Burke Center Request for Proposal For a Defined Contribution Retirement Plan Burke Center is a Community Mental Health and Mental Retardation Center authorized under Chapter 534 of the Texas Health and Safety Code. Burke Center employs approximately 600 professionals and support personnel, serving citizens in Houston, Trinity, San Jacinto, Polk, Tyler, Jasper, Newton, Angelina, Nacogdoches, San Augustine, Sabine, and Shelby Counties. Burke Center does not pay into Social Security. Therefore, we contribute 8% of each salaried employee s monthly salary and 7½% of each hourly employee s pay into a defined contribution plan. In addition, employees have the option to participate in a 403(b) and 457 plan. The plan currently covers approximately 1600 participants and has approximately nine (9) million dollars in plan assets. Contract Term. Burke Center anticipates a two-year contract for the period September 1, 2009, through August 31, 2011. This is subject to change based upon the information received in the Proposals. Eligible Proposers. Proposers must be licensed and/or certified to do business in Texas. Instructions for Submission of Proposals Proposals (one copy) must be sent to Burke Center, ATTN: Melanie Taylor, 4101 South Medford Drive, Lufkin, Texas 75901 Fax: (936) 634-8601 no later than 5 p.m. June 12, 2009. Proposals may be sent by mail, fax or hand delivered. Proposals will be time and date stamped upon receipt by Burke Center. Timetable: Activity Date/Time Location RFP Issuance May 12, 2009 http://www.burke-center.org (click on Bid Opportunities) or 4101 South Medford Drive Lufkin, Texas 75901 Proposals Due June 12, 2009 4101 South Medford Drive Lufkin, Texas 75901 Award Date June 23, 2009 Start Date September 1, 2009 Burke Center reserves the right to hold subsequent face-to-face or telephone interviews for clarification and/or negotiation purposes. Interviews will not be solicited for the purpose of completing incomplete
proposals. Please understand that the Center may not request a meeting with you. False statements by any Proposer will disqualify the proposal. The Burke Center reserves the right to reject any or all proposals and reopen, or terminate the RFP process in total. Negotiations may be conducted to further evaluate competitive proposals, to negotiate rates, and to select one or more for award. In this situation, no Proposer will be given information, support, or resources that will give the Proposer a competitive advantage over the other proposers. Any amendments to a proposal must be made by the Proposer in writing and must be received prior to the submission date for proposals. Following contract award, the contents of all proposals may be made available upon written request. Therefore, any information contained in your proposal that is deemed to be proprietary in nature must clearly be so designated in your proposal. Such information may still be subject to disclosure under the Public Information Act depending on opinions from the Attorney General's office. Content of Proposal The proposer must submit a Proposal which contains responses to all items listed below: Organization 1. Provide a brief overview and history of your organization. 2. Describe your organizational commitment and approach to client services. 3. How long have you been providing recordkeeping services for defined contribution plans? 4. How many of your employees work on 401(a) Profit Sharing plans? 5. Describe the training program for your employees. Client Service 1. What is the location of the office that will be responsible for services for our plan? Identify the primary contacts and provide brief biographies for these individuals. 2. List the services that will be provided by your organization. 3. Describe the reporting package you will provide to us. 4. Describe the standard participant level statement. 5. Do you provide a 24-hour interactive Voice Response System? What services are provided? 6. How do you handle peak call periods? 7. Can a participant transfer from the VRS to a customer service representative? 8. How are transactions documented? 9. Does your organization have a Web site? What information is provided? What transaction capability is available to plan participants? 10. Describe your procedures for monitoring client/participant satisfaction. 11. Is any portion of your services subcontracted to another party? 12. What is your experience with Community MHMR Centers? 2
Employee Education 1. Briefly describe your background and experience in providing communication and education programs. 2. Identify the key elements of your standard communication and education program. 3. Will your representatives be available for on-site group education and enrollment meetings? How often can these meetings take place? At what cost? 4. Will your representatives be available for individual meetings? 5. Do you offer financial planning seminars? 6. How would you assist our employees with their asset allocation decisions? Compliance 1. Does your company provide document services to the plan sponsor and Summary Plan Description booklets for plan participants? Are contracts updated to comply with applicable regulations? At what cost? 2. What resources do you have to obtain legal opinions, interpretations of laws, regulations, etc., on issues pertaining to plan document issues? 3. How you notify participants of Minimum Distribution requirements? Describe your procedure. 4. How will assist us with the completion of the Annual Return/Report filing? Do you provide a signatureready filing? Record Keeping/Administration 1. Briefly describe the hardware platform you use in the recordkeeping and administration of defined contribution plans. 2. Will our HR staff have online access to plan and participant records? If yes, please provide details. 3. Does your organization provide training and assistance with using your system? 4. How often is your system updated? 5. What information will we be expected to regularly submit? How will this information be transmitted? 6. Describe the process for remitting contributions. 7. Does your system value participants accounts daily? 8. How are reallocations and transfers among investment funds handled? Are there any restrictions or fees? 9. Are employee and employer contributions tracked separately? 10. Does your contract provide for the acceptance of rollover contributions? 11. What checks and balances do you have in place to ensure transactional integrity? 12. Describe the independent review that is performed on your systems and procedures. 13. Do you provide account distribution services? If yes, please provide details. 14. Describe how your system handles federal tax withholding? Do you prepare and issue tax statements on distributions? 15. Please provide examples of participant statements. Loans 1. Describe your loan processing procedure. 2. Describe your flexibility in loan repayment processing. 3. Describe any other features and/or limitations of the loan system not detailed above. 3
Investment Services 1. How many investment options do you offer? Provide a listing. 2. Who manages the funds/how many fund managers are offered? 3. What types of funds are available (by class)? Provide their objectives. 4. Do you offer lifestyle or asset allocation funds? 5. Provide current and historical performance data. 6. How is investment fund information communicated to plan participants? 7. Given that our organization does not pay into Social Security and that we are a 501(c)(3) organization, what plan design do you recommend for us? Can you administer a defined contribution plan, a 457 and a 403(b) plan simultaneously with the same investment offered in all plans? 8. Do you give investment advice? 9. Do you provide retirement planning counselors for exiting employee? Fees 1. Provide an expense schedule. Please identify any fees for the following: a. administrative fees b. asset-based fees c. employee communication and educational material d. on-site meetings e. document services (contracts, amendments and SPDs) f. transaction based fees g. front-end loads h. back-end loads (surrender charges)/duration i. participant statements j. voice response system k. on-going services l. commissions m. additional services not listed above. The proposer must submit a signed copy of the Assurance Document as indicated on the next page: 4
Assurances Document Proposer assures the following: 1. That Proposer has the capacity and experience to provide services as indicated in the RFP. 2. The Proposer does not discriminate in its services or employment practices on the basis of race, color, religion, sex, national origin, disability, veteran status or age. 3. All cost and pricing information as presented to Burke Center is established. 4. Proposer accepts the terms, conditions, criteria and requirement set forth in the RFP. 5. Proposer accepts the terms and conditions of the Burke Center s Standards of Conduct as follows: a. Prohibited Acts of Proposer 1) Proposer and its officers and employees have not attempted to induce any business entity to submit or not to submit a response. 2) Proposer and its officers and employees have arrived at its response independently and without consultation, communication or agreement for the purposes of restricting competition. 3) Proposer and its officers and employees do not have a relationship with any person, at the time of submitting the response or during the contract term that may interfere with fair competition. 4) Proposer and its officers and employees have not participated in the development of specific criteria for award of the contract, nor participated in the selection of the response to be awarded the contract. b. Conflict of Interest: Conflicts of Interest are strictly prohibited. 1) A conflict of interest exists when an employee or officer, a partner of the employee or officer, or a person related within the second degree of consanguinity or affinity to the employee or officer, Burke Center has or intends to have: (a) (b) (c) (c) employment with a Proposer; paid consultation with a Proposer; membership on a Proposer's board of directors; ownership of 10% or more of the voting stock of shares of a Proposer; 5
(d) (e) ownership of 10% or more or $5,000 or more of the fair market value of a Proposer; or income from a Proposer in excess of 10% of the employee's, officer's, or related person's gross income for the previous year. 6. Burke Center has the right to complete background checks and verify information. 7. The individual signing this document and the contract is authorized to legally bind the Proposer. 8. The Proposer is not currently held in abeyance or barred from the award of a federal or state contract nor is Proposer delinquent in a tax owed to the state of Texas. 9. The address submitted by the Proposer to be used for all notices sent by the Burke Center is current and correct. Signature Authority for the Proposer Date Written name of above signature Title of Organization 6