HomeMy WebLinkAboutLegislationCity of Miami
Legislation
Resolution
City Hall
3500 Pan American
Drive
Miami, FL 33133
www.miamigov.com
File Number: 14-00362 Final Action Date:
A RESOLUTION OF THE MIAMI CITY COMMISSION, WITH ATTACHMENT(S), BYA
FOUR -FIFTHS (4/STHS) AFFIRMATIVE VOTE, AFTER AN ADVERTISED PUBLIC
HEARING, RATIFYING, APPROVING AND CONFIRMING THE CITY MANAGER'S
RECOMMENDATIONS AND FINDINGS THAT COMPETITIVE NEGOTIATION
METHODS AND PROCEDURES ARE NOT PRACTICABLE OR ADVANTAGEOUS
PURSUANT TO SECTIONS 18-85 AND 18-86 OF THE CODE OF THE CITY OF
MIAMI, FLORIDA, AS AMENDED; WAIVING THE REQUIREMENTS FOR
COMPETITIVE SEALED BIDDING AS NOT BEING PRACTICABLE OR
ADVANTAGEOUS TO THE CITY OF MIAMI ("CITY") FOR THE APPROVAL OF ALL
OUTSTANDING INVOICES FOR SERVICES RENDERED, AFTER THE FACT, BY
AON CONSULTING INC. A/K/AAON HEWITT CONSULTING ("AON") AND FOR
THE EXECUTION OF A PROFESSIONAL SERVICES AGREEMENT WITH AON ON
THE TERMS PROVIDED IN THE ATTACHMENT; AUTHORIZING THE CITY'S
FINANCIAL OFFICER OR DESIGNEE TO ISSUE PAYMENT TO AON IN THE
AMOUNT OF $116,999.00, FOR HEALTH BENEFIT CONSULTING AND ACTUARIAL
SERVICES; FURTHER AUTHORIZING THE CITY MANAGER TO EXECUTE A
PROFESSIONAL SERVICES AGREEMENT, IN SUBSTANTIALLY THE ATTACHED
FORM, WITH AON FOR THE PROVISION OF HEALTH BENEFIT'S CONSULTING
SERVICES AND ACTUARIAL SERVICES FOR THE DEPARTMENT OF RISK
MANAGEMENT, FORA CONTRACT PERIOD OF ONE (1) YEAR, WITH THE
OPTION TO RENEW FOR ONE (1) ADDITIONAL ONE (1) YEAR PERIOD, ATA
FIRST YEAR CONTRACT AMOUNT NOT TO EXCEED $150,000.00, WITH A COST
INCREASE CAP NOT TO EXCEED THREE PERCENT (3%) FOR THE SECOND
YEAR; ALLOCATING FUNDS FROM THE VARIOUS SOURCES OF FUNDS OF THE
USER DEPARTMENT SUBJECT TO THE AVAILABILITY AND BUDGETARY
APPROVAL AT THE TIME OF NEED.
WHEREAS, health benefits consulting services and actuarial services are needed to provide
professional analysis of the City of Miami's ("City's") health benefit plans, on a monthly and quarterly
basis; and
WHEREAS, the City is self -insured for health insurance benefit's and needs to constantly assess
the performance of the different plans and plan administrator; and
WHEREAS, the largest aspect of the City's Risk Management Budget is in this area of group
health benefits and related Third Party Administrator expenditures, and the constant monitoring of
expenditures and services is necessary to make sure that Third Party Administrator is complying with
the different plan designs; and
WHEREAS, pursuant to Request for Qualifications No. 260247 and Resolution No. 11-0108,
adopted March 10, 2011, the City sought and competitively solicited prices and services from qualified
and experienced firms, to provide Health Benefit Consulting Services and Actuarial Services for a
contract period of one (1) year with the option to renew for an additional one (1) year period; and
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File Number: 14-00362
WHEREAS, the lowest responsive and responsible respondent was Aon Consulting Inc. a/k/a Aon
Hewitt Consulting ("Aon") who entered into a Professional Services Agreement ("Agreement") with the
City for Health Benefits Consulting and Actuarial Services on or about June 9, 2011 with an original
term of one (1) year with four (4) options to extend of one (1) year each; and
WHEREAS, through inadvertence, mistake or clerical error the Aon Agreement with the City lapsed
or expired on or about June 8, 2013, yet Aon continued, at the City's request, to perform its needed
professional services for the period of June 2013 through April 2014, for which the City is obliged to
pay them at the same rates and charged as were set forth in the Agreement the sum of $105,013.00;
and
WHEREAS, the City now has the proposed Agreement with Aon in order to contractually formalize
the terms of the needed services and to have these professional services furnished by virtue of an
Agreement as is the standard practice of the City; and
WHEREAS, Aon had provided the lowest responsive and responsible response to the Scope of
Work, as specified in "Attachment B", attached and incorporated and has performed all of its
professional services in a highly competent and most satisfactory manner through its history with the
City and it is essential for the City's best interests and the fiscal soundness and financial monitoring of
its group; and
WHEREAS, based on the recommendations of the Risk Management Department as the using
agency, the City Manager has made a written finding that it is in the City's best interest to request and
receive a waiver from competitive procurement requirements set forth in Sections 18-85 and 18-86 of
the City's Procurement Ordinance, subject to the concurrence and ratification by an affirmative
fourth -fifths (4/5ths) vote of the Miami City Commission, for the payment of $116,999.00 in payment of
outstanding invoices for services performed and rendered by Aon for Health Benefit Consulting and
Actuarial Services for the time period of June 2013 through April 2014; and
WHEREAS, Aon performed these services after its prior Agreement had expired; and
WHEREAS, the foregoing invoices were not disputed by the City who did receive the benefits of
the professional services which were rendered to the City during this time period; and
WHEREAS, the City Commission authorizes, by an affirmative four -fifths (4/5ths) vote, as a bid
waiver pursuant to Sections 18-85 and 18-86 of the City's Procurement Ordinance, the City Manager
to negotiate at the same or lower compensation set forth in the attached Professional Services
Agreement ("PSA") and to execute the PSA, in substantially the attached form, with Aon for the
provision of Health Benefit Consulting Services and Actuarial Services as detailed in "Attachment B",
attached and incorporated, for a contract period of one (1) year, with the option to renew for an
additional one (1) year period, at a first year contract amount not to exceed $150,000.00, with a cost
increase cap not to exceed three percent (3%), or $4,500.00 for the second year in the event the City
Manager decides to exercise the additional one (1) year renewal option;
NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI,
FLORIDA:
Section 1. The recitals and findings contained in the Preamble of the Resolution are adopted by
reference and incorporated as fully set forth in this Section.
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Section 2. By a four -fifths (4/5ths) affirmative vote, after an advertised public hearing, the City
Manager's recommendation and written findings pursuant to Sections 18-85 and 18-86 of the Code of
the City of Miami, Florida, as amended, are ratified, approved and confirmed, and the requirements for
competitive sealed bidding methods as not being practicable or advantageous to the City are waived,
for the approval of all outstanding invoices for services rendered, after the fact, by Aon as well as for
the execution of a PSA with Aon, on the terms provided in the attachment.
Section 3. The City's Chief Financial Officer or designee is authorized to issue payment to Aon
Consulting, Inc, in the amount of $116,999.00, for Health Benefit Consulting and Actuarial Services.
Section 4. The City Manager is authorized {1} to execute an PSA, in substantially the attached
form, with Aon for the provision of Health Benefit Consulting Services and Actuarial Services, for the
Department of Risk Management —for -a -contract perriod-of-one-(1-)-year, with -the -option -to- renew for
one (1) additional one (1) year period, at a first year contract amount not exceed $150,000.00, with a
cost increase cap not to exceed three per cent (3%) for the second year of the contract, with funds
allocated from the various sources of funds of the use_ r department subject to the availability of funds
and budgetary approval at the time of need.
Section 5. This Resolution shall become effective immediately upon its adoption and signature of
the Mayor.{2}
AP ROVED AS TO FORM AND CORRECTNESS:
ti
VICTORIA ENDEZ
CITY ATTORNEY
Footnotes:
{1} The herein authorization is further subject to compliance with all requirements that may be
imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter
and Code provisions.
{2} If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days
from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective
immediately upon override of the veto by the City Commission
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