Flexible Spending Account Administrator Services

The vendor is required to provide a third party administrator (TPA) for administration and claims services for its flexible spending account (FSA), dependent care assistance (DCA), and commuter FSA benefits.
- The selected TPA must be able to maintain separate plan data for the city and the library, invoice each entity separately, and each entity will be responsible for paying the TPA directly.
- All benefit eligible employees of the city and library. 
- The city currently has 3,944 benefit eligible employees. 
- The library has 260 benefit eligible employees.
- TPA to provide the following FSA program administration services:
•    Provide consistent and high-quality administrative services that leverage technology.
•    Provide aminimumoftwo debit cards for each account holder for reimbursement, at no additional cost for the participant.
•    Ensure that the plan design, plan documents, implementation, communication, and reports are in compliance with all current applicable laws and regulations.
o    Provide necessary amendments and modifications to documents and summary plan descriptions to ensure plan compliance.
•    Provide a dedicated client support contact for city and library human resources staff.
•    Provide support and guidance to city and library human resources staff related to questions and issues regarding administration of the FSA program.
•    Keep city and library human resources staff informed of new compliance and/or legislative issues or topics of interest related to section 125.
•    Provide participants with access to customer service representatives who will answer questions concerning how the plans work and any questions concerning their account.
•    Provide a toll-free customer service number for participants.
•    Provide android and apple compatible mobile applications for participants to access their account information and submit claims for reimbursement.
•    Provide participants with the option of receiving reimbursements viadirect deposit or direct mailed check.
•    Provide an online employer portal accessible by city and library human resources staff to process participant enrollment and termination.
•    Host up to two annual participant informational virtual sessions for both the city and library.
•    Accept new plan year enrollment from the annual open enrollment period via a Microsoft excel file.
•    Accept payroll deduction information via a formatted electronic file transmitted on a bi-weekly basis or accept from employer via upload to an online portal.
o    Participant contributions are payroll deducted twice a month, over 24 pay periods.
o    Contributions are expected to be posted to participant accounts by the applicable payroll date.
•    Accept participant account funding from the employer via electronic funds transfer or automated clearing house.
•    Provide monthly account reconciliation and reports for deposits and disbursements from each participant’s account.
•    Provide participant communication that includes, but is not limited to:
o    Clear instructions for the submission of reimbursement requests.
o    Clear explanations of reimbursements and denials of reimbursements.
o    Clear explanations of the reimbursement process, including time frames for submission and target time frames for the issuance of reimbursements.
o    Quarterly statements of participant account activity and balances.
•    Provide and administer a website and online administration functionality for participants that shall include at a minimum:
o    Encryption to guarantee protection of participant privacy and confidential data (phi, personal data,
o    And banking information as applicable).
o    24/7 access to account balance and claim status.
o    24/7 access to plan benefits and eligibility information.
o    Ability to submit reimbursement requests online.
•    Prepare monthly deposit and claims reports for the city for each participant.
•    Respond to participant inquiries.
•    Report forfeitures under the plan to reduce administrative expenses.
•    Provide marketing materials in an electronic format.
•    Perform all periodic government reporting, filing, and amendments as required by law.
•    Perform all discrimination tests, reporting, filing, and amendments as required by law.
•    Comply with all requirements of the health insurance portability and accountability act (HIPAA).
•    Provide non-discrimination testing of the city’s 125 cafeteria plan including:
o    Identify information required from the city in order to successfully conduct and complete such testing.
o    Conduct such testing in accordance with all applicable requirements, including any amendments or additional guidance issued during the contract term.
o    Recommend options and steps to modify the cafeteria plan design, participant elections, or other variables to keep the city’s cafeteria plan in compliance with all applicable non-discrimination requirements.
•    Obtain legal assistance as necessary.

- Contract Period/Term: 5 to 7 years
- Questions/Inquires Deadline: August 08, 2025