DATE: May 17, 2016
TO: Mayor and City Council
FROM: Director of Human Resources
SUBJECT
Title
Adoption of a Resolution Authorizing the City Manager to Enter into and Execute an Agreement with Acclamation Insurance Management Services ("AIMS") for Third Party Administrator ("TPA") of the City of Hayward's Workers' Compensation Claims Services
End
RECOMMENDATION
Recommendation
That the City Council adopts the attached Resolution authorizing the City Manager to enter into and execute an agreement with Acclamation Insurance Management Services ("AIMS") for Third Party Administrator ("TPA") of the City of Hayward's Workers' Compensation Claims Services.
Body
BACKGROUND
The City of Hayward is self-insured for the Workers' Compensation Program and uses the services of a TPA for claims administration. Since July, 2011, JT2 Integrated Resources ("JT2) has provided these services for the City. In partnership with JT2, the City of Hayward made several program improvements over the last five years, including reducing overall costs, implementing a Return to Work Program, and transitioning to a paperless system. The contract with JT2 for TPA services expires on June 30, 2016.
Conducting open and competitive bid opportunities is a best business practice for public agencies that allows the City to ensure that it receives high quality, efficient, and cost effective services from its vendors. Accordingly, in partnership with the cities of Newark and San Leandro, the City of Hayward initiated an open and competitive Request for Proposals ("RFP") process in October 2015. In response to the RFP, proposals were received from the following eight vendors:
Acclamation Insurance Management Services
Athens Administrators
Hazelrigg Claims Management Services
Innovative Claim Solutions, Inc.
Intercare Holdings Insurance Services, Inc.
JT2 Integrated Resources
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