Title
Dept/ Agency: Administration/Office of the Business Administrator
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Exception to Public Bidding for Health Insurance Brokerage Services
Purpose: To provide health insurance brokerage services, including management and oversight of insurance brokerage services for medical, prescription drug, dental, and voluntary products for active and retiree populations.
Entity Names and Addresses:
1. Foundation Risk Partners d/b/a Fairview Insurance Agency Associates,
25 Fairview Avenue, Verona, New Jersey 07044;
2. Group Health Experts, LLC, 111 Old Forge Road, P.O. Box 341,
Millington, New Jersey 07946
3. The Alamo Insurance Group Inc., 55 Flanagan Way,
Secaucus, New Jersey 07094
Contract Amount: Not to exceed $525,000.00 (all three contracts)
Funding Source: 2026 Budget/Office of the Business Administrator/NW011-200-2001-A-60210-B2026
Contract Period: September 1, 2026 through August 31, 2027 with two (2) one-year options to renew for each contract
Contract Basis: ( ) Bid ( ) State Vendor ( ) Prof. Ser. (X) EUS
(X) Fair & Open ( ) No Reportable Contributions ( X ) RFP ( ) RFQ
( ) Private Sale ( ) Grant ( ) Sub-recipient ( ) n/a
Additional Information:
Exception to Public Bidding: N.J.S.A. 40A:11-5(1) (m) and N.J.S.A. 40A:11-5(1)(a)(11) - insurance consulting and brokerage services.
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WHEREAS, the City of Newark (“City”) is in need of Insurance Consultant/Broker Services for various employee Benefits for the City’s active and retiree population; and
WHEREAS, the New Jersey Local Public Contracts Law (N.J.S.A. 40A:11-5(1)(m)) provides an exception to public bidding requirements where the subject of the contract is insurance, including insurance coverage and consultant services; and
WHEREAS, on April 27, 2026, pursuant to N.J.S.A. 40A:11-6.1, the City issued a Request for Qualification (“RFQ”) publicly advertising and soliciting proposals for the provision of employee benefits, consultancy and brokerage services for medical, prescription, dental and vision coverage; and
WHEREAS, after review and evaluation of the proposals submitted, the Director of the Division of Personnel recommends that Fairview Insurance Agency Associates, 25 Fairview Avenue, Verona, New Jersey 07044, (“Fairview”), based upon its expertise, training, and proven reputation with providing management and oversight of all health insurance consulting and brokerage services for medical and voluntary products for active and retiree populations, be awarded a contract for said services in an amount not to exceed Two Hundred Twenty-Five Thousand Dollars and Zero Cents ($225,000.00) annually for the period beginning September 1, 2026 through August 31, 2027, with two (2) one-year (1-year) options to renew the contract; and
WHEREAS, the Director further recommends that Group Health Experts, LLC, 111 Old Forge Road, P.O. Box 341, Millington, New Jersey 07946, based upon its expertise, training, and proven reputation with providing consulting and brokerage services for prescription drugs for the retiree population, be awarded a contract for said services in the annual not-to-exceed amount of One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00) for the period beginning September 1, 2026 through August 31, 2027 with two (2) one-year (1-year) options to renew the contract; and
WHEREAS, the Director further recommends that Alamo Insurance Group Inc., 53 Flanagan Way, Secaucus, New Jersey 07094, based upon its expertise, training, and proven reputation with providing consulting and brokerage services for prescription drug and dental for active and retiree populations,be awarded a contract in the annual amount not-to-exceed One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00) for the period beginning September 1, 2026 through August 31, 2027 with two (2) one-year (1-year) options to extend the contract; and
WHEREAS, said contracts are being awarded as Extraordinary Unspecifiable Services (“EUS”) contracts pursuant to N.J.S.A. 40A:11-5(1)(m) and N.J.S.A. 40A:11-5(1)(a)(ii); and
WHEREAS, the Director has submitted the required EUS Certification, which certification is attached hereto; and
WHEREAS, the above-mentioned proposals were publicly advertised and solicited pursuant to a fair and open process within the meaning of the New Jersey Local Unit Pay-to-Play Law (N.J.S.A. 19:44A-20.5 et seq.).
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 designees, the Business Administrator or the Personnel Director, are hereby authorized to enter into and execute contracts with:
a. Foundation Risk Partners d/b/a Fairview Insurance Agency Associates, 25 Fairview Avenue, Verona, New Jersey 07044, for the provision of management and oversight of all insurance consulting and brokerage services for medical and voluntary products for active and retiree populations for the City of Newark for the period September 1, 2026 through August 31, 2027 in an amount not to exceed Two Hundred Twenty-Five Thousand Dollars and Zero Cents ($225,000.00);
b. Group Health Experts, 111 Old Forge Road, P.O. Box 341, Millington, New Jersey 07946, for the provision of brokerage and consulting services for prescription drugs for the City’s retiree population for the period September 1, 2026 through August 31, 2027 in an amount not to exceed One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00); and
c. The Alamo Insurance Group Inc. of 55 Flanagan Way, Secaucus, New Jersey 07094, for the provision of brokerage and consulting services for prescription drug and dental for the City’s active and retiree population for the period September 1, 2026 through August 31, 2027in an amount not to exceed One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00)
The contracts awarded pursuant to this Paragraph shall include two (2) one-year (1-year) options to extend.
2. Attached hereto is the Chief Financial Officer’s Certification of Funds which states that funds in the amount of $43,750 are available in the 2026 Temporary Budget for the purposes stated herein in Account# 011-200-2001-A-60210-B2026. Immediately after the 2026 final budget is adopted, a written certification of available funds shall be prepared for the remaining balance attributable to budget year 2026 and filed with this resolution. The contracts awarded in Paragraph 1 are subject to the availability and appropriation of sufficient funds beyond the temporary budget period and in budget year 2027.
3. These contracts are being awarded pursuant to the Fair and Open procedures of the New Jersey Local Unit Pay-to-Play Law, N.J.S.A. 19:44A-20.5 et seq., and pursuant to the provisions of the Local Public Contracts Law, N.J.S.A. 40A:11-5(1)(m) and N.J.S.A. 40A:11-5(1)(a)(ii), which authorize the award of contracts for insurance consultancy and brokerage services of the nature specified in this Resolution.
4. There shall be no amendments or changes to the contracts without approval of the Municipal Council.
5. There shall be no advance payments on this contract in accordance with N.J.S.A. 40A:5-16.
6. A copy of this executed contract herein authorized shall be filed in the Office of the City Clerk by the Business Administrator and/or Personnel Director and shall be made available for public inspection.
7. A notice of this action shall be published in the newspaper authorized by law to publish a legal advertisement and as required by law within ten (10) days of its passage.
STATEMENT
This Resolution authorizes the Mayor of the City of Newark and/or his designees, the Business Administrator or the Personnel Director, pursuant to N.J.S.A. 40A:11-5(m) to enter into and execute a contract with Fairview Insurance Agency Associates, of 25 Fairview Avenue, Verona, New Jersey 07044, to provide management and oversight of all insurance consulting and brokerage services for medical and voluntary products for the City of Newark in an amount not to exceed $225,000.00; Group Health Experts of 111 Old Forge Road, P.O. Box 341, Millington, New Jersey 07946, to provide brokerage and consulting services for prescription drugs for the City’s retiree population in an amount not to exceed $150,000.00; and Alamo Insurance Group Inc. of 53 Flanagan Way, Secaucus, New Jersey 07094, to provide brokerage and consulting services for prescription drug and dental for the City’s active and retiree population for the period beginning September 1, 2026 through August 31, 2027 in an amount not to exceed $150,000.00 all per year, with an option to extend the contract after August 31, 2027 with two (2) one-year options to extend the contract not to exceed three (3) years in aggregate.