Request for Proposal
To Provide
INSURANCE BROKERAGE AND ADMINISTRATIVE SERVICES
FOR AN OWNER CONTROLLED INSURANCE PROGRAM
(OCIP)
Sacramento Regional County Sanitation District Request for Proposal
EchoWater Project
Insurance Broker Professional Services Owner Controlled Insurance Program (OCIP)
TABLE OF CONTENTS
SECTION PAGE
I. Preamble ... 1
II. PROGRAM AND PROJECT BACKGROUND ... 1
III. OBJECTIVES ... 2
IV. SCOPE OF SERVICES ... 2
VII. Organization and Content of the proposal ... 11
SECTION 1 - IDENTIFICATION OF PROPOSER ... 11
SECTION 2 – GENERAL INFORMATION ... 12
SECTION 3 - RISK, DATA AND Claims Administration ... 13
SECTION 4 - Insurance Purchase and Administration ... 13
SECTION 5 – References ... 13
SECTION 6 - INSURANCE ... 14
SECTION 7 – ESTIMATE OF FEES ... 14
SECTION 8 – CONFLICTS OF INTEREST ... 14
SECTION 9 - PROPRIETARY INFORMATION ... 14
SECTION 10 – INDEMNIFICATION ... 14
SECTION 11 – EMPLOYMENT PRACTICES ... 15
SECTION 12 – EXCEPTIONS TO CONTRACT TERMS AND CONDITIONS. ... 15
VIII. SELECTION PROCESS Schedule ... 16
IX. Pre-Proposal Meetings ... 16
X. Submittal Instructions... 16
XII. SOLICITATION OF SUBCONSULTANTS, SUBCONTRACTORS, OTHER SERVICE PROVIDERS AND
SUPPLIERS ... 18
XIII. TERMS AND CONDITIONS ... 19
A. Questions regarding the RFP ... 19
B. Interpretation and Addenda ... 19
C. Revision of Proposal ... 19
D. Errors and Omissions in Proposal ... 19
E. Objections to RFP Terms ... 20
I. PREAMBLE
The Sacramento Regional County Sanitation District (District or Regional San) requests proposals for Insurance Brokerage and Administration services for an Owner Controlled Insurance Program (OCIP) for the EchoWater Project. This Request for Proposal (RFP) includes the information needed for proposal preparation and includes various
attachments associated with proposal preparation and contractual requirements,
including a District sample agreement, a draft OCIP organization chart, a description of the District’s safety program, a Program level preliminary schedule and expenditure histogram for the Project. The RFP and all attachments are also posted on the District’s website (http://www.regionalsan.com/business-opportunities).
II. PROGRAM AND PROJECT BACKGROUND
The Sacramento Regional Wastewater Treatment Plant (SRWTP) is located at 8521 Laguna Station Road in Elk Grove on an approximately 3,550-acre site that is owned and operated by the Regional San. The entire site is located north of Laguna Boulevard in the unincorporated area of Sacramento County, between Franklin
Boulevard and Interstate 5. The site’s northern boundary is south of the future Cosumnes River Boulevard. The existing SRWTP treatment facilities occupy approximately
900 acres. The remaining 2,650 acres comprise open space land and provide a buffer zone (hereafter referred to as the Bufferlands) between the existing SRWTP facilities and nearby surrounding land uses.
Land uses near the SRWTP include residential development to the north, east, and south; industrial development to the south; and I-5 and the Sacramento River to the west. Union Pacific Railroad tracks run north-south along the eastern edge of the plant site to the west of Franklin Boulevard. The Bufferlands are approximately 1,200 to 5,000 feet wide, and located to the north, south, west, and east of the existing plant facilities between the existing SRWTP and nearby development. The nearest residential development is located approximately 4,000 feet east of the core plant facilities and just east of Franklin Boulevard, at the corner of Dwight Road and the railway tracks; and northeast at the corner of Franklin Boulevard and Cosumnes River Boulevard.
The Central Valley Regional Water Quality Control Board (RWQCB, Regional Board) adopted new waste discharge requirements for the SRWTP on December 9, 2010. These new discharge requirements are included in Order No. R5-2010-0114, National Pollutant Discharge Elimination System (NPDES) Permit No. CA0077682 (as amended by
Order R5-2011-0083 in December 2011 and State Water Resources Control Board Order WQ 2012-0013 in December 2012). While the new permit does not increase permitted treatment capacity, it incorporates stricter discharge requirements that the existing processes are not capable of meeting.
judicial rulings extended the schedule so that compliance with ammonia and nitrate limits is now required by May 2021 and Title 22 (filtration and disinfection) compliance is required by May 2023.
The upgrade project is termed “EchoWater Project.” The District has created a Program Management Office (PMO) comprised of District staff, co-located with program
management consultants to plan, organize, and manage the EchoWater Project to comply with the new NPDES permit requirements.
It is anticipated that beginning in summer of 2014, the District will require the services of an insurance firm to provide Insurance Brokerage and Administration services to develop an OCIP for the EchoWater Project and be contracted with the District. The District will provide an OCIP Coordinator, but such Coordinator will not provide for enrollments, certificate administration or other services to be performed by the broker as detailed on pages 7 to 11 below in Section IV, OCIP Administration. The OCIP
Coordinator will be part of the PMO staff and work under the general direction of the EchoWater Project Program Manager.
III. OBJECTIVES
The objectives of the OCIP are to:
a. Reduce overall program insurance cost and expense; b. Broaden available coverage terms and expand limits;
c. Gain increased oversight over insurance, safety, communication, and community
relations;
d. Maintain a healthy and safe environment for employees of the District, the District’s consultants, subconsultants, the contractors, and their subcontractors; and provide a healthy and safe environment for the public;
Brokers are encouraged to offer value-added or innovative suggestions that will save cost and expense, and increase protection to the District, contractors, subcontractors and the public.
IV. SCOPE OF SERVICES
As a minimum, proposers should provide services in the following areas: Safety and Loss Control:
The Broker will provide the safety services described below for all projects covered by the OCIP. A Broker-provided OCIP Safety Manager, assisted by appropriate staff, will serve as the focal point of the Project Safety Program development, implementation and oversight. The Broker shall provide a safety staffing plan and corresponding yearly staffing costs as part of their proposal. This information will be reviewed as part of the
overall approach being proposed by the Broker and, if selected, form the basis for cost negotiations.
1. Safety Administration:
a. In conjunction with District Safety Staff, assume primary responsibility for the development of the OCIP safety standards and plan. Broker shall prepare and provide the OCIP Safety Manual and have it reviewed by the OCIP insurance carriers for compliance with both the District and their standards. Broker shall represent the District’s interest in any safety or loss control negotiations with the insurance carriers.
b. Review and comment on the safety provisions in construction contracts and documents and provide recommendations for improvements.
c. Participate in all pre-bid and pre-construction meetings; promote a positive and serious attitude toward safety.
d. Prepare, implement, and update, as necessary, a comprehensive OCIP
Safety, Health, Security and Environmental Program Plan in conjunction with the District safety staff and with approval of the OCIP insurance carriers.
e. Assist the District and PMO with specifying appropriate contractor safety staffing requirements.
f. Provide interpretation of current local, State and Federal Safety and Health rules and regulations and, in addition, provide consultation for unique safety issues.
g. Attend Contractor Progress Meetings as needed and address safety issues on noncompliance with rules, regulations and the Safety Program
standards.
h. Conduct Pre-work Hazard Assessments as appropriate to identify potential safety concerns and recommend procedures to eliminate or reduce hazards.
i. Review Contractors’ completed Job Safety Analysis (JSA) and
recommended procedures on Pre-work Hazard Assessments. j. Establish and oversee OCIP safety and security procedures.
k. Report all Safety, Health, Security and Environmental issues that result in conflict, and assist in implementing immediate corrections. Interface with District, PMO and Contractors’ staff to coordinate timely correction of identified hazards.
l. If requested, participate in Contractors’ monthly pay application review and give recommendation for retention if a Contractor has been issued a Safety Notice of Non-compliance with which the Contractor has not complied.
m. Monitor all insurance claims and assist insurance adjusters with information related to Workers Compensation/Employers Liability, Commercial General Liability and Builder’s Risk losses.
n. Review safety submittals including safety programs, JSAs, and resumes of Contractors’ proposed safety personnel for adequacy and compliance rules, regulations and Project Safety Program standards.
o. Attend the Standing OCIP Committee meetings to review highlights of
construction activities, claims, and trends.
p. Assist insurance companies with the identification and establishment of Occupational Health Clinics to be used for injuries covered by the OCIP. q. Coordinate with physicians to return employees to work quickly or with
modified restrictions.
r. Develop, evaluate and support a potential Contractor/Employee Safety Incentive Program.
s. .
t. Assure that notification of OSHA occurs in the event of serious injury or fatality.
2. Inspections:
a. Conduct regular Safety Inspections with Contractor Safety
Representatives, including Hazcom compliance, record-keeping reviews and maintaining documentation.
b. Conduct and submit quarterly Contractor Safety Records and Performance
Audits to assure that OSHA and contract requirements are being met. c. Monitor Contractor compliance with safety regulations and requirements.
d. Make recommendations for administrative action when OCIP Contractors
fail to correctly identify Safety, Health, Security or Environmental deficiencies.
e. Attend various Contractors’ Tailgate Safety Meetings to ensure meetings are being conducted as required by OSHA, and that the meetings are positive and productive.
f. Assure OSHA permit requirements are met by each contractor before
initiation of work.
3. Training:
a. Assist in the development and implementation of a program-wide Safety Training Program to train District, Consultants and Contractor personnel as needed; i.e., OSHA 10-Hour Course, First Aid/CPR, Confined Space Entry (CSE), and other specific training as required in the construction safety orders maintaining documentation for these activities.
b. Conduct monthly Contractor Safety Meetings for all OCIP projects.
c. Review trends, work procedures, new and revised OSHA regulations, and
job safety analysis.
d. Conduct a pre-work safety orientation for Contractors’ project supervisors and foremen.
e. Review site-specific hazards, requirements and the identification and correction of hazards.
4. Record Keeping:
a. Assist in the investigation of accidents and conduct accident review meetings within 48 hours of an accident, prepare a review report identifying safety violations, causative agents, corrective actions and disciplinary actions.
b. Assure that all appropriate records are maintained as required by State and Federal regulations, and that all Contractors are in compliance.
c. Document disciplinary action taken involving employees who fail to comply with OSHA or Project Safety Program requirements.
d. Maintain record of project incident and severity rates and total project hours.
e. Coordinate and make cost effective use of safety personnel and resources.
5. Purchase and Implementation of OCIP Insurance Programs:
a. Insurance Program Design: Assist in the measurement and analysis of the project hazards (property and casualty risks) and recommend an appropriate level of insurance and risk retention at the most reasonable cost. Design and structure the insurance programs to adequately protect the District,
contractors, subcontractors and consultants from property/casualty loss for the duration of the project.
b. Insurance Carrier Marketing and Selection: Identify financially sound
insurance carriers that are capable of providing the desired coverage including Workers Compensation, Commercial General Liability, Excess Liability, Builders Risk and/or Course of Construction property insurance,
Environmental Coverage, and Owners Protective Professional Indemnity Coverage. Review and submit relevant information required for high quality underwriting submissions, which describe the risks and exposures, experience of the participants of the OCIP, and other information required by
underwriters. Provide specifications for coverage to the market, and follow up with meetings and information as appropriate. Provide an analysis of the carrier quotes, including a matrix of comparisons. The analysis will include premiums, specific terms, retention or deductible levels, limits, security, and
ways to obtain alternative views (changing SIR, limits, etc.). Facilitate the selection and conduct negotiations at all stages. Negotiate policy coverage and renewals, premium payments, audits, and portfolio transfer opportunities on behalf of the District. Advise OCIP participants on changes in available coverage. Review and report on financial condition of insurance carriers at placement and during project duration. It will also be the responsibility of the broker to:
i. Assure that insurance policies are placed with reputable and financially responsible insurers whose expertise with OCIP programs is demonstrable.
ii. Represent the District in all negotiations with insurers,
underwriters, insurance regulatory authorities and other parties with regard to the District's OCIP.
iii. Check the wording and accuracy of each policy, binder, certificate endorsement or other document received from insurers and obtain revisions in such documents when needed.
iv. Promptly submit two originals of all policies and endorsements to the District.
v. Prepare, provide and distribute an OCIP Manual to all participating parties which describes the OCIP in sufficient detail to aid all bidders and proposers in their OCIP related activities. The Manual should include a detailed coverage summary with identification of any significant exclusions or limitations. Responsibilities,
procedures, forms and protocols shall be included. The OCIP manual and other documents and forms shall be subject to review and approval by the District.
c. Review Language for Project Specifications: Review contract language and procedures, as they apply to the OCIP and risk transfer implications, prior to incorporation into the bid documents and OCIP Manual before issuance. Review specific requirements for the contractors and
subcontractors, including required forms and submission information. Remedies for non-compliance will be definitive and described in the specifications. Develop instructions and forms for bid credits, monthly payroll forms, as needed for the efficient administration of the OCIP.
d. Payment of Premiums and Remuneration: Payment of all insurance
premiums and charges shall be through the broker; and shall be exclusive of any commission (direct, contingent or otherwise), overrides, or other financial considerations to the broker. All refunds or credits for insurance shall accrue directly to the District. The broker shall verify the accuracy of all rates and premiums charged.
e. Coordinate Insurer Audit Activities: Verify the accuracy of all invoices, bills, audits, and premium adjustments. Conduct internal audits to insure
that all appropriate insurance costs and deductible expenses are being deducted from contractors’ and broker’s progress payments or other process as is appropriate. Check policies, endorsements, and other documents received from insurance carriers for accuracy.
OCIP Administration:
1. OCIP Administrator: The broker will provide a full-time, dedicated OCIP
Administrator to be located on-site for the duration of the project from February 2015 to June 2020. The selection and replacement of the OCIP Administrator by the broker shall only occur with the approval of the EchoWater Project Program Manager. The OCIP Administrator will report to the EchoWater Project Program Manager or their designee. The OCIP Administrator shall be sensitive to the needs of the OCIP participants, neighbors and the public. At the sole discretion of the EchoWater Project, Program Manager maintains the right to demand replacement of the OCIP Administrator or OCIP Safety staff if the individual is not effective in supporting the Districts OCIP goals. The Program Manager also maintains the sole right to modify the level of effort required of the broker based upon the needs of the District. The OCIP Administrator will attend and actively participate in meetings or conduct presentations as requested by the EchoWater Project Program Manager which, at a minimum, will include attendance at a monthly meeting of the OCIP Committee; will prepare semi-annual Executive Summary Reports, following in outline format based on the broker’s Scope of Services and a detailed annual report as well as a Final Report to the EchoWater Project Program Manager; and will provide appropriate brokerage and administrative services until the insurance carriers and the District consider the OCIP finally closed out. Reports must summarize problems, progress, accomplishments, current and planned activities, safety, claims, deductibles, enrollments, certificate collection and other pertinent information.
The following administrative services shall be provided by the broker:
a. Sixty days prior to OCIP policies anniversary, submit a written report
detailing:
i. Insurance program earned premiums and incurred losses by year and by
coverage line.
ii. Anticipated issues, regarding insurance renewal terms and conditions and other indications of market conditions, trends and changes.
iii. Identified problems in claims, safety and uninsured risks, etc.
iv. Services performed, planned and recommendations for improved program
design.
v. An account of all income received on District’s account.
vi. Issues related to coordination of OCIP with District’s existing insurance program.
b. Additional administrative duties to be provided by the broker:
i. Prepare a work plan to establish activities, milestones, deliverables, staffing, billing rates and intervals and other matters as required in the Broker Services Contract.
ii. Ensure timely and accurate enrollment of all parties to be insured by OCIP. Develop and establish work commencement and termination procedures.
iii. Secure and maintain up-to-date evidence of automobile liability and all other required insurance from all contracting parties on the project. iv. Thoroughly educate participants on all aspects of their participation in the
OCIP.
v. Prepare and distribute to all contractors/subcontractors bidding instructions and an OCIP manual that provides information about the insurance and safety programs, claim reporting, record keeping and other requirements and procedures.
vi. Analyze project loss history and incident history to identify developing loss problems and patterns and recommend solutions.
vii. Attend pre-bid meetings to explain the OCIP program and respond to any questions from bidders.
viii. Respond to questions as part of the Addendum process.
ix. If requested, screen contractor bids to determine whether or not the cost of insurance has been appropriately removed from the bid or proposal and what the impact the individual contractor’s loss experience is on their price.
2. Coordination with Contractors/Subcontractors during Bidding: Coordinate insurer services with all OCIP participants, which include answering questions pertaining to OCIP participation; explaining how to eliminate insurance costs from bids, and providing representation for the OCIP and the participants.
3. Prepare and Organize Program Status Meetings to be held Monthly. Take minutes of
all meetings and distribute to participants two (2) working days prior to the meetings. Provide monthly status reports to be reviewed at the monthly meetings discussing administration, claims, safety, costs, etc. The outline of the monthly report will follow the Scope of Services in the broker’s contract.
Recordkeeping:
Secure and retain relevant documents pertaining to the OCIP. Retain documents required for tracking purposes.
All records and data, electronic or in paper form, becomes the property of the District. All related data, documents and materials will be delivered in hard copy and electronic form at the notice of final completion by the District. At the option of the District, recordkeeping
services provided by the broker may be extended in time as deemed appropriate by the District.
1. OCIP Risk Management Information Systems (RMIS): The broker is responsible for
providing through its office or through an insurance supplier an automated RMIS, and will see to it that all OCIP and project data are accurately collected and maintained on the RMIS. The RMIS will have report writing capability for standard and ad hoc reports.
2. The RMIS shall accurately interface with the systems of the OCIP insurers, the broker and the District. The broker will identify all hardware and software requirements for the District to access the RMIS, and will identify other software needs for the OCIP. At a location to be determined by the District, at least one computer at the EchoWater Project location shall have a terminal and access the RMIS. The RMIS shall maintain contractor tracking logs that include:
a. An alphabetical listing of all contractors, including name, address and telephone numbers;
b. Lists of all contractors and subcontractors by tiers of relationships with a sub list indicating current active contractors;
c. Contract award dates, inception dates and completion dates;
d. Contractor insurance policy data, including the policy number, term, limits, insurer and coverage provided;
e. Underwriting data including experience modification, estimated contract and payroll data, labor classifications, rates and contractor cost;
f. A policy form information tracking system to track receipt and transmittal of the policy forms of all contractors and insurance companies;
g. Administer monthly workers compensation payroll reporting;
h. Weekly exception reporting to identify contractors not in compliance with RMIS requirements, and the areas of noncompliance;
i. Confirm that the RMIS can accurately import the OCIP insurer’s claims and policy data; and
j. Confirm that the RMIS data belongs to the District in case there are future changes in systems or vendors.
3. Compliance: Review contract documents, providing analysis and recommendations
regarding OCIP issues. Issue or cause to be issued OCIP forms, insurance binders, certificates, policies and endorsements to all OCIP participants. Issue certificates to third persons requiring proof of insurance from OCIP participants. Secure and maintain evidence of required insurance coverage from all participants, and maintain continuous update thereof including a deficiency list for all required documents not provided by OCIP participants.
4. Data Collection: Collect or cause to be collected monthly payroll data from all enrolled participants in the OCIP. This effort will be coordinated with District’s Labor Compliance Group for monitoring Labor Compliance and certified payrolls from contractors and its subcontractors.
5. Cost Reporting: The broker shall prepare and issue periodic reports, but not less than semi-annually, on the cost of the OCIP compared to costs of traditional methods of contractor provided insurance. Comparison reports should include all OCIP costs including administration, premiums, deductibles and rebates. Broker shall also prepare an OCIP Program Final Report that identifies overall program costs and savings.
6. Other Reports: From time to time, the District may request of the broker such other reports as it may deem necessary.
Claims Administration:
The broker will make arrangements for the administration of all OCIP claims associated with the project. Claims adjustment will be the responsibility of the applicable OCIP insurance carriers and/or a Third Party Administrator (TPA) agreed to by the carriers and the District.
1. Claims Handling: Coordinate claims handling processes, procedures and activities of the District, contractors, insurance carriers and third party administrators (TPAs). Conduct claims reserve analysis and negotiate claims issues with insurance carrier adjusters. Conduct quarterly claims review meetings with the District, insurance carrier and TPA.
2. Claims Reporting and Procedures: Create and maintain a comprehensive claims
reporting system to track and manage all claims. Develop and maintain a Claims Management Procedures Manual. Monitor claims activity and issue monthly claims status reports which will be reviewed monthly at the OCIP Committee meeting.
3. Medical Case Management: Identify and recommend a designated treatment facility
for injured workers. Develop and implement an effective restricted duty and return to work program (including the training and communication of same to all OCIP
participants). Provide recommendations for medical costs containment and other methods for reducing claims and claims cost.
4. Reserve Analysis: Perform loss reserve analysis and provide loss forecasting. 5. Quarterly Claims Review: The broker and such claims adjusters actively managing
claims shall attend a quarterly claims review meeting with the District staff at the site of the EchoWater Project.
6. Advise the District on coverage application to specific claims.
7. Assist the District in coordinating claims where existing District insurance programs dovetail with the OCIP.
OCIP Close-Out Services:
1. Recommend to the District when and how the OCIP should be terminated with the
program reverting to the traditional insurance provided by contractors. 2. Provide for and monitor the late reporting of claims arising from the OCIP.
3. Recommend to the District, with appropriate supporting information, whether it should negotiate a lump sum buy-out of outstanding claims with its OCIP insurer.
4. If applicable, recommend to the District how it should make the transition to its regular risk management program, paying special attention to design errors, construction defects and environmental exposures.
VII. ORGANIZATION AND CONTENT OF THE PROPOSAL
Table VII-1 lists the contents of the proposal by section. It is the responsibility of the broker to provide all required information identified in appropriate detail and
completeness. Failure to provide all required information or adequately explain why information cannot be supplied may render the proposal “non-responsive,” which may cause the disqualification of the broker. Each firm’s submission shall be subject to a limit of thirty (30) single-sided pages in a font no smaller than 12-point, exclusive of all
exhibits, covers and transmittal letter.
Table VII-1 Proposal Contents
Section Contents
Cover Letter Transmittal
1 Identification of Proposer
2 General Information and Qualifications
3 Approach to Risk, Data and Claims Administration
4 Approach to Purchase and Administration
5 Approach to Safety: Administration, Inspections, Training and Recordkeeping
6 References 7 Insurance Requirements 8 Estimate of Fees 9 Conflicts of Interest 10 Proprietary Information 11 Indemnification 11 Employment Practices
13 Exceptions to Contract Terms and Conditions
SECTION 1 - IDENTIFICATION OF PROPOSER
Describe your firm, principal place of business, contact information, and tax identification number(s); indicate size, locations, construction industry and OCIP
expertise, best practices, and organizational structure. If the broker is owned or controlled by a parent company, the name, main office and parent company’s tax identification number shall be provided in the proposal. The proposal shall include the names, offices, addresses, and phone numbers of key broker and key subconsultant staff that are proposed to be involved. Identify the Office(s) of your firm responsible for this OCIP.
SECTION 2 – GENERAL INFORMATION AND QUALIFICATIONS
Provide a summary of the following items in your proposal:
1. Structure: Consistent with the attached draft OCIP Organization Chart, describe the proposed organization of your OCIP Team, and how that team would meet the needs of the District. Describe your approach to providing the administrative and safety/loss control and claims services described in SECTION 3 below. Discuss any joint venture, subcontract or other structure your plan envisions.
2. Owner Controlled Insurance Programs Qualifications and Experience: Identify the local and national experience your firm has had with other wrap-up programs (OCIP, CCIP, etc.) and the specific experience your proposed team has had during the past 10 years for other clients. List all current OCIP projects and any closed OCIPs during the past 10 years. Has your firm ever begun an OCIP and failed to complete it prior to completion of the project? Has your firm ever taken over a partially completed OCIP? Recite any specific instances where you have provided innovation or creativity to an OCIP project. Identify specific knowledge and experience in financial tracking and reporting, including OCIP program feasibility studies and benchmarking.
3. Construction Experience: Describe your firm and team’s OCIP construction expertise, public entity experience and/or water/wastewater experience (if any) and how that experience will benefit this project. Identify any other construction risk management resources you will provide or make available to this project and OCIP. Provide a sample of your Quality Assurance and/or Best Practices
programs. State what action(s) your firm has taken to assure quality. Describe specific experience with Owners Protective Professional Indemnity insurance, bond assistance programs and Subguard.
4. Individual Team Members: Identify the names, office locations, and telephone numbers, and projected percentage of time to be devoted to this OCIP of all proposed team members together with an organization chart of the team. Provide resumes or biographies of each team member. Indicate specific hands-on
5. Support Needs: Provide an estimate of the office space your team will need on site and list other requirements (e.g., software, hardware, office equipment, telephone and internet lines, etc.).
SECTION 3 – APPROACH TO RISK, DATA AND CLAIMS ADMINISTRATION
1. Risk Management: Describe how your team will provide risk identification, measurement/evaluation and control for this project.
2. Tracking of Data: How will your team track and report losses?
3. Claims Management: Discuss your approach to claims management and how you would manage claims on this project. Explain whether you prefer TPAs or carrier-based claims adjusters. How do you go about selecting designated treating facilities? How would you specifically control claims and their costs? How do you address claims from the public and/or handle public relations crisis for projects? What experience(s) have you had to learn from?
SECTION 4 – APPROACH TO INSURANCE PURCHASE AND ADMINISTRATION
Describe current market conditions for OCIPs, including admitted and surplus lines carriers. Identify the markets you would approach for this OCIP, together with your rationale for using them. Identify past OCIP insurance placements where your clients experienced significant savings and why. Do the same for significant losses. Set forth risk management techniques or special coverage enhancements you would apply.
SECTION 5 – APPROACH TO SAFETY: ADMINISTRATION, INSPECTIONS, TRAINING AND RECORDKEEPING
Provide a detailed description of the proposed approach to implement and administer a Safety Program for the OCIP. The description shall include details to implement the tasks described in the scope of work and any recommended revisions or additions to the list of tasks. The proposer is encouraged to provide comments and enhancements to the scope provided in the RFP.
SECTION 6 – REFERENCES
List five (5) references on five (5) projects, together with contact information, of entities that have knowledge of and personal experience with your OCIP program design, administrative practice, safety and loss control, and claims administration capabilities. References should be for proposed personnel.
SECTION 7 - INSURANCE
Broker insurance requirements are identified in Attachment A -District Sample Agreement. Describe in this section the broker insurance coverage that will meet, or exceed, these requirements.
SECTION 8 – ESTIMATE OF FEES
Based upon the projects identified in the attachments, provide a yearly level of effort (hours) by staff (or staff category), hourly billing rates for each proposed staff (or staffing category), and total fees to provide the services described in your proposal. Provide separate total costs for the safety scope and for OCIP administration scope of services. Describe the method of compensation that you would recommend for the services
described. The level of effort and fees will form the basis for negotiating the final budget price. The fees in this proposal also will be used as one element in the selection process as identified in SECTION IX – EVALUATION AND SELECTION CRITERIA
SECTION 9 – CONFLICTS OF INTEREST
Broker and its consultants their officers and employees shall not have an interest, financial or non-financial, or acquire any interest, direct or indirect, in any business, property or source of income which could be affected by or otherwise conflict in any manner or degree with the performance of services required under this Agreement. If a firm has no conflicts of interest, a statement to that effect shall be included in the Proposal. If there are conflicts or known potential conflicts, please describe these circumstances in your proposal.
SECTION 10 - PROPRIETARY INFORMATION
Any information submitted in a proposal to this RFP which the proposer considers proprietary must be identified as such including the description of the legal basis for a claim of confidentiality. The District will not assert the confidentiality of such information unless the proposer executes and submits a written agreement prepared by the District to defend and indemnify the District for any liability, costs and expenses incurred in asserting such confidentiality as part of the proposal. The final determination as to whether or not the District will assert the claim of confidentiality on behalf of the proposer is in the sole discretion of the District.
SECTION 11 – INDEMNIFICATION
To the fullest extent permitted by law, for work or services provided under this
Agreement, which are not professional services, Broker shall indemnify, defend, and hold harmless the DISTRICT, the COUNTY OF SACRAMENTO, their governing Boards, their officers, officials, employees, agents, and volunteers; and BROWN AND
BROWN AND CALDWELL/HDR ENGINEERING, INC., a Joint Venture and each of their subconsultants, (collectively “Indemnified Parties”), from and against any and all claims, demands, actions, losses, liabilities, damages, and all expenses and costs incidental thereto (collectively “Claims”), including cost of defense, settlement,
arbitration, and reasonable attorneys' fees, resulting from injuries to or death of persons, including but not limited to employees of either Party hereto, and damage to or
destruction of property or loss of use thereof, including but not limited to the property of either Party hereto, arising out of, pertaining to, or resulting from the negligent acts or omissions of the Broker, its officers, employees, or agents, or the negligent acts or omissions of anyone else directly or indirectly acting on behalf of the Broker, or for which the Broker is legally liable under law regardless of whether caused in part by an Indemnified Party. Broker shall not be liable for any Claims arising from the sole negligence or willful misconduct of an Indemnified Party where such indemnification would be invalid under Section 2782 of the Civil Code.
To the fullest extent permitted by law, for professional services provided under this Agreement, Broker shall indemnify, defend, and hold harmless the Indemnified Parties from and against any Claims, including cost of defense, settlement, arbitration, and reasonable attorneys' fees, resulting from injuries to or death of persons, including but not limited to employees of either Party hereto, and damage to or destruction of propertyor loss of use thereof, including but not limited to the property of either Party hereto, arising out of, pertaining to, or resulting from the negligent acts, errors, omissions, recklessness, or willful misconduct of the Broker, its employees, or the Broker’s subconsultants. This indemnity shall not be limited by the types and amounts of insurance or self-insurance maintained by the Broker or the Broker’s Subconsultants.
Nothing in this Indemnity shall be construed to create any duty to, any standard of care with reference to, or any liability or obligation, contractual or otherwise, to any third party.
The provisions of this Indemnity shall survive the expiration or termination of the Agreement.
SECTION 12 – EMPLOYMENT PRACTICES
Provide a summary of your firm’s employment policies and procedures, including any equal employment opportunity and affirmative action policies. Also, include a brief summary outlining the present composition of your work force.
SECTION 13 – EXCEPTIONS TO CONTRACT TERMS AND CONDITIONS Provide a list of any exceptions to contract terms and conditions (see Attachment A – District Sample Agreement) which the broker will seek from the standard District contract language.
VIII. SELECTION PROCESS SCHEDULE
The District has established the following tentative schedule for the selection process:
Advertise Request for Proposal March 25, 2014
Pre-Proposal Meeting April 15, 2014
Deadline to Submit Questions April 18, 2014
Deadline to Submit Proposals April 30, 2014
Shortlist and Notification for Interviews May 9, 2014
Interviews May 21, 2014
Selection Notification May 23, 2014
Complete Contract Negotiations June 4, 2014
Board Approval of Agreement July 23, 2014
Notice to Proceed (NTP) July 25, 2014
IX. PRE-PROPOSAL MEETINGS
A pre-proposal meeting will be held on April 15, 2014at the SRWTP Administration Building, 8521 Laguna Station Road, Elk Grove, CA 95758. Attendance is highly encouraged for all firms interested in submitting proposals. This conference will be used to discuss the expected project, the desired broker services and answer questions
regarding this RFP.
X. SUBMITTAL INSTRUCTIONS
Please submit ten (10) hardcopies and one PDF on CD as follows:
Due Date: April 30, 2014 by 3:00 p.m.
Deliver to: EchoWater Project
Insurance Brokerage and Administrative Services SRWTP Administration Building
8521 Laguna Station Road Elk Grove, CA 95758
Attn: William Yu, Project Manager
XI. EVALUATION AND SELECTION CRITERIA
A review panel composed of District staff and outside representative(s) will evaluate and rate each proposal. Interview invitations will be sent to a short-list of firms. Presentations at the oral interviews shall be made by those individuals who will actually be assigned to the project.
A final recommendation will be made by the selection panel based on the review and evaluation of the proposal and interview. The interview presentation must focus on describing how your team/firm will carry out this project, rather than describing the team/firm’s experience, past projects and personnel qualifications. The broker selection committee will have reviewed your proposal, and expects a presentation that does not reiterate that document. For the interview, the committee wants to know what your firm will actually do in an integrated fashion to implement a successful OCIP for the
EchoWater Project. The proposal and interview evaluations will be based on the following criteria:
1. Qualifications, Knowledge, and Experience of Key Personnel:
a. Demonstrated skill in assisting owners with projects similar in scope and size to the District’s program.
b. Specialized knowledge, qualifications, experience and technical competence of key personnel.
c. Actual experience of key personnel.
d. Demonstrated skill in working with a diverse group of stakeholders in implementation of an OCIP.
e. Provide a clear indication of which team members will carry out specific aspects of the work, and their level of involvement.
2. Approach to Work Tasks:
a. The quality and thoughtfulness reflected in the firm’s approach to the work tasks.
b. Management methods proposed for supporting the District in monitoring and
reporting progress of the OCIP.
c. The uniqueness of your approach (i.e., what you believe will differentiate your approach and results from the other firms or teams).
3. Team Capacity:
a. Capacity to perform the work within District’s schedule requirement from 2014 to 2020 and the current and anticipated workloads of the prime brokers and the subconsultants.
b. Staffing and Fee Estimate, including the ability to supply the level of effort (hours) to provide the services described in the proposal.
4. Interview Presentation
a. Quality and clarity of presentation and response to questions in support of the EchoWater Project OCIP.
Criteria Weight Scoresa Weighted Scoresb
Qualifications, Knowledge, and Experience of Key Personnel. 30%
Project Approach and Team Capacity 20%
Staffing Plan and Fee Estimate 20%
Interview 30%
a
Each criterion will be assigned a score of 1 to 100. b
Scores will be multiplied by the weights and totaled to yield the total points on the proposal and interview. A maximum total point is 100.
Final negotiations as to scope and fee will take place after selection of the firm. Negotiations may be formally terminated if they fail to result in a contract within a reasonable time period. Negotiations will then ensue with the second ranked broker, and if necessary, the third ranked broker. If the second and third rounds of negotiations fail to result in a contract within a reasonable time period, the solicitation may be formally terminated. The selection of the broker and the negotiated contract will be presented to the District Board of Directors for approval.
An award of contract will be made to the responsible broker who provides the best overall response to the requirements of this RFP. The District may select whichever proposal it determines will best serve its interests. The successful broker will be selected in
accordance with the proposal evaluation criteria identified above. Selection will be made approximately on May 23, 2014 subject to final approval by the District Board of
Directors. Written notification of the outcome of the selection process will be mailed to all brokers who submit a proposal.
Proposals submitted without required documents may be considered nonresponsive and may be rejected.
The District is prohibited from awarding this Contract to any person, entity or business that is on the Federal Exclusion List (https://www.sam.gov/). If you or your firm is on this list, and/or debarred, suspended, or otherwise excluded from or ineligible for participation in federal, State or county government contracts, the District cannot award this contract to you and you should not respond to this RFP. In addition, broker certifies that it shall not contract with a subcontractor that is so debarred or suspended.
XII. SOLICITATION OF SUBCONSULTANTS, SUBCONTRACTORS, OTHER SERVICE PROVIDERS AND SUPPLIERS
If the prime broker intends to solicit sub-proposals and/or quotes for certain tasks on this project from qualified subconsultants, subcontractors, other service providers and
Substitution of any subconsultants, subcontractors, other service providers and suppliers identified in the agreement shall not be made without the written consent of the District.
XIII. TERMS AND CONDITIONS
A. QUESTIONS REGARDING THE RFP
Proposers are responsible for reviewing all portions of this RFP, attachments and any addenda. Proposers are encouraged to submit questions regarding the scope and requirements of the RFP. All requests for information concerning the RFP must be in writing and directed to William Yu, EchoWater Project Manager (yuw@sacsewer.com) on or before 3:00 PM on April 18, 2014. All inquiries should include the name of the RFP. Modifications and clarifications will be made by addenda as specified in this RFP. The District is not obligated to issue addenda in response to any request submitted after the deadline.
If any new or substantive information is provided in response to questions, addenda will be issued and posted on the District website at http://www.regionalsan.com/business-opportunities. Proposers are responsible for checking the website on a regular basis to see if any addenda have been issued.
B. INTERPRETATION AND ADDENDA
The Proposer will be responsible for ensuring that its proposal reflects any and all addenda posted by the District prior to the proposal due date regardless of when the proposal is submitted. The District recommends that the Proposer check the District web page before submitting its proposal to determine if the Proposer has read all posted addenda. The District will not be responsible for any other explanation or interpretation.
C. REVISION OF PROPOSAL
A Proposer may withdraw or revise a proposal on the Proposer’s own initiative at any time before the deadline for submission of proposals. The Proposer must submit the revised proposal in the same manner as the original proposal. A revised proposal must be received on or before the proposal due date. In no case will a statement of intent to submit a revised proposal extend the proposal due date for any Proposer. At any time during the proposal evaluation process, the District may require a Proposer to provide oral or written
clarification of its proposal.
D. ERRORS AND OMISSIONS IN PROPOSAL
Failure by the District to object to an error, omission, or deviation in the proposal will in no way modify the RFP or excuse the Proposer from full compliance with the
E. OBJECTIONS TO RFP TERMS
Should a Proposer object on any ground to any provision or legal requirement set forth in this RFP, the Proposer must, not more than 10 calendar days after the RFP is issued, provide written notice to the District setting forth with specificity the grounds for the objection. The failure of a Proposer to object in the manner set forth in this paragraph will constitute a complete and irrevocable waiver of any such objection.
XIV. ATTACHMENTS
A. District Sample Agreement
B. Program Schedule
C. Description of the EchoWater Project
D. Project Map
E. Program Expenditure Histogram with Actual Costs.
F. District Safety Program
G. Draft OCIP Organization Chart
Other information available on request:
