if the acquisition is consummated.
KWO eFP D
2
Effective Plan Management, Inc. agrees to submit a written report not more than fifteen (15)
calendar days after the end of the calendar quarter detailing its efforts on behalf of the City
of Fort Worth and will prepare and submit all such other recommendations and reports
necessary to demonstrate its delivery of the services outlined above or any subsequent work
requirements which may be hereafter mutually agreed by Effective Plan Management, Inc.
and City during the term of this Agreement.
5. CITY OBLIGATIONS
City will provide such information as is reasonable and necessary to EPM to aid in its
performance of the Agreement.
6. TERMINATION
The City may terminate this Agreement upon 90 days written notice to Effective Plan
Management, Inc. whenever such termination is deemed to be in the City's best interest or in
the event of EPM's default, inability or failure to perform or to comply with any material
term or condition of this Agreement or for any other good cause. Effective Plan
Management, Inc. may terminate this Agreement upon 90 days written notice to the City
when such termination is deemed to be in EPM's best interest or in the event of the City' s
failure to promptly pay amounts due EPM as described within this Agreement or for any
other good cause.
Upon any such termination by either party, any and all information accumulated by EPM
pursuant to this Agreement, in whatever medium stored or created, will become the property
of the City. Such property will be returned to the City as expeditiously as possible and the
City agrees to reimburse EPM for any and all reasonable expenses incurred in the retrieval,
preparation and transfer of such property to the City.
7. NON-ASSIGNMENT
EPM will not assign any portion of its rights or duties under this Agreement without prior,
written approval of the City. Any purported assignment without such prior approval will be
a breach of this Agreement and will be void in all respects.
8. INDEPENDENT CONTRACTOR
EPM shall operate hereunder as an independent contractor and not as an officer, agent,
servant or employee of the City. EPM shall have exclusive control and right to control the
details of its performance under this Agreement and shall be solely responsible for the acts
and omissions of its officers, members and employees. The doctrine of respondeat superior
shall not apply to any item of performance under this Agreement nor shall anything in this
Agreement be construed as creating a partnership or joint enterprise between EPM and the
City.
CRY MCW-REMY
3
9. MISCELLANEOUS
The provisions of the Agreement are severable and if, for any reason, a clause, sentence,
paragraph or any other part of this Agreement shall be determined to be invalid by a court or
federal or state agency, board or commission having jurisdiction over the subject matter
thereof, such invalidity shall not affect other provisions which can be given effect without
the invalid provision.
The failure of the City to insist upon the performance of any term or provision of the
Agreement or to exercise any right herein conferred shall not be construed as a waiver or
relinquishment to any extent of the City's right to assert or to rely upon such term or right on
any future occasion.
Should any action, whether real or asserted, at law or in equity, arise out of the execution,
performance, attempted performance or nonperformance of the contract and agreement,
venue for said action shall lie in Tarrant County, Texas.
This written instrument and any exhibits attached hereto which are incorporated by
reference and made a part of this Agreement for all purposes, constitute the entire agreement
between the parties hereto concerning the work and services to be performed hereunder and
any prior or contemporaneous, oral or written agreement which purports to vary from the
terms hereof shall be void. Any amendments to the terms of this Agreement must be in
writing and must be approved by both the City and EPM.
s!i�p Il r o
4
IN WITNESS WHEREOF, the parties hereto have execute four (4) copie of this
Agreement in Fort Worth, Tarrant County, Texas this day of
, A.D. 2000.
A EST: CITY OF FORTWORTH
ByCL�L, 2r,-4 C
City Secretar6 Charles Boswell
Assistant City Manager
ATTEST: E7w;;
.
President
APPROVED AS TO FORM AND LEGALITY:
1
City A orney
Date:
Contract Authorization
9- ��- VO
Date
am
� �Gc�G�Ds e5y VEDjo
City of Fort Worth, Texas
4Vagor rind Council Communication
DATE REFERENCE NUMBER LOG NAME PAGE
9/12/00 **C-18224 15CONSULTING 1 of 2
SUBJECT AGREEMENT WITH EFFECTIVE PLAN MANAGEMENT, INC. FOR GROUP BENEFITS
CONSULTING SERVICES FOR EMPLOYEES
RECOMMENDATION:
M
It is recommended that the City Council authorize the City Manager to enter into a consulting
agreement with Effective Plan Management, Inc. (EPM) to provide group benefits consulting services to
the City of Fort Worth on a fee basis of $5,000 per month for the period beginning October 1, 2000,
through September 30, 2001.
DISCUSSION:
Since June 1, 1991, the City has contracted with Effective Plan Management, Inc. (EPM) to provide
consulting services for the City's benefit programs covering regular employees, retirees and their
eligible dependents. Services also include representation of the City of Fort Worth in the health care
field and assistance in reviewing programs to ensure their cost effectiveness.
Additionally, EPM has provided services to:
• Assist in the administration and review of the City's current benefit programs; and
• Audit exposures, expenses, and paid losses to ensure contract compliance of the City's benefit
providers; and
• Monitor the City's group plan losses with recommendations to contain such losses; and
• Act as a primary contact for all insurance agents and representatives of companies offering
services to the City and/or making inquiries related to the City's benefits; and
• Review performance and, if requested, negotiate contract renewal rates for plans subject to
terms agreeable to the City; and
• Assist in drafting or redrafting the City's benefit plan documents or summary plan descriptions;
and
• Assist the Employees' Insurance and Benefits Committee in reviewing optional benefits
available through payroll deductions at the employee's sole cost.
' During the 2000-2001 contract year, EPM will be engaged in the process of designing and developing
solicitations to the local group medical market for group health benefits for City employees, retirees and
their eligible dependents for contracts to be effective October 1, 2001. EPM will also analyze the
M submittals and make recommendations regarding responsive proposers, and assist in the
implementation of the arrangements approved by the City Council.
City of Fort Worth, Texas
4Vayor and Council Communication
DATE REFERENCE NUMBER LOG NAME PAGE
9/12/00 **C-18224 1 15CONSULTING 2 of 2
SUBJECT AGREEMENT WITH EFFECTIVE PLAN MANAGEMENT, INC. FOR GROUP BENEFITS
CONSULTING SERVICES FOR EMPLOYEES
FISCAL INFORMATION/CERTIFICATION:
The Finance Director certifies that funds are available in the FY2000-2001 City Manager's Proposed
Budget. The contract will include a fiscal funding-out clause which will allow for termination without
penalty if the City Council does not appropriate funds for this purpose, provided the City notifies the
other party that it is terminating the contract in accordance with its provisions.
CB:j
Submitted for City Manager's FUND ACCOUNT CENTER AMOUNT CITY SECRETARY
Office by: (to) APPROVED
Charles Boswell 8511 CITY COUNCIL
Originating Department Head:
SEP 12 2000
Susan Bulla 8513 (from)
FE85 531200 0158510 $60,000.00 �,,,��
Additional Information Contact: City Secretary of the
City of Fort Worth,Texas
Susan Bulla 8513