HomeMy WebLinkAbout7 Contract for Insurance Brokerage Servicesenda Item #
CONSENT
To: Board of Directors
From: Kim Harris
Date: March 07, 2018
Subject: Consideration of Contract with InterWest Insurance Services, LLC.,
for Insurance Brokerage Services
1. WHY THIS MATTER IS BEFORE THE BOARD
Board approval is required for procurements in excess of $15,000.
2. HISTORY
Prior to 2015, the District's general liability, property and workers' compensation
Insurance brokerage services were served with the same broker (Marsh) for 15 years.
In June 2015, the Board awarded the brokerage services contract to InterWest
Insurance Services, and the District renewed their contract for two additional years.
3. NEW INFORMATION
It is fiscally prudent to periodically evaluate proposals from other brokers to ensure
that the District receives quality service at an efficient cost.
A Request for Proposal (RFP) for insurance brokerage services was issued and
advertised in January 2018 on the District website, in the Sierra Sun and emailed to
nine known interested brokers.
Two insurance brokerage firms, InterWest Insurance Services LLC and Tyler
Insurance Agency, submitted proposals. Both were responsive
A committee was formed to evaluate the proposals based upon the following criteria.
• Qualifications of the firm 40%
• Qualifications of the key individuals 20%
• Experience in the electric and water utility industry 20%
• Services provided 10%
• Fee 10%
The two brokerage firms were determined to be qualified to serve the District. After
reviewing the two proposals, the internal committee found that the District's current
'Broker of Record," InterWest Insurance Services LLC's proposal would be most
advantageous for the 2018/2019 policy year.
The scoring was as follows (100 maximum points).
InterWest Insurance Services, LLC 94
Tyler Insurance Agency 85
4. FISCAL IMPACT
InterWest's proposed brokerage fee for the next policy period is $44,000, and was
included in the FY18 and FY19 Budget.
5. RECOMMENDATION
Authorize the General Manager to execute cone -year contract for insurance
brokerage services in an amount not to exceed $44,000 annually with InterWest
Insurance Services, LLC, renewable for two additional one-year periods, in a form
acceptable to the District's Counsel.
Kim Harris
Human Resource / Risk Manager
Michael D. Holley
General Manager