TITLE
Recommendation to adopt Specifications No. RFP HR22-037 and award a contract to Health Advocate Solutions, Inc., of Plymouth Meeting, PA, for employee assistance program services, in a total annual amount not to exceed $150,000, beginning May 1, 2023, for a period of one year, with the option to renew for four additional one-year periods, at the discretion of the City Manager; and, authorize City Manager, or designee, to execute all documents necessary to enter into the contract, including any necessary subsequent amendments. (Citywide)
DISCUSSION
City Council approval is requested to enter into a contract with Health Advocate Solutions, Inc. (Health Advocate), for providing employee assistance program services effective May 1, 2023.
Employee Assistance Programs (EAP) are employer-sponsored programs designed to assist employees and their family members with mental health, substance abuse, health/wellness, and work/life issues. Services offered by an EAP have become critically important as a result of the COVID-19 pandemic and the continuous impacts that the pandemic has presented to the workplace (i.e., safety concerns, repopulation, childcare, etc.). Although the foundation of most EAPs is based on an offering of employer-sponsored counseling and substance abuse monitoring programs, such as the Department of Transportation (DOT) Drug and Alcohol testing program, the standards of the City of Long Beach’s (City) EAP resources also include those that address marital/family issues, elder care and childcare resources, financial planning, legal services, identity theft remediation, stress/grief counseling, and home management referrals (i.e., cleaning services, etc.). Such services are considered beneficial resources that promote employee well-being, retention, and productivity in the workplace. The City’s EAP includes organizational management amenities, such as organizational development and leadership seminars, supervisor training, crisis response services, and conflict-prevention workshops. Collectively, offering a wide breadth of EAP services advances long-term organizational performance and overall employee satisfaction.
The Request for Proposals (RFP) was advertised in the Long Beach Press-Telegram on March 17, 2022, and 222 potential proposers specializing in employee assistance program services were notified of the RFP opportunity. Of those proposers, 22 downloaded the RFP via the City’s electronic bid system. The RFP document was made available from the Purchasing Division, located on the sixth floor of City Hall, and the Division’s website at www.longbeach.gov/purchasing. An RFP announcement was also included in the Purchasing Division’s weekly update of Open Bid Opportunities, which is sent to 42 local, minority-owned, and women-owned business groups. There were three proposals received on April 26, 2022. Of those three proposers, one was Minority-owned Business Enterprises (MBEs), one was Women-owned Business Enterprise (WBE), one was certified Small Business Enterprise (SBE), and none were Long Beach vendors (Local). The selection committee determined that Health Advocate was the most qualified firm to provide the services.
The City is committed to providing comprehensive, high-quality, and cost-effective benefit plans and programs that provide optimum value to the City, its employees, and their families. To continue offering a comprehensive, full-service program, a Request for Proposals (RFP) for employee assistance services was developed in accordance with Procurement guidelines. The scope of services in the RFP was based on existing service levels and practices, in addition to industry-standard services.
The selection committee determined that Health Advocate was the most qualified firm, and their solution provided the best overall value for the City. Health Advocate’s comprehensive response demonstrated high-level competencies in the core functions of these services, which are critical to the City’s commitment to delivering a variety of health, wellness, and productivity services geared towards enhancing organizational performance, assisting individual employees and their direct family members in achieving optimal work-life balance.
Local Business Outreach
To align with the City’s outreach goal, Long Beach businesses are encouraged to submit proposals for City contracts. The Purchasing Division also assists businesses with registering on the Long Beach Buys database to download RFP specifications. Through outreach, 15 Long Beach vendors were notified to submit proposals, of which 2 downloaded and none submitted a proposal. The Purchasing Division is committed to continuing to perform outreach to local vendors to expand the bidder pool.
This matter was reviewed by Assistant City Attorney Gary Anderson on April 17, 2023, Purchasing Agent Michelle Wilson on April 17, 2023, and by Budget Management Officer Nader Kaamoush April 22, 2023.
TIMING CONSIDERATIONS
City Council action to adopt Specifications No. RFP HR22-037 and award a contract retroactively to May 1, 2023 is requested on May 9, 2023, to allow continued EAP services without interruption.
FISCAL IMPACT
The total annual amount of the contract will not exceed $150,000 for a period of one year, with the option to renew for four additional one-year periods. Employee Assistance Program will be funded within current resources appropriated in the Employee Benefits Fund Group in the Citywide Activities Department. This recommendation has no staffing impact beyond the normal budgeted scope of duties and is consistent with existing City Council priorities. There is no local job impact associated with this recommendation.
SUGGESTED ACTION
Approve recommendation.
Respectfully Submitted,
JOE AMBROSINI
DIRECTOR HUMAN RESOURCES
APPROVED:
THOMAS B. MODICA
CITY MANAGER