Title
Contract Extension for Deferred Compensation Plan Recordkeeper (Ordinance S-46042)
Description
Request to authorize the City Manager, or his designee, to amend the Deferred Compensation Plan (DCP) Contract 140631 between the City of Phoenix and Nationwide Retirement Solutions, Inc. by extending the term of the contract for one year. No disbursement of funds from the City Controller is required for this contract. The administrative costs are paid from DCP assets.
Report
Summary
The City issued a Request for Proposals (RFP) for investment consultant services in early 2018 which resulted in no vendor being selected. A second RFP was finalized in March 2019 which did not allow sufficient time to conduct a Plan Administrator RFP process prior to the end of the final contract extension. The DCP investment consultant is needed to guide staff through the complex, multifaceted DCP Plan Administrator and Recordkeeper process which typically takes twelve months to complete. DCP assets total more than $2.5 billion. The DCP/PEHP Board approved a one-year extension through November 2020. An RFP for the DCP Plan Administrator and Recordkeeper will be conducted in the fall of 2019.
Procurement Information
In accordance with Administrative Regulation 3.10, a Determination Memo citing a need to extend the current contract beyond the maximum option years was approved on June 28, 2019.
Contract Term
The original contract term was for a three-year period, beginning on Nov. 20, 2014, with two, one-year extension options exercised by the City. Approval of this request would extend the contract until Nov. 19, 2020.
Financial Impact
No General Funds are used for this contract. The administrative costs are paid from DCP assets.
Concurrence/Previous Council Action
The initial contract was approved by City Council on Nov. 19, 2014.
Department
Responsible Department
This item is submitted by Acting Deputy City Manager Toni Maccarone and the Human Resources Department.