Flexible Spending Account Services

The Vendor is required to provide end-to-end administration for Health Care Flexible Spending Accounts (HC FSA), Dependent Care Flexible Spending Accounts (DC FSA) and Commuter Benefits (Transit and Parking programs).
- Provide end-to-end administration for:
• Health Care Flexible Spending Accounts (HC FSA)
• Dependent Care Flexible Spending Accounts (DC FSA)
• Commuter Benefits (Transit and Parking programs)
- Compliant, efficient, and user-friendly services that:
• Ensure regulatory compliance (IRS, ERISA, COBRA, HIPAA where applicable)
• Optimize participant experience and engagement
• Support employer reporting and financial controls
• Reduce administrative burden for the City the following response locations in order to be compliant with required response times
- Plan Setup & Implementation
• Conduct discovery sessions to define plan design, eligibility, and rules.
• Configure:
• Plan limits, eligibility criteria, grace periods or carryover options
• Claims substantiation requirements
• Commuter ordering and funding methods
• Develop implementation timeline and project plan
• Provide plan documentation support:
• Summary Plan Descriptions (SPDs), if requested
• Plan documents and amendments
• Employee communications
- Enrollment Administration
• Manage annual open enrollment and new hire enrollments
• Integrate with City’s benefit administration (Wex) and payroll systems (UKG) including file feeds and eligibility updates
• Validate and process:
• Employee elections
• Life event changes (mid-year qualifying events)
• Provide enrollment confirmations to participants
- Account Administration
• Health Care FSA
• Claims adjudication and substantiation
• Debit card issuance and management
• Auto-substantiation rules (e.g., IIAS)
• Carryover and/or grace period administration
- Commuter Benefits
• Monthly election processing and updates
• Transit pass/order fulfillment or reimbursement
• Parking account funding and claims
- Financial Management & Reporting
• Manage participant account balances and employer funding
• Provide detailed financial reporting:
• Contributions vs. claims
• Liability reporting
• Forfeiture tracking
• Reconcile payroll deductions and funding files
• Support employer accounting processes.