TRANSMITTAL LETTER FOR BOARD MEETING OF SEPTEMBER 5, 2024
COMMITTEE ON PROCUREMENT
Mr. Brian A. Perkovich, Executive Director
Title
Authorization to enter into an agreement for Contract 24-RFP-03 Vision Plan Administrator, with EyeMed Vision Care, LLC, for a three-year period, effective January 1, 2025 to December 31, 2027, Account 101-25000-601250
Body
Dear Sir:
Authorization is requested to enter into an agreement with EyeMed Vision Care, LLC (EyeMed) to administer the District vision plan offered to employees as part of the health insurance benefits. EyeMed will be responsible for all aspects of plan administration and compliance. The vision plan is a separate, stand-alone benefit within the health insurance program. All employees enrolling in one of the District medical plans receive the vision coverage. The agreement will be for the period from January 1, 2025 through December 31, 2027.
On April 3, 2024, request for proposal Contract 24-RFP-03 Vision Plan Administrator was publicly advertised. On May 3, 2024, the District received three (3) responsive proposals from the following vendors: Blue Cross and Blue Shield of Illinois; EyeMed; and Metropolitan Life Insurance Company.
The proposals were evaluated by Deloitte Consulting, LLP and staff of the Human Resources and Procurement and Materials Management Departments. The criteria for these evaluations were outlined in request for proposal Contract 24-RFP-03 and included: organizational stability and experience; ability to administer the plan design; network size and quality; claims administration performance; member service performance; administrative performance; financial stability; compliance with insurance and licensure requirements; and cost.
Following the technical evaluation of proposals, excluding cost, all three proposers were deemed to be finalists and were invited to interviews conducted June 27, 2024. On July 15, 2024, a solicitation was sent to the finalists requesting an unqualified “best and final” offer. The “best and final” offers were returned to the Director of Procurement and Materials Management on July 19, 2024.
Based on the evaluation of proposals, finalist interviews and pricing, the Human Resources Department recommends EyeMed as the selected vendor to provide self-insured vision benefits to District employees. EyeMed provides vision plan services to 22,000 employer groups covering 80 million members including 2.4 million in the Chicagoland area. They have 785 public sector clients covering more than 2.4 million public sector employees and their families. EyeMed offers participants a diverse network of providers with 21,500 independent optometrists, 7,240 retail providers and 6 in-network e-commerce solutions. Retail providers include Target Optical, LensCrafters, Pearle Vision, America’s Best, and others. Participants can also purchase frames, lens, and contacts online from glasses.com, contactsdirect.com, LensCrafters, Target Optical, RayBan, and Oakley with benefits applied at the time of purchase. EyeMed provides members with access to a user-friendly website and mobile app that provides benefits summaries, claims information, wellness resources, and an enhanced provider search tool that allows the participant to book appointments and see any special offers or discounts available at that provider location. It also provides a “Know Before You Go” transparency tool allowing participants to estimate the cost of services upfront based on the District benefits plan. Finally, the EyeMed customer service center received a “Certified Center of Excellence” rating and provides evening and weekend hours to plan participants that need assistance with their vision benefits.
The Diversity Section reviewed the request for proposal to determine if Affirmative Action Ordinance Revised Appendix A and the Appendix V goals will apply. Affirmative Action participation goals are applicable to District proposals where the estimated total expenditure is in excess of $100,000.00. Since the estimated cost of the administrative fees is $33,000.00, Affirmative Action participation goals would not apply.
In view of the foregoing, it is requested that the Director of Procurement and Materials Management be authorized to enter into an agreement with EyeMed to administer the vision plan for a three-year period from January 1, 2025 through December 31, 2027.
Funds for 2025, 2026 and 2027 are contingent on the Board of Commissioners’ approval of the District’s budget for those years.
Recommended, Thaddeus J. Kosowski, Director of Human Resources
Recommended, Darlene A. LoCascio, Director of Procurement and Materials Management
Respectfully Submitted, Marcelino Garcia, Chairman, Committee on Procurement
Disposition of this agenda item will be documented in the official Regular Board Meeting Minutes of the Board of Commissioners for September 5, 2024
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