Posting Language
Title
Authorize an amendment to a contract for continued administration services for the Rolling Owner-Controlled Insurance Program VIII for Human Resources Department with Marsh & McLennan Companies, Inc D/B/A Marsh USA LLC, to increase the amount by $2,874,200 for a revised total contract amount not to exceed $8,864,200. Funding: $154,675 is available in the Capital Budget of various City departments, funding for the remaining contract term is contingent upon available funding in future budgets.
Body
Lead Department
Financial Services Department.
Client Department(s)
Human Resources Department.
Fiscal Note
Funding in the amount of $154,675 is available in the Capital Budget of various City departments.
Funding for the remaining contract term is contingent upon available funding in future budgets.
Purchasing Language:
Contract Amendment.
MBE/WBE:
This solicitation was reviewed for subcontracting opportunities in accordance with City Code Chapter 2-9C, Minority Owned and Women Owned Business Enterprise Procurement Program. For the services required for this solicitation, there were no subcontracting opportunities; therefore, no subcontracting goals were established.
Prior Council Action:
September 15, 2022 - Council approved a contract for administration services for the Rolling Owner-Controlled Insurance Program VIII with Marsh & McLennan Companies, Inc D/B/A Marsh USA LLC.
For More Information:
Direct questions regarding this Recommendation for Council Action to the Financial Services Department - Central Procurement at: FSDCentralProcurementRCAs@austintexas.gov or 512-974-2500.
Additional Backup Information:
This amendment will allow for administrative services associated with additional projects and the increased excess liability premiums to cover an additional $800 million in City construction values for Rolling Owner-Controlled Insurance Program VIII (ROCIP) projects.
Under the ROCIP, the City obtains insurance coverage instead of requiring individual contractors to provide their own. This structure establishes improved contractor equity, removes insurance barriers that can impact small and minority contractors, assures broad and uniform insurance protection is in place for the City, and provides construction cost reductions through the volume purchasing of insurance coverage. The City implemented the first ROCIP program in 1992 and ROCIP VIII is a continuation of the City’s efforts to achieve these goals.
Council approved the ROCIP VIII with an anticipated $1 billion in construction values and 48 projects as initial candidates for inclusion in the program. The City has now identified an additional 14 projects for inclusion in the program. Projected construction values have also increased since the original estimates developed in 2022. The net result is a revised anticipated $1.8 billion in City construction values to be covered by ROCIP VIII.