Employee Benefits Brokerage and Consulting Services

C I T Y O F N E W P O R T
Employee Benefits Brokerage and Consulting Services
BID NOTICE AND SPECIFICATIONS
2026
Date Published: April 29, 2026

2026 NEWPORT CITY OFFICIALS
MAYOR Thomas Guidugli, Jr.
CITY COMMISSIONERS Julie Smith-Morrow
Mike Radwanski
Ken Rechtin
Aaron Sutherland
CITY MANAGER John Hayden
COMMUNITY SERVICES DIRECTOR Ray Ebert
CITY SOLICITOR Daniel Braun
DIRECTOR OF FINANCE Lenny Kuntz
POLICE CHIEF Chris Fangman
FIRE/EMS CHIEF Frank Peluso Jr.
CITY CLERK Tiffany Myers

City of Newport, KY
Request for Proposal
Employee Benefits Brokerage and Consulting Services
The City of Newport is accepting sealed proposals from qualified brokerage to
provide administration of employee benefits for the City.
Sealed proposals will be received by the Office of the City Clerk, Newport
Municipal Building, 998 Monmouth Street, 2nd Floor, Newport, Kentucky 41071,
until Tuesday, May 19, 2026, at 10:00 am at which time proposals will be
received and recorded; contents will not be publicly read. Proposals after this
time will not be considered.
Request for Proposal (RFP) documents and specifications may be obtained from
the Office of the City Clerk at the address listed above or online at
www.newportky.gov.
All proposals must be submitted in a sealed envelope clearly marked:
"RFP - Employee Benefits Brokerage and Consulting Services"
Questions regarding this RFP must be submitted in writing to:
Tiffany Myers, City Clerk
City of Newport
998 Monmouth Street
Newport, Kentucky 41071
Email: tmyers@newportky.gov
The City reserves the right to reject any or all proposals, waive informalities, and
accept the proposal deemed to be in the best interest of the City.

CITY OF NEWPORT, KENTUCKY
REQUEST FOR PROPOSALS (RFP)
Employee Benefits Consulting and
Brokerage Services
1. Introduction
The City of Newport, Kentucky (the "City") is soliciting proposals from qualified firms to
provide employee benefits brokerage and consulting services for the City's health and
benefit programs. The City is seeking a broker that can deliver exceptional service,
meaningful strategic support, strong reporting and analytics, and, most importantly,
practical solutions that improve affordability and long-term value for the City and its
employees.
This Request for Proposals ("RFP") is intended to support the City's evaluation and
selection of a broker and to establish a professional services relationship that aligns with
the City's operational needs, benefits strategy, and financial objectives.
2. Background
The City currently maintains a self-funded employee health benefits program and related
benefits for an employee population of approximately 135 employees, with an estimated
102 enrolled employees excluding dependents. The medical plan renewal month is
January, and stop-loss coverage renews November 1, while benefits and accumulators
renew in January.
Current medical offerings include four plans: True Cost 1, True Cost 2, HRA, and
HSA.
Underlying medical coverages and medical management are the same across
plans; plan design is the principal difference among the options.
The third-party administrator ("TPA") is Custom Design Benefits in conjunction
with Jefferson Health Plan.
The Pharmacy Benefit Manager is Kroger Prescription Plans; the PBM
relationship is managed by the TPA and not by the broker.
The City has a specialty drug carveout.
For True Cost 1 and True Cost 2, the City currently uses no network. For HRA
and HSA, the network is Medical Mutual of Ohio.
Network and medical management relationships are managed by the TPA and
not by the broker.

The City maintains direct contracts with St. Elizabeth, TriHealth, Christ Hospital,
and Cincinnati Children's.
The City offers Premise Health as a direct primary care / onsite clinic
arrangement shared with other local employers.
Dental and vision benefits are managed through Custom Design Benefits, with
dental structured as self-funded.
The Hartford is the current life insurance carrier.
Sun Life Assurance Company of Canada is the current stop-loss carrier.
The City has collective bargaining units; however, the health plan is sponsored
by the employer rather than the unions.
3. Objectives of the RFP
Select a broker with demonstrated ability to improve affordability and help
manage health plan cost trends.
Obtain high-quality service, proactive support, and strong account management
throughout the plan year.
Secure robust reporting and analytics to support strategic, data-driven decisions.
Ensure compensation is transparent and aligned with the City's interests.
Identify a broker with relevant experience supporting self-funded employers and
public-sector entities.
Establish a contractual relationship with clear performance expectations, renewal
options, and termination rights.
4. Scope of Services
The selected broker shall serve as the City's broker and strategic advisor for employee
benefits and shall provide, at a minimum, the following services:
Collaborate with the Human Resources Coordinator on the City's employee
benefits strategic plan.
Provide financial forecasting, budget planning, and renewal planning support.
Benchmark plan costs, vendor arrangements, and plan performance against
similarly situated municipalities and employers.
Assist with administration of all group insurance and employee benefit plans
requested by the City.
Assist with implementation of new programs, carriers, service arrangements, and
changes to existing programs.
Respond to employee benefit inquiries as requested by the City and provide
benefit guidance and support.
Provide consultative support throughout the plan year, not only at renewal.
Coordinate with carriers, vendors, and service providers to resolve issues
affecting benefit programs.
Monitor legal and regulatory developments affecting employee benefits and
advise the City regarding compliance obligations.

Review claims experience, utilization, service performance, and financial results
to ensure the City receives maximum value.
Meet with City staff at least quarterly to review plan performance, emerging
issues, and strategic recommendations.
Monitor high-cost claims, specialty pharmacy trends, and stop-loss
reimbursement activity.
Develop recommendations for cost containment, affordability improvement, and
management of emerging cost drivers.
Recommend and help implement regular interventions to address utilization
patterns, avoidable spend, and high-cost claimant risks.
Review stop-loss policies, monitor reimbursement activity, and provide strategic
recommendations prior to renewal.
Assist with employee communications, educational materials, and benefit-related
notices.
Support and present information during open enrollment meetings and related
employee sessions.
Prepare bid specifications, solicit proposals from appropriate insurance carriers
and markets when requested, evaluate responses, and recommend cost-
effective options.
The City expects the selected broker to work collaboratively with the City's existing TPA,
stop-loss carrier, direct-contracted providers, clinic partners, and other vendors. The City
expects the broker to clearly describe what services it will directly manage versus what
remains under the TPA or another vendor relationship. The broker shall not restrict the
City's access to any insurance carriers or markets.
5. Special Areas of Interest for the City
Affordability is the City's top priority. Respondents should explain, with specificity,
how they identify and implement savings opportunities without compromising
access or quality.
Respondents should explain what differentiates their firm, including quality of
service, consultative approach, municipal experience, reporting capabilities, and
measurable value delivered to clients.
Respondents should describe their approach to stop-loss strategy, including
review of specific and aggregate stop-loss, reimbursement tracking, market
approach, and contract review.
Respondents should explain their experience working in self-funded
environments that include direct contracting, direct primary care or onsite clinic
arrangements, specialty carveouts, and multiple plan designs.
Respondents should identify any conflicts of interest, proprietary arrangements,
commissions, contingent compensation, overrides, or other incentives that may
influence recommendations.
Respondents must disclose all compensation and update such disclosures
throughout the contract term. Failure to disclose may result in termination.

6. Proposal Submission Requirements
Required Proposal Section Minimum Content
Signed by an authorized representative;
confirms understanding of the
Cover Letter
engagement, identifies primary contact,
and commits to the proposal terms.
Overview, ownership, history, office
locations, public-sector practice, and any
Firm Profile
disciplinary or litigation history relevant to
the services.
Experience with municipalities and self-
funded employers of similar
Relevant Experience size/complexity, including direct
contracting and alternative funding
arrangements.
Detailed description of brokerage,
consulting, compliance, renewal,
Service Approach implementation, employee
communication, claims review, and stop-
loss support.
Key personnel, roles, credentials,
Team and Staffing availability, backup support, and expected
account-management structure.
Examples or description of dashboards,
analytics, benchmarking, financial
Reporting and Technology
forecasting, claim review reporting, and
communication tools.
Complete fee structure, including per-
employee-per-month (PEPM) fees, flat
Compensation fees, commissions, stop-loss
compensation, incentives, overrides, and
any indirect compensation.
At least three client references, preferably
References public-sector or similarly situated self-
funded employers.
Any requested deviations from the
Exceptions proposed contract terms or scope of
services.

7. Requested Information and Questions to be Addressed
1. Describe your firm's approach to serving a self-funded employer of the City's size
and complexity.
2. Describe your expected response times, communication protocols, and service
standards.
3. Describe your approach to transitioning services from the current broker,
including timeline and key milestones.
4. Describe your experience serving municipalities, public employers, or similarly
situated clients, including representative examples.
5. Explain how your firm will help the City improve affordability and manage long-
term cost trends.
6. Describe your methodology for financial forecasting, renewal strategy, and cost
modeling.
7. Describe the reporting and analytics you provide, including examples of standard
and custom reports.
8. Explain how you monitor large claims, specialty drug trends, stop-loss
reimbursements, and emerging cost drivers.
9. Describe how you benchmark plan performance and cost against peers and how
often benchmarking is updated.
10.Describe your account-management model, including expected response times,
meeting cadence, and escalation procedures.
11.Explain your role in employee support, communications, open enrollment
meetings, and educational efforts.
12.Describe your compliance support capabilities for federal and state employee
benefits requirements.
13.Disclose all forms of compensation related to the City's account, whether paid
directly or indirectly, including commissions, fees, overrides, and compensation
associated with stop-loss or other lines of coverage.
14.Specify whether compensation is based on a flat fee, per-employee-per-month
fee, per-head fee, percentage of stop-loss premium, commissions, or another
structure, and explain why the model best aligns with the City's interests.
15.Clearly distinguish between direct compensation, indirect compensation, and any
compensation received from stop-loss or other vendors.
16.Identify any services that would be outsourced or provided through affiliated
entities or subcontractors.
17.Provide at least three client references and include organization name, contact
person, title, phone number, email, and brief description of services provided.
The City reserves the right to disqualify or reject proposals based on actual or perceived
conflicts of interest.
8. Evaluation and Selection Process
The City anticipates evaluating proposals using the weighted criteria below. The City
reserves the right to adjust or change the process, request interviews or best and final
offers, and make an award in the best interest of the City.

Evaluation Criterion Weight Considerations
Strategies for lowering
trend, identifying savings,
Approach to Affordability optimizing plan design,
30%
and Cost Management monitoring specialty drugs,
stop-loss oversight, and
managing high-cost claims.
Responsiveness, staffing
model, municipal service
Quality of Service and approach, quarterly review
20%
Account Management process, implementation
support, employee support,
and issue resolution.
Financial forecasting,
benchmarking, renewal
Reporting, Analytics, and modeling, dashboards, data
20%
Strategic Planning interpretation, and
consultative support
throughout the year.
Experience serving public-
sector or similarly situated
Relevant Experience and
15% self-funded employers,
References
stability of the firm, and
client satisfaction.
Transparency and
competitiveness of fees,
Compensation and Fee commissions, overrides,
15%
Structure stop-loss compensation,
and alignment with City
interests.
The City may, at its discretion, conduct interviews, request presentations, request
clarifications, seek best and final offers, or undertake reference checks as part of the
evaluation process.
9. Term of Contract
The City anticipates entering into an initial contract term of three (3) years, with up to two
(2) optional one-year renewals upon mutual agreement and subject to satisfactory
performance, annual appropriations, and any approvals required by law. The City
reserves the right to negotiate a different term if determined to be in the City's best
interest.

10. Termination and Transition Assistance
The City may terminate the contract for convenience upon at least thirty (60)
days' written notice, or such other period as negotiated in the final agreement.
The City may terminate the contract for cause for material breach,
nonperformance, misconduct, or failure to comply with applicable law, subject to
any cure provisions in the final agreement.
Upon notice of non-renewal or termination, the broker shall cooperate in an
orderly transition to the City or a successor provider and shall promptly transfer
records, reports, and other City-related materials in its possession, subject to
applicable law.
The broker shall continue to provide all services during the transition period to
ensure continuity of operations.
11. Rights Reserved by the City
Reject any or all proposals.
Request additional information, clarifications, or supplemental materials from any
respondent.
Waive minor informalities or irregularities in proposals.
Cancel, withdraw, revise, or modify this RFP at any time.
Issue addenda or supplemental instructions as necessary.
Award a contract in whole or in part, or make no award, if such action is in the
best interest of the City.
Negotiate with one or more respondents regarding scope, fees, contract terms,
or other matters.
The City reserves the right to resolve any protest or dispute in a manner
consistent with applicable law and in the best interest of the City.
12. General Conditions
All costs incurred in preparing a proposal shall be borne by the respondent.
The selected respondent will be expected to enter into a written agreement
acceptable to the City.
The selected respondent must comply with all applicable federal, state, and local
laws, regulations, and ordinances.
The selected respondent shall maintain, at a minimum, professional liability
(errors and omissions) insurance, general liability insurance, and any other
coverage required by the City. Proof of coverage shall be provided prior to
contract execution.
The City may require other business qualifications prior to contract execution.
All proposal materials submitted may become public records subject to
applicable Kentucky law, except for any portions lawfully exempt from disclosure.
Respondents should clearly identify any claimed confidential material and the
legal basis for the claim.