Des Moines Ionwave #W26-292 Addendum 1

Des Moines Seeks Administrator for Employee FSA and HRA Benefits

The City of Des Moines, Iowa, is seeking proposals from qualified firms to administer its Group Flexible Spending Accounts (FSA) and Group Health Reimbursement Accounts (HRA) for city employees. - Government Buyer: - City of Des Moines, Iowa - Services Requested: - Administration of Group Flexible Spending Accounts (medical and dependent care) - Includes claims processing, customer service, online portals, enrollment, and reporting - Debit card transaction processing for FSAs required - Administration of Group Health Reimbursement Accounts - Includes claims processing for medical, vision, dental, and post-employment health plan expenses - Online access and robust reporting required - Employee Participation: - 1,722 total employees - 528 participate in at least one FSA - 303 have open HRA accounts - Notable Requirements: - High customer service standards and robust, reliable systems - Electronic-only proposal submission - Compliance with insurance and indemnification requirements - Ability to process ACH payments for claims and administrative fees - No new HRA contributions; existing accounts funded with previously allocated funds - City holds and disburses funds for claims and fees - Competitive pricing emphasized; current monthly admin fee is $3.50 per employee - No price escalation during initial term; renewal increases capped at 5% - Incumbent Provider: - Kabel (Infinisource) is the current administrator - Contract Term: - Three years initial term, with two optional three-year renewals

Description

The City of Des Moines is requesting sealed proposals from qualified companies for an Administrator for Group Flexible Spending Accounts and Group Health Reimbursement Accounts. The scope includes administration services for these accounts with a focus on high customer service, flexibility, and reliable systems. The City aims to remain competitive as an employer and control benefit costs. The contract is intended to be effective January 1, 2027, with proposals accepted only through the electronic bidding system by the specified deadline.

View original listing