HomeMy WebLinkAboutC2008-265 - 8/19/2008 - ApprovedSERVICE AGREEMENT
for
WORKERS' COMPENSATION THIRD-PARTY
ADMINISTRATOR SERVICES
THIS Workers' Compensation Third-Party Administrator Services "Agreement" is
entered into by and between F. A. Richard & Associates (the "Contractor"), a
Corporation, and the City of Corpus Christi, a Texas home-rule municipal corporation
(the "City") effective for all purposes upon execution by the City Manager or his
designee.
WHEREAS Contractor has proposed to provide Workers' Compensation Third-Party
Administrator Services in response to Request for Proposal (RFP) No. BI-0053-08.
WHEREAS the City has determined Contractor to be the Best Value Supplier;
NOW, THEREFORE, Contractor and City enter into this Agreement and agree as
follows:
1. Services. Contractor will provide Workers' Compensation Third-Party
Administrator Services in accordance with RFP No. BI-0053-08.
2. Term. This Agreement commences on the first day of October 2008 and
continues through the thirtieth day of September 2010. The term of the
Agreement is twenty four months, with the option to extend for up to two
additional twelve-month periods, subject to the approval of the Contractor and the
City Manager, or his designee. If the City has not completed the procurement
process and awarded a new Agreement upon expiration of the original contract
period or any extension period, the Contractor shall continue to provide services
under this Agreement, at the most current price under the terms of this Agreement
or extension, on a month-to-month basis, not to exceed twelve months. This
Agreement automatically expires on [he effective date of a new contract. The
Contractor agrees that the cost and price information quoted in its proposal is
fixed and firm for the duration of the twenty-four month term plus up to the
additional twelve month periods of this contract.
3. Contract Administrator. The Contract Administrator designated by the City
is responsible for approval of all phases of performance and operations under this
Agreement including deductions for non-performance and authorizations for
payment. All of Contractor's notices or communications regarding this
Agreement must be directed to the Contract Administrator, who is the Risk
Manaeer.
2008-265 Contractor. Contractor will perform the services hereunder as
M2008-219 contractor and will furnish such services in its own manner and
08/19/08
F. A. Richard & Assoc.
method, and under no circumstances or conditions may any agent, servant, or
employee of Contractor be considered as an employee of the City.
5. Insurance. Before activities can begin under this Agreement, Contractor must
deliver a Certificate of Insurance, as proof of the required insurance coverages [o
the Contract Administrator. Additionally, the Certificate must state that [he
Contract Administrator will be given at least 30 days notice of cancellation,
material change in the coverages, or intent not to renew any of the policies by first
class mail. The City must be named as an Additional Insured on commercial
general liability coverage. The City Attorney must be given copies of all
insurance policies within 15 days of the City Manager's written request.
Insurance requirements are attached and incorporated as Exhibit C, and may be
revised annually by the City Risk Manager upon 30 days written notice to
Contractor.
6. Assignment. No assignment of this Agreement or any right or interest therein
by Contractor, except to its parent or subsidiary, is effective unless the City first
gives its written consent to such assignment. The performance of this Agreement
by Contractor is of the essence of this Agreement and the City's right to withhold
consent to such assignment is within the sole discretion of the City on any ground
whatsoever.
7. Fiscal Year. All parties recognize that the continuation of any contract after
the close of any fiscal year of the City, which fiscal year ends on July 31 annually,
is subject to appropriations and budget approval providing for such contract item
as expenditure in said budget. The City does not represent that said budget item
will be actually adopted, that determination is within the sole discretion of the
City Council at the time of adoption of each budget.
S. Indemnification. F, A, Richard & Associates (Indemnitor)
agrees to indemnify, defend and ho/d the City of Corpus
Christi, and its officers, emp/oyees and agents
(Indemnitees) harm/ess from and against any and a//
/iabi/ity, /oss, c/aims, demands, suits, and causes of
action of any nature on account of death, persona/
injuries, property /oss or damage to properly (inc/uding
property of Indemnitor or Indemnitees), or any other
kind of damage, inc/uding a// expenses of litigation,
court costs, attorneys' fees, expert witness fees, the
amount of any judgment, pens/ty, or interest, which
arise or are c/aimed to arise out of or in connection with
this contract or the performance of this contract
(inc/uding, without /inviting the foregoing, worker s
compensation and death c/aims) for injuries, death, or
damages that are caused by, or are c/aimed to be
caused by the concurrent or contributing negligence of
Indemnitees, but not by the so% neg/igence of
Indemnitees unmixed with the fau/t of any other person
or group. Indemnitor specifics//y agrees to indemnify
Indemnitees from the neg/igence of its emp/oyees
un/ess neg/igence is so% neg/igence of Indemnitees:
Indemnitor must, at its own expense, investigate a//
c/aims, attend to their sett/ement or other disposition,
defend Indemnitees in a//actions based on those c/aims
with counsel satisfactory to Indemnitees, and pay a//
attorneys' fees, costs and expenses of every kind and
character whatsoever resulting from the c/aims.
9. Waiver. No waiver of any breach of any term or condition of this
Agreement, or Contractor's proposal submitted in response to RFP No. BI-0053-
08 waives any subsequent breach of the same.
10. Compliance with laws. This Agreement is subject to all Federal laws and
laws of the Slate of Texas. The applicable law For any legal disputes arising out
of this Agreement is the law of Texas and such form and venue for such disputes
is the appropriate district, county, or justice court in and for Nueces County,
Texas.
11. Subcontractors. Contractor may use subcontractors in connection with the
work performed under this Agreement. When using subcontractors, however,
Contractor must obtain prior written approval from the Contract Administrator.
In using subcontractors, Contractor is responsible for all their acts and omissions
to the same extent as if the subcontractor and its employees were employees of
Contractor. All requirements set forth as par[ of this Agreement are applicable to
all subcontractors and their employees to the same extent as if the Contractor and
its employees had performed the services.
12. Amendments. This Agreement may be amended only by written
agreement signed by duly authorized representatives of the parties hereto.
13. Termination. The City Manager may terminate this Agreement for
Contractor's failure to perform the services specified in RFP No. BI-0053-08.
Failure to keep all insurance policies in force for the entire term of this Agreement
is grounds for termination. The City may terminate this Agreement at any time,
pursuant to the provisions of 2.38 of the RFP. The Contractor may terminate this
Agreement upon 60 days prior written notice for the City's failure to perform or
fulfill its obligations as set forth in this Agreement.
14. Taxes. Contractor covenants to pay payroll taxes, Medicare taxes, FICA
taxes, unemployment taxes, and all other related taxes according to Circular E
Employer's Tax Guide, Publication 15, as it may be amended. Contractor must
provide proof of payment of these taxes within 30 days after City Manager's
written request therefor. Failure to pay or provide proof of payment is grounds
for the City Manager to immediately terminate this Agreement.
15. Drug Policy. Contractor must adopt a Drug Free Workplace and drug testing
policy that substantially conforms to the City's policy, which is aZero-Tolerance
policy that eliminates drugs in the workplace.
16. Invoicing. Invoicing for Administrative Services shall be performed
monthly.
17. Notice. Notice may be given by facsimile, hand delivery, or certified mail,
postage prepaid, and is deemed received on the day faxed or hand delivered or on
the third day after deposit if sent certified mail. Notice shall be sent as Follows:
IF TO CITY:
City of Corpus Christi
Attention: Risk Manager
P.O. Box 9277
Corpus Christi, Texas 78469-9277
FAX No.: (361) 826- 3697
IF TO CONTRACTOR:
Contractor Name: F. A. Richard & Associates
Contact Person: Reed Bell
Address: 1625 West Causeway Approach
Mandeville, LA 70471
FAX No.: (985) 624-8489
18. Severability. Each provision of the Agreement shall be considered to be
severable and, if, for any reason, any such provision or any part thereof, is
determined to be invalid and contrary to any existing or future applicable law,
such invalidity shall not impair the operation of or affect those portions of this
Agreement that are valid, but this Agreement shall be construed and enforced in
all respects as if the invalid or unenforceable provision or part thereof had been
omitted.
SIGNED this !a "" day of Y~ , 2008.
CONTRACTOR:
Reed Bell `
Chief Operating Officer
SIGNED this ~ day of '~ t4r , 2008.
CITY F C S HRISTI ~
Michael era ~//
Assistant Director of Financial Services
ATTEST: '~_. .
ARMANDO CFiNPA
aTV sEr,~ErArt~
APPROVED AS TO FORM THIS DAY OF ~~~7'~` , 2008
Mary Kay Fischer, CITY ATTORNEY
BY: ~~
Veronica Ocadas,
Assistant City Attorney
Exhibit A: RFP No. BI-0053-08
Exhibit B: Proposer's Proposal
Exhibit C: Insurance Requirements
I'"bWt~~~~l AUTHURItIu
,. p
dY COUHCIL...~~~.~.(~. ~o
~~~SECRETARY~~
REQUEST FOR PROPOSAL
ADDENDUM
CITY OF CORPUS CHRISTI
PURCHASING DIVISION
Request for Proaosal No.: BI-0053-08 Addendum No.: 2 Mav 9, 2008
Prospective Proposers are hereby notified of the following modifications to Request for Proposal No. BI-
0053-08. All terms, conditions and specifications of the original Request for Proposal not in conflict with
this addendum or any previous addenda remain unchanged and continue in full force and effect.
I.
The City hereby provides the following additional and updated information:
1. The following table replaces the table set forth in Section II, Number 1 of Addendum
and contains all open claims as of Apri130, 2008:
A f dl3 0 •-
Year Indemni Medical
1988 1 0
1989 0 0
1990 2 0
1991 0 0
1992 1 0
1993 0 0
1994 2 0
1995 0 0
1996 0 0
1997 1 0
1998 1 0
1999 4 0
2000 4 0
2001 2 0
2002 2 0
2003 2 0
2004 3 1
2005 2 1
2006 9 3
2007 30 27
2008 16 127
Totals 82 159
-i-
"ALL OTHER ITEMS AND CONDITIONS REMAIN UNCHANGED"
Paul J. Pierce
Procurement & General Services Supervisor
ACKNOWLEDGED BY:
FIRM NAME
AUTHORIZED SIGNATURE DATE
ONE ORIGINAL SIGNED AND DATED ADDENDUM 2
AND TEN COPIES OF THIS ORIGINAL SIGNED AND
DATED ADDENDUM 2 MUST BE RETURNED TO THE
PURCHASING DIVISION WITH YOUR PROPOSAL.
ii
REQUEST FOR PROPOSAL
ADDENDUM
CITY OF CORPUS CHRISTI
PURCHASING DIVISION
Request for Proaosal No.: BI-0053-08 Addendum No.: 1
Mav 5, 2008
Prospective Proposers are hereby notified of the following modifications to Request for Proposal No. BI-
0053-08. All terms, conditions and specifications of the original Request for Proposal not in conflict with
this addendum remain unchanged and continue in full force and effect.
I.
The City hereby provides the following revision to the RFP:
The City hereby revises its requirement regarding the number of copies of the proposal each
Proposer will submit (referenced in Sections 1.2 and 4.1 of the RFP) FROM: one (1) original
and five (5) copies; TO: one (1) original and ten (10) copies.
II.
The following questions were posed by prospective Proposers and are answered, herein, by the
City of Corpus Christi, Texas:
QUESTION:
What is the current open pending claims count by Indemnity and Medical Only for
all policy years? Valued as of what date?
ANSWER:
The following table illustrates open claims count for Indemnity and Medical Only, as
of Apri12008.
2004
2005
2006
2007
2008 to 3/31/08
Indemnity Medical
2 4
2 4
9 26
27 61
5 143
2. QUESTION:
Under Section 3.2, "Third Party Administration Services Required", Part B states "the
City requires an electronic claims administration system". Is it the City's intention to
iii
disqualify Third Party Administrators that do not have all of the electronic
components described in Part B?
ANSWER:
As is indicated in the title "Third-Party Administrator Services Required", the items
listed in Section 3.2, including Section 3.2, B, are requirements. Moreover, as
stipulated in Section 2.15, a Proposer may be disqualified if the Proposer has failed to
adhere to one or more of the provisions established in this RFP.
3. QUESTION:
Under Section 3.2, Part I states that "adjusters shall have a minimum of five (5) years
experience..." Is this mandatory for all three (3) adjusters or just preferred?
ANSWER:
As is indicated in the title "Third-Party Administrator Services Required", the items
listed in Section 3.2, including Section 3.2, I, are requirements. Moreover, as
stipulated in Section 2.15, a Proposer may be disqualified if the Proposer has failed to
adhere to one or more of the provisions established in this RFP.
4. QUESTION:
Reference to the "Claims History Data for Calendar Years 2004-2007" on page 16.
From the Total Dollars Paid in Medical and Allocated Expenses, how much was paid
per year to your current administrator F.A. Richard & Associates (including FARA
Bill Review, FARA Healthcare, and FARA Investigations) for services including but
not limited to, bill review, utilization review, peer review, telephonic case
management, nurse case management, and private investigations? How much was
paid for the preparation of any DWC forms for the adjusters?
ANSWER:
The "Claims History Data...." illustrates the amount paid on claims, it does not
include the administration fee. The RFP does not include Field Case Management
and/or Vocational Case Management services. The City does not utilize telephone
case management or nurse case management. The following chart details fees by
type.
Item 2004 2005 2006 2007
F.A. Richard & Associates, Inc.
(Admin.) $282,790 $296,530 $306,930 $318,030
FARA Healthcare Management
(UR) $73,751 $137,928 $164,974 $137,592
FARA Securi Services, Inc. $27,820 $36,710 $43,155 $9,185
FARA Bill Review/PPO $90,718 $83,304 $68,995 $57,479
Grand Total $475,079 $554,472 $584,054 $522,286
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5. QUESTION:
How much was paid each year to your current administrator FARA for Third-Party
claims administration services? Do the fees include costs for indexing, electronic
data submission to DWC (EDI), checks, banking, and claims management system
access?
ANSWER:
The City of Corpus Christi paid the following amounts to FARA, our current TPA
contractor:
Year 1 $282,790
Year 2 $296,530
Year 3 $306,930
Year 4 $318,030
These fees do not include costs for indexing, electronic data submission to DWC
(EDI), checks, banking or claims management system access.
6. QUESTION:
Does the City permit aThird-party Administrator to charge additional hourly fees to a
claim file for the utilization of nurse case mangers or any other 3`d party for duties
routinely or typically performed by adjusters?
ANSWER:
Please refer to Section 3.5 Fee Schedule in order to identify any other fees and/or
charges that may not be listed in the Fee Schedule. The RFP does not include Field
Case Management and/or Vocational Case Management services.
7. QUESTION:
Relative to actual "inception date" of services. Specifically, section ].3 -Tentative
Schedule indicates July 8, 2008 as the Selection and Award date, but 1 am unclear as
to when actual services begin. Please specify the date actual service delivery begins.
ANSWER:
The anticipated commencement date of the contract resulting from this RFP is on or
about August 1, 2008.
8. QUESTION:
Will administration include assumption of pending claims from the incumbent TPA,
F. A. Richard, or will the services be for "new" claims only? If the service will
include takeover of pending claims, please provide the estimated volume by type of
claim (indemnity vs. medical only).
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ANSWER:
Service will include assumption of pending claims from the current contractor. For
volume by type, see the answer to question number 1 of this addendum.
"ALL OTHER ITEMS AND CONDITIONS REMAIN UNCHANGED"
Paul J. Pierce
Procurement & General Services Supervisor
ACKNOWLEDGED BY:
FIRM NAME
AUTHORIZED SIGNATURE DATE
ONE ORIGINAL SIGNED AND DATED ADDENDUM 1
AND TEN COPIES OF THIS ORIGINAL SIGNED AND
DATED ADDENDUM 1 MUST BE RETURNED TO THE
PURCHASING DIVISION WITH YOUR PROPOSAL.
vi
CITY OF CORPUS CHRISTI
BI-0053-OS
WORKERS' COMPENSATION THIRD-PARTY
ADMINISTRATOR SERVICES
Table of Contents
Section 1 Notice of Request for Proposal
1.1 Request For Proposal
1.2 Submission of Proposal
1.3 Tentative Schedule
1.4 Acknowledgment and Notice of Intent to Submit Proposal
Section 2 Conditions Governing the Procurement
2.1 Acceptance of General Requirements
2.2 RFP Notice Requirement
2.3 RFP Procedural and Content Questions
2.4 Basis for Proposal
2.5 Opening of Proposals
2.6 Proposal Terms and Conditions
2.7 Disclosure of Proposal Contents
2.8 Late Proposals
2.9 Signing of Proposals
2.10 Cost of Proposal
2.1 I Minority Business Enterprise Information Form
2.12 Disclosure of Interest
2.13 Equal Employment Opportunity
2.14 Ownership of Proposals
2.15 Disqualification or Rejection of Proposals
2.16 Rejection of Proposals
2.17 Right to Waive Irregularities
2.18 Withdrawal of Proposals
2.19 Amending of Proposals
2.20 Proposal Offer Firm
2.21 Proposer Qualifications
2.22 Exceptions to RFP Specifications
2.23 Consideration of Proposals
2.24 Termination of RFP
2.25 Contract
2.26 Precedence of Contract Documents
2.27 Governing Law
2.28 No Obligation
2.29 Contract Deviations
2.30 Sufficient Appropriation
2.31 Recommendation to City Council
2.32 Award of Contract
vii
2.33 Execution of Contract
2.34 Disputes
2.35 Change in Contractor Representatives
2.36 Term
2.37 Change Requests
2.38 Termination of Contract
2.39 Ownership of Documents
2.40 Required Insurance Provisions
2.41 Right to Publish
2.42 Ethical Behavior
2.43 Quantities
Section 3 Scope of Work
3.1 City of Corpus Christi -General Information
3.2 Third-Party Administrator Services Required
3.3 Technical Solution
3.4 Proposer Profile & Qualifications
3.5 Fee Schedule
Section 4 Proposal Format and Organization
4.1 Generallnstructions
4.2 The Proposal Format
4.3 Transmittal Letter
4.4 Table of Contents
Section 5 Proposal Evaluation
5.1 Committee
5.2 Evaluation Criteria
Attachments
Exceptions Form
Service Agreement
Minority Business Enterprise Information Form
Disclosure of Interest Form
Limited Duty Assignment & Reasonable Accommodation HR 32.0 Policy
viii
SECTION 1
Notice of Request for Proposal
The City of Corpus Christi "City" issues this request for proposals "RFP". The City is
interested in proposals from Proposers that can provide the City with WORKERS'
COMPENSATION THIRD-PARTY ADMINISTRATOR SERVICES that meet the needs of
the City as defined in this RFP.
The City hereby designates Paul J. Pierce as the Procurement Officer with overall
responsibility for procurement and administration of this service. Mr. Pierce's information is
as follows:
Paul J. Pierce
Procurement & General Services Supervisor
City of Corpus Christi
P.O. Box 9277
Corpus Christi, Texas 78469-9277
Phone: (361) 826-3164
Fax: (361) 826-3174
paulp@cctexas.com
All inquiries or requests regarding this RFP must be submitted, in writing, to the Procurement
Officer as indicated above, or his duly authorized designee, as specified in writing. Other
employees do not have the authority to respond for the City in writing and any attempt to
question other employees regarding this RFP may result in the City disqualifying that
Proposer. Only written responses from the Procurement Officer or his duly authorized
designee will be binding with regard to inquiries requesting clarification or additional
information. The Procurement Officer's or his duly authorized designee's written responses
will be forwarded simultaneously to all prospective Proposers.
The Proposer must submit one (1) original and five (5) copies of its proposal in response to
this RFP to the City of Corpus Christi, as specified below. All proposals must be complete
and accurate and must be in City approved format as referenced in Section 4.2
The City will review and evaluate written proposals submitted in response to this RFP. The
City may conduct additional interviews with selected Proposers for the purpose of further
exploring and clarifying the Proposer's response. The City will rank the Proposers based on
the suggested evaluation criteria set forth in the Evaluation Model of this RFP. The City will
then negotiate the applicable terms and conditions into the final form of the Contract. If
contract negotiations are not successful with the selected Proposer, the City will begin
negotiations with the next highest ranked Proposer on the list. Award(s) will be made
considering the best overall value to the City. The City intends to award one contract to one
Contractor.
The City intends to utilize an Evaluation Model specifically designed for this analysis. The
Evaluation and Selection process will be based on Technical Solution, Proposer's Profile &
Qualifications, Fee Schedule and Exceptions. The weighs assigned to each of these
parameters will be designated by the Evaluation Committee.
Proposals should be returned in a sealed envelope or container marked with the Proposer's
name, address and the bid number corresponding to this RFP. Proposals will be received
through 5:00 PM Central Time (CT) on May 16, 2008. Without exception, proposals
received after this deadline are considered non-responsive and will not be considered.
Proposers may mail the Proposal to the following address:
City of Corpus Christi (1 original and 5 copies)
Purchasing Division
P.O. Box 9277
Corpus Christi, Texas 78469-9277
OR, Proposers may deliver the proposal in person to the following addresses:
City of Corpus Christi (1 original and 5 copies)
Purchasing Division
4'" Floor, City Hall
1201 Leopard St.
Corpus Christi, Texas 78401-2825
Delivery to or receipt in any other area of the City will not satisfy the requirement for
delivery to the Purchasing Division.
Proposer shall comply with the additional detailed instructions regarding submission of
Proposals found in Section 4.0 of this RFP.
The following is a tentative schedule of project evaluation and selection activities:
Date Pro'ect Activit
A ri17, 2008 Re uest for Pro oral issued
April 18, 2008 5:00 PM CT deadline for submission of:
1) written questions
2) Acknowledgment of Receipt and
Notice of Intent to Submit Proposal
Ma 16, 2008 Pro owls due b 5:00 PM CT.
July 8, 2008 Selection and Award of Contract(s) by City
Council.
July 15, 2008 Alternate date for Selection and Award of
Contract s b Cit Council.
2
It is important that the City is able to verify prospective Proposers'
receipt of this RFP. The following ACKNOWLDGMENT OF
RECEIPT AND NOTICE OF INTENT TO SUBMIT PROPOSAL
("NOTICE") must be completed and returned as soon as possible, but
no later than 5:00 PM CT on April 18, 2008. Failure to return said
Notice by this deadline may prevent a prospective Proposer from
receiving amendments, responses to questions, etc.
3
ACKNOWLEDGMENT OF RECEIPT
AND NOTICE OF INTENT TO SUBMIT PROPOSAL
REQUEST FOR PROPOSAL BI-0053-08
WORKERS' COMPENSATION THIRD-PARTY
ADMINISTRATOR SERVICES
In acknowledgment of receipt of this Request for Proposal, the undersigned agrees that a
complete copy of this RFP has been received and offers notice of their intention to submit a
proposal to provide WORKERS' COMPENSATION THIRD-PARTY ADMINISTRATOR
SERVICES outlined in this RFP.
This Acknowledgment of Receipt and Notice of Intent to Submit Proposals to this RFP
must be signed by an authorized representative and returned to the Procurement Officer
by 5:00 PM CT on April l8, 2008. This will assure that any addenda or additional
information and written answers to questions will be forwarded to you. Proposers who
choose to mail this form should send it by registered or certified U.S. mail to the
address set forth in Section 1.1 of this RFP, or fax to (361) 826-3174 Attention:-Paul
J. Pierce, Procurement & General Services Supervisor, or by email to
paulona cctexas.com. Facsimile service is provided as a courtesy to proposers, however,
the City assumes no responsibility for documents transmitted via facsimile and not
received by the Procurement Officer in a timely manner.
The person named herein shall also serve as the contact person who must be available,
with little or no notice, to answer questions posed by the Evaluation Committee during
the evaluation process.
COMPANY NAME:
REPRESENTED BY:
NAME:
TITLE:
ADDRESS:
CITY/STATE/ZIP CODE:
SIGNATURE:
DATE:
E-MAIL:
FACSIMILE #:
TELEPHONE #:
4
SECTION 2
Conditions Governing the Procurement
The Proposer must specifically accept the project requirements by paragraph number
contained within Sections 2.0, Conditions Governing the Procurement and 3.0, Scope of
Work, in the transmittal letter as set forth in Section 4.3 of this RFP.
In accordance with City procedures, notice of Request for Proposal shall be published in the
Corpus Christi Caller-Times once a week for two consecutive weeks. The date of the first
publication will be at least fourteen (14) davs prior to the Proposal due date.
Any Proposer requiring further clarification of the Request for Proposal procedures
contained herein should submit specific questions in writing to the Procurement Officer at
the address set out in Section 1.1 of this RFP.
During a review of this RFP and preparation of the Proposal, certain errors, omissions, or
ambiguities may be discovered. If so, or if there are doubts or concerns about the meaning
of any part of this RFP, written questions should be submitted by 5:00 PM CT on April 18,
2008 to the Procurement Officer at the address set out in Section 1.1 of this RFP. This will
allow time to answer the questions and distribute those answers to all prospective proposers
so that each will have the benefit of the revised information.
Only the information contained in this RFP, addenda hereto and information supplied by the
City in writing through the Procurement Officer identified herein should be used in the
preparation of the Proposer's proposal.
Proposals shall be returned in a sealed envelope or container marked with the Proposer's
name, address and RFP number BI-0053-08. The Proposals shall be received through 5:00
PM CT on May 16, 2008. Proposals must be mailed or delivered in accordance with the
instructions and to the addresses set out in Section 1.2 of this RFP.
By means of time stamp, the Purchasing Division will record receipt of the Proposal and
forward it to the Procurement Officer. The official time for closing of this RFP is 5:00 PM
CT per the Purchasing Division's date/time stamp on Mav 16. 2008. A formal opening of
the Proposals will not occur.
5
The Proposer must submit, with each copy of the Proposal, a complete set of any additional
terms and conditions proposed for inclusion in the sample Contract enclosed herein.
Proposals will be opened in a manner that avoids disclosure of the contents to competing
Proposers and keeps the proposals secret during negotiations. All proposals are open for
public inspection after the contract(s) are awarded, however, trade secrets and confidential
information in the proposals are not open for public inspection. It is specifically provided,
however, that each Proposer must identify any information contained in its proposal
which it asserts is either a trade secret or confidential information. Such material must
be conspicuously identified by marking each page containing such information as
"confidential" or "proprietary". If such material is not conspicuously identified, then by
submitting its proposal, a Proposer agrees that such material shall be considered public
information.
Without exception, proposals must be submitted in sufficient time to be received and
date/time stamped in the Purchasing Division on or before the deadline specified in Section
1.2. Any proposal received after the time and date specified in Section 1.2 is late and shall
not be considered.
By submitting and signing a proposal, the Proposer indicates its intention to adhere to the
provisions described in this RFP.
1. Proposals, signed for a partnership, shall be signed in the Proposer's name by at
least one partner or in the Proposer's name by an attorney-in-fact. If signed by an
attorney-in-fact, there should be attached to the Proposal a Power of Attorney
evidencing authority to sign Proposals, dated the same date as the Proposal, and
executed in accordance with the legal requirements of the Proposer.
2. Proposals, which are signed for a corporation, shall have the correct corporate
name thereon and shall bear the president's or avice-president original signature and
title written below the corporate name. Any other signature must be accompanied by
a resolution of the Board of Directors authorizing such signature to contract in the
corporation's name. The title of the office held by the person signing for the
corporation shall appeaz below the signature of the officer.
This Request for Proposal does not commit the City to pay any costs incurred by a Proposer
for preparation and/or submission of a Proposal or for procuring or contracting for the items
to be furnished under this RFP. All costs directly or indirectly related to preparing and
6
responding to this RFP, including all costs incurred for supplementary documentation, shall
be borne solely by the Proposer.
The City of Corpus Christi requires all persons or Proposers seeking to do business with the
City to provide the Minority Business Enterprise Information Form on the City-supplied
form included herewith. Every question must be answered. If the question is not applicable,
answer with N/A.
The City of Corpus Christi Code of Ordinances, Section 2-349, as amended, requires all
persons or Proposers seeking to do business with the City to provide the Disclosure of
Interest information on the City supplied form included herewith. Every question must be
answered. If the question is not applicable, answer with N/A. Proposers are obligated to
provide updated information concerning the disclosure of interests, as warranted, throughout
the time the Proposals are being considered.
Proposers aze expected to comply with the Affirmative Action Policy Statement of the City,
in file with the Human Relations Department, with respect to its provisions conceming
Proposers. Any complaints filed with the City alleging that a Proposer is not an Equal
Opportunity Employer, due to activities arising during a previous City contract, will be
referred to the Human Relations Commission ("Commission") of the City for the purpose of
review and recommendation.
Summaries of reports by the Human Relations Administrator or the Commission may be
considered in any future bid awards by the City. The City expressly reserves the right to
consider such reports in determining the best Proposal.
All documents submitted in response to this Request for Proposal and timely received shall
become the property of the City of Corpus Christi.
Proposers maybe disqualified for any of the following reasons:
• There is reason to believe that collusion exists among the Proposers;
• The Proposer is involved in any litigation against the City;
• The Proposer is in arrears on an existing contract or has defaulted on previous
contracts with the City;
• The Proposer lacks financial stability;
• The Proposer has failed to perform under previous or present contracts with the City;
• The Proposer has failed to use the City's approved forms;
• The Proposer has failed to adhere to one or more of the provisions established in this
RFP;
• The Proposer has failed to submit its Proposal in the format specified herein;
7
• The Proposer has failed to submit its Proposal on or before the deadline established
herein;
• The Proposer has failed to adhere to generally accepted ethical and professional
principles during the Proposal process; or,
• The Proposer has failed to provide a detailed fee schedule in the Proposal.
Proposals may be rejected if they show any alteration of words or figures, additions not
called for, conditional or uncalled-for alternate Proposals, incomplete Proposals, erasures, or
irregularities of any kind. Proposals tendered or delivered after the official time designated
for receipt of Proposal shall be deemed non-responsive and shall not be considered.
Proposals shall be considered as being "irregular" if they show any admissions, alterations of
form, additions or conditions not called for, unauthorized alternate Proposals, or
irregularities of any kind.
The Procurement Officer reserves the right to waive minor in•egulazities and mandatory
requirements, provided that all responsive Proposals failed to meet the same mandatory
requirements and the failure to do so does not otherwise materially affect the procurement.
This right shall be exercised at the sole discretion of the Procurement Officer.
Proposals may be withdrawn by written notice received by the City Purchasing Division
prior to the exact hour and date specified for receipt of Proposals. A Proposal may be
withdrawn (in person) by a Proposer or his/her authorized representative, provided his/her
identity is made known and he/she signed a receipt for the Proposal, but only if the
withdrawal is made prior to the exact hour and date set for the receipt of Proposal.
A Proposer may submit an amended Proposal; however, such amended Proposals must be
received prior to the exact hour and dare set for receipt of proposal deadline, must be
complete replacements of a previously submitted Proposal, and, furthermore, such amended
Proposals must be clearly identified as such in the transmittal letter. The City will not merge,
collate, or assemble Proposal materials for a Proposer.
By submission of its proposal, the Proposer affirms that its proposal is firm for one hundred
eighty (180) days after the due date for receipt of proposals.
The Evaluation Committee "Committee", as set out in Section 5.1 of this RF'P, may make
such investigations as necessary to determine the ability of the Proposer to adhere to the
8
requirements specified within the RFP. The Procurement Officer will reject the Proposal of
any Proposer who is not a responsible Proposer.
Although the specifications in the following sections represent the City's anticipated needs,
there may be instances in which it is in the City's interest to permit exceptions to
specifications and accept alternatives.
It is extremely important that the Proposer make very clear where exceptions are taken to the
specifications and how the Proposer will provide alternatives.
Therefore, exceptions, conditions, or qualifrcations to the provisions of the City's
specifications must be clearly identified as such, torether with reasons for takine ezcention
and inserted in the Proposal at that point. In addition the Proposer must provide responses
on "Exceptions" page to address any and all items found in all bid documents that the
Proposer cannot meet or provide. If the Proposer does not make clear that an exception is
being taken, the City will assume the Propose, is, in its' proposal, responding to and will
meet the specifications of this RFP.
Discussions may be conducted with responsible Proposers capable of being selected for
award for the purpose of clarification to assure full understanding of, and responsiveness to,
the solicitation requirements. In discussions, there shall not be disclosure of any information
derived from Proposals submitted by competing Proposers. Until awazd of the Contract is
made by the City, City reserves the right to reject any or all Proposals, to waive
technicalities, to re-advertise for new Proposals, or to proceed with the work in any manner
as may be considered in the best interest of the City. Should the City require clarification
from the Proposer, the City shall contact the individual named in the
ACKNOWLEDGMENT OF RECEIPT AND NOTICE OF INTENT TO SUBMIT
PROPOSAL.
Evaluation of the proposal is the first step in a series of evaluation steps that will be
conducted by the Committee. The City may elect to conduct any or all of the following
additional activities with any Proposers who are not eliminated based on their proposal:
Reference Checks.
The City reserves the right, to cancel the RFP at any time. The City reserves the right to
reject any or all Proposals submitted in response to this RFP.
The fully executed contract, as amended; the request for proposal, as clarified via addenda
and the proposal constitute the agreement, in its entirety, between the City and the
Contractor. Any other terms and conditions shall be null and void.
9
In case of a conflict in the contract documents, first precedence shall be given to the fully
executed contract, as amended; second precedence will be given to the request for proposal,
as clarified via addenda and third precedence will be give to the proposal.
The laws of the State of Texas will govern any Contract resulting herefrom. All duties of
both parties shall be performed in Nueces County, Texas, where the contract will be
executed. The applicable law for legal disputes arising out of the Contract shall be the law of
the State of Texas.
This RFP in no manner obligates the City or any of its agencies to the eventual services
offered until confirmed by an executed written Contract approved by the Corpus Christi City
Council.
Any additional terms or conditions, which may be the subject of negotiation, will be
discussed only between the City and the qualified Proposer.
Any Contract awarded as a result of this RFP process may be terminated if sufficient
appropriations or authorizations do not exist. Such termination will be effected by sending
written notice to the Proposer. The City's decision as to whether sufficient appropriations and
authorizations are available shall be accepted by the Proposer as final.
The City Manager will recommend to the City Council that award be made to the Proposer
whose Proposal is determined by the City to be the most advantageous ("Best Value") to the
City.
The City reserves the right to withhold final action on Proposals for a reasonable time not to
exceed one hundred eighty (180) days subsequent to the deadline for receipt of proposals.
The award of the Contract, if an award is made, will be to the most responsible and
responsive Proposer that give the City "Best Value" and whose Proposal meets the
requirements and criteria set forth in the Request for Proposal.
The City Council shall authorize awazd of the Contact to the successful Proposer and shall
designate the successful Proposer ("Contractor") as the City's Proposer. The City will
require the Contractor to sign the necessary documents entering into the required Contract
10
with the City and to provide the necessary evidence of insurance as required under the
Contract documents.
No contract for this project may be signed by the City without the authorization of the City
Council. No contract shall be binding on the City until it has been approved, as to form by the
City Attorney or her designee, and executed by the City Manager or his designee.
In the case of any doubt or difference of opinion with regard to the items to be furnished by a
Proposer or the interpretation of the provisions of this RFP, the decisions of the City shall be
final and binding upon all parties.
The City reserves the right to negotiate a change in Contractor representatives if the assigned
representatives are not, in the opinion of the City, adequately meeting the needs of the City.
The term of the Agreement resulting herefrom is twenty four months, with the option to
extend for up to two additional twelve-month periods, subject to the approval of the
Contractor and the City Manager, or his designee. If the City has not completed the
procurement process and awarded a new Agreement upon expiration of the original contract
period or any extension period, the Proposer shall continue to provide services under the
Agreement resulting herefrom, at the most current price under the terms of the Agreement or
extension resulting herefrom, on a month-to-month basis, not to exceed twelve months. The
Agreement resulting herefrom automatically expires on the effective date of a new contract.
By submission of its proposal, the Proposer agrees that the cost and price information quoted
in its proposal is fixed and firm for the duration of the twenty-four month term, plus up to the
additional twelve month periods of the contract resulting herefrom.
The contract time and/or contract price and any other changes may only be made by an
amendment to the contract resulting herefrom, and executed in writing by the City and the
Contractor. A request for an extension of the contract period or adjustment of the contract
price shall only be considered if such request, with supporting data, is received by the City in
writing ten (10) working days prior to the event giving rise to the request.
The City may terminate the Contract immediately, for cause, upon written notice to the
Contractor. The City may terminate the Contract, with or without cause, upon sixty (60) days
written notice to the Contractor. The contractor may terminate this contract, with or without
cause upon one hundred twenty days (120) prior written notice to the City.
If the City terminates its Contract under the foregoing paragraph, the City shall pay the
Contractor for services actually performed prior to such termination, less such payments as
have been previously made. Contractor shall not be entitled to any further compensation for
work performed by Contractor or anyone under its control or direction from date of receipt of
notice of cancellation, including any and all costs related to the transferring of any files to
11
another Contractor or any costs related to the electronic transfer of any information including,
but not limited to, tape transfers, downloads, uploads, CD, etc.
Upon termination of the Contract, the Contractor shall provide the City reproducible copies
of all completed work or partially completed documents prepared under the Contract, all such
documents thereinafter being owned by the City, within thirty (30) days of such termination
and at the Contractor's expense.
Upon award of a Contract, the Proposer (Indemnitor) agrees to indemnify,
defend and hold the City of Corpus Christi, and its officers,
employees, and agents (Indemnitees) harmless from and against
any and all liability, loss, claims, demands, suits, and causes of
action of any nature on account of death, personal injuries, property
loss or damage to property (including property of Indemnitor or
Indemnitees), or any other kind of damage, including all expenses
of litigation, court costs, attorneys' fees, expert witness fees, the
amount of any judgment, penalty, or interest, which arise or are
claimed to arise out of or in connection with this contract or the
performance of this contract (including, without limiting the
foregoing, worker's compensation and death claims) for injuries,
death, or damages that are caused by, or are claimed to be caused
by the concurrent or contributing negligence of Indemnitees, but
not by the sole negligence of Indemnitees unmixed with the fault of
any other person or group, Indemnitor specifically agrees to
indemnify Indemnitees from the negligence of its employees unless
negligence is sole negligence of Indemnitees. Indemnitor must, at
its own expense, investigate all claims, attend to their settlement or
other disposition, defend Indemnitees in all actions based on those
claims with counsel satisfactory to Indemnitees, and pay all
attorneys' fees, costs and expenses of every kind and character
whatsoever resulting from the claims.
Prior to the commencement of any work under this RFP, Proposer shall famish an original
completed Certificate(s) of Insurance to the City which shall be completed by an agent
authorized to bind the named underwriter(s) and their company to the coverage, limits, and
termination provisions shown thereon, and which shall furnish and contain all required
information referenced or indicated thereon. The original certificate(s) must have the agent's
original signature, including the signer's company affiliation, title and phone number, and be
mailed directly from the agent to the City. The City shall have no duty to pay or perform
under this RFP until such certificate shall have been delivered to the City, and no officer or
employee, other than the City's Risk Manager, shall have authority to waive this requirement.
The City reserves the right to review the insurance requirements of this section during the
effective period of any Contract(s) resulting from this RFP and any extension or renewal
thereof and to modify insurance coverage and their limits when deemed necessary and
prudent by the Risk Manager based upon changes in statutory law, court decisions, or
12
circumstances surrounding this RFP, but in no instance will the City allow modification
whereupon the City may incur increased risk.
A Proposer's financial integrity is of interest to the City, therefore, subject to Proposer's right
to maintain reasonable deductibles in such amounts as are approved by the Risk Manager,
Proposer shall obtain and maintain in full force and effect for the duration of this proposal,
and any extension hereof, at Proposer's sole expense, insurance coverage written on an
occurrence basis, by companies authorized and admitted to do business in the State of Texas
and rated A- or better by A.M. Best Company and/or otherwise acceptable to the City, in the
following types and amounts:
TYPE AMOUNT
Workers' Compensation Statutory
Employers Liability $500,000/$500,000/$500,000
2. Commercial General Liability Insurance
a. Premises operations Combined Single Limit for
Bodily Injury and Property
Damage of $1,000,000 per
occurrence or its equivalent
b. Independent Contractors
c. Products/completed operations
d. Personal Injury
e. Contractual Liability
3. Professional Liability
Errors and Omissions $1,000,000 per claim
to pay on behalf of the
insured all sums which I
insured shall become
legally obligated to
pay as damages by
reason of any act,
malpractice, error or
omission in professional
services; if written on a
"Claims Made" form, must
provide for retroactive date
prior to inception of the
contract and an extended
reporting period of twenty-
four (24) months after the
date the Agreement resulting
herefrom is terminated or
expires.
13
TYPE
AMOUNT
4. Commercial Crime Coverage/ $1,000,000
Employee Dishonesty
The City shall be entitled, upon request and without expense, to receive copies of the policies
and all endorsements thereto as they apply to the limits required by the City, and may make a
reasonable request for deletion, revision, or modification of particular policy terms,
conditions, limitations or exclusions (except where policy provisions are established by law
or regulation binding upon either of the parties hereto or the underwriter of any such
policies). Upon such request by the City, the Proposer shall exercise reasonable efforts to
accomplish such changes in policy coverage, and shall pay the cost thereof.
Proposer agrees that with respect to the above required insurance, all insurance proposals and
Certificate(s) of Insurance will contain the following required provisions.
• Name the City and its elected officials, officers, directors, employees, agents,
volunteers and representatives as additional insureds (as the interests of each insured
may appear), as to all applicable coverages respects operations and activities of, or on
behalf of, the named insured performed under proposal with the City, with the
exception of professional liability and workers' compensation policies;
• The Proposer's insurance shall be deemed primary with respect to any insurance or
self insurance carried by the City for liability arising out of operations under the
proposal with the City; and
• Workers' compensation and employers' liability policy will provide a waiver of
subrogation in favor of the City.
• Proposer shall notify the City in writing in the event of any notice of cancellation,
non-renewal or material change in coverage and shall give such notices not less than
thirty (30) days prior to the change, or ten (]0) days notice for cancellation due to
non-payment of premiums, which notice must be accompanied by a replacement
Certificate of Insurance. All notices shall be given to the City at the following
address:
City of Corpus Christi
Attn: Risk Manager
P. O. Box 9277
Corpus Christi, TX 78469-9277
If Proposer fails to maintain the aforementioned insurance, or fails to secure and maintain the
aforementioned endorsements, the City may obtain such insurance, and deduct and retain the
amount of the premiums for such insurance from any sums due under the agreement;
however, procuring of said insurance by the City is an alternative to other remedies the City
may have, and is not the exclusive remedy for failure of Proposer to maintain said insurance
or secure such endorsement. In addition to any other remedies the City may have upon
Proposer to stop work hereunder, and/or withhold any payment(s) which become due, to
Proposer hereunder until Proposer demonstrates compliance with the requirements hereof.
14
Nothing herein contained shall be construed as limiting in any way the extent to which
Proposer may be held responsible for payments of damages to persons or property resulting
from Proposer's or its subcontractors' performance of the work covered under this
agreement.
All materials, work papers, meeting notes, patient files, or other documents produced by the
Contractor during the course of the Contract shall be the property of the City. The original
and one copy of all such documents shall be indexed and placed in appropriately labeled
binders and delivered by the Contractor to the City within 30 days of the City's request for
said documents.
Throughout the duration of the procurement process and resulting Contract term, potential
Proposers and Contractors must secure from the City written approval prior to the release of
any information that pertains to the potential work or activities covered by the RFP or the
resulting Contract. Failure to adhere to this requirement may result in disqualification of the
Proposer's Proposal or termination of the Contract.
Proposer must indicate through Proposer's written promise within the proposal cover letter,
that Proposer's officers, employees, or agents will not attempt to lobby or influence a vote or
recommendation related to the Proposer's proposal submitted in response to this RFP;
directly or indirectly, through any contact with the City Council members or other City
officials between the deadline for submission of proposals and the date a contract(s) resulting
herefrom is awarded by the City Council. Such behavior will be cause for rejection of the
Proposer's proposal at the discretion of the City Manager or his designee.
Quantities described herein are estimates and do not obligate the City to order or accept more
than the City's actual requirements during the term of any contract resulting herefrom, nor do
the estimates limit the City to ordering less than its actual needs during the term of any
contract resulting herefrom, subject to availability of appropriated funds.
SECTION 3
Scope of Work
The City has provided self-insured workers' compensation for its employees since March 1,
1976. The City purchases Excess Workers' Compensation coverage with a $350,000 per
15
occurrence retention level. The City has a workforce of approximately 3,400 employees.
During the last 4 years, the City has averaged approximately 934 workers' compensation
claims per year. Claims history data is provided in the table below. The City's existing data
base contains approximately 5,200 City-related workers' compensation claims dating back
approximately 27 years.
The City is committed to providing all statutory workers' compensation benefits provided for
by state law. The City also desires to control these costs to the greatest extent possible. The
City's current Third-Party Administrator for workers' compensation is F. A. Richard and
Associates. The City requires the provider of the services described in the RFP to meet the
requirements of The Americans with Disabilities Act (ADA), workers' compensation laws,
police and fire contracts and related state laws, Civil Service Board and Commission rules
and other related City policies.
The City also has a Limited Duty & Reasonable Accommodation Policy (HR 32.0 [See
Exhibit I]). This policy is designed as guidance when an employee has been out from work
with a work or non-work related injury or illness and has been released to return to work by
his or her physician. The City representative works with adjusters to facilitate a rapid return
to work.
Claim files are the property of the City and not the property of the Proposer or any of
the Proposer's employees or subcontractors. In addition, Proposer shall ensure
confidentiality of medical information contained in the files and will satisfy the
requirements of the Health Insurance Portability and Accountability Act of 1996, as
amended ("HIPAA"). Notwithstanding the previous sentence, the City in noway agrees
that HIPAA will apply with respect to any workers' compensation plan of the City or to
any workers' compensation claim to the extent that HIPAA would otherwise be
inapplicable.
City of Corpus Christi
Workers' Compensation
Claims History Data
Calendar Years 2004 -2007
Number of Indemni Claims 73 109 122 71
Number of Medical Onl Claims 944 804 778 835
Total Claims I,Ol7 913 900 906
Total Dollars Paid Indemni $790,048 $454,840.80 $630,133.74 $392,429.71
Total Dollars Paid Medical $2,319,903.43 $1,716,552.80 $1,482,746.84 $1,602,832.32
Tota] Dollars Paid Allocated Expenses $407,625.16 $368,847.43 $432,753.]9 $401,510.34
A. The City requires a local office in Corpus Christi, Texas. At a minimum, local office
hours of operation will be 8:00 am to 5:00 pm, Monday through Friday. Licensed
adjuster(s) will be available during this time to respond to inquiries, questions or
concerns of City employees who have an open or closed claim.
16
B. The City requires an electronic claims administration system. This system shall include:
automated injury reporting, electronic claims management, diary narratives,
supervisor/adjuster reporting, electronic access to all medical documentation, electronic
access to all payments made on a specific claim, recorded electronic audio statements and
surveillance video. At any time, the Risk Manager and/or her designee must have
complete access to claim files. Proposer shall scan and attach all claim documents to the
electronic claim. Physical storage for historical workers' compensation claim files must
be provided.
C. All payments made shall be made by issuance of checks from aCity-administered
checking account established at the City's depository bank. City shall be responsible for
balancing and reconciling this account monthly, including processing of all unclaimed
checks. City will advise Proposer, at least quarterly, on the status of outstanding checks
so that Proposer may determine whether payment to payee should be voided and reissued
or be processed as unclaimed property. Duplicate payments of any type which are
unrecovered by the Proposer shall be reimbursed to the City by the Proposer. The
Proposer shall electronically transmit check register to the City's Financial Services
Department on a monthly basis. Such check register shall be transmitted by the Proposer
no later than the second business day of the month following the month to which the
check register refers.
D. The Proposer shall transmit, via email, the check number, check amount and date of
check to the City's depository before a check is mailed. In lieu of issuing stop payment
requests, Proposer shall void the check with the City's depository so that the request to
deny payment remains in effect indefinitely. For each voided check, the Proposer shall
transmit the following to the City's depository via electronic file transfer: check number,
check amount and date of check.
E. Proposer will be responsible for the generation and mailing of IRS Forms 1099 to
vendors and service providers as required by the Internal Revenue Code. Proposer will
forward the Forms 1099 as required by applicable law to the IRS electronically or
magnetically based on IRS guidance.
F. Proposer will name amanagement-level person to resolve problems that may arise during
the term of the contract. This individual will be available one month prior to the start
date of the contract to ensure a smooth transition between the current Third-Party
Administrator and the Proposer.
G. The full range of workers' compensation claims administration services shall be provided
in accordance with all requirements of the Texas Labor Code, Texas Insurance Code,
Texas Department of Insurance Administrative Rules and the Texas Workers'
Compensation Act.
H. The City requires the Proposer to have staffing levels consisting of three licensed full-
time adjusters, and adequate clerical support.
I. Adjusters shall have a minimum of five (5) years experience handling Texas workers'
compensation claims. Adjusters must be licensed by Texas Department of Insurance
(TDI).
J. Should an adjuster be unable to perform his/her assigned duties satisfactorily, as
determined by the City, immediate replacement of such adjuster is required. The City's
17
Risk Manager will be consulted in decisions regarding adjusters who will be adjusting
City Claims.
K. The City has the option to audit all or any files maintained by the Proposer and requires
adequate internal controls. Proposer is required to provide adequate internal control
procedures to arotect the City from anv tvoe of financial loss.
L. Proposer is responsible for reporting claims information to the excess workers'
compensation insurance carrier in accordance with reporting criteria established by that
insurer.
M. The City does not require adjusters to handle City claims exclusively. However,
adjusters will be assigned a maximum of 60 indemnity claims and 40 medical only
claims. Indemnity claims are defined as any claim in which an employee has lost 8 or
more calendar days from work. Adjuster shall not maintain a combined total of more
than 200 claims of the City and other entities.
N. Proposer shall provide various types of statistical data and loss run reports monthly.
O. Adjusters are required to contact the injured employee, department and medical provider
within 2 business days of notification of injury, perform recorded statements of claimants
and attach the electronic claim and report claims to an Index Bureau to query for prior
injuries. Adjusters will contact claimants receiving payment for dependency and/or
lifetime income benefits at least every three months. Such contact will be documented in
the electronic claim file. Reserves will be set accurately to reflect potential claim
exposure within 7 days of receipt of the claim. Reserves will be adjusted accordingly
when medical information or investigation indicates a change is needed. The following
criteria shall be evaluated when setting a reserve: the injury, the investigation, medical
information, projected income benefits to be paid, projected disability and diagnostic
results. The reserves will be reviewed with the Risk Manager at least once per month.
Adjuster's shall be present at all hearings and testify on behalf of the City as necessary.
The Risk Manager shall be notified via email within 48 hours that a BRC or CCH has
been scheduled.
P. To appeal a decision of the hearing officer, authority must first be obtained from the
City's Risk Manager.
Q. All open claims must be kept on a current diary system, which provides for periodic
review by the assigned adjuster. Each file shall be reviewed and updated as necessary.
Such review shall occur at least once every thirty (30) days. If the adjuster fails to follow
these procedures, the Proposer shall substitute another qualified adjuster, approved by the
City's Risk Manager, to handle the City's claims files. Files shall be assigned to
adjusters within 24 hours of the Proposer's receipt of notification of an injury.
R. Medical case management services of all types including vocational rehabilitation
assessments maybe appropriate based on the needs of the injured employee.
S. Proposer will be responsible for handling subrogation claims until settled by all parties.
Approval by the City's Legal Department and the Risk Manager is required before
discounting any subrogation lien.
T. Settlement of any claim requires verbal approval by the City's Risk Manager.
18
U. All fines incurred as a result of the Proposer's failure to comply with the Texas Workers'
Compensation Act and related rules shall be paid by the Proposer and not the City.
V. Upon expiration or termination of the contract resulting herefrom and within 30 days of
the City's request, at no additional cost to the City, the Proposer shall provide the new
Contractor will all data requested by the City.
A. What does Proposer's standard statistical reporting package contain? List the frequency
with which reports are provided and the type of data contained therein. Provide a sample
reporting package.
B. How long does it take to receive special reports and is there any cost associated with
same?
C. What performance metrics do you monitor internally?
D. Is it possible to enter first report of injury forms electronically into Proposer's claims
management system?
E. Is Propoer's claims management system completely electronic? If not, explain.
F. Is data accessible to City via web-based application?
G. Provide a summary of how Proposer will effectuate the transition of service from the
current provider.
H. Do you have a comprehensive business continuity/disaster recovery plan? If so, please
provide a summary of same.
I. The City's payment terms are net 30 days from the date the City is in receipt of a valid
invoice. Do you offer any alternate terms?
J. Do you accept electronic payment of monthly administrative cost?
K. Do you accept credit cards as payment for monthly administrative cost? If so, which
credit cards do you accept? If so, do you offer any discount for payment by credit card?
19
A. Where is your organization headquartered? What is the address of the local office in
Corpus Christi?
B. Provide a copy of your most recent annual financial report and the annual financial
reports of Proposer's parent company.
C. Provide copies of your SAS 70 Service Auditor's Report.
D. What are the credentials of the staff responsible for Claims Adjusting?
E. Have any lawsuits been filed against your organization relative to claims administration
in the last two years? Please provide the dates and final disposition of each.
F. By type of service described in this RFP, provide the number and size of the cities,
counties and/or school districts for whom your organization is or has been the TPA.
G. Using the format outlined below, the Proposer should provide three current client
references and three former client references for which the same services have been
provided. This information will be used to determine the extent to which the Proposer is
able to provide the services described herein to an entity the size of the City of Corpus
Christi, as well as the level of customer service exhibited by the Proposer.
20
a. CURRENT CLIENT Reference 1
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided:
b. CURRENT CLIENT Reference 2
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided:
c. CURRENT CLIENT Reference 3
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided:
21
d. FORMER CLIENT Reference 1
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided: Reason for termination:
e. FORMER CLIENT Reference 2
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided: Reason for termination:
E FORMER CLIENT Reference 3
Organization name: Contact and title:
Address: Phone number:
Effective date of contract: Number of employees:
Description of services provided: Reason for termination:
The pricing summary below must be submitted as part of the Proposer's response to the RFP. If
there is a cost associated with the item listed below, please indicate: 1) the Unit of Measure
(i.e. per claim, per bill, etc.) AND the Fee per unit of measure If there are items for which
there is no cost, please indicate by placing a "0" in the column titled "Fee per Unit of Measure".
22
This form must be completed and returned. Failure to complete all schedules may result in rejection
proposal.
CLAIMS EXPENSE FEES Unit of
Measure Fee
per Unit
of Measure
Computerized Medical Bill Auditing (Estimated 17,000 bills audited annually)
TDI / DWC Re xesentative Annual Cost
Claim Conversion Fee from Record Only to Medical Only Claim (Estimated
claims annuall
Claim Conversion Fee from Record Only to Lost Time Claim (Estimated
claims annuall
Claim Conversion Fee from Medical Only to Lost Time Claim (Estimated
claims annuall
Preauthorizatton stimated 1,600 reauthorization xe uests annuall
Reconsideration Re nests stimated 2,000 reconsideration xe nests armuall
Utilization Reviews
Pees Reviews
Corn uterized Medical Bill Audits
e-Bill Fee
Ad~ustex Attendance at TDI-Division of Workers' Com ensation Hearin s:
1 Benefit Review Conference
2 Contested Case Hearin
3 Surveillance
SOAH/A eals Panel Reviews/APA Services
Recorded Statement Txanscri Lions
Transfer Ph sical Files from riox TPA
Electronic Data Transfer from riox TPA
An other fees and/or char es not listed:
Third-Part Administrator Fee
First of Two Second of Two
Possible Possible
Year 1 Year 2
(quote on a per month (quote on a per month Extension Extension
balls) nasis) Periods Periods
(quote on a per month (quote on a per month
basis basis
Monthly Fee for:
Administrative Services
23
SECTION 4
Proposal Format & Organization
This section provides specific instructions on format and organization of the proposal to be
submitted by the Proposer. Each Proposer may submit only one Proposal in a totally self-
supporting format without reference to any other proposal(s).
To provide for ease and uniformity and to aid in the evaluation of proposals, Proposers shall
comply with the sequence outlined herein. IN NUMBERING THE PROPOSAL
THE PROPOSER SHALL USE THE SAME SECTION NUMBERS
AND TITLES AND SHALL PROVIDE ITS RESPONSES IN THE
SAME ORDER AS EACH QUESTION IS NUMBERED AND
ORDERED HEREIN. Failure to comply may result in rejection of the proposal. The
proposal shall be completed in sections, which aze described below. For ease in handling,
Proposers shall submit the Proposal on 8.5" x 11" paper (larger paper is permissible for charts,
maps or spreadsheets) and place the proposal in binders with tabs delineating each section.
Proposers should be aware that all technical and operational specifications, equipment
descriptions and marketing material submitted or made available will be incorporated by
reference into any contract(s) resulting herefrom. The City discourages the inclusion of general
marketing material or equipment manuals unless they are used to provide specific information or
specifically requested by the City. This information may be submitted under separate cover from
the proposal.
The Proposer shall provide one (1) original and five (S) identical copies of their proposal to the
location specified in Section 1.2 on or before the closing date and time for receipt of proposals.
Proaosals transmitted orally, telephonically, electronically or via facsimile shall not be
considered.
This section outlines the minimum requirements for preparation and presentation of a
response.
The Proposer shall define the capabilities of their organization to supply and maintain
the services as requested in this RFP. The response should be specific and complete in
every detail and prepared in a simple and straightforward manner.
Proposers are expected to examine the entire RFP including all specifications, standard
provisions and instructions. Failure to do so will be at the Proposer's risk. Proposers should
provide their best pricing on each type of service.
24
The transmittal letter shall indicate the intention of the Proposer to adhere to the provision
described in the RFP without modification. The letter of transmittal MUST:
1. Be presented on company letterhead;
2. Identify the submitting organization;
3. Explicitly indicate acceptance of the requirements as described in the RFP
Requirements;
4. Acknowledge receipt of any addenda to this RFP;
5. Reference the City of Corpus Christi Minority Business Enterprise
Information Form and Disclosure of Interest Form, the completed versions of
which should follow the transmittal letter; and,
6. Identifv, by name and title, and be signed by the aerson authorized by
the organization to obligate the organization contractually and include
e comnleted. signed and dated SERVICE AGREEMENT immediately
after the Disclosure of Interest Form.
A table of contents, listing titles, sections, and major sub-sections shall follow the Disclosure
of Interest form referenced above. All pages shall have a unique identifier and be numbered
sequentially within each section.
SECTION 5
Proposal Evaluation
The City of Corpus Christi will conduct a comprehensive, fair and impartial evaluation of all
Proposals received in response to this RFP. Each Proposal will first be analyzed to determine
overall responsiveness and completeness as defined in Section 4.0 Proposal Format and
Organization and Section 5.2 Evaluation Criteria. Failure to comply with the instructions or
submissions of an incomplete Proposal that does not satisfy Section 4.0 and 5.2 will result in
the proposal being deemed non-responsive and may, at the discretion of the Committee, as
defined in Section 5.1 below, be eliminated from further consideration.
An Evaluation Committee ("Committee") has been established to assist the City in the
selection of a qualified Proposer. The Committee is comprised of representatives from
various deparhnents. Committee will determine the responsiveness and acceptability of each
Proposal. The Committee will then engage in a detailed review of each Proposal to evaluate
the response in relation to the four (4) major evaluation factors identified in Section 5.2.
25
A. The proposal evaluation and selection process will be based on the following criteria: 1)
Technical Solution, 2) Proposer's Profile & Qualifications, 3) Fee Schedule and 4)
Exceptions. The final weight assigned to each of these parameters will be determined by
the Evaluation Committee and will be within the ranges for each criterion as indicated
below. Some of the criteria contained within this model may look similar to the
following Proposed Evaluation Model. Each Proposer shall provide detailed
responses including reference to any existing "in-house" procedures, policies, etc. as
they reference all requirements of this RFP. In determining "Best Overall Value",
the Evaluation Committee will evaluate the entire proposal, including, but not
limited to, the criteria enumerated in Sections 3.3, 3.4 and 3.5 of this RFP and any
exceptions taken.
Technical Solution ~~~
Proposer's Profile & ~~
~ Fee i
Exceptions ~~
Total
Qualifications Schedule
) ~
SIC 20-35% ~~~,
~L~_ 25 _35 %~~~ ~ _
~_25_35% ~~j _ _
' S-15%~ ~ _ _ __
C 100%J
B. The Evaluation Committee shall determine the final percentage assigned to each
proposed evaluation criterion. In no case shall the percentage assigned to each criterion
be smaller or greater than the stated minimum or maximum, respectively. The sum of the
final percentages for all criteria shall equal 100%.
C. The Proposer's failure to provide information relative to the above criteria may result in
the City deeming such proposal non-responsive and may, at the discretion of the
Committee, as defined in the paragraphs above, result in elimination of said proposal
from further consideration. The Committee reserves the right to conduct other evaluation
and measurements of the proposals as maybe necessary to make an informed decision.
26
EXCEPTIONS FORM
Proposer:
Document Exceptions
Proposer shall cleazly state the exception and the reason for taking exception. Proposer
shall describe each item and state cleazly any price consequences.
Important Note: The Proposer must complete this form. If the Proposer has no objection
or exception, the Proposer should indicate "NONE" on this page. The completed form must
be included with each copy of the proposal submitted.
Proposer Authorized Signature
Name of Proposer's Authorized Representative
(Print)
Telephone Number L _ ~ _ _ _-_ _ _ _ Date: / /
27
SERVICE AGREEMENT
for
WORKERS' COMPENSATION THIRD-PARTY
ADMINISTRATOR SERVICES
THIS Workers' Compensation Third-Party Administrator Services "Agreement" is entered into by and
between (the "Contractor") a
(organizational status -- corporation, sole proprietorship, LLC, LLP,
Partnership), and the City of Corpus Christi, a Texas home-rule municipal corporation (the "City")
effective for all purposes upon execution by the City Manager or his designee.
WHEREAS Contractor has proposed to provide Workers' Compensation Third-Party Administrator
Services in response to Request for Proposal (RFP) No. BI-0053-08.
WHEREAS the City has determined Contractor to be the Best Value Supplier;
NOW, THEREFORE, Contractor and City enter into this Agreement and agree as follows:
1. Services. Contractor will provide Workers' Compensation Third-Party Administrator
Services in accordance with RFP No. BI-0053-08.
2. Term. This Agreement commences on the date signed by the last signatory hereto. The term
of the Agreement is twenty four months, with the option to extend for up to two additional twelve-
month periods, subject to the approval of the Contractor and the City Manager, or his designee. If
the City has not completed the procurement process and awarded a new Agreement upon
expiration of the original contract period or any extension period, the Contractor shall continue to
provide services under this Agreement, at the most current price under the terms of this Agreement
or extension, on a month-to-month basis, not to exceed twelve months. This Agreement
automatically expires on the effective date of a new contract. The Contractor agrees that the cost
and price information quoted in its proposal is fixed and firm for the duration of the twenty-four
month term plus up to the additional twelve month periods of this contract.
3. Contract Administrator. The Contract Administrator designated by the City is responsible for
approval of all phases of performance and operations under this Agreement including deductions
For non-performance and authorizations for payment. All of Contractor's notices or
communications regarding this Agreement must be directed to the Contract Administrator, who is
the Risk Manager.
4. Independent Contractor. Contractor will perform the services hereunder as an independent
contractor and will furnish such services in its own manner and method, and under no
circumstances or conditions may any agent, servant, or employee of Contractor be considered as
an employee of the City.
S. Insurance. Before activities can begin under this Agreement, Contractor must deliver a
Certificate of Insurance, as proof of the required insurance coverages to the Contract
Administrator. Additionally, the Certificate must state that the Contract Administrator will be
given at least 30 days notice of cancellation, material change in the coverages, or intent not to
renew any of the policies by first class mail. The City must be named as an Additional Insured on
commercial general liability coverage. The City Attorney must be given copies of all insurance
policies within 15 days of the City Manager's written request. Insurance requirements are attached
and incorporated as Exhibit C, and may be revised annually by the City Risk Manager upon 30
days written notice to Contractor.
6. Assignment. No assignment of this Agreement or any right or interest therein by Contractor,
except to its parent or subsidiary, is effective unless the City first gives its written consent to such
assignment. The performance of this Agreement by Contractor is of the essence of this Agreement
and the City's right to withhold consent to such assignment is within the sole discretion of the City
on any ground whatsoever.
7. Fiscal Year. All parties recognize that the continuation of any contract after the close of any
fiscal year of the City, which fiscal year ends on July 31 annually, is subject to appropriations and
budget approval providing for such contract item as expenditure in said budget. The City does not
represent that said budget item will be actually adopted, that determination is within the sole
discretion of the City Council at the time of adoption of each budget.
s. maemnifieation. (Indemnitor) agrees to
indemnify, defend and hold the City of Corpus Christi, and its
officers, employees, and agents (Indemnitees) harmless from and
against any and all liability, loss, claims, demands, suits, and
causes of action of any nature on account of death, personal
injuries, property loss or damage to property (including property of
Indemnitor or Indemnitees), or any other kind of damage,
including all expenses of litigation, court costs, attorneys' fees,
expert witness fees, the amount of any judgment, penalty, or
interest, which arise or are claimed to arise out of or in connection
with this contract or the performance of this contract (including,
without limiting the foregoing, worker's compensation and death
claims) for injuries, death, or damages that are caused by, or are
claimed to be caused by the concurrent or contributing negligence
of Indemnitees, but not by the sole negligence of Indemnitees
unmixed with the fault of any other person or group. Indemnitor
speciFcally agrees to indemnify Indemnitees from the negligence
of its employees unless negligence is sole negligence of
Indemnitees. Indemnitor must, at its own expense, investigate all
claims, attend to their settlement or other disposition, defend
Indemnitees in all actions based on those claims with counsel
satisfactory to Indemnitees, and pay all attorneys' fees, costs and
expenses of every kind and character whatsoever resulting from
the claims.
9. Waiver. No waiver of any breach of any term or condition of this Agreement, or
Contractor's proposal submitted in response to RFP No. BI-0053-08 waives any subsequent
breach of the same.
10. Compliance with laws. This Agreement is subject to all Federal laws and laws of the State
of Texas. The applicable law for any legal disputes arising out of this Agreement is the law of
Texas and such form and venue for such disputes is the appropriate district, county, or justice
court in and for Nueces County, Texas.
11. Subcontractors. Contractor may use subcontractors in connection with the work performed
under this Agreement. When using subcontractors, however, Contractor must obtain prior written
approval from the Contract Administrator. In using subcontractors, Contractor is responsible
for all their acts and omissions to the same extent as if the subcontractor and its employees were
employees of Contractor. All requirements set forth as part of this Agreement are applicable to
all subcontractors and their employees to the same extent as if the Contractor and its employees
had performed the services.
12. Amendments. This Agreement maybe amended only by written agreement signed by duly
authorized representatives of the parties hereto.
13. Termination. The City Manager may terminate this Agreement for Contractor's failure to
perform the services specified in RFP No. BI-0053-08. Failure to keep all insurance policies in
force for the entire term of this Agreement is grounds for termination. The City may terminate
this Agreement at any time, pursuant to the provisions of 2.38 of the RFP. The Contractor may
terminate this Agreement upon 60 days prior written notice for the City's failure to perform or
fulfill its obligations as set forth in this Agreement.
14. Taxes. Contractor covenants to pay payroll taxes, Medicare taxes, FICA taxes, unemployment
taxes, and all other related taxes according to Circular E Employer's Tax Guide, Publication I5, as
it may be amended. Contractor must provide proof of payment of these taxes within 30 days after
City Manager's written request therefor. Failure to pay or provide proof of payment is grounds for
the City Manager to immediately terminate this Agreement.
15. Drug Policy. Contractor must adopt a Drug Free Workplace and drug testing policy that
substantially conforms to the City's policy, which is aZero-Tolerance policy that eliminates drugs
in the workplace.
16. Invoicing. Invoicing for Administrative Services shall be performed monthly.
17. Notice. Notice may be given by facsimile, hand delivery, or certified mail, postage prepaid,
and is deemed received on the day faxed or hand delivered or on the third day after deposit if sent
certified mail. Notice shall be sent as follows:
IF TO CITY:
City of Corpus Christi
Attention: Risk Manager
P.O. Box 9277
Corpus Christi, Texas 78469-9277
FAX No.: (361) 826- 3697
IF TO CONTRACTOR:
Contractor Name:
Contact Person:
Address:
City, State, Zip:
FAX No.:
18. Severability. Each provision of the Agreement shall be considered to be severable and, if,
for any reason, any such provision or any part thereof, is determined to be invalid and contrary to
any existing or future applicable law, such invalidity shall not impair the operation of or affect
those portions of this Agreement that are valid, but this Agreement shall be constmed and
enforced in all respects as if the invalid or unenforceable provision or part thereof had been
omitted.
SIGNED this day of , 2008.
CONTRACTOR:
ATTEST this day of
CITY OF CORPUS CHRISTI
Name:
Title:
2008.
Michael Barrera
Assistant Director of Financial Services
APPROVED AS TO FORM THIS
DAY OF
2008
Mary Kay Fischer, CITY ATTORNEY
BY:
Veronica OcaHas,
Assistant City Attorney
Exhibit A: RFP No. BI-0053-08
Exhibit B: Proposer's Proposal
Exhibit C: Insurance Requirements
CITY OF CORPUS CHRISTI
FINANCE DEPARTMENT /PURCHASING DIVISION
MINORITY BUSINESS ENTERPRISE INFORMATION FORM
THIS FORM MUST BE SUBMITTED
ALONG WITH YOUR PROPOSAL
PLEASE INDICATE WHETHER THE COMPANY IS A CERTIFIED MINORITY BUSINESS
ENTERPRISE. EXAMPLES OF CERTIFICATIONS RECOGNIZED BY THE CITY INCLUDE:
HISTORICALLY UNDERUTILIZED BUSINESS (HUB) YES NO
DISADVANTAGED BUSINESS ENTERPRISE (DBE) YES NO
SMALL DISADVANTAGED BUSINESS ENTERPRISE (SDBC) YES NO
OTHER (PLEASE SPECIFY):
THIS COMPANY IS NOT A CERTIFIED MINORTITY BUSINESS
YES NO
THE ABOVE MINORITY BUSINESS INFORMATION IS REQUESTED FOR STATISTICAL
AND TRACKING PURPOSES AND WILL NOT INFLUENCE THE AMOUNT OF
EXPENDITURES THE CITY WILL MAKE WITH ANY GIVEN COMPANY.
BID INVITATION NO: BI- -
Firm Name:
Telephone: - - Ext.
Address: Fax: - -
City: State: Zip: - E-mail:
Signature of Person Authorized to Sign Form
Signer's Name:
Date:
Title:
(Please print or type)
SUPPLIER NUMBER
70 BE ASSIGNED BY~IT~
PURCHASING DIVISION
CITY OF CORPUS CHRISTI
DISCLOSURE OF INTEREST
City of Corpus Christi Ordinance 17112, as amended, re9uires all persons or firms seeking to do business with the
City to provide the following information. Every questton must be answered. If the question is not applicable,
answer with "NA". See reverse side for definitions.
COMPANY NAME:
P. O. BOX:
STREET ADDRESS:
CITY:
ZIP:
FIRM IS: 1. Corporation
4. Association
3. Sole Owner
2. Partnership
5. Other
DISCLOSURE QUESTIONS
If additional space is necessary, please use the reverse side of this page or attach separate sheet.
1. State the names of each "employee" of the City of Corpus Christi having an `ownership interest" constituting
3% or more of the ownership in the above named "firm."
Name Job Title and CiTy Department (if known)
2. State the names of each "official" of the City of Corpus Christi having an "ownership interest" constituting 3%
or more of the ownership in the above named "firm."
Name Title
3. State the names of each "board member" of the City of Corpus Christi having an "ownership interest"
constituting 3% or more of the ownership in the above named "firm."
Name Board, Commission or Committee
4. State the names of each employee or officer of a "consultant" for the City of Corpus Christi who worked on any
matter related to the subject of this contract and has an "ownership interest" constituting 3% or more of the
ownership in the above named "firm."
Name Consultant
CERTIFICATION
I certify that all information provided is true and correct as of the date of this statement, that I have not
knowingly withheld disclosure of any information requested; and that supplemental statements will be promptly
submitted to the City of Corpus Christy Texas as changes occur.
Certifying Person: Title:
(Type or Print)
Signature of Certifying Person: Date:
DEFINITIONS
a. "Board member." A member of any board, commission, or committee appointed by the
City Council of the City of Corpus Christi, Texas.
b. "Employee." Any person employed by the City of Corpus Christi, Texas either on a full or
part-time basis, but not as an independent contractor.
c. "Firm." Any entity operated for economic gain, whether professional, industrial or
commercial, and whether established to produce or deal with a product or service, including
but not limited to, entities operated in the form of sole proprietorship, as self-employed
person, partnership, corporation, joint stock company, joint venture, receivership or trust, and
entities which for purposes of taxation are treated as non-profit organizations.
d. "Official." The Mayor, members of the City Council, City Manager, Deputy City
Manager, Assistant City Managers, Department and Division Heads, and Municipal Court
Judges of the City of Corpus Christi, Texas.
e. "Ownership Interest " Legal or equitable interest, whether actually or constructively held,
in a firm, including when such interest is held through an agent, trust, estate, or holding
entity. "Constructively held" refers to holdings or control established through voting trusts,
proxies, or special terms of venture or partnership agreements."
f "Consultant"Any person or firm, such as engineers and architects, hired by the City of
Corpus Christi for the purpose of professional consultation and recommendation.
EXHIBIT
I
~~ ~
r„r,~u City Policies
SUBJECT: LIMITED DUTY ASSIGNMENT NO: HR 32.0
8 REASONABLE ACCOMMODATION
REVISED: 04/28189
REVISED: 07/09190
REVISED: 12/22/99
REVI8ED: 17/09/88
REVISED: 10/29/07
APPROVED: DATE: l~ lzl' ~~
G o e K. Nna, City Manapar
PURPOSE
This policy la intended to describe the rules and timelines that will be utilized by the City In
dealing with employeee who have medical restrictions as confimxtl by examinatlons antllor
treatments provided by qualified medical peroonnel.
Since the number and types of conditions thef can result In medical resMCtlons ere Impossible to
Identify or antklpate ibr the ppurposes o/ this policy, discretion must 6e used by the Disabllfty
Review Coordinator in rdenNfying or applying relevant provisions of the policy depending on
Indlvtdual diroumsfancea. In making interprefetlon end eppttcetlon declskns, the D(sa611ity
Review CooMlnetor may choose k consult with the DJsabll/ty Review Committee. Addltlonally,
the terms o/ this policyy may 6e extended where necessary to enhance opportuntties for
reasonable accommodation.
II. SCOPE
This policy covere ell roguiar lull-time and pert-time employees of the City of Coryus Chrteti,
excluding uniformed flro end police personnel governed by a collectlve be aimng agreement.
While temporery employees ere not eligible for partlcipetlon In the limited duty program,
temporery employees wfth a medical reatdction will be reasonabty accommodated when required
by law.
An employee who has been released to return to full duty after participating in this policy la not
eligible to again participate in thle polirry for a re-inJury or eggrevatbn of fhe odginal In1ury, unless
the ro-in ury or aggrevation occure more then one year after being returned to full duty. In the
event oT' a catastrophic accident resulting in Iffe threatening injuries to an employee already
under the policy, the employee may be coneldered to have a new event, end be eligible for the
Lull benefit of the policy.
HR 32.0 Limited Duty Assignment & Reasonable Accommodation Page 1 of 10
DEFINITIONS
-the physician who is treating the employee for en Illness or InJury
Ckv4 Dalamfad Phvalclan -the physician selected by the City to perform medical eveluadons
of employees, to rovlew spending physicians' recoMe, to refer employees, for eveluadons by
other medical proDiaslonals to determine an employee's ability ld pertomr the esaendel fundtona
of his or her Job.
Dlaabllily Ravlaw Coordinator -the employee Dom the Human Resources Daparbnenl
assigned to administer this policy.
Dlaebllbv Review Commlftw -the committee reviews cases under thla policy. Membere
Include the Director of Human Resources, Riak Manager, end ropreaentatlvea from the Gty
adomey's office and the city's designated physician's office.
Me Nntlementel duties of the posfUOn. A task may be essential because
e pos on e a to pedortn the fundlon; or a function may 6e esaentlel based on fhe number of
other employees evalleble to perform that leek or among whom the responsibiltty of doing so can
6e diedibuled; or a function may be eeaendel Hit requires a certain degree of skill or
specielizedon.
FamIN and IYNdIUI Love Aet - the federal law providing empbyeea up to twelve weeks
unpaid leave for a aedous health condition. (FMLA has other provisions regarding aedoua health
condttlon of a famly member end birth andlor placement of a child in fhe home, however these
aro not applkeble to this policy.) The Clty will tlealgnete FMLA leave concurrently with the no-
work status leave period or other dme-otf grentetl by thla policy.
LImItW Dutv -a maximum six (8) consecutive month period during which an employee who has
been gNen medical reetddiona by the city's designated physician can work for the City without
being returned to full-0uty in the poaidon that the employee wee working in before receiving the
reatdcdona. The six (8) month perod Degina on the date that the employee ie releaeetl to limited
duty by the CIty's Deeignetetl Physician.
Limited Duty may follow a pedod of No-Nbrk Stetua
Limited Duty pedod may be extentled up to en addidonel forty-five (45) days, 'rf pdor to the
Contemplatetl Terminadon Rebuttal Headng medical tlocumentetion is provided to fhe Disability
Review Coordinator which elates that there ie a reasonable medleal probability that the employee
will be releaeetl to return to full duty within the atlditlonal forty-five (45) days following the entl of
the six (8) month Limited Duty period.
No•Work Status -The designation given to an employee when the employee le unable to
perform any type of work for the City or if there ie no Iimtted duty easlgnment for the employee.
This status may not oxceed nine (g) consecutve months, beginning on fhe first day the employee
le referred to the Dieablltty Review Coordinator. NaVJOrk titetua will end when the employee ie
relsaeed to limited duty work or et the end of nine (g) consecutive months.
HR 32.0 Limited Duty Assignment 8 Reasonable Accommodation Pepe 2 of 10
If, at any time during the nine (g) month NaWork Statue the employee Is released to work limited
duty, the empbyee will begin limited duty statue ae deecdbed above, and the No-WOrk Statue
period will be considered exhausted. However, there will onty be one No-Work statue end one
Limited Duty atetua grentetl to any employee br a qualifying event.
The No-Work Status pedod may be extended up to an additional toAy-flue (45) tleys, If prior to the
Contemplated Termination Rebuttal Heedng medical doeumentatlon la provided to the Dleability
Review CooMlnetor which elates that there is a reasonable medbel probability that the employee
will ba released to return to full duty wNhin the additlonal foAy-five (45) days following the end of
the nine (g) month No Work 8tetus.
Rauon_~61a Accommodation -any change In the work environment or in fhe way things ere
cuaromenry none mei enemas an individual wtth a medical realdctlon to perform the eeeentiel
functbne of the Job.
arum tom III DuN - returning to hislher regular duty positlon, wtth ar without reasonable
accummoaeaon, or eecudng en ettemate Job placement under the Reasonable Axommodation
poky.
en action requldng significant difficulty or expense -- I.e., an action that Is
un u cos , extenetve, eubatantlai or dlaruptive, or that would lundamentelly alter the nature or
operation of the employers business.
hi. LIMITED DUTY A991ONMENT POLICY
The Cily of Corpus Christi's Limited-Duty Progrem is designed to temporedly utilize employees to
pertorm limited-duly work while rewvedng from mtunea or occupehonel tllneesea that ache out of
end in the rwuree of employment oroft-the-lob injurieslillnesaes which prevent full participation et
work. However, the City la not obligated under any ciroumstences to aselgn limited-duty work.
The CIH retelna the dght to remove or transfer en employee from alimited-duty assignment as
deemed necessary.
This policy shell be executed in compliance with ell applicable laws.
V. LIMITED DUTY AS91ONMENT PROCEDURE
An employee who has been absent from work for more than ten (10) conaecullve work tleys due
to en Illness or Injury shall be referred to the Disability Review Coordinator by the department
coordinator.
The Disability Review Coordinetorwill coordinate the limited duty assignment process.
The employee will consent to disclosure of medical inPonnatlon to the Dleability Review
Coordinator, Dleability Review Committee and other dty management pereonnal as deemed
necessary by the Disability Review Coordinator or the dty's designated phyaidan.
A fitness for duty medical examination will be conducted by the city's deelgneted phyaidan prior
to authorlretlon for a limited duty aealgnmant. The phyaidan will evaluate the employee's
medical records, establlah contacts wtth the employee's attending physician(s) as necessary,
provide medical advloe concerning the employee, make retemale for aveluatione by other health
care providers enNor for medical rehabilitation, end provide information regarding medical
reetdctlona, If any. The employee must be medically released by the city's deslgnaletl physician
to paMdpete in a Iimked duly assignment.
HR 32.0 Limited Duty Aselgnment 8 Reasonable Accommodation Page 3 of 10
If the city's designated physician's fitness for duty report elates that the employee will be unable
to return to hiaRrer regular duly assignment for a period of more then six months, then the
employee will be assigned a vocational rehabilltetion apedallat. Additbnelty, a vocafional
rehebllltedon apeclellet may be assigned on a case by case basis ae nestled.
If there is dleagreement between the city's dealgnetad physician and the employee's attending
physiclan, a third opinion will be requested by the ctty's deaignaletl phyeldan.
All medical records genereled by the dty's deeignetetl physiclan end those provided by Me
employee's attending phyaiden will be made evellable to the Dieabillty Review CcoMinetor end
may be reviewed by the Oisabiltty Review Committee and other dty management personnel. All
madicel recoWa end Information concerning en employee's condition will be kept eonfldendel, to
the extent allowetl by law, and will be meinteined on aeperete forme and in eeperete flies from
other pesonnel doamenla.
The Dleabflity Review Coordinator will discuss the city's designated physician's limited duty
recommendation, if any, with the employee end will advise the employee of the provisions oT this
poky.
The Dieabillty Review Coordinator will Identify avalleble Ilmtted duty eaeignments either In the
employee's department or another department. An opportunity for limited duty assignment in the
employee's department will be considered first.
When designating work for a limited duty assignment the work to he performed must contribute to
the achievement of the service goals and objedivea of the City and must be conalalent with the
employee's medical resMdiona. The employee must possess the necessary skills to perform the
leek assigned, perform the tasks sedatectodty, end dress appropriately for the assignment.
Upon assignment to limited duty work, regardless of which department the employee is assigned
to, the home department will pay the employee's salary at the employee's regular duty pay refs,
regardless of the nature of the Iimiletl duty aselgnmenl.
The empbyee ie responsible far comptying with the procedures outlined In this policy end keeping
the home department informed on a weekly boats regertling the Ilmited duty assignment,
recuperetion, duty status, etc.
The Diseblltty Review Coodinator will monitor the empoyee's limited tluty status, ensure that
Information regarding the employee M prov{tled to the appropriate department, end will refer the
employee for necessary trelning and/or teaflng. It Ia the home depenmenYa responalbllity to
rerrain knowledgeable about their Ilmted duly employee's welfare and duty statue through
tooted with fhe employee.
The department whero the employee is assigned to Iimltetl duty will monitor the work
performance of the employee end notify the Disability Review Coordinator of any perfortnence
endlor other work related problems which may be connected to the employee's medical
restrictions. The head oT the department, to whom the Ilmited duty esalgnment employee has
been assigned, may request a fitness for tluty examinedon by the dty'e tleaignated physiclan
when an employee experiences perfortnence problems pofantlelly related to the employee's
medical restrictions.
HR 32.0 Limited Duly Assignment 8 Reasonable Accommodation Page 4 of 10
An employee may serve in a Ilmted duty assignment up to a maximum of six (8) conaewtive
months. The six consew8ve month period will begin on the date that the employee is released to
Ilmited duty by the city's designated physician. Once the period begins, ft will conbnue to run
regardless d illness, Injury or rodnJury of the employee, his/her receiving a Ilmited duty
assignment, or any other eventuality.
While on Ilmted duly, an employee ggppgJ work overtime or work in any outside employment.
Outside empoymenf Inductee either part-tlme or full-time, for pay, for self or endher person, firm
or company.
An employee on limited duty ass)gnment who lacks hlelher G.E.D. will 6e given en opportunity to
earn a GED on their own time. The Disability Review Coordinator will advise each employee how
to begirt the GED process. The Human Resources Department will pay the coats of tuition and
necessary study matedals. The employee's progress will ba monitored by the Disability Review
Coordinator, end the employee will be requirod to provide statue reports of hieRier progress In the
GED pogrem.
The Disability Review Coordinator conducts meetlngs of the Disability Review Committee to
report on developments In each employee's case and to discuss cases approaching the
maximum time limits under the policy.
Tha Disability Review Coordinator will provide notiflcatlon to an employee when no limited duty
assignment is available.
If it is determined, upon medical examination by the dty's designated physician that an
employee's medical resVidions will likely be chronic, permanent, or long-term in nature and the
employee will not be able to return to his/her roguler duty poaiflon with or without reasonable
accommodaton, the dty will consider the case under the Reasonable Accommodaton for
Disabled Empbyees poky. The employee will remain on limited duty status for the remainder of
the aix month perlotl. However, if tludng the remainder of the six month pedod the employee Is
offered, in wridnp, a reasonable accommodation endlor attemate assignment, helahe will be
ronwved from limited duty status.
If an employee exhausts the aix month Ilmited duty assignment period, tai18 to secure alternate
Job placement and Ia not released to return to hleMer regular duly positlon, with or without
accommodation based upon the fltnesa for duty examination and ell other available inionnetion,
the Disability Revew Coordinator will notify the employee antl the employee's home tlepertment,
in wdtlng that helahe Is removed from Ilmited duty, and will consider the cxtae under the
Reasonable Accommodation for Disabled Employees policy.
VI. EMPLOYEE STATU8 8 BENEFITS
Employees on NaWork statue may corrUnue to be employed for a pedod of up to nine (g) months
from the dale that their absence from work begins.
Dudng thIa time the empbyee may draw pay from any eligible accruals or benefit sources (i.e.
sick leave, vecetlon, pereonal leave, workers' compeneetlan peyym~nta if applicable, andlor
dbeblllty ineurence If applicable.) It is the employee's responsibility to tooted the Health Benefits
group regarding disability Insurance benefits.
HR 32.0 Limited Duty Assignment 8 Reasonable Accommodation Page 6 of 10
1. While en elipibb employee Is on FMLA leave, Me employee's heath beneflta will be
continued at Me sent level end under the same conditions as if Me employee had
contlnuetl to work.
(e) While on FMLA leave antl using accrued sick leave, pereonal leave or vacation leave,
Me empbyee'e ehere of Me premium for heath inaurence, life Insurence, or dleabillty
plan, for Moee employees who have Meae benefits, shall be collected by payroll
detlucllon.
(b) While on FMLA leave without pay, es all accruetl leave hee been ezhauffied, the
employee's eharo of the premium for hesHh Insurance, Ige insurence, or disability plan,
for those employees who have Meae benefits, shall be paltl by Me City. Upon Me
empoyee's return to work or tenninatlan of employment, Me employee will be required
to roimburae Me cky Mosa premiums which it paid on the employee's behalf during the
FMLA qualified leave.
(c) The employee on leave without pay, not FMLA qualified, must continue to pay the
employee's premium potion for any heath, Ilfe or dlubllity benefits for which Me
empbyee IS eligible. The employee must make those payments to be receivetl by Me
Collection Section of Me Flnence Department (see Me City's policy regaMing benefit
coverepe during no•pey status).
2. An employee who hee exhausted ell paid leave Is not entitled to accrue addkional vacation
or sick leave during a pedotl of unpaid leave. The Payroll Clerk shell prepare an Employee
Change Form (Form 12) and forwertl It to Me Human Resources Department inectlvetlng
the employee during any leave WITHOUT pay.
3. If the employee dose not rotum et the end of Me leave pedod, Me ampbyea's nollflcation of
hla/her Intent not to return (terminate, disability or service retire) will be a COBRA qualltying
event. Contact Me Human Resources Department for information on COBRA end for other
health, Ilfe or disability Insuance questions.
VII. USE OF PAID AND UNPAID LEAVE
1. If Me employee hee accrued paid leave, the employee must use accreetl sick leave,
pareonsl leave, end vecatlon leave, If any, In that order.
2. As provided in Workers' Compensation law, the first seven (7) days of loaf time from work
due to an on•lhe-Job injury Is leave wiMOUt pay. Employees will be required to use eccruetl
sick leave, personal leave ar vacation eternal, If any, in Mat order for Mesa first seven (7)
days or, If such leave is not evallable, be docked for Met pert of Me seven (7) days not
covered by such leave.
3. Employees who lose lime in excess of 7 tleye due to en on-Me•Job Injury will begin receiving
Workers' Compensation, If eligible, after the 7th tley and will be requiretl to supplement
weekly workers' compeneatlon wgh sick leave accrual, personal leave or vacatlon accrual, H
any, in Mat order. In no case will the employee be allowed to receive more compenaetlon
than the employee woultl have had helshe not been injured.
HR 32.0 Limited Duly Assignment & Reasonable Aecommotlatlon Page 8 of 10
4. If the employee Is away Rom hlalher Job for more men three weeks due to en on•me-job
Injury, Workers' Compensation which le relmbureed tome employee for week number one
must be rolumed to me City, and me employee's appllcebb leave axrual will be reinstated
arxordingty by me Payroll Clerk.
VIII. REASONABLE ACCOMMODATION POLICY
The City will attempt to provide reasonable accommotletione to the known medical reefridions of
en omerwlae qualified employee, In order forme empbyee ro be given en opportunity to perform
me essential functions ofthe Job.
IX. REASONABLE ACCOMMODATION PROCEDURE
1. The employee requaetlng reasonable axommodatbn(e) should aubmk such requeet in
wdtlng to the Human Resources Department.
2. The Disability Review Coordinator will rovlew the positon description and leek statements to
ensure mat they Rely and accurately rofled the eeaentlel tundlona of the Job. In order to be
quallfletl for a job, the employee must have me ekille, experience end knowledge roflacted
in me etendard position description requirements wlm or wihout reasonable
aocommodatlon.
3. The City's Deslgnetetl Physician may be asked to evaluate me abllky of en employee to
perform essentlal functions of me posRlon In questlon. Because eseentlel Job functions vary
wlm Individual Job deacripaona end teak statements and Indude those physical end
cognitive ectlvltles necessary to effectlvety achieve anddpeted job performance, me
person's Job lunctlon ability shell be tlatertnlned on en Individual belie. The City's
Designated Phyelden may requeet wrkten tlocumentetlon or eveluatbn from a professional
with knowledge of me person's tuncllonel limltetlona end ebllltlea.
4. The Disability Review Coordinator, me Department, any rehabilitation professional working
on me ease, and me employee will work ee a team to determine when possl6le, reasonable
accommodations necessary to enable qualified employees with medical reatlictlons to
perform the eeaentlel tundions of melt regular duty position. ThIS process shell be
overseen by me Disability Review Committee.
5. ARer tletennlning the nature end type of reasonable accommodetlon neede4 me Disability
Review Coortllnetor will have me aumority to provide reasonable accommodetlone when
appropriate, Induding aealgning, when called for under this policy, eligible employees to
avellebb vacant positions for which may quality, with or without reasonable
a~ommodetlon. The Department Heeds shell accept such aaeignments made to their
departments by the Disability Review Coordinator.
8. It more then one acoommodetlon would be effedive, me Dleablllty Review Coordinator is
Ree to choose among moss eccommodetlons end may choose one mat la lase expensive
or easier to provide. The avallablllty of tuntla will be verlfietl by me Human Resources
Department entl may include a review of total dty resources to detennlne If me
axommodetion can be provided.
HR 32.0 Llmlted Duly Assignment 8 Reasonable Axommodetion Page 7 of 10
7. If k ie determined that the proposed accommodation Ia necessary, but would croate en
undue hardship, as determined from review of total City reaourcee, this will not be conetruetl
to mean that the employee le not qualified for the job. The Disability Review Coordinator
will Inform the employee of the determinellon end allow the Individual the opportunity to
provide the axomrtwdatlon through hldher own reaouroea.
8. Once an accommodation has been made, the Diaebllity Review Coordinator will monitor the
eRedNenees of the acx:•ommodetron, end will coordinate, through the ampbyee's
department, periodic review of the employee's statue and the continuing eflectlveneee of the
accommodation. For all cases, these types of reviews will be conducted on at least an
annual baste. This may Indude a Fithees for Duty examination by the City's designated
phyefclan, or other medical predltroner, andlor require the employee to provide releletl
medical records from the employee's pareonel heetth care provider.
g. In the event that no reasonable exommodatlon to the employee's regular duty esaignment
can be made, Ne Diaebllity Review CooMinatorwill initiate the following:
• if the employee qualifies for en eveilable vacant position in the home department
wmpereble In statue end pay to the regular duty positon, the Diaebllity Review
Coordinator will tooted the department to emenge for the employee's alternate
asalgnment to the vacant poeiNon.
• If no position ie eveilable in the home department comparable in afatua and pay to the
regular duty positron, the Disability Review Coordinator will identlty en available vacant
poskkn In another department compareble in statue and pay to the regular duty
position, if any, and cooled the tlepertment to grange for the employee's alternate
easlgnment to the available vacant positron.
• All alternate assignments will be aubjed to an appropriate trial partod as determined by
the Diaebllity Review Coordlnelor.
• If there ere no available vacant positions dty-wide compareble In status antl pay to the
regular duty positon, the Diaebilfry Review Coodinator will arrange for alternate
asalgnment to a vacant lower level position, If any, for which the employee qualifies. If
an employee Is easignetl to a lower bust positron halehe will retain the pay and benefits
of the prior higher level position ea long es It dose not exceed-the maximum pay renge
of the lower level position.
• If there are no positions eveilable, then the employee will be given written notification of
this fad.
10. Ettarts to reesonebty accommodate endlor alternately assign en employee will end ninety
(BO) calendar days after an employee received written notice that helshe has exhausted the
maximum length of assignment to limited duly end la still not released to return to his/her
regular duty positon with or without reasonable exommodetbn, or after completion of the
nine (g) consecutive months of no work status.
HR 32.0 Llmiled Duty Assignment & Reasonable Accommodation Page B of 10
X. END OF EMPLOYMENT
Employees will be recommended for tenninetion of employment under the following conditions:
• After completbn of the nine (g) conaecutlve months of no work statue, unless the employee
qualifies far an extenalan ea tleecdbed In the definPoon of No Work Status in Section III oT
this policy, or
• Folbwing-0lforta to reasonably eccammodate endlor akemetely assign en employee which
will entl ninety (90j calendar days after an employee receNed wdtten notice that helahe has
exhausted the maximum length of assignment fo limited duty entl 16 atlll not released to
return to hialher regular duty position with or without reasonable eccomrtatlation, unless the
employee qualifies for en extenelon es described in the definition of Llmiled Duty In Section
III of this policy, or
• Upon refusal by the employee of two proposed reasonable axommoda5one, or
• The employee fails to fully cooperefe in any aspect of this program.
Empbyeas terminated under this policy me~ reapply for employment with the City entl will be
considered on an equal bells with other eppi cants.
Upon the employee's termination, for any reason, all city provided rehebilita5on, except any
evalleble under the dty'e health Insurance rf the employee opts for contlnued coverage, entl/or
any beneflte available under workers compensation, shall cease.
XI. VIOLATIONS OF THIS POLICY
Failure to comply with this policy will result in disciplinary action up to end inducting lenninatlon.
Vlolatlone of this policy for which en employee may be terminated include but ere not limited to
the following:
1. fella to report for two fitness-for-duty evaluation appointments, with the City's Designated
Phyaiden, or at the Clry-Deelgnated Physiden'e referral, after being Informed in venting of
the date and time of the exeminetions, or
2. fella to report for limited-duty assignment at the date end time spedfietl on the written notice
to himlher, or
3. fells to return to regular duty assignment at date and time indicated on the widen notice to
hiMher, or
4. engages in outside employment, either pert-time or full-lima, for pay, for sett or another
parson, fine, or company while on limited duty or leave related to medical roatdctlon(s)
without euthodzatlon from the City-Deaigneted Physician end Dleability Review
Coordinator, or
5. felsiflea ar misrepresents hislher inJurylillnees, or
HR 32.0 Limked Duty Assignment & Reasonable Accommodation Pege 9 of 10
6. refuses to accept or perform a dllferent job assignment recommended by the Dlaebility
Revlew Coordinator or refuses testing, retreining or rohabllitetion, or
7. fells to consent to dlaclosure of metlical Informagon or records to Cily management,
Dlseblllty Review Committee, Dlsebillty Review Coordinator or CRy-Designated Phyeicfen,
or
B. fella to fully cooperate in any aspect of this program.
9. engages in fraudulent behavior ae related to their own Injury, whether occupation ar non-
occupetional, as found through survelllanee services or other means.
XII. QUESTIONS REOARDINO THIS POLICY
Oueatione regarding thls Poliq shall be directed to the Director of Human Resources, or
designee, who may ba contacted at 361IB28-3315.
HR 32.0 Limitetl Duly Assignment & Reasonable Accommodetlon Pape 10 of 10
2.3~ ,ltequirec~ ~nsurance:Pravsion
Prior to the commencement of any work under this RFP, Proposer shall furnish an original
completed Certificate(s) of Insurance to the City which shall be completed by an agent
authorized to bind the named underwriter(s) and their company to the coverage, limits, and
termination provisions shown thereon, and which shall furnish and contain all required
information referenced or indicated thereon. The original certificate(s) must have the agent's
original signature, including the signer's company affiliation, title and phone number, and be
mailed directly from the agent to the City. The City shall have no duty to pay or perform
under this RFP until such certificate shall have been delivered to the City, and no officer or
employee, other than the City's Risk Manager, shall have authority to waive this requirement.
The City reserves the right to review the insurance requirements of this section during the
effective period of any Contract(s) resulting from this RFP and any extension or renewal
thereof and to modify insurance coverage and their limits when deemed necessary and
prudent by the Risk Manager based upon changes in statutory law, court decisions, or
circumstances surrounding this RFP, but in no instance will the City allow modification
whereupon the City may incur increased risk.
A Proposer's financial integrity is of interest to the City, therefore, subject to Proposer's right
to maintain reasonable deductibles in such amounts as are approved by the Risk Manager,
Proposer shall obtain and maintain in full force and effect for the duration of this proposal,
and any extension hereof, at Proposer's sole expense, insurance coverage written on an
occurrence basis, by companies authorized and admitted to do business in the State of Texas
and rated A- or better by A.M. Best Company and/or otherwise acceptable to the City, in the
following types and amounts:
TYPE AMOUNT
1. Workers' Compensation Statutory
Employers Liability $500,000/$500,000/$500,000
2. Commercial General Liability Insurance
a. Premises operations Combined Single Limit for
Bodily Injury and Property
Damage of $1,000,000 per
occurrence or its equivalent
b. Independent Contractors
c. Products/completed operations
d. Personal Injury
e. Contractual Liability
1. Professional Liability
Errors and Omissions $1,000,000 per claim
to pay on behalf of the
insured all sums which I
insured shall become
legally obligated to
pay as damages by
reason of any act,
malpractice, error or
omission in professional
services; if written on a
"Claims Made" form, must
provide for retroactive date
prior to inception of the
contract and an extended
reporting period of twenty-
four (24) months after the
date the Agreement resulting
herefrom is terminated or
expires.
4. Commercial Crime Coverage/ $1,000,000
Employee Dishonesty
The City shall be entitled, upon request and without expense, to receive copies of the policies
and all endorsements thereto as they apply to the limits required by the City, and may make a
reasonable request for deletion, revision, or modification of particular policy terms,
conditions, limitations or exclusions (except where policy provisions are established by law
or regulation binding upon either of the parties hereto or the underwriter of any such
policies). Upon such request by the City, the Proposer shall exercise reasonable efforts to
accomplish such changes in policy coverage, and shall pay the cost thereof.
Proposer agrees that with respect to the above required insurance, all insurance proposals and
Certificate(s) of Insurance will contain the following required provisions.
• Name the City and its elected officials, officers, directors, employees, agents,
volunteers and representatives as additional insureds (as the interests of each insured
may appear), as to all applicable coverages respects operations and activities of, or on
behalf of, the named insured performed under proposal with the City, with the
exception of professional liability and workers' compensation policies;
• The Proposer's insurance shall be deemed primary with respect to any insurance or
self insurance carried by the City for liability arising out of operations under the
proposal with the City; and
• Workers' compensation and employers' liability policy will provide a waiver of
subrogation in favor of the City.
• Proposer shall notify the City in writing in the event of any notice of cancellation,
non-renewal or material change in coverage and shall give such notices not less than
thirty (30) days prior to the change, or ten (10) days notice for cancellation due to
non-payment of premiums, which notice must be accompanied by a replacement
Certificate of Insurance. All notices shall be given to the City at the following
address:
City of Corpus Christi
Attn: Risk Manager
P. O. Box 9277
Corpus Christi, TX 78469-9277
If Proposer fails to maintain the aforementioned insurance, or fails to secure and maintain the
aforementioned endorsements, the City may obtain such insurance, and deduct and retain the
amount of the premiums for such insurance from any sums due under the agreement;
however, procuring of said insurance by the City is an alternative to other remedies the City
may have, and is not the exclusive remedy for failure of Proposer to maintain said insurance
or secure such endorsement. In addition to any other remedies the City may have upon
Proposer to stop work hereunder, and/or withhold any payment(s) which become due, to
Proposer hereunder until Proposer demonstrates compliance with the requirements hereof.
Nothing herein contained shall be construed as limiting in any way the extent to which
Proposer may be held responsible for payments of damages to persons or property resulting
from Proposer's or its subcontractors' performance of the work covered under this
agreement.
MARSH CERTIFICATE OF INSURANCE
E
1
000914595
01
HOU
PRODUCER THIS CERTIFICATE IS 139UED AS A MATTER OF INFORMATION ONLY AND CONFERS
Mafsh USA IRC. NO RIGHTS UPON THE CERTIFICATE HOLDER OTHER THAN THOSE PROVIDED IN THE
601 Poydras Street, Suite 1850 POUCY. THIS CERTIFICATE DOE9 NOT AMEND, E%TENO OR ALTER THE COVERAGE
New Orleans, LA 70130-6031 AFFORDED BY THE POLICIES DESCRIBED HEREIN.
Attn: NewOrleans.certrequest@marsh.com - 212-948-0537 COMPANIES AFFORDING COVERAGE
COMPANY
ARA -All-GAXW-08-09 A St. Paul Mercury Insurance Company
INSURED COMPANY
F.A. Richard & Associates, Inc. B Charter Oak Fire Insurance Company
1625 West Causeway Approach
Mandeville, LA 70471 COMPANY
C
COMPANY
D
COVERAGES This certificate supersedes and replaces any previously Issued certificate for the policy period noted below. i
THIS IS TO CERTIFY THAT POLICIES OF INSUMNCE DESCRIBED HEREIN HAVE BEEN ISSUED TO THE INSURED NAMED HEREIN FOR THE POLICY PERIOD INDICATED.
NOTWITHSTANDING ANV REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THE CERTIFICATE MAV BE ISSUED OR MAV
PERTAIN, THE INSURANCE AFFORDED BV THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, CONDITIONS AND EXCLUSIONS OF SUCH POLICIES. AGGREGATE
LIMITS SHOWN MAY HAVE BEEN REDUCED BV PAID CLAIMS.
CO
LTR TYPE OF INSURANCE POLICY NUMSER POLICY EFFECTIVE
GATE (MMIDD/YYJ POLICY E%PIRATION
OATS IMMIDO/YY) UMITB
(~ GEN ERAL LIABILITY FS06305394 08/01/08 O6/O1/O9 GENERAL AGGREGATE $ 2,DDD•QDD
X COMMERCIAL GENERAL LIABILITY PRODUCTS-COMP/OP AGG $ 2,000,000
CLAIMS MADE OCCUR PERSONALS ADV INJURY $ 1,000,000
OWNER'S BCONTRACTOR'S PROT EACH OCCURRENCE S 1,000,000
FIRE DAMHGE(An one fire) $ iD6,6~~
MED E%P An one rsan $ 10,000
A AUT OMOBILE LIABIUTV FS06305394 06/01/08 06/Di/09 COMBINEDSINGLE LIMIT $ 1~~D~•Ol)D
x ANY AUTO
ALL OWNED AUTOS BODILY INJURY
SCHEDULED AUTOS (Par person)
HIRED AUTOS 6001LV INJURY
(Per ecciEent)
NON-OWNED AUTOS
' PROPERTY DAMAGE
GARAGE LIABIUTV
AUTO ONLY- EA ACCIDENT
ANY AUTO OTHER THAN AUTO ONLY:
EACH ACCIDENT
AGGREGATE
A E% CESS LIABILITY FS06305394 06/01/D6 06/01/09 EACH OCCURRENCE $ 10,OOD,DDO
x UMBRELLA FORM AGGREGATE S 10,000,000
OTHER THAN UMBRELLA FORM
B WORHERS COMPENSATION AND
' HO-UB-2687L33-0-07 06/61/D6 06/01/09 X TORY LIMITS ER
EMPLOYERS
LIABILITY
000
000
S 1
EL EACH ACCIDENT ,
,
THE PROPRIETOR/ X INCL EL DISEASE-POLICY LIMIT S 1,000,ODO
PARTNERSIEXECUTIVE
CH EMPLOYEE
S
S
000
000
S 1
OFFICERS ARE: EXCL EL DI
EA
E-EA ,
,
OTHER
I
DESCRIPTION OF OPERATIONSILOCATIONS/VEHILLES/SPECIAL ITEM9
The City of Corpus Christi and its elected officials, officers, directors, employees, agents, volunteers and representatives as additional insureds (as the
interests of each insured may appear), as to all applicable coverages respects operations and activities of, or on behalf of, the named insured performed
under proposal with the City, with the exception of professional liability, workers' compensation policies as required by written contract. Insurance shall be
deemed primary with respect to any insurance or self insurance carried by the City for liability arising out of operations under the proposal with the City as
CERTIFICATE HOLDER CANCELLATION
SHOULD ANY OF THE POLICIES OESCRI9E0 HEREIN 0E CANCELLED BEFORE iNE E%PIRATION GATE iXEREOF.
THE INSURER AFFORDING COVEMGE WILL ENDEAVOR TO MPIL _.3Q DAYS WRITTEN NOTICE i0 THE
City of CorpD$ Chfl$tl CERTIFICATE HOLDER NAMED HEREIN, aUT FAIWRE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIWTION OR
Attention: Risk Manager
P.O. Box 9277 LIA9ILITV OF ANT HIND UPoN iNE INSURER AFFORDING COVERAGE, n5 AGENiS OR REPRESENTATNES, OR THE
[`iOrpD$Gf1f1511, Tx 76469-9277 ISSDER OF THIS CERTIFICATE.
AUiNOR6E0 AEPRESEHTATIVE
ai Manh USAlnc. Off, /. ~~~~
BY: Ouida Turner <H~
MMt(3102) VALID AS OF:08/21/OB
ADDITIONAL INFORMATION HOU-ooos,asss-o, 08/21/08 DOIrrI
PROOUCeR ____
__ COMPANIES AFFORDING COVERAGE __
Marsh USA Inc. coMPANr
601 Poydras Street, Suite 1850
New Orleans, LA 70130-6031 E
Attn: NewOrleans.cerirequestQmarsh.com - 212-948-0537
COMPANY
F
FARA -All-GAXW-08-09
INSURED COMPANY
F.A. Richard & Associates, Inc.
1625 West Causeway Approach G
Mandeville, LA 70471
COMPANY
H
TEXT
CONTINUED FROM DESCRIPTION SECTION:
required by written contract. Workers' compensation, employers' liabi lity policy will provide a waiver of subrogation in favor of the City as required by written
contra
CERTIFICATE HOLDER
City of Corppus Christi
Attention: Fiisk Manager
P.O. Box 9277
Corpus Chdsti, TX 78469-9277
AYiXORL!Ea REPRESEHTPTIVE
of Marah USA Inc
av: Ouida Tumer Q~~~,(y ~[G~yy(iL
Pa e
MARSH CERTIFICATE OF INSURANCE CERTIFICATE NUMBER
HOU-000302200-02
PRODUCER THIS CERTIFICATE 19 ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS
Marsh USA IDC. NO RIGHTS UPON THE CERTIFICATE HOLDER OTHER THAN THOSE PROVIDED IN THE
601 Poydras Street, Suite 1850 POLICY. THIS CERTIFICATE OOE9 NOT AMEND, E%TEND OR ALTER THE COVERAGE
New Orleans, LA 70130-6031 AFFORDED BY THE POLICIES DESCRIBED HEREIN.
Attn: NewOrleans.cerlrequest@marsh.com - 212-948-0537 COMPANIES AFFORDING COVERAGE
COMPANY '
ARA -All-GAXW-08-09 A St. Paul Mercury Insurance Company
INSURED COMPANY
F.A. Richard & Associates, Inc. B N/A
1625 West Causeway Approach
Mandeville, LA 70471 COMPANY
D
COMPANY
D
COVERAGES This ceAificate supersedes and replaces any previously issued cer8finate for the policy period noted below. 3
THIS IS TO CERTIFY THAT POLICIES OF INSURANCE DESCRIBED HEREIN HAVE BEEN ISSUED TO THE INSURED NAMED HEREIN FOR THE POLICY PERIOD INDICATED.
NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THE CERTIfICATE MAY BE ISSUED OR MAV
PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, CONDITIONS AND EXCLUSIONS OF SUCH POLICIES. AGGREGATE
LIMITS SHOWN MAV HAVE BEEN REDUCED BY PAID CLAIMS.
CD TYPE OF INSURANCE POLICY NUMBER i POLICY EFFECTIVE POLICY EXPIRATION LIMITS
LTR GATE (MMIDDIVY) DATE (MMIDOIYY)
(t GEN ERAL LIABILITY FS06305394 U6/61/08 -06/61/69 GENERAL AGGREGATE $ 2,OOD,OOD
X COMMERCIAL GENERAL LIABILITY PRODUCTS-COMP/OP AGG $ 2,000,000
CLAIMS MADE OCCUR PERSONALB ADV INJURY $ 1,000,000
OWNER'SB CONTRACTOR'S PROT EACH OCCURRENCE $ 1,000,000
FIRE DAMAGE(An anefire) $ iDD,DDD
MED EXP An ane rson $ 1D,DDD
AUT OMOBILE LIABILITY
COMBINED SINGLE LIMIT
ANV AUTO
ALL OWNED AUTOS BODILY INJURY
(Per ~rscR)
SCHEDULED AUTOS
HIRED AUTOS BODILY INJURY
(Per euitlem)
NON~OWNED AUTOS
PROPERTY DAMAGE
GARAGE LIABNTY AUTO ONLY-EA ACCIDENT S
ANV AUTO OTHER THAN AUTO ONLY:
EACH ACCIDENT
AGGREGATE
EXCE99 LIABILITY EACH OCCURRENCE
UMBRELLA FORM AGGREGATE
OTHER THAN UMBRELLA FORM
WORKERS COMPENSATION ANp -
EMPLOYERS'LIABILITY TORY LIMITS ER
EL EACH ACCIDENT S
THE PROPRIETOR/ INCL EL DISEASE-POLICY LIMIT S
PARTNERS/EXECUTIVE
OFFICERS ARE: EXCL EL DISEASE-EACH EMPLOYEE
DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLE9ISPECIAL ITEMS
CERTIFICATE HOLDER BELOW IS CONSIDERED AN ADDITIONAL INSURED AND A WAIVER OF SUBROGATION APPLIES UNDER THE GENERAL
LIABILITY COVERAGE AND WORKERS COMPENSATION COVERAGE PARTS WHEN REQUIRED BY WRITTEN CONTRACT AND ALLOWED BY lAW
SUBJECT TO POLICY TERMS AND CONDITIONS.
CERTIFICATE HOLDER CANCELLATION
SHOULD ANY Of THE POLICIES DESCRIBED HEREIN BE CANCELLED BEFORE iNE E%PIflAiION DATE iXEREOF.
THE INSURER AFFORDING COVEPAGE WILL ENDEAVOR TO MAIL _,~ OATS WRIiiEN NOTICE TO THE
City of Corpus Christi CERTIFICATE HOLDER NAMED HEREIN, BUi FAIWRE TO MAIL SUCH NOTICE SMALL IMPOSE NO ORLIWTION OR
Attention: Risk Manager
P.O. BO%g277 LIABILITY OF ANY HIND UPON THE INSURER AFFORDING COVEMGE. ITS AGENTS GR REPRESENTATNES.OR iNE
Corpus Christi, TX 78469-9277 ISSUER OF THIS CERTIFICATE.
AUTHORISED REPREBENTATNE
of ManM1 GSAIDC. O /l.-~K~
~~
ev: Ouida Turner V
MM1~3102) VALID AS OF:08/21/08
MARSH CERTIFICATE OF INSURANCE Hou~ooos,a
M
,Eo
7
i
,
PRODUCER THIS CERTIFICATE 18 ISSUED A9 A MATTER OF INFORMATION ONLY AND CONFERS
Mafsh USA IRC. NO RIGHTS UPON THE CERTIFICATE HOLDER OTHER THAN THOSE PROVIDED IN THE
601 Poydras Street, Suite 1850 POUCY. THIS CERTIFICATE DOE9 NOT AMEND, E%TEND OR ALTER THE COVERAGE
New Orleans, LA 70130-6031 AFFORDED BY THE POLICIES DESCRIBED HEREIN.
COMPANIES AFFORDING COVERAGE _
COMPANY
ARA -All-PCriX-OB-09 A Lloyd's Of London
INSURED COMPANY
F.A. Richard & Associates, Inc. B Federal Insurance Company
1625 West Causeway Approach
Mandeville, LA 70471 coMPANv
C Travelers Casualty And Surety Company Of America
COMPANY
D
COVERAGES This certificate supersedes and replaces any previously issued carliflcale for the policy period noted below. 4
THIS IS TO CERTIFY THAT POLICIES OF INSURANCE DESCRIBED HEREIN HAVE BEEN ISSUED TO THE INSURED NAMED HEREIN FOR THE POLICY PERIOD INDICATED.
NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THE CERTIFICATE MAY BE ISSUED OR MAY
PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, CONDITIONS AND E%CLUSIONS OF SUCH POLICIES. AGGREGATE
LIMITS SHOWN MAV HAVE BEEN REDUCED BY PAID CLAIMS.
CO POLICY EFFECTIVE POUCY EXPIRATION
LTR TYPE OFINSURANCE POUCY NUMBER
DATE (MMIDDIYY)
GATE (MMIDDIYY) UMITS
GEN ERAL LIABILITY
GENERAL AGGREGATE
COMMERCIAL GENERAL LIABILITY PRODUCTS-COMP/OP AGG $
CLAIMS MADE O OCCUR PERSONAL BADV INJURY $
OWNER'SB CONTRACTOR'S PROT EACH OCCURRENCE $
FIRE DAMAGE (Any ono fire) $
MED EXP M one on $
AUT OMOeILE LIABIl1TY
$
COMBINED SINGLE LIMIT
ANY AUTO
ALL OWNED AUTOS BODILY INJURY $
(Per person)
SCHEDULED AUTOS
HIRED AUTOS BODILY INJURY $
IPer ao:IEenU
NON-OWNED AUTOS
PROPERTY DAMAGE $
GARAGE LIABILITY AUTOONLY-EA ACCIDENT $
ANY AUTO OTHER THAN AUTO ONLY:
EACH ACCIDENT $
AGGREGATE $
E%CESS LIABILITY EACH OCCURRENCE $ 2,600,99D
UMBRELLA FORM AGGREGATE S Z,000,OOO
OTHER THAN UMBRELLA FORM
WORKERS COMPENSATION AND
EMPLOYERS'UABILITY
TORY LIMITS ER
$
EL EACH ACCIDENr
THE PROPRIETOR/ INCL EL DISEASE-POLICY LIMIT $
PARTNERSIEXECUTIVE
EL DISEASE
EACH EMPLOYEE
S
OFFICERS ARE: EXCL -
q Professional Wi6J0008PNPM 06/01/08 06/01/09 Each Wrongful Act
Liability Policy Aggregate 10,000,000
B Crime 6800-9133 06/01/08 06/01/09 5,000,000
C Excess Come 104332156 06/01/08 06/01/09 5 000 000
DESCRIPTION OF OPERATIONS/LOCATIONSNEHICLES/SPECIAL ITEM9
CERTIFICATE HOLDER CANCELLATION
SHOULD ANY OF LNE POLICIES OESCPIBEO NEPEIN BE CANCEIIEO BEFORE TXE E%PIRATION GATE THEREOF,
THE INSURER AFFORDING COVEMGE WILL ENDEAVOR i0 MAIL ~0 DAYS WRITTEN NOTICE i0 THE
Clty Gf COfpDS CFIFISN LEPnfICATE HOLDER NAMED HEREIN, BUT FMWRE i0 MAII SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR
Attention: Risk Manager
P.O. Box 9277 L'ABILnY OF ANY KIND UPON THE INSURER AFFORDING COVEMGE.IiS AGENTS OR PEPRESENTAi1VE5, OR iXE
Corpus Christi, TX 78469-9277 ISSUER OF THISLERTIFICATE.
4UTHORIZEO REPRESEXTATIVE
of Marsh USA Inc. O~ /1-,ti-rte
^
' '
BY: Ouida Turner
/
'~
MMi(3102) VALID AS OF:08/22/08