TO: Mayor and City Council
FROM: Kathy Franson, Director of Human Resources
SUBJECT:
title
Award of Contract for Comprehensive Benefit Consulting and Broker Services to Marsh McLennan Agency, in the Amount of $83,600
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BACKGROUND:
Between February 21, 2025 and March 18, 2025, the City of Joliet requested proposals seeking a broker/ consultant for group health insurance, group life (including AD&D and long-term disability), dental, and other plans as they are added or developed.
This item is only for the selection of the Broker to assist with renewals and ongoing support of group insurance plans and does not impact the level of benefits currently offered.
CONCLUSION:
A request for proposal opening was held on March 18, 2025. The responses to RFP 2895-0425 were as follows:
|
Vendor: |
Proposed Amount: |
|
Marsh McLennan Agency |
$85,000.00 (yearly) |
|
Gallagher Benefits Services |
$83,600.00 (yearly) |
|
Mercer Health & Benefits LLC |
$105,000.00 (yearly) |
|
Gaylord Insurance Agency |
$156,000.00 (yearly) |
Each vendor was interviewed by a committee of staff from the Finance and Human Resources Departments. The committee also reviewed the proposal materials submitted by each vendor and considered the vendors’ proposed services for the City.
Final negotiations with the Marsh McLennan Agency have resulted in a proposed three-year contract, with a two-year optional renewal, which the committee recommends. The proposed amounts are as follows:
2026 Renewal: $83,600
2027 Renewal: $83,600
2028 Renewal: $83,600
Optional:
2029 Renewal: $90,000
2030 Renewal: $90,000
Sufficient funds exist within the Employee and Retiree Benefits Fund under Object 502100
RECOMMENDATION:
recommendation
Based on the above, it is recommended that the Mayor and City Council select Marsh McLennan Agency as our Broker of Record for Comprehensive Benefit Consulting and Broker Services for three years in the amount of $83,600 per year.
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