Title
Dept/ Agency: Administration/Division of Central Purchasing
Action: (X) Ratifying (X) Authorizing ( ) Amending
Type of Service: Renewal of Contract for Health Brokerage Services for Prescription Insurance for Active Employees
Purpose: To provide Prescription Insurance Claims and Consulting Services.
Entity Name: Fairview Insurance Agency Associates, Inc.
Entity Address: 5 Fairview Avenue, Verona, New Jersey 07044
Contract Amount: Not to exceed $300,000.00
Funding Source: 2021 Budget/Department of Administration/NW011-200-2001-60240-B2021
Contract Period: January 1, 2021 through December 31, 2022
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. ( ) EUS
( ) Fair & Open ( ) No Reportable Contributions ( ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient (X ) N/A
Additional Information:
Renewal of Contract #E2020-02.
A contract amount not to exceed $300,000.00 for a period of twenty-four (24) months.
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WHEREAS, on March 13, 2020 the Department of Administration wished to enter into a contract with Fairview Insurance Agency Associates, Inc., 5 Fairview Avenue, Verona, New Jersey 07044 (“Fairview” or “Fairview Insurance”) to provide prescription insurance claims services and consulting services for the health, safety, and welfare of the eligible City of Newark active employees and their dependents; and
WHEREAS, on May 6, 2020, pursuant to Resolution 7R1-e 050620, the Newark Municipal Council authorized and approved Contract #E2020-02 which provided for Fairview to provide Healthcare Brokerage Services for active employees; and
WHEREAS, contract #E2020-02 also authorized two (2) one (1) year renewals for said health brokerage services; and
WHEREAS, the Department of Administration is in need of the additional brokerage and consulting services of Fairview to provide prescription insurance claims and consulting services for the eligible active employees, and their dependents in the City of Newark for the period of January 1, 2021 through December 31, 2022 for a total amount not to exceed Three Hundred Thousand Dollars and Zero Cents ($300,000.00); and
WHEREAS, because the contract is related to Insurance Consultant Services, it was awarded as an exception to public bidding pursuant to Local Public Contracts Law (N.J.S.A. 40A:11¬5(1)(m), which required it be awarded in accordance with the requirements of Extraordinary Unspecifiable Services; and
WHEREAS, this contract Is being awarded as an Extraordinary Unspecifiable Service (EUS) and pursuant to the provisions of the Local Public Contracts Law (NJ.S.A. 4OA:11-5(1)(a)(II); and
WHEREAS, the Department of Administration seeks to ratify and make retroactive the renewal period of that contract to January 1, 2021 as Fairview Insurance continued to render services during such time; and
WHEREAS, the services of Fairview Insurance to the City of Newark, is essential to the protection of the health, safety and welfare of the eligible active employees and their dependents of the City of Newark; and
WHEREAS, it is a matter of public health, safety and welfare that the above-described contract be renewed retroactively because the City of Newark has been and continues to require brokerage and consulting services to ensure the safe and uninterrupted services for its active employees and their dependents; and
WHEREAS, the Department of Administration now seeks authorization by the Municipal Council to retroactively ratify the renewal to prevent interruption of prescription coverage.
NOW, THEREFORE, BE IT RESOLVED BY THE MUNICIPAL COUNCIL OF THE CITY OF NEWARK, NEW JERSEY, THAT:
1. The Mayor of the City of Newark and/or his designee, and/or the Deputy Administrator of the Department of Administration, are authorized to renew, ratify and make retroactive Contract #E2020-02 with Fairview Insurance Agency Associates, Inc., 25 Fairview Avenue, Verona, New Jersey 07044 for the period of January 1, 2021 through December 31, 2022, for a total amount not to exceed Three Hundred Thousand Dollars and Zero Cents ($300,000.00).
2. This ratification of the renewal will allow for the continuation of prescription insurance claims and consulting services in the City of Newark.
3. The renewal of Contract #E2020-02 is ratified from January 1, 2021 to the date of adoption of this authorizing Resolution.
4. Attached hereto is a partial Certification of Funds issued by the Director of the Department of Finance, which states that funds in the amount of One Hundred Sixty-Two Thousand Dollars and Zero Cents ($162,500.00) are available under Line Appropriation: Business Unit NW011; Dept. ID 200; Division: 2001; Activity A, Account # 60240, Budget Ref: B2021. The Certification shall be filed along with the original Resolution in the Office of the City Clerk. The remainder of the funding for this contract will be subject to appropriation in the 2022 Budget and funds will be certified prior to services being provided by the contractor.
5. The Deputy Administrator of the Department of Administration for the City of Newark, has filed a copy of Contract #E2020-02, attached hereto, with the Office of the City Clerk.
6. If required by State Law, the City Clerk shall provide the appropriate notice of the award of this contract to the State Comptroller no later than twenty (20) business days following such award, in accordance with N.J.S.A. 52:15C-10 and the Notice of the Office of the State Comptroller dated May 7, 2008.
STATEMENT
This Resolution ratifies and authorizes the Mayor of the City of Newark and/or his designee, and/or the Deputy Administrator of the Department of Administration to renew, ratify and make retroactive Contract #E2020-02 with Fairview Insurance Agency Associates, Inc., to provide prescription insurance claims and consulting services, for the period of January 1, 2021 through December 31, 2022, for a total amount not to exceed $300,000.00.