Title
Dept/ Agency: Administration/Division of Personnel
Action: ( ) Ratifying (X) Authorizing ( ) Amending
Type of Service: Extension of Contract Renewal for Health Brokerage Services for Prescription Insurance for Active Employees
Purpose: To provide Prescription Insurance Claims and Consulting Services.
Entity Name: Eagle Rock Management Group c/o Foundation Risk Partners, Corp.
Entity Address: 2 Aquarium Loop Drive, 2nd Floor, Camden, New Jersey 08103
Contract Amount: Not to exceed $150,000.00
Funding Source: 2023 Budget/Department of Administration/NW011-200-2001-60240-B2023
Contract Period: Extended an additional six (6) months from January 1, 2023 through June 30, 2023
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:
Extension of Contract Renewal - not to exceed $150,000.00 for six (6) months.
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WHEREAS, on January 5, 2022, the City’s Department of Administration requested to renew its contract to provide brokerage and consulting services for the health, safety, and welfare of the eligible employees, retirees and their dependents for the City of Newark; and
WHEREAS, 7R1-h(AS) adopted on January 5, 2022, authorized the contract for the period of January 1, 2021 through December 31, 2022 in the amount of Three Hundred Thousand Dollars and Zero Cents ($300,000.00) to Fairview Insurance Agency Associates, Inc., 25 Fairview Avenue, Verona, New Jersey 07044 (the “Vendor”). (A copy of the contract is attached hereto and made a part of this Resolution); and
WHEREAS, Fairview Insurance Agency Associates, Inc. was brought out by Foundation Risk Partners, Corp., 1540 Cornerstone Boulevard, Suite 230, Daytona Beach, Florida 32117; and
WHEREAS, Eagle Rock Management Group is a subsidiary of Foundation Risk Partners, Corp., located at 2 Aquarium Loop Drive, 2nd Floor, Camden, New Jersey 08103, this entity will be providing brokerage and consulting service as a subsidiary to contracting entity; and
WHEREAS, the City’s Department of Administration is in immediate and emergent need for the Vendor to continue to provide brokerage and consulting services for the eligible employees, retirees and their dependents in the City of Newark for the period of January 1, 2023 through June 30, 2023 or until such time as the City executes a contract so as to prevent disruption while the City transitions to the private market as self-insured; and
WHEREAS, N.J.S.A. 40A:11-6 provides that Emergency Contracts may be entered into when an emergency affecting the public health, safety or welfare requires the immediate delivery of goods or the performance of services; and
WHEREAS, the City’s Department of Administration desires to extend the Contract Renewal #E2020-02 for the period of January 1, 2023 through June 30, 2023 for a total amount not to exceed One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00) or until such time as the City executes a contract; and
WHEREAS, N.J.A.C. 5:34-6.1(a)3 provides that the emergency purchasing procedure may be used when the need for such goods or services has arisen notwithstanding a good faith effort on the part of a municipality to plan for the purchase of any goods or services required by the municipality; and
WHEREAS, the services of Foundation Risk Partners, Corp., to the City of Newark (the “City”), is essential to the protection of the health, safety and welfare of the eligible employees, retirees and their dependents of the City of Newark; and
WHEREAS, it is a matter of public health, safety and welfare that the above-described emergency contract be extended because the City still needs to ensure the safe and uninterrupted services for its employees, retirees and their dependents; and
WHEREAS, City Ordinance 6PSF-e adopted on April 6, 2011, Article 2:5-13.2 (E)(1)(b)(c) limits the period of Emergency Contracts to ninety (90) days and no extensions of Emergency Contracts shall be permitted without authorization by the Municipal Council by Resolution; and
WHEREAS, the City’s Department of Administration now seeks authorization by the Municipal Council to extend the emergency 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, the Business Administrator and/or the Qualified Purchasing Agent, are authorized to extend Emergency Contract #E2020-02 with Eagle Rock Management Group, Corp., 2 Aquarium Loop Drive; 2nd Floor, Camden, New Jersey 08103; a subsidiary of Foundation Risk Partners, Corp., 1540 Cornerstone Boulevard, Suite 230, Daytona Beach, Florida 32117 for the period of January 1, 2023 through June 30, 2023, or until such time as the City executes a contract, for a total amount not to exceed One Hundred Fifty Thousand Dollars and Zero Cents ($150,000.00).
2. This extension will allow for the continuation of brokerage for prescription insurance claims and consulting services in the City of Newark.
3. It shall be the responsibility of the Personnel Director to seek the Certification of Available Funds for Fiscal Year2023 budget from the Municipal Comptroller. This contract shall be contingent on the appropriation of budget funds during subsequent years as required by N.J.A.C. 5:30-5.5(c) and pursuant to N.J.A.C. 5:30-5.5(d)(2). A Certification of Available Funds from Funding Source: NW011-200-2001-60240-B2023 shall be prepared for the remaining balance and filed in the Office of the City Clerk by the Personnel Director.
5. The Personnel Director shall provide an executed copy of Emergency Contract #E2020-02, attached hereto, with the Office of the City Clerk.
6. If required by State Law, the Acting 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, the Business Administrator and/or the Qualified Purchasing Agent to extend Emergency Contract # E2020-02 Eagle Rock Management Group, Corp., 2 Aquarium Loop Drive, 2nd Floor, Camden, New Jersey 08103; a subsidiary of Foundation Risk Partners, Corp., 1540 Cornerstone Boulevard, Suite 230, Daytona Beach, Florida 32117 to provide prescription insurance claims and consulting services, for the period of January 1, 2023 through June 30, 2023, or until such time as the City executes a contract, for a total amount not to exceed $150,000.00.