REQUEST FOR PROPOSAL. Advisory Services for the Morongo Band of Mission Indians 401(k) Retirement Plan. September 26, 2016

Transcription

1 REQUEST FOR PROPOSAL Advisory Services for the Morongo Band of Mission Indians 401(k) Retirement Plan September 26, 2016

2 1. SUMMARY The Morongo Band of Mission Indians ( Tribe ) is releasing this Request for Proposal ( RFP ) to solicit firms interested in performing Advisory Services to the Tribe s 401(k) Committee ( Committee ). This RFP is soliciting services for a Plan consultant to provide a holistic approach to the design and implementation of the Tribe s 401k Plan. This holistic design will include the Plan(s) prototype documents, investment policy, investment options, participant education, communications with participants, Tribal funding, eligibility requirements, enrollment practices, loan processing and implementation and possibly record keeper function which are to be presented as a whole. The purpose of this RFP is to provide the Committee with alternatives for comparison in all facet of the 401k platform. A series of files containing Plan, financial and demographic data are attached to the RFP. The Plan portfolio is currently at approximately $25 million dollars. There are approximately 1,200 participants. 2. Description of the Tribe The Tribe is located on an Indian Reservation in Riverside County California near the town of Banning, California. The Reservation is approximately 40,000 acres in size. The Tribe s government and commercial enterprises include the following: Tribal Government Morongo Casino Resort and Spa Morongo Travel Center Canyon Lanes Hadley s Tukwet Canyon Golf The Tribe currently employees approximately 2,800 employees. 3. SCHEDULE OF EVENTS 1. Release of RFP September 26, Due date for proposals October 7, Selection by Committee October 14, Presentation to Tribal Council for approval of Selection TBD, CONFLICTS OF INTEREST All Proposers responding to this RFP must avoid organizational conflicts of interest which would restrict full and open competition in this procurement. An organizational conflict of interest means that due to other activities, relationships, or contracts, a Proposer is unable, or potentially unable, to render

3 impartial assistance or advice to the Committee, Tribe, or Member of the Committee; a Proposer s objectivity in performing the work is or might be otherwise impaired; or a Proposer has an unfair competitive advantage. 5. SELECTION CRITERIA All proposals will be evaluated and scored based upon the Vendor s detailed responses to the QUESTIONS below. The Committee may request further information from the respondents before determining the finalists in the selection process. Along with overall pricing assessment, Vendor selection and scoring shall also take into consideration the Committee s determination of the Vendor s qualifications, reputation, financial condition, Vendor s client references, detailed responses to the RFP and Vendor s fit with the Committee. Finalists will be expected to make a presentation to the Committee. Finalist may also be asked to provide additional information to assist the Committee in making its final decision. 6. VENDOR INSTRUCTIONS AND ADDITIONAL INFORMATION The Committee will provide any additional information requested. Any information shared with one Vendor will be made available to all Vendors submitting a proposal. The Committee reserves the right to modify the scope of the RFP and/or select specific procedures for separate pricing or grouping. The Committee may, at its discretion and without explanation to the prospective Vendors at any such time, choose to discontinue the RFP without obligation or liability to such prospective Vendors. The Committee also reserves the right to the following: Accept a proposal other than the lowest prices Award a contract on the basis of initial offers received, without discussions or requests for best and final offers Award more than one contact Disqualify any and all Proposals that are not submitted in accordance with the required format described in this RFP Reject any and all Proposals submitted Request additional information Issue Addenda to this RFP Award all or part of the work contemplated in this RFP Remedy errors in the RFP Cancel the entire RFP Issue a subsequent RFP Negotiate with any, all or none of the Proposers. If the Tribe is unable to negotiate a final contract Terms and Conditions that are acceptable to the Tribe, the Tribe reserves the right to award the contract to another Proposer(s) Inquires Questions regarding this RFP are to be directed to Matthew Croxton at mcroxton@moronog-nsn.gov

4 Company contact information All proposals must include the name of the authorized company representative(s) and their pertinent contact information including company website and address. all proposals All proposals will be ed to Matthew Croxton at CONFIDENTIALITY THE VENDORS ARE NOT TO CONTACT THE CURRENT INDEPENDENT INVESTMENT CONSULTANT, RECORD KEEPER OR CUSTODIAN. ANY ATTEMPT BY AN AGENT OR REPRESENTATIVE OF THE VENDOR TO INITIATE CONTACT WITH ANY MEMBER OF THE PROPOSAL EVALUATION TEAM, MEMBERS OF THE TRIBAL COUNCIL, OR THE TRIBE S STAFF, OTHER THAN THE LISTED POINT OF CONTACT, DURING THE PERIOD THE RF P IS OPEN FOR SUBMISSION OF PROPOSALS MAY DISQUALIFY THE VENDOR FROM FURTHER CONSIDER ATION. THE COMMITTEE REQUESTS THAT FIRMS SUBMITTING PROPOSALS VIA AWAIT RESPONSE FROM THE COMMITTEE AND CONTACT THE COMMITTEE OR TRIBE S STAFF TO CHECK ON THE STATUS OF THE PROPOSAL EVALUATIONS. PROPOSALS ARE TO BE RECEIVED BY 5:00 P.M., PACIFIC DAYLIGHT TIME, October 7, PROPOSALS RECEIVED AFTER THAT TIME WILL NOT BE CONSIDERED. Every Proposal submitted is considered a firm offer that must be valid for a minimum of ninety (90) calendar days.

5 Firm & Philosophy 1. Please provide a brief summary of your firm s history, number of employees and years in existence. 2. Please provide details of your company s financial status and stability. 3. Please describe your firm s business structure, principal owners and affiliates. 4. How many defined contribution plans do you service? What is the total number of participants in all defined contribution plans for which you provide service? 5. Describe any impending organizational changes in your firm that could impact the delivery of services. 6. Who would be our primary contact/service person(s) on this account? What is their tenure with your firm? Please provide background and credentials. 7. Please provide your approach to succession planning in the event that a key member of the advisory team would no longer be available. 8. Please provide a confidential list of references of current clients that are similar with respect to services provided and complexity. Please include Native American casinos in the list, if any. 9. Is your firm registered with the Securities Exchange Commission as an investment advisor under the Investment Advisor s Act of 1940? Please provide the date of your initial registration and a copy of your Form ADV. 10. The Tribe is searching for a consultant who can provide a holistic approach to the design and implementation of the Tribe s 401k Plan. This holistic design will include the Plan(s) prototype documents, investment policy, investment options, participant education, communications with participants, Tribal funding, loan processing, eligibility requirements, enrollment practices, record keeper and investment custodian which are to be presented as a whole. Can your firm deliver your services in this manner? Please give an outline of a plan for the Committee to consider. 11. What kind of assistance can we expect form your organization in regards to loan processing, loan application and how would you keep our staff informed of the process?

6 12. How many plans in Indian Country do you serve? Have you set up or maintained for Tribes a Native American government plan for government employees and an ERISA compliant plan for employees of commercial enterprises? Discuss the pros and cons of this model versus using an ERISA compliant plan? 13. Describe your firm s understanding of Tribal government, Tribal commercial operations and Tribal sovereignty as it applies to this matter of a Native American government plan. 14. Discuss your experience with a Casino s tip rate determination agreement. How would you recommend addressing any loan defaults? 15. Morongo would like to outsource, if possible, the distribution to the employees of required notices, memos, SPDs etc. Could you please discuss your ability to provide those services? Investment Consulting & Advice 16. Please describe the precise services your firm is prepared to offer and your firm s history and length of time providing such services. Especially, highlight the areas of: a. Your support on fund selection and investment due diligence and ongoing performance monitoring, not limited to, but including: i. Your process in evaluating and communicating the overall fee structure of the plan down to specific fees of individual investments and your way of benchmarking these fees. ii. Your process of performance evaluation of specific investments and your way of benchmarking. b. Your support in communication and education efforts for the plan participants. c. Your support of the plan sponsor in controlling the process, meeting fiduciary responsibility and staying on top of regulatory developments; including frequency and extent of interaction with the plan sponsor. Please also include a sample investment policy and an outline of minutes of meetings. d. Your support in the interaction with the plan administrator. 17. Please provide a pricing schedule for the services mentioned above. 18. Please propose a fund lineup for our plan. Include asset category, historical and current rates of return, internal expense ratios, other expenses (all inclusive) and any requirements of restrictions of fund usage. 19. How would you assist our organization in managing vendor relationships? 20. What resources would you employ in benchmarking our plan against those of our peers? 21. Please indicate the number of corporate retirement plans for which you have been designated

7 as an independent investment advisor. Please also include the total dollar value of assets under management for these plans. 22. Please describe what makes your firm uniquely qualified to work on our account. How would you manage advising a unique organization that blends government and hospitality employees under one 401K program? What challenges exist with this, and how would you overcome them? 23. Please describe how your firm is taking a leadership role within the industry. Employee Education & Advice 24. Please describe methods you employ to disseminate information about current trends and legislation to the committee 25. Describe your staff education and individual investment advice program including how you will assist us in enrolling new participants and how you will help engage staff who do not currently participate. 26. Will your representative be available on site for enrollment meetings and other meetings at employer location? How often can these meetings be provided? 27. Please describe your approach to supporting our plan throughout the plan year. 28. If your response above includes providing participant education services, please describe your approach to providing these services and associated costs. Fiduciary Support 29. What fiduciary responsibility does your organization assume? 30. What is your internal process to stay abreast of all legal requirements with regards to 401(k) plans, and how do you communicate any changes to your clients? 31. What services and procedures do you offer retirement plan Trustees to mitigate Fiduciary liability. How will you help Fiduciaries comply with the responsibilities outlined in ERISA 404(c)?

8 32. Will you help us comply with final Department of Labor regulation 408(b)(2)? Please describe. 33. Will your firm sign a statement acknowledging your status as a fiduciary to the plan under ERISA Section 3(21)(A)? 34. Does your firm have fiduciary liability insurance that will protect the interests of the plan in event of a breach of fiduciary duty and fidelity bond policy in accordance with ERISA Section 412? 35. Has there been any litigation or enforcement action against you, your firm or any associates in the past 5 years related to your professional services? Please explain. 36. Please provide proof that your firm carries Errors and Omission insurance coverage. Fees & Expenses 37. Describe all fees related to the services you will provide. 38. Disclose any and all compensation that you receive from mutual funds such as 12b-1 and sub transfer agency fees.