Title
Flexible Spending Account (FSA) Administration Services Contract - RFP 24-0387 Request for Award (Ordinance S-51836) - Citywide
Description
Request to authorize the City Manager, or his designee, to enter into a contract with Flexible Benefit Administrators, Inc. to provide Flexible Spending Account (FSA) Administration services for the City of Phoenix Human Resources Department. Further request to authorize the City Controller to disburse all funds related to this item. The total value of the contract will not exceed $200,000.
Summary
This contract will provide eligible City employees and dependents Flexible Spending Account services and administration and account management services. The services include but are not limited to: claims processing and reimbursement, compliance assistance, designated customer service, reporting, and ongoing member communication and education initiatives. FSA is a tax-favored program offered by employers which allows its eligible employees and dependents to pay for eligible out-of-pocket health care and dependent care expenses with pre-tax dollars.
This item has been reviewed and approved by the Information Technology Services Department.
Procurement Information
A Request for Proposal procurement was processed in accordance with City of Phoenix Administrative Regulation 3.10.
Four vendors submitted proposals, two were deemed non-responsive, and two were deemed responsive and responsible. An evaluation committee of City staff and a Health Care Benefits Trust Board member evaluated those offers based on the following criteria with a maximum possible point total of 1,000:
- Qualifications, Experience and References (0-250 points)
- Method of Approach (0-400 points)
- Pricing (0-350 points)
After reaching consensus, the evaluation committee recommends award to the following vendor:
- Flexible Benefit Administrators, Inc. (762.50 points)
Contract Term
The contract will begin on or about January 1, 2026, for a five-year term with no options to extend.
Financial Impact
The aggregate contract value will not exceed $200,000. Funding is available through City trust funds.
Department
Responsible Department
This item is submitted by Assistant City Manager Lori Bays and the Human Resources Department.