HomeMy WebLinkAboutMINUTES - 03192013 - D.1RECOMMENDATION(S):
DECLARE the County's intent to select ICMA-RC as the County's Deferred Compensation Plan provider (in lieu of
The Hartford) and DIRECT the Human Resources Director to negotiate an agreement with ICMA - RC for plan
investment and administrative services for the Internal Revenue Code Section 457 Deferred Compensation Plan, for
the period of July 1, 2013 through June 30, 2016, with the option to renew for two additional years.
FISCAL IMPACT:
This program is funded by fees charged to employee participants. There is no fiscal impact beyond over-head
administrative support costs.
BACKGROUND:
On September 4, 2012, Mass Mutual Life Insurance Company announced their intent to purchase The Hartford
Retirement Plans Group (RPG or The Hartford) of The Hartford Life Insurance Company.
On October 1, 2012, Contra Costa County engaged Buck Consultants to work with the Deferred Compensation
Advisory Committe (DCAC) to develop, distribute and evaluate a limited scope Request for Proposal (RFP) for
457(b) Plan Administration Services.
On October 9, 2012, the DCAC requested that The Hartford prepare an extension to the current contract with The
Hartford.
On December 5, 2012, the DCAC met with The Hartford, reviewed and rejected the extension offer, and voted to
APPROVE OTHER
RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE
Action of Board On: 03/19/2013 APPROVED AS RECOMMENDED OTHER
Clerks Notes:
VOTE OF SUPERVISORS
Contact: Ted Cwiek, (925)
335-1766
I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board
of Supervisors on the date shown.
ATTESTED: March 19, 2013
David Twa, County Administrator and Clerk of the Board of Supervisors
By: , Deputy
cc:
D.1
To:Board of Supervisors
From:David J. Twa, County Administrator
Date:March 19, 2013
Contra
Costa
County
Subject:Intent to Select ICMA-RC as the County's Deferred Compensation Plan Provider
proceed with the RFP process.
On January 1, 2013, Mass Mutual Life Insurance Company completed the transaction to purchase RPG.
Contra Costa County has contracted with RPG to provide administrative services for the Deferred Compensation Plan
since 1985.
The current contract between Contra Costa County and RPG expires on June 30, 2013.
The DCAC is comprised of three unrepresented Management Employees and three represented employees. The
current committee includes:
BACKGROUND: (CONT'D)
Lisa Driscoll, County Finance Director/County Administrator’s Office
Bob Campbell, Auditor Controller
Marilyn Leedom, CCCERA Executive Officer
Brian Hast, Deputy District Attorney/Deputy District Attorneys’ Association
Ward Smedt, Patient Financial Services Specialist/AFSCME Local 2700
Robert Tevrucht, Systems Analyst/ AFSCME Local 512
Proposal Process:
The scope of the 2013 RFP was limited to a select group of vendors based on the determination of the DCAC and
Buck Consultants as to the vendors who were best suited to handle the Contra Costa County Deferred Compensation
Plan Administration.
On December 21, 2012, the RFP was distributed and vendors were allowed to submit questions regarding the
RFP to the DCAC through January 4, 2013.
On January 11, 2013, a consolidated response to all of the vendors questions were sent to the vendors.
On January 22, 2013, RFP responses were due.
The proposals were initially reviewed by Buck Consultants, who then presented their findings to the DCAC on
February 8, 2013. The DCAC and Buck Consultants requested additional information from various vendors, to be
received by Buck Consultants on or before February 14, 2013.
On February 15, 2013, the DCAC selected three finalists. Buck Consultants advised the three finalists of their status,
requested additional information based on the DCAC questions and scheduled interviews for February 28, 2013.
Interviews:
On February 28, 2013, the County’s interview panel included four members of the DCAC and the Buck Consultant.
The three companies interviewed were ICMA-RC, Prudential and the incumbent, Mass Mutual.
Each panel member was asked to score each company based on:
Investment Options
Participant Communication & Education
Record keeping and Administrative Services
Organizational Capabilities and Stability
Fees
Ability to transition services effective July 1, 2013
Additionally, each panel member was to take into consideration the information gleaned during the interview and all
the information provided prior to the interview.
DCAC panelists voted unanimously to recommend that ICMA-RC be granted the contract for Administrative
Services.
CONSEQUENCE OF NEGATIVE ACTION:
As of June 30, 2013, the Contra Costa County Deferred Compesation Plan would not have a Plan Administrator.
CHILDREN'S IMPACT STATEMENT:
None.
CLERK'S ADDENDUM
Robert TeVrucht, AFSCME Local 512, Deferred Compensation Advisory Committee; Ward Smedt, AFSCME
Robert TeVrucht, AFSCME Local 512, Deferred Compensation Advisory Committee; Ward Smedt, AFSCME
Local 2700 Deferred Compensation Advisory Committee; Merlin Edwards, MassMutual; Robert Gleason,
MassMutual; William Abramowicz, MassMutual; Rollie Katz, Public Employees' Union Local One; Brady Calma,
Local 21.
The Board requested the following information be available on April 9, 2013, which is also the Board of
Supervisors' meeting date this item has been re-listed to: 1) provide information about the finalists so the Board
can understand the reasoning process; 2) if relevant changes are made, the Board needs to understand those
changes; and 3) what are the merits, the pros and cons, of the recommendation?